News Bob Iger outlines the need to transform the Walt Disney Company resulting in 7000 job losses and $5.5 billion in cost savings

Riviera Rita

Well-Known Member
Today people think the obligation is the other way around: the company exists to fully support an employee with every modern comfort and no distress, plus their family with a roof over their heads, 2 cars and 10 streaming services. Oh, and that calculated dollar amount still applies to a 16 year old living with mom, because…some reason.
I have been in the workplace 0ver 40 years and I started working before equal pay for women and minimum wage laws. We were trained to put the customer first as they were paying our wages. It took years to climb the ladder and to be able to retire early on a comfortable pension. Just before I retired I realised exactly what you described, but, that is modern society as a whole, expect a quick return on everything with out the hard work that used to be expected of us to get ahead. I get snarky comments because of the comfortable life I have now at nearly 60 years old, but, much of my life has been working towards that comfortable life, now they expect it as a right before they are 20 and to see the work ethic, or lack of it, on my last trip was surprising, well to be honest, it's not just at Disney, it seems to be everywhere.
 

Lilofan

Well-Known Member
Does anyone else feel the management/execs are just stale in the company? They really need a complete overhaul. You need the fresh blood in an organization once in a while. Also get in touch with your audience. In the parks the guest experience team should not just be under an umbrella. They should be secret shoppers and looking how to improve the experience of the guest.
That’s the $64K dollar question. How many times did the Board convince Iger to stay and guess who called Iger to return. I’m still looking for the list of external candidates being considered to be Disney CEO. I think the Yeti at AK may get fixed before we see that list.
 

Tony the Tigger

Well-Known Member
I have been in the workplace 0ver 40 years and I started working before equal pay for women and minimum wage laws. We were trained to put the customer first as they were paying our wages. It took years to climb the ladder and to be able to retire early on a comfortable pension. Just before I retired I realised exactly what you described, but, that is modern society as a whole, expect a quick return on everything with out the hard work that used to be expected of us to get ahead. I get snarky comments because of the comfortable life I have now at nearly 60 years old, but, much of my life has been working towards that comfortable life, now they expect it as a right before they are 20 and to see the work ethic, or lack of it, on my last trip was surprising, well to be honest, it's not just at Disney, it seems to be everywhere.
I had a promising 21 year old tell me he was “physically and mentally exhausted” - after working a 32 hour week(!) He wants to work 4 days a week to have “balance” in his life.

At his age, I was on salary for $550 a week, and scheduled to work 60 hours. If it took longer to get things done, I had to stay longer. And I had a part time job.

I guess these kids would have starved.

The key difference is I didn’t think “my company owes me more.” I thought “what can *I* do to make more money/cut expenses etc.” It’s my responsibility, not my employer. I agreed to the deal when I got hired, and they stuck to that deal.
 

Phil12

Well-Known Member
Toy Story 5, Frozen 3 and Zootopia 2 will require little marketing since they have a 100% approval rating are are known worldwide. And let's not forget that the slogan, "To Infinity...and Beyond!" is more than just a trite quote. There is no reason why these intellectual properties can not be extended into repeated sequels for the next century. Toy Story 12, Frozen 8 and Zootopia 5 are inevitable.

And furthermore, I'm thinking that The Princess and the Frog attraction at MK will fail and will require re-theming in a short time. One of the Frozen sequels will be made in the frontier west and due to climate change, the Colorado river will freeze solid. Cattleman and agricultural interests in Arizona, California, Colorado, Nevada, New Mexico, Utah and Wyoming will face certain destitution but Elsa will hear the voices of reason and unfreeze the entire river basin and the water that cascades from the massive hydroelectric dam.

To celebrate, the local townsfolk will build a log flume on the hydroelectric dam and sell electricity to the people in Texas and Louisiana including Mama Odie.
 

Chi84

Premium Member
I had a promising 21 year old tell me he was “physically and mentally exhausted” - after working a 32 hour week(!) He wants to work 4 days a week to have “balance” in his life.

At his age, I was on salary for $550 a week, and scheduled to work 60 hours. If it took longer to get things done, I had to stay longer. And I had a part time job.

I guess these kids would have starved.

The key difference is I didn’t think “my company owes me more.” I thought “what can *I* do to make more money/cut expenses etc.” It’s my responsibility, not my employer. I agreed to the deal when I got hired, and they stuck to that deal.
I know what you’re saying, but I think this country can and should do better with “work - life” balance. The old way isn’t always the best way.

