Disney Settles Pay-Equity Class Action Lawsuit for $43 Million – Yahoo Finance
popular entertainment giant Disney has agreed to settle a pay-equity class action lawsuit for a whopping $43.25 million. The lawsuit was initially brought forward in 2019 by Disney employees LaRonda Rasmussen and Karen Moore, who felt that they were being unfairly compensated compared to their male colleagues. The lawsuit eventually grew to include 9,000 female staffers in total, all alleging that they were paid less for similar work.
The settlement, reached after Disney came to an agreement with plaintiffs represented by Andrus partner Lori Andrus in October, is a significant step towards rectifying the pay disparity issue. The trial, which was scheduled to commence in May 2025, will no longer take place thanks to this resolution.
Commenting on the settlement, Andrus praised the bravery of Ms. Rasmussen and the other women involved in bringing this issue to light. She also highlighted Disney’s commitment to conducting annual pay equity reviews moving forward, a move that she believes will strengthen the company’s reputation as a fair employer and a vital contributor to California’s economy.
Despite Disney’s initial attempt to stop the class action by arguing that each woman should file her own lawsuit, the judge ruled in favor of the class and allowed the case to proceed. In response to the settlement, a Disney representative reiterated the company’s ongoing commitment to fair compensation for its employees.
This settlement, subject to final approval by Judge Elihu M. Berle on January 10, only covers the specific group of plaintiffs and does not extend to other Disney properties like Hulu, ESPN, and Pixar. The resolution of this class action marks a significant victory for pay equity in the workplace.