“It is pure fantasy to think that the tax bill will lead to significantly higher wages and growth.” – New York City Mayor Michael Bloomberg
Well, not so fast…some corporations are already promising bonuses and reinvestments following implementation of the GOP tax bill.
AT&T announced in a press release Wednesday that once the bill is signed into law, it plans to “invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees.” The bonus will be paid to all union-represented, non-management and front-line managers. The telecommunications company says employees will receive the bonus over the holidays if Trump signs the bill before Christmas. The company also increased its capital expenditures budget by $1 billion in the U.S.
Boeing also says that it will earmark $300 million for “employee-related and charitable investment” as a result of the tax cuts to “support our heroes, our homes, and our future”—though the company did not provide any further details.
According to CNBC, Fifth Third Bancorp plans to “raise its minimum hourly wage for all employees to $15, and distribute a one-time bonus of $1,000 for more than 13,500 employees” following passage of the bill. Also:
CVS: Hire 3,000 workers
FedEx: Increase hiring
Wells Fargo: Minimum wage to $15; $400M to nonprofits