Arkansas is benefiting greatly from the Tax Cuts and Jobs Act enacted by Republicans in 2017:
207,210 Arkansas households are benefiting from the TCJA’s doubling of the child tax credit.
Every income group in every Arkansas congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.
951,010 Arkansas households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.
41,130 Arkansas households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.
Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Arkansas residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, at least six Arkansas utilities reduced their customers’ bills (see below).
Thanks to the tax cuts, Arkansas businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:
Bean Counter Farm (Fayetteville, Arkansas) – Hiring new employees, new investments:
Additional hiring is in store for bookkeeping franchise Bean Counter Farm, according to Chief Operating Officer Tom Porterfield. “We also plan to invest in target marketing to the franchise industry,” he said. – April 17, 2018, @ Our Franchise article excerpt
Entergy Arkansas (Little Rock, Arkansas) – The utility is passing along tax savings to customers:
Customer bill credits will begin in April so customers will begin to benefit almost immediately and prior to summer when usage is typically higher.
Residential customers will see a savings of an estimated $20 per month for every 1000 kWh consumed from April 2018 to December 2019.
Business customers also will see significant bill reductions, allowing them to reinvest those savings into their business in 2018 as they deem appropriate.
Other effects of the TCJA are being considered in a docket opened by the APSC, and we expect those customer benefits to be reflected in future rate changes. – February 28, 2018 Entergy Arkansas press release excerpt
Center Point Energy (Jonesboro, Arkansas) – The utility is passing along tax savings to customers:
CenterPoint Energy, the largest natural gas utility in the state with more than 400,000 customers, has proposed to reduce its rates by $19.2 million beginning in October.
CenterPoint filed the request with the Arkansas Public Service Commission on Friday in response to an order by the commission to reduce rates as a result of the federal tax law change passed in December. Congress passed the Tax Cuts and Jobs Act that reduced the corporate tax rate from 35 percent to 21 percent.
If the commission approves the lowered rate, Houston-based CenterPoint’s rates would drop 9.5 percent on bills from October to January and 7.3 percent in January. For a customer with a bill of $100, it would fall to $90.50 under the first scenario and to $92.70 under the second scenario.
“Tax reform is a win for customers and reduced costs are being returned to them through various mechanisms or rate proceedings within each of our operating jurisdictions,” said Alicia Dixon, CenterPoint’s spokesman. – August 28, 2018, Northwest Arkansas Democrat Gazette article excerpt
Black Hills Energy (Rapid City, South Dakota) – The utility is passing along tax savings to customers:
Arkansas customers served by Black Hills Energy are seeing the benefits of the federal corporate tax rate reduction from 35 percent to 21 percent. These benefits first appeared on customers’ October 2018 bills. A typical residential customer will receive a monthly refund of about $4.64 per month ending in the middle of May 2019.
The total amount of cost-savings related to the Tax Cuts and Jobs Act for Arkansas customers is $8.2 million. – Black Hills Energy website
Oklahoma Gas & Electric (Oklahoma City, Oklahoma) – The utility is passing along tax savings to customers:
OG&E today announced that its average Arkansas residential customer will see approximately $113 in savings on upcoming electric bills.
In October, customers will see a credit of approximately $57 on their electric bill. Then, beginning in November, customers will see a credit of approximately $4 per month through the end of 2019. The savings are made possible by the reduction in corporate tax rates approved by Congress and signed by President Trump in December 2017.
“We’re pleased to pass on to our customers the benefits of tax savings that resulted from the Tax Cuts and Jobs Act,” said OG&E spokesman Brian Alford.
The credit will be noted on October bills as “Tax Cuts and Jobs Act Credit.” – Oklahoma Gas & Electric press release
Arkansas Oklahoma Gas (Fort Smith, Arkansas) – The utility is passing along tax savings to customers:
The purpose of this rider is to provide customers with certain tax benefits associated with the Tax Cuts and Jobs Act of 2017 (TCJA). The TCJA reduces the maximum corporate income tax rate from 35% to 21% beginning January 1, 2018. TA flows back to customers the net impact of the lower corporate income tax rate that includes annual tax savings, as well as changes to Accumulated Deferred Income Tax (ADIT) amounts. An adjustment for WNA impact for January 2018 through April 2018 will be included in the 2018 TA Rates.
TA applies to all natural gas service provided under any rate schedule, including rates under Special Contracts, subject to the jurisdiction of the Arkansas Public Service Commission.
Monthly credits shall appear as a line item on the bill titled, “Tax Cuts & Jobs Act Credit.”
