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Professional-services firms including PwC, McKinsey, EY, Deloitte, and KPMG are cutting executive assistant and other support roles as they look to reduce costs, improve profitability, and invest more heavily in artificial intelligence. The layoffs come amid slowing growth in consulting and professional services following the post-pandemic boom, with firms increasingly relocating support jobs from expensive hubs such as New York and London to lower-cost locations including Florida, Poland, India, Argentina, and the Caribbean. Executive assistants, who can earn more than $100,000 annually at top firms, are seen as particularly vulnerable to AI because many administrative tasks - including scheduling, travel booking, expense management, and document preparation - can increasingly be automated. PwC’s US business reportedly cut about 600 support staff earlier this year, while other firms including Grant Thornton, Baker McKenzie, and Standard Chartered have also announced reductions or restructuring plans affecting support functions. Industry experts say firms are prioritizing higher-paid revenue-generating employees in areas such as AI, cybersecurity, and private equity, while support staff are often the first targets during cost-cutting efforts. Some observers also believe companies are overstating AI’s immediate impact to justify layoffs that were already planned.

 

Bloomberg

Top Senate Democrats are demanding answers from Treasury Secretary Scott Bessent and IRS chief executive Frank Bisignano over a controversial settlement between President Donald Trump and the IRS that created a $1.776bn “Anti-Weaponization Fund” for individuals claiming they were improperly targeted under the Biden administration. In a letter sent by Sens. Elizabeth Warren (D-MA) and Ron Wyden (D-OR), the lawmakers criticized the agreement as potentially corrupt and raised concerns that the fund could benefit Trump allies or individuals connected to the January 6th Capitol attack. They also questioned provisions that appear to shield Mr. Trump, his family, and affiliated businesses from certain ongoing or potential IRS audits and investigations. The settlement stems from Trump’s $10bn lawsuit against the IRS after a former government contractor pleaded guilty to leaking confidential tax records of Trump and other wealthy individuals. “This is an unprecedented remedy,” said former IRS Commissioner Daniel Werfel.

 

ABC News

AP News

New York Times

The Supreme Court has dismissed separate appeals from six pharmaceutical companies - units of of AstraZeneca, Johnson & Johnson, Bristol Myers Squibb, Novartis, Novo Nordisk and Boehringer Ingelheim - seeking to overturn the Medicare drug price negotiation program, created in 2022 by President Joe Biden’s Inflation Reduction Act. The companies said the program, which has led to discounts on top-selling treatments and will produce a 71% discount on certain drugs for Medicare patients starting in 2027, violates the constitutional prohibition on excessive fines and the ban on the taking of private property without just compensation. They also contended that the government is violating the Constitution’s free speech clause by coercing them into agreeing that the negotiated rate is the “maximum fair price” for the product.

 

Bloomberg

Amazon has won an appeal in a U.S. court case alleging it helped foreign fur manufacturers evade tariffs and inspection fees on products sold through its marketplace platform. The 2nd U.S. Circuit Court of Appeals ruled there was no evidence the company knowingly assisted sellers in understating shipment values or bypassing U.S. Fish and Wildlife Service requirements between 2007 and 2024. The lawsuit was brought by Henig Furs, which claimed Amazon violated the False Claims Act by enabling overseas sellers to avoid tariffs and undercut domestic competitors with artificially low prices. However, the court found lower pricing alone was insufficient to prove Amazon was aware of wrongdoing, noting there could be legitimate explanations such as economies of scale or lower labor costs. The ruling upheld a lower court’s dismissal of the case in January 2025.

 

San Joaquin Valley Sun

Reuters

Nykaa has asked a New Delhi court to make Meta a party to an ongoing copyright dispute with Zee Entertainment over the use of music clips in Instagram promotional content, in a case that could have broader implications for commercial music use on social media platforms. Zee Entertainment is suing the Indian beauty and fashion retailer for allegedly using copyrighted songs in Instagram reels to advertise products, seeking damages of $210,000. In a court filing seen by Reuters, Nykaa argued that only Meta could determine whether its use of music breached licensing terms agreed between Meta and Zee. Zee contends its agreement with Meta permits music use only for non-commercial purposes by individuals.

