NEW YORK: Two Interpublic Group (IPG) agencies were forced to make
eeping layoffs in its tech areas last week.
TSI Communications will lose $10 million in IBM business
effective September 30, the day before new IBM contracts go into effect.
Big Blue, a 12-year TSI client, represented half of its billings. More
than half of its New York staff - 62 of 110 workers - and just over 20%
- four out of its 18 South San Francisco workers - have been told they
will be laid off at the end of September.
TSI president Kelly Fitzgerald said she was working to find positions
within IPG for laid-off workers. She praised sister agency Golin/ Harris
for helping her manage the process. "It's not easy to replace $10
million of business in a day, but we're looking forward to building the
agency back up," she said.
Layoffs at Weber Shandwick Worldwide have occurred in the Bay Area, as
well as in Cambridge, MA. WSW CEO Harris Diamond would not discuss
specifics besides saying cuts were in the tech sector. He said staff
cuts were in line with a fall in tech revenues.