IPG cuts 3,200 jobs, vacates offices ahead of Omnicom merger

Interpublic Group (IPG) has laid off approximately 3,200 employees this year as part of cost-cutting measures ahead of its pending $13.5 billion acquisition by Omnicom Group, according to the company’s most recent filing with the U.S. Securities and Exchange Commission.

The layoffs, which included about 800 employees in September, affected positions across executive, regional, account management, administrative, creative, and media production functions. IPG also reduced its global office footprint by about 730,000 square feet in 2025, including 135,000 square feet in the third quarter.

Total impairment costs related to staff reductions and real estate consolidation amounted to roughly $450 million for the year. Severance costs accounted for $177 million, while lease impairment costs totaled $108 million.

The reductions come as IPG prepares for its merger with Omnicom Group, which is expected to close later this month. The companies secured regulatory approval in September after agreeing to a consent decree barring the combined entity from directing advertiser spending based on political or ideological factors unless specifically requested by clients.

Announced in December 2024, the Omnicom-IPG merger is projected to yield $750 million in cost savings. IPG had previously implemented rounds of layoffs in March across its Mediabrands and Acxiom units, resulting in 2,400 job cuts in the first half of 2025.

Following completion of the acquisition, Omnicom is expected to unveil a new structure for the combined group, which may include consolidating or retiring some agency brands. The company has denied speculation that it plans to sunset the DDB network, stating that it is conducting “a rigorous and considered process” to determine the best structure for clients.

On Nov. 10, IPG reported its final earnings as a public company, citing a 5% year-over-year revenue decline globally.