Just over two months after being chosen as the new CEO of Disney , Josh D'Amaro is preparing a deep cut in the workforce, amid demands from investors for growth.
The company plans to lay off more than 1,000 employees in the coming weeks, with a large portion of the cuts occurring in the recently consolidated marketing department, according to the American newspaper The Wall Street Journal (WSJ) .
These layoffs add to the more than 8,000 jobs that have been eliminated since D'Amaro's predecessor, Bob Iger , returned as CEO in 2022 and initiated a major restructuring.
Disney employed approximately 231,000 people at the end of fiscal year 2025, which ended on September 27. Of that total, about 80% worked in the experiences division, which includes theme parks and merchandise.
Most of the recent layoffs occurred in the entertainment sector, at the ESPN sports channel, and in corporate operations, while theme parks and the cruise line showed growth.
Layoffs have been a constant in the US entertainment market, with studios adjusting to a new reality of lower profits due to reduced streaming revenue.
The return on investment from these platforms is lower than what companies got from television, in addition to reducing box office revenue, with fewer people going to the movies.
Competitors such as Sony Pictures , Paramount , and Warner Bros. Discovery have also reduced their workforce in recent years. And more layoffs are expected if Paramount completes its acquisition of Warner .
In Disney's case, these events occur at a time when D'Amaro is trying to consolidate his position, after his first attempt to replace Iger as CEO , which ended up being a fiasco.
The company was heavily criticized by investors for failing to adjust and deliver results. Over the past 12 months, Disney's shares have fallen 6%, an improvement compared to February, when the stock was down 18.4%. The company's market capitalization currently totals US$176.8 billion.
This situation was one of the factors that led activist investor Nelson Peltz to launch a campaign against Iger, generating a lot of volatility and newspaper headlines. In the end, the experienced Disney executive prevailed after committing to restructuring operations.
Since taking over as CEO last month, D'Amaro has not presented specific plans to reshape Disney. Sources close to the company, speaking to the WSJ , stated that one of his priorities is to get the different divisions to collaborate more quickly and efficiently.
