Disney CEO Bob Iger has announced that the company will begin the first of three rounds of Disney is laying off 7000 employees this week, as part of a multibillion-dollar cost-cutting initiative aimed at streamlining its operations. In February, Disney revealed plans to Disney is laying off 7000 employees, and this announcement marks the start of the implementation of this plan. The cuts will affect Disney’s global workforce and will be rolled out in three waves.
A Difficult Reality
According to a memo obtained by CNN, the first round of layoffs will begin this week as Disney is laying off 7000 employees, with managers notifying affected employees shortly. The second round will take place in April, with several thousand employees expected to be let go. The third and final round of layoffs will occur before the beginning of the summer to reach the company’s target of eliminating 7,000 jobs.
Disney had approximately 220,000 workers as of October 1, 2022, with around 166,000 employed in the United States alone. The cuts, therefore, represent about 3% of the company’s global workforce. In the memo to staff, Iger acknowledged the difficult reality of many colleagues and friends leaving Disney, but stated that tough decisions had to be made to ensure the company can continue delivering exceptional entertainment to audiences and guests around the world.
Disney is laying off 7000 employees in major restructuring
The Disney is laying off 7000 employees, follow Iger’s return to Disney in November 2022, after the company’s board fired Bob Chapek as its leader. The job cuts come as the media industry faces significant challenges, with many companies grappling with the impact of streaming services on traditional broadcasting models.
Disney has been no exception, with the company struggling to maintain its financial performance amidst the challenges posed by streaming giants like Netflix and Amazon. The cost-cutting initiative is aimed at streamlining the company’s operations and reducing its expenses, so it can continue to invest in new content and compete effectively in the industry.
A crucial time for Disney: Disney is laying off 7000 employees
It remains to be seen how the Disney is laying off 7000 employees will affect Disney’s long-term performance and competitiveness in the market. The company is betting on the success of its streaming service, Disney+, as a key driver of growth in the coming years. However, the impact of the pandemic, combined with increased competition from streaming services, has made the media industry more challenging than ever before. As such, the next few years will be crucial for Disney, as it seeks to navigate these challenges and emerge stronger on the other side.