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Credit: Qilai Shen/BloombergAccording to a recent report published by Business Insider, The Walt Disney Company expects the massive cost-cutting and employee reduction plan to begin early next month.
Related: Disney Announces New HR Chief as Company Prepares For Massive Layoffs
On the company’s most recent earnings call with Wall Street analysts, Disney CEO Bob Iger dropped a bombshell, revealing thousands of jobs will be cut. Iger would go on to state that Disney would be cutting its workforce by 7,000 jobs. This is a whopping number, especially considering the profits The Walt Disney Company posted mere moments ago.
During the announcement, The Walt Disney Company CEO would go on to say that to help achieve its massive $5.5 billion cost-cutting plan across the company that, “to help achieve this will be reducing our workforce by approximately 7000 jobs, while this is necessary to address the challenges we are facing today, I do not make this decision lightly. I have enormous respect and appreciation for the talent and dedication of our employees worldwide and am mindful of the personal impact of these changes.”
At the present moment, there haven’t been any further updates to a Cast Member reduction just yet in a massive manner. It is, however, expected to impact all areas of The Walt Disney Company, including the Disney Parks.
Related: Will Incoming Layoffs and Budget Cuts Affect Disney World?
Yesterday, the world learned that the Cast Member reduction process has officially begun. Based on reporting from Business Insider, Disney managers over the past two weeks have been given targets to try and reduce their budgets in addition to their headcounts. These layoffs that managers are proposing are expected to impact around 4,000 Cast Members by April this year. As well, Disney will also be expected to be cutting thousands of open roles that have been posted on its job board.
To Disney CEO Bob Iger’s credit, he is stuck in a box, given the situation. When he was asked to return to the company, investors and Disney’s board of directors were looking for ways for the company to become more efficient, given the new economic reality. To a certain extent, Iger was stuck between a rock and a hard place.
Are you upset to learn that Disney will soon be laying off thousands of Cast Members?