Walt Disney Co (NYSE:DIS, ETR:WDP) has reportedly agreed to pay $43 million to settle a lawsuit accusing the company of underpaying female employees compared to male counterparts in similar roles.
The case, initiated in 2019 by former employee LaRonda Rasmussen, alleged significant pay disparities, including one male colleague earning $20,000 more annually despite less experience. Approximately 9,000 women joined the lawsuit.
Disney denied wrongdoing and stated its commitment to fair pay but agreed to the settlement.
As part of the agreement, the entertainment giant said it would hire a labour economist to review and address pay equity among full-time, non-union employees in California for three years, according to multiple US outlets.
Plaintiffs argued Disney failed to account for previous gender pay gaps when setting salaries. Disney noted a 2022 review found women earned 99.4% of what men earned. The settlement awaits judicial approval.