Unions representing Walt Disney World workers reached a tentative agreement with the company that sees workers receiving a $3-an-hour raise by the end of the year. That takes the starting minimum wage at the company from $15 to $18.
After rejecting an earlier offer that would give them an initial $1-an-hour raise, the service workers who belong to the six unions are set to vote on Wednesday. The workers covered by the unions are transportation employees, character performers, hotel employees, and restaurant and shop staff.
“Securing an $18 minimum hourly rate this year, increasing the overall economic value of Disney’s original offer, and ensuring full back pay for every worker are the priorities union members were determined to fight for,” Matt Hollis, the head of the coalition of unions, said. “Today, we won that fight.”
Under the five-year agreement, employees would receive another $.50 an hour in December 2024 and a $1-an-hour raise in 2025 and 2026. The deal also included “industry-leading” benefits in healthcare and tuition reimbursement, Disney said in a statement.
“Our cast members are central to Walt Disney World’s enduring magic, which is why we are pleased to have reached this tentative agreement,” said Jeff Vahle, the president of Walt Disney World Resort, of the deal.
The union argued that higher employee wages were necessary to help offset the high cost of living and inflation. Under the current wage structure, making a living for many employees was virtually impossible.
The pay increase could spark a jump in minimum pay throughout the Central Florida tourism industry. The contract approved five years ago set the trend in the region after Disney became the first employer with a $15 minimum wage.
