According to Deadline, The Walt Disney Company has restored paychecks to its executives as of August 23rd. This comes after temporary salary reductions were introduced amidst the pandemic.
These reductions, which went into place on April 5th, were part of the company’s cost-cutting measures. They were meant to dampen the negative financial impact of COVID-19.
Disney’s VP’s saw their salary cut by 20%, SVPs by 25%, EVPs, and above by 30%. Meanwhile, CEO Bob Chapek’s salary was slashed by 50% and Chairman Bob Iger’s by 100%.
At the time, Disney had never indicated an end date target for the reductions. Chapek’s March 30th memo stated:
“But This temporary action will remain in effect until we foresee a substantive recovery in our business.”
But according to Deadline, executives were told in mid-August that their salaries would be fully restored. This was to start on Sunday, August 23rd, and that they’d see the increase in pay reflected in their next check.
Deadline noted that there were not been able to confirm this information with Disney.
Many Disney Cast Members Remain on Furlough
Meanwhile, Disney’s parks division has furloughed tens of thousands of employees. Additionally, some Cast Members have just received an indefinite furlough notice this week.
The news that executives are having their salaries restored at the same time as many Cast Members are still standing idle is sure to rub some the wrong way!