Disney is set to lay off several thousand employees as part of a broader strategy to reduce costs, with some managers instructed to cut expenses by up to 20%. This move follows previous layoffs earlier this year, including a reduction of around 1,000 employees primarily in marketing and another 300 in human resources and technology.
CEO Josh D'Amaro and CFO Hugh Johnston emphasized the need for cost-cutting measures in their August letter to shareholders, indicating that these layoffs are part of a larger initiative to create capacity for growth. Additionally, Disney has introduced an early retirement program and is evaluating various strategies to reshape its organization.
The company, which had approximately 231,000 employees at the end of its fiscal year 2025, is not alone in this trend; other entertainment firms like Netflix and Skydance are also making workforce reductions to achieve financial efficiencies.
Disney's fiscal fourth-quarter earnings report is scheduled for November 17, which may provide further insights into the company's financial health and strategic direction