The news: Omnicom and Interpublic Group eliminated roughly 8,200 roles in 2025, a 6.4% reduction in combined headcount ahead of completing their merger and December restructuring.

• At the end of 2024, the two companies employed 128,200 people combined; by year-end 2025, that total stood at 120,000, according to Omnicom’s annual report.
• IPG cut 3,200 roles in the first nine months of 2025 after losing major accounts; Omnicom likely shed close to 5,000 roles across the year.
• CEO John Wren announced 4,000 redundancies in December as part of a broader overhaul tied to the IPG integration.

This follows a second consecutive year of workforce contraction; combined headcount stood at 133,300 at the end of 2023 when merger discussions began.

The reductions come amid mounting cost pressures and accelerated AI adoption across agency functions.

Why it matters: This is not just merger cleanup; it reflects a structural shift in how agencies operate.

• Omnicom doubled its synergy target to $1.5 billion by 2028, with $1 billion expected from labor-related savings.
• The company plans additional offshoring, outsourcing, and disposals of non-core businesses. Omnicom has previously indicated headcount could fall to roughly 105,000 by mid-2028, implying a further 15,000 reductions.

AI is a central force behind the reset.

• Ninety-one percent of US senior agency leaders expect AI to reduce headcount, and 57% have slowed or paused entry-level hiring, per Sunup.
• All surveyed agencies report using AI in some capacity; many say AI performs tasks at a mid-career professional level.