Walt Disney Co. cuts executive car allowances and other perks
Jul 18, 2013
The Walt Disney Co. is looking for ways to cut costs while still increasing profit and for now, executives are going to shoulder some of that burden by having certain perks cut. One of these perks is cutting out a car allowance, which one former executive said can amount to as much as $900 per month. During the summer months, some offices only work half days on Fridays, but that will be changed as well.
In recent months, we've seen Disney enact other changes as well. LucasArts, Lucasfilm's game unit, was recently shut down, as well as another video game studio in Texas. ESPN, Disney's sports division, reduced its workforce by 300 to 400 positions. In light of the move towards computer animation, 120 Disney Studios employees lost their jobs because their specialty was hand-drawn animation.
Jay Rasulo, the company's Chief Financial Officer, said, "We looked at the way technology is changing our businesses. We're removing vestigial parts."