Disney Layoffs Begin, 7,000 Workers Expected To Lose Jobs

Disney has been struggling financially in recent years as its streaming platform underperforms, box-office releases fall flat, and many one-time fans turn their backs on a company they believe has embraced a far-left ideology at the expense of wholesome entertainment.

In Florida, Republican Gov. Ron DeSantis took aim at Walt Disney World’s special tax status after the company took a political stance against the state’s effort to protect young students from sexually themed, often graphic materials and subjects.

About two years after he stepped down, Bob Iger returned to the company as CEO in November with a mission to turn things around. A central part of that plan involves serious budget cuts and widespread layoffs.

During Iger’s absence, Bob Chapek served as CEO and ushered in a tumultuous period during which Disney’s stock value dropped by a staggering 44%. When Iger returned to the helm, he acknowledged that there would “no doubt be challenges ahead” for the beleaguered company.

Last month, the company confirmed that it would pare down expenses by a whopping $5.5 billion, more than half of which would impact content. This week, Iger announced the first of three rounds of layoffs that will cost thousands of employees their jobs.

“As I shared with you in February, 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,” the executive wrote in a memo to staff.

Iger confirmed that some of the impacted employees began to receive notifications this week.

“Leaders will be communicating the news directly to the first group of impacted employees over the next four days,” he said. “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 summer to reach our 7,000-job target.”

The CEO lamented the “difficult” situation and offered his “sincere thanks and appreciation to every departing employee for your numerous contributions and your devotion to this beloved company.”