Influencing over a quarter-million jobs, Disney is a key player in Florida’s economy.
The Walt Disney World Resort, a major global vacation destination, significantly contributed to Florida’s economy in fiscal year 2022. This was highlighted in a recent study conducted by Oxford Economics and commissioned by Disney, which revealed the resort’s substantial impact across various economic sectors.
This announcement coincides with the attraction industry’s major event, IAAPA Expo 2023, held in Orlando. This event is a significant platform for industry professionals to discuss the future of guest experiences. Additionally, it comes around the 58th anniversary of Walt Disney World Resort’s original “Florida Project” announcement, highlighting the long-standing relationship between Disney and the state of Florida.
Substantial economic impact and job creation
The study detailed that Walt Disney World Resort generated a total statewide economic impact of US$40.3 billion. This significant figure reflects Disney’s influential role in bolstering Florida’s economy. Additionally, the resort’s operations were responsible for creating 263,000 direct and indirect jobs, which translates to 1 out of every 32 jobs in Florida.
Notably, within Central Florida, Disney directly supports 12% of all jobs. For every direct job at Disney, an additional 1.7 jobs are supported across the state. The study also pointed out that without Disney’s statewide job impact, Florida’s unemployment rate could rise from 3% to 5.4%, which would rank it among the highest in the nation.
Financial contributions
Disney’s economic contributions extended beyond job creation, with revenues and visitor spending contributing to a substantial US$12.1 billion in total labor income. Furthermore, the company generated US$6.6 billion in tax revenue, encompassing US$3.1 billion in annual state and local tax revenue. This financial contribution is critical in supporting public services such as local schools, law enforcement, public safety, parks and roadways in Central Florida.
Support for small businesses and local economy
Moreover, the study shed light on the extensive network of small businesses benefiting from Disney’s operations. Over 2,500 Florida-based small businesses and more than 8,500 small businesses across the country are contracted by The Walt Disney Company. These collaborations range from local painters maintaining Cinderella Castle to family-run vendors supplying theme park treats. Moreover, over 160 third-party businesses operate on Disney’s property, offering opportunities for local Florida-based businesses to cater to the millions of visitors to Walt Disney World each year.
Tax contributions and infrastructure support
In fiscal year 2022, Disney paid and collected US$1.1 billion in state and local taxes, contributing significantly to the Central Florida Tourism Oversight District, previously known as the Reedy Creek Improvement District. Established in 1967, this district provides crucial services like power, water, roads and fire protection for Walt Disney World Resort, ensuring the tax burden for these services does not fall on local residents.
Decades of growth and expansion
Walt Disney World Resort’s economic impact follows a decade of significant growth and expansion. This includes the development of new theme park lands, attractions and experiences themed to popular intellectual properties like Star Wars, Toy Story and AVATAR. The resort has also seen the growth of its transportation network with the Disney Skyliner gondola system, new resort hotels and the expansion of the Disney Springs shopping and dining district.
Community contributions and engagement
Disney’s influence extends beyond economic factors, with contributions to 19 local nonprofits amounting to US$1.5 million. In fiscal year 2022, Disney cast members donated over 233,000 volunteer hours in Florida. Additionally, the company plans to accelerate and expand investment in its Experiences segment, with an estimated US$60 billion in capital expenditures over the next decade.
Endorsements from local leaders and business owners
Orlando Mayor Buddy Dyer, Orange County Mayor Jerry Demings and several local business owners have praised Disney’s positive impact on the community and economy. Their endorsements highlight Disney’s role in not only pioneering Orlando’s theme park industry but also in fostering economic growth and opportunities for businesses and individuals in Florida.
Leadership insights
Adam Sacks, President of Tourism Economics, a division of Oxford Economics, emphasized Disney’s vital role as an economic catalyst in Florida. He acknowledged Disney’s significant contributions to the state’s tax revenues, which play a crucial role in funding essential public services.
Jeff Vahle, President of Walt Disney World Resort, expressed pride in Disney’s long-term positive impact on Florida’s economy and community. He highlighted Disney’s role in establishing the region’s theme park industry and its collaboration with other sectors across the state.
In summary, Walt Disney World Resort’s contribution to Florida’s economy and community is multifaceted, encompassing job creation, financial contributions, support for small businesses and community engagement. The resort’s expansive operations and ongoing investments continue to play a pivotal role in shaping Florida’s economic landscape and community development.
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Header Image Courtesy of Freepik
Press release link: https://www.prnewswire.com/news-releases/new-study-disney-generates-40-billion-in-annual-economic-impact-in-florida-and-over-quarter-of-a-million-jobs-301987814.html
