When the Disney-Fox merger is about to close, many questions arise as to what is to change in the acquisition process. While none of the studios have formally announced what the deal will mean when it comes to future film and television productions, one thing is a no-brainer: when companies are merged, layoffs will be bound to happen. And as Cinemablend points out, two companies the size of Disney and the Fox merger can lead to thousands of employees without jobs.
The popular entertainment newsroom this week shared that approximately 7,500 people are expected to face the unemployment as a result of the merger. Although much of the work that will be involved in combining these two film and television giants will not begin until the merger is officially completed, the forthcoming layoffs are undeniable. When Disney and Fox merge, thousands of people with the same positions will technically work for the same company. And because Disney is the company that buys Fox, it just makes sense for Fox employees to be out of work as a result.
Of course, we would hate to see someone lose their job as a result of this merger. In the merger with Fox, Disney Fox acquires TV and movie studio, FX, Nat Geo, Star India, Fox's 30% ownership of Hulu, and Fox's 39% ownership of the European media company Sky. With all these studios, part of the acquisition comes to thousands of employees who still need jobs, and their job will not suddenly disappear if Disney wants to continue producing the media underneath each. Disney has previously shared that fans of 21
I t is also worth noting that Cinemablend is not the only one the news page that reports these predicted the abandons. Last month, the International Business Times reported that up to 10,000 employees could lose work after the merger, with Fox employing 22,400 workers worldwide. The Hollywood reporter also pointed out that "there will be bloodshed" when the merger is final:
Disney has promised $ 2 billion in cost savings, so more than 4,000 redundancies are expected (although Disney skeptical analyst Rich Greenfield puts the 5,000 number 10,000 over time). It is more difficult to predict potential layoffs in the Fox movie studio itself, which has about 3,200 employees, but the cuts are expected to be particularly profound, especially in overlapping divisions such as marketing, distribution, and home entertainment.
N either Disney or Fax has emerged and announced these potential layoffs, so nothing is surely yet. Since Fox will remain under his own umbrella, just as Marvel and Lucasfilm have, the merger does not guarantee that all Fox employees will lose their jobs. But it does not guarantee that they will keep them either. With a merger of this size, thousands of people will join the same jobs, and Disney will probably only want to hire so many of them, no matter how talented or experienced they can be. Cinemablend reports that no one is immune to layoffs, so whether over 7,000 people will be unemployed after the merger, only time will tell.
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Source: Cinemablend, IBT, The Hollywood Reporter