Wall Street Times

Layoffs: Disney launches second round of job cuts

The Walt Disney Company has begun a second round of layoffs as part of a previously announced restructure that will include the loss of 7,000 positions.

The media company has been under strain as its traditional television and film operations deteriorate while its streaming segment continues to post losses.

CEO Bob Iger proposed a $5.5 billion cost-cutting program in February.

According to projections, this week’s cutbacks will bring the total to 4,000.

Losses will be felt across the board, including at ESPN and film studios. However, according to the company, frontline staff at the park are not likely to be impacted.

“We take the difficult reality of many colleagues and friends leaving Disney very seriously,” Disney officials said.

The layoffs are part of a bigger retrenchment in the entertainment business, as CEOs focused on earnings after years of spending extensively to develop streaming services and gain users.

Mr. Iger, Disney’s long-time CEO who returned to the corporation in November following the ouster of Bob Chapek, has stated that the company needs to streamline its operations.

Among other things, the company intends to spend $3 billion less on content.

The 7,000 layoffs announced in February represent around 3% of the company’s 220,000-person workforce as of October 1.

The corporation began its job layoffs with a first wave of employee notices at the end of last month.

Another “several thousand” individuals are scheduled to find out if they will be laid off this week, with a third round of layoffs slated for this summer, according to the company.

The corporation, which employs over 50,000 individuals outside the United States, did not answer a question about how many job cutbacks will affect overseas employees.

Meta commence job cuts

Facebook owner Meta has begun notifying employees who will be laid off as part of the 10,000 job layoffs announced by the social media corporation last month.

Mark Zuckerberg, the company’s CEO, has stated that layoffs are critical to increasing efficiency.

Meta, which also owns Instagram and WhatsApp, has been under pressure since last year’s dramatic slump in its ad revenue.

Last year, it laid off 13% of its workforce or approximately 11,000 individuals.

Some people impacted by Meta’s recent moves announced on social media that they were seeking new jobs.

The business declined to comment, citing Mr. Zuckerberg’s March memo, in which he described last year’s troubles as a “humbling wake-up call.”

He claimed the changes were required to respond to a new “economic reality” and allow the company to invest in the future.

The company’s recruitment team members were the first to go in March.

According to the firm’s plans, the most recent notifications apply to personnel working on the firm’s IT teams.

Next month, another round of layoffs will likely affect business and administration personnel.

The corporation has stated that the timetable may differ for people living outside of the United States and that some cuts may only be completed at the end of the year.

According to rumors, Instagram employees in London will be laid off or moved.

When the social media app’s CEO, Adam Mosseri, relocated temporarily to London last year, the London headquarters became a hub for growth. After that, Mosseri and his crew intend to relocate to the United States.

The actions come as the business world braces for a broader economic slowdown, as increased borrowing prices impede commercial activity.

The technology industry, whose low borrowing costs have aided investment and expansion, has been particularly hard-struck.

According to announcements recorded by the website, layoffs.fyi, more than 170,000 individuals in the business have been fired off internationally since the beginning of the year, with huge names like Amazon and Google responsible for some of the largest actions.

Among the other statements made this week was that online real estate giant Opendoor would cut 560 jobs or 22% of its employees.

ESPN’s layoffs have begun

The first round of ESPN layoffs has begun and is anticipated to go on until Wednesday.

While sources say this week’s layoffs would not involve “talent” — what the media business refers to as on-air personalities in front of the camera — ESPN will trim its roster in the coming months and years as it revamps its strategy.

According to reports, the network would tighten its belt for individuals earning more than seven figures, but with a special eye on those earning $2 million to $5 million each year.

This has already occurred with top college football play-by-play announcer Chris Fowler, who, according to sources, will remain with the network but will not receive the large raise he sought.

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The current layoffs at ESPN are part of Disney CEO Bob Iger’s goal to eliminate 7,000 jobs across the firm.

ESPN chairman Jimmy Pitaro has directed department heads to examine every area of their divisions.

There are no “sacred cows,” though Stephen A. Smith, Scott Van Pelt, and Joe Buck aren’t going anywhere.

Reference: ESPN announces first round of layoffs