Disney begins another round of mass layoffs

The Disney company plans to lay off some 7,000 employees by 2023, 3.6 % of its current workforce

The American entertainment giant The Walt Disney Company began its second round of layoffs, which foresees, once fully completed, the departure of 7,000 employees during 2023, which represents 3.6 % of its workforce.

Thus, once this round is completed, the total number of positions abolished will amount to about 4,000. The details of this tranche of cuts emerged last week, when it was learned that the company would cut about 15 % of the staff in its entertainment division, and that some affected workers would be notified starting this Monday.

The cuts will cover television, movies, theme parks, as well as corporate positions, and will affect all regions where Disney operates. Last February, Disney announced a downsizing affecting some 7,000 positions in its workforce, which exceeds 220,000, as part of a general strategy to cut its annual costs by $5.5 billion.

In this way, the plan was divided into three sections, the first, which took place in March, the second, the current one, begins in April, while the last one will be undertaken “before the beginning of summer”, according to the CEO. from Disney, Bob Iger.

These measures respond to the losses registered by the company in its streaming services, which doubled in 2022 compared to 2021, with an amount that amounts to 1,050 million dollars after the slowdown in subscriber growth and increased competition for the spectators.

Source: dpa

(Reference image source: file)

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