The Walt Disney World service workers’ unions reached a provisional agreement with the company on Thursday, which would increase the starting minimum wage from $15 to $18 per hour by year-end. This deal can potentially establish a new baseline for entry-level wages in Central Florida’s vast tourism sector.
The Service Trades Council Union coalition, comprising six unions representing Disney World service workers, is set to vote on the contract proposal next Wednesday. This follows the rejection of a previous offer that did not meet last month’s $18 hourly minimum wage demand. Union leaders estimate the five-year contract will affect around 45,000 service workers at the Orlando-based theme park resort. They anticipate hourly wages at the resort to increase between $5.50 and $8.60 per hour by year five.
Matt Hollis, head of the union coalition, highlighted securing an $18 minimum hourly rate, improving Disney’s original offer, and guaranteeing full back pay for all workers as the union members’ priorities. He announced, “Today, we won that fight.”
Disney mentioned that the tentative deal comprises “industry-leading” health insurance coverage and tuition reimbursement benefits. Jeff Vahle, President of Walt Disney World Resort, expressed his satisfaction with the agreement, emphasizing the central role of cast members in the resort’s magic.
The contract covers over half of Disney World’s 70,000-strong workforce and includes costumed performers, bus drivers, culinary staff, lifeguards, theatrical workers, and hotel housekeepers. Five years ago, the approved contract made Disney the first significant employer in Central Florida to adopt a $15 minimum hourly wage, influencing other workers in the hospitality-dominated region.
As the Florida Legislature and Governor Ron DeSantis passed legislation recently granting the Republican governor the authority to appoint the district board that oversees Disney World’s government services, this contract proposal comes at a delicate time for Disney World. Disney previously controlled this board.
The change in Disney district control began last year when the company publicly opposed the controversial “Don’t Say Gay” legislation, which restricts instruction on sexual orientation and gender identity in K-3 and age-inappropriate lessons. DeSantis, known for his culture warrior stance, is expected to run for the GOP presidential nomination.
Disney World and the unions representing its service workers have agreed to increase the starting minimum wage to $18 per hour by year-end. The deal, set to be voted on next week, covers around 45,000 service workers and could influence wages in Central Florida’s tourism industry. Given recent legislation enabling Florida’s governor to appoint the district board overseeing the resort’s government services, the contract arrives at a challenging time for Disney World.
