The Walt Disney Company is set to lay off several hundred employees globally as it seeks to reduce expenses and adjust to shifting industry dynamics. The decision was confirmed by a company spokesperson on Tuesday. While the precise number of job cuts has not been disclosed, the layoffs will impact numerous departments, including television and film marketing, TV publicity, casting and development, and corporate financial units. However, no complete teams will be eliminated.
“In light of the rapid changes in our industry, we are continually finding ways to efficiently manage our operations while promoting the leading-edge creativity and innovation that Disney is known for and our audience expects,” the spokesperson stated. “As part of this continual assessment, we have pinpointed options to boost efficiency and are thus eliminating a limited number of roles.”
The announcement follows Disney’s release of strong second-quarter financial results, supported by thriving domestic theme parks and acquisition of over a million new subscribers to its streaming platform. The company has also raised its profit forecasts for the year. Boosted by successful box office releases like “Thunderbolts” and “Lilo & Stitch,” the latter grossing $280.1 million domestically as the year’s second-highest earner, Disney has been experiencing positive market traction.
Earlier in 2023, Disney CEO Bob Iger revealed a broad cost-reduction plan which involves slashing around 7,000 jobs. This initiative forms part of a strategic companywide effort to save $5.5 billion in costs and restructure the organization. Following these developments, Disney shares, listed in Burbank, California, have seen a marginal increase during midday trading.