Disney likely to layoff 4,000 employees in April, directs managers to pick candidates: Report

Entertainment giant Disney is planning massive layoffs and it has asked managers to make a list of employees who will be laid off in the coming weeks, Business Insider reported.

The company is said to lay off at least 4,000 employees in April, Business Insider quoted sources as saying. This comes after the firm recently laid off 7,000 employees in February for restructuring, cutting content, and trimming payroll.

"The tough decision was taken to save $5.5 billion in costs while turning its streaming business profitable," it said. 

“This reorganisation will result in a more cost-effective, coordinated and streamlined approach to our operations and we are committed to running our businesses more efficiently, especially in a challenging economic environment. In that regard, we are targeting $5.5 billion of cost savings across the company," said the CEO Bob Iger.

The layoffs were announced ahead of Disney's annual meeting on April 3.

According to the report, the entertainment behemoth also announced a reduction in general entertainment aimed at adults and that it is considering what to do with Hulu, the streaming service that specialises in general-entertainment shows and is owned two-thirds by Disney and one-third by Comcast Corp.

The Walt Disney Company recently announced that it will celebrate its 100th anniversary on Oct. 16, 2023, with a unique commercial debuting during Super Bowl LVII that highlights its storytelling and creativity.

Disney has joined the list of companies to lay off people amid a restructuring process in reaction to sluggish subscriber growth and rising competition for streaming consumers.

Also Read: ‘Disney paid for that ad with 7,000 layoffs’: Netizens criticise media giant for $7-mn Super Bowl ad