NATIONWIDE – Disney will begin furloughing workers this month as it deals with the impacts of the coronavirus pandemic, the company said Thursday.
- Disney to start furloughing workers this month
- The furlough process will begin April 19
- Disney World, Disneyland have been closed since mid-March
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The furloughs will begin April 19 and impact executive, salaried, and non-union hourly employees. Disney will reportedly meet with union leaders soon.
Disney didn't say how many of the impacted workers are from Disney World or Disneyland, which have been closed since mid-March.
“With no clear indication of when we can restart our business, we’re forced to make the difficult decision to take the next step and furlough employees whose jobs are not necessary at this time,” Disney said in a statement. “The furlough process will begin April 19 and all impacted workers will remain Disney employees through the duration of the furlough period.”
Even though furloughed workers will stop receiving paychecks after April 18, they will remain Disney employees and can continue to receive health insurance, Disney said.
Workers with available paid time off can use some or all of it when the furlough period starts, according to Disney.
Disney has been paying full-time and part-time employees since its parks closed.
Earlier this month, Disney announced that its top executives would be taking pay cuts. Executive chairman Bob Iger is forgoing his entire salary while new CEO Bob Chapek will take a 50 percent cut.
Disney previously warned investors that the coronavirus pandemic had impacted its businesses, including causing it to suspend cruise itineraries and delaying the release of its feature films.