Disney Unveils Severance Details for 1,000 Laid-Off Employees
The Walt Disney Company is set to lay off around 1,000 employees this month. This decision affects various teams, including those in marketing and branding, and roughly 8% of Marvel Entertainment’s workforce will also be impacted. The layoffs are part of ongoing restructuring efforts initiated by CEO Bob Iger.
Disney Severance Details for Laid-Off Employees
Severance packages offered to those laid off vary based on employee position and tenure at Disney. Below is a detailed breakdown of the severance packages as per Disney’s employee handbook:
| Level | Employment Length | Severance |
|---|---|---|
| Non-manager | Less than 5 years | 4 weeks of pay |
| Non-manager | More than 5 years | 1 week of pay per year, up to 52 weeks |
| Manager | Less than 5 years | 6 weeks of pay |
| Manager | More than 5 years | 4 weeks of pay, plus 1 week per year, up to 52 weeks |
| Director | Less than 5 years | 13 weeks of pay |
| Director | More than 5 years | 6 weeks of pay, plus 2 weeks per year, up to 52 weeks |
| VP or above | Less than 5 years | 26 weeks of pay |
| VP or above | More than 5 years | 18 weeks of pay, plus 2 weeks per year, up to 52 weeks |
In addition to severance pay, some employees have reported receiving prorated bonuses, unused paid vacation days, and several months of continued health coverage. A Disney spokesperson has not commented on these details.
Background on Disney Layoffs
Disney’s recent layoffs are part of a broader strategy initiated by Bob Iger since his return as CEO in 2022. In total, Iger’s restructuring has led to the elimination of over 8,000 positions.
Executive Josh D’Amaro indicated that the decision for the layoffs predated his leadership. He emphasized that these choices are not a reflection of the employees’ contributions or the overall company strength. They are part of an ongoing assessment to enhance resource management and reinvest in business areas.
Disney’s Workforce Overview
As of the end of its 2025 fiscal year, Disney employed 231,000 individuals, with 80% working in the experiences division. The company continues to seek ways to innovate and remain competitive in a changing market landscape.
