Disney company started laying off 7000 employees

Los Angeles:

The effect of economic recession is now visible on the entertainment industry as well.

The Walt Disney Company has started laying off 7000 employees on Monday.

However, the company had announced the layoffs earlier this year.

The company has taken this step in an attempt to control costs and create a more streamlined business.

Citing Bob Iger's letter, Reuters had informed about this move of Walt Disney Company.

According to a person with knowledge of the matter, people from Disney Entertainment, Disney Parks, Experience, Product and Corporate sections will be affected.

At the same time, ESPN can also be included in the deduction. 

According to the news of Reuters

, heavy losses are being seen in the entertainment industry for some time.

Many companies have started laying off employees.

These media companies have suffered loss of billions of dollars.

For this reason, companies have started cutting their expenses.

He began reining in spending when Netflix reported in early 2022 that its subscribers were declining and Wall Street began prioritizing profitability over subscriber growth.

Iger said Disney will begin notifying the first group of employees who are affected by the downsizing over the next four days.

A second major round of job cuts will take place in April, with "several thousand more workers cut" and the final round will begin before the start of summer, the letter said.

The Burbank entertainment conglomerate announced in February that it would eliminate 7,000 jobs as part of an effort to save $5.5 billion in costs and make its money-losing streaming business profitable.

"The hard reality of many colleagues and friends leaving Disney is not something we take lightly," Iger wrote, noting that working at "Disney" is a passion in many employees' lives. is closely guarded by the company. However, according to insiders, the anticipated cuts will happen before Disney's annual shareholder meeting on April 3.

(This news has not been edited by NDTV team. It is published directly from syndicate feed.)