48 2009 vaultcom inc vault guide to the top 20

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48 © 2009 Vault.com Inc.
Vault Guide to the Top 20 Accounting Firms, 2010 UK Edition PricewaterhouseCoopers (UK) LLP IN THE NEWS March 2009: Good vibes all around In the Times’ listing of the Best 100 Companies for 2009, PwC came in No. 7 under the “professional services” category. A survey conducted by the publication revealed that 73 per cent of employees think the training they get is a “great benefit” to them, and 81 per cent “believe their jobs are good for their personal growth.” December 2008: Mixing auditing with consulting The Financial Reporting Council, the UK accounting regulator, recently rapped PWC for taking advantage of loopholes to push its consulting services to audit clients during 2007. The Council criticised the practice whereby senior partners who were involved in making key audit assessments (but outside the audit department itself) sold audit clients the firm's more lucrative advisory services. While this practice isn't strictly prohibited, it has been heavily discouraged since the 2001-2002 Enron and WorldCom accounting scandals. Relying on higher-yielding non-audit work raises the likelihood of a conflict of interest, as it is believed that audit firms who take on double-duty are less likely to question financial data provided by their clients. Richard Sexton, UK head of assurance at PwC, disagreed with the criticism, however. “We are completely satisfied that our remuneration practices are consistent with ethical and auditing standards and the principles involved,” he told the Financial Times . In 2000, PwC became the first of the then-Big Five firms to separate its audit, tax and business advisory services from its management consultancy as a means of ensuring its independence as an auditing firm. The decision to split followed mounting speculation that PwC was considering a break-up as well as moves by the U.S. Securities and Exchange Commission to monitor audit independence rules more strictly. December 2008: Job cuts PricewaterhouseCoopers announced that it would trim at least 100 jobs across most service lines by offering voluntary redundancies to staff. In a press release about the cuts, a PwC spokeswoman said, “From time to time we offer voluntary severance terms such as this. Despite difficult economic conditions, however, we are continuing to invest and recruit in growth areas and take long-term investment decisions for the benefit of our clients, our people and our business.” September 2008: Administering the biggest failure of them all Accounting firms are appointed as administrators left and right these days, raking in profits as companies fall victim to the recession, yet PwC's appointment to oversee the Lehman Brothers liquidation stands out, to say the least. Lehman had almost US$639 billion in Visit Vault at europe.vault.com for insider company profiles, expert advice, career message boards, expert resume reviews, the Vault Job Board and more.

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