The Walt Disney Company has begun layoffsThe decision will reportedly affect nearly 1,000 positions across the organization. New CEO Josh D’Amaro informed employees of the layoffs in an internal email. The move is part of a restructuring of the organization under Project D’Amaro.
Regarding severance pay:
Severance pay is based on an employee’s grade, according to documents reviewed by Business Insider. In some cases, it also depends on how long they have been with the company.
Citing guidelines from the Disney employee handbook, way out According to the report, employees in non-management positions who have worked for the company for less than five years will receive four weeks of salary. Employees in the same position who have been with the company for more than five years will receive one week’s salary per year, up to a maximum of 52 weeks.
For managers with less than 5 years of service, the severance package includes 6 weeks of salary. According to reports, those employees who have worked at Disney for more than five years will receive four weeks of pay, plus one week of pay per year, up to a maximum of 52 weeks.
disney The company reportedly offered 13 weeks’ pay to directors who had worked there for less than five years. For those who have worked in the same position for more than 5 years, severance pay includes 6 weeks of pay, plus 2 weeks of pay per year, up to a maximum of 52 weeks.
As for vice presidents, those who have been with the company for less than five years will receive 26 weeks of pay, and those with more than five years will reportedly receive 18 weeks of pay, plus two weeks per year, up to a maximum of 52 weeks.
Disney CEO’s memo to affected employees:
D’Amaro said in an internal memo that Disney “will eliminate positions in certain parts of the company.”
Here is the full memo:
Dear Employees and Cast Members: Our company and the industry as a whole have experienced tremendous changes over the past few years. Knowing firsthand how these moments bring uncertainty, I want to be open to some of the difficult news that will be delivered this week.
In January, we announced a unified enterprise marketing and brand organization designed to serve consumers in a more connected way. Over the past few months, we’ve been looking at how to streamline operations across all parts of the company to ensure we can deliver the world-class creativity and innovation that fans value and expect from Disney. Given the rapid evolution of our industry, this requires us to continually evaluate how to develop a more agile and technology-enabled workforce to meet future demands. As a result, we are eliminating positions in certain parts of the company and have begun notifying affected employees.
I know it’s hard. Those who are leaving us have done meaningful work here and care deeply about this company. These decisions do not reflect their contributions or the overall strength of the company. Rather, they reflect our ongoing evaluation of how to more effectively manage our resources and reinvest in our business.
Compassion and respect remain at the core of our company. As we move forward with this transition, our first priority is to support those affected and help everyone cope with what comes next with resources, guidance and direct support.
Despite these difficult decisions, I remain optimistic about the direction of our company. I am deeply grateful for all your contributions and the dedication, professionalism and care you show every day at work. Even in challenging times, you continue to showcase what makes Disney unique.
Josh
Social media reaction:
Disney’s massive layoffs have sparked mixed reactions on social media. One person wrote: “Josh, what happened to the ‘Disney family’ employees? Josh, what happened to the ‘Disney family’?”
Another added, “If firing people makes a business more productive, then lead by example.” A third posted: “This is so cruel and super sad.”
Also read: Oracle’s massive layoffs: All you need to know about severance packages for laid-off U.S. employees
According to Reuters, the planned layoffs will affect less than 1% of its total workforce. Disney employed approximately 231,000 people as of the end of fiscal 2025.
