Since the corporate tax rate was reduced to 21 percent, down from 35 percent, many companies have made huge changes to benefit their employees. Here are a few of them:
- Announced a $200 million investment to increase employee pay. Plus it will donate $1.5 billion toward it’s employee pension plan.
- The are giving 1,000 non-management and union-represented employees bonuses of $150.
- Giving more than 200,000 of its U.S. workers who are union members a special bonus of $1,000. The company also increased its capital expenditures budget by $1 billion in the United States.
Express Employment Professionals
- Nonexecutive employees in Oklahoma City will each receive a $2,000 bonus.
- 2000 employees will receive $1,000 bonus.
Bank Of America
- About 145,000 employees will receive the $1,000 bonus.
- Is paying $1,000 to every full-time and part-time employee. Do not know how many workers would be covered, but a filing a year ago listed 53,500 full-time employees. In addition to the bonuses, Southwest says it will give an additional $5 million to charities and will buy more aircraft from Boeing, meaning more jobs.
- $1,ooo bonus to each of 130,000 employees, a total cost of about $130 million.
Fifth Third Bank
- Will raise its hourly wage to $15 and pay over 13,000 employees a one-time bonus of $1,000.
- Plans to invest $300 million into workforce development, charitable giving and it’s facilities.
- Will give $1,000 to more than 100,000 of its employees. Plus would invest $50 billion over the next five years in infrastructure and hire thousands more employees
- Will double its 401(k) match from 50% to 100% It will also make a one-time contribution of $500 to all employees in the plan, as part of what the company says will be a $250 million overall investment
- year-end bonuses to all employees. (Approx. 450 – 500 employees)
Gate City Bank
- 538 employees will receive $1,000 bonus. The bank will donate an extra $500,000 to charity, and will also provide $500,000 in free home appraisals.
Sinclair Broadcast Group
- $1,000 bonus to its nearly 9,000 full-time and part-time employees
- They will raise the minimum wage for its team members to $15 per hour and earmark $400 million for philanthropic initiatives in 2018
- $1,000 will be given to all full-time employees and a $250 cash payment to all part-time employees. They made a donation of $32 million of appreciated stock to The Commerce Bancshares Foundation (including $25 million in the fourth quarter 2017).
- Will give each of its 2,000 employees a one-time bonus of $100 for every year they have been employed with the company.
Citizens Financial Group
- Giving about 12,500 employees a one-time cash bonus of $1,000.
- $1,000 bonuses to all of its full-time employees in Nebraska, Kansas and Missouri.
- All employees (except for senior managers) who have been with the company for at least six months will receive the $1,000 bonus. Those employed less than six months will get $500.
Aquesta Financial Holdings
- Bonus of $1,000 to all employees and an increase of minimum wage to $15 per hour.
TCF Financial Corp
- Will provide approximately $5 million in one-time bonuses to employees, $1,000 to full-time workers and $500 to part-timers. Additionally, TCF will donate $5 million to TCF Foundation and double the matching contributions for charities to which its employees donate.
- They will raise its minimum wage to $15 an hour, pay a one-time bonus of $1,000 to nearly 60,000 employees and make a one-time contribution of $150 million to the U.S. Bank Foundation.
- Provide bonuses of $1,000 and increase the 401(k) matching rate from 50 percent on the first six percent of employee contribution to 50 percent of the first seven percent of their employee contribution.
Kansas City Southern
- one-time $1,000 bonus
- one-time $1,000 gift to its approximately 6,600 employees
- raise its hourly pay rate from $12 to $15 per hour, plus provide a one-time $1,200 bonus. The bank also announced it will give back to the community by donating $100 million to its philanthropic fund to support charitable organizations.
Turning Point Brands
- Will deliver $1,000 bonuses to 107 employees.
Flood Insurance Agency
- $1,000 bonuses for all 17 full time permanent employees.
- raise its minimum wage to $15 per hour by year’s end, affecting 25 percent of its workforce. It said it would increase its capital expenditures by $100 million, or 50 percent and contribute $40 million to the company’s charitable foundation to support financial education, job training, economic development and affordable housing.
Summit State Bank
- $2,000 bonuses to its non-executive employees.
Harbor One Bank
- Raising its minimum wage to $15 per hour, and paying $500 bonuses to more than 600 employees.
Copperleaf Assisted Living
- Will give its 175 employees bonuses up to $600.
- Will pay its U.S. hourly workers a one-time bonus of up to $1,000.
- Has approximately 6,700 employees nationwide and will pay $1,000 bonus.
- Has 185 full-time and part-time employees and will pay $1,000 bonus.
- Raising the minimum wage to $11 an hour and handing out $1,000 bonuses.
Why It Matters
President Trump passed the tax reform Bill, and signed it into law on December 22. Businesses responded with giving out bonuses, raising their minimum wage, or raising the percentage they pay out for 401(k) Which the President responds by a tweet:
Companies are giving big bonuses to their workers because of the Tax Cut Bill. Really great!
— Donald J. Trump (@realDonaldTrump) January 2, 2018
Unfortunately Nancy Pelosi and Debbie Wasserman Schultz do not think that $1,ooo bonuses to American workers is worth while.
House Minority Leader Nancy Pelosi repeated her complaint that it was just a “crumb,” and that corporate “fat cats” will get so much more. And the former Democratic Party chief Rep. Debbie Wasserman Schultz dismissed $1,000 bonuses as chump change what won’t be worth much when taxed.
Their comments were captured by the conservative group America Rising Squared:
It just shows how out of touch with the American worker those women really are.