Disney Execs Taking Pay Cuts
As we are all well aware by now, Covid-19 has caused numerous delays and is responsible for pretty much grinding most of the entertainment industry to a halt. With their parks shut down and movies delayed, Disney has had no choice but to send employees home. Which means that many people are unemployed and have no way to pay their bills. However, Disney announced that even after people were forced to stay at home in isolation, they would help by continuing to pay them. That is what leads us to the news that was recently announced with Disney execs taking pay cuts to help.
Disney, like most entertainment companies right now, is suffering due to movie delays and their parks being closed indefinitely. To keep their employees from suffering as well, they promised to keep paying them. Their commitment to that cause has just been shown to a degree as Executive Chairman Bob Iger is forgoing his paycheck and CEO Bob Chapek is taking a 50% pay cut. Vice presidents for the company will have salaries cut by 20%, senior vp’s will have a 25% cut in salaries, and executive vp’s will have their’s cut by 30% starting April 5th.
All of this comes after Disney was forced to push back the release dates for their movies for the next few months. On top of that, parks will remain shut down even longer with an amount of time ahead that nobody knows. Not everything that is happening with Disney is so terrible though since they have gained nearly 3x more subscriptions for their Disney+ streaming service. That is just a natural course of events given the fact most people are stuck at home all the time now. The streaming service itself hasn’t really been affected by the viral outbreak and this will ensure that everyone will not lose their free time.
With these pay cuts, employees will receive a bit more aid to help them in these times. Hopefully this will be enough for everybody to get through these trying times. Nowhere to go and nothing to do means that people need entertainment and streaming services sit at the top now. These services are currently one of the only forms of entertainment and will stay that way for an uncertain amount of time. As long as people do as told, this whole thing can end sooner and we can get our numerous forms of entertainment back.