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Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

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  • [Chat] Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

    On June 1 Universal Orlando will pay its new employees $9 an hour.
    Universal raises pay as Harry Potter-Diagon Alley opening nears - Orlando Business Journal
    Will this motivate Disney World to rise above it current $8.03?

  • #2
    Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

    Golly, Jcruise86, I sure hope & pray that Bob, Thomas, Meg, George & Jay can minimize WDW's labor costs! They should try and get the Koch brothers & some of the Waltons on Disney's board. I don't know what Universal is up to going almost $1 an hour more than Disney, but it sounds like a sleazy attempt to steal away better workers. It won't work. Disney always automatically beats Universal, and I've got some really angry responses already written for anyone who defends Universal!

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    • #3
      Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

      Who says it's to beat Disney? Who says it's to steal their employees? We do not know the motivation and besides, who cares?

      Considering how hard and long Disney employees work I think they deserve much more than that, so if Universal wants to raise their pay a dollar so be it. Also, it's already hot enough as it is and uniforms and costumes do not help whether a Disney, or Universal employee.

      Heck, the WWOHP people have to wear black cloaks in 90-100 degree weather. Also, some have to wear a vest and jackets outside. The same with Disney employees too.
      Last edited by DisCollector; 05-09-2014, 01:37 PM.

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      • #4
        Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

        Originally posted by DisCollector View Post
        . . . Considering how hard and long Disney employees work I think they deserve much more than that, so if Universal wants to raise their pay a dollar so be it. Also, it's already hot enough as it is and uniforms and costumes do not help whether a Disney, or Universal employee.

        Heck, the WWOHP people have to wear black cloaks in 90-100 degree weather. Also, some have to wear a vest and jackets outside. The same with Disney employees too.
        I'm sure it partly was to attract more--and more qualified--applicants. I remember when the Islands of Adventure opened I spoke with a CM there who, after realizing I was a fellow theme park worker, proudly opened up about how new Universal CMs were compensated better than WDW CMs. (That was just one CM speaking at one moment in time.)

        It seems like when one Orlando resort announces an increase in daily park admission prices, the other one--usually Universal following Disney--copies them within 20 minutes. I hope in this case Disney copies Universal. (My second post was not direct, btw, Discollector--your post was better than mine.)

        If Universal becomes known for paying significantly more than Disney World, then they will earn some goodwill from the locals. Some Costco, Starbucks and Trader Joe's customers (like me) do care that their employees are compensated better than some of their rivals. I'd guess than many Walmart customers are less concerned about worker compensation, but with the way Disney park prices have dramatically outpaced inflation ever since Wells & Eisner almost doubled admission prices in just two years, I'd guess that many WDW and Disneyland guests prefer Costco to Walmart.

        Maybe Universal will stay ahead of Disney and eventually become known for having better employees--not that there's a perfect causal relationship between compensation and performance.

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        • #5
          Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

          NO, it will not force Disney. If anything, this is Universal chasing Disney. I mean wow!!!!, you may have missed the news but Universal's most current offer is significantly less then Disney's most current offer to it's Unions. Disney made the starting offer in mid April for a 25% raise over two years, going to $10 an hour.

          Disney Offers Obama Minimum Wage to Florida Park Workers - Bloomberg

          That all said, there are already positions in which Universal pays more then Disney but..... its only by coins and not by dollars. Living here in central florida, between Disney and Universal with friends at both plus Seaworld, I hear all the time how Disney's Health care costs are lower then Universal with a better and more varied offering. Disney employee's have not been flocking to the insurance market place because while Disney's Health care plans are now more expensive then they use to be, they are still much better then the market is offering. I believe there is got to be some who have purchase health care from the market place, but honestly I don't know of one single disney employee that has opted to take a health care market place plan over one of the three Disney currently offers it's employees.

