Disney (DIS.US) is rumored to be planning to lay off thousands of employees, and some managers are being asked to save 20% of annual costs

The Zhitong Finance App learned that people familiar with the matter revealed that Disney (DIS.US) is planning to lay off thousands of employees, and the entertainment giant has asked some managers to set annual cost savings targets of 20%. People familiar with the matter said the savings could come from layoffs or cost cuts. Disney's business covers theme parks, TV networks, and movie studios, and some businesses will be significantly more affected. CEO Josh D'Amaro plans to reinvest some of the savings into movies and TV shows, technology, and theme park and cruise businesses, according to people familiar with the matter.

Disney has promised double-digit growth in adjusted earnings per share for this fiscal year. A Disney representative declined to comment.

In recent years, Disney has cut costs by billions of dollars and thousands of jobs, and layoffs have affected various departments such as ABC, Pixar, ESPN, film studios, and experience businesses. As of the end of the last fiscal year, Disney had a total of 231,000 employees worldwide.

The media reported on October 1 that Disney plans to restructure its television division and lay off employees in the legal and global affairs department.

Entertainment companies such as Netflix (NFLX.US), Sony Pictures Entertainment, and Skydance (SKYD.US) Paramount and Warner Bros. have also laid off employees one after another due to a decline in traditional TV revenue and a slowdown in the growth of streaming media users. Additionally, they must meet the challenges posed by an increasing number of viewers turning to social media, online video, and streaming services supported by tech giants such as Amazon (AMZN.US) and Apple (AAPL.US).

Last month, Disney President Dana Walden said, “We need to continuously evaluate the organization and size of the company. Tech companies have their sights set on our business; we have to survive, grow and thrive, and that's exactly what we want to do.”