AI Redundancy Toolkit · AULog in
AU Professional services · 18 Oct 2026

Deloitte Australia Cuts 170 Jobs While Hiring 500 for Outsourcing

Deloitte Australia is cutting about 170 non-partner roles as it shifts towards outsourcing and AI-focused services.

Deloitte Australia is cutting about 170 jobs, equivalent to roughly 2% of its non-partner workforce, as it responds to changing client demand and shifts roles towards outsourcing and AI-focused services, the Australian Financial Review reported on 18 October 2026.

The cuts are occurring alongside plans to hire more than 500 people in outsourcing. That combination points to a targeted redesign of work rather than a simple reduction in total headcount: some roles are being removed while others are created in different service areas.

The move comes amid wider Australian employer restructuring linked to automation and AI. Commonwealth Bank has cut about 1,000 jobs in 2026, including more than 172 technology roles, while WiseTech Global has reported cuts of more than 500 roles as it redesigns software engineering and support work.

For employers planning a similar restructure, the key issue is role change, not an AI label. Document the new operating model and why particular positions genuinely no longer exist; consult affected employees before final decisions, properly consider redeployment into new or expanded roles, and apply a lawful genuine-redundancy process. Hiring for outsourcing or AI-related work does not by itself make existing redundancies unlawful, but it increases the need to explain why the roles are materially different.

Key points
  • Deloitte Australia is cutting about 170 jobs, around 2% of its non-partner workforce.
  • The cuts are linked to changing client demand and a shift towards outsourcing and AI-focused services.
  • Deloitte is simultaneously hiring more than 500 people in outsourcing.
  • The restructure highlights the need to distinguish eliminated roles from newly created roles when managing AI-driven change.

For employers: Map the future operating model before selecting roles, then document why each redundant position genuinely disappears and assess redeployment into materially different outsourcing or AI-focused work. Consult affected employees before deciding and follow a lawful genuine-redundancy process.

Sources: Deloitte cuts 170 jobs as Big Four race to target outsourcing · AI layoffs could backfire as firms face rehiring

General information for employers, not legal advice. Reporting summarised from the linked sources; confirm details with the primary source.