(ThePatriotSource.com)- On Wednesday, Disney Co. announced that 32,000 theme park workers would be losing their jobs in the new year. It was an increase over the 28,000 jobs initially predicted and announced back in December. The move comes as the COVID-19 pandemic, and various lockdown measures and restrictions, make the theme park business extremely difficult to profit from.
Reuters reports that during the first half of the new year the staff downsizing will take place. The job losses became necessary following profit warnings issued back in August, when the Disney Company announced that net income dramatically dropped between April and June. The massive losses came as a result of their theme parks being forced to lose as a result of national lockdown measures.
According to the Reuters report, a Disney spokesperson said that the 32,000 job losses included the expected 28,000. Earlier in November, Disney also announced that more workers from its Southern California theme park would be furloughed owing to fresh lockdown rules.
To be clear: lockdown rules in California have directly contributed to tens of thousands of people losing their jobs in the state. And now the election is seemingly over, and the Democrats believe that Biden is the president-elect, the Democrat leaders of California and other places are unlikely to hold back on new lockdown rules.
Disney is struggling globally, too. Disneyland Paris was made to close in October when France issued a new national lockdown to bring down a spike in COVID-19 cases. However, theme parks in Tokyo, Hong Kong, and Shanghai are all open.
Disney has been very critical of California state leaders recently. In October, Disneyland President Ken Potrock hit out at Governor Gavin Newsom for making it difficult for businesses to reopen…or even plan to reopen.
“We believe that we’ve proven that we can responsibly reopen,” he told Variety. “We continue to prove all over the world that we have reliable protocols that protect the safety of our guests.”
Despite this, California moved forward with its strict guidelines that made it difficult for theme parks to properly open. Owing to the fact that the lockdowns severely damaged the experience people expect from the theme parks, fewer people arrived.
The cost of shutting down Disney’s theme parks in the second quarter of this year, according to reports, was roughly $3.5 billion.
How long can this go on?