Disney Lawsuit Could Escalate To At Least $150 Million
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The Lawsuit Against Disney Could Amount To At Least $150 Million

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BY July 2, 2023

Disney has had a lawsuit for a few years in California. The reason is an inequality in the salaries of some employees, specifically women, who allegedly earn less than men only because of their gender. The company tried with its team of lawyers to sink the issue, but so far, it could not do it, and even the picture seems to get more complicated.

The plaintiff’s lawyers are considering a class action lawsuit against Disney. This implies that all the women who worked at the company would be involved. The consequences would be significant for the House of Mickey Mouse. They are facing minimum penalties of more than a hundred million dollars.

Class Action Lawsuit Could Mean Millions of Dollars in Losses for Disney

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The lawsuit that began in 2019 with former Disney employees LaRonda Rasmussen and Karen Moore. An now has had a not-so-good twist for this organization. Initially, they alleged that their male co-workers earned more than they did solely because they were women. Therefore, they seek to be paid back the surplus they should have earned.

The case continues despite Disney’s attempts to make the lawsuit disappear and even the problems caused by COVID-19. However, the lawyers for both women decided to file a class action lawsuit to obtain justice. Not just for them but for all the women who worked in this company.

According to the calculations made by the prosecuting attorneys, this could amount to at least $150 million. They indicated that the difference between women and men is 2.5 per cent. The attorneys also stated that the number of people affected would be 12,511. Finally, they said they took an average of 4.38 years of work activity.

If this seems bad for Disney now, the truth may be worse, as it would be the minimum to be paid. The figures could double to 300 million dollars. Furthermore, the judge can even add more penalties for other damages he considers.

Considering how strict the gender equality law is in California, it could mean that it would be a losing case for Disney. However, their lawyers assured them that they would prove their innocence in court and emphasized that they always paid equally.

What will happen in this Walt Disney Studios Case?

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The case seems difficult for Disney with this lawsuit, who does not state much about it except that they are innocent and will prove it in court. However, they are still trying to make the trial disappear before it starts, which shows some concern in the organization above.

Add to this the fact that the prosecution team is confident in their case. Not only because of California’s gender equality laws but also because they have solid evidence and statements from more than 12,000 women, former Disney employees.

Disney seems to have everything against them, and we could witness a millionaire loss. Considering those mentioned earlier, this could amount to 300 million dollars, in addition to the adjustments that the company would have to make in the work environment to avoid more lawsuits.

We will know the answer to what could happen on November 15, 2023, which is the hearing date. In this hearing, the court will announce the official charges against Disney, and we will know if the class action lawsuit was finalized or if it will only be the two initial accusers.

Featured Image Via Disney 

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