Beginning with the November 2018 billing month through the December 2018 billing month, all retail base rates will be decreased by the amounts listed in Attachment A. The rates include carrying charges, calculated using the pre-tax rate of return approved in the Company’s most recent rate case in Docket No. 13-078-U, for the over collection in tax expense from January 1, 2018 until the date this rider became effective. – October 9, 2018 Arkansas Public Service Commission document
Southwestern Electric Power Company (Little Rock, Arkansas) – The utility is passing along tax savings to customers:
On January 31, 2020, Southwestern Electric Power Company (SWEPCO) filed with the Arkansas Public Service Commission (Commission) proposed revisions to Rate Schedule 49, Federal Tax Cut Adjustment Rider (FTCA Rider) and the Supplemental Direct Testimony and Exhibits of Shawnna G. Jones.
Ms. Jones testifies that the total true-up amount due to Arkansas retail customers is an additional refund of $s,866,955 with carrying charges in the true up resulting in an additional refund of $321,726. She requests that the Commission approve Rider FTCA to be in effect for the March 2020 billing month that begins on February 28, 2020. Other than the true-up revisions to Rider FTCA, Ms. Jones testifies that SWEPCO proposes additional language to Rider FTCA that any residual amounts, after the refund is applied in March 2020, will be included in SWEPCO’s next Energy Cost Recovery Rider filing with interest. Ms. Jones testifies that the bill impact to an average Residential customer using 934 kWh per month is a credit of $22.91 or a 23.28 percent decrease to total monthly bill. She states that SWEPCO will reflect the true-up as a separate line item on the customer bills labeled “Tax Cuts & Jobs Credit.” Jones Supplemental Direct at 6-9.
On the basis of the evidence currently before the Commission, namely, the testimony and exhibits filed herein by SWEPCO and Staff, the Commission approves SWEPCO’s Rate Schedule No. 49 filed on January 31, 2020, as Supplemental Direct Exhibit SGJ-2, to become effective for bills rendered on or after February 28, 2020, and remain in effect until March 31, 2020. – February 5, 2020 Arkansas Public Service Commission document
Jetton General Contracting (Jonesboro, Arkansas) — The contracting company has built a number of “micro-lofts” in the Opportunity Zones:
“Just about any type of business can qualify in an Opportunity Zone, as can property and equipment. The only businesses that don’t qualify on the front end are so-called “sin” businesses such as massage parlors, strip clubs, country clubs, golf courses and others.
Jetton General Contracting has built a number of downtown “micro-lofts” that are small, modern loft-style apartments suited for college students, she said. The downtown area has about 130 lofts and other apartments.” — February 27, 2020 Talk Business article
Arkopolis Properties (Little Rock, Arkansas) — The company is building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:
A real estate investment and development group said Wednesday that it will spend some $20 million in the first phase of developing 41 acres of riverfront property in North Little Rock into a mix of “resort-style” apartments, single- and multifamily homes, retail shops and a hotel.
The first phase, with groundbreaking set in early January, will consist of the construction of 92 one- and two-bedroom apartments and infrastructure, said Blake Jackson, who with his brother Edward are managing members of Monde Group and other companies behind what will be called the Esplanade District. All permits and financing have been acquired, he said. Monde is based in Maumelle.
The Jacksons, through their Arkopolis Properties LLC of Maumelle, own 41 wooded acres along the Arkansas River, just west of the relatively new Rockwater Village and Rockwater Marina and east of Emerald Park.
The first phase of construction begins next month on 7 of those acres, providing utility services and other infrastructure needs for 92 apartment homes that the Jacksons hope will open in the first quarter of 2021, if weather doesn’t interfere. The first phase also includes construction of Esplanade Circle, the main roadway into the development just off River Road.
Other planned phases of the project — including a boutique hotel, condominiums, single-family homes, multifamily residential buildings and small retailers — will take place over the next 10 to 15 years, Blake Jackson said. The apartments in the first phase will be rental; housing in other phases will be for sale, he said.
“With Rockwater Village and Riverside at Rockwater [apartments] nearby, we already have a community of a thousand people,” he said.
A price tag for the entire project depends on a lot of factors and isn’t available now, he said. The order of each phase also will depend on the market, he said.
The Jacksons formed Arkopolis Opportunity Fund LLC, making use of a tax break on capital gains set up within the federal Tax Cuts and Jobs Act of 2017.
