5Chapek Announces Disney To Start Layoffs, Limited Travel to Reduce Costs
By Movieguide® Staff
After a poor financial quarterly quarter that shocked investors, Disney CEO Bob Chapek announced that the company would be conducting firings, freezing hires, and limiting travel within the company to save money.
“I am fully aware this will be a difficult process for many of you and your teams. We are going to have to make tough and uncomfortable decisions,” Chapek wrote in a memo to the company. “But that is just what leadership requires, and I thank you in advance for stepping up during this important time. Our company has weathered many challenges during our 100-year history, and I have no doubt we will achieve our goals and create a more nimble company better suited to the environment of tomorrow.”
Chapek added that Disney would also direct “rigorous review of the company’s content and marketing spending.”
Movieguide® reported: “Disney’s fiscal fourth quarter earnings report resulted in company shares dropping by an astounding 8%.”
While Chapek notes the obvious obstacles for the company moving forward—inflation and economic instability—Chapek’s tenure as the chief executive has also brought new content to Disney that ostracized many families.
One example is Pixar’s last release, LIGHTYEAR, which was ridiculed by secular and Christian outlets alike.
Movieguide® previously reported:
Houston, we have a problem.
Disney Pixar’s LIGHTYEAR became the first mission into uncharted space for the studio, with an on-screen kiss between two lesbian characters.
However, based on early critic reviews, LIGHTYEAR is falling short of expectations based on its subpar story alone.
“LIGHTYEAR is an animated science fiction feature that’s supposed to be the movie on which the Buzz Lightyear action figure was based,” Movieguide®’s review reads. “Andy, the little boy in TOY STORY, loved the Buzz Lightyear action figure because LIGHTYEAR became his favorite movie.”
In a recent article published by The Atlantic, writer David Sims notes that “LIGHTYEAR is the origin story that no one needed.”
Sims went on to call the movie “formulaic to the point of dullness,” and “while all of the film’s visual excitement is handled with Pixar’s usual polish, the intrigue is only surface-level.”
As of June 16, 2022, LIGHTYEAR holds a 79% on Rotten Tomatoes, the lowest of any TOY STORY movie.
But if a bland story wasn’t enough to discourage avid TOY STORY fans, the movie’s ideological and worldview issues should.
According to Movieguide®’s review, “Buzz isn’t really the hero of this story. His lesbian friend, Alisha, is the real hero. Eventually, it’s her life that inspires Buzz, her granddaughter and everyone else.”
“Thus, the whole movie becomes a validation of LGBT ideology and an attack on masculinity and the biblical view of family. LIGHTYEAR also taints the TOY STORY franchise, because it says the politically correct movie became Andy’s favorite movie.”
It is clear from early reviews that inclusivity and woke ideology are not enough to hold up a lackluster story.
Disney makes most of its money off children’s content. However, now more than ever there are over sexualized characters, witchcraft, and other immorality found in Disney’s most popular children’s content like TURNING RED and BAYMAX
If Disney continues to substitute story for sex and uplifting morals for witchcraft, Chapek and the company could have a long road ahead of them.
Read More: Disney’s BAYMAX Series Promotes LGBT Characters and Sexual Content to Children
Chapek’s complete memo reads:
Disney Leaders-
As we begin fiscal 2023, I want to communicate with you directly about the cost management efforts Christine McCarthy and I referenced on this week’s earnings call. These efforts will help us to both achieve the important goal of reaching profitability for Disney+ in fiscal 2024 and make us a more efficient and nimble company overall. This work is occurring against a backdrop of economic uncertainty that all companies and our industry are contending with.
While certain macroeconomic factors are out of our control, meeting these goals requires all of us to continue doing our part to manage the things we can control—most notably, our costs. You all will have critical roles to play in this effort, and as senior leaders, I know you will get it done.
To be clear, I am confident in our ability to reach the targets we have set, and in this management team to get us there.
To help guide us on this journey, I have established a cost structure taskforce of executive officers: our CFO, Christine McCarthy and General Counsel, Horacio Gutierrez. Along with me, this team will make the critical big picture decisions necessary to achieve our objectives.
We are not starting this work from scratch and have already set several next steps—which I wanted you to hear about directly from me.
First, we have undertaken a rigorous review of the company’s content and marketing spending working with our content leaders and their teams. While we will not sacrifice quality or the strength of our unrivaled synergy machine, we must ensure our investments are both efficient and come with tangible benefits to both audiences and the company.
Second, we are limiting headcount additions through a targeted hiring freeze. Hiring for the small subset of the most critical, business-driving positions will continue, but all other roles are on hold. Your segment leaders and HR teams have more specific details on how this will apply to your teams.
Third, we are reviewing our SG&A costs and have determined that there is room for improved efficiency—as well as an opportunity to transform the organization to be more nimble. The taskforce will drive this work in partnership with segment teams to achieve both savings and organizational enhancements. As we work through this evaluation process, we will look at every avenue of operations and labor to find savings, and we do anticipate some staff reductions as part of this review. In the immediate term, business travel should now be limited to essential trips only. In-person work sessions or offsites requiring travel will need advance approval and review from a member of your executive team (i.e., direct report of the segment chairman or corporate executive officer). As much as possible, these meetings should be conducted virtually. Attendance at conferences and other external events will also be restricted and require approvals from a member of your executive team.
Our transformation is designed to ensure we thrive not just today, but well into the future—and you will hear more from our taskforce in the weeks and months ahead.
I am fully aware this will be a difficult process for many of you and your teams. We are going to have to make tough and uncomfortable decisions. But that is just what leadership requires, and I thank you in advance for stepping up during this important time. Our company has weathered many challenges during our 100-year history, and I have no doubt we will achieve our goals and create a more nimble company better suited to the environment of tomorrow.
Thank you again for your leadership.
-Bob
Now more than ever we’re bombarded by darkness in media, movies, and TV. Movieguide® has fought back for almost 40 years, working within Hollywood to propel uplifting and positive content. We’re proud to say we’ve collaborated with some of the top industry players to influence and redeem entertainment for Jesus. Still, the most influential person in Hollywood is you. The viewer.
What you listen to, watch, and read has power. Movieguide® wants to give you the resources to empower the good and the beautiful. But we can’t do it alone. We need your support.
You can make a difference with as little as $7. It takes only a moment. If you can, consider supporting our ministry with a monthly gift. Thank you.
Movieguide® is a 501c3 and all donations are tax deductible.
Now more than ever we’re bombarded by darkness in media, movies, and TV. Movieguide® has fought back for almost 40 years, working within Hollywood to propel uplifting and positive content. We’re proud to say we’ve collaborated with some of the top industry players to influence and redeem entertainment for Jesus. Still, the most influential person in Hollywood is you. The viewer.
What you listen to, watch, and read has power. Movieguide® wants to give you the resources to empower the good and the beautiful. But we can’t do it alone. We need your support.
You can make a difference with as little as $7. It takes only a moment. If you can, consider supporting our ministry with a monthly gift. Thank you.
Movieguide® is a 501c3 and all donations are tax deductible.
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