The J. Walter Thompson sexist and racist scandal that led to the ousting of its global CEO Gustavo Martinez, is seeing holding company CEOs not only introspect on some of the issues facing the industry globally but also begin a word war between WPP CEO- Sir Martin Sorrell and Publicis Groupe CEO-Maurice Lévy.
From passing remarks such as “ignoring facts” and being a “hypocrite”, the two industry stalwarts are in news for reasons other than the issue at hand itself.
At an industry conference in Miami last week, Mr Lévy, familiar with the details of the complaint, referred to the instance as a “one-man mistake”. His comment as quoted in media reports was “I don’t believe what happened at JWT is exemplary of what’s happening in our industry”. Mr Lévy later clarified in a memo sent out to Publicis Groupe staff that the content of the complaint was of an extreme that could not be the nature of this industry. The comment however did not go down well by many who were citing the Erin Johnson case as an example of the grave issue that the industry has not only failed to address but in some cases has also shrugged off as demons of a less progressive world.
Even as the lawsuit against J. Walter Thompson has been filed in the United States, where the complaint had originated, sexist and racist bias is an issue across the globe –– being more prominent in specific markets. In the Middle East and North Africa (MENA) region, gender bias as an issue has been tabled at very limited forums despite a focused move towards women empowerment.
WPP is J. Walter Thompson’s parent company. Mr Sorrell’s reply to Mr Levy’s comment at the event was “I disagree violently with what Maurice said about it being a one-off. Maurice has a habit of ignoring the facts”.
Mr Lévy addressed the feedback that his comment had generated in an internal memo to Publicis employees on March 30. Mr Lévy clarified his statements in a memo:
Bonjour,
Last week’s talks at the 4A’s Transformation 2016 conference in Miami and the larger discussion that has since developed on social media and in the press, have, without question, called for a clarification of my own.
When I replied to Jim Rutenberg’s question, I focused on the JWT problem, a WPP agency, and the allegedly racist, anti-Semitic, and sexist comments made by its CEO, such as they were reported in the complaint filed by Erin Johnson (case 1:16-cv-01805 filed on 10 March 2016 at the United States District Court for the Southern District of New York: I encourage you to read the complaint, it is appalling). I condemned them very strongly. I must say that his comments, if true, are jaw dropping. To such an extent, that in my opinion, they can only represent the unforgivable fault of one man, as opposed to an industry-wide evil. On this point, I maintain my position, and I dare hope that I am right – I can’t for one second imagine that it is common in our industry (or in any other) to make jokes at every turn about women, blacks and Jews, and to speak of a subject as sensitive as rape, as it was depicted in Erin Johnson’s complaint. Should a case of this nature be brought to our attention in our own Groupe, we would react strongly and without delay.
I am not wide-eyed, and I am well aware that striking the deserved balance is still some distance away. We know there is a lot of work left to be done, across the industry, with regards to compensation, mobility, promotions, leadership and hiring.
On gender equality and diversity, Publicis, its founder and myself, are a part of those who have always been on the forefront of the fight for equal treatment, hence our mantra “Viva La Difference”. I recalled that the first female CEO ever within our industry was appointed by Marcel Bleustein-Blanchet, founder of Publicis, in.1938. This may seem anecdotal, but it is far from being so – eleven years before the landmark book The Second Sex by Simone de Beauvoir was published. Our Supervisory Board is equally made up of women and men and is chaired by a woman, an intellectual, whose written and spoken statements on feminism go without mention. We have 38% women in executive positions – even if I know we must go the extra mile so that this number is higher, especially for top positions. Hence my pride that our largest agencies are managed by women. Our commitment on this front is strong, and we hope to be even more exemplary, working hard to achieve this goal. Thus, our support of initiatives that engage and celebrate women and diversity in all its forms within the Groupe, notably Viva Women and Égalité (Equality, an LGBT movement). Thus, our financial support of the Women’s Forum that promotes gender equality and tackles societal challenges from a women’s perspective. We are not perfect, far from it, but we are determined to take further action for as long as necessary.
As far as Martin Sorrell’s comments, I must say that he once again showed his extraordinary level of hypocrisy. I mean, really? This situation began in his company, in one of his largest agencies, with a CEO, therefore someone who is meant to lead by example. His colleague did everything possible to have her story be heard, without it being so, even from the very person who should listen – the Chief Talent Officer. A situation that has been going on for over a year, and his response as CEO of the largest advertising company globally was nothing but a dilatory tactic, attacking ad hominem one of his colleagues during a flagship industry event, while my name was neither mentioned nor implied in the question.
We could have expected more dignity from him, especially as during my interview, I refrained from damning WPP, whose reaction in this affair is all but glorious. I know that we don’t have the same values, no matter the light we shed on our behaviors. Our actions are living witnesses to our values, whether in business, family and moral matters, or in regard to compensation. Rarely will Martin Sorrell have so well deserved the description given to him by David Ogilvy.
Facts truly are stubborn things. For Publicis Groupe, gender equality and diversity across the industry have mattered for decades and we will continue to pursue them restlessly. Our values are strong and generous – leaving no room for such behaviors that tarnish our industry.
Best,
Maurice Lévy
Soon after, WPP issued a response stating, “From what we’ve seen and heard, his comments, which were publicly reprimanded immediately by Nancy Hill, head of the 4As, stirred up a hornets’ nest, which Lévy is now attempting to deal with. Lévy is clearly attempting damage limitation for ill-judged remarks at the 4As Conference. We are glad to hear he is attempting to reverse his original position. After all, a foolish consistency is the hobgoblin of little minds.”
While the warring words may be amusing to some in the business, the only clear silver lining is that the leaders are forced to take a more serious note of an issue that very few in the industry are ready to admit is a problem. Holding companies such as the IPG, interestingly where Mr Martinez was employed with a year ago, have been speaking on gender equality and diversity issues for long now, not only in global industry forums but also in practices in the agency. The holding company’s CEO, Michael Roth, has led some of these discussions ensuring his top managers across businesses too are involved in IPG’s endeavor. But there aren’t too many such examples.
The point to note is that whatever it is that the industry has been doing to solve the issue is not necessarily working. That is the only reason why there was still place for a lawsuit such as this, directed to one of the biggest agencies in the largest holding company of the world. The time calls for different, stronger measures to bring about equality in the industry.