Gov. Asa Hutchinson identified 85 census tracts in the state, including the one for the Esplanade site, where investors can have their taxes on capital gains deferred or eliminated. The program is aimed at encouraging longterm private investment in low-income communities and neighborhoods by providing a tax incentive for those who reinvest unrealized capital gains into those zones.
“I think it’s a great opportunity for Arkansas and for our local communities,” Hutchinson said in April 2018 when he identified the Arkansas zones ultimately approved for the program by the U.S. Treasury Department. “We tried to mirror the designated census tracts with the most likely area of investments. We relied on priorities set by local economic development leaders and sometimes based on the information of an investor who’d say, ‘This is what I want to invest in.’”
According to census data and an analysis by the Economic Innovation Group, a Washington, D.C., group that pushed for the Opportunity Zone program, the 8,762 zones in the nation have a median household income of $33,345, an average poverty rate of 31.75%, and an average unemployment rate of 13.41%. — December 19, 2019 Arkansas Democrat Gazette article
Big River Steel (Osceola, Arkansas) – $1.2 bill expansion and hiring 500 new employees:
Big River Steel is investing $1.2 billion in expansion and creating an additional 500 jobs. That means more opportunity for American workers.
A spokesman for the state notes the jobs will pay on average about $75,000 annually. – June 29, 2018 Arkansas Times article excerpt
Monde Group (North Little Rock, Arkansas) — The company is building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:
Arkansas-based Monde Group broke ground Wednesday (Jan. 8) on the Esplanade District, a 41-acre mixed-use neighborhood development in North Little Rock along the Arkansas River. It is located adjacent to Rockwater Village and Riverside at Rockwater Apartments.
The first phase includes the construction of Esplanade luxury apartment homes, which will feature 92 one- and two-bedroom units, all with private balconies or patios. The property, which is expected to cost about $20 million to develop, is scheduled to open in early 2021.
“Esplanade will offer a unique living experience unlike any other in central Arkansas,” said Blake Jackson founder and managing partner of the Monde Group. “In addition to our premiere valet services and enhanced security features, our property will also feature a spa, fitness center, bicycle lockers, beach, swim-up bar, entertainment and lush gardens.”
Future costs of the acreage to be developed are unknown. Over the next 10-15 years, Jackson said the development will include restaurants, bars and specialty shops with condos, single-family homes and a boutique hotel.
“We really see Esplanade as the first step on a new path to modern living in central Arkansas,” Jackson said. “With close proximity to parks, golf courses, the millennium bike trail, Rockwater Marina, the Argenta Arts District, downtown Little Rock, North Little Rock, and the Clinton National Airport, Esplanade will boast the first significant phase of what will be a multi-phase community development and continue the momentum of Rockwater Village and North Little Rock’s building renaissance.” — January 8, 2020 Talk Business article
Walmart (Headquarters in Bentonville plus 132 retail locations statewide) – Base wage increase for all hourly employees to $11; bonuses of up to $1,000; expanded maternity and parental leave; $5,000 for adoption expenses:
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.
“Today, we are building on investments we’ve been making in associates, in their wages and skills development,” said Doug McMillon, Walmart president and CEO. “It’s our people who make the difference and we appreciate how they work hard to make every day easier for busy families.”
He added, “We are early in the stages of assessing the opportunities tax reform creates for us to invest in our customers and associates and to further strengthen our business, all of which should benefit our shareholders. However, some guiding themes are clear and consistent with how we’ve been investing — lower prices for customers, better wages and training for associates and investments in the future of our company, including in technology. Tax reform gives us the opportunity to be more competitive globally and to accelerate plans for the U.S.”
This increase in wages to associates will take effect in February and will be approximately $300 million incremental to what was already included in next fiscal year’s plan. The one-time bonus represents an additional payment to associates of approximately $400 million in the current fiscal year, which ends Jan. 31, 2018.
While the new law will create some financial benefit for the company, Walmart is early in the process of assessing potential additional investments. That assessment will be done not only through the lens of associates, customers and shareholders, but also within Walmart’s financial framework of strong, efficient growth, consistent operating discipline and strategic capital allocation. Further details will be shared, as appropriate, when the company releases quarterly results Feb. 20, 2018.
Associates will hear more from their managers in the coming days about details.
But, broadly, associates in the U.S. will share in tax savings through:
· A one-time bonus benefiting all eligible full and part-time hourly associates in the U.S. The amount of the bonus will be based on length of service, with associates with at least 20 years qualifying for $1,000. A discrete one-time charge will be taken in the fourth quarter of the current year to account for the bonus; qualification will be determined before the end of the month and payments will be paid as quickly as practical thereafter.
