The Walt Disney Company will lay off 1,000 employees as part of new CEO Josh D’Amaro’s plan to restructure the organisation. D’Amaro informed employees of upcoming layoffs in an internal email on Tuesday morning.
Layoffs at Disney
According to a Wall Street Journal report, the job cuts will largely affect the entertainment giant’s marketing department. However, The Statesman reported that Disney’s studio arms, TV divisions, ESPN, product and technology teams, and even certain corporate functions will also be affected.
Disney, like many other Hollywood studios, is adapting to a new reality where streaming brings in less profit than traditional TV once did. At the same time, box office earnings have weakened, and competition from tech giants like Amazon and YouTube has intensified. Since 2022, Disney has laid off more than 8,000 workers.
The fresh round of layoffs is the first major move by CEO Josh D’Amaro, who took over the top spot from Bob Iger a month ago.
Disney CEO’s memo to employees
In a memo to employees Tuesday morning, D’Amaro said that Disney “will be eliminating roles in some parts of the company” and had already begun notifying impacted employees.
The goal, he said, was to foster a more “agile and technologically-enabled workforce”. According to Business Insider, which reviewed and first reported the memo, the CEO of Disney said that the layoffs do not reflect the contributions of impacted employees, or of the overall strength of the company.
Read the full memo below:
Dear Fellow Employees & Cast Members,We have experienced a great deal of change these last few years, both at the company and across our industries. Knowing firsthand how these moments can bring uncertainty, I want to be open about some difficult news that will be communicated this week.
In January, we announced our unified enterprise marketing and brand organization, designed to serve consumers in an even more connected way. Over the past several months, we have looked at ways in which we can streamline our operations in various parts of the company to ensure we deliver the world-class creativity and innovation our fans value and expect from Disney. Given the fast-moving pace of our industries, this requires us to constantly assess how to foster a more agile and technologically-enabled workforce to meet tomorrow’s needs. As a result, we will be eliminating roles in some parts of the company and have begun notifying impacted employees.
I know this is hard. Those that will be leaving us have done meaningful work here and care deeply about this company. These decisions are not a reflection of their contributions, or of the overall strength of the company. Rather, they reflect our continual evaluation of how to more effectively manage our resources and reinvest in our businesses.
Compassion and respect remain at the heart of our company. As we move forward through this transition, our priority is to support those impacted and help each person navigate what comes next with resources, guidance, and direct support.
Despite these difficult decisions, I remain optimistic about where we’re headed as a company. I’m deeply grateful for all of your contributions and for the dedication, professionalism, and care you bring to your work each day. Even in challenging moments, you continue to demonstrate what makes Disney so special.
Josh