Disney World & Cast Members Reach Pay Agreement!
Wage negotiations between Walt Disney World management and unions representing ~45,000 Cast Members are over, as the two sides have finally reached an agreement! This shares the latest news on the compromise, how pay will increase in the next several years, and offer commentary about this great development. (Updated March 23, 2023.)
The Service Trades Council Union (STCU) representing Cast Members announced on March 23, 2023 that they have reached a tentative agreement with Walt Disney World to bring hourly Cast Member pay to $18 per hour by December 2023 and over $20 by Fall 2026, plus back pay.
There were several sticking points for the union in negotiations, which was asking for $18 per hour and a path to $20, as well as back pay. While both sides have compromised from their initial positions, the union has essentially secured the trifecta for Cast Members. The union is thus recommending that its members ratify the new contract, with a vote that will take place on March 29, 2023 (and is expected to succeed).
Upon ratification of the proposed agreement, Cast Members will be paid a minimum wage of $17 per hour, with that amount increasing to $18 by December. Back pay of an $1 extra per hour worked since October 1, 2022 will also be awarded to Cast Members hired on or before that date. Looking forward to 2024 and beyond, pay will increase a total of $2.50 for the remaining duration of the contract; that will bring the new minimum to no less than $20.50 by October 2026.
According to the STCU: “For Cast Members that are making the minimum currently, this contract provides over 36% general wage increases over the life of the agreement.” All Cast Members will also receive raises between $5.50 and $8.60 over the term of this new agreement, with the first $3 in raises occurring this year.
Union leaders said that the following roles would receive wage increases of higher amounts:
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Union Housekeepers: increase from $17 to $20 immediately, ending at $24 in October 2026
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Union Dishwashers: increase from $15 to $18 immediately, ending at $22 in October 2026
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Cook 2 (Union Prep Cook): increase from $16.40 to $20 immediately, ending at $24 in October 2026
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Cook 1 (Union Line Cook): increase from $19 to $23.10 immediately, ending at $27.10 in October 2026
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Union Chef Assistant: increase from $20 to $24.60 immediately, ending at $28.60 in October 2026
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Union Bus Drivers: increase from $18 to $20.50 immediately, ending at $24.50 in October 2026
The agreement will also include eight weeks of paid Child Bonding Leave, which is a benefit that does not exist in the current contract, and increases to many hourly premiums, according to STCU.
In confirming that an agreement had been reached between the company and STCU, Walt Disney World Resort President Jeff Vahle said that “Our Cast Members are central to Walt Disney World’s enduring magic, which is why we are pleased to have reached this tentative agreement.”
“Disney is proud to offer an industry-leading employment package that includes comprehensive benefits and affordable medical coverage, in addition to 100 percent paid tuition for higher education for hourly employees through the Disney Aspire program,” Vahle continued. “With the support of the unions, we anticipate Cast Members will approve this new agreement.”
Upon ratification, the agreement will put Walt Disney World on par with Universal Orlando in offering $17 per hour. By the end of this year when wages increase to $18 per hour, Walt Disney World will become the highest-paying large-scale tourism employer in Orlando for entry level positions.
In terms of quick commentary, this is fantastic news–and comes as somewhat of a surprise. The two sides had been at a stalemate previously, with union Cast Members holding their “Rally for a Raise” one week ago to increase public awareness of their plight. That seemingly succeeded, as an agreement was reached in short order after that and comes pretty close to giving Cast Members what they had originally sought.
As for winners and losers…there are none of the latter here, only the former. Cast Members win because they will soon be earning higher wages. Walt Disney World wins immediately by putting this ugly dispute in the rearview mirror and garnering positive headlines for once. Longer-term, the company wins by becoming a better employer that should have greater success in the highly-competitive local labor market; by paying higher wages, Disney will be able to attract and retain talented and passionate employees.
Guests win for those same reasons. The Cast Members who truly make the magic will see a morale boost and will be more likely to stick with Walt Disney World for the long-term, with the positive consequences of that directly flowing to the guest experience. Anyone who wants to contend otherwise and claim that this will be bad for guests due to price increases or whatever is, flatly, wrong.
What follows is how this saga has played out to date, plus our original commentary, preserved here for posterity…
This sharp turn of events comes after the prior proposal was overwhelmingly rejected by Cast Members; 96% of union members voted against Walt Disney World’s “best and final offer.” That would have amounted to an immediate $1 raise to the hourly starting wage, which would put the minimum starting wage at $16 per hour. From there, hourly pay would’ve gradually increased to $20 per hour over the next 5 years.
Cast Members represented by local unions have been pushing for an immediate increase to $18 per hour, with a future path to raise wages to $20 per hour. With Walt Disney World’s refusal to budge from its prior best offer–and unwilling to offer a middle ground compromise–negotiations ended and did not resume late last week as planned. Instead, the unions indicated that they will begin a public pressure campaign “to bring light to the plight of Cast Members struggling to survive the devastating increase in the cost of living.”
Notably and perplexingly, Walt Disney World’s refusal to offer “even one cent” to its prior best and final offer came only days after Universal Orlando Resort announced to Team Members that they are raising starting wages to $17 per hour effective June 4, 2023.
