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U.S. says Walt Disney subsidiaries to pay $3.8 million in back wages
March 17, 2017 / 5:28 PM / 6 months ago

U.S. says Walt Disney subsidiaries to pay $3.8 million in back wages

A part of the signage at the main gate of The Walt Disney Co. is pictured in Burbank, California, May 7, 2012. REUTERS/Fred Prouser

(Reuters) - Two Florida subsidiaries of Walt Disney Co have agreed to provide $3.8 million in back wages to comply with federal law, the U.S. Labor Department said on Friday.

The wages will be paid to 16,339 employees at the two units -- Disney Vacation Club Management Corp and Walt Disney Parks and Resorts U.S. Inc -- after U.S. officials found violations regarding minimum wage, overtime and record-keeping, the department said.

“The Department of Labor has identified a group of cast members who may have performed work outside of their scheduled shift, and we will be providing a one-time payment to resolve this,” a Walt Disney World Resort spokeswoman told Reuters.

Disney’s Parks and Resorts unit operates its parks and resorts around the globe, including the Florida-based Walt Disney World Resort.

“We are adjusting our procedures to avoid this in the future,” the spokeswoman said in an email.

Reporting by Susan Heavey in Washington and Aishwarya Venugopal in Bengaluru; editing by Diane Craft and Maju Samuel

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