Disney to furlough employees as coronavirus closes parks

Disney to furlough employees as coronavirus closes parks
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The Walt Disney Co. will furlough some of its workers because of the COVID-19 pandemic, the company announced Thursday.

Disney said it will begin furloughing employees “whose jobs aren’t necessary at this time” starting April 19 in a statement obtained by The Los Angeles Times

The company said the “devastating” pandemic has shut down a majority of its businesses. 

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“However, with no clear indication of when we can restart our businesses, we’re forced to make the difficult decision to take the next step and furlough employees whose jobs aren’t necessary at this time.”

The company has provided full pay to its employees and will continue to do so through April 18. Those who are being furloughed will still be considered employees through this time period.

Disney will also continue to provide health care benefits and cover the employee premiums, the statement said. 

Disney, which employs a total of 223,000 people, announced its outgoing chairman Bob Iger will forgo his salary during the pandemic. The newly announced Chief Executive Bob Chapek also said Monday that he will take half his expected salary. 

The company cautioned  of “adverse financial impact” in an SEC filing as its shut down its Florida and California parks until further notice.