Disneyland has agreed to settle a class-action lawsuit for $233 million, which alleged that the park failed to pay its employees, known as cast members, in accordance with an Anaheim minimum wage law. The lawsuit stems from a 2018 measure, Measure L, that required businesses in Anaheim’s resort area to pay a $15 minimum wage if they benefited from city tax rebates. The settlement, which affects over 50,000 current and former employees, will cover back pay with interest. A judge is set to review the settlement on January 17, 2025, and once approved, workers will receive notifications about their compensation.
The lawsuit began in 2019 when cast members filed a class-action suit, arguing that Disney violated the law by not paying them a living wage. The measure, which was a result of a petition led by Disney unions, was intended to ensure fair wages for workers in the resort area. Although Disney initially challenged the law, claiming it didn’t apply to the company, the court proceedings have led to the settlement. Note: All cast members currently make at least the Measure L requirement of $19.90 per hour, but this is set to increase to $20.42 starting January 1, 2025.
If you have any questions regarding compliance with labor and/or wage and hour laws, please contact us at info@mnklawyers.com.