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NLRB Says Disney Can Withhold Bonuses for Workers Seeking Contract

June 15, 2018

By Steve Wishnia and Neal Tepel

ORLANDO, Fla.—The National Labor Relations Board ruled June 1 that it was legal for Walt Disney World to withhold $1,000 bonuses from union workers engaged in contract talks while giving them to other employees. The Service Trades Council Union, which represents more than half of Disney World’s 70,000 workers, filed an unfair-labor-practice complaint after the company announced the bonuses in January. Disney’s move came after union members in December overwhelmingly rejected its offer of a 6-10% raise over two years for non-tipped workers, saying it fell far short of their need to have the minimum starting wage raised from $10 an hour to $15. NLRB Regional Director David Cohen said there was “no evidence” to show the withholding was motivated by “anti-union animus.” He held that Disney could legally combine its bonus and wage-rate proposals “in an effort to induce STCU to accept the previously rejected wage rate proposal.” “I think he’s wrong,” UNITE HERE Local 362 President Eric Clinton told Orlando Weekly. “We have every plan to appeal it.” Disney has since offered to give the bonus and raise the starting minimum wage to $15 by 2021, in exchange for other concessions on pay and transfer procedures. Read more

June 15, 2018

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