In addition, Universal Orlando announced that many Team Members will receive a pay increase based on the new rates and their time with the company. According to Universal, wages are just one improvement being made to improve Team Member satisfaction. That theme park operator has also elevated its 401K match and tuition reimbursement programs, added compassion leave, doubled parental leave, enhanced family planning benefits, launched a new recognition program, and changed Team Member comp ticket availability.
Universal also purports to be elevating the work environment, and to that end, has begun upgrading break areas, back of house restrooms, and have plans for Team Member dining improvements. Universal contends that its work culture seeks to create a path forward that supports Team Members, giving them an opportunity to grow while fostering a real sense of purpose and belonging.
Senator Bernie Sanders added his voice to the pay dispute between Walt Disney World and Cast Members, sharing a statement of support on social media. “If Disney can afford to give a $20 million golden parachute last year to a CEO who did a lousy job, it can afford to pay Disney World Cast Members who are struggling to pay the rent & groceries a minimum wage of at least $18/hour. I say to Disney: Pay your workers a living wage,” wrote Sanders.
This isn’t the first time that Sanders weighed in on Cast Member pay. During the last major standoff back in 2018, Sanders made national headlines for attending a Cast Member town hall in Anaheim. Following that meeting with Disney workers, Sanders and Senator Elizabeth Warren sent a letter cosigned by 20 of their colleagues to Disney CEO Bob Iger urging the company to agree to a fair contract.
It goes without saying that Sanders is a polarizing politician. We’re not reporting on his social media post because of his substantive point, but rather, because of his public profile and popularity. Whether you love or hate him is irrelevant–what’s undeniable is that he has a large audience. As a result, it’s likely that Sanders will bring attention to this standoff, and elevate the coverage beyond Disney fan sites and the local Orlando media.
After a year of negative headlines and unforced errors, it’s mind boggling to me that Walt Disney World would risk more unfavorable reporting hitting the mainstream media. At an absolute minimum, Universal’s announcement of the $17 wage should’ve resulted in Disney offering that exact same amount.
The new baseline is $17 per hour, and it is highly unlikely that these negotiations will now end in an amount lower than that. So why not at least propose that, instead of refusing to add a ‘single cent’ to the prior offer? The company cannot control how the union reacts to such an offer, but there’s little compelling reason to refuse to budge from the prior offer. Perhaps the parties could even reach an agreement at $17 and prevent future ugliness.
Universal is too large of an employer–and direct competitor–in the exact same labor market, and they’ve set the new standard. It is an inevitability that Walt Disney World is going to follow suit, and could potentially save themselves pain in the process. The last thing they need is even more unfavorable media attention.
Against this backdrop, there’s a lot to discuss when it comes to commentary about the stalemate between Disney and the unions. One thing I hope we don’t have to debate is wages in relation to guest pricing. Back in past union wage negotiation posts, this was always the core commentary, as some Walt Disney World fans opposed wage increases under the (mistaken) assumption that higher wages equaled higher ticket and hotel prices.
The last few years should have disabused anyone of that notion, and demonstrated that Disney raises prices based on what the market will bear–and even when cutting its own costs. It has very little to do with input costs. (Or is someone going to claim that Disney went from free FastPass to paid Lightning Lanes because the exact same thing somehow costs the company more to operate?) Disney has been able to increase margins thanks to demand and consumer tolerance for higher prices; those same margins can go the other direction, too.
Treatment of Cast Members, staffing shortages, and tangentially-related topics have been a topic of discussion for a while, and also one that has recently popped up in the comments section here a few times. Suffice to say, I have a lot of thoughts about the current union negotiations with Walt Disney World.
The first is one of surprise that Walt Disney World has not proactively and voluntarily raised wages prior to this. I’m downright dumbfounded that the present standoff has been allowed to drag on. When it started, I assumed this would be quickly resolved given everything the company has said, and realities of the labor market. At the very latest, I figured Universal’s pay increase would put an end to it. I’m shocked and disappointed that the situation has gotten this bad.
As to why Disney should be offering higher wages to Cast Members, let’s go back to the beginning. If you’ve read even a few posts here over the last two years, you’ve likely heard us blame the absence of X or Y on staffing shortages. This does not just negatively impact the guest experience, but also, Disney’s bottom line.
While improving tremendously, staffing shortages remain a key impediment to fully normal operations at Walt Disney World. The company has had tremendous difficulty filling certain key roles, and turnover is incredibly high–even as Disney hires aggressively, it has been losing employees almost as quickly as it can onboard them.
As a result of this, Disney has left money on the table–because it has literally been unable to fill tables at restaurants, offer a full slate of upcharge offerings, etc. Staffing shortages have resulted in capacity constraints as a mitigation measure, which means fewer people at the parks due to attendance-limiting park reservations being fully booked at certain times.
That might be too much of an abstraction–concrete examples are how long it took to bring back Minnie Vans, Victoria & Albert’s, non-seasonal After Hours events, or EPCOT Food & Wine Festival paid seminars. All of those directly generate revenue and took longer than expected to return. (Or still aren’t fully back.)
Walt Disney World could have remedied many of the staffing shortages by voluntarily raising wages a year or two ago. Actually, they could have addressed this five years ago when it first started becoming an issue. While exacerbated by the pandemic, we were discussing staffing shortages back in May 2018 when writing about that year’s standoff between Disney and the unions, predicting that the “writing is on the wall for higher wages. At some point, increasing wages will be a strict necessity to attract more workers in the next few years.”
