Disney is cutting over 7,000 jobs and slashing $5.5 billion in costs after going woke in recent years.
The CEO of Disney, Bob Iger, announced a new restructuring plan with the layoffs, which represent 3.6 percent of Disney’s global workforce.
Iger announced the company would be split into three new segments: an entertainment unit that encompasses film, television, and streaming; a sports-focused ESPN unit; and Disney parks, experiences, and products.
“We will take a very hard look at the cost of everything we make across television and film,” Iger told investors in a call Wednesday.
Iger came out of retirement in November and committed to running Disney for another two years to improve financial returns.
Disney is the latest media company to announce job cuts in response to slowing subscriber growth and increased competition for streaming viewers. Disney earlier reported its first quarterly decrease in subscriptions for its Disney+ streaming media unit, which lost more than $1 billion.
The restructuring comes after reports that Florida Gov. Ron Desantis and the state legislature introduced a bill Monday that would rename the Reedy Creek Improvement District the Central Florida Tourism Oversight District within two years.
Instead of Disney governing the district and its five board members, the board members will be appointed by the governor and approved by the state Senate.
“Now, this is obviously going to be controlled by the state of Florida, which is no longer self-governing for [Disney],” DeSantis said in Ocala, where he unveiled a plan to provide $2 billion in tax relief for Florida families. “So, there’s a new sheriff in town, and that’s the way it’s going to be.”