Disney Cuts Over 300 Corporate Jobs in Latest Layoff Round Amid Cost-Saving Measures
Disney has announced a fresh wave of layoffs, impacting over 300 corporate positions in the U.S. as part of its ongoing cost-saving initiatives. This marks the third round of job cuts since May 2024, with the number of affected roles expected to rise further. The layoffs primarily target corporate operations, including legal, HR, finance, and communications, while other sectors like ESPN, theme parks, and Disney Entertainment remain unaffected for now.
A Disney spokesperson stated, “We continually evaluate ways to invest in our businesses and manage our resources and costs more effectively. As part of this ongoing optimization work, we have been reviewing the cost structure for our corporate-level functions and have determined there are ways for them to operate more efficiently.”
These layoffs follow significant cuts earlier this year, including 140 jobs from the television division and 175 positions at Pixar, which constituted 14% of its workforce.
Disney’s financial struggles have been exacerbated by the pandemic, resulting in several box office disappointments, such as Elemental and Indiana Jones and the Dial of Destiny. While the company has attempted to bolster its Disney+ streaming service with price hikes, these measures have not effectively mitigated losses. Additionally, the post-COVID recovery of Disney’s theme parks has been sluggish, compounded by rising inflation.
“The costs of running the theme park will continue to escalate, creating pressures for executives to quickly adjust and evolve their formula for growth,” noted Christina Curtis, founder of Curtis Leadership Consulting.
Since returning as CEO in 2022, Bob Iger has implemented significant cuts, totaling over 8,000 jobs, in an effort to reduce expenses by $7.5 billion. During a November earnings call, Iger acknowledged the challenges faced by the company, particularly in film production, stating, “The pandemic created a lot of challenges creatively… We lost some focus.”