The Walt Disney Company has agreed to pay $233 million to settle a class-action lawsuit filed by Disneyland workers who alleged that the Mouse House harassed them by failing to meet local minimum wage requirements. Have done.
Disney approved a preliminary settlement on Friday that accounts for outstanding payments, including interest, to more than 50,000 current and former employees of its Anaheim, California theme park.
“We believe this largest wage and hour class settlement in California history will transform the lives of Disney families and their communities,” said Randy Renick, an attorney representing workers in the class-action suit. told the Los Angeles Times.
The settlement covers back pay plus interest from Jan. 1, 2019 — the day Anaheim’s $15 an hour minimum wage law went into effect.
Disney also agreed to pay fines, interest and other fees.
In July, Disney agreed to a new contract with unionized workers at Disneyland – raising the minimum wage to $24 an hour.
A California state judge is scheduled to review the settlement on Jan. 17. If approved, each employee will receive a notice telling them how much they will receive.
A Disneyland spokesperson told the LA Times, “We are pleased that this matter is nearing resolution.”
“Currently, all artists meet the Measure L requirement of at least $19.90 an hour, and in fact, 95% of them earn more.”
Measure L is a minimum wage law approved by Anaheim voters that took effect in January 2019.
The dispute between Disney and its employees began in February 2018, when a group of labor unions published a survey that found that company employees struggled to earn enough money to cover basic expenses.
Later that year, Anaheim voters approved a new minimum wage measure.
Disney negotiated wage increases with individual theme park unions and union councils – although it did not adjust wages as required by law.
This prompted Disney employees to file a class-action lawsuit in December 2019. The company was accused of trying to illegally circumvent minimum wage laws.
The post sought comment from Disney.
