In recent years, The Walt Disney Company has undergone a whirlwind of internal restructuring, executive shakeups, and strategic shifts. From theme park operations to streaming content, the company continues to evolve at a rapid pace — and not all of those changes have been painless.
Now, as fans celebrate billion-dollar box office wins and enjoy expanding offerings across Disney+, another difficult round of internal layoffs has hit the company. This marks yet another step in Disney’s broader effort to cut costs and restructure.
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When Bob Iger returned as CEO in November 2022, he stepped into a company under pressure. Bob Chapek’s tenure as CEO unraveled in under three years — the stock underperformed, cast member morale declined, Disney+ was incurring multi-billion-dollar losses, and the company’s public image was faltering. Iger wasted no time in trying to reverse that course.
In February 2023, he announced that Disney would eliminate more than 7,000 jobs as part of a larger $5.5 billion cost-saving initiative. Layoffs began that March and carried through April and May. He revealed plans to eliminate over 7,000 jobs as part of a strategy to reduce costs by $5.5 billion.
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But the cuts didn’t stop there. Pixar saw a 14% reduction in its workforce, Disney Entertainment Television eliminated around 140 roles, and in September 2024, approximately 300 corporate employees were laid off.
The latest layoffs—impacting several teams within the company—were reported this week.
According to The Hollywood Reporter:
The impacted teams are employees working on marketing for both film and television, as well as TV publicity, casting and development and corporate financial operations, a source familiar with the matter confirms to The Hollywood Reporter. While individual employees from those teams are impacted, and were notified Monday, no team itself is being eliminated, the source said.
This is part of Disney’s ongoing efficiency and cost-cutting measures, which were outlined in September, as it refocuses on streaming and pushes for profitability. The Burbank-based company employs 233,000 people globally and 171,000 in the U.S., per its most recent annual report.
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ABC and Disney Entertainment were hit hard in March, with nearly 200 employees laid off in a move that many described as a major blow to both divisions.
The timing of the layoffs has raised eyebrows, especially given Disney’s strong financial results. While the company reported over $3 billion in profit last quarter and continues to surpass Wall Street expectations, hundreds of workers are being shown the door, prompting criticism and concern from employees and observers alike.
So far, Disney has not confirmed whether additional rounds of layoffs are coming.
Do you think Disney is doing the right thing by cutting staff to reduce expenses — or should executives be making sacrifices first? Should Disney continue layoffs even while turning massive profits? Let us know what you think in the comments.
