IPG begins workforce restructuring in India ahead of Omnicom merger completion

Earlier this month, the Competition Commission of India (CCI) approved Omnicom Group’s proposed acquisition of Interpublic Group (IPG), making India the tenth jurisdiction globally—and the seventh in a single week—to clear the high-stakes merger. While the detailed CCI order is still awaited, the approval removes a key regulatory roadblock to the deal’s global closure.

A month ago, exchange4media first reported the leadership reshuffle at IPG Mediabrands India, with Shashi Sinha and Amardeep Singh set to co-lead the group for the next three years. As per reports, this leadership transition is being accompanied by a broader workforce restructuring across IPG’s India operations, involving team consolidation and potential layoffs. The exercise is expected to impact multiple agencies under the group including McCann Worldgroup, FCB Group, MullenLowe Lintas, and Initiative Media as part of a global mandate to streamline operations and boost efficiency.

The merger process is expected to reach completion by the end of Q4 2025 with India being one of the key markets undergoing early realignment. If the deal goes through smoothly, it could set off a broader consolidation trend across the industry and prompt rival holding companies to fast-track their transformation plans.

As per reports, the restructuring in India has begun with non-creative functions such as finance, HR, and regional roles. While efforts are reportedly being made to preserve creative teams that are seen as the backbone of agency offerings, some redundancies may become unavoidable, especially in cases involving conflicting client portfolios.

Both companies operate a diverse portfolio of agencies in India across media, creative, and PR services. Together, they employ over 8,000 people in the country—making local integration a key priority.

The timing of the merger coincides with a period of robust growth for the Indian advertising market. According to the latest Pitch Madison Advertising Report, the Indian AdEx is projected to grow by 11% in 2024, reaching an estimated Rs 1.2 lakh crore by year-end. This positive outlook offers a favourable backdrop for consolidation moves, giving networks like Omnicom-IPG a strong runway to scale operations and deepen market penetration.

While Omnicom’s global revenue of $15.7 billion gives it a clear lead over IPG’s $10.7 billion, a 35% advantage—the dynamics in India are more nuanced. Here, IPG’s media and digital agencies, including Lodestar UM, Initiative, and Interactive Avenues, have established a stronger foothold. 

This positions India as a strategic exception, a market where the merger is expected to focus more on complementary strengths than sheer scale. Industry watchers anticipate a calibrated integration strategy, balancing dual-brand identities, phased restructuring, and leadership alignment tailored to Indian market realities.