Disney Weighs Thousands of Job Cuts in 20% Savings Push
Media reports say Disney is considering eliminating thousands of positions and has asked some managers to aim for 20% annual cost savings.
The Walt Disney Company is reported to be considering eliminating thousands of positions. Some managers have been told to aim for 20% in annual cost savings, and the number of jobs affected is not yet known.
Which parts of Disney face cuts
Bloomberg was first to report that Disney is looking at eliminating thousands of positions. Other outlets followed. Under the reports, some parts of the company will face deeper cuts than others. Disney did not immediately respond to a request for comment.
The company had about 231,000 employees at the end of the 2025 fiscal year.
Pressures on the chief executive
CEO Josh D'Amaro is reportedly dealing with several problems at once: the growing use of AI, weaker box-office revenue, more competition from streaming rivals, and slower theme park attendance abroad. D'Amaro plans to put the savings back into film and TV programming, technology, theme parks and cruise ship operations, per the reports.
Cuts already made this year
This would not be the first round. Disney eliminated 1,000 roles in April and made further cuts in July and September. The September reductions affected a couple of hundred employees, mostly in technology and HR.
In August it offered a Voluntary Early Retirement Offer to a defined group of eligible executives. Chief People Officer Sonia Coleman announced it in a staff memo. She wrote that "we're focused on meaningfully reducing costs as part of our ongoing transformation", so the company can keep investing in content, technology and experiences.
Last week the theme parks division let go of between 100 and 200 people. The cuts reached all parts of Imagineering, the creative and technical arm behind attractions, resorts, cruise ships and live entertainment. They followed a regular review of the division's investments and pending projects.
Our View
A 20% target is a strong signal about how much the company wants to change its cost base. The key facts are still missing: which divisions take the biggest cuts and when the cuts begin. Disney's own statement, or a staff memo like the one that preceded earlier rounds, would be the first reliable answer.
Source: TheWrap