The Dismissal Of The Walt Disney Co (NYSE:DIS) Layoffs Lawsuit Was A Blow To The Former Workers

Unlike what they expected Leo Perrero and Dena Moore, the plaintiffs who are challenging the Walt Disney Co (NYSE:DIS) layoffs did not find any favor with the courts. The two, who were laid off early in 2015 from jobs with Disney in Orlando claimed that their employer had colluded with two contractors to make false statements when they applied for temporary visas.

However, Judge Gregory A. Presnell of the U.S District Court in Orlando could hear none of their dispute. He instead dismissed the lawsuit citing their evidence was not robust enough to sustain the case. The former workers’ cases held onto an argument that the companies had violated clauses of the visa law.

Disney layoffs: Two Companies Feature in the suit

Cognizant Technology Solutions and HCL America were featured in the Disney layoffs lawsuit as compliances. But did they collude with the Disney as claimed by the two plaintiffs? In their final weeks on the job, both Perrero and Moore were required to present foreigners on H-1B visas how to go about their work. Apparently, these immigrants had been brought in by the outsourcing contractors.


But on the other hand, it is a requirement by law for large outsourcing companies that employ many H-1B workers to give certification of those workers though this happens based on circumstances. So who is fooling who in this entire roundup of events? Is it likely that the duo was denied justice?

In what seemed like defense, Jacquee Wahler, a spokeswoman for Walt Disney Parks and Resorts said, “As we have stated all along, this lawsuit was completely baseless, and we are gratified by the decision.”

Small window to amend the lawsuit

The court’s decision was a win for both Disney and its contractors. However, Sara Blackwell, the Disney workers’ lawyer saif that it was a disgrace given that she viewed the court as the best legal avenue that could protect the American citizens. Nonetheless, Judge Presnell gave room for another trial.

The Disney layoffs are not a surprise. The company seems to be using a layoff strategy having laid-off about 250 people from its Glendale-based consumer products and interactive media unit. This represents close to 5% reduction in the unit’s workforce.

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