The Walt Disney Company is reportedly preparing to lay off around 200 employees, representing nearly 6% of the combined workforce at its ABC News Group and Disney Entertainment Networks units. This development, first reported by The Wall Street Journal marks another phase of restructuring as the company adapts to evolving consumer preferences and the declining relevance of traditional cable television.
The restructuring will impact several key divisions within ABC News. Notably, the long-running news magazine programs 20/20 and Nightline are set to merge into a single unit. Additionally, the team behind FiveThirtyEight, the popular political and data analysis website, will be disbanded. Production staff at Good Morning America are also expected to be affected by the cuts.
Within the Disney Entertainment Networks division, which oversees cable channels such as FX, reductions are anticipated in programming and scheduling operations. These changes reflect broader industry trends as companies pivot away from traditional media models in response to shifting audience behaviors.
As of now, Disney has not issued an official statement regarding the reported layoffs. The company’s stock remained stable in premarket trading on Wednesday. According to The Wall Street Journal, the newsletter Status was the first to break the news about the impending workforce reductions at ABC News.
This move is part of Disney’s ongoing efforts to streamline operations and reallocate resources amid a rapidly changing media landscape. The company has been focusing on expanding its digital and streaming platforms, such as Disney+, while scaling back on traditional television operations that have seen declining viewership.
The layoffs underscore the challenges faced by legacy media companies as they navigate the transition from cable-dominated markets to digital-first strategies. For Disney, these changes are aimed at ensuring long-term sustainability and competitiveness in an increasingly fragmented entertainment industry.