Instead, they offered hiring bonuses. My assumption was (and is) that there were a variety of underlying motivations for this. First, a hiring bonus is a one-time payment, whereas higher wages are a long-lasting and recurring expense. Second, it’s not as straightforward as simply raising wages for specific positions; with unions involved, contracts need to be negotiated and it’s unlikely those groups would have agreed to targeted increases for certain roles, but not others.
Finally, it’s possible that the company was ‘waiting out’ the hot labor market, assuming service industry employees would lose leverage and wage growth would slow or reverse. That has not happened. Even as layoffs are starting to hit white collar workers, there are still nearly 2 open jobs for every unemployed worker.
That discrepancy is even more skewed in some markets and sectors, with Central Florida hospitality and leisure likely being one of them. That’s precisely why Universal Orlando is raising wages. It’s not simply a matter of corporate generosity–it’s being competitive in the scorching labor market.
Just looking at this objectively, it’s difficult to understand Walt Disney World’s strategy, if they have one at all. Up until now, it sure seems like they’ve been waiting the last two years for a looming downturn, and have missed out on potential revenue as a result. That might seem like a dubious assertion given Disney’s earnings calls touting impressive profits for the parks, but there’s nothing to say they couldn’t have been even better.
Business has been booming as a result of pent-up demand and per guest spending is up thanks to reduced discounting, Lightning Lanes, etc. Nevertheless, bringing back Minnie Vans, After Hours, and other paid events would have generated further profits. In short, Disney missed out on even better earnings performance by being miserly.
So what’s the strategy now? Bet on a recession or assume economic downturn is on the horizon? Figure that’ll cool down both the red-hot labor market and demand for travel? Hope that the College Program and International Programs can be further scaled up to provide cheaper and less competitive labor?
Maybe some or all of that will work out in Disney’s “favor,” but it’s a bold strategy and one that has not been vindicated over the course of the last couple years. It’s also one that ignores all of the expansion in Central Florida–new hotels, area attractions, Epic Universe, etc–to assume that the labor market is going to get weaker, somehow. Even if there’s an economic downturn late this year or early next, it’s hard to imagine that “solves” the labor shortage given growth in the region.
Beyond that, it’s difficult to see why Disney is dragging its feet and letting this become a public spectacle. The Walt Disney Company has made the importance of Cast Members central to its image. High-level leaders at Walt Disney World and the corporate level make gratitude for Cast Members part of their persona. When it comes to the importance of their employees, they really talk a good game.
Naturally, this is true of Bob Iger and Josh D’Amaro, who are smooth operators and savvy public speakers. But it was the case even with Bob Chapek! The man who notoriously and infamously didn’t “get” Disney even understand how important it was to publicly praise Cast Members.
During one of his last public interviews when asked about the Reedy Creek controversy, Chapek pivoted and offered this: “the lesson, and what we always should’ve known, is that Disney is all about the Cast.” He noted that people might remember the castle and churros, but the reason people have magical memories that last a lifetime is the guest-cast interactions. He called Cast Members the “secret sauce” and the key to a great guest experience at Walt Disney World.
Chapek also said that “around 99%” of the positive guest feedback he received when running Parks & Resorts was about Cast Members. He was “reminded” about the sentiment of Cast Members and the importance of them feeling valued and as if they could relate to the company. “You have to make sure the Cast is at the center of everything you do,” Chapek concluded. For once, Chapek got something right with that sentiment. Even a blind squirrel finds a nut every once in a while!
It’s not just quotes from executives. Walt Disney World dedicates much of its online presence to promoting its public image as an employer. Positive treatment of and opportunities for Cast Members are highlighted, as is how important they are to the parks and guest experience. Among many other things, the Walt Disney World Ambassadors have their own dedicated social media accounts and there’s a whole Cast Life subtopic on the Disney Parks Blog.
Posts like this border on propaganda, using words like “lucky,” “incredible,” “gift,” and “doesn’t even feel like work” to describe being a Cast Member. Disney is a savvy company and purposefully covers Cast Members in this manner–it’s good for recruitment and also for the all-too-common guest misperception that being a Cast Member is a dream job.
To its credit, I guess, Disney is great at manicuring its image. Heck, they even managed to turn a decision made due to realities about the labor market into a statement about inclusivity. Much of the content produced now revolves around employees–and that also includes television ads in the Orlando and Anaheim/Los Angeles local markets.
The problem isn’t necessarily this sentiment–it’s very much correct. Highlighting Cast Members and their importance to the guest experience is absolutely the right thing to do. The problem is that all of this rings hollow when paired with how Disney actually treats Cast Members, as underscored by this standoff. Words are meaningless if you don’t walk the talk.
Cast Members breathe life into Walt Disney World, and they have long been the defining element of the guest experience. I think someone once said: “You can design and create, and build the most wonderful place in the world. But it takes people to make the dream a reality.”
We have been fortunate to have wonderful Cast Member interactions and encounters over the years, and I absolutely want more passionate Cast Members who are proud of the work they do, the company they do it for, and strive to make magical moments for guests. We all win if Cast Members are treated well and feel valued.
Then there’s the human (or humane) side of it. The living situation of many Cast Members is well-documented at this point. There have been countless exposes on homelessness and motel life along Florida’s Highway 192 corridor. This impoverished working class has been an open secret in Orlando for years and was even depicted in The Florida Project, an excellent and heart-wrenching film that is only nominally fictional. (That’s the one of the best and most heartbreaking movies imaginable, and should be required watching for all Disney fans.)
