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On February 8, The Walt Disney Company held its first earnings call since Bob Iger took over as CEO. During the call, Iger spoke mainly about the company’s financial performance, including defending the company’s choice to purchase 21st Century Fox, as well as his confidence in Disney+. The streamer is still on pace to make a profit in 2024. In addition to speaking about how well the company is doing, not all was sunshine and rainbows. Iger admitted he had to make hard choices.
Some of those choices are coming in the form of layoffs.
Credit: Disney
Iger said that the company is looking to save more than $5 billion this year. In order to do that, he said that the company will be laying off about 7,000 hard-working Cast Members.
In that regard, we are targeting $5.5 billion in cost savings across the company. First, reductions to our noncontent costs total roughly $2.5 billion not adjusted for inflation. $1 billion in savings is already underway and Christine will provide more details. But, in general, the savings will come from reductions and as GNA and other operating costs across the company.Â
To help achieve this, we’ll be reducing our workforce by approximately 7,000 jobs. While this is necessary to address the challenges we are facing today, I do not make this decision lightly. I have enormious respect and appreciation for the talent and dedication of our employees worldwide and mindful of the personal impact of these changes.Â
Credit: Disney
At this time, we don’t know what areas of the company will be impacted by these layoffs. It is unlikely that they will affect Cast Members who work at Disney theme parks, as the theme parks are almost always looking for more people. Most of the layoffs will most likely come from those working at the studio in Burbank, California.
This is not the first time that Disney employees have heard talk of layoffs. When the fiscal quarter first began, now-fired CEO Bob Chapek announced that there would be both a hiring freeze and layoffs. Disney currently has about 190,000 employees.
