Disney this week will start the first of three rounds of layoffs, according to a report from Deadline on Monday.
CEO Bob Iger reportedly sent a memo to Disney employees about the start of layoffs that will cut approximately 7,000 employees starting this week, with another round coming in April and a third round happening over the summer.
“In tough moments, we must always do what is required to ensure Disney can continue delivering exceptional entertainment to audiences and guests around the world — now, and long into the future,” Iger wrote in the memo, according to Deadline.
It’s unclear what areas of the company will be affected by the layoffs. Sources told Deadline Disney’s parks, the streaming service Hulu and other areas of entertainment such as ESPN could be hit with cuts.
Iger returned to Disney as CEO in November following the ousting of Bob Chapek. In February, Iger indicated the company planned to reduce the company’s workforce.
Layoffs have hit tech companies hardest in recent months. Microsoft, Meta and Amazon laid off thousands of employees in 2022 and have announced more cuts for 2023.
Disney didn’t immediately respond to a request for comment.