Why Are Agencies Struggling to Hire Talent and What You Can Do About It?

Having spent eight years agency-side, including three years as a search lead for Google’s flagship accounts, I’ve witnessed firsthand the complex challenges of hiring in our industry.

The situation has become particularly dire for channel and account leads, who are experiencing the highest levels of burnout.

Let’s examine why hiring has become such a challenge.

It’s a straightforward but uncomfortable truth – Your team size directly correlates with agency fees. In the competitive race to win pitches, agencies often propose lower fees to secure clients.

The result?

Restricted budgets for hiring and developing talent.

As a channel or account lead, you’re likely feeling this squeeze acutely, managing increasing workloads with limited resources.

Client marketing budgets have remained flat or decreased since Covid, directly impacting agencies’ ability to hire.

Many agencies have implemented hiring freezes, leaving existing teams to shoulder ever-increasing workloads. Sound familiar?

Talented professionals, particularly at the director level and above, are increasingly making the choice to not continue working at digital agencies. Rather, they pursue in-house, PMM or rep roles.

Why?

They are fed up with the red tape, meetings about meetings, under-resourced teams (the irony), and the unsustainable workload. They have become tired of the daily agency grind.

Those who choose to stay in agency roles are rightfully demanding higher compensation for the challenges they know they’ll face. However, agencies, already operating on tight margins, often struggle to meet these salary expectations.

As experienced professionals exit the industry, there’s mounting pressure to fill senior positions—ready or not.

Hiring managers face a difficult choice: take a chance on less experienced candidates and hope they learn quickly or hold out for more seasoned professionals in an increasingly shallow talent pool.

While these systemic issues might seem overwhelming, there are practical steps you can take to protect yourself and your team.

Create clear progression paths and development opportunities. When your team feels valued and supported, they’re more likely to stay and grow with you.

Even in challenging times, prioritise creating an environment where work-life balance is respected and encouraged. Culture starts with you.

Don’t let overwhelming workloads prevent you from focusing on your professional growth. Regular discussions with your line manager about stretch opportunities are crucial for your progression.

Establish strong boundaries around your workload. There are only so many hours in the day, and you have finite time and energy.

If you’re nodding along to these challenges, know this: your struggles don’t signal failure—they indicate you’re ready for a new approach.

The statistics paint a stark picture: with a 32% industry churn rate and 56% of professionals worried about burnout, you’re not alone in feeling these pressures. But there’s a way forward that doesn’t require sacrificing your wellbeing for your career.