PJ Media Reports: Disneyland and Walt Disney World may be the happiest places on earth for people rich enough or addicted enough to push their way through the entry gates. But a large number of employees will not be having a “magical day.” They will be out looking for work.

The Wall Street Journal reports that during a Wednesday earnings call, CEO Bob Iger announced that the company would be trimming its ranks by 7,000 employees and cutting costs to the tune of $5.5 billion. Iger said, “It’s time for another transformation.” That transformation will not just cut expenses, but “reshape the company around creativity” and generate profits for its streaming business. Creative executives will have more power when it comes to content, marketing, and distribution, but will also be held accountable for their financials. Iger said, ““The best way to spur great creativity is to make sure the people managing creative activities feel empowered.”



Iger also said that Disney will create a new division known as Disney Entertainment, which will be made up of its TV and movie studios and its streaming services. Studio chairman Alan Bergman and television chief Dana Walden will head up the division. Josh D’Amaro and James Pitaro will be in charge of the theme parks, experiences, products, and ESPN. Iger also announced the return of dividends by the end of the calendar year. He said to expect modest dividends at first, but also said that the company hoped to increase them over time.