Disney Layoffs AnnouncedWednesday, April 10, 2013
Walt Disney Co. has begun a new round of layoffs as part of the Burbank entertainment giant’s latest attempt to cut costs.
The cuts will impact about 150 people at Disney's movie studio, according to media reports.
Last week, Disney’s Lucasfilm Ltd. division announced layoffs in its video game unit.
The cuts stem from an audit ordered by Chief Executive Bob Iger last year to identify potential cost savings and redundancies as the studio puts greater emphasis on digital distribution rather than DVDs.
“As part of an ongoing review to ensure that the studio’s operational structure and economics align with the demands of the current marketplace, we have made the difficult decision to reduce our staffing levels in several divisions of the studio,” a Disney spokesman said in a statement.
Disney shares closed Wednesday up 1.6 percent to $60.11 on the New York Stock Exchange.