Disney Considers Thousands of Job Cuts as Managers Face a 20% Cost-Savings Target
Walt Disney Co. is considering another major cost-reduction effort. Bloomberg reported that the company has asked some managers to identify annual savings of 20%, with reductions potentially coming from job eliminations as well as cuts to other expenses. Reuters subsequently reported the Bloomberg account and noted that the company had not specified how many positions could be affected. The report describes internal discussions and a possible restructuring direction; it is not an official announcement of a finalized layoff list or a completed restructuring.
Bloomberg reported that some parts of Disney's operations could be affected more heavily than others. The businesses mentioned include theme parks, television networks and the movie studio. Chief Executive Officer Josh D'Amaro reportedly intends to reinvest part of the savings in film and television programming, technology, theme parks and cruise businesses.
That approach suggests the company is considering more than a simple reduction in its workforce. Management appears to be looking at how to redirect resources among different parts of the business while pursuing lower operating costs. The scale and timing of any changes remain unclear, and the reported target does not mean every division will face the same percentage reduction.
The public reports do not provide a final number of employees who may lose their jobs, a list of affected departments or a timetable for implementation. Reuters said Disney did not immediately respond to a request for comment. Bloomberg cited people familiar with the discussions, who were not identified because the conversations were private.
The reported savings could come from eliminating positions and reducing non-labor expenses. It would therefore be inaccurate to treat the phrase "thousands of job cuts" as a confirmed final figure. The 20% figure refers to a savings target reportedly discussed with some managers, not necessarily a 20% reduction in every department's headcount.
Disney has pursued cost reductions for several years. Reuters reported that the company cut about 7,000 positions in 2023 as part of a broader cost-saving plan. It later eliminated several hundred positions in 2025 and about 1,000 jobs in April 2026. Reuters also reported several hundred recent cuts in human resources and technology in September 2026.
The company had approximately 231,000 employees at the end of fiscal 2025, according to Reuters. That workforce spans theme parks, television, film, streaming, technology and other operations. The reported new round would therefore take place after multiple rounds of restructuring across a large and diversified business.
Disney's challenges are not limited to one division. Reuters identified the growing use of artificial intelligence, weaker box-office revenue, intensifying streaming competition and slower international attendance at Disney theme parks as pressures facing the company. Traditional television businesses are also dealing with declining revenue as audiences shift toward social media, online video and streaming platforms.
These changes create difficult decisions about where to reduce spending and where to invest. Content production and technology require sustained funding, while theme parks and cruise businesses depend on customer demand and capital investment. A cost plan that is too broad could weaken the very operations management wants to strengthen.
Layoffs can reduce payroll and operating expenses in the short term. But if cuts weaken content development, technology capabilities or customer service at parks, they could also damage long-term competitiveness. D'Amaro's reported intention to reinvest part of the savings in core businesses indicates that the discussions involve reallocating resources as well as reducing costs.
For investors and employees, the most important details remain unknown: the number of roles affected, which business units will bear the reductions, how quickly changes will be implemented and how much money will be redirected to growth initiatives. Until Disney confirms those details, the report should be treated as an account of internal planning based on unnamed sources rather than a completed corporate decision.