There’s a reason that affordable housing is coming to Walt Disney World and the company is committed to helping make it happen. It’s actively impacting Cast Members, and Disney’s ability to find workers. Shelter inflation is skyrocketing, with rising rents outpacing even the housing market. Florida has become the least-affordable state when cost of living is measured against typical household incomes. Orlando ranks second-worst in the country when it comes to the affordable housing shortage.
Personally, I think that Cast Member compensation should be competitive and, if anything, above market. Walt Disney World should be trying to attract the top talent in Central Florida. Increasing wages means Walt Disney World can attract and retain friendly and helpful Cast Members who will in turn improve the quality of the guest experience–in other words, making your vacation magical.
Over the last 3 years, we’ve heard an increasing number of reader complaints about Cast Members not being as friendly or as “magical” as they used to be. Three components of this are Disney demonstrating it didn’t really care about Cast Members during the closure and in the early stages of the phased reopening, pandemic-era rule enforcement taking a tremendous toll, and a rise in entitlement among guests that the company created. (Few things are more destructive to service than the mantra: “the customer is always right.” It’s demonstrably false and empowers the worst types of people to exploit things. It’s a complete garbage saying.)
So many people we know who worked at Walt Disney World in 2019 are gone, including “lifers” who I never would’ve expected to leave. Some were furloughed and called back, but opted against returning because of the way they were treated and taken for granted. Others got burned out from being “babysitters” for the year after reopening. Some simply found other jobs elsewhere that offered better pay or were otherwise less stressful. Every single one of them misses “making magic” but is happy with their decision to leave.
In talking to them, there’s a running theme in how Walt Disney World has handled Cast Members: arrogance. Arrogance in assuming furloughed Cast Members would be happy and thankful to return after months of radio silence. Arrogance in assuming “magic” is the ultimate trump card that makes Walt Disney World an unparalleled workplace. Arrogance in just fundamentally failing to appreciate the current realities of the labor market, and that it’s not 2016 anymore.
Let’s set those (very big!) variables aside and simply try to look at this from an objective, dispassioned perspective and again bring this back to competitiveness. The on-the-ground reality is that the Central Florida labor market has gotten tighter and Walt Disney World has not made much of an effort to compete in it. Yeah, there are Cast Members who are passionate about their jobs and proud to carry on Walt’s legacy. Some Cast Members are willing to accept less than they’re worth to work for Disney.
But for most, money talks. Employment is entirely transactional, and while companies can skew BS about being a family, legacy, and so forth, nothing shows you’re valued in that “relationship” like commensurate compensation. The converse is also true: nothing says that you’re not valued like being paid below market wages.
Universal will soon be paying its frontline employees $17 per hour, whereas Disney won’t offer a cent more than $16. We’ve dedicated a lot of words arguing why Walt Disney World should pay higher wages, but that’s really the bottom line.
Ultimately, that’s where we stand on this breakdown between Walt Disney World and the unions, and the company’s reluctance to pay higher wages to Cast Members. It’s disappointing that Walt Disney World didn’t proactively and voluntarily raise wages a year or two ago, and it’s downright heartbreaking that they’re continuing to fight over Cast Member pay.
This barely touched upon the soaring cost of living and shelter in and around Orlando, when in fact, our entire commentary could have centered around that. Instead, we only touched upon it in part because that’s its own huge can of worms; it’s also a (sadly) controversial and ideologically contentious issue, and one involving externalities that Disney cannot single-handedly address. Unfortunately, there is no outcome here that resolves Orlando’s cost of living or housing crisis.
However, it’s also because it’s not even necessary to address any of that. Walt Disney World should pay higher wages to be competitive with Universal Orlando. Attracting and retaining passionate and talented Cast Members should be a top priority, as should treating them in a way that makes them feel valued and wanting to make magical memories that will last a lifetime.
As a guest, you should selfishly want all of that. Your vacation is better if Cast Members are treated better by Walt Disney World–there’s a straight line between how they are treated and how guests are treated. In our opinion, paying Cast Members higher wages is also the right thing to do for myriad reasons, and means the company actually walking their talk. Words mean very little; it’s actions that matter to me.
Personally, I feel a little better about paying astronomical prices when I know that a company is doing the right thing and treating its employees well. Central Florida’s increasing cost of living and housing alone should’ve prompted Disney to offer higher wages to its frontline workers. But we don’t even have to get to those major and more contentious points to have a winning argument for paying and treating Cast Members better. If you are a Cast Member reading this, thank you for all you’ve done and good luck in your fight–a fight that shouldn’t even need to be fought–for higher wages. We hope you know that the vast majority of fans actually appreciate you in precisely the way that your company claims to care.
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Your Thoughts
Any thoughts to add about Cast Member wages at Walt Disney World? Disappointed that Universal is now “beating” Walt Disney World when it comes to employee treatment and wages? How do you feel about Disney’s handling of Cast Members, and what the company says versus what it does? Would you feel better about paying Disney’s premium prices if it meant the company was treating its employees better? Agree or disagree with any of our commentary? Any questions we can help you answer? Hearing feedback about your experiences is both interesting to us and helpful to other readers, so please share your thoughts below in the comments!
