Bob Iger’s return as the CEO of the Walt Disney Company made many Disney fans happy. Unfortunately, being at the head of such a significant company means having to make some difficult decisions.
In February, we learned that Disney was planning on making 7,000 job cuts in the months that followed. The first wave of these cuts has already begun, and we’ve already seen that even Disney executives aren’t safe from the layoffs. This week, more significant cuts will be made.
According to Variety, the second round of layoffs will begin this week. By the end of this week, 4,000 job cuts will have been made overall across multiple divisions within the company.
Disney Entertainment, ESPN, and Disney Parks, Experiences, and Products will all be affected, but the company notes that the hourly frontline positions within Parks and Resorts are safe from these cuts.
By summer, Disney plans on carrying out its third wave of cuts, reaching its target of 7,000 layoffs this year — an action that will help the company make its goal of $5.5 billion in cost savings.
In a memo to staff on Monday, co-chairman of Disney Entertainment Alan Bergman and Dana Walden commented on the weight of these cuts. “These are hard decisions and not ones we take lightly – but every decision has been made with considerable thought, and we are doing everything we can to make sure this process is conducted with respect and compassion.”
See Berman and Walden’s full memo to staff below.
Team,
As you all know, a few weeks ago the company began notifying employees whose roles are impacted as part of our overall business realignment and cost-savings efforts. We wanted to share that notifications will continue in many areas of the company over the next several days. In addition, restructuring in various businesses will continue for the next couple of months, and we do anticipate there will be further impacts before the summer, as previously shared. Each team is in a different place in this process, and your leaders will be sharing more context for your group soon.
These are hard decisions and not ones we take lightly – but every decision has been made with considerable thought, and we are doing everything we can to make sure this process is conducted with respect and compassion. The senior leadership teams have been working diligently to define our future organization, and our biggest priority has been getting this right, rather than getting it done fast. We recognize that it has been a period of uncertainty and thank you all for your understanding and patience.
This is a time of transition for Disney, and these changes affect everyone, whether or not your role is impacted. We are committed to supporting you through this period and encourage you to reach out to your leader or HR partner with any questions or for guidance, as needed.
While we are confident that these efforts will better position us for the future, we realize this all takes a toll. We want to acknowledge the impact of this moment and simply reiterate our appreciation for all of you and the passion and dedication you’ve brought to the work we do every day. And for those who will be leaving the company, please know that your contributions are valued and appreciated – you have all played a meaningful role in making Disney what it is today.
With gratitude,
Alan & Dana
We’ll keep you updated with all the latest news as we know more, so stay tuned to AllEars for more.
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What do you think of these massive layoffs within the company? Let us know in the comments below.
“These are hard decisions and not ones we take lightly….” Does anyone really believe this?
Cutting staff from parks and resorts right now is ridiculous. They are just now approaching the pre pandemic level of services. Very disappointing, again.