Will British Ad People Automatically Switch Agencies Along With Accounts?

From The New York Times:

When an advertiser’s relationship with its agencies goes sour, a breakup is often the best course for everyone involved. But some people in London’s marketing world are now concerned that a new regulation could threaten this easy-come, easy-go existence.
Lawyers said the rule, which went into effect in April, could require an advertising agency taking on new business to hire employees who worked on the account at the client’s former agency. While the law is intended to protect workers, lawyers say that it also threatens to make advertising account shifts prohibitively expensive or simply counterproductive.
In theory, the regulation could also affect other professional services like law, accounting and consulting. But the rule specifies that the affected employees must work “wholly or predominantly” for a single client, something that is more likely to happen in marketing than in many other professions. Indeed, in an effort to win more business from multinational marketers or to serve their needs more efficiently, many agencies have set up teams or even stand-alone units dedicated to a specific client.

Wow. Any British AdPulpers out there want to comment on this? Is this a big issue over there?



About Dan Goldgeier

Dan Goldgeier is a Seattle-based freelance copywriter with experience at advertising agencies across the U.S. He is a graduate of the Creative Circus ad school, and currently teaches at Seattle's School of Visual Concepts. Dan is also a columnist for TalentZoo.com and the author of View From The Cheap Seats and Killer Executions and Scrubbed Decks.