Disney is planning to cut as many as 1,000 jobs in the coming weeks, primarily affecting its marketing department, according to a Wall Street Journal report. The layoffs mark one of the first major actions under new CEO Josh D’Amaro, who took over in March. The cuts are part of a broader cost-cutting effort aimed at streamlining operations and redirecting funds toward digital ventures with stronger growth potential.
Core Facts & Immediate Action
The layoffs follow Disney’s recent consolidation of its marketing department, which was unified under Asad Ayaz in January as part of Project Imagine. The company is also merging staff from Disney+ and Hulu as it integrates the two streaming platforms into a single app. These changes are expected to improve coordination and reduce spending.
Deeper Dive & Context
Financial Pressures and Industry Trends
Disney has faced declining profits from streaming compared to traditional television, weaker box office returns, and intense competition from tech giants like Amazon and YouTube. The company’s theme parks and cruise businesses remain strong, but international tourism headwinds could impact future growth.
Previous Layoffs and Leadership Changes
Since Bob Iger returned as CEO in 2022, Disney has already cut more than 8,000 jobs. The latest round of layoffs was planned before D’Amaro’s appointment but will be executed under his leadership. D’Amaro, who joined Disney in 1998, previously served as chairman of Disney Experiences.
Broader Industry Context
Disney is not alone in restructuring. Sony Pictures Entertainment recently announced plans to cut hundreds of roles in its television, film, and corporate divisions. The entertainment industry has been grappling with economic uncertainty, including geopolitical instability and rising oil prices.
Employee Impact and Future Strategy
As of fiscal 2025, Disney employed 231,000 people, with 80% working in its experiences division, including theme parks and consumer products. The company aims to operate as “one Disney,” emphasizing deeper consumer engagement across its global businesses.