Japanese Advertising Major Dentsu Plans to Cut 3,400 Global Jobs - What's Behind This Layoff?

Dentsu Layoff: Japanese advertising major Dentsu Group Inc, said it would slash 3,400 jobs outside of Japan, which translates to 8 per cent of headcount in the region, as per an company statement dated August 14, 2025,

The advertising and public relations agency said the company achieved record-high net revenue and underlying operating profit” in the first half, however the growth, however, it's international business continues to witness negative growth in all three regions, resulting in an extremely challenging performance.”

Citing a “more slowly” recovering CXM unit, ongoing losses in creative, and macroeconomic uncertainty, Dentsu has lowered its full-year organic growth forecast to about zero percent.

The group recorded goodwill impairment losses of ¥86 billion in the Americas and EMEA, and will suspend its interim dividend.

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Hiroshi Igarashi, Dentsu’s President and Global Chief Executive, said the company had “already identified all necessary measures, including the headcount reduction of approximately 8 per cent (approximately 3,400 people) in the international business” as part of its plan to cut annual operating costs by about Rs 3,120 crore by 2027.

“I am acutely aware that reforming the international business is an urgent issue,” he said.

“In our international business, we will focus on fundamental improvement measures to restore its profitability and competitive advantage while striving to enhance the corporate value of the entire group, growing as One dentsu," he added.