DeSantis' actions have been criticized by Disney's CEO as 'anti-business'

The CEO of the Walt Disney Company (DIS.N) retaliated in strong terms on Monday against Florida Republican Governor Ron DeSantis, claiming the governor's apparent retaliation against Disney for making an opinion on a bill was "anti-business."

‍

Despite Disney's initial efforts to stay neutral, Disney has been vocally opposed to Florida's Parental Rights in Education Act, which opponents refer to as "Don't Say Gay", which restricts teachers from discussing sexual orientation and gender identity in the classroom.

‍

It was not long after this that DeSantis and the Florida legislature moved to eliminate the virtual autonomy the company enjoyed over a parcel of 24,000.7 acres (9,712.80 hectares) surrounding the Walt Disney World Resort in Orlando.

‍

At the company's annual shareholder meeting, Disney CEO Bob Iger admitted that the company may have not handled its position on the bill in a well-thought-out manner, but stated that corporations have a right to voice their opinions. DeSantis seemed to have "decided to retaliate against us" as a result of his words, he said.

‍

" It seems to me that it would be wrong for a company to be punished for exercising a constitutional right," Iger said as he reflected upon the situation.

‍

Furthermore, he noted that Disney employs 75,000 people in the state and is expected to welcome 50 million tourists to Disney World in the coming years. The Disney CEO is planning to invest $17 billion in Florida over the next decade, which is expected to create 13,000 additional jobs, and Disney is committed to increasing its investment in Florida.

‍

"Instead of just trying to retaliate against the company for the position the company took, these efforts seem to be anti-business and anti-Florida at the same time," Iger said.

‍

In February, Florida lawmakers approved a bill to grant DeSantis the authority to oversee development in the special taxation district by granting him effective control over the board, which oversees the district's development. In addition to this, the governor signed the bill into law and appointed five supervisors to oversee the areas in which Disney had been operating with a high degree of autonomy.

‍

Before DeSantis' appointees took over the board, Disney had pushed through a number of changes that were aimed at limiting the board's ability to act. As part of his efforts to usurp the authority of the incoming board, DeSantis asked Florida's inspector general to investigate a last-minute attempt by Disney and the outgoing board to "usurp the authority" of the new board on Monday.

‍

"By colluding and self-dealing with each other, these collusive and self-dealing arrangements aim to void recent legislation, undercut Florida's legislative process, and ignore the will of Floridians," DeSantis wrote in a letter seen by Trade Algo.

‍

An attendee of the Disney shareholder meeting said that the company has evolved from being one of the greatest places of magic for children, to one that serves the LGBTQ community ideologically and promotes a "woke agenda."

‍

In response to that criticism, Iger said he was sensitive to it.

‍

"The primary mission of the organization has to be to entertain... to contribute to a better world, and to do this positively," he explained. "This is a very serious matter for me. It should not be driven by a particular agenda."

‍

Disney is committed to providing age-appropriate content for family audiences while also telling stories that reflect the world around us and that foster a greater understanding, greater perspective, and greater acceptance of all people, according to Iger, who acknowledged that "parents have varying levels of comfort" with Disney content.

‍

The 11 candidates for the Disney board of directors, including Iger and chairman Mark Parker, who will succeed departing chairman Susan Arnold at Disney, were backed by the company's shareholders. Parker is also the executive chairman of Nike (NKE.N).

‍

Shareholders rejected a proposal that would have required Disney to report annually on how much of its labor, revenue from theme parks, raw materials, and finished goods are sourced from China.

‍

Furthermore, the company rejected a shareholder proposal that asked the company to provide more information about its charitable donations to the community.