The Walt Disney Company has launched another round of job cuts across its entertainment operations, with animation studio Pixar among the businesses hardest hit. Under new CEO Josh D’Amaro, the media giant is reshaping its operations.

The latest restructuring affects several hundred employees across Pixar, Disney Entertainment Television, ESPN, National Geographic and corporate teams. It is the second round of major staff cuts this year.

Disney has not disclosed the exact number of roles cut at Pixar, reports indicate the layoffs affect fewer than 10% of the studio’s staff. Employees were notified of the cuts this week.

In a statement, Disney said the changes are part of an ongoing review of how the company allocates resources as the media and entertainment industry continues to evolve.

The latest redundancies follow a broader restructuring program announced earlier this year that eliminated around 1,000 positions across Disney’s marketing, technology, finance, television and studio businesses. Marvel Studios was among the divisions impacted. 

The job cuts come despite the strong performance of Pixar’s recently released Toy Story 5. Other recent original Pixar releases have struggled to match the commercial success of the studio’s established franchises.

Entertainment companies are facing pressure as they increasingly balance rising production costs, a slowdown in streaming subscriptions, and investment in AI and digital production technologies.

Disney is also continuing to consolidate marketing, operational and corporate as it adapts to the changing viewing habits of consumers and competition from streaming rivals that is only intensifying.