Omnicom swings the axe: 4,000 job cuts, iconic agency names retired after IPG takeover

Omnicom is set to eliminate more than 4,000 jobs and shutter several of the advertising industry’s most storied agency brands as part of an aggressive restructuring drive following the completion of its $13bn acquisition of Interpublic Group (IPG).

The deal cements Omnicom as the world’s largest advertising holding company by revenue, overtaking Publicis and pushing WPP into third place, re-centring global advertising power in New York’s Manhattan, the symbolic home of the original “Mad Men.”

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As part of the integration, as per FT, Omnicom will retire several historic agency brands.

DDB (Doyle Dane Bernbach) — founded in 1949 and synonymous with William Bernbach’s creative revolution — and MullenLowe will be folded into TBWA. Meanwhile, FCB, one of the industry’s oldest agencies with roots dating back to 1873, will be absorbed into BBDO, according to Omnicom executives.

Omnicom chiefJohn Wren reportedly confirmed that more than 4,000 roles will be cut, largely across administrative functions but also including leadership positions. He stressed the cuts must be viewed in the context of similar restructuring underway at competitors, including WPP under new chief Cindy Rose.

“There’s efficiencies — they come in the form of labour and other things,” Wren said, adding that anyone generating revenue before December last year remains in a strong position.

The job reductions follow thousands already announced across both companies. IPG cut 2,400 roles in H1 2025, on top of 4,000 last year, reducing headcount to about 51,000. Omnicom cut 3,000 roles last year, bringing staff to roughly 75,000.

Financial upside and strategic rationale

Wren said the merger’s financial benefits would exceed the $750mn in annual cost savings previously indicated, with details to be shared early next year. The combined group aims to deploy increased free cash flow to strengthen and scale priority capabilities, including technology and AI.

The consolidation comes amid mounting competition from Google and Meta, as well as pressure from AI, which is reducing production costs and challenging traditional creative value. Omnicom shares have declined 17% this year.

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While several creative agency networks will disappear, McCann will continue to operate, along with OMD, FleishmanHillard, Golin, Weber Shandwick, and others across media, precision marketing, production, public relations, and branding. Wren signaled that more consolidation will occur in creative networks than in media buying units.

Leadership structure takes shape

Omnicom’s Philip Angelastro will remain CFO of the combined company, while Daryl Simm will share the president and COO role with Philippe Krakowsky, former IPG CEO.

Wren emphasized that fears around talent loss and client conflict had not materialized, “Despite all the early predictions about talent loss, we have not seen key departures or had to drop clients.”

Omnicom advertising chief Troy Ruhanen said the merger was not about eliminating competition, but rather building the capability required to serve clients more effectively, FT added.

The combined group will also unify access to technology platforms and AI investments, which Wren said will help deliver the largest media capability globally and create a “huge opportunity” for the company.