(DailyVantage.com) – Disney’s television division announced in late July that it was laying off roughly 2 percent of its workforce as part of the entertainment and media giant’s ongoing cost-cutting efforts.
The layoffs affect 140 Disney Entertainment Television jobs from National Geographic, Freeform, and some of ABC’s local outlets, as well as some publicity and marketing teams.
According to a source familiar with the plan, National Geographic, which Disney acquired from 21st Century Fox for 71.3 billion in 2019, will lose 13 percent of its workforce. However, no teams will be eliminated.
The latest layoffs are part of the Walt Disney Company’s cost-cutting efforts that began in 2023 as a way to stem the losses incurred by Disney’s streaming business. CEO Bob Iger said last year that as part of the $5.5 billion cost reduction plan, the company would trim 7,000 jobs.
However, the targeted cuts eventually expanded, with Disney saying it would eliminate 8,000 positions as part of an effort to find about $7.5 billion in savings companywide.
The media giant overextended itself when it sought to compete with streaming giant Netflix by expanding Hulu and Disney+. Investor Nelson Peltz placed intense pressure on the company to come up with a more realistic plan to make its streaming service profitable.
Peltz sought a seat on the Disney board to better influence the company’s business strategy but ultimately lost his campaign when the shareholders resoundingly voted against him.
The entertainment television operations are headed up by co-chair Dana Walden, who joined Disney as part of its acquisition of 21st Century Fox. Its stable of shows include “Shogun” and “The Bear” on FX, ABC’s “9-1-1” and “Abbott Elementary,” and “Only Murders in the Building” on Hulu.
Disney TV has earned the media giant success at the Emmy Awards, receiving 183 nominations for its programming. FX became the second-most nominated network on television after Netflix, topping even HBO/Max.
The layoffs follow significant cuts in the Disney-owned animation studio Pixar, which reduced its workforce by 14 percent in May.
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