Disney widens layoffs at parks

On the day before Thanksgiving, the Walt Disney Co. revealed 4,000 more layoffs are coming in its theme parks division, bringing the total number of announced layoffs to 32,000 across the company.

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November 27, 2020 - 10:49 AM

ORLANDO, Fla. — On the day before Thanksgiving, the Walt Disney Co. revealed 4,000 more layoffs are coming in its theme parks division, bringing the total number of announced layoffs to 32,000 across the company.

At least 18,000 of the total jobs lost belong to cast members at Walt Disney World. This year, the resort has already lost nearly a quarter of its reported 2019 workforce of 77,000.

About 32,000 employees will be laid off in the first half of the 2021 fiscal year. 

“Due to the current climate, including COVID-19 impacts, and changing environment in which we are operating, the Company has generated efficiencies in its staffing, including limiting hiring to critical business roles, furloughs and reductions-in-force,” the filing with the SEC said.

Eric Clinton, president of Unite Here Local 362, the union that represents the resort’s employees, called the previous round of announced layoffs “devastating.”

The Walt Disney Co.’s theme parks division lost about $2.4 billion in revenue this year compared to 2019. Disneyland Resort in California has been closed since March and the Disney Cruise Line has extended its suspension of departures through the end of January.

Disney World continues to operate at a limited capacity since its reopening in July. Earlier this month, Disney CEO Bob Chapek said the resort was raising its occupancy cap from 25 to 35% and expressed optimism at the park’s ability to effectively implement COVID-19 safety protocols.

Disney World is anticipating a busy holiday season, with 77% of park reservations booked for the next quarter. As of Nov. 12, the resort was booked near capacity over the Thanksgiving weekend, Disney executives said.

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