The company’s first round of layoffs will begin this week. According to CEO Bob Iger, the media and entertainment company will lay off 7,000 people in three rounds.
According to CNBC, the job losses will effect Disney’s media and distribution segment, as well as ESPN and the parks and resorts division.
“We will begin notifying employees whose positions will be affected by the company’s workforce reductions this week,” Iger stated in the memo.
“A second, larger round of notifications with several thousand more staff reductions will occur in April, and we expect to begin the final round of notifications before the beginning of the summer to meet our 7,000-job target,” he continued.
Iger said in February that Disney would lay off 7,000 employees to save billions of dollars by restructuring the corporation, slashing content, and reducing compensation, IANS reported from SanFrancisco.
“I want to acknowledge that there will no doubt be challenges ahead as we continue to build the structures and functions that will enable us to be successful moving forward for our employees who aren’t impacted.” “I ask for your continued patience and collaboration during this difficult time,” Iger said in his memo.
Disney anticipates saving around $3 billion over the next three years, excluding sports.
To decrease expenses, Warner Bros., Discovery, and other traditional media companies have lost thousands of positions.
“As part of a strategic realignment of the company, including important cost-saving measures required for creating a more effective, coordinated, and streamlined approach to our business,” Iger wrote.