BBH considers 3.5 per cent pay cut

by Noel Bussey, campaignlive.co.uk 27-Mar-09, 12:35

LONDON - Bartle Bogle Hegarty is asking its staff to take nine days unpaid leave a year, equivalent to a 3.5 per cent pay cut, to stave off the need for redundancies.

In an all-staff meeting last night, the agency senior management team made the offer to employees, who are currently deliberating whether or not to accept it.

Over the past week, the agency has also been offering staff voluntary sabbaticals of up to six weeks in length to take any time this year.

In the US, thousands of people have already been made redundant from agencies because of the recession. In the UK so far, however, redundancies have been fewer, although agencies including DDB, Abbott Mead Vickers BBDO and the Ogilvy Group have been forced to shed staff.

Comments

Kate Ritchie - 27/03/2009

sounds horrible. at least they have the option though. A cut is better than no job in this climate. The unfortunate thing is that it disproportionately affects those on lower incomes. senior staff should make more sacrifices.

Archie Strang - 27/03/2009

clever, creative thinking from a clever, creative agency that doesn't settle for the usual run of the mill solutions. i salute them in these difficult times.

Sam Ismail - 27/03/2009

Creative thinking? Financial service companies such as KPMG, auto manufacturers such as Vauxhall are but two examples of companies attempting to maintain headcount but reduce costs in the current climate. Does that make them more creative than others? It's becoming the norm for companies as a 1st response to dropping revenues. Totally agree with you Kate about how the ones who can least afford to are the ones most affected. I read an interview with Rory Sutherland where he said words of similar effect, it will be interesting to see if senior staff do make any kind of efforts to lighten the blow in the months to come. Times are hard and of course BBH should be saluted for not just slashing jobs but giving their employees other options.

John W. - 27/03/2009

Brilliant. Long live the socialist republic. I would hope that it would be at least on a sliding scale. Management can take a bigger cut, being that they have a larger buffer zone from being on the 'bones of their arses'. Nobody should be jumping ship as everyone is in the same boat.