· An increase in Walmart’s starting wage rate to $11 an hour, effective in the Feb. 17, 2018, pay cycle. The change is in addition to wage increases already planned for many U.S. markets in the coming fiscal year. The increase applies to all hourly associates in the U.S., including stores, Sam’s Clubs, eCommerce, logistics and Home Office.
· An expanded parental and maternity leave policy, providing full-time hourly associates in the U.S. with 10 weeks of paid maternity leave and six weeks of paid parental leave. Salaried associates will also receive six weeks of paid parental leave.
· Walmart will provide financial assistance to associates adopting a child. The adoption benefit, available to both full-time hourly and salaried associates, will total $5,000 per child and may be used for expenses such as adoption agency fees, translation fees and legal or court costs. – Jan. 11 2018, Walmart press release
Tyson Foods, Inc, (Springdale, Arkansas) — 100,000 employees will receive a tax reform bonuses: $1,000 for full-time employees and $500 for part-time employees.
Peoples Bank (Magnolia, Arkansas) — $500 bonuses and $50,000 in charitable donations.
Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.
Once tax reform is signed into law, AT&T* 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 — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.
“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”
Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. — Dec. 20, 2017 AT&T Inc. press release
Apple (Retail location in Little Rock) – $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing.
Bank of the Ozarks (Little Rock, Arkansas) – Bonuses of up to $1,200 for 2,300 employees
“Recently signed U.S. corporate tax legislation has given us the opportunity to enhance current compensation programs for our employees. This bonus plan rewards hard work and performance while promoting our longstanding commitment to excellence which has driven our Company’s success for decades.” – Dec. 28, 2017 Bank of the Ozarks press release
Diamond Bear Brewery (Little Rock, Arkansas) – The brewery saved over $10,000 because of the Tax Cuts and Jobs Act and invested it in employees and equipment:
Russ Melton, president of Diamond Bear Brewing, said the Craft Beverage Modernization and Tax Reform Act is a big relief for his business.
“It lowered it from $7 per barrel which is 31 gallons to $3.50 a barrel,” he said.
He said it’s allowed him to save thousands every year.
“Doesn’t sound like a lot but if you do 3,000 barrels that’s $10,000,” Melton said.
That’s 10-thousand dollars that can be used on employees or equipment.
“It is a big help for small businesses,” he said. – Dec. 18, 2019, THV11 article.
Great Southern Wood Preserving, Incorporated, has begun an active and ongoing process to increase employee benefits by reinvesting its tax savings in its people, the company has announced. The company expects full implementation to take place in 2018.
In late 2017, Congress passed and the President signed into law legislation providing significant tax breaks for corporations. Across America, many companies have chosen a variety of options for applying these savings, such as providing one-time bonuses to employees, increasing charitable giving and reinvesting in facilities upgrades.
For its part, Great Southern Wood will make investments on an ongoing basis to lower healthcare costs for eligible employees, allow employees to accrue more paid time off based on length of service, develop scholarships for dependents of employees and enhance other benefits going forward.
“I’m very pleased that every employee across the company will see the results of the change in tax laws,” said Jimmy Rane, Great Southern Wood’s founder, president and CEO. “The success we’ve enjoyed as a company comes from every one of us working hard and doing our part, and I can’t think of a better way to apply our tax savings than by further investing in benefits programs for our employees. We strive to be an employer that draws the best and brightest to our company, and we believe that providing stronger benefits is essential to this continuing effort.”
Great Southern employs almost 1,200 at locations in eleven states. [Texas, Missouri, Arkansas, Georgia, Alabama, Mississippi, Louisiana, Pennsylvania, Virginia, Maryland, Florida] — March 29, 2018 Great Southern Wood Preserving, Inc. press release
Home Bancshares, Inc. (Conway, Arkansas) – $500 bonuses for 850 employees:
Home BancShares, Inc. (Nasdaq:HOMB) (“Home” or “the Company”), parent company of Centennial Bank (“Centennial”), announced plans today to distribute a one-time bonus of $500 for more than 850 full-time tenured employees. The actions are in appreciation for the commitment employees show in supporting customers and building stronger communities.
“We are investing in our most important asset – our people,” said John Allison, Home BancShares, Inc. Chairman. “Our employees drive our reputation, our business and ultimately our success. Investing in these individuals is an important step to help support them, their families and the communities in which we operate.”
