Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

[TheDisneyInquisitor]

Article from the Orlando Sentinel- September 29, 2006
Disney to eliminate 125 jobs

Disney to eliminate 125 jobs
Walt Disney World is planning to cut 125 cleaning positions and turn those jobs over to contractors, but the current workers might not give up without a fight.

The jobs include kitchen cleaning, carpet cleaning, roadway cleaning and deep cleaning work. Many are in Walt Disney World theme parks, though some are in other public areas, such as Downtown Disney.

Full Story: Disney to eliminate 125 jobs

[Cmash95]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

this doesn't surprise me, it's cheaper for them tocontract the overnight crew and the overnight spots are always the hardest to fill. this way they will have the labor they need. when unemployment is running in the 3-4 percent range, it's hard to fill low paying minimum wage jobs on the night shifts even with pay of almost 8 bucks an hour.

[cellarhound]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

Yeah, right... We will out source for cheaper even more underpaid labor without health plans, that won't gaurantee you that they will do as good a job....

Technically, you will be spending more money on QC... as well as contractual issues... And end up spending more money and not less.

[Disney Wrassler]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

I say we outsource the jobs of the people who make those decisions. Especially Jay Rusalo. His job needs to be outsourced to someone who actually cares about the theme parks.

[cellarhound]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

I am sure there would be a consultant who would accept the per deum work at half Rasselo's pay...

[barfownz]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

Can't some workers protest? I know i would!

[Penni Jo]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

Is the pay really that good for a cleaner at Disneyland that they would be saving so much money by subcontracting?

[Speedway]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

I am sure there would be a consultant who would accept the per deum work at half Rasselo's pay...

I'd do it for a tenth of Rasulo's pay.

[disneytim]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

Read the whole article everyone. Only the positions are being eliminated. The people currently in them will be offered similar positions at comparable pay in other areas where there are staffing needs. No one is losing his/her job at this point. The union is naturally objecting because that's what unions do.

This sounds like a good business decision to me.

[Planet7]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

this doesn't surprise me, it's cheaper for them tocontract the overnight crew and the overnight spots are always the hardest to fill. this way they will have the labor they need. when unemployment is running in the 3-4 percent range, i

If it's hard for Disney to fill these positions, how would it be an easier for a contractor? And how is it cheaper for Disney? That's something I've never understood about the outsourcing craze. They're paying for the labor and the costs of doing business for the contractor and a profit for the contractor. The only way they could even break even on this deal, is if the contractor is paying less and/or offering fewer (or no) benefits--which flies in the face of the first argument about not being able to fill positions. Or they offer sub-standard service.

I can see outsourcing for a short-term project, and I can see it in areas where the costs of infrastructure to support whatever is being outsourced, would be prohibitively high (that assumes that the contractor does it on such a scale that they can suppor the infrastructure). Labor for cleaning doesn't fit either of these criteria--so they're paying for labor, business costs, and profit. That makes non sense to me--unless, again, they're cutting corners and offering less service.

G7

[Cmash95]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

it saves money because they pay a flat fee not an hourly wage and they dont deal with taxes and benefits . now I will say that I cleaned offices when I was in high school. yes I made minimum wage, had no benefits, but I also worked park time if you worked full time you did get health benefits and a higher salary. that being said, the standards of work at this particular company were very high. three people including one that started with me were let go because their work was sub par. and I am sure that disney will not tolerate work that isn't up to their standards. I am pretty sure that the same company that took over the overnight cleaning work is handling the new overnight work as well.

[Planet7]

Re: Disney to eliminate 125 jobs- Orlando Sentinel- 9/29/06

it saves money because they pay a flat fee not an hourly wage and they dont deal with taxes and benefits

This reminds me of someone commenting once that I "don't pay property taxes" because I live in an apartment. Of course I pay property taxes! I know my landlord isn't covering that out of the goodness of their hearts. It's worked into my rent somehow.

Likewise, Disney is paying all of the expenses and a profit for the company. Whether they pay for it in a lump sum or write individual paychecks is irrelevant. The only way that they could even reach a break-even here is if the workers are paid less or receive less benefits. The difference in pay and benefits might cover the profit. The contractor would have to cut still deeper to deliver a real savings.

Whether or not quality is affected is debatable, but I suspect that it will be. The laws of supply and demand are at work here. With a very low unemployment rate, Disney has a hard time luring workers with the poor wages they offer. Why then would someone with skills and dedication similar to what they have now, work for less? Individuals may vary, there may indeed be people like you who will do a good job for minimum wage, but I think those people will be by far the exception, rather than the rule.

As to Disney's standards, we've all seen them slipping badly--or, in many cases, going right down the toilet--for years. I would not be at all surprised to see them sacrifice quality to save a buck.

G7