Explained: What’s behind the Disney layoff? CEO Josh D’Amaro’s plan to reshape the company with 1,000 job cuts

Josh D'Amaro is the new Disney CEO.


The mouse house is tightening its belt again, and this time the cuts are landing right across some of its biggest kingdoms. The Walt Disney Co. has quietly begun a fresh round of layoff that is going to wipe out around 1,000 jobs. Now this is sending wave of uncertainty through one of the world’s most powerful entertainment giants. And yes, this is not a small reshuffle. It’s another big shake-up in an industry already wobbling under pressure.

Josh D’Amaro, who officially stepped into the top job after Bob Iger’s transition, broke the news in a memo to employees on Tuesday. The message was calm on paper, but the reality behind it is anything but soft.

Disney is cutting into its marketing machine, studio arms, TV divisions, ESPN, product and technology teams, and even certain corporate functions. The goal, leadership says, is “streamlining.” The impact, for many employees, is far more personal.

Marketing shake-up sparks the first wave

The layoffs are closely tied to Disney’s internal decision to consolidate its marketing and brand operations. Earlier this year, the company had already started tightening this area, pushing veteran executive Asad Ayaz into the role of Chief Marketing and Brand Officer in January.

That move was designed to remove duplication across film, TV, streaming marketing teams. Now, that restructuring is translating into job losses across multiple departments, especially where roles overlap or have been merged.

This is not happening in isolation. Word of the cuts had already been circulating for days before the official confirmation. Insiders were already pointing to broad consolidation push that is reshaping how Disney sells its stories across platforms.

ESPN, studios, tech teams in the firing line

The impact is not limited to one corner of the company. Employees in Disney’s traditional television businesses are being affected, including the powerhouse sports network ESPN. The movie studio operations are also facing reductions, along with staff in product development, technology, select corporate departments.

In short, the cuts are spread across the entire Disney ecosystem from content creation to distribution to the digital backbone that powers streaming and consumer products.

Leadership message: “Necessary for the future”

In his internal memo, D’Amaro tried to soften the blow while standing firm on the reasoning. He said Disney has been evaluating how to “streamline operations” and build a more “agile and technologically-enabled workforce.”

According to him, the fast-changing media landscape is forcing constant restructuring so the company can stay competitive.

He also acknowledged the emotional impact, saying those leaving had contributed meaningful work and that the decision was not a reflection of their talent.

Hollywood under pressure as layoffs spread

Disney’s move is not happening in a vacuum. Hollywood as a whole is going through a serious contraction phase. Paramount Skydance has already cut around 2,000 jobs since David Ellison’s takeover, and more layoffs are likely if its merger plans with Warner Bros. Discovery go through regulatory and shareholder approvals.

Sony Pictures Entertainment has also confirmed hundreds of job cuts in recent weeks.

Within Disney itself, this round is smaller than the massive layoffs seen in 2022, when Bob Iger returned and oversaw the removal of roughly 8,000 positions.

But the direction is similar. Fewer jobs, tighter operations and a company trying to redefine itself for streaming-first future.

As of late 2025, Disney’s global workforce stood at more than 230,000. This is a number heavily shaped by its massive theme park operations. Now, even that scale is not shielding company from ongoing restructuring.

Here is the full memo from Josh D’Amaro

Dear Fellow Employees & Cast Members,

We have experienced a great deal of change these last few years, both at the company and across our industries. Knowing firsthand how these moments can bring uncertainty, I want to be open about some difficult news that will be communicated this week.

In January, we announced our unified enterprise marketing and brand organization, designed to serve consumers in an even more connected way. 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.

I know this is hard. Those that will be leaving us have done meaningful work here and care deeply about this company. These decisions are not a reflection of their contributions, or of the overall strength of the company. Rather, they reflect our continual evaluation of how to more effectively manage our resources and reinvest in our businesses.

Compassion and respect remain at the heart of our company. As we move forward through this transition, our priority is to support those impacted and help each person navigate what comes next with resources, guidance, and direct support.

Despite these difficult decisions, I remain optimistic about where we’re headed as a company. I’m deeply grateful for all of your contributions and for the dedication, professionalism, and care you bring to your work each day. Even in challenging moments, you continue to demonstrate what makes Disney so special.

Josh