Disney is facing backlash after it was revealed that the company was donating funds to Florida's 'Don't Say Gay' bill.
The entertainment and theme park giant has been under fire for failing to take a public stand against the measure, which opponents of the legislation say will harm the lesbian, gay, transgender and queer community.
The company employs more than 65,000 people at the sprawling Walt Disney World resort in Orlando.
Staff at Disney-owned Pixar Animation Studios said they were "disappointed, hurt, afraid and angry" over their company's silence on the Florida legislation.
Employees joined with advocacy groups such as Color of Change in calling on Disney to withdraw funding from politicians who support the Florida bill.
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The Florida Senate passed the legislation Tuesday which would prohibit classroom discussion of sexual orientation or gender identity in the state's primary schools, but also prohibits teachings "not age appropriate" for other grades.
The measure, which its opponents labeled the "Don't Say Gay" bill, passed the state House last month and is headed to Governor Ron DeSantis for approval. DeSantis has indicated his support for the measure.
As a result of the rebuke, the entertainment and theme park giant has is pausing all political donations in Florida, Chief Executive Bob Chapek said in a memo to staff.
"It is clear that this is not just an issue about a bill in Florida, but instead yet another challenge to basic human rights," he wrote in an email, published by Variety.
"You needed me to be a stronger ally in the fight for equal rights and I let you down. I am sorry."
Chapek said Disney would be bolstering its support for campaigns aimed at preventing similar legislation in other states as part of an effort to "ensure our advocacy better reflects our values."
"And today, we are pausing all political donations in the state of Florida pending this review."
Chapek said the company had to do more, but insisted he had the backs of sexual minority staff.
"I truly believe we are an infinitely better and stronger company because of our LGBTQ+ community.
"I missed the mark in this case but am an ally you can count on, and I will be an outspoken champion for the protections, visibility, and opportunity you deserve."
Chapek thanked the company's employees for "sharing your pain, frustration and sadness" over the company’s response. "I missed the mark in this case," he wrote to employees.
"But am an ally you can count on,and I will be an outspoken champion for the protections, visibility, and opportunity you deserve."
Disney pledged to increase support for advocacy groups to combat similar legislation in other states. It also is re-examining its political contributions.
The Florida legislation, championed by possible presidential nominee Governor Ron DeSantis, is part of nationwide effort by Republicans who feel they are wresting back control from liberal policies they say undermine traditional family values.
Similar moves are afoot in other Republican-led or Republican-leaning states, chiefly in the south.
They include a plan by Texas Governor Greg Abbott to label as "child abuse" medical treatments considered in progressive states to be standard care for transgender teenagers.
(With inputs from agencies)