Disney layoffs: Second round of job cuts to impact thousands of employees
The second round of cuts will affect various divisions of the company, including Disney Entertainment and ESPN, as well as Disney Parks, Experiences, and Products
- Apr 25, 2023,
- Updated Apr 25, 2023 8:42 AM IST
Disney announced on Monday that it would be starting a second wave of layoffs across its various divisions, affecting roughly 4,000 jobs when completed. The first round of job cuts, which was announced in March, impacted the company's metaverse strategies unit and part of its Beijing office.
The announcement came as part of the larger reorganization of the company that aims to reduce costs by $5.5 billion, leading to a total of 7,000 job cuts. The cuts will amount to about 3 per cent of the company's workforce, which was roughly 2,20,000 people as of October 1, 2022.
The second round of cuts will affect various divisions of the company, including Disney Entertainment and ESPN, as well as Disney Parks, Experiences, and Products, and will span across the country from Burbank, California, to New York and Connecticut. ESPN will eliminate less than 100 jobs, primarily off-camera employees, with a talent evaluation expected to follow, leading to additional cuts and non-renewals of contracts.
In a note to employees, cited by CNBC, co-chairmen of Disney Entertainment, Alan Bergman and Dana Walden, said that notifications would continue in many areas of the company over the next several days. They also noted that each team is in a different place in the process and that restructuring in various businesses will continue for the next couple of months, with further impacts expected before the summer.
They assured that senior leadership teams have been working to define the company's future organization, "with a priority to get it right, rather than done fast". The note acknowledged that it has been a period of uncertainty and that these are hard decisions not taken lightly.
Also read: JioCinema app has become part of Viacom18 portfolio, says TV18 Broadcast
Future of laid-off Disney employees
Disney officials said that they do not take the departure of so many colleagues lightly and that they are committed to supporting employees through this period. They encourage affected employees to reach out to their leaders or HR partners with any questions or for guidance.
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Disney announced on Monday that it would be starting a second wave of layoffs across its various divisions, affecting roughly 4,000 jobs when completed. The first round of job cuts, which was announced in March, impacted the company's metaverse strategies unit and part of its Beijing office.
The announcement came as part of the larger reorganization of the company that aims to reduce costs by $5.5 billion, leading to a total of 7,000 job cuts. The cuts will amount to about 3 per cent of the company's workforce, which was roughly 2,20,000 people as of October 1, 2022.
The second round of cuts will affect various divisions of the company, including Disney Entertainment and ESPN, as well as Disney Parks, Experiences, and Products, and will span across the country from Burbank, California, to New York and Connecticut. ESPN will eliminate less than 100 jobs, primarily off-camera employees, with a talent evaluation expected to follow, leading to additional cuts and non-renewals of contracts.
In a note to employees, cited by CNBC, co-chairmen of Disney Entertainment, Alan Bergman and Dana Walden, said that notifications would continue in many areas of the company over the next several days. They also noted that each team is in a different place in the process and that restructuring in various businesses will continue for the next couple of months, with further impacts expected before the summer.
They assured that senior leadership teams have been working to define the company's future organization, "with a priority to get it right, rather than done fast". The note acknowledged that it has been a period of uncertainty and that these are hard decisions not taken lightly.
Also read: JioCinema app has become part of Viacom18 portfolio, says TV18 Broadcast
Future of laid-off Disney employees
Disney officials said that they do not take the departure of so many colleagues lightly and that they are committed to supporting employees through this period. They encourage affected employees to reach out to their leaders or HR partners with any questions or for guidance.
For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine