Independent third-party labor economist report and public statements from Disney

Disney Settles Gender Pay Gap Suit for $43.3M, Alleged $150M Disparity Over Eight Years

Nov 26, 2024, 02:00 PM

The Walt Disney Company has agreed to pay $43.3 million to settle a class-action lawsuit alleging that it systematically paid female employees in California less than their male counterparts over an eight-year period. The lawsuit, initiated by LaRonda Rasmussen in 2019, claimed that nearly 9,000 women in middle management roles were paid lower wages compared to men with the same job titles and experience, resulting in female employees earning $150 million less than males over that period. As part of the settlement, which avoids a May 2025 trial, Disney must hire an independent third-party labor economist to examine its pay practices and ensure pay equity among its full-time employees in California below the vice president level. Disney denies any wrongdoing but has chosen to settle to avoid a costly and distracting jury trial. Plaintiffs' lawyers announced the settlement and commended the women who brought the discrimination suit against Disney.