Disney CEO targets 20% cost savings, plans large-scale layoffs
Disney is evaluating a major reduction in its workforce to achieve annual cost savings of about 20%, with the aim of redirecting funds into its film, streaming, technology, park and cruise operations.
Disney is evaluating a significant reduction in its workforce as part of a cost-saving initiative led by chief executive Josh D'Amaro. Managers have been instructed to identify measures that could cut annual expenses by roughly 20 percent. The company says the savings will be redirected to support its core businesses, including film production, streaming services, technology upgrades, theme parks and cruise operations.
"Our priority is to strengthen the long-term health of the business while continuing to invest in the areas that matter most to our guests and subscribers," D'Amaro said in an internal briefing.
The proposed layoffs could affect thousands of employees across the entertainment conglomerate, though Disney has not disclosed exact numbers or timelines. The move follows a period of heightened competition in streaming and a slowdown in park attendance, prompting the firm to seek efficiencies while maintaining its growth strategy.