Walt Disney Co has decided to layoff additional employees taking the total to 32,000 by the end of March 2021 as Disneyland remains closed amid coronavirus.
“Due to the current climate, including COVID-19 impacts, and changing environment in which we are operating, the Company has generated efficiencies in its staffing, including limiting hiring to critical business roles, furloughs and reductions-in-force,” Disney said in a Securities and Exchange Commission filing on Wednesday.
The additional layoffs come after Disney executives slammed California officials earlier this month for not allowing Disneyland to reopen, perhaps for months. The California park has been closed since March.
All 12 of Disney’s parks in North America, Asia and Europe were closed between March and May. While Disney has since reopened theme parks in Shanghai and Florida, its flagship park in California will remain shut at least until the end of 2020. Disneyland Paris was forced to close again late last month when France imposed a second nationwide lockdown.
“It’s been a year unlike any other in our lifetimes, and certainly in the history of the Walt Disney Co.,” CEO Bob Chapek said earlier this month.
Disney swung to a loss of $2.8 billion for the year to September 30, marking a sharp reversal from the previous year, when the company posted a $10.4 billion profit. It reported a nearly $600 million loss for its fourth quarter.
“As some of our businesses have reopened, we have incurred additional costs to address government regulations and the safety of our employees, talent and guests,” the company said in the SEC filing. “The reopening or closure of our businesses is dependent on applicable government requirements, which vary by location, are subject to ongoing changes, which could result from increasing COVID-19 cases.”
The company says it employed around 203,000 people as of Oct. 3, with its global workforce comprised of around 80% full-time workers and 20% part-time employees. Around 155,000 employees work in the parks, experiences and products segment.
Komal is an English literature student with a keen interest in economic developments and politics amongst others. She is a part of Research & Content team at HrNxt.com