Firms like BCG and McKinsey are offering consultants new bonuses, vacation incentives, and perks. Here's a rundown.
- Management consultants are burning out and quitting their jobs due to long hours stuck at home.
- Consulting and accounting firms are responding with bonuses, perks, and pay raises.
- BCG gave its consultants 180,000 Marriot points to make up for missing out on travel rewards.
- See more stories on Insider’s business page.
Some of the Big 3 consulting firms and the Big 4 — top accounting firms that also run competitive consulting businesses — are taking steps to keep their young talent happy.
Prestigious consultancies haven’t made moves quite on the same scale as the cash bonanza rippling through Wall Street banks, financial firms, and Big Law Firms, where young talent is being showered with tens of thousands of dollars in special bonuses, base pay hikes, all-expense-paid vacations, and Peloton bikes.
But some consulting firms are offering smaller incentives to encourage people to take vacation time, make up for lost travel perks, and hand staff some extra money.
Many young consultants have had to adjust to a new normal during the past year that has involved limited travel, little face-to-face interaction with clients, and the expectation for some to log 100-hour, remote workweeks.
In normal times, management consultants at top firms like BCG, Bain, and McKinsey are on the road frequently meeting with clients in person, and the jet-setting lifestyle is attractive to many young professionals.
In its absence, many young consultants are burning out and quitting their jobs, which often come with a six-figure salary right out of business school and undergrad.
Trying to keep track of which management consulting and accounting firms are rolling out special perks, bonuses, and raises across their junior ranks? Here’s our running list.
Boston Consulting Group
Boston Consulting Group (BCG) recently gave its consultants 180,000 Marriot points to make up for the travel perks they haven’t been able to accumulate over the past year, Insider previously reported.
Hotel loyalty programs reward frequent travelers with points and perks to incentivize them to continue staying at a specific hotel chain. The points can then be redeemed for free hotel stays, upgraded travel packages, and other experiences.
For management consultants, who are frequently on the road, racking up travel rewards at hotel chains and airlines as part of the jet-setting lifestyle is seen as one of the gig’s top perks.
Currently, 180,000 points could get you two nights at the luxury St. Regis resort in Bora Bora, where villas are around $1,800 per night.
PwC, a top accounting firm that also has a consulting business, in April introduced a program that offers employees $250 each time they take a full week of vacation time, up to four times or $1,000, a firm spokesperson told Insider via email.
The perk “reinforced our commitment to our people’s well-being and recognizes the importance of disconnecting,” the firm said.
PwC also gave all of its US staff one week of extra pay as a special bonus on top of its existing bonus structure.
KPMG, another accounting firm, implemented multiple perks such as undisclosed mid-year compensation adjustments, a summer break where the firm will be closed the week of July 5, and “Jumpstart Fridays,” where professionals can log off of work early on Fridays in the summer, a spokesperson told Insider via email. The summer break and shortened Friday workdays were first introduced last year and will be implemented again in 2021.
The firm has rolled out additional benefits and changes recently to combat burnout and promote healthy workloads, including weekly “heads-down” time for employees to work without meetings and other distractions; eliminating video meetings on Fridays; shortening 30- and 60-minute meetings to 25- and 50 minutes; and pushing everyone’s meeting availabilities back an hour each morning.
The management-consulting behemoth is offering special COVID bonuses “in the thousands of dollars” to all non-partner employees that will be paid in two installments, one now and another later this year, sources told insider. While everyone will be considered for a bonus, the amounts, which are being calculated as a percentage of base salary, will be prorated for employees who haven’t been working at the firm for the entirety of the pandemic.
The firm declined to give details on compensation matters.
Meanwhile on Wall Street, firms have been bumping junior talents’ pay by tens of thousands of dollars or offering incentives like $40,000 special bonuses. And Big Law firms, many of which are also awarding special COVID-related bonuses to non-partners in two installments this year, are paying talent between $12,000 and $64,000.
Is your consulting firm offering bonuses or perks? We want to know about it! Contact the reporter, Samantha Stokes, at [email protected] or on Signal: 646-389-7866.
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