Disney is set to initiate the process of laying off more than 7,000 employees this week as part of a significant cost-cutting measure that will have an impact on all of its major divisions. The affected employees will receive notices regarding the elimination of their positions.
Disney CEO Bob Iger has announced in a memo to employees that the company will undergo significant staff reductions, starting today in three different phases. The plan to cut Disney’s overhead was initially disclosed on February 8th, and it is expected to impact all levels of the organization, including senior management and lower-level executives.
“The difficult reality of many colleagues and friends leaving Disney is not something we take lightly. This company is home to the most talented and dedicated employees in the world, and so many of you bring a lifelong passion for Disney to your work here,” Iger wrote.
“That’s part of what makes working at Disney so special. It also makes it all the more difficult to say goodbye to wonderful people we care about. I want to offer my sincere thanks and appreciation to every departing employee for your numerous contributions and your devotion to this beloved company.”
According to recent notifications, Disney’s CEO, Bob Iger, informed employees that there will be additional rounds of job notifications in the coming months. The next round is expected to be “larger” and will take place next month, followed by a final round before the beginning of summer. These job cuts are part of the company’s plan to reach a target of 7,000 layoffs. During the company’s earnings call on February 8th, Iger discussed the challenges faced by Disney at length.
Despite the current economic challenges faced by Hollywood, Disney’s global theme parks have remained resilient, providing the company with a crucial source of stability. As a result, employees who work in guest-facing roles at these parks are expected to be relatively safe from job cuts.
As per Disney’s 2022 annual report, their global employee count as of October was approximately 220,000, with 166,000 of those positions located within the United States. The report states that roughly 78% of Disney’s workforce consists of full-time employees.