The magic might be wearing thin at Disney $DIS (DIS) — for employees, at least. The company is laying off several hundred workers on Monday, in CEO Bob Iger’s latest step to realign Disney’s operations in response to the declining traditional TV viewership and the rise of streaming platforms.
Deadline reported that the cuts will affect multiple departments that are mostly associated with Disney Entertainment — marketing, publicity, casting, development, corporate finance, and more — with most of the layoffs concentrated in Los Angeles. Reportedly, entire teams won’t be eliminated; the exact number of employees affected hasn’t been disclosed.
This is the latest scene in a broader restructuring plotline. Iger announced plans in 2023 to slash 7,000 jobs and cut $5.5 billion in costs, positioning Disney for a leaner, more digital-forward future.
Since then, Disney has been chipping away at its headcount with increasing frequency. Nearly 200 employees were cut in March across ABC News and Disney’s entertainment networks. In October 2024, about 75 jobs were eliminated during a restructuring that folded ABC Signature into 20th Television. A few months earlier, in July, another 140 jobs were cut, hitting National Geographic, Freeform, and local TV stations. Back in September 2023, Disney let go of about 300 corporate staff across HR, legal, and finance.
Still, the company’s headcount remains large: As of September 2024, Disney employed 233,000 people globally, up from 225,000 a year before.
Financially, Disney’s doing better than the headlines suggest.
The company just beat Wall Street expectations in a stronger-than-expected quarter, thanks to its experiences and sports divisions and its streaming business posting a $336 million profit. Iger told investors in May that earnings per share are projected to rise 16% this fiscal year, with double-digit increases in operating income for entertainment and sports and high single-digit gains for parks and consumer products.
That strong showing was enough to boost Disney stock around 21% in the period following the earnings report.
Iger has also made the case for job creation, particularly in Disney’s “experiences” segment. The company is working on its seventh global theme park, in Abu Dhabi. But Disney’s potential transformation into a tech-first, franchise-powered content machine comes with casualties — especially for workers in traditional TV and film.