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Disney layoffs continue with third round of job cuts in 2026

Disney is cutting a few hundred more jobs, marking its third round of layoffs this year as management continues companywide cost reductions.

Arjun Nair

Commentary & Analysis ·

5 min read
Rows of empty red seats facing the screen inside a movie theater

Disney is laying off a few hundred employees in its third round of job cuts this year under recently appointed CEO Josh D'Amaro, extending a cost-reduction effort that has already affected multiple parts of the company.

The latest cuts are concentrated primarily in human resources and IT, both at the corporate level and within different Disney divisions, according to a source familiar with the layoffs cited by Variety.

Key facts

  • Latest cuts: A few hundred employees
  • 2026 rounds: Three rounds of layoffs this year
  • Main departments in latest round: Human resources and IT
  • July cuts: Several hundred jobs across corporate functions and multiple divisions
  • August action: Early-retirement buyout packages offered to longtime executives
  • Workforce: About 231,000 full- and part-time employees as of September 2025

Disney layoffs mark third round of cuts in 2026

The September reductions are the third round of layoffs at Disney in 2026, according to Variety. The latest move affects a few hundred workers and is focused largely on human resources and information technology roles across the company.

The cuts follow a broader pattern of workforce reductions this year rather than a single division-specific restructuring. Disney has previously eliminated jobs across corporate functions, television, sports and its film operations, while also offering voluntary early-retirement packages to some longtime executives.

Variety reported that Tuesday's layoffs were first reported by Deadline. The newest round comes less than two months after Disney executives publicly signaled that further cost reductions were being evaluated across the company.

Disney reported a workforce of about 231,000 full- and part-time employees as of September 2025, which marked the end of its fiscal year. The company has not given a more precise headcount for the September layoffs beyond a few hundred employees.

2026 periodDisney workforce actionDivisions or groups identified
July 2026Several hundred jobs eliminatedCorporate functions, Pixar, ESPN, Disney Entertainment Television and Disney's studios
August 2026Early-retirement buyout packages offered to longtime executivesLongtime executives
September 29, 2026A few hundred employees laid off in the third round of cuts this yearPrimarily human resources and IT across corporate and different divisions

Where Disney job cuts 2026 have landed

The pattern of reductions in 2026 shows the cuts spreading across a wide range of Disney operations. In July, the company eliminated several hundred positions across certain corporate functions as well as Pixar, ESPN, Disney Entertainment Television and Disney's studios.

Within those July reductions, Variety reported that the majority of the layoffs on the studios side were at Pixar. In the television group, the majority of the cuts were at National Geographic.

The September round is different in emphasis. Rather than focusing principally on specific entertainment brands, the latest cuts are primarily in human resources and IT. Those roles span both corporate operations and individual divisions, making the reductions broader in functional terms.

The sequence indicates that Disney's cost-cutting effort has moved through both operating businesses and central support functions during the year. The company has not disclosed an exact total number of jobs eliminated across all three rounds.

What Disney management has said about the cuts

Disney executives had already indicated that additional reductions were possible before the latest layoffs were reported. When the company announced results for the June 2026 quarter, D'Amaro and chief financial officer Hugh Johnston said more job cutbacks were coming.

In an August 6 shareholder letter, the executives wrote that Disney remained “highly focused on reducing costs across the enterprise to create incremental capacity to invest for growth”. They said the company was evaluating several approaches, including “reductions in labor and SG&A”.

SG&A refers to selling, general and administrative expenses, a category that generally covers operating costs outside direct production or service delivery. In the same letter, D'Amaro and Johnston said Disney was “mid-stream in this work” and would provide future updates on its progress.

The September layoffs are consistent with that statement, particularly because the cuts are concentrated in functions such as human resources and IT that operate across the wider company. Disney has not announced a specific savings target tied to this round.

July cuts affected Pixar, ESPN and television

The July round was one of the clearest examples of how widely the 2026 reductions have been distributed. Several hundred jobs were eliminated across corporate functions and major Disney businesses, including Pixar, ESPN, Disney Entertainment Television and the company's studios.

Variety said most of the studio-side reductions in that round were within Pixar, while National Geographic accounted for the majority of the cuts within the television group.

Those layoffs were followed in August by a different cost-control measure: early-retirement buyout packages for longtime executives. The offers were part of Disney's ongoing cost-cutting effort and came between the July layoffs and the latest September reductions.

Taken together, the actions show Disney using more than one method to reduce labor-related costs. The company has eliminated positions directly while also offering buyouts to some veteran executives.

Why Disney is continuing to reduce costs

The explanation Disney management has given centers on creating additional capacity to invest in growth while lowering costs across the enterprise. D'Amaro and Johnston explicitly tied the company's review to labor reductions and SG&A expenses in their August shareholder letter.

The language suggests the cuts are part of an ongoing companywide process rather than a completed restructuring. The executives said in August that Disney remained in the middle of the work, and the September layoffs are the latest action to follow that warning.

At the same time, the reductions have not been confined to one type of business. Creative operations such as Pixar, whose Toy Story 5 has just landed on Disney+, media units including ESPN and Disney Entertainment Television, and corporate functions including HR and IT have all been affected during 2026.

Disney has not disclosed an exact combined headcount for all of the year's cuts, and the company has not announced severance terms or a specific savings target connected to the latest round.

What comes next after the Disney layoffs

Disney's own statements indicate that its cost review was still in progress as of August, when D'Amaro and Johnston said the company would provide future updates. The September layoffs show that the process has continued into the fall.

For now, the latest round adds a few hundred more job losses to a year that has already included several hundred cuts in July and executive buyout offers in August, even as the company keeps investing in marquee talent, signing Shawn Levy to a multi-year 20th Television deal. With management describing the cost-reduction effort as ongoing, further updates on the company's progress remain expected as Disney continues evaluating expenses across the business.

Frequently asked questions

Why are Disney layoffs happening in 2026?

Disney executives have said they are focused on reducing costs across the company to create more capacity to invest in growth. In an August 6 shareholder letter, CEO Josh D'Amaro and CFO Hugh Johnston said they were evaluating measures including reductions in labor and selling, general and administrative expenses and described the work as ongoing.

Which divisions have been affected by Disney job cuts 2026?

Disney's 2026 cuts have affected several parts of the company. July layoffs included corporate functions, Pixar, ESPN, Disney Entertainment Television and the studios, with most studio-side cuts at Pixar and most television cuts at National Geographic. The September round is focused primarily on human resources and IT across corporate operations and multiple divisions.

How many people are affected by the latest Disney layoffs?

Variety reported that the September 29 round involves a few hundred employees. Disney has not disclosed a more precise figure for these cuts. In July, the company separately eliminated several hundred jobs. Disney reported having about 231,000 full- and part-time workers as of September 2025, at the end of its fiscal year.

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