Despite global leaders having lauded the period to June 2022 as “one of the most successful years in the history of the organisation”, the big four firm has decided to scrap this year’s merit payments citing worsening economic conditions.

For the past two years bonuses were paid around this time in addition to main bonuses awarded after the firm’s fiscal year ended in June. In a Friday meeting, executives said this year there would not be funds available for the scheme.

An EY spokesperson told the Financial Times: “While EY continues to experience strong revenue growth, we have elected at this time not to fund our additional, discretionary mid-year program given the changing economic environment.”

The statement continued: “We remain steadfast in our commitment to being a leader in recognition and rewards. This includes our intention for planned annual performance-based bonuses and ongoing recognition awards.”

The holiday bonus scheme may return in future years.