Disney plans layoffs of as many as 1,000 employees

Disney The company plans to begin the next phase of cost cutting, which will include laying off up to 1,000 people, according to a source familiar with the matter.

The cost-cutting initiative came shortly after Josh D’Amaro took over as CEO in mid-March.

The layoffs are expected to mostly affect Disney’s marketing department because the moves have not yet been publicly announced, according to the person who asked to speak anonymously. that department recently consolidated It is under the management of Asad Ayaz, who was appointed as chief marketing and brand officer in January.

Frost gives news directly D’Amaro and Disney president and chief creative officer Dana Walden lead marketing for all of Disney’s divisions (entertainment, experiences and sports) in the newly created role. For the first time, Disney brought all its units under a single chief marketing officer.

Disney’s shares were down slightly in afternoon trading Thursday. Layoffs announced for the first time Wall StreetJournal.

The changes to the marketing department structure occurred in January, when Bob Iger was still the company’s CEO. Disney announced shortly thereafter that D’Amaro would take over the top job, a long-awaited decision for the company.

D’Amaro, who was previously president of Disney Experiences, replaced Iger after a period of uncertainty for the media and theme park giant; this involved a race for succession and a recent reorganization and turnaround of the business.

Iger took back his role as Disney CEO in late 2022, nearly two years after his initial departure. When stock prices fell and earnings began to fall short of expectations, he was immediately tasked with turning the business around.

By February 2023, Disney had announced sweeping plans to restructure the company, cut costs by $5.5 billion and eliminate 7,000 people from its workforce.

On his first official day as CEO in March, D’Amaro noted the work Iger did to get the company through one of its most difficult periods.

“When Bob returned to the company several years ago, his goal was to strengthen our business and lay the foundation for long-term growth by reigniting creativity and improving performance in our studios, building a robust and profitable broadcast business, transforming ESPN for a digital future, and strengthening our parks and experiences,” D’Amaro said onstage at the company’s investor day.

“We have achieved all of this and are operating from a place of strength, with ample growth opportunity.”