Disney has initiated its third wave of job cuts, eliminating hundreds of positions across multiple divisions. While precise figures remain undisclosed, reports point to the human resources and IT sectors bearing the brunt of these reductions. This action was anticipated following a shareholder communication from CEO Josh D’Amaro and CFO Hugh Johnston outlining plans for reduced expenditures and workforce reorganization.
This latest downsizing comes on the heels of two prior rounds that saw the elimination of more than 1,000 positions. In April, the creation of a unified enterprise marketing team resulted in numerous job losses. Subsequent cuts in July affected several hundred workers, particularly within Pixar, ESPN, Disney Entertainment Television, and Disney’s studio operations. Additionally, the company extended early-retirement packages to select senior executives in August.
The cuts are part of Disney’s ongoing strategy to lower expenses and redirect capital toward key growth initiatives. In their August letter to shareholders, D’Amaro and Johnston stated, “We remain highly focused on reducing costs across the enterprise to create incremental capacity to invest for growth and are evaluating a variety of levers including reductions in labor and SG&A.”
These recent terminations demonstrate that Disney’s expense-reduction campaign is ongoing. Rather than executing a single massive layoff, the organization has implemented reductions incrementally across various business units and departments.
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Josh D’Amaro’s Early Moves at Disney
The workforce reductions also reflect D’Amaro’s initial strategic decisions as CEO. His early restructuring efforts began in April with the formation of the combined marketing division, followed by additional modifications across corporate and entertainment groups, alongside early-retirement offers for senior personnel. Together, these actions highlight a broader initiative to streamline operations and reallocate funds toward future expansion.
While this new phase of cutbacks introduces renewed uncertainty for staff, it represents another milestone in D’Amaro’s ongoing strategy to restructure Disney and manage operational expenses.