Tom, this was a terrific post. Your intelligent, nuanced, and well-researched takes are the reason that you are the only Disney blog I read and keep up with regularly! Thank you and Sarah for all that you do!
Wonderful Article. Here is a view from a NPCm ( non dues paying cast member )
This is Simple supply vs demand. Currently Disney has enough Cast Members who will work for the current wage.
And the “all or nothing” demands from the STCU are easy for Disney to ignore.
Disney can easy Market the message that they want to pay the valued Cast Members more & are waiting for the Union to do a better job of explaining the “best and final offer” offer to their dues paying members. Only a third of the unionized member voted “no” – meaning two thirds are perfectly content with the current situation.
Also, Disney can claim they are respecting the diversity of their employees & taking the time needed to have ALL voices heard. If inclusion means waiting for every Cast Member to read up on personal finance & the economic principles of capitalism, all the better.
Due to staffing shortages, Overtime is easy to pick up – which allows those who want to work earn enough to stay ahead of inflation & empty union promises.
So if you are sleeping in your car because you LOVE your role with Disney, then that is your choice.
If you can’t afford to work at Disney, then go work for Universal – or learn how to Cook or Bake, make a bed, drive a bus or any of the dozens of open roles that pay more than the “standing in a parking lot – directing traffic” role.
Unless you have been a cast member yourself, you have no idea what you are saying. Each position requires different skills. No one should have to work overtime to make ends meet. It wasn’t easy when I worked there, and there are even less benefits now. Work there first, then you can have an opinion.
Im glad you’re covering this. Do better Disney.
Thank you for drawing attention to this. It’s an important issue and I think you’ve done an excellent job of presenting a dispassionate yet logical argument for why Disney should step up. It’s not just good business, it’s the decent thing to do.
Whether it is a genuine “Welcome Home” when you check in, really selling the fantasy of Rise of the Resistance, or whooping and hollering about ketchup at Whispering Canyon, Cast Members can (and often do) make or break an experience. Disney can put all of the other pieces in place, but without the right people it just won’t work. Cast Members make the magic. Finding and *retaining* the right people means paying the right price. I’m really baffled that Disney doesn’t seem to understand that.
The reality is not every job pays enough, nor should it pay enough, to put a roof over your head, provide food for the table, raise a family and pay for transportation. The job market always has and should always continue to drive the wage debate. If a company cannot find employers willing to do certain job or employees with the skills needed to do a certain job, the employer has to make the positions more appealing or the company folds. The “living wage” debate is interesting which is one based on the premise that outside entities intervening in business expenditures is in the best interest of both the business and its employees. Kinda like other folks setting budgets for your own household.
Illustrating a Bernie Sanders quote with Grumpy is *chef’s kiss*, perfectly in keeping with the memes
Thanks. It’s also totally apolitical! I don’t care who you are or what your political beliefs, if you’re asked “which of the Seven Dwarfs is Bernie Sanders most like?” your answer is going to be Grumpy. Any other answer is just flat out wrong. It’s his whole persona! 😉
One should reflect on the fact that one single individual at Disney has become a billionaire by working for the company as an employee ( not a founder of the company) for much of his career.
It is unacceptable that one individual has been able to pillage the company coffers to his own exceessive gain without somehow being harnessed in by the Board of Directors or Investors.
Disney is broken in many ways.
It simply comes down to “the magic is gone”. I will continue to drive through Orlando without stopping on my way down to SWF.
I worked for chemical plant in South Ark that kept losing new employees to competitor plants, due to the disparity between our starting wage and theirs. Our union was continually telling upper management to get our starting wages up so we could retain good help. They finally listened and now the trend is that someone has to retire or die in order for a job to open up. Say what you want, making a livable wage is the key element to retaining good employees. Maybe Disney will open their eyes soon and rectify the situation .
fantastic post
This. It doesn’t really matter what you think constitutes a “living wage” or if that should even be the goal; if a company DOWN THE STREET is paying more for doing the exact same job, then potential employees are going to try to get a job there. Add in the fact we *know* said company is going to need thousands if not tens of thousands more frontline employees over the next few years (Epic Universe isn’t going to run itself) and it is baffling Disney thinks they can get away with offering less.
https://livingwage.mit.edu/
Here is a link to the MIT living wage calculator. It’s just numbers. t’s not political but clearly explains how much money one would need to live in an area of the country. To pay for basic housing, food, transportation etc. This wage would not leave much extra for “fun”. Yes there are ways people could cut down on the costs. Living in their cars, sharing a room, getting food stops, welfare payments, commuting from a cheaper area etc.
A living wage is not political, it’s just numbers. If companies need to pay one is. If unions should ask for one is. If the government should subsidize large corporations by giving food stamps to their staff is.
