Disney is navigating multiple operational pressures, ranging from shifting audience habits to the rapid rise of artificial intelligence. To counter these challenges, leadership plans to target specific operations with deeper workforce reductions while reinvesting the recovered capital into core assets like cruise ships and television production. The company closed fiscal 2025 with approximately 231,000 employees following multiple prior rounds of job reductions.
Key points
Leadership plans to redirect savings from the workforce reductions into theme parks, tech…: Leadership plans to redirect savings from the workforce reductions into theme parks, technology, and programming.
Disney faces compounding business challenges that include slower international park atten…: Disney faces compounding business challenges that include slower international park attendance and rising streaming competition.
Major industry competitors like Netflix and Skydance have also executed layoffs to curb e…: Major industry competitors like Netflix and Skydance have also executed layoffs to curb entertainment sector expenses.
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The reported restructuring effort comes as CEO Josh D'Amaro navigates challenges including the growing use of AI, weaker box office revenue, intensifying competition from streaming rivals and a slowdown in international attendance at the entertainment company's theme parks.
Some Disney operations are expected to bear a larger share of the cuts than others and D'Amaro aims to reinvest part of the savings into film and TV programming, technology, theme parks and cruise ship businesses, the report said.
Disney did not immediately respond to a Reuters request for comment outside regular business hours.
The report did not specify how many jobs could be affected. Disney employed about 231,000 people at the end of fiscal 2025.
The entertainment giant has been cutting jobs in recent years as part of broader efforts to improve profitability.
Reuters reported in September that Disney was laying off a few hundred employees across its human resources and technology divisions.
The company had previously cut about 1,000 positions in April, several hundred jobs in 2025, and 7,000 roles in 2023 as part of its efforts to save $5.5…
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