Walt Disney Co.'s Pixar subsidiary, the pioneering animator that produced “Toy Story” and “Finding Nemo,” is cutting 14% of its staff, a part of an ongoing belt-tightening by the parent company.
About 175 employees will receive layoff notices on Tuesday, the corporate said.
The cuts reflect Pixar's decision to refocus on feature movies and move away from producing TV series for the Disney+ streaming service. Pixar President Jim Morris explained the change in a memo to employees obtained by Bloomberg.
Disney Chief Executive Officer Bob Iger continues to look for methods to chop costs as a part of a plan to chop $7.5 billion in annual spending. This has led to the lack of greater than 8,000 jobs. Last week he said marketing spending on the Disney+ streaming service was under scrutiny.
The cuts follow media reports in January that Emeryville-based Pixar would cut some jobs. The studio cut 75 jobs in June 2023.
Like many film studios, the animation house has fallen on hard times following the Covid-19 pandemic. Filmmakers and theaters have struggled to lure fans back to the massive screen, with box office revenues a couple of third below previous levels.
Three Pixar movies have been released online in the course of the pandemic, while its most up-to-date theatrical release, Elemental, delivered one among the studio's lowest U.S. openings ever. The film grossed $496.4 million in ticket sales worldwide.
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