Disney Cuts 1,900 Theme Park Jobs
LOS ANGELES — The Walt Disney Co. said Friday it had cut 1,900 positions at its U.S. theme parks as part of an earlier announced reorganization, representing about 11 percent of salaried employees in the division.
Some 1,200 people were laid off and 700 open positions will be left unfilled in the second phase of a reorganization begun in 2005 that was accelerated by the recession.
The company did not say whether it would book a severance charge, or how much the cuts would save.
"These decisions were not made lightly, but are essential to maintaining our leadership in family tourism and reflect today's economic realities," said Disney spokeswoman Tasia Filippatos in a statement.
The latest reorganization, designed to further unify two units operating separately at parks in Orlando, Fla., and Anaheim, Calif., was announced in February, but new leadership put in place took time to determine what cutbacks were necessary.
The vast majority of the cuts came from managerial and other salaried staff, not from employees in the parks who interact with park visitors. Some further reductions are planned.
Among the cuts announced Friday were 50 executives who accepted a voluntary buyout that was offered to 600 people.
Disney shares, which fell 21 cents, or 1 percent, to close at $20, gained 13 cents in after-hours trading.
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RYAN NAKASHIMA | April 3, 2009 05:18 PM EST |
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