Josh D’Amaro has been the CEO of The Walt Disney Company for almost a month now. After taking the reins from longtime Disney CEO Bob Iger, D’Amaro has seen OpenAI discontinue Soro, Epic Games lay off 1,000 employees, and now Disney’s own round of layoffs. After consolidating all of its marketing operations under Asad Ayaz earlier this year, D’Amaro shared in a memo to employees and cast members that Disney has “looked at ways in which we can streamline our operations in various parts of the company.”
Ultimately, this will mean that around 1,000 people are being laid off by Disney as part of this streamlining. This is a choice that is made for the well-being of Disney moving forward. A healthy Disney will also, as D’Amaro said, “ensure we deliver the world-class creativity and innovation our fans value and expect from Disney.”
While acknowledging this is a business decision, D’Amaro also recognized how difficult this decision is. He said in the memo, “I know this is hard. Those that will be leaving us have done meaningful work here and care deeply about this company.” He continued by acknowledging that the layoffs are not a “reflection of their contributions.” He also affirmed the strength of the company as well. He noted that these layoffs “reflect our continual evaluation of how to more effectively manage our resources and reinvest in our businesses.“
Running a business is a difficult thing. There are many responsibilities involved. There are responsibilities to consumers/guests, responsibilities to shareholders, and responsibilities to those who work for the leader, in this case, Josh D’Amaro. In this case, failure means a loss of revenue and shareholder value, a potential loss of jobs, and a loss of the guest/consumer experience. To lead a company like Disney means one is put in tough situations, making difficult decisions that aren’t always fun. In fact, they can be downright heartbreaking. Quite often, this isn’t acknowledged or recognized by those looking from the outside.
In this case, Disney is looking to support those impacted by the layoffs. D’Amaro says, “As we move forward through this transition, our priority is to support those impacted and help each person navigate what comes next with resources, guidance, and direct support.”
As Disney moves into this new era under D’Amaro’s leadership, he is already showing that he is looking at the big picture of what will be healthy for the company as it moves into its second century of business. He is looking to not just keep the company strong, but build on that strength moving forward. “Despite these difficult decisions, I remain optimistic about where we’re headed as a company,” D’Amaro concluded.
The Walt Disney Company is very large today. At the end of fiscal 2025, there were 231,000 full- and part-time employees/cast members. It would be very easy to make cuts and not recognize the personal cost. In this case, the new Disney CEO is very aware of the impact this change has on those who are being let go and those who remain. As the company continues to move forward, there will be more difficult decisions to be made. If this moment is any indication, they will be made with care and compassion. It also indicates that The Walt Disney Company will continue to lean in on human connection, both inside the company and with consumers/guests outside of the company.
Here is the full memo from Josh D’Amaro:
Dear Fellow Employees & Cast Members,
We have experienced a great deal of change these last few years, both at the company and across our industries. Knowing firsthand how these moments can bring uncertainty, I want to be open about some difficult news that will be communicated this week.
In January, we announced our unified enterprise marketing and brand organization, designed to serve consumers in an even more connected way. Over the past several months, we have looked at ways in which we can streamline our operations in various parts of the company to ensure we deliver the world-class creativity and innovation our fans value and expect from Disney. Given the fast-moving pace of our industries, this requires us to constantly assess how to foster a more agile and technologically-enabled workforce to meet tomorrow’s needs. As a result, we will be eliminating roles in some parts of the company and have begun notifying impacted employees.
I know this is hard. Those that will be leaving us have done meaningful work here and care deeply about this company. These decisions are not a reflection of their contributions, or of the overall strength of the company. Rather, they reflect our continual evaluation of how to more effectively manage our resources and reinvest in our businesses.
Compassion and respect remain at the heart of our company. As we move forward through this transition, our priority is to support those impacted and help each person navigate what comes next with resources, guidance, and direct support.
Despite these difficult decisions, I remain optimistic about where we’re headed as a company. I’m deeply grateful for all of your contributions and for the dedication, professionalism, and care you bring to your work each day. Even in challenging moments, you continue to demonstrate what makes Disney so special.
Josh
