In a surprising move, the Walt Disney Company is preparing for another round of job cuts within its television division, aiming to trim costs amidst a rapidly evolving media landscape. According to insider sources, this restructuring will most significantly impact beloved networks such as National Geographic and Freeform, both of which are scaling back their programming.
As part of this initiative, approximately 140 positions, accounting for about 2% of Disney Entertainment Television’s workforce, are expected to be eliminated. The familiar Disney faces at ABC stations won’t be spared either as the cuts slice across various departments. CEO Bob Iger has been a stalwart of cost-cutting since reassuming his role in November 2022, slashing billions in expenses and reducing Disney’s workforce by over 8,000 positions to balance the focus on burgeoning streaming services against the backdrop of a declining cable TV market.
Networks like National Geographic, which has reduced its scripted programming to a select few such as “Genius: MLK/X,” will see around 13% of its staff handed pink slips. Freeform, historically popular among teenagers with hits like “Grown-ish” and “Pretty Little Liars,” has seen its youth audience migrate largely to streaming platforms, further hastening the need for cutbacks.
Marketing and publicity teams within Disney’s television operations are also facing job cuts. Despite the restructuring, Disney’s share price has experienced a modest increase of 3.9% this year.
The financial dynamics remain pivotal as Disney’s entertainment television networks, excluding major sports entities like ESPN, contributed roughly 12% of the company’s total revenue in the recent financial quarter. With fiscal third-quarter results expected next week, this round of cuts underscores Disney’s continuing strategy to adapt and thrive in an ever-changing media environment.
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Source: Bloomberg
