Disney is executing further layoffs, affecting several hundred employees globally across its film, television, and finance sectors as it seeks to cut costs amid evolving industry dynamics. The company is facing strong pressure from changing viewer habits, with many moving away from traditional cable subscriptions in favor of streaming services.
A spokesperson for Disney remarked, "As our industry transforms at a rapid pace, we continue to evaluate ways to efficiently manage our businesses while fuelling the state-of-the-art creativity and innovation that consumers value and expect from Disney."
These layoffs are part of a broader effort initiated by CEO Bob Iger in 2023 to reduce operational costs by $5.5 billion (£4.1 billion). This ongoing restructuring will affect multiple teams, including marketing for its film and television divisions, as well as casting, development, and corporate finance departments.
The spokesperson emphasized that the measures were thoughtfully applied to minimize disruption, and noted that no teams would be disbanded completely. Disney, headquartered in California, boasts a workforce of 233,000, with over 60,000 employed outside the United States. The company’s portfolio encompasses a variety of brands, including Marvel, Hulu, and ESPN.
In terms of financial performance, Disney reported unexpectedly strong earnings in May, with revenue reaching $23.6 billion for the first quarter of the year—a 7% year-on-year increase, largely attributed to the influx of new subscribers to Disney+.
Despite the challenges, Disney has released several films this year, including "Captain America: Brave New World" and a live-action remake of "Snow White," which has received mixed reviews and generated lower-than-anticipated box office results. However, the animated feature "Lilo & Stitch" has set new records for the Memorial Day weekend in the US, accumulating over $610 million globally since its release in May, according to Box Office Mojo.
