Independent agencies seek competitive advantage as talent rejects WPP office mandate
WPP made a bold move last week as the first major advertising company to require its more than 100,000 employees worldwide to back to the office four days per week.
Five years after the pandemic, there are legitimate reasons to return. Following in the footsteps of other big companies, from Amazon to Toyota, WPP executives are eager to increase productivity, strengthen culture and make use of idle office space.
But the move rubbed shoulders with many employees who thrive working remotely or in a hybrid role, who have caregiving responsibilities at home, or who simply don’t appreciate being told where to work. A petition launched by WPP employees on Change.org Pushing back on the mandate has garnered more than 16,000 signatures so far.
WPP is not the only holding company pushing for a return to power. Publicis employees were asked to return three days a week, and dozens of them were fired at the end of last year for violation of policy. But none pushed the mandate beyond three days in person.
That contrasts with big clients including JPMorgan Chase, Google, IBM, Apple and Uber, which have ordered workers back to the office full time, with threats of job cuts for non-compliance.
There is no doubt that this aggressive mandate will push some WPP staff to seek more flexible employment alternatives – and the agencies that promote these policies could reap the rewards.
“A-plus talent has choices,” Jared Belsky, CEO of independent media agency Acadia, told ADWEEK. “They want to work where they feel empowered and confident. It’s hard to say “we trust you” and then say “we check your badges to make sure you’re here four times a week.”
An old-fashioned approach
Scott Brandon, CEO of the Brandon Agency, said WPP’s policy reflects an old-fashioned approach in an industry that thrives on evolution.
“Rigid mandates risk alienating top performers who know their best work is not confined to a cell,” he said. “The negative reactions here are not surprising: people are looking for agencies that prioritize results and culture over arbitrary rules. »
Jeff Levick, CEO of We Are Rosie, a fully remote company that offers brands flexible agency staffing, added that most return-to-office policies come from the CFO to justify expenses, but creatives often work better with flexibility.
Kandi Gongora, head of transformation and people at Goodway Group, added that the function mandates will also limit the ability of holding companies to hire top talent across the country.
“This ultimately leads to dissatisfied and unproductive employees seeking greater autonomy and far less access to incredible talent that exists outside of geographic barriers,” she said.
While there are valid reasons for people to be in the office, agencies should prioritize the most impactful times for people to come, whether that’s meeting with clients, brainstorming with their teams, to bring new business or build camaraderie, said Andrew Graff, CEO of independent agency Allen & Gerritson (A&G).
Mandates also need to be carefully considered, especially for agencies that have reduced their offices during the pandemic. WPP employees are already complaining about where they will work, as available offices and meeting rooms could be at a minimum, according to The drum.
These are all issues WPP will need to resolve as it manages the logistics of a return to the office.
Flexible workplaces have an advantage
Sasha Martens, founder of Sasha the Mensch, an international headhunting company, believes freelancers will benefit most from WPP’s mandate, while employees fear other holding companies will follow their lead.
“It is more likely that some of the larger companies will also advertise four days a week. This opens the door to more flexible and independent companies,” Martens told ADWEEK.
With Acquisition of IPG by Omnicom also scare off talents for fear of layoffs and changing priorities, independent agencies could have an advantage. Indeed, Belsky said Acadia has “already seen the resumes start to pour in, and I predict we’ll see more.”
Levick agrees that flexible businesses like his will benefit, as We Are Rosie has seen an increase in resumes in response to return-to-office mandates in the past. “We’re entering this new market where people can decide how they want to work and whether they want to go to the office,” he said.
Agencies say a return to power will foster the creative chemistry that happens when teams work together in person. But those who are flexible can still come together with intention, without telling employees what to do.
A&G redesigned its Boston and Philadelphia offices with flexibility and community in mind, inviting community members to share space with it.
“Your first space is your home. Your second space is the office. And the third space is the places where you gather and be social while still being able to do business,” said CEO Andrew Graff. “For a creativity-driven industry, I think we could be a little more creative in how we think about these policies or mandates.”
A balanced approach
Agencies are businesses, and real estate is a significant investment that they must justify. But disengaged talent can be just as costly in terms of lost innovation, lower morale and turnover.
“The future of our industry isn’t about going back to the way it was, it’s about finding sustainable solutions that support strong results and a workplace that works for everyone, everywhere” , said Brooks Luquire, CEO of Luquire Agency.
Although “human interactions breed creativity,” according to Devin Reiter, president of agency Fortnight Collective, and most agencies seek some level of return, flexibility is now an important differentiator.
“What the industry needs is balance,” said John Geletka, CXO and founder of Gelekta+. “People need to work together and work hard, but then they need space after long nights of work to spend time at home and take care of their lives.”