Disney cuts 28,000 US jobs due to pandemic

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WASHINGTON | Entertainment giant Disney announced on Tuesday the loss of 28,000 jobs in the United States, in its activity which includes amusement parks, cruises, events and related products, hit hard by the crisis sanitary.

The decision comes from “the prolonged impact of [la] COVID-19 on our business, including capacity reductions at sites, related to physical distancing, and uncertainties over the duration of the pandemic, ”the group said in a statement.

Uncertainties “exacerbated by the refusal of California to lift the restrictions that would reopen Disneyland (near Los Angeles)”, underlines the company.

In Florida, in Orlando, the amusement park reopened in July, with a limited gauge.

Of the 28,000 employees affected, 67% were part-time, said Disney, which employed 223,000 people as of December 31, 2019.

When amusement parks had to close, like most cultural establishments, “we had hoped for a quick return to normal,” notes Josh D’Amaro, president of the “parks, experiences and products” activity, in a letter to its employees.

“Seven months later, it is clear that it was not possible.”

From April to June 2020, Disney raked in $ 11.8 billion in revenue, half the amount of a year ago. Only its streaming branch achieved higher sales than 2019.

During this period, park activity and event activity plunged 85% to $ 983 million.

“For several months now, our human resources team has worked tirelessly to avoid having to separate ourselves from anyone else,” added Mr. D’Amaro.

“We have cut expenses, suspended important projects, laid off actors and made our operations more efficient, but we cannot keep all of our employees by opening with such limited capacities.”

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