Walt Disney is reportedly preparing another major round of workforce reductions, with thousands of jobs potentially affected as the entertainment company pushes managers to identify annual cost savings of up to 20%. According to a Bloomberg report published on November 3, 2026, some managers have been asked to achieve the savings through a combination of job eliminations and reductions in other operating expenses. The exact number of positions that could be eliminated has not been disclosed.
The restructuring is being led under CEO Josh D’Amaro, who is seeking to reduce operating costs while redirecting part of the savings towards film and television programming, technology, theme parks and cruise businesses. The potential cuts could affect several parts of Disney’s operations, including television networks, movie studios and theme parks. Disney had approximately 231,000 employees worldwide at the end of fiscal 2025. The company declined to comment on the latest reported plans.
Disney targets 20% annual cost savings across some divisions
The reported restructuring requires some Disney managers to identify opportunities to reduce annual expenses by as much as 20%.
The target does not necessarily mean that every affected department will eliminate 20% of its workforce. The savings could come from several areas, including:
- Workforce reductions: Eliminating positions or consolidating responsibilities across teams.
- Operating expenses: Reducing administrative and other recurring business costs.
- Organisational restructuring: Reviewing management layers, reporting structures and overlapping functions.
- Technology and process improvements: Using technology to improve productivity and reduce operational expenses.
The reductions are expected to be uneven across the company, with certain business units facing larger changes than others.
Disney operates a broad portfolio that includes ABC, ESPN, film studios, streaming services, theme parks, consumer products and cruise businesses. The restructuring is therefore likely to involve different cost-saving requirements depending on the needs and financial performance of individual divisions.
The company has not publicly confirmed a final number of layoffs, a detailed timetable or the departments that will face the largest reductions.
Josh D’Amaro wants to redirect savings towards growth businesses
The reported cost-cutting exercise is not limited to reducing expenses. Disney’s management also wants to redirect some of the savings towards businesses considered important for its future growth.
CEO Josh D’Amaro intends to reinvest part of the savings in:
- Film and television programming.
- Technology infrastructure and digital platforms.
- Theme park attractions and visitor experiences.
- Cruise operations and related businesses.
The strategy reflects an effort to control the company’s overall cost structure while continuing to invest in areas that can generate future revenue.
Disney faces a changing entertainment market in which traditional television networks are under pressure from streaming platforms and digital video services.
At the same time, the company needs to spend on original content, technology and physical experiences to maintain its position in the entertainment industry.
The challenge is to reduce expenses without weakening the creative teams, technology capabilities and customer experiences that support its businesses.
Disney has already eliminated thousands of jobs
The latest reported plans follow several rounds of workforce reductions at Disney over recent years.
The company undertook a major restructuring in 2023 under former CEO Bob Iger, announcing approximately 7,000 job cuts as part of a broader plan to reduce costs by $5.5 billion.
The reductions affected several divisions, including ABC, ESPN, Pixar, the film studio and corporate operations.
Disney continued making smaller workforce reductions in subsequent years.
In April 2026, the company eliminated approximately 1,000 positions across different parts of its operations. Additional cuts involving several hundred employees were reported during 2025.
More recent reductions have also affected areas such as human resources and technology, according to Reuters reporting.
Disney’s recent workforce reduction timeline
| Period | Reported workforce action |
|---|---|
| 2023 | Approximately 7,000 jobs eliminated |
| 2025 | Several hundred additional positions cut |
| April 2026 | Approximately 1,000 positions eliminated |
| September 2026 | Several hundred employees affected, including HR and technology |
| November 2026 | Thousands of further job cuts reportedly under consideration |
The latest proposal would extend a multi-year effort to simplify Disney’s organisation and control operating expenses.
However, the November 2026 plans remain reported restructuring discussions rather than a formally announced company-wide layoff programme.
Why Disney is cutting costs amid industry changes
Disney’s restructuring comes as traditional entertainment companies face pressure from changes in how audiences consume content.
Several developments are influencing the industry’s financial model.
1. Traditional television faces declining viewership
Traditional television networks have been losing viewers as audiences move towards streaming platforms, social media and online video.
This shift creates pressure on advertising revenue and distribution arrangements.
