New York (CNN) CEO Bob Iger said Monday his company would begin layoffs starting this week, the first of three rounds of expected cuts after announcing in February that the company would cut 7,000 jobs.
The cuts to Disney’s global workforce are part of a multibillion-dollar cost-cutting initiative aimed at streamlining the company’s operations at a time of media industry turmoil.
In a memo to employees obtained by CNN, Iger said the layoffs would come in three waves. The first round begins this week, and managers will soon begin notifying affected employees. A second, larger round of layoffs will take place in April, Iger said, with several thousand employees laid off. A third round of layoffs will then come “before the start of the summer” to meet the company’s planned goal of cutting 7,000 jobs.
“The difficult reality that many colleagues and friends are leaving Disney is not something we take lightly,” Iger said in the memo. “During difficult moments, we must always do whatever is necessary to ensure Disney can continue to provide exceptional entertainment to viewers and guests around the world – now and well into the future.”
Disney (DIS) employed about 220,000 people as of October 1, of which about 166,000 were employed in the United States. A reduction of 7,000 jobs corresponds to approximately 3% of the global workforce.
The layoffs follow Iger’s return to Disney in November after the company’s board fired Bob Chapek as chief executive.