Omnicom to slash 4,000 jobs: Media giant consolidates key agencies; AI disruption shapes industry landscape

Omnicom will lay off more than 4,000 employees and merge several prominent advertising agency brands following its $13 billion acquisition of rival Interpublic Group.The job cuts will primarily affect administrative roles, with some leadership positions also impacted, reported the Financial Times on Monday, citing company executives.Omnicom CEO John Wren said. “The financial benefits would surpass the $750 million in annual cost savings initially projected to investors,” he added. Wren will remain chair and chief executive of the combined entity.The move comes as the advertising industry undergoes a major transformation, with artificial intelligence reshaping creative production and tech companies like Meta enabling businesses to produce ads faster and at scale. Omnicom’s acquisition of IPG is part of a strategy to regain momentum amid fierce competition from French ad giant Publicis and UK-based WPP.As part of the integration, creative agency DDB, founded in 1949, and marketing agency MullenLowe will be merged into Omnicom’s TBWA network. FCB, one of IPG’s largest global agency networks with roots dating back to 1873, will be absorbed into Omnicom’s BBDO, the report said.Executives noted that Omnicom’s restructuring should be seen in the context of similar changes at rivals such as WPP, which is also expected to reduce staff under new CEO Cindy Rose, according to the Financial Times.Interpublic Group had already cut about 3,200 employees in the first nine months of 2025, while Omnicom itself reduced its workforce by 3,000 last year, bringing total staff to roughly 75,000, the report added.