Disney is making another significant workforce reduction today—and Pixar in particular is impacted in these cuts, Kidscreen has confirmed.

Several hundred company-wide roles are reportedly on the chopping block, according to figures cited by multiple outlets. It’s the third wave of cuts at the Josh D’Amaro-led media giant, following a marketing division restructuring in January, and the most recent round of layoffs that took place in April. 

Pixar was not affected in that month’s significant downsizing. But today, the banner has eliminated an undisclosed number of roles mostly concentrated in production and operations. This is despite the studio’s healthy 2026 record of box office hits like Hoppers (pictured, which grossed around US$390 million) and Toy Story 5, which is nearing the US$1-billion mark at the box office.

The decision to cut roles stems from evolving needs for production volume and in-development projects at the studio. And it also aligns with Disney’s evolving strategy over the past three years to reduce volume, invest less in streaming and lean more on the theatrical releases that fuel its broader ecosystem.

The company’s Marvel Studios, for instance, strategized to reduce its yearly output to course-correct after a series of underperforming titles. And last year, Walt Disney Animation Studios announced it would move away from making longform content for Disney+. Meanwhile, Disney’s animated sequels to Toy Story, Zootopia, Moana and Inside Out have all been top performers at the box office.