Disney began its third round of layoffs on Monday multiple news sources are reporting (including CNN and Deadline). The cuts this time around are expected to impact up to 2,500 jobs. This is expected to be the last significant round of layoffs to hit The Walt Disney Company.
The layoffs come after Disney CEO Bob Iger announced in February that the company would be eliminating 7,000 jobs from its global workforce as a part of cost-cutting measures looking to save $5.5 billion. This was done in three waves of layoffs. The first was in March and the second in April, with approximately 4,000 jobs eliminated.
At this time it isn’t known what specific divisions in the company are being impacted by this round of layoffs. When they are completed, it is expected that more than 6,500 jobs will have been eliminated from the company. This will find the cuts approaching the 7,000 job goal that Iger initially set. 7,000 makes up about 3% of The Walt Disney Company’s 220,000 workforce.
The labor cuts will help the company reach 30% of its $5.5 billion cost savings goal. Another 50% will come from marketing cuts with an additional 20% in savings coming from reduced spending on technology, procurement, and other expenses, Disney has shared.
While these layoffs are expected to be the last major round of layoffs, they won’t be the end of them. There will be more happening on a much smaller scale throughout the next couple of months. It isn’t known exactly where this round of layoffs or the ones that follow will be coming from. It is known that they won’t be coming from the front-line cast members in the Disney Parks, however.
Daps Magic wishes the very best to everyone who is impacted by the current layoffs and any future layoffs that come. This is a difficult time for everyone who is a part of this transition.
