Cost-cutting measures, including a hiring freeze, limited travel and possible layoffs, are coming to Disney, according to a memo sent Friday by the company’s CEO.
Days after Disney posted lower-than-expected profit and revenue for its fourth quarter, CEO Bob Chapek sent a memo to executives detailing cost-cutting initiatives at the company.
“We are limiting head count additions through a targeted hiring freeze. Hiring for the small subset of the most critical, business-driving positions will continue, but all other roles are on hold.” Chapek said in the memo obtained by Variety.
In addition to a hiring freeze, Chapek wrote in the memo that business travel would be limited.
“In the immediate term, business travel should now be limited to essential trips only. In-person work sessions or off sites requiring travel will need advance approval and review from a member of your executive team,” according to the memo.
Chapek said in the memo that he also expects some layoffs to save money at the company.
“As we work through this evaluation process, we will look at every avenue of operations and labor to find savings, and we do anticipate some staff reductions as part of this review.”
Earlier this week, Disney posted lower-than-expected profit and revenue for its fiscal fourth quarter, according to The Associated Press.
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