EntertainmentDisney settles gender pay lawsuit with 9,000 female workers

Disney settles gender pay lawsuit with 9,000 female workers

Women working for Disney in the United States have filed a class-action lawsuit against the company for wage discrimination. Why did the company settle with them, even though it did not admit to any wrongdoing?

Disney settles gender pay lawsuit with 9,000 female workers
Images source: © @localgirlforeginland.com

1:44 PM EST, November 13, 2024

Employed by Disney, LaRonda Rasmussen and Karen Moore became the faces of the class-action lawsuit filed against the studio in the United States in April 2019. The corporation was sued for discrimination. The plaintiffs claimed that the company knowingly violated the Fair Employment and Housing Act and the California Equal Pay Act by paying female employees less than male employees.

Disney sued for discrimination against women

The legal proceedings, which involved 9,000 women employed by the company, were scheduled for May 2025. However, on November 12, 2024, the parties announced a settlement. The amount Disney agreed to pay the affected employees was not disclosed. According to the Deadline portal, the compensation could have totaled up to $300 million if lost in court.

Disney settles with female employees

In 2019, the defendant employer maintained: "The Disney Companies categorically deny that they pay any female employee less than her similarly situated male coworkers and will vigorously defend themselves against each Plaintiff’s individual claims." Disney's lawyers tried to argue that the issue was about individual claims, not systemic discrimination.

The California court did not agree with this opinion, stating in December 2023 that the lawsuit would be considered a class-action suit. This was determined to mean that all Disney employees have grounds to accuse the employer of discrimination. In response to court documents informing about the class-action lawsuit, 9,000 of the 12,000 women working for Disney declared their participation in the lawsuit. They could demand equal pay for lost wages since 2015 and additional compensation for illegal discrimination. This turn of events prompted the corporation to settle, the details of which remain confidential.

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