The World: New York - Unilever asks roster shops to help ease recession

Unilever is asking its roster shops to accept less profitability up front and is scrutinising the hourly rates that it pays its agencies as part of a number of new changes brought in to help the company get through the recession.

The corporation, which spent approximately $7.2 billion on advertising and promotions around the world last year, has told agencies that its new up-front profit margin will be set at 5 per cent, rather than the 10 per cent that was previously in place.

It is also set to extend the time that it takes to pay its bills, although this is thought to be open to negotiation.