Personnel Analysis

Personnel Analysis

    In the past few weeks, The Walt Disney Company has let go of 28,000 employees in both Walt Disney World in Florida and Disneyland in California. The Florida location has laid off 6,800 people as of October 2020. As the capacity for the theme parks has lowered significantly and the closure of the parks on both coasts have caused a huge loss in revenue, letting go of personnel has been inevitable. Currently the Walt Disney Company in Florida is running theme park operations at a minimum and have done so in order to maximize revenue and lower operational costs. 

    As the company continues its struggle and adjustments during the coronavirus pandemic, tough decisions have to be made such as readjusting executives’ salaries while laying off thousands of hourly cast members. These decisions are crucial as the risk of losing high level executives during this time would be a huge threat to the future of the company. 

    The goal is to retain those employees whose decision-making abilities will be crucial to the company as the changes in the global pandemic occur. As the pandemic threats subside, the goal would be to start opening up the parks at a higher capacity with more offerings to the guests (entertainment, restaurants, and more) and with that be able to hire the hourly employees back. This needs to be done in a very gradual and safe manner to ensure brand loyalty, trust, and awareness. 

    As seen below, having let go of a percentage of personnel could save the company over $2 million dollars in annual salaries. Although this is something that no company wants to do, this could save the company in the long run by cutting that operating cost.