WPP 'to lay off thousands'

WPP, the world's second-largest advertising agency, is reportedly preparing to lay off thousands of staff as the economic downturn hits demand in its established markets.

According to unnamed sources, the company is preparing to axe several thousand staff, mainly in western Europe and in North America, where the slump in demand has been severe.

Meanwhile, WPP plans to continue to expand elsewhere, with recruitment in South America, eastern Europe and Asia.