Disney braces for a layoff bloodbath with more than 4,000 people set to be fired by Friday
The Walt Disney Co. will lay off several thousand employees this week, a second round of cuts that are part of a previously announced plan to 7,000 jobs this year.
According to Disney officials, the latest employee releases will take place Monday through Thursday. The company will have cut about 4,000 jobs if both the first and second rounds of layoffs are taken into account.
The layoffs are across several business segments, including entertainment, ESPN, parks, experiences and products.
One of the most publicized layoffs, including ESPN VP/Corporate Communications Mike Soltys.
Soltys was on the air with the network for 43 of its 44 years and was the network’s second longest tenured employee.
According to Disney officials, the latest employee releases will take place Monday through Thursday. The company will have cut about 4,000 jobs if both the first and second rounds of layoffs are taken into account
In a tweet Monday, Soltys wrote, “My final statement as ESPN spokesperson: ’43 Amazing Years.’ Wow. We wish him well.’
The cuts are also taking place in several locations, including Burbank, California, New York and Connecticut.
The company previously said it does not expect the job cuts to impact hourly frontline operations at its parks and resorts.
Disney expects a third round of job cuts before the start of the summer to meet the target of 7,000 eliminations.
Disney CEO Bob Iger had announced in February that the company would cut about 7,000 jobs as part of an ambitious company-wide cost-cutting plan and “strategic reorganization.”
The job cuts amount to about three percent of the entertainment giant’s global workforce.
Disney has said the job cuts are part of a targeted $5.5 billion cost cut for the Burbank-based company.
Shares of Disney fell slightly during afternoon trading Monday.
One of the most publicized layoffs, including ESPN VP/Corporate Communications Mike Soltys. Soltys was on the air with the network for 43 of its 44 years and was the network’s second longest tenured employee
Disney parks employ the most workers in the U.S. — about 100,000 people in 2020, according to the latest publicly available numbers — but it’s unclear exactly how many staff will be cut from each division.
These plans were first reported by Bloombergbut echoes an announcement in February in which the company said it would cut 7,000 positions to reduce annual costs by $5.5 billion.
The company is currently embroiled in a bitter war with Florida Governor Ron DeSantis seeking to dissolve a private government controlled by Walt Disney World that provides municipal services for its 27,000 acres of Florida land.
The Walt Disney Company will cut thousands of employees next week, including 15 percent of its entertainment division. Disney’s headquarters in Burbank, California, is pictured
Disney has adapted to new leadership since former CEO Bob Iger (pictured) returned in November after retiring from the same position in 2020
ESPN, which became owned by Disney in 1995, is one of the company’s smallest divisions with only about 5,000 employees worldwide as of 2023, according to its own website.
Disney has adapted to new leadership since former CEO Bob Iger returned in November after retiring from the same position in 2020.
His appointment was prompted by a plummeting stock price, which began after the streaming division suffered $1.5 billion in losses in the quarter ended Oct. 1.
In February, he announced the biggest shakeup since his return in a bid to cut costs: $3 billion in content, excluding sports, and the remaining $2.5 billion in non-content.
Under his new leadership, he has restructured to return authority to a number of creative executives, including top lieutenants Dana Walden and Alan Bergman, both of whom are considered contenders for his CEO position within the next two years.
ESPN Chairman Jimmy Pitaro will run that segment and Josh D’maro will retain control of Disney Parks.
Disney parks employ the most workers in the US – about 100,000 people in 2020
Ron DeSantis threatened to build a state prison next to Walt Disney World in Florida
DeSantis seeks to dissolve a Disney-controlled private government that provides municipal services for its 27,000 acres of Florida land
As part of an ongoing war between DeSantis and Disney, Florida’s governor threatened to build a state prison next to Walt Disney World earlier this week.
It’s widely seen as revenge after Disney trumped him in March by using an obscure legal loophole that allowed it to wrest power from the board of trustees it set up to oversee the Florida theme park.
The dispute between Walt Disney Company and DeSantis erupted in March 2022, when DeSantis passed his “Don’t Say Gay” bill, banning gender identity teaching in the classroom.
Disney spoke out against the law — relying on special legal privileges it has held for decades in the so-called Reedy Creek Improvement District, which covers the 40 square miles of land owned by the company.