 

Reuters

In a recent interview with CNBC's Andrew Ross Sorkin on “Squawk Box,” Jeff Bezos highlighted the disparity in tax contributions, stating that the top 1% of taxpayers contribute about 40% of total tax revenue, while the bottom half only pay 3%. Mr. Bezos argued for the elimination of federal income taxes for the lower half of earners, saying: “I don't think it should be 3%. I think it should be zero.” He emphasized the need to support struggling individuals, suggesting that instead of taxing them, the government should apologize. According to the Tax Foundation, the bottom half of taxpayers had an adjusted gross income of just under $54,000 in 2023, while the top 1% earned at least $676,000. The average tax rate for the bottom half was 3.7%, compared to 26.3% for the top 1%.

 

CPA Practice Advisor

Starbucks has discontinued an artificial intelligence (AI)-powered inventory counting system across its North American stores less than a year after deploying the technology as part of chief executive Brian Niccol’s turnaround strategy. The automated counting tool, introduced in September 2025, was designed to improve inventory accuracy and reduce product shortages by using LIDAR and camera technology to scan milk, syrups, and other beverage ingredients. However, the system frequently miscounted and mislabeled products, according to Reuters reporting and employees familiar with the program. Starbucks said the decision was made to standardize inventory counting processes across stores while the company continues to focus on operational consistency and broader supply chain improvements. Employees will now return to manually counting beverage inventory in the same way as other product categories.

 

Reuters

Spotify and Universal Music Group have signed a licensing agreement that will allow users to create artificial intelligence (AI)-generated song covers and remixes from participating artists, as the streaming platform looks to drive growth through higher-spending “superfan” experiences. The AI remix and cover tools will be offered as a paid add-on within Spotify’s app, with the companies saying the initiative is designed to generate additional royalties for artists and songwriters. Spotify shares rose 14% following the announcement. The partnership forms part of Spotify’s broader push to diversify revenue beyond traditional music subscriptions through products including AI-generated “personal podcasts,” premium fan memberships, exclusive concert ticket access, and expanded audiobook subscription tiers.

 

CNBC	Financial Times

Estée Lauder and Spain’s Puig Brands have ended talks over a potential business combination, bringing to a close months of speculation that the two beauty groups could merge to create one of the world’s largest cosmetics companies. Estée Lauder said it will instead remain focused on its ongoing turnaround strategy, with chief executive Stéphane de La Faverie reiterating confidence in the company’s brands and standalone growth prospects. The U.S. beauty group, which owns brands including Clinique, M.A.C, and Bobbi Brown Cosmetics, had confirmed in March that it was in discussions to acquire Puig, whose portfolio includes Carolina Herrera, Charlotte Tilbury, and Byredo. Analysts had highlighted significant integration and execution risks surrounding a potential deal, particularly given Estée Lauder’s restructuring efforts and slowing growth across prestige fragrance and skincare markets.  

 

Bloomberg

Financial Times

Wall Street Journal

The Wall Street Journal reports that CVC Capital Partners and Groupe Bruxelles Lambert have teamed up to launch a bid valuing Italian drugmaker Recordati at €10.73bn. The consortium aims to take Recordati private, delist it from Euronext Milan and support more research investment and dealmaking. CVC already controls a vehicle holding 46.8% of Recordati, while GBL will contribute up to 10% of its portfolio value. The offer values Recordati at €51.29 a share, or €52 including a recent dividend. User Supplied Text Short Summary

 

Wall Street Journal

Americans’ confidence in the economy has fallen to its weakest level in nearly four years, according to a new Gallup poll, as rising gas prices, inflation, and concerns about the broader economic outlook weigh on sentiment across political groups. Gallup’s Economic Confidence Index fell to -45 in May, down from -38 in April and matching the lowest level recorded since October 2022. The survey found that only 16% of Americans described current economic conditions as “excellent” or “good,” while nearly half rated conditions as poor. The poll showed that 76% of respondents believe economic conditions are worsening, the highest share in three years, with inflation and fuel costs emerging as major concerns. Average gasoline prices reached $4.56 per gallon amid oil supply disruptions linked to the war in Iran. Although Republicans remained more optimistic about the economy than Democrats and independents, confidence among all political groups declined to the lowest levels recorded since President Donald Trump began his second term. Republicans posted a confidence score of 22, compared with -80 for Democrats and -58 for independents.

 

US News and World Report

U.S. consumer sentiment dropped to a record low in May as Americans grew increasingly concerned about inflation, rising gasoline prices, and the economic impact of the Iran war. The University of Michigan’s sentiment index fell to 44.8 from 49.8 in April, while long-term inflation expectations climbed to 3.9%, the highest level in seven months, and one-year inflation expectations reached 4.8%. Consumers cited the rising cost of living as a major concern, with high fuel prices and persistent inflation continuing to pressure household finances, even as labor market expectations remained relatively stable.

 

Bloomberg