A new report indicates that the Walt Disney Company will no longer cover spouse benefits for employees if the spouse has a job that offers benefits, even if those benefits are worse.

Disney No Longer Covering Insured SpousesWalt Disney Company building with the Seven Dwarves holding up the roof.

According to Puck, more than 200,000 employees were recently notified that starting in 2027, they can no longer enroll their spouse on the Walt Disney Company insurance plan if their spouse has a job that offers any kind of healthcare (even if it’s worse). The move may kick thousands of people off of the Disney plan to inferior coverage, likely impacting lower-paid workers and hourly employees most.

The reason for the change, the notification reads, is that “like many companies, we’re navigating a number of factors, including rising healthcare costs, evolving company needs, and shifts across the industry.”

The move comes amidst other employee benefit changes recently announced by the Walt Disney Company, including introducing a new Employee Stock Purchase Plan as well as changing their health insurance plans (though not the insurance provider).

Disney is “evolving” their well-being programs and consolidating some “to create a more consistent and streamlined experience.” The number of counseling sessions available through its Employee Assistance Program will double.

The company will share more details about the changes with employees in the coming months, adding that they are “committed to providing our employees with a comprehensive package of high-quality coverage and other benefits that support their total health and well-being.”

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