Interesting but not very useful information because it doesn’t define the types of amenities provided by said wage. Housing? What type of housing? Can I buy for that much? Does this include a down payment and closing costs or must I live in an apartment? Transportation? By what and from where to where and when? Food? How much of what kind? PB&J? And supposing I take a part time night job and maybe work on Saturdays? Three hours a night abd and Saturday easily gains me 23 additional hours per week. If I make 15$ an hour at both now I’m knocking down 30$ an hour and can afford steak, A nicer car and maybe a house. I do that for, say ten years, get some college credits, a useful STEMS degree and now I’m good for six figures, maybe can start my own business? Kiss the mouse goodbye? And don’t say it can’t be done because I did it amd I’m nothing special. All you have to do is set goals and find practical ways to achieve them. As well, what I did didn’t cost the taxpaying public much if anything because I paid my way, paid my student loans and never depended on anyone but me, and later my wife. I quit several jobs if I felt that I was going mowhere but never had a problem finding another within days. Again and for the last time, nobody and no company owes me a living. One of the best “rights” I have us the “right” to quit a job and find another and the right to take my custom elsewhere if I don’t like the way a company conducts itself. Disney employees have that same right. Along with the terrific educational opportunities available I can’t think of any reason I’d stay with Disney if they weren’t providing my definition of a “Living Wage”, and in my opinion, MIT’s calculation of same is nowhere near my requirements. Thanks Tom for inadvertently but effectively providing a fascinating look into the philosophy of what is most probably the mindset of the majority of America’s young working population. Until next time.
Jack, if you’re working two jobs at $15/hour each, you’re not making $30/hour. Since you can’t be in two places at once, you’re still making $15 per hour.
Agreed but the sum total of monies available is equivalent even though I put in more hours. The key is to accumulate money and education as a base from which to improve one’s life so that later on one makes lots more money and puts in less time, if any at all.
Let’s try to steer clear of politics to the greatest extent possible. I realize there’s an inherent amount of overlap, but some of the comments have veered a bit too far off course.
With that said, I do appreciate the degree of respectful and reasoned disagreement. Nice to see that even when people don’t agree on an issue, they’re each able to make their case in a level-headed and civil manner (for the most part). To whatever extent that there “needs” to be back and forth argument, please keep that up.
What now?
A living wage should not be considered “political”. It’s a concrete, tangible requirement of human survival. Just because politics does currently influence the outcomes of these issues, doesn’t make that inherently, “political”, or even just. How do you expect to talk about wages at all without acknowledging that there is in fact a basic survivable wage? It’s literally math with a knowable answer.
A living wage, or lack there of, in this case, is currently a casualty of greed and “politics”, but that’s only because people have been conditioned to condone that tired narrative.
A living wage is a human right, (should be a human right) and this knee jerk reaction to call it “politics” stalls progress. If you work…you should be compensated with at least a minimum of a basic survivable wage. That’s the conversation that needs to be had anytime this issue is brought up when discussing Walt Disney corporation’s greed or any other corporate greed.
And if this is still a tough concept for people to bend their minds around, consider the fact that Bob Chapek was fired for doing a lousy job, and was STILL paid a reported 20 Million severance package. That is obscene. Truly.
I believe its absurd to regard my earlier comment as somehow misplaced or not appropriate for the forum? When do you think it might be OK to point out the actual level of greed and wage oppression that is truly happening here?
Kristen Erwin
You are absolutely correct. People say employers should be paid what they are worth. Chapel failed and was fired but gets rewarded with $20 million. Top executives and Board members are the elite and treat themselves well despite their failures. They put each other on each others Boards and take care of themselves just like wealthy business owners do. That is why there is never enough for the wealthy. It buys them political power.
Once again Kristen, “A living wage” cannot be defined because it is too variable and subjective. Who determines said wage and its parameters? Will your “living wage” require people to live in a city? What is a living wage for a family of four, or can’t one have children? Sounds like the only way to establish a “living wage” is to dictate the parameters and conditions under which people can live. What if I want to live rurally abd commute by car? That will be more expensive. Will my “living wage” be adjusted or is rural living to be disallowed? Generalities, good intentions and buzzwords don’t solve problems, actionable plans do, and I have yet to see a practical, actionable plan that will provide a “living wage” and yet allow people the freedom to live as they wish. When I wanted more money for whatever my reason, I either took a second (Or third) job or changed jobs. Disney employees are free to do the same. If one doesn’t like what Disney does or what they pay, don’t patronize their venues and don’t work for them.
That’s ridiculous. Several economists have already written on this subject for years now. It’s not rocket science, there is a knowable fix. Basic living expenses are just that. Food, shelter, water, heat, medical care, clothing and transportation. Those minimums in any given region. I promise you, there is a nice round number that is universally workable. In fact $20.00 per our as a basic wage has been suggested by economic analysts.
Don’t make problems where there doesn’t need to be. We aren’t talking about affording a Tesla for everyone. We aren’t waxing poetic about what constitutes clothing…Channel or walmart attire. We are talking about what it takes to survive the elements, provide sustainable nutrition, and receive adequate medical care. Period.
To illustrate the ridiculousness of your argument, just refer to the federal minimum wage, which I believe is somewhere around $7.25 per hour today. We’ve had a federally required minimum wage since the 1930’s. Why? Because we need to pay people an agreed upon minimum amount in order to be an employer. We know right now that number is wholly inadequate to live anywhere in the United States. That’s not in dispute. We now this.
Your argument is that one can never know what a survivable wage might be, and you’re wrong. It’s statistics. It’s math. It’s knowable and an economist worth their salt would tell you the same.
You are regurgitating a preconceived narrative invented by corporate power. If we can know what’s NOT enough, what IS enough…. is also Knowable. You’re better than that…no???