Newly passed tax legislation includes a reduction in corporate tax rates from 35% to 21% and is designed to spur economic growth.
“The tax reform has created the opportunity for us to reward our employees who are working hard each day to both serve our customers and enrich relationships in our communities,” added Mr. Allison. “We look forward to identifying additional opportunities for Home BancShares to invest in our people and communities as we continue to execute our business strategies and deliver long-term value to our shareholders.”
“We believe tax reform is good for our U.S. economy and we are very happy to share with our valuable team members some portion of the benefits Home BancShares will realize by the enactment of the recent tax reform,” said Tracy French, Centennial Bank President and CEO.
Approximately 53 percent of full-time employees will receive this one-time bonus which is expected to be distributed during January 2018. Employees with base salaries exceeding $50,000 are excluded from this compensation. – Jan. 12, 2018 Home Bancshares, Inc. press release
The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:
- A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally
- An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally
- Instituting paid parental leave for eligible Associates in the U.S.
- Enhancing vacation benefits for certain U.S. Associates
Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving – Feb. 28, 2018 The TJX Companies Inc. press release excerpt
FedEx (Multiple locations in Arkansas) – Accelerated and increased compensation; pension plan contributions:
“FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:
- 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.
- 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.
- Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.
FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. – Jan. 26, 2018 FedEx press release
Taco John’s International, Inc. announced today that in response to the 2018 Tax Cut and Jobs Act, the company gave part of its projected tax savings to its restaurant crews, general managers, corporate staff and CORE (Children of Restaurant Employees).
On Friday, Feb. 23, Taco John’s International, Inc.’s employees received a one-time bonus, as follows:
- Every restaurant crew member – full-time and part-time – received $200 (after taxes);
- General managers and employees at the Taco John’s Franchisee Support Center in Cheyenne received $1,000 each; and,
- The Executive Council of Taco John’s International, Inc. (Vice Presidents and above) donated their $1,000 bonuses (a total of $10,000) to CORE, a national not-for-profit organization that grants support to children of food and beverage service employees who are navigating life-altering circumstances.
“At Taco John’s International, our team is our family, so sharing the financial benefits that were a result of the recent tax reform legislation only makes sense,” said Jim Creel, CEO of Taco John’s International, Inc. “We encourage other restaurant brands to follow our example and give a portion of their savings to the people that are at the heart of what we do and to great organizations like CORE that support our crew. One hundred percent of CORE’s funds directly benefit children of restaurant employees who have been afflicted with life-threating conditions.”
“We are so grateful to the Taco John’s team for their generous donation to our CORE family members,” said Lauren LaViola, executive director of CORE. “Donations like theirs help us provide for our food and beverage service families experiencing loss, illness and other life-changing circumstances, and help us get closer to our goal of helping even more families across all 50 states in 2018.”
The total amount that Taco John’s International, Inc. gave exceeded $150,000.00. – Feb. 28, 2018 Taco John’s International, Inc. press release
McDonald’s (180+ locations in Arkansas) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:
McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.
The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.
“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”
Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:
- Increased Tuition Investment:
- Crew: Eligible crew will have access to $2,500/year, up from $700/year.
- Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
- Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
- Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
- Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
- Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
- Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.
“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”
After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt
BancorpSouth Bank (44 branch locations in Arkansas) Pay raises for over 70 percent of employees; $1,000 bonuses for nearly 20 percent of employees:
BancorpSouth Bank (NYSE: BXS) today announced an additional investment in its employees, which includes pay increases and /or one-time bonuses to nearly all non-commissioned employees.
The investment of over $10 million in 2018 will benefit 96% of the Company’s non-commissioned workforce. Pay increases were effective January 1, 2018.
“We are proud to reward our team with this opportunity since the Tax Cuts and Jobs Act should benefit everyone” said Dan Rollins, Chairman and CEO. “BancorpSouth’s continued and future success is based on the economic vitality of the communities we serve and taking care of our teammates allows us to provide the very best service to our customers, communities and shareholders.” – Jan. 3, 2018 BancorpSouth Bank press release
The increased compensation overall at BancorpSouth affected more than 70 percent of all employees, and provided a $1,000 bonus to nearly 20 percent of all employees.
BancorpSouth employs some 4,000 employees in more than 230 locations in Alabama, Arkansas, Florida, Louisiana, Mississippi, Missouri, Tennessee and Texas, plus an insurance location in Illinois. – Jan. 4, 2018 Daily Journal/BizBuzz article
Bank of America (19 branch locations in Arkansas) — $1,000 bonuses.