Politics 28000 Layoffs coming to Disney's domestic theme parks - statement from Josh D'Amaro

[seascape]

How many here would love to step into being in charge of the Walt Disney Company, knowing you got the job in December 2019 and then face Covid19 in your first year. You can love Chapek or hate him but even if Josh had gotten the job these cuts would have happened. California shut down Disneyland for almost a full year! Layoffs were needed because of California not because of Chapek. WDW is at 35% capacity, so layoffs were needee. Crowding together to see street performers is dangerous. This whole situation stinks but lets put the blame where it belongs, Covid19

 

[TrainsOfDisney]

How many here would love to step into being in charge of the Walt Disney Company, knowing you got the job in December 2019 and then face Covid19 in your first year. You can love Chapek or hate him but even if Josh had gotten the job these cuts would have happened. California shut down Disneyland for almost a full year! Layoffs were needed because of California not because of Chapek. WDW is at 35% capacity, so layoffs were needee. Crowding together to see street performers is dangerous. This whole situation stinks but lets put the blame where it belongs, Covid19

I disagree. The Disney company has not been led well this year. It hasn’t been led st all, it’s just been cut cut and cut and all the cuts have been blamed on covid.

 

[el_super]

I disagree. The Disney company has not been led well this year. It hasn’t been led st all, it’s just been cut cut and cut and all the cuts have been blamed on covid.

Eh yes and no. Disney+ was the big shining star of the Disney Universe for 2020, and that was put in motion years ago. There's nothing really new or exciting to point to as a beacon of Chapek's leadership ability.

But let's be fair: their business has been hammered hard by the fall off in travel and leisure spending. They were uniquely prone to this kind of disaster, and so far they have weathered it exceptionally well. While is has been hard to see 30,000+ Cast Members let go from the company, it seems important to point out that 80% of the parks Cast Members are still employed, despite their business cratering to less than 20% of capacity.

I can't think of anything I would want Disney to do differently right now. When they get past COVID, and restrictions are lifted, it may be a different story as they will need to add value back to the parks to quickly entice new visitors. That will definitely be a telling time for how Chapek's leadership plays out, but for the time being, they are doing everything right.

 

[Jrb1979]

I think any closure now would reflect badly on the decision to reopen in the summer. Only a government decision would force a close now in my opinion. They have been keen to mention how the overseas second closures came as a result of government direction.

With how people are acting this Thanksgiving and I expect the same for Christmas I have a feeling it's going to get a lot worse. Disney takes part of that blame too for pushing people to travel when its suggested people don't.

 

[seascape]

I disagree. The Disney company has not been led well this year. It hasn’t been led st all, it’s just been cut cut and cut and all the cuts have been blamed on covid.

What would you hàve done differently? The parks had to close and WDW needed to reduce capacity. Disney+ is now adding to the profitability og the company. Just based on the customers they now have Disney+ is beining in $4 billion a year. Netflix was paying Disney $600 million a year so even taking all expenses into account Disney should be making a minimum of $400 million more a year than they were with Netflix. Plus with the continued rollout in Latin America this quarter and Hotstar Disney+ in Asia, the profits will grow exponentially.

Themeparks are the problem this year thanks to Covid19 but Disney did what they could to help WDW and put on the NBA bubble. Again, what would you or anyone else have done. All I keep reading here is WDW should actually shut down and put everyone out of a job.

 

[marni1971]

All I keep reading here is WDW should actually shut down and put everyone out of a job.

Or have a real government led furlough scheme.

 

[Brian]

They may have the opportunity this winter to take the lead on smart, safe closures again, but will they?

 

[TrainsOfDisney]

What would you hàve done differently? The parks had to close and WDW needed to reduce capacity.

As the CEO? I would have asked all divisions to bring me proposals for ways to increase revenue and keep employees working in some capacity.

I would encourage divisions to work together. How can imagineering, Disney plus, and Disneyland Resort come up with something special that could only be done this year for example?

 

[seascape]

Or have a real government led furlough scheme.

It is easy to say the government should have a furlough program but we are broke on this side of the Atlantic. Our Federal debt if 118.2% of GDP. We also have State and Local Governments with big debt. The Federal Government this year is already spending well over 55% of GDP. We just can't afford to bailout everyone.

