As profits soar at Disney, and with Lilo & Stitch the company’s latest $1bn hit, the company is laying off hundreds more staff.
With the new Lilo & Stitch movie giving Disney a fresh $1bn hit movie at the box office, things are looking good at the entertainment giant. And it’s celebrating in time honoured fashioned, by laying off more staff.
Disney CEO Bob Iger returned to the top job a couple of years ago, and since 2023 has cut around 8000 jobs around the world. The latest round of layoffs is going to affect several hundred people around the world. Areas cited for cutbacks include film and TV marketing, development and casting teams, and corporate finance employees.
Obviously, this is all being presented as increasing efficiency, although Disney has not directly commented on its latest round of layoffs.
Still, for those at the top of the company, it’s champagne corks popping. Operating income and earnings are up at Disney, with Bob Iger reporting that he’s “optimistic” about the finances of the company this year.
In 2024, Iger’s own salary sat at $41m, when stock options and such like were taken into account. That was up from $31.6m in 2023. Just a bit of back of a beer mat calculating tells me that the extra $10m that went into Iger’s own finances would pay for 250 employees at $40,000 a year.
It doesn’t do much to counter a perception that the entertainment industry is one of those where there are billions of dollars swirling around within it, but everyone claims to be ‘out of budget’.
Disney’s latest efficiency drive should at least ensure that the board of directors at the company remain well remunerated. To those facing uncertainty and losing their job at the latest swish of a finance department’s fountain pen, we hope you land on your feet as soon as possible.