It’s going to take some thought and restructuring though, by both employers and employees. Clearly, an employee demanding all the concessions while making none is not the right way.
 

note2001

Well-Known Member
I had a promising 21 year old tell me he was “physically and mentally exhausted” - after working a 32 hour week(!) He wants to work 4 days a week to have “balance” in his life.

At his age, I was on salary for $550 a week, and scheduled to work 60 hours. If it took longer to get things done, I had to stay longer. And I had a part time job.

I guess these kids would have starved.

The key difference is I didn’t think “my company owes me more.” I thought “what can *I* do to make more money/cut expenses etc.” It’s my responsibility, not my employer. I agreed to the deal when I got hired, and they stuck to that deal.
21 year olds still don't know what to expect out of life and are rather confused regarding opportunities placed before them verses the ones they need to work for. Don't fool yourself, the same train of thought happened with prior generations at that age too.
What he asked was not surprising.

What I'd like to know is did you entertain the idea at all? While many jobs cannot, some types of work can be done in 4 days vs over 5.
I'd also have pointed him to some counseling to help him with anxiety as it sounds like he's getting overwhelmed - life doesn't get easier. A good boss would recognize the emotional state of his employee and address concerns early on. Don't let them build.

Going back to Disney chopping jobs - I believe in re-configuration to save money and make the work flow better, but I sincerely doubt Disney knows how to do this so that it does not cause more problems than it solves. Big companies simply run to layoffs as a solution to make the books lighter causing burn out among the remaining staff.
 

Tiggerish

Resident Redhead
Premium Member
I know I'm going to regret posting in this thread, but here goes...

I had a promising 21 year old tell me he was “physically and mentally exhausted” - after working a 32 hour week(!) He wants to work 4 days a week to have “balance” in his life.

At his age, I was on salary for $550 a week, and scheduled to work 60 hours. If it took longer to get things done, I had to stay longer. And I had a part time job.

I guess these kids would have starved.

The key difference is I didn’t think “my company owes me more.” I thought “what can *I* do to make more money/cut expenses etc.” It’s my responsibility, not my employer. I agreed to the deal when I got hired, and they stuck to that deal.
At that age, I was on salary as a secretary for $300 a week. And the year after that, I would get married and be responsible for my own household. Nowadays, it seems like 30 is "young" to be leaving the nest. I think that I would not like to be 21 now.

TBH, though, I didn't have to put in massive amounts of OT until after I was the one of the founding employees of the company I "retired" from last year, after 25 years of doing what needed to be done. The company had been sold to a giant corporation, and the corporate BS wore me down after 3 years. Last month, my boss' son bought his dad's company back from the giant corporation, and I'm being tugged out of retirement, but am now attempting to insist on some "balance". I've gotten used to sleeping til 8:30 and a massive reduction in my commuting costs! Somehow, though, of the three days that I went into the office last week, I was there past 6 on two of them. Tigers can't change their stripes, eh? :)

So basically, "fist bump", my northeastern compadre.



I know what you’re saying, but I think this country can and should do better with “work - life” balance. The old way isn’t always the best way.

It’s going to take some thought and restructuring though, by both employers and employees. Clearly, an employee demanding all the concessions while making none is not the right way.
I totally don't disagree with you here. But I do think that exhaustion after 32 hours at the age of 21 is a bit melodramatic. And I also think that we are looking at an entire generation of pampered adults whose parents are mostly to blame for their inability to launch. I will also admit that it is my generation who produced that generation. (I, however, am off the hook, because I have no children, so am able to silently judge. I'm only half-joking)

21 year olds still don't know what to expect out of life and are rather confused regarding opportunities placed before them verses the ones they need to work for. Don't fool yourself, the same train of thought happened with prior generations at that age too.
What he asked was not surprising.
During my childhood (which I realize seems like the stone age), 21 was the age of adulthood. As mentioned above, I'd been working already for a couple of years (granted, I went to what was then referred to as "business school" and once MBAs became a thing, suddenly I'd gone to "secretarial school") and would be married at 22 (BTW, I'm still married to the same guy). So I refute your statement that prior generations had the same confused thoughts. At least, not many of us.

