The world's largest media and entertainment corporation, The Walt Disney Company, according to Bloomberg and The Wall Street Journal, is preparing for another massive wave of layoffs in its history. Company management has instructed heads of several departments to urgently find ways to cut annual expenses by 20 percent. As Reuters clarifies, the overall figures are currently at the final planning stage, and the exact scale and timeline of the mass layoffs will be announced in the coming days.
Scale and Geography of Optimization
According to American publications, the restructuring will affect almost all key business areas: from television, film production, amusement parks, and the cruise fleet to legal, IT departments, and headquarters human resources. Thus, the optimization is not limited to a single segment, but is systemic in nature, covering both production and administrative functions of the corporation.
Which Departments Will Face Layoffs
The process will affect several strategic areas simultaneously. In television and streaming, ABC Entertainment, 20th Television, Hulu Originals, and Freeform will be separated from individual television channel structures and combined into a single system oriented directly toward the streaming audience, which will lead to job losses for hundreds of employees. According to the Associated Press, the new list of cuts will also include film production teams and the Pixar animation studio. As reported by The Wrap, at Walt Disney Imagineering, which is responsible for designing attractions and theme parks, as well as the Experiences division, the dismissal of employees and managers has already begun. In parallel, staffing is being optimized in international relations, legal support, and HR departments.
Causes of Financial Pressure
The adoption of such harsh measures is explained by several global factors. First, viewers' abandonment of cable and broadcast television has led to a sharp drop in advertising revenue. Second, competition in streaming and the lack of expected results at the global box office require enormous expenditures. Third, the growth rate of foreign tourists visiting Disney's popular theme parks in the US has slowed down, reducing the profitability of one of its most profitable divisions.
Context: Previous Waves of Layoffs
The cost-containment program has been launched by the company before. In 2023, under the leadership of CEO Bob Iger, about seven thousand people were laid off to save $5.5 billion. By the end of fiscal 2025, the corporation employs a total of 231,000 people worldwide, which sets the scale for a potential new wave of optimization.
What Is Known About the Timeline
According to Reuters, the exact parameters of the restructuring have not yet been finalized: the overall figures are at the final planning stage, and the company intends to announce the specific scale and timeline of the mass layoffs in the coming days. Until the corporation's official statement, any precise estimates of the number of dismissed employees remain preliminary.
