The US advertising industry has marked its biggest decline since January 2021 after losing 2100 jobs in March

Based on the data shared by the United States Bureau of Labour Statistics, the number of people working in advertising, public relations, and other such jobs has dropped by 2100 since March 2023. It is a big change as compared to the previous month, in which the number of people working in these jobs remained the same. It is also the biggest decrease in the number of jobs since January 2022.

The bureau revealed that there were almost 492,000 similar jobs available last month. The United States added somewhere near 236,000 jobs in March 2023, which is the lowest number of jobs since the end of 2020. Data shared by the bureau showed that almost 155.6 million people in the U.S. have jobs. By comparing the data of March 2023 with that of February 2020, just before the COVID-19 pandemic took over the world, it can be seen that the U.S. was able to recover all the jobs that were lost at the time of the pandemic.

The number of people having jobs in advertising has been changing a lot, either going up or down. The number of jobs went down in September but went up in October; after that, the numbers kept falling in November and December and were up again in January 2023. The figure remained stable in February. The number of jobs kept increasing from 2021 until mid-2022, and by August 2022, the figure started to remain stable. The drop in the number of jobs observed in November 2022 was the largest drop recorded. By December 2022, the number of people working in the U.S. advertising industry had gone down by 3500.

Advertising agencies have a big impact on the overall advertising industry, public relations, and related services sector. Forty-six percent of all the jobs are held by this sector. In February, the number of jobs in advertising agencies went up to 226900, as compared to October, when there were 228700 jobs.

The agency is currently facing a number of issues, such as strict regulations or measuring the effectiveness of ads. Furthermore, companies that spend a lot on advertising have started to spend less. In addition to this, AI-generated ads have started to minimise human input, leading to a decrease in non-essential roles.

It is still uncertain whether the decrease in advertising employment is a long-term change or just a temporary one. All that’s left to see is whether the number of people working in the advertising sector goes up or down.

H/T: Insider Intelligence
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by Arooj Ahmed via Digital Information World