Banks continued to pressure Walt, and they suggested that the Studio should limit production to proven moneymakers like short cartoons. This was unthinkable to Walt, and such a course would mean nearly 600 people would have to be laid off. Walt knew that the cartoon industry as it was, couldn’t absorb all of those people, and they would be forced to start all over again. The banks said the other option was to sell out. This would not happen, Walt had fought too long and hard for his Studio’s independence. Walt chose the hard way. Strict budgets were set and enforced, resulting in dramatically reduced costs within a year. Rumors were the biggest danger to the studio. Rumors flew that Walt was preparing for a large scale layoff by training women and inexperienced animators who were cheaper to employ, and of unnecessary spending, like waitresses and new grass on the grounds.
In February 1941, the SCG intensified their lobbying, and Walt decided to address his staff, hoping to end rumors and generally clear things up. Disney addressed the claims of negligence. He explained that the number of waitresses in the cafeteria was to make sure lunch breaks were handled efficiently, and that the planting of grass was to reduce dust (which was always a danger to the animation process). He defended the right of less experienced animators to better themselves, and he said that women were being trained in case the men were enlisted into the military, and because these women had the right to expect the same chances for advancement as men. The speech was received several ways, depending on how long people had worked for the company, and how well they knew Walt. Those who remembered the challenging days on Hyperion Ave, or the struggles in Kansas City knew the speech rang true. Newcomers found the speech off putting. The reminiscences in the speech were followed by a plea for everyone to pull together.
This was a powerful speech that revealed a lot about Walt’s personality, but it wasn’t enough, or maybe it came too late. The crisis was not resolved with that speech.
Next month, I will continue with some history about this strike.
Part 1
Part 2