As also previously mentioned, I don't necessarily blame today's 21 year olds for their predicament. I blame their parents. No one should be confused about what to expect from life at 21. Sorry.
What I'd like to know is did you entertain the idea at all? While many jobs cannot, some types of work can be done in 4 days vs over 5.
I'd also have pointed him to some counseling to help him with anxiety as it sounds like he's getting overwhelmed - life doesn't get easier. A good boss would recognize the emotional state of his employee and address concerns early on. Don't let them build.
I don't necessarily disagree with you here. There are some jobs that can be done in 4 days. Generally, that's been 4 ten-hour days vs. 5 eight-hour days. ;) Back in the 90s. I never experienced it myself, but my husband worked for a large insurance company back then, and they did "summer hours"--ten hours on M-Th, and Fridays off. This was back before email existed, so the Fridays were definitely days off. Job sharing could also be a thing. I'm presently contemplating it myself.
Going back to Disney chopping jobs - I believe in re-configuration to save money and make the work flow better, but I sincerely doubt Disney knows how to do this so that it does not cause more problems than it solves. Big companies simply run to layoffs as a solution to make the books lighter causing burn out among the remaining staff.
I also do not disagree with your closing sentence.
 

celluloid

Well-Known Member
Times change. When I was 21 me and my wife worked as hourlies at Disney in the 70s and made enough to buy a house. Today, you, your wife and 5 best friends might be able to rent a 2-bedroom apartment.

This. The rate of pay has increased over the years, but not enough to keep up with inflation, and the cost of health care with insurance also has cost more in many cases. My wife and I are full time educators with side hustles and struggled to purchase a house recently.
 
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JMcMahonEsq

Well-Known Member
In theory, it drops by half. Right now, the price may drop, but not by half. Things is outta whack.
No it doesn’t. Price is going to be dictated by cost and demand, not supply. Your supply could double or triple, if demand stays high or increases, you’re not going to drop your price a nickel. They only reason you would lower prices is if demand is softening and your lower costs (it has nothing to do with more supply) would allow your to maintain profit margin and increase sales/demand.
 

networkpro

Well-Known Member
In the Parks
Yes
I had a promising 21 year old tell me he was “physically and mentally exhausted” - after working a 32 hour week(!) He wants to work 4 days a week to have “balance” in his life.

At his age, I was on salary for $550 a week, and scheduled to work 60 hours. If it took longer to get things done, I had to stay longer. And I had a part time job.

I guess these kids would have starved.

The key difference is I didn’t think “my company owes me more.” I thought “what can *I* do to make more money/cut expenses etc.” It’s my responsibility, not my employer. I agreed to the deal when I got hired, and they stuck to that deal.

At 22 in 1986 as an Army SGT I was making $847 a month (plus food and housing) on the DMZ in Korea so I don't understand what they call modern "stress" these days. We worked 6 and a half days a week and did stupid stuff when we were not on duty, usually focused around lots of alcohol. I too reached the same conclusion that I had to better myself to do better in life, otherwise, I might reach retirement age with only a broken body and a minimal retirement. Not all options are equal and sometimes you must change what your doing no matter how much fun it is to do better for yourself.
 

John park hopper

Well-Known Member
At 20 I was a a SGT in 1970 during Vietnam I think we calculated we were making 50 cents an hour since we were on duty 24/7 that came to about 90 bucks a week -- have the privilege of someone trying to kill you . The government got away cheap since we had no choice ---Drafted. Don't like the pay go somewhere else or get an education with marketable skills.
 
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Lilofan

Well-Known Member
At 20 I was a a SGT in 1970 during Vietnam I think we calculate we were making 50 cents an hour since we were on duty 24/7 that came to about 90 bucks a week -- have the privilege of someone trying to kill you . The government got away cheap since we had no choice ---Drafted. Don't like the pay go somewhere else or get an education with makable skills
Thank you for your service. When I went to a conference with my former peer the facilitator asked each of us what was your biggest accomplishment in your life. John said I went to Vietnam, survived and came back home alive. He was in the infantry 1969-70. I miss him. He was troubled for many years and checked out of this world in the early 1990s.
 

Vegas Disney Fan

Well-Known Member
My company does an employee survey and one of the questions was " Do you feel you should get a share of the profits each year?" My answer was 'No, I get paid a guaranteed salary, no matter if the company makes or loses money" My incentive to keep my job is to do my share the keep the company profitable. During COVID we lost money, people only see the virtue of sharing the profits, what about losses? sharing loses is not virtuous.. should these profit taking employees get hit with a bill for their share in a bad year? this type of employee is called an owner and they take the risk and get the rewards..

Love this post, people keep saying Disney can afford to pay their employees higher wages, and currently they certainly can, but once a raise is given it never goes back, if Disney hits a rough patch and can’t afford it anymore those employees aren’t going to go back to $15 an hour. People want to share in the profits but not the losses.

Sears, Kmart, Circuit City, Blockbuster.. all were once incredibly profitable and could afford higher expenses than other companies, until they couldn’t, but by then it was too late and the only outcome was closing.

