Walt Disney Company announced in February a plan to eliminate 7,000 positions this year from its workforce of more than 220,000 in an effort to reduce annual costs by $5.5 billion. Some areas will begin to see those cuts as soon as next week, with Disney’s Entertainment Division (the home for Disney’s movie and TV production, distribution, and streaming) incorporating 15% of those cuts, according to people familiar with the plans.
Supposedly, the cuts will span TV, film, theme parks, and corporate teams, affecting every region where Disney operates.
Cuts will be taking place across the company, the people said, including at Disney Entertainment, a unit that was created during the restructuring this year as a home for the company’s movie and TV production and distribution businesses including streaming.
With the company committed to general entertainment and focusing more on franchise properties and well-recognized brands, the entertainment division has emerged as a focus of the cuts.
Every major media company, including Comcast Corp.’s NBCUniversal, Warner Bros. Discovery Inc., and Paramount Global, is trimming positions as attention changes from subscriber growth in streaming to the high cost of operating online video platforms.
Are you surprised to see Disney’s TV and Movie Streaming Division take the next cuts?