Disney to layoff 28,000 employees as coronavirus slams theme park business

An employee cleans the grounds behind the closed gates of Disneyland Park on the first day of the closure of Disneyland and Disney California Adventure theme parks, in Anaheim, California, on March 14, 2020.

DAVID MCNEW | AFP | Getty Images

Prolonged closures of Disney’s California-based theme parks and limited attendance at its open parks has forced the company to lay off 28,000 employees across its parks, experiences and consumer products segment.

In a letter sent to employees on Tuesday, Josh D’Amaro, head of parks at Disney, detailed several “difficult decisions” the company has had to make in the wake of the pandemic, including ending its furlough of thousands of employees.

Around 67% of the 28,000 laid off workers were part-time employees, according to D’Amaro. The company declined to comment on how many from its parks specifically were let go.

While Disney’s other theme parks in Florida, Paris, Shanghai, Japan and Hong Kong have been able to reopen to limited capacity, California Adventure and Disneyland have remained shuttered in Anaheim, California.

“As you can imagine, a decision of this magnitude is not easy,” D’Amaro wrote in the letter obtained by CNBC. “For the last several months, our management team has worked tirelessly to avoid having to separate anyone from the company. We’ve cut expenses, suspended capital projects, furloughed our cast members while still paying benefits, and modified our operations to run as efficiently as possible, however, we simply cannot responsibly stay fully staffed while operating at such limited capacity.”

 This is a breaking news story. Please check back for updates.

Source link




Cadillac reboots ‘Edward Scissorhands’ with Winona Ryder

A 60-second Super Bowl ad for Cadillac stars Timothée Chalamet, as Edward Scissorhands's son, Edgar, and Winona Ryder, reprising her role as Kim,...

Here’s how Trump or Biden can help save democratic capitalism

IMF employees have joked among themselves for years about when the fund's bylaws would kick in, requiring them to move from Washington to...

How Facebook Marketplace replaced Craigslist in 2020

Facebook's CEO Mark Zuckerberg speaks during the F8 Facebook Developers conference on April 30, 2019 in San Jose, California.Justin Sullivan | Getty ImagesWhen...

DOJ Google suit takes Alphabet from ‘buy’ to ‘strong buy’

CNBC's Jim Cramer said Tuesday that Alphabet would go from a "buy" to a "strong buy" if the government's expected antitrust lawsuit against...

Trump pushes universities to keep students on campus despite rising coronavirus cases, asks Big Ten football to return

U.S. President Donald Trump speaks to reporters during a news conference in the Brady Press Briefing Room at the White House in Washington,...