Massive Layoffs Hit WDW

[glendalais]

In more Layoff news, the WDW Cast Services Department has been abolished, with WDW implementing the solution currently used by DLR: Area Managers/GSMs as well as the Disney Learning Centre will be assuming responsibility for the duties previously handled by Cast Services Managers.

[glendalais]

And from today's Orlando Sentinel:

http://www.orlandosentinel.com/business ... 9231.story

(When I tried to load it in my browser, it caused it to freeze up and nearly crash before it finally finished loading. I posted the link for those who want to see it, but, just to be safe, let me copy the story into a quote)

Hundreds lose jobs as Disney World layoffs accelerate

Disney, which is Central Florida's largest employer with about 62,000 "cast members," refused to say Thursday how many jobs it has eliminated.

Walt Disney World has stepped up layoffs this week, as the company moves ahead with a broad, recession-forced restructuring of its management ranks.

Disney, which is Central Florida's largest employer, with about 62,000 "cast members," refused to say Thursday how many jobs it has eliminated. But one person familiar with some details of the cuts said he was given an estimate of 450.

The cuts have predominantly targeted salaried workers, rather than the hourly employees who make up the vast majority of the resort's workforce. Employees say layoffs have occurred across Disney World's back-office functions, including entertainment, merchandise, finance, transportation, training, emergency management and theme-park operations.

Some workers who deal directly with guests have also been let go, including guest-service managers and managers in Disney Vacation Club's sales preview center.

"It's property-wide," said Donna-Lynne Dalton, business agent for the Teamsters Local 385 union, which represents characters, laundry workers, parking attendants and ranch hands. She noted, however, that the job cuts have not affected unionized employees.

"I was told that they are going to be walking people out through Friday," she said. The Walt Disney Co.'s fiscal second quarter ends this week.

One former employee, who said he was laid off Wednesday after more than 10 years at Disney World, said he was personally familiar with about two-dozen others who lost their jobs. Two others laid off this week said they personally knew about 20 others whose jobs were eliminated.

"We're not talking about one or two people. We're talking about 30 or 40 people in some areas," one of the laid-off employees said. All spoke on the condition they not be identified, for fear of losing their severance pay.

Some severance packages include one week's pay for every year with the company, which includes up to 60 days on paid administrative leave, during which the former employees can continue to receive benefits. An ex-employee said laid-off workers are also permitted to at least temporarily continue to purchase health insurance at company rates.

Disney announced last month that it would slash jobs across as its domestic resorts, as part of a sweeping reorganization aimed at combining functions between Disney World and Disneyland in Anaheim, Calif.

The layoffs follow voluntary buyouts that were offered to more than 600 park executives, including 313 in Orlando. Disney said recently that approximately 50 executives accepted the buyouts.

"We think these changes are essential to maintaining our leadership position in family tourism, and they reflect today's economic realities," Disney spokesman Mike Griffin said Thursday.

The layoffs and buyouts are part of deep cost cuts imposed across the Disney Co. in recent months, as the Burbank, Calif., media-and-entertainment giant suffers through the worst recession in decades. Company profit fell 32 percent during the first quarter, which ended Dec. 27.

Disney's theme parks are particularly vulnerable to downturns in consumer spending. The company has attempted to keep attendance afloat with deep discounts that are eroding profit margins.

Among those who have already departed or are scheduled to leave by the end of the month: Disney Cruise Line President Tom McAlpin, top chef and restaurant planner Dieter Hannig, and veteran spokesman Bill Warren.

The company has said it is trying to target cost cuts at its theme parks so that they do not hurt guests' experience. But one laid-off employee said the back-office cuts will inevitably affect front-line employees who deal directly with customers.

"The support from backstage to cast members affects that guest experience," he said. "They affect the cast member, the cast member's attitude, the cast member's ability to do their job."

Disney World has been laying off workers since last month. But former employees say the cuts accelerated this week and have been so widespread that one former worker described it as "a massacre."

The cuts could be timed to coincide with the end of the Disney Co.'s fiscal second quarter, which concludes Saturday. Disney will report its second-quarter earnings May 5.

[turkeyham]

Thanks for letting us read that story. I am surprised on that story. I had no idea on how much the parks were effective.

:mad:

[Main Streeter]

I lost 5 managers within hours Thurs. All were walked out. :twisted: This really hurts as one of the managers was my rock! The other manager was a wonderful person who had fantastic CM skills. Both were managers who cared, worked with us, & would go the extra mile for CMs anytime. These managers will truely be missed. Very sad day with tears on Main Street

[Mayonnaise]

I lost 5 managers within hours Thurs. All were walked out. :twisted:

Is it not normal to walk people out when they've been let go? Is there another way to do it?

8^S

[Shorty82]

Is it not normal to walk people out when they've been let go? Is there another way to do it?

8^S

Not that I can think of. For security purposes anybody who is let go has to be walked out. They are no longer CMs technically so have to be escorted out of the park.

These layoffs have a lot of people worried. Managers all over the place are scared they may be let go and I've heard layoffs are going to hit Photopass in a day or two (they fall under O&T so aren't protected by the union).

[GRUMPY PIRATE]

Is it not normal to walk people out when they've been let go? Is there another way to do it?

8^S

I was thinking the same thing, that just seems like an added insult!

but I know that some might not take it so good. (watched The Office last night!)

[Mayonnaise]

Actually you were thinking the opposite. I thought being walked out was normal.

8^S

[GRUMPY PIRATE]

Actually you were thinking the opposite. I thought being walked out was normal.

8^S

(??) I know its normal, I just think in this instance it is an added insult, since they were not terminated for cause, which WOULD necessitate a walk out so that they could not do any mischief on the way to the gate.

[Mayonnaise]

Right, but I was saying I thought it was normal, even if you weren't terminated for cause... I said nothing at all about it being an insult or anything. I've never heard of any other way to do it.

8^S