The US advertising industry loses staff for the sixth consecutive month as the market faces a structural crisis

The advertising, PR and marketing market in the United States continues to show negative dynamics: in May 2025, another 2.1 thousand jobs were cut in the industry, according to a number of specialized analytical publications. This is the sixth month in a row that there has been a net decline in employment in the advertising industry — and the lowest level of staffing in the last three years.

For comparison, in April, the losses amounted to about 900 people, and in March-about 600. Thus, the total reduction in employment for six months indicates systemic changes in the strategy of managing marketing resources on the part of large brands and agencies.

Amid rising employment in other sectors

The contrast is particularly noticeable against the background of the overall dynamics of the American labor market: in May, 139 thousand new jobs were created in the country, and the unemployment rate remains relatively stable — 4.2%. However, the advertising industry remains the only major sector of the US economy where there is a steady decline in the number of employees.

Reasons: economic instability, AI and automation

Experts attribute the situation to several key factors::

• Reduced marketing budgets amid economic uncertainty and cautious investor behavior;
• Digital transformation and automation, including the introduction of artificial intelligence-based systems that reduce the need for traditional positions;
• Consolidation of agencies and elimination of duplicate functions, especially within the framework of combining media and creative divisions.

These trends lead to a reallocation of resources and a reduction in the demand for specialists in classic advertising areas.

The prospects: adaptation or stagnation

According to analysts, the US advertising sector is experiencing not just a cyclical decline, but a structural shift that requires rethinking business models and investing in new competencies-primarily in the field of data-driven solutions, generative AI and digital analytics.

While other industries-such as healthcare, hospitality and social services — continue to expand employment, the advertising industry is at a crossroads of transformation: the choice between adapting to new realities or risking further loss of position.