USA TODAY International Edition
What Disney layoffs mean for guests
Will the ‘ Magical Disney experience’ go away?
The happiest place on Earth is a lot less happy this week after Disney announced it would lay off 28,000 staffers from its parks division.
“As hard as they try to make those cutbacks only affect behind- the- scenes issues, it eventually comes to the guest,” Dennis Speigel, founder and CEO of International Theme Park Services, told USA TODAY. “And by that, I mean services and experience.”
Disney’s layoffs will alter already topsy- turvy theme park visits for guests, if they go at all. Attendance has generally been disappointing. Florida’s Walt Disney World, which was operating its four theme parks with reduced hours, moved to an even shorter daily schedule this month.
Once guests do return, they should brace themselves for more than just mask- wearing rules.
Though Disney World reopened in July, Disneyland has yet to reopen, awaiting guidelines, to the chagrin of the city of Anaheim, employees and the California Attractions and Parks Association ( not to mention eager guests).
In a letter to employees, Josh D’Amaro, chairman of Disney Parks, Experience and Product, said his management team worked hard to try to avoid layoffs. They cut expenses, suspended projects and modified operations, but it wasn’t enough, given Disneyland’s closure and
limits on the number of people allowed into Disney World, he said.
“These layoffs mean that Disney’s planning to keep its park and resort operations about where they are now,” Len Testa, co- author of “The Unofficial Guide to Walt Disney World,” told USA TODAY. “In particular, it means that we’re not likely to see the return of longer, pre- pandemic park hours, no special perks like extra time in the parks for people staying at Disney hotels and no widespread use of Disney’s FASTPASS ride reservation system.” Park hours will be briefly extended for the holiday season in December, though some
events are canceled.
Two- thirds of the 28,000 layoffs were part- time cast members – such as those in Disney’s College Program, according to Testa. They also included salaried employees and nonunion hourly workers, Disney officials said. The company will provide severance packages for some employees.
Officials with the union that represents the actors who play Disney characters at the theme parks said they were having conversations with Disney officials about how they would be affected, according to Actors’ Equity Association. Officials with the Service Trades Council Union, which represents 43,000 workers at Disney World in Florida, said they were having similar conversations.
Labor is typically 50% of a theme park’s operating budget, and its single largest expense, according to Speigel.
“Disney’s the master at delivering a good time, and they have been since the day they opened the gate,” Speigel said. “But like everybody else, they’re in this situation where they have to take these measures.”
Many of the special celebrations will be no more. “Those more immersive, more hands- on involvement- type experiences – parades, fireworks, larger gathering type of programs that were designed to entertain but also keep the guests in the park longer – you’re going to see those cut back,” Speigel said. “And we’ve already begun seeing that.”
Events that typically draw large crowds are going “on hiatus” this year, such as Mickey’s Very Merry Christmas Party and Candlelight Processional at Epcot.
The Castle Dream Lights holiday show will be replaced with special projection effects; Cinderella Castle “will be transformed with a rotating series of designs including a whimsical Christmas sweater and a regal overlay of red, green and gold ornamentation,” Laurel Slater, manager of communications for Walt Disney World Public Affairs, wrote in a blog post. Disney has developed pandemic- conscious entertainment options for guests, including distanced photo opportunities.
Other layoffs include Disney’s Grand Floridian and Port Orleans resorts musicians.