Orlando Becoming East Coast Headquarters for Disney Parks, Experiences, and Products

[doctornick]

Its all about money but some get caught up in fantasies, conspiracies etc.

Seems to me this is about money in two ways... one, thinning out the number of employees in WDI. Two, moving stuff to Florida where they are getting a more tax friendly situation to reduce expenses (and possible less space needed if they have fewer employees).

My biggest concern is that loss of institutional knowledge especially if it is a lot of more senior people who end up leaving.

On the flip side, I thought I read hear that Universal Creative (the Uni equivalent to WDI) is based in central Florida as well. That might actually make it easier to hire folks in the field as people are needed since it's not atypical for people to jump between the companies.

 

[Sirwalterraleigh]

Seems to me this is about money in two ways... one, thinning out the number of employees in WDI. Two, moving stuff to Florida where they are getting a more tax friendly situation to reduce expenses (and possible less space needed if they have fewer employees).

My biggest concern is that loss of institutional knowledge especially if it is a lot of more senior people who end up leaving.

On the flip side, I thought I read hear that Universal Creative (the Uni equivalent to WDI) is based in central Florida as well. That might actually make it easier to hire folks in the field as people are needed since it's not atypical for people to jump between the companies.

Thank you…

the question is: who does this favor?

 

[monothingie]

Ahhh…come on…even I feel a little sorry, you big meanie

Imagineering is a shell of its former self filled with more egos than creators.

 

[lazyboy97o]

My biggest concern is that loss of institutional knowledge especially if it is a lot of more senior people who end up leaving.

A lot of those people were marginalized and left long ago.

On the flip side, I thought I read hear that Universal Creative (the Uni equivalent to WDI) is based in central Florida as well. That might actually make it easier to hire folks in the field as people are needed since it's not atypical for people to jump between the companies.

Yes, Universal Creative moved to Florida years ago. Hagrid’s Magical Creatures Motorbike Adventure, Velocicoaster, Universal Studios Beijing and Epic Universe were all designed in Orlando. Only projects at Universal Studios Hollywood tend to still be largely designed in California.

 

[Sirwalterraleigh]

Imagineering is a shell of its former self filled with more egos than creators.

…but they spend billions on 5 year projects and under deliver!!!

…wait a minute. What just happened?

did I cut mace windu’s arm off again?

 

[Sirwalterraleigh]

A lot of those people were marginalized and left long ago.


Yes, Universal Creative moved to Florida years ago. Hagrid’s Magical Creatures Motorbike Adventure, Velocicoaster, Universal Studios Beijing and Epic Universe were all designed in Orlando. Only projects at Universal Studios Hollywood tend to still be largely designed in California.

…hmmm. Interesting list

 

[Sirwalterraleigh]

There is usually a wave of mass layoffs after major projects conclude, so this isn’t that new in a sense. The top people stick around, and the hundreds of others who worked on the wave of projects are let go.

rinse and repeat.

Usually that doesn’t involve moving the office 2,600 miles away.

unless the office is a factory that makes Mickey plushies and they run out of kids

 

[marni1971]

My real question what kind of talent are they letting go, what quality of talent?
.

Across the board. Though some are walking before they are pushed.

 

[Lilofan]

How incredibly non-insightful

tell me “it’s a business”…really blow some minds

"Follow the power and money" sounds like a Watergate theory that is being pushed.

 

[Sirwalterraleigh]

"Follow the power and money" sounds like a Watergate theory that is being pushed.

Or the reality of the planet since Nagasaki…and I’m being kind that it wasn’t a thing long before that.

 

[RSoxNo1]

I'm sure Disney will spin this as mass attrition due to the relocation, but it's layoffs.

Recognizing that people's lives are effected by this, we've often said on here that Imagineering is too large. While I'm not anticipating anything positive out of this, it's conceivable that this could help timetables for projects.

 

[castlecake2.0]

They could have done layoffs in California and not move everyone. To me this is a combo layoff/huge organizational change/money savings. If you want to totally redo the organizational structure it’s easier to start somewhere fresh and try to eliminate as much “this is how we used to do it” (as in SOPs, not creativity) as possible.

 

[Sirwalterraleigh]

I'm sure Disney will spin this as mass attrition due to the relocation, but it's layoffs.

