Disney begins massive layoffs: 7,000 jobs at risk
Walt Disney will hold three rounds of job cuts concerning 7,000 employees, and the first round will begin this week. The company wants to finalize it before the beginning of summer 2023.
Robert Iger, the chief executive, sent out a memo to all the employees to announce the layoffs' starting date. The layoffs were first revealed in February, and employees knew that it would start soon. Employees from different departments of the Walt Disney Company, from ESPN to parks and resorts, may be affected.
"This week, we begin notifying employees whose positions are impacted by the company's workforce reductions. Leaders will be communicating the news directly to the first group of impacted employees over the next four days. A second, larger round of notifications will happen in April with several thousand more staff reductions, and we expect to commence the final round of notifications before the beginning of the summer to reach our 7,000-job target." Iger wrote in the memo
Disney plans to cut billions of dollars in costs
Walt Disney wants to boost free cash flow and reduce corporate spending, so the company wants to cut out 7,000 jobs. Last month the company mentioned it plans to cut $5.5 billion in costs, including $3 billion in content spend.
"We have made the difficult decision to reduce our overall workforce by approximately 7,000 jobs as part of a strategic realignment of the company, including important cost-saving measures necessary for creating a more effective, coordinated, and streamlined approach to our business. For our employees who aren't impacted, I want to acknowledge that there will no doubt be challenges ahead as we continue building the structures and functions that will enable us to be successful moving forward," Iger wrote.
Lately, most firms are looking to cut their workforce due to global economic difficulties. Before Walt Disney, many tech giants, like Amazon, Meta, Twitter, and a couple more, announced major layoffs to guarantee the future of their companies. Apart from these giants, Accenture has also revealed a massive job cut plan concerning 19,000 employees. Companies like Meta and Amazon have laid off more than 20,000 employees.Advertisement