UPDATE: Walt Disney Imagineering Hit By Layoffs Due to Shifting Project Priorities

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Disney is laying off somewhere between 100 and 200 employees within the Disney Experiences division. We have learned that the layoffs are primarily at Walt Disney Imagineering and specifically at the Glendale campus. That said, the layoffs are not necessarily exclusive to that division or location. Yesterday, a report from the LA Times said that Disney was laying off more than 100 employees, and we can now add some additional color to the most recent round of layoffs. Here’s the latest.

Imagineering Layoffs & What It Means for Current Projects


IN THIS ARTICLE:

  • Where the layoffs are concentrated and how many employees they affect.
  • Why: our understanding is that project priorities shifted.
  • How the layoffs are expected to affect Disney World projects and Disneyland.

Most of yesterday’s cuts happened within Walt Disney Imagineering, and specifically at the Glendale campus. Across the Disney Experiences division, the total sits between 100 and 200 employees.

Imagineering Faces Layoffs as Project Priorities Shift

As to why, some projects have been deprioritized in the near term. Walt Disney Imagineering, specifically, is a project-based organization. As projects scale up, teams grow to meet the needs of projects as they are advanced through milestones. As projects are completed or deprioritized, those teams shrink or go away completely.

As we understand it, priorities shifted, and projects moved around on Disney’s projected timeline. That meant that Disney either no longer needed teams, or didn’t need as many people on a project team after the project was deprioritized. This is not necessarily uncommon within the Walt Disney Imagineering unit.

In general, deprioritizing a project would naturally lead to a ripple effect of reevaluating staffing needs for that particular project. If a project was ramping up staffing in anticipation of the next milestone and it was then paused, that extra staff would no longer be necessary. The new milestone isn’t coming as quickly. Technically, the layoffs don’t necessarily indicate that Disney has canceled a project completely. It could mean that Disney didn’t need as big of a team on a project.

We weren’t able to get information on which specific projects the layoffs affected. That said, Disney Experiences is currently undertaking more projects than ever before in the company’s history. We’re told that the layoffs don’t change that fact. Disney has announced some of those projects and hasn’t announced others. The layoffs involved more than a single announced or unannounced project. In fact, it sounds like multiple projects at different stages were impacted, in addition to organizational adjustments. This meant that employees from different backgrounds and projects were impacted in one fell swoop.

Announced Projects Expected to Stay on Course

We don’t expect to see any major deviations in the current lineup of announced projects. As for timing, we anticipate that the 2027 opening dates for phase one of Monstropolis and the Tropical Americas project will hit those targets. Other projects such as Piston Peak National Park, Villains Land, and new Disney Cruise Line ships are also very likely to move forward as planned.

We expect to see major movement continue at Disneyland, too, starting with the previously announced reimagining of Tomorrowland. Other projects likely will win approval and move through the pipeline as Disneyland continues to evolve.

In terms of what projects were impacted negatively, we’d imagine that they are mostly projects that haven’t been officially announced. Again, we weren’t able to get confirmation about which projects or teams were impacted most by the layoffs.

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