It’s unfathomable to think that Disney could fail but it was unfathomable at one time that those companies above could fail also. It’s not as easy as just saying they can afford it.
 

HauntedPirate

Park nostalgist
Premium Member
Love this post, people keep saying Disney can afford to pay their employees higher wages, and currently they certainly can, but once a raise is given it never goes back, if Disney hits a rough patch and can’t afford it anymore those employees aren’t going to go back to $15 an hour. People want to share in the profits but not the losses.

Sears, Kmart, Circuit City, Blockbuster.. all were once incredibly profitable and could afford higher expenses than other companies, until they couldn’t, but by then it was too late and the only outcome was closing.

It’s unfathomable to think that Disney could fail but it was unfathomable at one time that those companies above could fail also. It’s not as easy as just saying they can afford it.

If Disney is ever at a point where it needs to worry about front-line CM labor costs when we're talking about a $1-2/hr increase, the company is already doomed.
 

MagicHappens1971

Well-Known Member
Love this post, people keep saying Disney can afford to pay their employees higher wages, and currently they certainly can, but once a raise is given it never goes back, if Disney hits a rough patch and can’t afford it anymore those employees aren’t going to go back to $15 an hour. People want to share in the profits but not the losses.

Sears, Kmart, Circuit City, Blockbuster.. all were once incredibly profitable and could afford higher expenses than other companies, until they couldn’t, but by then it was too late and the only outcome was closing.

It’s unfathomable to think that Disney could fail but it was unfathomable at one time that those companies above could fail also. It’s not as easy as just saying they can afford it.
None of those companies you described were huge multinational media conglomerates that make billions of dollars a year. Disney giving frontline CMs a $1-2 increase is not a huge deal on the bottom line, they’re just greedy
 

Lilofan

Well-Known Member
If Disney is ever at a point where it needs to worry about front-line CM labor costs when we're talking about a $1-2/hr increase, the company is already doomed.
Disney in negotiations is talking with union in that similar increase , the union wants the increase to be a higher dollar amount. All in all both parties will negotiate, agree and the contract will eventually pass through in the right to work environment.
 

Rich Brownn

Well-Known Member
Love this post, people keep saying Disney can afford to pay their employees higher wages, and currently they certainly can, but once a raise is given it never goes back, if Disney hits a rough patch and can’t afford it anymore those employees aren’t going to go back to $15 an hour. People want to share in the profits but not the losses.

Sears, Kmart, Circuit City, Blockbuster.. all were once incredibly profitable and could afford higher expenses than other companies, until they couldn’t, but by then it was too late and the only outcome was closing.

It’s unfathomable to think that Disney could fail but it was unfathomable at one time that those companies above could fail also. It’s not as easy as just saying they can afford it.
Wages were not the reason those stores went away. Bad investments, unable to keep up with times, poorly designed stores and outright fraud management had a lot more to do with their demise.
 

Vegas Disney Fan

Well-Known Member
Wages were not the reason those stores went away. Bad investments, unable to keep up with times, poorly designed stores and outright fraud management had a lot more to do with their demise.

All those things are true, my point is simply that being a big profitable company doesn’t make them invincible from failing.

People act like we’re talking about $1-2 an hour for a couple employees but the reality is most CMs were making $10-12 an hour in 2019 (https://www.businessinsider.com/how-much-everyone-gets-paid-at-disney-parks-2019-8) and we’re now talking about $18-20. Multiply that $8 an hour raise times 75,000 WDW employees times 1500-2000 work hours a year and it’s about $1 billion a year in higher labor costs, that’s a lot of money even for Disney. Especially on top of losing billions on D+. Wages won’t be the reason for a company like Disney failing but they can certainly be a contributing factor.
 

JD80

Well-Known Member
All those things are true, my point is simply that being a big profitable company doesn’t make them invincible from failing.

People act like we’re talking about $1-2 an hour for a couple employees but the reality is most CMs were making $10-12 an hour in 2019 (https://www.businessinsider.com/how-much-everyone-gets-paid-at-disney-parks-2019-8) and we’re now talking about $18-20. Multiply that $8 an hour raise times 75,000 WDW employees times 1500-2000 work hours a year and it’s about $1 billion a year in higher labor costs, that’s a lot of money even for Disney. Especially on top of losing billions on D+. Wages won’t be the reason for a company like Disney failing but they can certainly be a contributing factor.

They made that god knows how many times over with G+ and ILL and ticket cost increases and 3 years of parking fees, and not having to pay Mears, more after hour parties, more expensive light sabers.

etc.
etc.
etc.
 

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