Disney’s legal and government affairs division is expected to undergo significant downsizing as the company considers layoffs in multiple areas, according to a recent internal memo from the entertainment giant’s chief legal officer. Horacio Gutierrez, Disney’s chief legal and global affairs officer, informed staff that the division would be reorganized into a “much smaller organization” as the company adapts to evolving technology that is transforming legal and professional work.

The division, which employs just under 1,000 people worldwide, will reportedly undergo a restructuring process described by Gutierrez as starting “with a blank slate.” While the memo acknowledged forthcoming “hard choices” and indicated that some employees would be affected, it did not specify how many positions might be cut or provide a timeline for those changes.

This announcement signals a shift in Disney’s approach to legal operations, reflecting broader trends in the industry where technological advances are reshaping traditional roles and workflows. It comes amid growing pressure on major corporations to reduce costs and increase efficiency in various departments.

At this time, Disney has not publicly detailed the scale of the downsizing or how the reorganization might impact ongoing legal and government affairs functions. The company is also reportedly exploring layoffs beyond the legal division as part of a wider restructuring effort.

Industry observers view this move as part of a larger effort by Disney to streamline its operations, though the exact scope and timing of the changes remain unclear. Employees within the legal division have been advised to prepare for an uncertain period as the company finalizes its plans.