The Walt Disney Company has undergone some MASSIVE changes since Bob Iger stepped back into the role of CEO of the company.
©Disney
The company was restructured and several executives have left. Some changes made to Disney Parks during the previous CEO’s tenure were adjusted. Iger also recently stated that the company would be making $5.5 billion in spending cuts, part of which includes reducing the workforce by 7,000 jobs. Now, we have an update on those upcoming layoffs.
According to Business Insider, managers at the Walt Disney Company have been given “targets to reduce their budgets along with headcount.” The company is currently looking over everything to find redundancies and get rid of executives where it can, while executives have been told to prepare their proposed budget cuts and lists of employees to be laid off.
Layoffs are coming to the Walt Disney Company
It’s expected that the layoff news will come in April — managers have been told they have to turn in these lists over the next few weeks.
The Walt Disney Company is currently celebrating its 100th anniversary
Previously, Josh D’Amaro, Chairperson of Walt Disney Parks and Resorts, stated in an email to Cast Members that the job cuts won’t be in one sector of the company. There will also be cuts in the Parks, Experiences, and Products division. However, he also explained that Disney did not believe that those working in hourly frontline roles in operations would be impacted.
Josh D’Amaro speaks at SXSW.
The layoffs will add up to 30% of the cuts Disney plans on taking from its general operating costs. The rest of the general operating costs cuts will happen like this: 50% in marketing and 20% in technology, procurement, and other expenses.
The company is also planning on cutting $3 billion in non-sports content.
©Hulu
In the meantime, Disney World Cast Members are pushing for gradually increasing starting wages at the resort to $20 per hour over the next five years. The unions say their members need bigger raises because of the cost-of-living increases happening in Central Florida. Disney recently made an offer, but the members of six unions representing those Cast Members voted “no” on the contract.
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We’ll be keeping an eye on news about the layoffs and update y’all when we know more, so stay tuned to DFB.
Disney To Cut Spending By $5.5 Billion — Here’s How
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My brother mike e. Drutt has worked 4 disney 4 over 31 yrs. And he wont talk 2 me about his being laid off in this next 7000 employees. He sounds like he is devastated as he is 67 yrs old and will have a terrible time finding another job.
As unions around the world keep pointing out, this inflation trend, is caused by the GREED of the corporate world, not the struggling populace.
8 Feb 2023 Statista.com
Disney Parks, Experiences and Products revenues for the quarter increased 21% to $8.7 billion and segment operating income increased 25% to $3.1 billion. Higher operating results for the quarter reflected increases at our domestic parks and experiences and, to a lesser extent, our international parks and resorts.
Macrotrends
Disney gross profit for the twelve months ending December 31, 2022 was $28.195B, a 12.49% increase year-over-year. Disney annual gross profit for 2022 was $28.321B, a 27.07% increase from 2021. Disney annual gross profit for 2021 was $22.287B, a 3.62% increase from 2020.
Thanks for sharing those statistics Lyn! As a resident of Florida I know that there is no longer a “slow season” ANYWHERE, and there are constantly people visiting and bring their money. So I know SOMEONE is raking in money (and we just suffer from traffic, lines everywhere and rudeness). I wish someone could come up with a united action we could take to show Disney (and other businesses), that they cannot get away with what is happening. So many are unhappy with the money grabs and changes. I wish we could stop talking and find some action to make change. Any ideas?!