Disney Reaches $43 Million Settlement in Gender Pay Discrimination Case

Wednesday, 27 November 2024, 00:02

Disney has agreed to a $43 million settlement in a gender pay discrimination lawsuit. The settlement addresses allegations that female employees were paid less than male counterparts. This case underscores ongoing issues of wage equity in corporate America.
Thehill
Disney Reaches $43 Million Settlement in Gender Pay Discrimination Case

Disney Settles $43 Million Gender Pay Discrimination Lawsuit

The Walt Disney Co. has agreed to a significant $43.25 million settlement in a class action lawsuit concerning gender pay discrimination. This decision comes following a court filing on Monday, which disclosed that the agreement aims to resolve allegations first made in 2019 by Disney employee LaRonda Rasmussen.

Background of the Lawsuit

Rasmussen initially claimed she was receiving lower pay than her male colleagues for the same role. Over time, more female employees joined the lawsuit, leading to a motion for class certification granted by a California judge in December 2023.

Key Allegations Against Disney

  1. The plaintiffs argued that prior to 2018, Disney employed a compensation policy that led to lower starting salaries for women.
  2. They maintained that this policy based pay on historical salaries, perpetuating gender-based disparities.
  3. An analysis conducted by a labor economist indicated that from 2015 to 2022, women at Disney earned 2.01 percent less than similarly-situated men.

While Disney defended its compensation practices, it ultimately chose to settle the case. A Disney spokesperson emphasized the company's commitment to fair employee payment.

Women’s Advocacy Acknowledged

Christine Webber, attorney for the plaintiffs, acknowledged the bravery of the female employees involved, noting that their efforts paved the way for this significant settlement. She expressed hope that the court will promptly approve the agreement, allowing the plaintiffs to move forward without the burden of ongoing legal disputes.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.

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