Disney employees who moved for work asked to return after project cancellation, now they’re suing

Employees are suing the Walt Disney Company, alleging the company moved its jobs from California to Florida for the sole purpose of canceling the project. Maria De La Cruz and George Fong, who work in the company’s product design division, say they were forced to move twice, which took a toll on them financially and emotionally. The lawsuit filed in California Superior Court claims 250 other employees are in the same situation. The duo, who are seeking unspecified damages from their employer, hope other plaintiffs will join them, Fortune reported.

This is the story of Disney’s false promises

In 2021, former Disney CEO Bob Chapek announced the transfer of approximately 2,000 positions from California to Florida. The workers were supposed to move to the Lake Nona office complex, which was estimated to cost $1 billion to build. The complaint alleges that at the time, the company “made it clear that employees who refused to relocate would lose their jobs.”

However, in May 2023, CEO Bob Iger returned, after Chapek was fired, and the company’s plans changed. Upon his return, Disney canceled the Lake Nona office complex citing “new leadership and changing business conditions.”

Employees were informed of the cancellation amid the company’s legal and political battle with Republican Gov. Ron DeSantis, which has now been settled.

However, in the complaint, staff claims they relied on Disney’s claims and incurred significant moving costs. The plaintiffs even sold the family home to buy new homes in Florida.

The complaint also alleges that Disney misrepresented and hid its true plans for the Lake Nona project, thereby harming employees, financially and otherwise. The suit seeks an unspecified amount in damages.

The company responsible for developing the land in Lake Nona confirmed that Disney still owns the 60 acres it purchased for the new corporate campus, CNN reported. However, it’s unclear what Disney plans to do with it.

Here’s how Disney’s decision impacted workers

The plaintiffs, De La Cruz, vice president of product design, and Fong, creative director, claim they suffered significant losses due to Disney’s decision.

According to the complaint, in 2022, Fong sold his beloved childhood home in Los Angeles to move to Florida. He says he slept in a hotel until his house in Orlando was ready. However, less than six months later, Fong was informed that the Lake Nona project had been canceled and that he would have to return to California if he wanted to maintain his role.

Fong lost the family home and was left with a seemingly unsellable house in Florida. He listed the property twice and failed to sell due to lack of offers, the complaint adds.

The other plaintiff, De La Cruz, shares a similar story to Fong. In May 2022, De La Cruz sold her home in Altadena and moved to Florida with her family. De La Cruz is also in the process of returning to California to continue serving in the company’s Glendale offices.

Both plaintiffs claim that Disney’s actions caused them immense distress and financial loss. The allegations include concealment, intentional misrepresentation, negligent misrepresentation and solicitation of employees through false statements.