Disney Reportedly Preparing Thousands of Layoffs as Managers Told to Target 20% in Annual Cost Savings

The Walt Disney Company is preparing to cut thousands of jobs across the organization, with some managers instructed to find up to 20% in annual cost savings, according to people familiar with the matter cited by CNBC and other outlets reporting on a Bloomberg News account of the plan. The exact number of positions at risk has not been disclosed, and Disney has not issued an official statement confirming the scope or timing of the reductions.

What Is Being Reported

According to people familiar with the matter who spoke to CNBC, Disney is planning to cut several thousand jobs. The India Today and Japan Times reports, both citing Bloomberg, say some managers have been asked to reduce costs by up to 20% annually. Those savings would not necessarily come from headcount alone. Bloomberg's reporting, as relayed by Anadolu Agency and Japan Times, indicates the cost reductions could stem from a mix of staff eliminations and broader operational expense trims, according to people familiar with the discussions who were not authorized to speak publicly.

No outlet in the current reporting has specified a precise headcount figure or an implementation timeline. Riviera Radio similarly notes that while several divisions could be affected, the exact number of jobs at risk remains unclear.

Which Divisions Could Be Hit Hardest

Per the Bloomberg-sourced reporting cited by Anadolu Agency and Japan Times, disproportionate impacts are expected across specific business lines, including theme parks, television networks and film production studios. A post from Scott Gustin on X, summarizing the Bloomberg report, adds that some divisions are expected to be hit harder than others, with part of the resulting savings redirected toward content, technology, parks and cruises.

This would not be an isolated move. The Wall Street Journal reported on Oct. 1, as referenced by Japan Times and Ukrainian outlet UNN, that Disney was already planning a restructuring of its TV division alongside cuts to its legal and global affairs unit. Separately, Riviera Radio reported that Disney's theme parks division recently cut between 100 and 200 jobs within Walt Disney Imagineering, the unit that designs attractions, resorts and entertainment experiences.

Where the Savings Would Reportedly Go

According to the Bloomberg account relayed by Anadolu Agency and India Today, Disney CEO Josh D'Amaro intends to reinvest a portion of the realized savings into movie and television production, technology, theme parks and cruise line operations. India Today's version of the report frames this as fresh funding for core growth areas even as the company trims costs elsewhere.

Disney President Dana Walden, speaking last month at the Bloomberg Screentime conference as quoted by Japan Times, said there is a need to constantly evaluate how the organization is structured and how large it should be, pointing to technology-driven disruption across the business.

No Official Confirmation From Disney

Disney has not publicly confirmed the specifics of the plan. A company spokesperson declined to comment when approached by Bloomberg, according to both Anadolu Agency and Japan Times. This is a reported plan sourced to unnamed people familiar with internal discussions, not a statement from Disney itself, and the company's own account of its cost-cutting work remains limited to prior public remarks.

Those prior remarks include an Aug. 5 letter to shareholders from D'Amaro and Chief Financial Officer Hugh Johnston, cited by CNBC, in which the two executives wrote that the company remains "highly focused on reducing costs across the enterprise to create incremental capacity to invest for growth" and is "evaluating a variety of levers," adding that Disney is "mid-stream in this work" and would provide future updates. CNBC also notes that Disney is scheduled to report fiscal fourth-quarter earnings on Nov. 17, a date that could bring further detail.

Context: A Pattern of Cost Cuts Across the Industry and at Disney

India Today's report places the current plan against the backdrop of Disney's largest prior reduction, in 2023, when then-CEO Bob Iger eliminated 7,000 jobs to save the company $5.5 billion. Variety, as cited by UNN, has characterized the newly reported round as the fourth under D'Amaro in 2026, and the one expected to affect the largest number of employees of the year.

The move would also mirror broader retrenchment across entertainment and media. CNBC reported that Netflix said in a memo last month it would lay off roughly 6% of its workforce, while Skydance, the newly combined company of Paramount and Warner Bros. Discovery, is also expected to cut staff as it works toward $6 billion in synergies over three years. Disney, for its part, has pledged double-digit growth in adjusted earnings per share for the current fiscal year, according to the Bloomberg-sourced reporting cited by Anadolu Agency and Japan Times. Interpretation: lower operating costs would make that earnings commitment easier to meet, though none of the cited reporting explicitly links the savings target to the EPS pledge.

Bottom Line

The reporting so far describes an internal cost-cutting push at Disney built around a 20% annual savings target for some managers, with theme parks, TV networks and film studios flagged as areas likely to see outsized impact and some savings earmarked for reinvestment in content, technology, parks and cruises. None of this has been confirmed on the record by Disney, and key details, including the final headcount reduction and rollout timeline, remain undisclosed. Disney's Nov. 17 earnings report is the next scheduled moment where the company could choose to address the reporting directly.