Connect with us

Business

Omnicom to Lay Off 4,000 Amid Advertising Shakeup

Published

on

Omnicom Layoffs Advertising Industry News

Bengaluru, India — Omnicom announced on Monday that it will reduce its workforce by more than 4,000 employees following its $13 billion acquisition of rival Interpublic Group (IPG). The decision comes as the advertising industry grapples with significant changes brought on by artificial intelligence and increased competition from tech giants like Meta.

Omnicom’s integration of IPG, which was finalized in November, aims to give the company a competitive edge against rivals such as French advertising powerhouse Publicis and UK-based WPP. In this restructuring, well-known agencies DDB, established in 1949, and MullenLowe will be merged into Omnicom’s TBWA network. Additionally, FCB, a global advertising agency under IPG founded in 1873, will become part of BBDO, another Omnicom brand.

According to Omnicom, the layoffs primarily target administrative roles, with some leadership positions also being affected. The company stated that post-layoff, 85% of remaining roles will be client-facing, while 15% will remain administrative. These job cuts are expected to yield over $750 million in annual cost savings.

“We will be delivering this news as promptly as possible to maintain transparency and privacy for those affected,” Omnicom said in a statement. This move mirrors similar layoffs announced by WPP under its new leadership, as the advertising landscape shifts in light of evolving technology.

Analyst Ross Benes from eMarketer commented on the situation, stating, “Advertising and technology sectors are undergoing contraction now. It’s a tough job market. This announcement makes the market even more crowded.” Over the last year, Omnicom has already cut around 3,000 jobs, reducing its workforce to approximately 75,000.

According to regulatory filings, Interpublic Group let go of about 3,200 employees during the first three quarters of 2025. This latest development reflects a continuing trend of restructuring as companies adapt to changing market conditions.