Omnicom employees, now including those from the former DDB Chicago and FCB Chicago, are heading into December with tough news. The global holding company said Monday it will cut more than 4,000 jobs and sunset several long-standing agency brands as it begins integrating Interpublic Group, the rival it acquired for $13 billion in November.
For Chicago, the announcement hits especially close to home. The city has long been home to some of IPG’s most storied agencies, including FCB Chicago, one of the oldest networks in the world, originally Bayer, Bess Vanderwalker, now being absorbed into BBDO. DDB, another major Chicago legacy player with deep roots in the city’s creative history, first as Needham and then DDB Needham, will be folded into TBWA.
The move comes at a time when the ad industry is undergoing a significant upheaval. Artificial intelligence has accelerated production cycles and lowered barriers for brands to generate their own content. Tech giants like Meta continue to make ad creation faster and cheaper, putting pressure on agency holding companies to consolidate and sharpen their offerings.
Omnicom said the majority of cuts will come from administrative roles, though some leadership positions will also be eliminated. After the reductions, the company expects its workforce to be roughly 85 percent client-facing and 15 percent administrative.
A source inside FCB Chicago told sister publication Reel 360 News that the layoffs were “brutal,” with automated calls reportedly informing groups of about 100 employees at a time that they were being terminated.
Omnicom expects more than $750 million in annual cost savings from the restructuring, exceeding earlier projections. “We will be delivering this news as promptly as possible to maintain transparency and privacy for those affected,” the company said.
The cuts mirror turbulence across the industry. WPP is planning job eliminations under new CEO Cindy Rose, and Interpublic laid off roughly 3,200 employees in the first nine months of 2025. Omnicom reduced headcount by about 3,000 last year, bringing its workforce to roughly 75,000 before the IPG deal.
“Advertising and technology sectors are undergoing contraction now. It’s a tough job market,” eMarketer analyst Ross Benes told the Financial Times. “This announcement makes the market even more crowded.”
The Financial Times first reported the developments on Monday.
ALSO READ:
What the Omnicom-IPG merger could mean for Chicago’s ad scene
