The Week: Bartle Bogle Hegarty forced to axe 10 per cent of staff

Bartle Bogle Hegarty is making 10 per cent of its staff, about 40 people, redundant.

The cuts will be made across all departments and at all seniority levels. The consultation period will start immediately and will last between six to eight weeks.

The move comes just five months after the agency instigated a 3.5 per cent pay cut across the business as a way to try to stave off the need for redundancies. BBH now plans to cancel the pay cut at the end of 2009 and will offer anyone made redundant their nine days' pay back.

BBH said that the cuts have to be made because of the impact of the recession and also as part of a broader structural review.

Ben Fennell, the chief executive of BBH, said: "It's a very difficult market at the moment. However, the consultation is also part of a larger structural review that will see us becoming more commercial by embedding data into our strategy, embedding more technology and technologists into our creative offering and creating a faster and leaner delivery system for our clients."