Recognizing that people's lives are effected by this, we've often said on here that Imagineering is too large. While I'm not anticipating anything positive out of this, it's conceivable that this could help timetables for projects.

Yes…having worked for a company that dabble in this some…here’s how a “non-layoff/relocation “ goes:

“You are incredibly valuable to us…we’re not laying you off”

“oh thank god!…I was nervous”

“so a week from Monday, your position is 1,100 miles south and 65% of the pay. But don’t worry…cost of living is 5% less, no state income tax, and cheap housing”

“or I could fall less further behind working at In-n-Out?”

 

[Sirwalterraleigh]

They could have done layoffs in California and not move everyone. To me this is a combo layoff/huge organizational change/money savings. If you want to totally redo the organizational structure it’s easier to start somewhere fresh and try to eliminate as much “this is how we used to do it” (as in SOPs, not creativity) as possible.

I fear it’s to reduce the compensation/standards across the board in a short amount of time…

…and that is understanding California is no peach to live in.

 

[mightynine]

Imagineering is a shell of its former self filled with more egos than creators.

You mean you don't read Zach Riddley's LinkedIn profile and become overwhelmed by creativity and imagination?

 

[Vegas Disney Fan]

Thank you…

the question is: who does this favor?

Both, Disney can pay less and will save a fortune on taxes, the employees are essentially getting a raise since the cost of living is so much lower and they’ll instantly get 10% more with no state tax.

My brothers AAA office moved from San Fran to Vegas over a decade ago, his 25% pay cut ($80k to $60k) to relocate still ended up being a 50% raise since it’s so much cheaper here and no state tax. He’s now 6 figures but even with his salary today he still couldn’t afford a house in SF, he bought his house here about a year after his move, it’s nearly paid off now.

Win/win… the only losers in this scenario are those that can’t move and CA.

 

[EeyoreFan#24]

I said it earlier, but I’m sure Disney has some very smart people in finance and they know exactly what they are targeting for their new financial forecasts after the move. This will include everything people mentioned above with the non-salary expenses, but I’m sure they have forecasted salaries they expect to transfer and salaries they don’t in the salary budget. They will balance new hires in fl with budget dollars left. I bet they will be pretty close too. Not much of this is a surprise to their finance people I’m sure.

 

[Sirwalterraleigh]

Both, Disney can pay less and will save a fortune on taxes, the employees are essentially getting a raise since the cost of living is so much lower and they’ll instantly get 10% more with no state tax.

My brothers AAA office moved from San Fran to Vegas over a decade ago, his 25% pay cut ($80k to $60k) to relocate still ended up being a 50% raise since it’s so much cheaper here and no state tax. He’s now 6 figures but even with his salary today he still couldn’t afford a house in SF, he bought his house here about a year after his move, it’s nearly paid off now.

Win/win… the only losers in this scenario are those that can’t move and CA.

So you’re basing that on one of the most expensive markets in the country to where Wayne Newton is the mayor?

…it could work.

however two things are often exaggerated: that corporate tax savings matter…and that cost of living is that much different.

not that they aren’t real…just exaggerated

 

[Lilofan]

Both, Disney can pay less and will save a fortune on taxes, the employees are essentially getting a raise since the cost of living is so much lower and they’ll instantly get 10% more with no state tax.

My brothers AAA office moved from San Fran to Vegas over a decade ago, his 25% pay cut ($80k to $60k) to relocate still ended up being a 50% raise since it’s so much cheaper here and no state tax. He’s now 6 figures but even with his salary today he still couldn’t afford a house in SF, he bought his house here about a year after his move, it’s nearly paid off now.

Win/win… the only losers in this scenario are those that can’t move and CA.

Heck ya. A 1 bedroom/ 1 bath San Fran condo with on the street parking and a common laundromat shared with all that runs about $600K can get you a brand new custom built 4bed/2 bath house in Orlando.

 

[CaptainAmerica]

however two things are often exaggerated: that corporate tax savings matter…and that cost of living is that much different.

not that they aren’t real…just exaggerated

If you're a family that wants a very nice 4 bedroom house, you're probably looking at $500,000 in central Florida and $1.5 million in Southern California.