Disneyland Resort has narrowly avoided what could have been its first labor strike in 40 years. On 29 July, unionized workers at the Anaheim theme park ratified a new three-year contract that includes significant improvements in wages and benefits.
A Historic Agreement
The new contract sets a $24 hourly minimum wage, with some positions seeing even higher wages. Most employees will experience an increase of $6.10 per hour over the next three years. The contract also offers seniority increases, more flexible attendance, and sick leave policies, taking effect immediately upon ratification.
“This is a great deal for Disneyland’s cast members,” stated Robert Niles, creator of Theme Park Insider. “It should help Disney to retain more employees… Uncompetitive pay and working conditions drive high turnover.”
Avoiding A Strike
Coming during the busy summer season, the new agreement was reached just in time to prevent a shutdown that would have impacted many guests. Disney Workers Rising, a coalition of unions representing 14,000 workers at Disneyland, Disney’s California Adventure, Downtown Disney, and Disney hotels, worked hard to reach this deal. These workers include custodians, ride operators, candy-makers, and retail workers.
Economic Hardship Among Workers
Negotiations had been ongoing since 24 April. Earlier in July, 99% of unionized workers voted to authorize a strike, highlighting the economic struggles faced by many cast members. A survey found that 73% of Disneyland workers did not earn enough to cover basic expenses each month, with many also experiencing food and housing insecurity.
California has one of the highest minimum wages in the country, currently at $16 per hour, which is much higher than the federal minimum wage of $7.25. However, Disney workers argued that this was still not enough to live on in California.
The Broader Context
This labor dispute is not unique to Disneyland or the USA. In Florida, about 45,000 unionized workers at Disney World agreed to a contract last year with an $18 hourly minimum wage and big raises by 2026. Recently, Disneyland Paris workers were promised a share of the company’s $190.3 million profits after strikes last summer.
Industry experts believe this new contract won’t necessarily lead to higher ticket prices. “Consumer demand drives prices. Companies will charge what the market will support, regardless of what they are paying for workers and supplies,” Niles commented.
Disneyland’s new contract is a significant win for its workers, addressing issues of economic hardship and job security. The agreement not only improves the lives of cast members but also ensures the continued smooth operation of “The Happiest Place on Earth.”
Resources:
State Minimum Wage Laws
National Labor Relations Board
Theme Park Insider
Disney
References:
Forbes: Disneyland Avoids Strike, Workers Agree To $24 Hourly Minimum Wage
LA Times Daily Pilot: Disneyland’s ‘magic makers’ see historic raises as strike is averted
