Skip to main content

Market Overview

Walt Disney World Union Workers Win Battle For $15 Minimum Wage

Share:
Walt Disney World Union Workers Win Battle For $15 Minimum Wage

Each and every employee at Walt Disney World will see an increase in their pay as a nearly year-long battle between the union and management has come to an end.

What Happened

The union that represents Disney's (NYSE: DIS) park and resorts workers struck a deal with management late Friday night and will be voted by members Sept. 5, CNN reported. The agreement calls for a retroactive pay of the greater of 50 cents per hour or 3 percent for all hours worked since September of 2017. Also included is the release of the $1,000 cash bonus, which was promised to workers in January but delayed due to negotiations.

Over the longer term, Disney's minimum wage pay will move incrementally higher over the next three years at which point all employees will be paid $15 an hour.

Why It's Important

Maddy Johnson, a University of Central Florida student, told CNN she never would have imagined to see an increase in pay that's "so historic."

According to the Living Wage Calculator, one adult needs to earn $11.75 per hour in the state of Florida to be support themselves, assuming they're the sole provider with no dependents. At $15 per hour, workers in Florida would be earning approximately three times more than the current "Poverty Wage" of $5.00 per hour.

However, California's current minimum hourly rate needed to support themselves is currently $14.01. Even with Disney's pledge to increase pay to $15 there are still better opportunities for workers. For example, a Costco spokesperson told TheStreet the average hourly wage for a worker in California is currently $22.50.

What's Next

Disney workers are expected to vote with a "resounding yes" in early September, Unite Here Local 362 President Eric Clinton told CNN. On Disney's management end, the company is "thrilled" to reach an agreement in what will prove to be "one of the highest entry-level service wages in the country."

Related Links:

Why Disney's Shanghai Success Supports Theme Park Thesis For The House Of Mouse

Once Again, Parks Are The Happiest Places In Disney's Quarter

 

Related Articles (DIS)

View Comments and Join the Discussion!

Posted-In: cnn DIsney Parks minimum wage Walt Disney WorldNews Travel General Best of Benzinga

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com