Tax Reform: Millions Of Workers Have Already Benefited

Special Tax Reform Bonuses Have Been Announced For Workers At Hundreds Of Companies Across The Country 

SEN. MITCH McCONNELL (R-KY): “For months now, the headlines have been filled with businesses large and small using tax reform to give workers bonuses, pay raises, and new benefits. … That’s what every Democrat voted against.” (Sen. McConnell, Floor Remarks, 3/14/2018)

Democrats Threaten: ‘We Could Take … That Money’

SEN. CHUCK SCHUMER (D-NY): “But when [the American people] hear that we could take some of that money … I think Americans of all stripes will embrace that policy.” (Sen. Schumer, Floor Remarks, 3/7/2018)

  • SEN. SCHUMER: (D-NY): “So there are much better uses for the money.” (Sen. Schumer, Floor Remarks, 3/8/2018)

Major Companies Which Have Announced Bonuses And Wage Hikes For American Workers Include…

WALMART, 1,000,000+ employees: “Today, Walmart announced plans to increase the starting wage rate for all hourly associates in the U.S. to $11, expand maternity and parental leave benefits and provide a one-time cash bonus for eligible associates of up to $1,000. The company is also creating a new benefit to assist associates with adoption expenses. The combined wage and benefit changes will benefit the company’s more than one million U.S. hourly associates.” (Walmart, Press Release, 1/11/2018)

FEDEX CORPORATION, 400,000+ employees: “FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act: 1) Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance-based incentive plans for salaried personnel. 2) A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country. … more than 400,000 team members…” (FedEx Corporation, Press Release, 1/26/2018)

WELLS FARGO, 250,000+ employees: “Wells Fargo, meanwhile, also said it would be boosting its minimum wage for employees to $15 an hour. The bank alsopo said it would target $400 million in donations to community and nonprofit organizations next year.” (“Wells Fargo, Fifth Third Bancorp Unveil Minimum Wage Hikes After Tax Bill Passage,” CNBC, 12/20/2017)

CVS HEALTH, 240,000+ employees: “…CVS Health today announced three major programs that will enable employees to share in the tax savings created by the U.S. Tax Cuts and Jobs Act. The improvements in employee wages and benefits, which are long-term and sustainable compensation investments, total $425 million annually and create continued growth opportunities for the company and its employees. … CVS Health will increase the starting wage rate for hourly employees to $11 an hour, effective April 2018. … The company is also creating a new paid parental leave program.” (CVS, Press Release, 2/8/2018)

AT&T, 200,000 employees: “AT&T Is Giving $1,000 Bonuses To 200,000 Employees After Tax Bill: AT&T was quick to respond to news of U.S. tax reform, announcing it would give some employees bonuses once the legislation is signed into law. The telecom giant said in a press release Wednesday that it would give more than 200,000 U.S. union members a special bonus of $1,000.” (“AT&T Is Giving $1,000 Bonuses To 200,000 Employees After Tax Bill,” CNBC, 12/20/2017)

DARDEN RESTAURANTS, 175,000+ employees: “Restaurant companies are joining the corporate chorus rushing to praise the tax bill Congress passed last month as Orlando-based Darden Restaurants said the legislation will save it about $70 million. Olive Garden and LongHorn Steakhouse parent company Darden Restaurants said the new tax reform plan will cut taxes by about $70 million in the third quarter. The Orlando-based restaurant chain said Monday the tax cut will prompt it to spend an additional $20 million on its 175,000-plus employees this year…” (“Darden Says Tax Reform Will Save It $70 Million,” Orlando Sentinel, 1/8/2018)

BOEING, 170,000+ employees: “Boeing Chairman, President and Chief Executive Officer Dennis Muilenburg praised the tax bill passed by Congress and about to be signed into law as a critical driver of business, economic growth and innovation for the United States and for Boeing…. While Boeing is still studying all of the provisions of the new legislation, Muilenburg announced immediate commitments for an additional $300 million in investments that will move forward as a result of the new tax law:

  • $100 million for corporate giving, with funds used to support demand for employee gift-match programs and for investments in Boeing's focus areas for charitable giving: in education, in our communities, and for veterans and military personnel.
  • $100 million for workforce development in the form of training, education, and other capabilities development to meet the scale needed for rapidly evolving technologies and expanding markets.
  • $100 million for ‘workplace of the future’ facilities and infrastructure enhancements for Boeing employees.” (Boeing, Press Release, 12/20/2017)

