Jobs axed as Hall rejigs Charlotte St

Saatchi & Saatchi has axed 10 per cent of its London staff as part

of a sweeping restructure designed to cut costs and revitalise the


The new chief executive, James Hall, denied he was acting on orders from

the network's worldwide chief executive, Kevin Roberts, to reduce costs

by 10 per cent. He would not confirm exactly how many people have lost

their jobs, but it is thought the figure nears 50.

Hall's plans, implemented just five weeks after he was parachuted in

from Saatchis' New Zealand operation, include "de-layering" the agency's

account handling department, moving the agency's healthcare arm to

Saatchi Vision, axing its in-house PR and moving the Cause Connection

charity arm to Octagon Media.

Last week Saatchis confirmed it was moving its media planning into

Zenith, leaving only Carlsberg Tetley in-house, with the subsequent loss

of 12 jobs, including the media director, Ron Mudge.

The three managing partner roles within the main agency have been

abolished, leaving a flatter account management team of 18, reporting

directly to Hall.

"We need to get rid of our non-core operations to focus on making a

leaner and faster structure," he said. "Without layers of management, we

can concentrate on the real issues - our clients' work." He said the

managing partner role - which split up the agency into small

"mini-agencies" - was now redundant.

Although Hall refused to confirm his promotion, it is thought the former

managing partner, Stef Tiratelli, will take a new-business role, working

with the executive chairman, Tamara Ingram, as well as running the

Telewest account. It is unclear what roles the other managing partners,

Paul Tredwell and Jon Rudaisky, will take. The marketing director Steve

Colgrave will continue in his current role.

Other senior management will remain unchanged, with the executive

creative director, Dave Droga, and the planning director, Kevin Dundas,

working alongside Hall and Ingram and reporting to Roberts.

It is thought five people will leave the creative department, four of

whom worked on healthcare clients. Separately, the creative director

Matt Ryan is leaving to direct full-time.

Hall, who started as the chief executive in April, was earmarked to head

the London office after he put the Wellington and Auckland operations

back on the creative map.

The redundancies are the most severe to hit the advertising community

this year. McCann-Erickson has laid off 17 people, Ogilvy & Mather, 19,

and BMP DDB, 11 in recent weeks.