Two more Omnicom shops and an independent are the latest agencies who have been impacted by COVID-19 and forced to layoff or furlough staff and make salary cuts. Austin-based GSD&M has reportedly moved ahead with company reductions across the agency. It joins BBDO and DDB which also made recent changes.
“We are adjusting our business to meet the changing needs of our clients,” the agency said in a statement obtained by AgencySpy. The report says no additional information (ie how many employees were impacted) was provided.
The cuts come a week after Omnicom CEO John Wren outlined a series of cost-saving measures the holding company is taking in response to the coronavirus pandemic, including furloughs and layoffs across many of its agencies.
Zimmerman Goes Through Round of Reductions
Florida-based Omnicom agency Zimmerman Advertising has also reduced staff in response to the global health crisis.
The retail agency in Fort Lauderdale, Fla., has reportedly implemented cost-cutting measures including furloughs, layoffs, salary and schedule reductions.
A source told AgencySpy that Zimmerman’s operations followed a much smaller earlier round of layoffs due to decreases in client spending.
According to Forbes, the global health crisis continues to force retail stores to close, signaling an unprecedented disruption of commerce. Retailers and brands face an overwhelming cache of challenges around health and safety, supply chain, labor force, cash flow, consumer demand and marketing.
Both GSD&M and Zimmerman moves come on the heels of Omnicom CEO John Wren outlining a series of cost-cutting measures across the holding company’s agencies one week ago.
Furloughs at Periscope
Minneapolis agency Periscope has implemented a round of furloughs across the agency.
Staggered furloughs were reportedly implemented across the agency in mid-March for a period of three months, with employees being asked to rotate a week of furloughs every fourth week.
The agency also made a series of salary cuts.
Reel 360 wishes all of the best during these trying times.