          Finally Disney's Park admission employee benefits, especially the ability of an employee to bring friends/family in with them are much more generous than Universals. I know we like to keep Disney honest and encourage it to do better when it falls short, but in regard to employee pay, compensation, benefits.... I think some fact checking may be needed.
          Last edited by Kidgenie; 05-09-2014, 09:39 PM.

          Comment


          • #6
            Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

            Originally posted by Kidgenie View Post
            NO, it will not force Disney. If anything, this is Universal chasing Disney . . . Universal's most current offer is significantly less then Disney's most current offer to its Unions. Disney made the starting offer by on April 17 for a 25% raise over two years, going to $10 an hour.

            Disney Offers Obama Minimum Wage to Florida Park Workers - Bloomberg
            Thanks for sharing your April Bloomberg article, Kidgenie!

            The Disney OFFER is mentioned in the May 7 Orlando Business Journal article (that I linked in the first post), but Universal didn't just make an offer as Disney has done. According to the May 7 article, Universal's pay increase is a done deal to go into effect on June 1.

            As of May 9, I haven't yet read that the Disney's offer has been accepted by unions.

            Maybe the more recent Universal announcement will put pressure on Disney to speed up negotiations. As things now stand, on June 1 a new Universal Orlando employee will earn $9 and hour and a new Disney World CM will receive just $8.03.

            Your April Bloomberg article also included this:

            "
            Disney also told the unions it wants to stop offering pensions to new hourly employees starting in 2016. New hires would be offered a 3 percent company match to a 401(k)-style retirement plan, said Dalton. The company doesn’t currently contribute to that plan, which is available to employees from bell staff to costumed entertainers, she said.

            Union Opposition

            Chambers said the union would oppose the pension change."

            If Disney falls behind Universal, Universal could gain some of the money it spends back because:
            1. Paying more could generate goodwill that induces guests, especially local guests, to spend more at Universal.
            2. Paying more might attract better workers, and it's possible that this could result in one less lawsuit against the parks by an injured guest that is settled for millions.
            3. Some CMs love the parks they work for and more money in their pockets could result in their spending a little more of this money back in their stores and parks, kind of like Henry Ford's goal--of paying his workers well enough so that they could buy Model Ts.
            Last edited by jcruise86; 05-09-2014, 09:55 PM.

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            • #7
              Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

              But the headline question is still flawed. Universals $9.00 an hour rate hike is not as significant as Disney's proposed $10 rate hike so NO WAY is it going to "cause Disney to pay more then $8.03 an hour" Disney was already on its way to doing that well before Universals announcement.

              Universal is non union so it can just move forward, Disney needs to get Union approval on the pay hikes. Yes, the union is concerned about the elimination of the pension, that too is in the bloomberg article, but the over all they are please. “I’m very pleased,” Ed Chambers, president of the council, said in a telephone interview. “We’re well on our way to getting a deal done."

              Comment


              • #8
                Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                Also, I apologize for the eight ball comment, It was more harsh then I had intended. I had removed it but you had already quoted it. It was accurately what I had said originally.

                Comment


                • #9
                  Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                  Originally posted by Kidgenie View Post
                  NO, it will not force Disney. If anything, this is Universal chasing Disney. I mean wow!!!!, you may have missed the news but Universal's most current offer is significantly less then Disney's most current offer to it's Unions. Disney made the starting offer in mid April for a 25% raise over two years, going to $10 an hour.

                  Disney Offers Obama Minimum Wage to Florida Park Workers - Bloomberg

                  That all said, there are already positions in which Universal pays more then Disney but..... its only by coins and not by dollars. Living here in central florida, between Disney and Universal with friends at both plus Seaworld, I hear all the time how Disney's Health care costs are lower then Universal with a better and more varied offering. Disney employee's have not been flocking to the insurance market place because while Disney's Health care plans are now more expensive then they use to be, they are still much better then the market is offering. I believe there is got to be some who have purchase health care from the market place, but honestly I don't know of one single disney employee that has opted to take a health care market place plan over one of the three Disney currently offers it's employees.

