Disney is preparing another round of significant layoffs, this time targeting its Legal and Global Affairs department, which employs roughly 1,000 people. Horacio Gutierrez, Disney’s Chief Legal and Global Affairs Officer, sent a memo to staff last week warning that the unit will be restructured and sharply reduced in size.
The memo points to automation, artificial intelligence, outside legal providers, and outsourcing as tools the company is actively considering to replace work currently done in-house. The cuts would follow two earlier rounds of job reductions, with Disney eliminating 1,000 positions in April and hundreds more in July.
Gutierrez Warns of Hard Choices Ahead
Gutierrez framed the overhaul as an unavoidable response to technology reshaping how professional work gets done. “Legal, government relations, operations, and others are going through their own reinvention as technology reshapes how work gets done, and the operating models that underpin those professions,” he wrote, adding that he is “taking a dispassionate look at every aspect of how we do our work, so we can do it in a more efficient and cost-effective manner.”
The memo made clear that employees would feel the impact directly. “LGA will be a much smaller organization than it is today, and some of you will personally be affected by decisions we make in this process,” Gutierrez wrote. He also listed specific models under consideration, Disney Legal department layoffs including automated workflows, self-service models, alternative legal providers, expanded shared services, and outright outsourcing.
Disney’s First AI-Focused Chief Technology Officer
The planned cuts arrive as Disney moves deliberately toward a more technology-driven corporate structure. The company recently appointed Karandeep Anand, whose professional background is in artificial intelligence, as its first-ever Chief Technology Officer, signaling a strategic shift at the executive level.
A separate wave of executive-level cuts is also expected. Earlier this year, senior Disney executives were strongly advised to consider early retirement packages, suggesting the workforce reduction extends well beyond the Legal and Global Affairs unit.
What Comes Next for Disney’s Workforce
Disney has not specified exactly how many positions will be eliminated from the LGA department, but the memo leaves little ambiguity about the direction. The company’s total global workforce stands at approximately 231,000, making the LGA overhaul one piece of a broader restructuring effort.
As the review continues, employees across legal, government relations, and operations functions face uncertainty about their roles. The timeline for the changes was not detailed in Gutierrez’s memo, though he indicated the organization will look “different in the months and years ahead.”
