Walt Disney Co.'s ABC Television is cutting back on its workforce by 5 percent. Two hundred employees will lose their jobs, and another 200 open positions with the company will remain unfilled. The cuts will affect the ABC network, ABC Family, ABC News, SoapNet, and the Disney Channel. Disney's sports network, ESPN, will also be shedding jobs.
The news of the layoffs was announced only two weeks after the company released a report saying that it had paid Chief Executive Robert Iger $30.6 million in 2008. He received an 11 percent raise over his pay level in 2007. Disney's net income fell by 5.5 percent last year; profits were down at the company's television stations, networks, and theme parks. Total revenue was up 7 percent to $37.8 billion.
Six hundred company executives at Disney's theme park and resort divisions have been offered a buyout package. They will have until February 6 to decide whether to accept the severance offer or risk being laid off.