Disney's latest round of layoffs is a reflection of the ongoing shift in the entertainment landscape, as the company seeks to adapt while maintaining its commitment to creativity and innovation.
Disney Faces Further Layoffs as Industry Shift Accelerates
Disney Faces Further Layoffs as Industry Shift Accelerates
Disney announces additional layoffs in response to evolving industry demands, impacting hundreds of employees.
In a recent announcement, Disney confirmed it will lay off several hundred employees globally, affecting departments such as film, television, and finance. This move, driven by the company's need to reduce costs amid a significant shift in viewer preferences towards streaming services over traditional cable subscriptions, highlights the challenges facing major entertainment corporations.
"As our industry transforms at a rapid pace, we continue to evaluate ways to efficiently manage our businesses while fuelling the state-of-the-art creativity and innovation that consumers value and expect from Disney," a spokesperson stated to BBC News. This wave of job cuts follows substantial layoffs earlier this year when Disney let go of approximately 7,000 workers in an effort led by CEO Bob Iger to save $5.5 billion (£4.1 billion).
The recent layoffs will notably impact teams in marketing, casting, development, and corporate finance within the company. However, a Disney spokesperson assured that no specific teams would be completely disbanded, emphasizing a "surgical" approach to the cuts to minimize impact on the workforce.
Disney, which employs around 233,000 employees worldwide—with over 60,000 outside the US—has been strategically navigating these changes while still delivering strong financial results. In May, Disney reported revenue of $23.6 billion for the first quarter of the year, reflecting a 7% increase compared to the same timeframe in 2024, largely due to an uptick in subscribers to its Disney+ streaming platform.
Amidst these developments, Disney has continued to release highly anticipated films this year, including Captain America: Brave New World and Snow White. Additionally, its animated feature Lilo & Stitch set records at the box office during the Memorial Day weekend, garnering over $610 million in global ticket sales since its release in May, as per data from Box Office Mojo.
Overall, as Disney adapts to the evolving market, the latest layoffs underscore the pressing need for traditional media giants to streamline their operations and innovate in a competitive landscape.
"As our industry transforms at a rapid pace, we continue to evaluate ways to efficiently manage our businesses while fuelling the state-of-the-art creativity and innovation that consumers value and expect from Disney," a spokesperson stated to BBC News. This wave of job cuts follows substantial layoffs earlier this year when Disney let go of approximately 7,000 workers in an effort led by CEO Bob Iger to save $5.5 billion (£4.1 billion).
The recent layoffs will notably impact teams in marketing, casting, development, and corporate finance within the company. However, a Disney spokesperson assured that no specific teams would be completely disbanded, emphasizing a "surgical" approach to the cuts to minimize impact on the workforce.
Disney, which employs around 233,000 employees worldwide—with over 60,000 outside the US—has been strategically navigating these changes while still delivering strong financial results. In May, Disney reported revenue of $23.6 billion for the first quarter of the year, reflecting a 7% increase compared to the same timeframe in 2024, largely due to an uptick in subscribers to its Disney+ streaming platform.
Amidst these developments, Disney has continued to release highly anticipated films this year, including Captain America: Brave New World and Snow White. Additionally, its animated feature Lilo & Stitch set records at the box office during the Memorial Day weekend, garnering over $610 million in global ticket sales since its release in May, as per data from Box Office Mojo.
Overall, as Disney adapts to the evolving market, the latest layoffs underscore the pressing need for traditional media giants to streamline their operations and innovate in a competitive landscape.
