Walt Disney Co. is planning to cut thousands of jobs next week, including laying off 15 per cent of its staff in its entertainment division. According to a Bloomberg report, the cuts will include TV, film, theme parks, and corporate positions, and affect every region where Disney operates.
The report citing people familiar with the matter also said that some affected workers will be notified as early as April 24.
In February, Disney announced it will cut 7,000 positions to save $5.5 billion in annual costs. As part of a major restructuring, CEO Bob Iger said that the move is to make the company's streaming business profitable. The layoffs under the recently reinstated CEO comprised an estimated 3.6 per cent of Disney's global workforce.
Iger also restored authority to creative executives, and elevated key officials including Alan Bergman and Dana Walden, the co-chairmen of Disney Entertainment.
"This reorganization will result in a more cost-effective, coordinated approach to our operations. We are committed to running efficiently, especially in a challenging environment," Iger said at the time.
Also Read: Facebook-Parent Meta To Lay Off 10,000 Employees: Report
The firm is also cutting its commitment to general entertainment as part of this strategy and placing a stronger emphasis on franchise properties and recognisable brands. The entertainment division will therefore be the focus of the cuts.
As the US corporate giants' are more focused on the hefty expense of maintaining online video platforms, every major media business, including Comcast Corp.'s NBCUniversal, Warner Bros. Discovery Inc., and Paramount Global, are cutting its personnel, the Bloomberg report said.
Also Read: Disney To Lay Off 7,000 Employees In Major Restructuring
In November, Iger returned to lead Disney after a $1.47 billion quarterly loss in the company’s streaming business precipitated the ouster of his hand-picked successor, Bob Chapek.
Amid geopolitical uncertainty and volatile global markets, many firms have laid off thousands workers. Amazon, Meta, Google, Twitter, and several others have reduced headcount in recent months.