Whistleblower allegations center on sharing client data to win new business, with Lendlease highlighted, while independent directors Patty Akopiantz and Jane Hemstritch are exiting or slated to resign as replacements are sought.

KPMG faces pressure from the loss of the Lendlease audit contract and government contracting scrutiny, with a ban from federal and Victorian governments on winning new contracts pending a fitness review.

KPMG Australia is navigating fallout from a whistleblower scandal as reports surface that under the new CEO, John Sams, the firm could shed around 10% of its workforce and potentially dozens of partners, though officials say no final decisions have been made.

Initial reports suggested about 1,000 roles, or 10% of the staff, could be cut, with details shared with selected partners, but no source was cited and the firm has disputed the specifics.

Whistleblower claims allege KPMG used confidential client data to win contracts, naming clients such as Lendlease, Optus, Westpac, Dexus, and Telstra as part of the controversy.

Since the governance crisis began, there have been multiple high-level departures, and John Sams has been promoted to CEO to lead the firm’s reset.

Australian authorities and regulatory bodies have opened investigations into KPMG, and the firm is barred from bidding on new federal government work until September.

KPMG International chairman Bill Thomas and successor Gary Wingrove are in Australia to back the local leadership as part of the global effort to repair governance and culture.

KPMG says it is reviewing its operating model, cost base, and workforce needs, evaluating a range of options to position the firm for upcoming challenges.

The firm has seen the departures of CEO Andrew Yates, chairman Martin Sheppard, and former COO Eileen Hoggett, who was dismissed after lying about accessing confidential documents from Lendlease.

KPMG Australia says no decisions have been made about job cuts amid reports of up to 1,000 layoffs as fallout from the whistleblower scandal continues, and there is no final decision yet.

Global leadership, including Chairman Bill Thomas and COO Gary Wingrove, have traveled to Australia to meet with partners and clients and support damage control during the governance and culture overhaul.