Walt Disney Co. has started pressing managers to identify where they can slash expenses by 20%, a process that could eliminate thousands of roles across the entertainment giant.
The drive for annual cost savings comes as Disney chases double-digit growth in adjusted earnings per share this fiscal year. Some divisions will absorb deeper cuts than others, given how broadly the company operates across theme parks, television networks, and film studios.
People with knowledge of the discussions said the savings would come from both headcount reductions and lower operating expenses. They requested anonymity because the talks remain confidential. A Disney spokesperson declined to comment.
Chief Executive Officer Josh D’Amaro reportedly plans to funnel part of those savings back into content production, technology, and the parks and cruise businesses. Disney employed roughly 231,000 people worldwide at the close of its last fiscal year.
The company has already trimmed billions in costs and cut thousands of positions during recent years. Those reductions reached across ABC, ESPN, Pixar, the studio division, and the experiences unit.
Meanwhile, the broader entertainment sector faces similar pressure. Netflix, Sony Pictures Entertainment, Paramount, and Warner Bros. have all shed jobs as traditional TV revenue erodes and streaming growth cools. Viewers continue migrating toward social platforms and tech-backed services from Amazon and Apple.
Disney President Dana Walden addressed the challenge directly at the Bloomberg Screentime conference in Los Angeles last month. She said the organization must constantly reassess its structure and size, adding that technology companies have set their sights on Disney’s business.
The next wave of cuts will likely land unevenly across Disney’s portfolio, reflecting which units can trim without derailing strategic priorities.
