PwC Australia releases its Transparency Report FY23

Friday, 24 November 2023

PwC Australia releases its Transparency Report FY23

PwC Australia has today released its third annual Transparency Report, highlighting the steps the firm has taken to address the governance, cultural and accountability practices that allowed the misuse of confidential treasury information and other past leadership failures to occur.

The report, which is prepared based on the World Economic Forum International Business Council Stakeholder Capitalism Metrics, highlights that in a uniquely challenging year for the firm and its people and partners, significant action was taken across key areas of focus for the firm. 

The report follows the release of the firm's full-year financial results in September and the divestment of its government advisory business, along with the outcomes of the Independent Review of Culture, Governance and Accountability conducted by Dr Ziggy Switkowski AO.

"This year has been an extraordinarily challenging one for all of us at PwC Australia. We are deeply sorry for the failings that allowed unacceptable behaviours to go unchecked for so long, yet, we are equally as committed to taking the actions required to rebuild trust,” said PwC Australia chief executive Kevin Burrowes.  

“This report provides a holistic view of our firm in FY23, and outlines the significant steps we have taken to ensure we continue to live our firm's values and make meaningful contributions to society. Despite the challenges we have faced, we remain committed to serving our clients, stakeholders, people and communities, helping them to solve important problems and navigate increasingly complex business environments.”

The Transparency Report FY23 demonstrates that despite these challenges, PwC Australia continued to invest in its people, while continuing to progress on other metrics and initiatives related to our environmental and social commitments, including our transition to net zero, progress on modern slavery, work in the community, driving reconciliation and investing in responsible technology.

Transparency Report FY23 - summary of our metrics 

PwC Australia’s Transparency Report FY23 reveals a host of key metrics to June 30, revealing the firm has made progress in many areas, and with work to do in others. These include:

• Employee turnover was 19 per cent - down three percentage points on the year prior;

• Employee cultural diversity rose to 51 per cent - up three per cent; cultural diversity among the partnership was 19 per cent - up three per cent;

• The partnership was comprised of 66 per cent males and 34 per cent females - the same as the year prior;

• The gender employee pay gap reduced one percentage point to 6.5 per cent, but the partner gender pay gap rose 1.5 per cent to 19.5 per cent as we continued to increase the admission of female partners into our partnership;

• The firm’s total tax contribution reached $659 million - up 5.6 per cent;

• The Australian firm’s total Greenhouse Gas Emissions were 18,941 tonnes of carbon dioxide equivalent - a 47 per cent decrease on the FY19 base year set for the purposes of our 2030 Net Zero targets. 

Investing in our greatest asset - our people

Throughout the challenges of 2023, the firm continued to invest in its most important asset - its people - putting their development, health and wellbeing at our heart.

The Transparency Report FY23 reveals key information about our approach to people, the size and shape of our firm, and our People Value Proposition which sets out our commitment to new ways of working, how we recognise performance and our commitment to total reward transparency, the workplace experience and our PwC Academy which sees our people grow and develop. 

In FY23 PwC Australia:

• Promoted 1,513 people from the workforce;

• Invested in a new Early Careers program to recruit future talent to the firm, and supported 1,752 Senior Associates and Managers to attend our signature experience, The Outside;

• Launched Turning Mental Health Inside Out - an online course promoting good mental health.

PwC Australia continues to contribute to a socially-equitable, net zero and nature positive future

The Transparency Report FY23 details the firm’s steps to realise its commitment to achieve net zero greenhouse gas emissions. In FY23, the firm’s Scope 1 and 2 emissions decreased by 92 per cent from our FY19 base year, exceeding our target of a 50 per cent reduction. 

As the firm continues to manage the impacts of business travel rebounding since the easing of COVID-19 restrictions, it has:

• Launched a firmwide ‘carbon cap’ on air travel and enhanced our interactive, air travel emissions dashboard to include predictive analysis; 

• Developed and implemented our first Sustainable Procurement strategy, with focus on maturing our supply chain.

PwC Australia’s commitments to change - our comprehensive action plan 

A key milestone in FY23 - and a primary focus of the 2024 calendar year - is PwC Australia’s transformational Action Plan to address Dr Switkowski’s recommendations. 

The firm will apply ASX Corporate Governance Principles and Recommendations to the extent feasible, which will include the appointment of at least three non-executives, including a non-executive chair, to our Governance Board, and we will publish comprehensive, audited financial statements by September 2025.

“Our Action Plan is helping us chart a course to achieve our vision of becoming the leading professional services firm, built on the highest ethical and professional standards with integrity at our core,” said Burrowes.

“From the top down, we are learning from our mistakes and we are re-earning the trust of our stakeholders. That’s our promise to our people, partners, clients and the community.”

You can read the full Transparency Report FY23 here.