Disney employees are demanding answers from management amid reports that thousands of additional jobs could be eliminated as CEO Josh D’Amaro pursues sweeping cost reductions.
During a November 5 town hall meeting, technology employees pressed Disney’s streaming leadership about potential layoffs, when they might occur, and why workers were learning about possible cuts through the media rather than their own executives.
According to Business Insider, which reviewed screenshots of questions submitted during the meeting, executives offered no specific answers about whether further layoffs were coming.
Spaceship Earth in Walt Disney World at night – Photo Credit: That Park Place
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The concerns could extend beyond Disney’s workforce. Technology supports everything from Disney+ streaming to theme park reservations, Lightning Lane bookings, the My Disney Experience app, and digital resort services. Although these systems do not necessarily share the same infrastructure or personnel, widespread technology cuts could affect Disney’s ability to maintain and improve the digital services its customers increasingly rely upon.
The exchange follows several rounds of layoffs in 2026 and earlier warnings from Disney President Dana Walden that the company’s restructuring would continue.
The controversy also presents an early leadership challenge for D’Amaro, who succeeded Bob Iger as CEO in March. Just months into his tenure, he faces growing employee frustration over the prospect of thousands of additional job cuts.
Disney Employees Demand Answers About Layoffs
“Do we know when the cost cutting is targeted to happen?” one software engineer asked during the meeting.
Another longtime technology employee questioned management’s communication with its workforce.
“Would it [be] better for employee morale to first hear from mgmt about future employee benefit changes and layoffs, instead of hearing about these from the media?” the employee asked.
The logo for Disney+ – YouTube, Disney+
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Others wanted to know how potential reductions would affect Disney’s Media Platform Alliance, which oversees streaming distribution, infrastructure, and metadata operations.
Employees also raised questions about early retirement packages offered to senior executives. Walden previously acknowledged the program, describing it as extremely generous.
Two employees who attended the meeting told Business Insider that streaming executives provided no concrete information about future layoffs.
Disney Reportedly Considering Thousands of Job Cuts
As That Park Place previously reported, citing Bloomberg, Disney is reportedly preparing to eliminate thousands of positions. Some managers have been instructed to identify annual cost savings of approximately 20%.
That figure represents a savings target, not a proposed 20% workforce reduction. The cuts could involve layoffs and other spending reductions, with some departments potentially affected more heavily than others.
D’Amaro reportedly intends to redirect some savings toward film and television programming, technology, theme parks, and cruise operations.
Dana Walden and Josh D’Amaro – Disney
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The potential layoffs follow years of restructuring. Disney eliminated approximately 7,000 positions under former CEO Bob Iger in 2023 and has continued reducing its workforce under D’Amaro.
More recently, the company eliminated between 100 and 200 positions within its Experiences division, including employees associated with Walt Disney Imagineering.
Those reductions came despite the division reporting operating income exceeding $3 billion, representing approximately 20% growth, alongside revenue approaching $10 billion.
Disney has not officially announced the latest reported layoffs, leaving their scope and timing uncertain.
AI Investments Raise Questions as Employee Morale Suffers
Disney’s investment in artificial intelligence also came under scrutiny.
One employee questioned what responsibilities would be assigned to 66 former Character.AI workers joining Disney under a reported $60 million arrangement.
“What will they be working on?” the employee asked.
The hiring arrangement follows former Character.AI CEO Karandeep Anand’s appointment as Disney’s technology chief in October.
Karandeep Anand – Synapse Conclave, YouTube
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Although the new hires are not necessarily replacing existing employees, the investment comes as Disney considers additional workforce reductions. The contrast raises questions about how the company intends to balance its existing workforce with its technological ambitions.
Meanwhile, four employees told Business Insider that the uncertainty was damaging morale.
One senior engineer described reports of potential layoffs as “very demotivating,” explaining that even a positive performance review offered little reassurance.
“I’ve been through enough of these to know that doesn’t mean safety,” the employee said.
Another software engineer described colleagues making greater efforts to appear busy, including senior technology employees attending meetings they would ordinarily skip.
Disney’s Restructuring Raises Questions Beyond Its Workforce
Following the town hall, frustrated workers criticized leadership on Blind, an anonymous workplace discussion platform. One user characterized the meeting as “forced positivity.”
Disney’s leadership has outlined its ambitions for a leaner, more technologically advanced company. Yet employees are questioning whether management is being sufficiently transparent about decisions that could affect their livelihoods.
The whole gang from Mickey Mouse Clubhouse – Disney+
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The implications could eventually reach consumers. Changes to Disney’s technology and creative operations may affect its streaming platforms, entertainment production, and theme park services. Whether those changes improve the customer experience or introduce new problems remains uncertain.
For D’Amaro, the challenge extends beyond cutting costs. He must restore confidence among employees while demonstrating that a leaner Disney can still deliver the entertainment and experiences customers expect.
What do you think of Disney employees confronting management over the layoff reports? Sound off and let us know!
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