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Wieden+Kennedy Portland, the headquarters of one of the world’s leading independent creative agencies, is laying off 90 employees, amounting to a significant 20% reduction in its workforce
Portland’s president stated, “Layoffs are terrible, and there’s no way to sugarcoat it. However, we’ve reached a point in Portland where changes are necessary to better align with the way our clients operate. Parting ways with any of our team members is always a last resort, and we don’t take this decision lightly. Our current focus is on supporting everyone through this transition.”
This need to “align better with client work” likely reflects a shift towards project-based work and the preference for clients to have multiple agencies available, each pitching for major assignments. Additionally, W+K Portland is now being overshadowed by W+K New York, which currently has 479 employees compared to Portland’s soon-to-be-reduced 440.
Large, established creative agencies, especially those owned by holding companies, are facing widespread challenges, and the rise of AI is expected to exacerbate these difficulties. Seeing W+K Portland make such cuts, even reluctantly, may encourage companies like WPP to implement significant changes as well.