Disney layoffs: Second round begins with job cuts at ESPN, Disney Entertainment

Disney began letting go of employees on April 24 in a second round of job cuts which will affect various divisions across the company, including Disney Entertainment and ESPN, Disney Parks, Experiences and Products. The latest round of layoffs round, expected to conclude on April 27, will span across the country from Burbank, California, to New York and Connecticut, CNBC reported.

This brings the total number of layoffs at Disney to 4,000, according to CNBC US, after the firm in February announced it would slash 7,000 jobs from its workforce looking to trim costs by $5.5 billion. The announcement was made during Bob Iger's first earnings call since returning as CEO.

"The senior leadership teams have been working diligently to define our future organization, and our biggest priority has been getting this right, rather than getting it done fast," reads a note to employees Monday from co-chairmen of Disney Entertainment, Alan Bergman and Dana Walden.

According to the report, ESPN is first letting go off-camera employees in the three rounds of cuts and will do a separate talent evaluation over the summer, which will conclude in additional cuts and non-renewals of contracts, according to a person familiar with the development.

Eliminating 7,000 jobs from its workforce equates to about 3 percent of the roughly 220,000 people Disney employed as of Oct. 1, according to a securities filing, with roughly 166,000 in the U.S. and about 54,000 internationally.

“These are hard decisions and not ones we take lightly – but every decision has been made with considerable thought, and we are doing everything we can to make sure this process is conducted with respect and compassion,” the firm said in a memo to employees.

Disney officials cited by CNBC also said the company expects to start its third wave of layoffs before the beginning of the summer in order to reach the 7,000 target. Disney has previously said it doesn't expect layoffs to affect its hourly workers at its parks and resorts.

Iger said earlier this year Disney's cost reductions would include cutting $3 billion in content expenses, excluding sports, and the remaining $2.5 billion from noncontent cuts. At that point, Disney executives said about $1 billion in cost-cutting had already been underway since last quarter.