VERIZON, 160,000+ employees: “Verizon says employees (other than top management) will receive 50 shares of restricted stock, the price of which will be set on February 1. The award could total over $400 million, based on Verizon's current share price. Shares traded around $53 a share on Tuesday, after quarterly earnings were released.” (“Verizon Says Many Workers Will Receive Shares Of Stock,” CNBC, 1/23/2018)

STARBUCKS, 150,000+ employees: “Starbucks said Wednesday it will increase wages and enact other perks for more than 150,000 U.S. employees as a direct result of recent tax reform, joining other corporations in rewarding workers.” (“Starbucks To Increase Wages, Improve Benefits For 150K Employees,” Fox Business, 1/24/2018)

  • “Starbucks Corp will use some of the savings from the new U.S. corporate tax cuts to give domestic employees pay raises, company stock and expanded benefits with a combined worth of more than $250 million, the company said on Wednesday. With the announcement, the world’s biggest coffee chain joins companies like Walmart, Apple Inc, Comcast Corp, and American Airlines Group Inc in sharing their tax savings with employees...” (“Starbucks To Boost Pay, Benefits After U.S. Lowers Corporate Taxes,” Reuters, 1/24/2018)

BANK OF AMERICA, 145,000+ employees: “Bank of America will give some of its employees a $1,000 bonus, citing the tax bill that was just signed into law. ‘Beginning in 2018, we will see benefits from the tax reform ... in the form of lower corporate tax rates,’ CEO Brian Moynihan said in an internal memo to employees obtained by CNBC. He also said that about 145,000 employees will receive the bonus.” (“Bank Of America Is Giving Some Employees A $1,000 Bonus, Citing Tax Bill,” CNBC, 12/22/2017)

HONEYWELL, 130,000+ employees: “I am confident in Honeywell's future, and our ability to continue to deliver for our shareowners and our employees. Our strong performance in 2017, together with the enactment of new U.S. tax legislation, has enabled us to increase our 401(k) match in the U.S. This is a sustained, annual benefit that will provide a more secure retirement for our employees.” (Honeywell, Press Release, 1/26/2018)

DISNEY, 125,000+ employees: “Walt Disney Co. said it will give employees a one-time cash bonus of $1,000, joining a growing list of companies handing out awards in the wake of federal tax reform.” (“Disney To Give Employees $1,000 Bonuses In Wake Of Tax Reform,” Bloomberg, 1/23/2018)

  • “Robert A. Iger, Chairman and Chief Executive Officer, The Walt Disney Company, today announced, more than 125,000 eligible employees will receive a one-time $1,000 cash bonus. The Company will also make an initial investment of $50 million in a new and ongoing education program specifically designed to cover tuition costs for hourly employees. The two new initiatives are a result of the recently enacted tax reform and represent a total allocation of more than $175 million in this fiscal year.” (Disney, Press Release, 1/23/2018)

TYSON FOODS, INC., 100,000+ employees: “…we’re investing our federal tax reform savings in the areas we believe will make the biggest difference, including our team members and capital projects. With the more than $300 million in savings we expect to receive, we will: Provide a one-time bonus to more than 100,000 team members whose compensation does not include an annual bonus. Eligible full-time team members will receive $1,000, and eligible part-time team members will receive $500.” (Tyson Foods, Press Release, 2/8/2018)

AMERICAN AIRLINES, 100,000+ employees: “We are pleased to announce that in light of this new tax structure and in recognition of our outstanding team members, American will distribute $1,000 to each team member (excluding Officers) at our mainline and wholly owned regional carriers. These distributions will total approximately $130 million and will be made in the first quarter of 2018.” (American Airlines, Press Release, 1/2/2018)

BEST BUY, 100,000+ employees: “In a letter to employees Friday, CEO Hubert Joly said full-time workers will receive a one-time bonus of $1,000 and part-timers, $500. All permanent employees who are not on an existing bonus plan will receive the additional funds. The bonuses will show up in workers’ paychecks this month. In all, more than 100,000 of Best Buy’s 125,000 employees in the U.S., Mexico and Canada are expected to receive the extra cash.” (“Best Buy Giving Bonuses Because Of Corporate Tax Cuts,” Minneapolis Star Tribune, 2/2/2018)

COMCAST, 100,000+ employees: “Based on the passage of tax reform … Brian L. Roberts, Chairman and CEO of Comcast NBCUniversal, announced that the Company would award special $1,000 bonuses to more than one hundred thousand eligible frontline and non-executive employees.” (Comcast, Press Release, 12/20/2017)

Hundreds Of Other Companies From 1A Auto, Inc. To Zions Bancorporation Have Also Announced Bonuses And Wage Hikes For American Workers


Related Issues: Jobs, Tax Reform, Taxes, Small Business, Middle Class, Economy