Disney to pay $233M to settle ‘wage theft' suit from Disneyland workers

Core Viewpoint - The Walt Disney Company has agreed to a $233 million settlement for a class-action lawsuit regarding unpaid minimum wages for Disneyland workers, impacting over 50,000 employees [1][2][7]. Group 1: Settlement Details - The settlement includes back pay with interest owed to employees since January 1, 2019, when Anaheim's $15-an-hour minimum wage law took effect [2][3]. - Disney will also pay penalties, interest, and other fees as part of the settlement [2]. - A California state judge is set to review the settlement on January 17, and employees will be notified of their individual compensation amounts if approved [3]. Group 2: Wage Issues - The lawsuit stemmed from allegations that Disney did not comply with local minimum wage laws, leading to claims of wage theft [5][8]. - Prior to the lawsuit, a survey indicated that Disney workers struggled to meet basic living expenses, prompting labor unions to take action [6][8]. - In July, Disney agreed to a new contract raising the minimum wage for unionized workers at Disneyland to $24 an hour [3]. Group 3: Historical Context - The dispute began in February 2018, and Anaheim voters approved a new minimum wage measure later that year [6][8]. - Disney had negotiated pay raises with individual unions but did not adjust wages in accordance with the new law, leading to the class-action lawsuit filed in December 2019 [8].