                  Finally Disney's Park admission employee benefits, especially the ability of an employee to bring friends/family in with them are much more generous than Universals. I know we like to keep Disney honest and encourage it to do better when it falls short, but in regard to employee pay, compensation, benefits.... I think some fact checking may be needed.
                  Thanks for updating your post. Disney might be better if health care and perks such as admissions are figured in, but the hourly wage is easy to understand and promote. I'd love it if these two huge resorts got into an employee compensation battle. That happened in animation when Dreamworks started competing for talent.

                  Comment


                  • #10
                    Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                    Originally posted by Kidgenie View Post
                    Also, I apologize for the eight ball comment, It was more harsh then I had intended. I had removed it but you had already quoted it. It was accurately what I had said originally.
                    No problem, and it was no where near as obnoxious as my post #2--pathetically in response to my own post #1--which I lack the character to delete.

                    You're a better Micechatter than I am, Kidgenie, and you obviously know more about this than I do, with my one little article. (Seriously.)

                    Comment


                    • #11
                      Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                      Finally Disney's Park admission employee benefits, especially the ability of an employee to bring friends/family in with them are much more generous than Universals
                      I have a friend who worked for Universal before she moved out of Florida and she was able to bring friends/family with comp tickets. She did this for a friend and I 10 years ago. They were parkhopper tickets as well so we split our day between the Studios park and Islands of Adventure. BTW, my friend actually worked at CityWalk at the time (at the former Endangered Species store).

                      Comment


                      • #12
                        Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                        Originally posted by aimster View Post
                        I have a friend who worked for Universal before she moved out of Florida and she was able to bring friends/family with comp tickets. She did this for a friend and I 10 years ago. They were parkhopper tickets as well so we split our day between the Studios park and Islands of Adventure. BTW, my friend actually worked at CityWalk at the time (at the former Endangered Species store).
                        I do not imply that Universal does not have employee friends/family comp admission policys, I have benefited from it, but Disney's is 16 times a year on a main entrance pass, plus the November -February cast holiday comps, And at least 4 comps that like universal, can just be given out and the cast member does not need to be present for them to be used. Universal does not have anything like a main gate pass.

                        Comment


                        • #13
                          Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                          I can't help to roll my eyes at the quote, "It is more generous than they have been in the past" in that article. I'm not going to bow down, or praise Disney for something that should have already been done.

                          These employees deserve the raise and honestly shouldn't have to wait for the slow increase over the course of two years. All major theme park employees deserve at least the $10 and should try to do similar benefits. Guess that can't happen, but it would be nice.

                          Comment


                          • #14
                            Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                            Originally posted by jcruise86 View Post
                            . . . [The] April Bloomberg article stated:

                            "
                            Disney also told the unions it wants to stop offering pensions to new hourly employees starting in 2016. New hires would be offered a 3 percent company match to a 401(k)-style retirement plan, said Dalton. The company doesn’t currently contribute to that plan. . .

                            I don't know much about corporate retirement plans.

                            While any matching sounds good to me, is 3% a typical corporate rate?
                            How does a retirement plan differ from a pension, and why did Chambers say a union will oppose Disney's proposed plan? Who is Chambers? (In 50 words or more, please.)

                            Do any of you Micechatters, Micereaders or Mice-researchers know
                            about Starbucks', Trader Joe's' &/or Costco's plans?
                            How about Wal-mart's, McDonald's' &/or Universal's?

                            This is a job for "The Googler!"

                            Comment


                            • #15
                              Re: Will Universal's $9 per hour cause Disney to pay more than $8.03 per hour?

                              I know a number of ex CMs who went to Universal.

                              Universal pays more, and let those ex CMs have a better choice of position. It didn't give them enough hours so they needed a second job. It was more fun, less strict than Disney, so they don't work as hard at satisfying guests.
                              Be Cool Stay in School!
                              Next year I'm trying for a summer internship at Stark Industries.

                              Comment

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