Layoff of 4% Staff Members Announced by Droga5 New York

Layoff of 4% Staff Members Announced by Droga5 New York

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Droga5, an advertising agency, has shed some staff in its New York office, as we've been tipped off.

This round of job cuts took place earlier this week, affecting employees of various seniority levels across creative, data strategy, comms strategy, and accounts.

The downsizing comes at a time when Kimberly-Clark, a longstanding client, initiated a global review of its agency relationships. In 2019, Droga5 and Accenture Song were appointed as Kimberly-Clark's agencies of record for its childcare brands. Rumors have been swirling that Huggies, a Droga5 account, could be on the chopping block, according to a report in AdAge back in October.

The agency has also experienced a wave of high-profile executive departures in the US over the past year.

Susie Nam, who once served as the agency's Americas CEO, jumped ship in December 2023, settling at Publicis Creative U.S.

While Droga5's recent layoffs have stirred speculation, it's worth noting that, as of April 2025, there isn't any publicly available information about the 2023 layoffs at Droga5. However, let's cast a glance at some recent industry trends.

For instance, in 2024–2025, McCann Worldgroup (an IPG-owned sibling of Droga5) underwent workforce reductions that affected around 1% of its 12,000 global employees. Notable exiters included Stephanie Nerlich (global president), Shayne Millington (NY Chief Creative Officer), and Suresh Raj (NY Chief Growth Officer). These layoffs were part of IPG's broader cost-cutting efforts amid speculations of Omnicom's potential acquisition of assets.

Droga5 itself kept rather quiet about layoffs during this period, focusing instead on innovative projects like a tree-AI project led by Evan Greally, the Head of Tech & Innovation at Droga5, at Trinity College Dublin. This project used sensors and on-device AI to translate environmental data into natural language.

However, it's hard to draw definitive parallels between Droga5's situation and that of McCann Worldgroup. Industry trends suggest that holding companies have been prioritizing client-facing roles while trimming non-revenue-generating positions. But the exact nature of Droga5's cost-cutting measures remains to be seen.

For the most recent and reliable updates on Droga5, it's recommended to check official statements or employee forums such as Fishbowl, which, at the moment, lack specific mentions of Droga5's 2023 layoffs.

1. The executive Departure of Susie Nam, who was previously the Americas CEO of Droga5, occurred in December 2023, marking a significant shift in the agency's leadership.
2. In October of 2024, a report in AdAge hinted at potential layoffs at Droga5, with rumors swirling about the possible loss of the Huggies account.
3. The advertising industry, including Droga5's parent company, IPG, has been experiencing a wave of layoffs, with McCann Worldgroup, an IPG sibling, reducing its workforce by about 1% during the 2024–2025 period.
4. Despite the recent layoffs at Droga5, the agency has remained focused on innovative projects such as the tree-AI project led by Evan Greally, showcasing a commitment to ongoing business development and technological advancement.

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