And if I’m satisfied with those numbers I get to live a mediocre life while being told where I can live, what I can eat, how I can live, what car I can buy, ad infinitum. Want an example of your managed economic endpoint? See Cuba. See Venezuela. Or better yet, ask some people from there. Don’t know any? Go on down to the Southern border. You’ll meet plenty, and none of them will be heading South. No thanks. I preferred getting a useful education and a job that actually produces a product and service that betters our country and our world, puts no burden on others and allows me to live as I wish, where I wish without imposing my moralities on others. Have yourself a sparkling day!
How can we help support the cast members? Is there a phone number to call and advocate for them?
As long as Tom uses terms like “impoverished working class,” I’ll feel comfortable saying employees of the Walt Disney Company should not be members of the same.
As much as I appreciate the leeway, I just don’t know how to say more than that without entering the political, if I describing an income where a person doesn’t need to work a second job is political.
Tom, If I have said anything politically obnoxious I do apologize. If I have offended anyone else in this thread – I apologize. I mean no intent to bring any specific ideology at the lambasting of another. What appears to be happening in the Disney/CM/Union situation can stray too much into politics. With that I will echo the sentiment of: can we please have a good discussion without the jabs, barbs and potential stereotyping of another’s views based on what we “heard” or read”. ALL news channels and media sources have their biases. Cases can be made for both sides of the aisle – both are at fault. Until there is open and honest discussion, without any pre-conceived notions about the other side, we will never advance anything.
So, this will be my last statement on this thread, I do not want to participate in it if I appear to be political and offend someone. If we are not civil to everyone’s beliefs, whether we believe the other side or not, then we need to sit back, take a breath and relax. I hope the CMs get more than just a wage, I hope they get a reason to love their work and provide us, the guests, the best experience we can imagine. For Disney leadership, I hope they see the value of the CMs and the CMs see the value of Disney. Let’s have compassion and make a difference!
No one lives in a vacuum, we must work together with civility. The Book of Dave 1:1
Smile and have a great day! 🙂
Thank you for posting this.
Unions are the reason we have weekends and are not expected to work 80 hours a week. They are not perfect but what organization is.
Disney is a business and business has never been for people it’s always been for profit. I love Disney and this makes me sad.
Disney is a business paying executives enormous amounts of money to do what they have been educated or trained for. To advance in the world of business you need something that sets you apart from your peers. Do the executives get paid too much – that may be a matter of perspective. Does Disney pay their hourly CMs enough – that’s the debate, and a complicated answer. Tom does a good job bringing points to the front but let’s not lose perspective. I think Disney will, grudgingly pay the CM hourly workers more, eventually. It is a matter of positioning. the “guests” usually get the raw end of the deal.
Oh, by the way, Unions are also a business, ask what the union President and their officers make. It may just surprise you.
Here’s an interesting factoid: Every dollar per hour that Disney raises the pay of its 40k plus employees costs the mouse 1.6 million dollars a week! Since Universal’s wage “floor” is, I believe, 17$/hour and Disney’s is 15, if Disney matches, which they may have to, that means 3.2 million a week out of the mouse’s cheese fund! That ain’t just Roquefort! Now the wife and I and and one son and wife just spent 9 days in WDW. Prices have increased lots since January ’22 when we were last there, and if this raise goes through I can imagine we’ll see more increases when we go again in May. We can afford it, but has anyone taken into consideration how this will affect the young families who scrimp and save to take little Robespierre and Lucretia for a once in a youthtime experience with Donald Duck and friends? Airfares are through the roof as well adding to the expense. There’s a limit to what most people can pay or will pay to see the mouse. In my opinion, for a number of reasons, that limit is fast being reached. Once again, history shows that economics cannot be successfully manipulated and what goes up will surely come down, usually a lot faster and with far more dire consequences. I’d advise both management and labor to step back and take a breath here. Remember that the consumer will ultimately pay the bill — until they stop.
Dear Mickey1928,
Thanks for the reply. Although your heart is in the right place your reply still lacks specificity as to the definition of a “Living Wage”. Sure, you can use the cost of living index to which you referred but it only compares area to area. Each person / family actually defines a “Living Wage” based on their needs / wants thus, IMO the term cannot be defined. For example, you may want to live in an apartment while I prefer a house in a rural area. Your “Living Wage” will include rent and possibly public transportation while mine necessitates a mortgage and a car. And speaking of cars, maybe I have a family so a Smart Car won’t fulfill my needs. I’ll need an SUV or a van. History shows that attempts to manipulate economies using minimum wages and price controls don’t work. In the end they prove detrimental if not disastrous to the very problems they are supposed to fix. At best, they end up in stasis as, if forced to pay more to employees, companies just raise their price to consumers to maintain margins and the gain zeros out in the end. Economies are dictated by supply and demand. If Disney pays higher wages then it will raise prices, again. If prices go too high people won’t come to the parks and Disney’s margins will shrink. To maintain margins Disney will then lay off employees and cut services. So what is the net gain? Finally, no one is forced to work for anyone. If one is to believe government statistics there are millions of open jobs in this country. Maybe the answer is to find another that pays a “Living Wage” or to have a second, part time job. When I was getting my degrees I worked as many as three jobs to pay for tuition, a house, car, food, clothes, etc. Now, as an Engineering Troubleshooter, I work on a contract basis, have what I want and need and plenty of time off if I want it. This, however, took decades of education and hard work and I can’t remember the number of jobs I’ve had in the process. In the final analysis Disney has every right to pay whatever they want to attract the people it needs to provide its services. By the same token, people have every right to find another job if Disney doesn’t meet their needs. If enough people leave Disney’s employ they will eventually be forced to either pay more or lose employees and eventually customers and that begins a spiral that might even end up closing the park. Also, with Universal right down the road that competition for employees, if Disney wants to maintain market share it will eventually force them to make choices that may well include raising pay. All in all, Disney and any other corporation will pay the most they feel they can to attract good employees and maintain what they deem acceptable profits. As some have herein noted, they will not return to Disney because of their failure to pay their employees properly. That is fine. It’s their choice just as it is the choice of people to come to the parks no matter and of people to work for Disney at the offered wage. That’s what makes an economy run abd, as I stated earlier, history shows that, no matter the intention, in the long run, economies can’t be successfully manipulated.
