Disney will dismiss 200 employees against the background of restructuring plans

Folk company of entertainment Walt Disney intends to reduce its workforce by almost 6 %. About 200 employees will be fired in its ABC news group and Disney Entertainment Networks.

The development, which was first cited by Wall Street Journal (WSJ), comes in the middle of several restructuring efforts. Change is a response to the recent influence of traditional cable television and repositioning consumer behavior.

As the entertainment company adapts to a rapid media industry, redundancies seem to be part of a wider strategy to reduce expenses and more efficient operations.

Although Disney will also launch another official declaration on dismissal, WSJ mentioned that several key divisions should be affected by restructuring, including the fusion of long -term news magazines of ABC, 20/20 and Nightline. The company also intends to eliminate the unit operating fivethirtyight, political site and data analysis.

Also, the production staff at Good Morning America is expected to be affected. The Disney Entertainment Networks division, which supervises cable channels such as FX, is also expected to attend the tendency of its unit of programming and programming operations.

Reported Technext In February 2023, Disney+ fired 7,000 employees, about 4 percent of the global workforce, as part of its restructuring plans in February 2023.

In the last year, Disney stock has decreased by almost 4 percent, signaling investors’ concerns about its ability to handle industry challenges. However, the company’s stock showed a small improvement after Wednesday.

The disposition follows a change throughout the entire industry, which saw the big media companies to rethink their business models.

Read similar: Vodacom South Africa to dismiss 133 employees against the background of revenue growth.

Disney’s financial performance

The entertainment company has not experienced a smooth journey lately. His top streaming platform, Disney+, has witnessed a decrease in subscribers in recent quarters, while competitors like Netflix continue to expand and raise subscription fees.

After a substantial increase in prices in the fourth quarter 2023, Disney+ registered a decrease of 1.3 million subscribers. During the loss, the streaming platform has successfully reduced its streaming business losses by $ 300 million in October-December.

On the green side, the latest Disney winnings report has surpassed the WSJ projections, as it was partially determined by measures to reduce the costs and strong performances in its themed park and experience segment. Following the flow, the company mentioned that it anticipates a “modest decline” in Disney+ subscriptions for the second quarter.

During the continuous decline in watching cable television, led by the reduction of the cord and the increase of streaming services, the company was challenged in its traditional broadcasting activity.

Recent dismissions in the world of technology

Disney disney dismemberment is happening as a result of a series of other similar evolutions in the mass -the media in rapid evolution.

Recent, Reported Technext TiktokDisposition within its unit that manages various content moderation and implements community orientations – Unit of confidence and safety. The redundancies spread to his teams in Asia and Europe, the Middle East and Africa.

The action of the video content platform follows that of October 2024, when the company DEVICE Hundreds of employees of the global workforce, who included about 400 employees in Malaysia, because it has focused on a higher use of content moderation. Most of the employees involved were in the operations to moderate the Tiktok content.

In February, Meta has performed pre -enlightened dismissions at the level of the whole company of 5 % of the workforce (almost 4,000 employees). Job discounts will allow the company to focus on AI and improve efficiency.

Employees from Germany, France, Italy and the Netherlands have been exempted from the discounts “due to local regulations”, while those in more than a dozen by other countries in Europe, Asia and Africa have wore burns.

Also, Vodacom group fired 113 employees in his southern -African branch. The main provider of telecommunications and digital services in Africa has assigned the rendering of staff as part of the group’s restructuring plans.

The company, which described the reduction of the job as unfortunate, said that it is part of the concerted effort to ensure that the company remains appropriate to support its strategic change to become a top technology company.

Development is the second time in the last 12 months, when Vodacom has reduced jobs. A year ago, Vodacom reduced about 80 roles that he blamed on being a telecommunications operator to several technology companies.

The redundancies in the technology sector began as a result of overload during the Covid-19 pandemic. Companies tried to balance the situation, but they did not succeed, because many companies found that they had more employees than needed, which led to significant job discounts.

Experts predicted that job losses may continue to escalate over the coming months as enterprises are struggling financially, potentially pushing unemployment rate at 5% By the end of the year.