Disney to Pay $233 Million in Historic Wage Theft Settlement
The settlement resolves a class-action lawsuit over Disney's failure to comply with Anaheim's minimum wage law, impacting over 50,000 workers.
- The $233 million settlement includes $179.6 million in back pay and retirement contributions, $17.5 million in penalties, and $35 million in attorney fees.
- The lawsuit stemmed from Disney's non-compliance with Anaheim's Measure L, a 2018 ordinance mandating higher wages for businesses receiving city tax subsidies.
- Disney initially argued it was exempt from Measure L, but an appellate court ruled otherwise in 2023, reversing a previous decision in Disney's favor.
- The settlement, if approved by a judge in January 2025, will provide payments to affected workers starting in July 2025, with interest dating back to 2019.
- Disney has since raised wages for its employees, with minimum hourly pay reaching $24 in 2024, exceeding both Measure L requirements and California's state minimum wage.