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The company has been paying workers and providing health care benefits at its theme park resorts since the parks closed in mid-March.
As the entertainment industry across the US has come to a standstill due to the COVID-19 crisis, the Walt Disney Co. has decided to furlough some of its workers whose ‘jobs aren’t necessary at this time’ starting from April 19.
Anyone who is furloughed will remain a Disney employee, the company said in a statement on Thursday.
Like many other firms, Walt Disney Co. has been crippled by the pandemic, its cruise line is shut many and of its big movies have been delayed. Company’s theme park have also witnessed similar fate and majority of them have been shut since March 15. After this latest announcement the company, however, has committed to continue to pay its employees’ salaries.
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In the latest statement released on Thursday, the company did not clear when it will be able to reopen its businesses, especially the theme parks-Disneyland. It said that it was “forced to make the difficult decision to take the next step and furlough employees.”
As per the reports, more than 75% of the company’s 223,000 employees work for Disneyland and Products division.
Over the last few weeks, mandatory decrees from government officials have shut down a majority of our businesses,” the statement said.
The statement did not say how many of Walt Disney World’s more than 75,000 employees or Disneyland’s 31,000 workers would be furloughed, but it would involve executive, salaried and hourly non-union employees.
The company has been paying workers and providing health care benefits at its theme park resorts since the parks closed in mid-March due to coronavirus concerns and that will continue through April 18, the company said.
Furloughed workers will continue to receive full healthcare benefits, plus the cost of employee and company premiums will be paid by Disney. Employees enrolled in a program in which Disney pays tuition for further education can still continue to take classes, the statement said.
Employees can also apply paid vacation time to the start of their furlough if they desire, the company said.
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