Once again, thanks for your reply Mickey, and as Spock used to say, “Live long and prosper!”
Well articulated and necessary article, Tom! I wonder whether we consumers will ever collectively spend with our consciences and force Disney to treat their CMs appropriately. The general fan world seems attached to the “things have gone wrong recently” narrative, but, unfortunately, this is how the Disney company was built. Financially and publicly undervaluing their work force, while simultaneously crafting internal and external fantasies to keep CMs and guests engaged is a primary pillar of the Disney methodology. There is a great podcast interview in which you can hear Alice Davis – a woman who crafted some of the most iconic aspects of the parks’ classic rides – lovingly retell her Disney story. In addition to containing some very cool stories, this podcast begins to sound like a study in Stockholm syndrome. Despite her essential contributions, Alice Davis was never hired as a full time employee, never given benefits, and often worked 7-day weeks. Walt Disney, everyone’s hero, unabashedly took credit for all of Ub Iwerk’s creative work, in service of his “visionary” narrative. Parents and student loans have been subsidizing the college program for decades, enabling WDW to keep downward pressure on permanent CM compensation. Every time Disney senses they can squeeze another penny out of guests, they do it, and there are almost no examples of those up charges passing through to CMs. People have started noticing these inequities more in the internet age, but I have yet to see evidence that guests are outraged enough to communicate with their wallets.
I have worked many jobs over the years–from a bearing factory at 16 for 1.25ph to 15.00–8.00–5.00…and way up to 100.00 but recession hits back down to 25.00–then 9.00 up to 65.00–i have 3 college degrees. I have always done what I wanted I have followed my passions not my paycheck. A living wage for me would sometimes mean 2 or 3 jobs. But if I loved what I did and was treated well the money was not an issue. As a cast member I am treated well. I love this company it is genuine and even as large as it is I feel that I am in a small shop with smart creative people….so in my opinion I got lucky and the money is just money I always find my way to enjoy life in and out of the work place. FYI my 5.00 an hour job and this one have been my favorites so far!!!
Interesting article. I’ve been convinced that there is something fundamentally wrong with the core corporate culture at Disney, and that this has been the case for many, many years. Once upon a time, there was a highly successful American Institution. After decades and decades and decades of remarkable success, that business started making bonehead decisions. If there was a wrong choice, the company made picked it. For the next several decades, that corporation headed downhill, finally crashing to the point that it would be bought out by another company that took its name for their combined businesses, only for the successor company to eventually file bankruptcy. The company?
Sears. To those who think the Mouse will reign supreme forever, corporate morons can kill ANYTHING! We’re talking about a company that ended its century-old mail-order business right as Amazon and online shopping were kicking off, just one of many, many management blunders. Disney management needs an ice water dunk to wake up and realize that the name Disney does not guarantee magic…that Disney’s magic needs to be earned, and right now they’re squandering it.
Excellent article and perspective. Thank you for your support of cast members.
I couldn’t agree more. There is a down side to Disney, and this is it. I’ve always felt conflicted about my love for Walt Disney World because of their refusal to pay their employees a living wage. There is no excuse for this.
What’s even more disappointing is that DLR already has a $17 base wage, and when it was originally raised to $15, WDW followed shortly after. Why then do they refuse to follow suit with raising it to $17? In all actuality, it should actually be much higher on each coast. I don’t think I’d be happy with anything less than $25 an hour to deal with what CMs have to deal with.
I agree that they should be paid more, don’t get me wrong, but I also believe the pay I receive should not be based on what makes me happy, (the more you get, the more you will want) instead it my should be based on my value to the company. If I want to earn more I need to be more valuable to the employer. What I receive in pay is not based on what makes me happy but on my value to my employer. (or at least it should be that.)
That said, a “good” employer will pay their employees based on their worth/merit to the company. And for a company to succeed they need good employees and pay them such. Disney seems a bit lacking on paying appropriately.
Employee pay should be a two-way street: the employer should give the employee what they are worth and the employee give the employer what is expected from them. That is tough to balance but is needed for a long term satisfaction on both sides.
Quality costs both ways.
Paying employees what they are worth does not really translate into dollars. How do you establish a dollar amount for work? That would mean that different employees doing the same job would get paid different amounts. What really decides pay is supply and demand. Companies will always pay as little as they can get away with. I am sure Disney would pay every CM minimum wage no matter what it is. When their employees start to leave to work at the higher paying Universal it is only then when Disney will raise their compensation.
This is late stage capitalism at its finest. Share buybacks and short term mentality can only prop up the pyramid for so long. We are all in for a reckoning, and our 401k’s will be sacrificed to rebuild them.