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Animation Studio Hit Hard as Disney Axes Several Hundred Employees
Variety • • general
Key Points:
- Disney conducted a wave of layoffs affecting several hundred employees across corporate functions, including significant job cuts at Pixar Animation Studios and National Geographic.
- The layoffs at Pixar mainly impact production and operations, reflecting the studio's adjusted production volume and evolving project needs as part of Disney's broader strategy to prioritize quality theatrical releases over streaming-only content.
- Pixar released two films in 2026: "Hoppers," which had a strong opening but underperformed compared to previous hits, and the highly successful "Toy Story 5," nearing $1 billion in box office revenue.
- Since the pandemic, Pixar has faced challenges launching new original properties, partly due to earlier decisions to release films like "Soul," "Luca," and "Turning Red" directly to Disney+, which may have shifted audience viewing habits.
- Disney's CEO Josh D’Amaro emphasized the need to streamline operations and build a more agile, technologically enabled workforce to maintain creativity and innovation in a fast-evolving entertainment industry.
