Christmas party redundancy

Chris Pash
By Chris Pash | 18 December 2023
 
Credit: Felicia Buitenwerf via Unsplash

Dentsu has been laying off staff again, this time Paul Murphy, the managing director, iProspect Melbourne.

The lay off came on the same day as the Christmas party, insiders told AdNews.

This follows reports of as many of 40 people being let go at dentsu mid year and more since, according to sources.

Murphy came to dentsu in November 2021 from independent Cummins&Partners where he was chief media officer.

Before that he was client side as national media manager at Carlton & United Breweries.

“We thank Paul for his efforts in leading the team over the past two years. This is in no way a reflection on the direction of iProspect Victoria and we will be focusing on ensuring the team can best deliver for clients into the new year,” says Dentsu media CEO Danny Bass.

The Japan-based global advertising group has been reporting negative growth globally. And the business has also been losing ground locally. 

Dentsu posted a 6% fall in organic revenue for the September quarter. Its full year guidance has been cut to -5%.

The result and outlook is well below dentsu’s global peers. 

The company is in the middle of a global business management structure designed to accelerate growth.

Redundancies have also been reported in Asia.

High profile Australian industry figure Ben Shepherd has also left dentsu, resigning after less than a year as chief investment officer. He hasn't revealed his next steps.

Dentsu Australia's growth is running negative, according to papers associated with the company's September quarter results.

In the September quarter results announcement, dentsu didn't give specific numbers for major markets including Australia.

However, its presentation to market analysts included two charts, showing "organic growth of major markets" over the three months and for the first nine months of the financial year.

Over the three months, Italy and Spain are the only markets showing greater than 5% organic growth.

Canada, Japan and the Netherlands are between 0% and 5% growth.

Australia, Brazil, China, France, Germany, India, Norway, Poland, Sweden, Switzerland, Thailand, UK and the US are all "Less than (5)%".

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