American multinational mass media and entertainment conglomerate Disney has announced plans to eliminate approximately 1,000 positions as part of a broader effort to streamline operations and adapt to the rapidly evolving media landscape.
The decision was communicated in an internal email sent to employees on April 14, 2026. In his message, the company’s new chief executive, Josh D’Amaro, emphasized the need for structural adjustments to maintain Disney’s competitive edge.
He noted that the fast-moving nature of modern industries requires continuous evaluation of how to build a more agile and technologically enabled workforce capable of meeting future demands.
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Part of his email reads,
“Over the past several months, we have looked at ways in which we can streamline our operations in various parts of the company to ensure we deliver the world-class creativity and innovation our fans value and expect from Disney. Given the fast-moving pace of our industries, this requires us to constantly assess how to foster a more agile and technologically-enabled workforce to meet tomorrow’s needs. As a result, we will be eliminating roles in some parts of the company and have begun notifying impacted employees.”
D’Amaro explained that, in recent months, the company had reviewed various aspects of its operations to ensure it continues delivering the level of creativity and innovation audiences expect. As a result, roles across several divisions are being eliminated, with affected employees already being notified.
The layoffs are expected to primarily impact Disney’s recently consolidated marketing functions under its new unified enterprise marketing division. However, cuts will also extend to other areas, including studios, television, ESPN, product and technology, and select corporate units.
The move comes amid broader strategic adjustments within Disney, including a failed collaboration with OpenAI. The partnership reportedly unraveled after the AI firm scaled back its video generation tool, Sora, which Disney had intended to leverage for user-generated content on Disney+.
D’Amaro, who succeeded Bob Iger as CEO, faces mounting pressure to sustain the strong performance of Disney’s parks division while improving profitability in its streaming business and addressing the ongoing decline in traditional television. His appointment followed a period of uncertainty that included leadership transitions and a major corporate restructuring.
Iger had returned to lead Disney in late 2022, tasked with stabilizing the company amid declining stock performance and missed earnings expectations. By early 2023, Disney had unveiled a sweeping reorganization plan that included $5.5 billion in cost reductions and the elimination of 7,000 jobs.
Since assuming office, D’Amaro has acknowledged Iger’s role in steering the company through a challenging period, while signaling the need for continued transformation. Like other major Hollywood players such as Warner Bros, Discovery, and Paramount Global, Disney is navigating shifting economic realities, including declining television revenues, reduced box office returns, and intensified competition in the streaming space.
As of the end of its last fiscal year in September, Disney employed approximately 231,000 people globally. Despite the layoffs, investor sentiment appeared positive, with Disney shares rising 1.6% on Tuesday, outperforming the broader S&P 500, which gained 1.1%.
Over the past year, Disney’s stock has risen by 21%, although it remains below levels seen a decade ago and has declined roughly 45% over the last five years, underscoring the long-term challenges facing the entertainment giant.