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Amid McKinsey layoffs, Paytm CEO declares ChatGPT the 'new consultant in town'
The impact is already visible beyond McKinsey. In May 2025, PwC, reportedly the largest enterprise user of ChatGPT, also laid off 1,500 employees, citing operational efficiency gains through AI adoption.
A recent McKinsey report estimated that generative AI could automate up to 30% of work hours globally by 2030, prompting companies to shift towards AI-driven advisory services.
aytm CEO Declares ChatGPT the 'New Consultant in Town' Amid McKinsey Layoffs Paytm founder and CEO Vijay Shekhar Sharma has weighed in on the changing landscape of global consultancy, declaring ChatGPT as the "new consultant in town" in response to sweeping layoffs at McKinsey & Company.
Sharing a snippet of a Financial Times report on X (formerly Twitter), Sharma wrote, “There is a new consultant in town. The answer is: ChatGPT.”
The article revealed that McKinsey has cut more than 5,000 roles over the past 18 months—over 10% of its workforce—from a peak of approximately 45,000 employees at the end of 2023. This marks one of the largest rounds of layoffs in the prestigious firm’s near-century-long history.
The reductions come amid a downturn in consulting demand following a post-pandemic hiring boom. They also coincide with a $1.6 billion legal settlement over McKinsey’s role in advising opioid manufacturers. Cuts have included 1,400 back-office employees, 400 tech specialists in 2023, and an intensified performance review process reportedly pressuring underperforming consultants to exit.
AI Reshaping the Consulting Sector Sharma’s post underscores a broader trend—the growing influence of generative AI, like OpenAI’s ChatGPT, in transforming how consulting services are delivered. With automation increasingly being embedded into business strategy and operations, many firms are rethinking traditional consulting models.
A recent McKinsey report estimated that generative AI could automate up to 30% of work hours globally by 2030, prompting companies to shift towards AI-driven advisory services.
The impact is already visible beyond McKinsey. In May 2025, PwC, reportedly the largest enterprise user of ChatGPT, also laid off 1,500 employees, citing operational efficiency gains through AI adoption.
While some experts see AI as a threat to traditional white-collar jobs, others argue it is merely accelerating inevitable changes. Rather than fully replacing consultants, AI is increasingly being integrated into hybrid models—where it handles data-heavy analysis, allowing human consultants to focus on insight generation, strategy, and relationship management.
Still, the layoffs at legacy firms like McKinsey signal a major inflection point in the sector. Sharma’s remark captures what many in the industry are beginning to accept: the era of AI-enhanced consulting is no longer a future possibility—it is already here.
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