 

[marni1971]

It is easy to say the government should have a furlough program but we are broke on this side of the Atlantic. Our Federal debt if 118.2% of GDP. We also have State and Local Governments with big debt. The Federal Government this year is already spending well over 55% of GDP. We just can't afford to bailout everyone.

Trust me... it’s not plain sailing over here. I forget the detail but one European country reckoned it’ll be 2050-something before just the furlough cost is repaid.

I’m all for wiping out all world debt and starting again. Maybe the Star Trek world of no money would work. At least APs would be easily achievable.

 

[el_super]

As the CEO? I would have asked all divisions to bring me proposals for ways to increase revenue and keep employees working in some capacity.

Well yeah it's easy to say but what would you have them do? What options for increasing revenue are there?

I would encourage divisions to work together. How can imagineering, Disney plus, and Disneyland Resort come up with something special that could only be done this year for example?

Ok sure maybe WDI could be filming some extra special documentaries in Disneyland while it's empty but those documentaries usually take years to complete. And what exactly would you be doing with the 800+ ride operators that are really just trained to operate rides?

 

[Lilofan]

The company’s spin doctors pushed money around to make the annual Wall Street earnings report appear less hopeless than expected, but the continued layoffs and price hikes reveal the pandemic has forced deep cuts.

My heart goes out to all the Disney CMs and their families who were affected just in time for Thanksgiving and Christmas.

Pushing money around before earnings reports is an art form truly.

 

[TrainsOfDisney]

Well yeah it's easy to say but what would you have them do? What options for increasing revenue are there?

Well I’m not sure. I can’t imagine what exactly they would bring to the table. It also seems like you are going to shoot down every idea I mention so what’s the point?

 

[HongKongFooy]

Even using the "Executive Bonas card isn't legit! What they pay out in Bonuses would, at best cover only a couple of weeks of full payroll.

Easy to say for one who was not denied 2 weeks of Disney pay.

 

[el_super]

Well I’m not sure. I can’t imagine what exactly they would bring to the table. It also seems like you are going to shoot down every idea I mention so what’s the point?

The point is to show that it's not so easy to turn the phrase "make more money" into an actionable plan. Plans to pivot a business the size of Disney usually take years if not decades and there's no guarantee that anything you do now (like developing Disney masks) really represents a long term revenue stream.

 

[Lilofan]

Well I’m not sure. I can’t imagine what exactly they would bring to the table. It also seems like you are going to shoot down every idea I mention so what’s the point?

When I had to make difficult decisions in one of my former jobs I had roundtables with my staff. It is eye opening when they feel valued and then they come up with ideas, realistic and not.

 

[seascape]

As the CEO? I would have asked all divisions to bring me proposals for ways to increase revenue and keep employees working in some capacity.

I would encourage divisions to work together. How can imagineering, Disney plus, and Disneyland Resort come up with something special that could only be done this year for example?

Lets see, themeparks are closed and they make up the vast majority of the company's employees. Filming came to a halt and movie theaters closed. The company was down to two sources of revenue, media and streaming. So who here thinks that Disney+ could have grown faster or that media could have made more money when advertising plummeted? Thank God for the election and all it's advertising in the current quarter.

 

[TrainsOfDisney]

Also... did I miss something about Disney+... it hasn’t made any money for the company correct?

 

[Lilofan]

Lets see, themeparks are closed and they make up the vast majority of the company's employees. Filming came to a halt and movie theaters closed. The company was down to two sources of revenue, media and streaming. So who here thinks that Disney+ could have grown faster or that media could have made more money when advertising plummeted? Thank God for the election and all it's advertising in the current quarter.

I think when there was a report that newly promoted Parks Chairman D'Amaro looked liked he was punched in the gut when he met with some DLR cast that were crying earlier in the year this was new uncharted waters he was in. Losing a job can be devastating in any role the person is in.

 

[Sirwalterraleigh]

How many here would love to step into being in charge of the Walt Disney Company, knowing you got the job in December 2019 and then face Covid19 in your first year. You can love Chapek or hate him but even if Josh had gotten the job these cuts would have happened. California shut down Disneyland for almost a full year! Layoffs were needed because of California not because of Chapek. WDW is at 35% capacity, so layoffs were needee. Crowding together to see street performers is dangerous. This whole situation stinks but lets put the blame where it belongs, Covid19

The board and Iger were lukewarm on chapek at best...

Now they have a perfect reason to get rid of him on the other side of however long this recession is...