A group of Disney employees have filed a proposed class action lawsuit against the company, seeking damages after they were instructed to move across the country for a project that was later cancelled.
The lawsuit, brought by two current employees, Maria de la Cruz and George Fong, accuses Disney of misrepresenting its plans when it announced in 2021 it would open a new $1 billion campus for theme park staff in Lake Nona, Florida.
Approximately 2,000 employees in California were given an ultimatum: relocate to Florida or resign. However, less than two years later, the company reversed its decision, leaving many employees who had uprooted their lives in limbo. The complaint states that staff had relied on Disney’s assertions, incurring significant moving expenses as they sold their homes and purchased new ones.
“These folks are really frustrated by their circumstances,” said Jason Lohr, the lawyer representing the workers.
Disney has declined to comment on the lawsuit. The company’s reversal came after Bob Iger returned as CEO and initiated a major cost-cutting drive in 2023. This decision also followed a contentious public dispute between Disney and Florida Governor Ron DeSantis regarding the company’s relationship with the state.
The corporate roller-coaster involving the Lake Nona campus occurred during a period of significant increases in home prices and mortgage rates in the US, a factor that has made Americans more hesitant to relocate for jobs. The lawsuit claims that Disney’s initial announcement had driven up home prices in the area, which then fell after the project was cancelled.
While some Disney employees chose to resign rather than relocate, others waited when the company informed them of project delays. About 250 employees had committed to the transfer within the initial timeline. George Fong, one of the plaintiffs, sold his childhood home to move to Florida, only to return to California and settle into a smaller house. The lawsuit alleges Disney failed to compensate him fairly for the damages he suffered.
Since the lawsuit was filed in Los Angeles County Superior Court this week, many other employees have expressed interest in joining the action, according to Mr. Lohr.
Source: Ghana/Starrfm.com.gh/Emmanuel Mensah
