Walt Disney Co.’s ESPN is laying off about 20 on-air employees, part of an effort to shore up its finances before the sports media giant faces greater scrutiny from investors.
(Bloomberg) — Walt Disney Co.’s ESPN is laying off about 20 on-air employees, part of an effort to shore up its finances before the sports media giant faces greater scrutiny from investors.
The employees being let go have contracts that extend beyond Friday, and the network intends to honors those deals, according to a person with knowledge of the matter. Among those being let go is Jeff Van Gundy, a commentator on ESPN’s NBA broadcasts, said the person, who asked not to be identified discussing personnel matters.
The cuts are part of an effort to burnish ESPN’s finances. In the coming months, Disney plans to begin break out the network’s quarterly results for the first time, putting the business under Wall Street’s microscope.
Like other TV channels, ESPN is struggling with the decline of cable-TV subscribers as more consumers embrace streaming.
In the coming months, the network will also look to save more money by renegotiating or not renewing certain contracts with on-air personalities.
“These difficult decisions, based more on overall efficiency than merit, will help us meet our financial targets and ensure future growth,” the network said Friday in a statement.
In April, ESPN laid off several employees who work behind the scenes and said on-air changes would follow. Those cuts were part of Disney’s push to eliminate around 7,000 jobs this year.
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