Disney owns several major television properties, including ABC and ESPN, making the transition particularly important for its business model.
The company needs to manage the costs of its traditional television operations while developing digital distribution and streaming businesses.
2. Streaming competition requires continued investment
Streaming platforms compete through original programming, sports rights, technology and international expansion.
Producing high-quality content requires significant investment, while customer acquisition and retention remain important operating challenges.
Disney must balance content spending against profitability targets as it competes with companies such as Netflix and technology-backed streaming services.
3. Artificial intelligence is changing entertainment production
Artificial intelligence is creating new opportunities to automate certain business processes and improve productivity.
Entertainment companies are examining how AI can support content development, marketing, customer service, technology operations and other activities.
However, AI is only one part of the broader restructuring environment. The reported Disney cost-saving targets also reflect competition, operating expenses and changing business priorities.
The latest report does not establish that AI alone is responsible for the potential layoffs.
4. Theme parks and international attendance face changing conditions
Disney’s theme parks remain an important part of its business, but the company also faces pressure from operating costs and fluctuations in international visitor demand.
The reported restructuring could affect some parts of its experiences business, although the extent of any reductions has not been disclosed.
D’Amaro previously led Disney’s experiences division before becoming CEO, giving the business a prominent role in his wider strategy.
Disney promises double-digit adjusted earnings growth
The cost-reduction exercise also comes as Disney targets double-digit growth in adjusted earnings per share during the current fiscal year.
Adjusted earnings per share are an important financial measure because they indicate the company’s earnings available to shareholders after accounting for the number of outstanding shares, excluding certain items that management treats as unusual or outside normal operations.
Reducing recurring expenses can support this target, particularly if savings are achieved without significantly affecting revenue-generating operations.
However, cost reductions alone cannot guarantee earnings growth. Disney must also maintain content performance, attract customers to its streaming services and sustain demand for its theme parks and other experiences.
The company’s ability to reinvest savings effectively will therefore be an important factor in determining whether the restructuring improves long-term financial performance.
Disney is not alone in restructuring its workforce
The entertainment industry has experienced several rounds of layoffs as companies adjust to the shift from traditional television towards streaming and digital distribution.
Netflix, Sony Pictures Entertainment and Skydance’s Paramount and Warner Bros. businesses have also undertaken workforce reductions or organisational changes.
These companies are dealing with overlapping challenges, including:
- Changing television advertising markets.
- High costs of producing original content.
- Competition for streaming subscribers.
- Pressure to improve operating profitability.
- Increasing investment in technology and AI.
The restructuring across the sector indicates that entertainment companies are reviewing how their organisations operate as audience behaviour and distribution models change.
Disney’s latest reported plans are part of this wider industry adjustment, although the scale and timing of the company’s eventual cuts remain uncertain.
The Bigger Picture
Disney’s reported plan to eliminate thousands of jobs reflects the pressure on traditional entertainment companies to become more cost-efficient while continuing to invest in digital platforms, content and customer experiences. The proposed 20% savings target for some managers suggests that the company is examining both workforce expenses and other operating costs. Under Josh D’Amaro, the strategy is to redirect part of the savings towards areas expected to support future growth, including technology, film and television programming, theme parks and cruises.
The key uncertainty is how Disney will balance cost reduction with the creative and operational capabilities that support its businesses. The company has already reduced thousands of positions over several years, but further cuts could affect teams across different divisions. Until Disney confirms the number of positions and the restructuring timetable, the latest report should be treated as a developing plan rather than a completed company-wide layoff announcement.
Looking Ahead
The next developments will depend on how Disney managers translate the savings targets into departmental plans. Employees and investors will be watching for official announcements about affected business units, the number of positions involved and the timing of any workforce reductions. The company’s next financial disclosures should also provide more information about its operating expenses and progress towards its adjusted earnings targets.
For the entertainment industry, Disney’s restructuring is another indication that companies are attempting to adapt to streaming competition, changing audience habits and new production technologies. The long-term outcome will depend on whether lower costs can be achieved while maintaining the quality of content and experiences that attract customers. Reinvestment in technology and creative businesses will be important if Disney wants its restructuring to support growth rather than simply reduce its workforce.
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