- Disney plans to lay off up to 1,000 employees in the coming months under CEO Josh DAmaro
- Most job cuts will occur in the newly consolidated marketing department led by Asad Ayaz
- Disney’s global workforce exceeds 230,000, with about 172,000 employees in the United States
Disney is planning to lay off as many as 1,000 employees in the next few months, marking the first major workforce reduction under new CEO Josh D'Amaro, who succeeded Bob Iger. The majority of the cuts are expected to be in the company's recently consolidated marketing department, where veteran executive Asad Ayaz was promoted as the chief marketing and brand officer in January.
Disney's global workforce surpassed 230,000 at the end of the last fiscal year, largely driven by part-time theme park staff. Of this total, approximately 76 per cent are employed full-time, with roughly 172,000 employees based in the United States, according to a report in The Wall Street Journal.
While Disney is yet to comment on the proposed layoffs, it is the latest entertainment company to seek a workforce reduction in the face of uncertainty in the near-term economic future, given the war with Iran, rising oil prices and other issues. Sony Pictures Entertainment confirmed that the studio plans to cut hundreds of positions.
Between 2023 and 2025, Disney eliminated roughly 8,000 positions in several phases, generating $7.5 billion in cost savings, which was well above its original targets.
D'Amaro's Hint
After taking over as the new CEO, D'Amaro, in a memo to the employees, talked about the changing market and the need to adapt to it.
"As I step into the CEO role today, I am humbled and honoured to help write the next chapter of this company alongside this team," he said, adding: "This transition comes at a moment when the world is changing faster than ever. While that can feel daunting at times, it is also exciting."
D'Amaro acknowledged that the ongoing disruption in the media industry had led to deal-making and consolidation for the company's peers.
"Disney is in a category of one poised to accelerate into our next era of innovation and growth," D'Amaro said. "And this next chapter will be driven by staying focused on world-class creativity, enhanced by technology, bringing unforgettable stories to audiences wherever they are."
