06-13 Outsourcing Means More WDI Layoffs

[Chuck Oberleitner]

WDI Animatronic Outsourcing Means Additional Layoffs

By C. W. Oberleitner
June 13, 2008

Ouch! Less than 24-hours after an internal Walt Disney Imagineering memo with news of a strategic shift in focus for manufacturing operations was sent to employees, leaked copies of the document began popping up around Southern California.

Read the full story here >>

UPDATE 06-16-08: We now have a copy of Bruce Vaughn's memo up on the site along with comments an Imagineer affected by this "strategic" reorganization.

Check it out here >>

[b236en]

Well I guess this is the start of the economic downturn for Disney ?

[RenMan]

OK, I wanna know whom they're outsourcing to!

[fireboy92k]

Chuck,

Any place that has posted an actual copy of what the memo said in it's entirety? You note in your piece that a source says it doesn't say anything about laying off anybody, but then the rest of the article and orthers imply as much directly, or am I reading this wrong?

Thanks!

Michael

[Chuck Oberleitner]

Any place that has posted an actual copy of what the memo said in it's entirety? You note in your piece that a source says it doesn't say anything about laying off anybody, but then the rest of the article and orthers imply as much directly, or am I reading this wrong?

Michael,

The copy(s) that leaked out of WDI were, well let's just say altered, to prevent recipients from being able to back track to the source. Hence the calls directly to WDI for confirmation of its authenticity.

We, o-meon, did not receive a copy of the memo, only a tip that it existed and what it contained. Again, the reason for us asking WDI directly about both the memo and its contents.

The portions of the memo read directly to me only referred to the move effecting a number of positions within WDI, which as you point out implies layoffs.

Therefore, I asked someone I know and trust within WDI if in fact layoffs are to be part of this reorganization. That's where the

some positions will be eliminated by this in order to implement these really strategic changes

quote came from. It should also be noted that a good number of people at WDI affected by this reorganization will stay with the company assigned to new duties and performing new tasks.

Hope this helps.

Chuck

[fireboy92k]

Yeah, that was what I trying to figure out. Heh. As you and I both know, it's not unusual for a company to KEEP their design talent, but outsource everything else like production, etc. to someone else.

So it wouldn't surprise me if they end up letting a few people go that would have been in production. And it's not at all unusual, even for a company like Disney, who's been outsourcing some things WDI (or WED) does since time began (like the track development for Mattherhorn to Arrow Engineering for example.)

Thanks.

[Baloo]

although its a sad time for the people layed off, it makes perfect sense to tighten the department and allow specialized companies to build and manufacture the aa's.

At the end it means less balooning budgets which in terms allow money to be allocated to other things.

Note that Mr Potato alone cost over a million dollars to produce.