Consulting Firms Are Paying Undergrads $25,000 To Do Nothing

An anonymous reader shares a report: In the weeks leading up to her graduation from Pomona College, Sophia Augustine thought she had it all figured out. She had gotten a job offer at Accenture Plc and had plans to live with two friends in New York starting in August. Then she got a much-dreaded phone call. She, like hundreds of other new graduates this year, had a delayed start date. She would now report to work in April 2024, and for her troubles she’d receive a $25,000 stipend. The sudden change made her nervous, but she quickly pivoted. She found someone to sublet her apartment and made travel plans, starting with a trip to Southeast Asia. “I never got to study abroad in college because of Covid,” Augustine said. “So I’m viewing this as, just like, my golden opportunity.” The delay wasn’t a complete surprise. Layoffs in consulting, finance and technology have piled up in recent months, putting the job market on shaky ground. Top consulting firms, reeling from a cut back in business spending, had been delaying start dates for some MBA graduates. And while undergrads with offers from Accenture, Bain & Co and Deloitte initially thought they were spared, they too have been caught up in the slump. Consulting firms are known to adjust their hiring plans when there’s an economic downturn or change in market conditions. It’s a way to ensure new hires have work to do, and keep costs down until business picks up again. For some new graduates, a stipend can provide an unexpected chance to travel, work at a nonprofit or pursue a professional certification. Read more of this story at Slashdot.