The Walt Disney Company is reportedly preparing to cut thousands of jobs as part of a major cost-saving initiative. Bloomberg News reported, citing people familiar with the matter, that managers have been instructed to identify annual savings of 20%. The savings could come from layoffs and other expense reductions.
The reported plan comes as CEO Josh D'Amaro faces weaker box office performance and intense competition in streaming. The impact is not expected to be equal across all divisions.
Disney plans to reinvest some of the anticipated savings in growth areas, including film and television programming, technology, theme parks, and its cruise line business. The company has not officially commented on the reports.