Disney has once again laid off employees across entertainment divisions. This has happened for the second time this year. The new round of layoffs has specifically hit Pixar Studios, with reports largely tied to its latest movie’s performance.
Disney Pixar layoffs may include performance concerns tied to one recent movie
According to The Wrap, The Walt Disney Company has cut several hundred employees across its corporate operations, ESPN, Disney Entertainment Television, and Disney Studios. Pixar Studios is expected to be among the hardest-hit divisions with around 150 jobs reportedly being eliminated. Within the TV division, National Geographic will also lay off a major portion of its workforce.
The new round of layoffs is also headlined by the underperformance of Pixar’s original sci-fi comedy animated film Hoppers, The Wrap reported. Originally premiered earlier this year, the movie received positive responses from critics and audiences alike. Although Hoppers grossed more than $389 million worldwide against a $150 million production budget, it fell short of Disney’s internal expectations. The film also follows Elio, another Pixar film that just grossed $154 million against a $200 million budget.
Although Pixar did well with Inside Out 2 and Toy Story 5, the disappointing commercial performance of Hoppers and Elio contributed to increased financial pressure within the animation studio. This marks their largest round of layoffs since 2024, when the studio cut approximately 175 jobs, or about 14% of its workforce.
According to the company, this new move is aimed at reducing costs and streamlining its operations across its multiple divisions. The company spokesperson said, “These changes are part of our continual evaluation of how we manage resources and reinvest across the company as our industry continues to evolve.”
Pixar Studios is currently focused on releasing Gatto in 2027, followed by Incredibles 3 in 2028.
