Forty employees have lost their jobs at the New York offices of McCann-Erickson Worldwide and its media division Universal McCann, following cutbacks in clients’ spending.
Between them the offices employ a total of around 1,300 staff and the losses, effective immediately, will be felt across all departments.
The agency refused to comment on which clients were cutting back their expenditure – it currently holds accounts for Microsoft, General Motors, Coca-Cola and Burger King, and is defending the $30-$60 million duties for Coke-owned sports drink Powerade [WAMN: 17-Apr-01].
McCann also denied rumours that further layoffs will be announced within a fortnight.
News source: AdWeek.com