Disney Severance Packages Revealed for 1,000 Laid Off Employees

Shannen Ace

Published:

Disney Severance Packages Revealed for 1,000 Laid Off Employees

The Walt Disney Company is laying off approximately 1,000 employees this month, including marketing and branding teams and about 8% of Marvel Entertainment’s workforce. The severance packages vary depending on the laid-off employee’s position and how long they have worked at the company.

Disney Severance Packages

walt-disney-company-studios-gate-burbank-california-5941315

Here is the breakdown of severance packages according to Disney’s employee handbook, as shared by Business Insider:

Level and employment lengthSeverance
Non-manager, less than 5 years4 weeks of pay
Non-manager, more than 5 years1 week of pay per year, up to 52 weeks
Manager, less than 5 years6 weeks of pay
Manager, more than 5 years4 weeks of pay, plus 1 week per year, up to 52 weeks
Director, less than 5 years13 weeks of pay
Director, more than 5 years6 weeks of pay, plus 2 weeks per year, up to 52 weeks
VP or above, less than 5 years26 weeks of pay
VP or above, more than 5 years18 weeks of pay, plus 2 weeks per year, up to 52 weeks

Business Insider confirmed this breakdown aligns with severance offers granted to four employees. Two also said they received a prorated bonus, paid vacation days, and continued health coverage for several months. A Disney spokesperson declined Business Insider’s request for comment.

Disney Layoffs

Since Bob Iger began a major restructuring upon his return as CEO in 2022, Disney has laid off more than 8,000 people. Plans for the coming layoffs began before Josh D’Amaro took over as CEO, people with knowledge of the cuts said.

In a memo, D’Amaro said, “I know this is hard. These decisions are not a reflection of [laid-off employees] contributions, or of the overall strength of the company. Rather, they reflect our continual evaluation of how to more effectively manage our resources and reinvest in our businesses.”

231,000 people were employed by Disney at the end of its 2025 fiscal year, with 80% working in the experiences division.

For the latest Disney Parks news and info, follow WDW News Today on TwitterFacebook, and Instagram.