The Walt Disney Company has announced plans to lay off 1,000 employees as part of a major restructuring initiative led by CEO Josh D’Amaro.
The announcement was made through an internal memo sent to employees, describing the move as a necessary but “difficult” decision.
Departments Affected
The layoffs are expected to impact multiple divisions, including:
- Marketing teams (primary focus)
- Studio operations
- Television divisions
- ESPN
- Product and technology units
- Corporate functions
Why Is Disney Cutting Jobs?
Disney is adapting to major industry shifts, including:
1. Declining Traditional Revenue
- TV revenues are shrinking
- Box office collections are weaker
2. Streaming Challenges
- Streaming platforms generate lower profits compared to traditional TV
3. Rising Competition
- Competition from tech giants like Amazon and YouTube
Since 2022, Disney has already cut over 8,000 jobs, showing a long-term restructuring trend.
CEO Josh D’Amaro’s Message to Employees
In his memo, Josh D’Amaro emphasized:
- Layoffs are not a reflection of employee performance
- The goal is to build a more “agile and technologically-enabled workforce”
- The company will support affected employees with resources and guidance
He acknowledged the emotional impact, stating the decision was made to better manage resources and invest in future growth.
Leadership Transition Behind the Move
This marks the first major decision by D’Amaro after taking over from Bob Iger just a month ago.
The restructuring signals a shift in strategy as Disney navigates a rapidly changing entertainment landscape.
