In February, employment in advertising, public relations, and related services experienced a decline of 400 jobs, marking the first monthly decrease since the previous spring.
This decrease contrasts with the overall U.S. employment landscape, which saw a rise of 275,000 jobs in February, surpassing economists’ expectations and indicating the continued resilience of the labor market.
According to the monthly employment report from the U.S. Bureau of Labor Statistics (BLS), the unemployment rate increased to 3.9% in February from 3.7% in January, the highest since the beginning of 2022. However, it remains historically low.
Breaking down the numbers provided by Ad Age Datacenter:
- Advertising, PR, and Related Services: Employment in this sector stood at 519,200 jobs in February, a decrease of 400 jobs from January’s record high. This marks the first decline since March 2023, following a consistent upward trend that began in May 2023.
- Ad Agencies: Employment in U.S. ad agencies declined to 237,400 jobs in January, down from December’s all-time high of 238,600 jobs. This decline, while expected based on historical trends, saw a decrease of 1,200 jobs in January following a gain of 2,600 jobs in December.
REELated:
The BLS categorizes ad agencies, PR agencies, media buying, media reps, outdoor advertising, direct mail, and related services under advertising, PR, and related services. Ad agencies represent the largest segment, constituting approximately 46% of the total jobs in this classification.
Despite the challenges faced by media companies, ad-centric tech firms, and some agencies over the past year, the ad market has seen consistent gains, with an average monthly increase of about 1,700 jobs over the past six months.
While the February figures for ad agency employment are not yet available, historical trends indicate that ad agency employment typically declines in January compared to December figures.
The employment landscape in advertising, PR, and related services remains dynamic, reflecting both challenges and opportunities in the industry.
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