good morning. Welcome to the Essential California Newsletter. the Sunday. I’m your host, Andrew J. Campa. Here’s what you need to know to start your weekend.

Disney settles state’s biggest wage theft case

Disneyland Friday saw a holiday makeover with a winter parade, several rides and other seasonal fun, but parent company Walt Disney Co. wasn’t in such a cheerful mood.

The company quietly agreed to a $233 million settlement of a wage theft class action lawsuit brought by Disneyland employees five years ago.

Those employees alleged that Disney ignored Anaheim’s minimum wage laws and fought for back pay with interest. The deal comes just as the city of Anaheim plans to raise its minimum wage to nearly $20.50 an hour in the new year.

“This is the largest wage and hour class settlement in California history that we believe will change the lives of Disney families and their communities,” said attorney Randy Renick, who is representing the workers in the class action lawsuit. “There is,” he said.

Who is affected?

My colleague Gabriel San Roman detailed the settlement and circumstances that led to the historic payment.

The proposed settlement covers more than 50,000 current and former Disney employees.

The back pay is owed to workers from January 1, 2019, when the wage law first took effect, to the day Disney adjusted wages after a legal battle last year. This represents approximately $105 million of the total settlement amount.

Orange County Superior Court Judge William Craster is scheduled to consider the settlement on January 17th. If approved, all workers will be notified of the amount they will receive.

Professor of Public Policy at Occidental College, “Working for the Mouse: A Survey of Disneyland Resort Employees””

“They pay CEO Bob Iger more than $31 million a year and still don’t pay their back pay. It’s only right that workers take what comes to them. And if the world is fair and If so, Iger will deduct some of it from your paycheck,” he said.

As part of the aggregation, Disney agreed to pay significant penalties, interest, and other related fees in addition to outstanding back payments.

origins of struggle

The dispute between Disney and its employees dates back to February 2018, when the Resort Union Federation released its “Working for Mouse” investigation.

The study, co-authored by Dryer and Daniel Fleming, included findings from Disney employees at the time, including that nearly three-quarters of those surveyed said they did not earn enough to cover basic expenses. details the economic hardships they were facing.

The release of the report comes in tandem with the Labor Federation’s ‘living wage’ ballot initiative campaign.

That year, Anaheim voters approved Measure L, known as the Wage Act.

Starting January 1, 2019, businesses in the Anaheim resort that have “tax rebate” agreements with the city will be required to pay a minimum wage of $15 an hour.

Disney did not adjust wages in accordance with the law when negotiating raises with individual theme park labor unions and union councils.

In response, Disney employees filed a complaint. class action lawsuit In December 2019, the company filed a lawsuit on behalf of 25,000 employees, alleging that the company illegally circumvented wage laws.

legal rulings that come and go

Disney’s lawyers argued that Disney did not have a “tax rebate” agreement with Anaheim and was not subject to the law’s provisions.

At the company’s insistence, the Anaheim City Council, before the election, scrapped a 45-year gate tax holiday and $267 million bed tax agreement for a luxury hotel planned for Downtown Disney.

Judge Craster originally reached an agreement with Disney in 2021.

However, the 4th District Court of Appeal reversed the decision because the tax rebate agreement was included in the 1996 Disney expansion agreement passed by the Anaheim City Council.

Disney appealed this decision, but the California Supreme Court refused to hear the case, effectively ending the legal battle.

Read the full article to learn more about the lawsuit and employee reactions.

This week’s biggest news

crime, court, police

fire

holiday themed stories

The 2024 election and path to office

bigger story

Get unlimited access to the Los Angeles Times. Subscribe here.

column 1

Column 1 is the home of The Times’ stories and long-form journalism. Here are some great pieces from this week:

When Luigi Mangione was arrested on suspicion of murdering UnitedHealthcare CEO, he was hailed as an anti-capitalist folk hero in some parts of the internet.. In the document that says,manifestoIn an article about Mangione published online by journalist Ken Klippenstein, the 26-year-old former data engineer accused UnitedHealthcare of exploiting “our country for huge profits.”

More great reads

How can we make this newsletter even more useful? Where to send your comments essentialcalifornia@latimes.com.

for your weekend

going out

During your stay

LA situation

Lose yourself in fascinating stories about dating, relationships, and marriage.

*LA office is closed this week. This is one of my favorites from earlier this year.

At 77 years old, she had given up. She had two failed marriages and accepted being single for the rest of her life.. She then falls in love with her best friend’s estranged widow, who is kind and caring. They spend the afternoon laughing and picking plants at the nursery. Will those seeds help the relationship sprout, or will the budding optimism wither?

Have a great weekend! From the Essential California team

Reporter Andrew J. Campa
Carlos Lozano, News Editor

Please check Top articles, Topics and Latest articles above latimes.com.