HeadlinesBriefing favicon HeadlinesBriefing.com

WPP cuts 1,000 more jobs amid AI-driven restructuring

Financial Times Companies •
×

WPP is cutting up to 1,000 more jobs by year‑end as the UK advertising agency accelerates restructuring under new boss Cindy Rose. The move adds to thousands of layoffs across the sector, where firms are slimming down as clients trim budgets and AI tools boost efficiency. Since early 2025, WPP has shed about 11,000 positions, leaving a headcount of 97,388 as of June 30 2026. The firm also plans to pare its property portfolio, possibly reducing three Thames‑side London buildings to two. Industry-wide cuts have hit agencies like Omnicom, Dentsu, and IPG, with Omnicom aiming for a staff total of around 105,000 and Dentsu targeting about 3,400 cuts. WPP is considering selling non‑core assets, including its 40 % stake in Kantar and its PR arm Burson, to boost margins. Shares rose a quarter in August after Rose’s turnaround plan showed early gains.

The broader trend reflects advertisers’ shift toward AI‑driven content creation, prompting agencies to restructure with efficiency in mind. While direct AI‑related layoffs remain limited, executives cite AI tools as a factor in the new cost‑saving drives. Industry figures from the Financial Times show at least 18,000 jobs cut in the past 18 months, with more likely pending.

Rose, a former Microsoft executive who took the CEO helm last September, is steering a strategic review that aims to simplify WPP’s operations and improve profitability. The company forecasts at least £200 million in sales this year, with potential upside from asset sales. Analysts view the job cuts and property reductions as part of a broader effort to adapt to a rapidly evolving advertising landscape.

The ongoing restructuring underscores how traditional agencies are balancing legacy services with emerging technologies to remain competitive in a market where AI is reshaping how brands reach audiences.