Dentsu International revealed in a Tokyo Stock Exchange filing on Monday that it will work to eliminate 12.5% of its 46,560-person workforce, totaling a loss of about 6,000 roles, as part of its ongoing restructuring to reduce its agency brands from 160 to just six. The Financial Times first reported the job cuts.
A Dentsu spokesperson attributed the staff cuts as well as its larger restructuring to the negative impact brought on by the pandemic. The holding company said its £640 million ($855 million) restructuring will involve reducing redundancies across its international business—the group formerly known as Dentsu Aegis Network composed of agencies like 360i and Carat, which is owned by Japanese parent Dentsu Group.
"In our [first half] 2020 financial results, we announced a comprehensive review of our business," the spokesperson said. "As we work through this process, we will take the critical and necessary steps, that many other companies are [taking] to address the impacts the global pandemic has had on our business and ensure we work closely with our people and our clients as we move through this period of accelerated transformation."