John Kartch

Delaware Examples of Tax Reform Good News

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Posted by John Kartch on Wednesday, March 20th, 2019, 1:15 PM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in Delaware. (Additions to this list can be sent to jkartch@atr.org)

Green Recovery Technologies, LLC (New Castle, Delaware) — $1,000 bonuses for all seven employees:

"We are a startup waste-to-value biochemical company of seven that believes in the direction the country is going and that our best days are ahead of us. These tax reductions benefit our workers by providing an instant no cost wage hike. Paying the bonuses in a low tax environment was an easy decision for GRT since we know that this low cost capital is being invested in the local community where it will be spent on goods and services as well as being by employees into their retirement savings accounts.” — Kenneth Laubsch, President and CEO, Green Recovery Technologies, LLC

Delaware Supermarkets Inc. (Wilmington, Delaware) -- $150 extra bonuses to 1,000 non-management personnel.

“Our ability to provide bonuses and training to our employees demonstrates the far-reaching implications of this tax reform. We have a renewed optimism for the local and the national economy, and this important legislation better positions us for future growth.” – Christopher Kenny, CEO

 “This legislation benefits those of who count on Main Street budgets for our livelihoods, and it’s a privilege to share the benefits with the men and women who work so hard at ShopRite. It makes it possible to succeed in a very competitive industry.” -- Melissa Kenny, director of sales and marketing

Navient (Wilmington, Delaware) – 98% of Navient’s 6,700 employees will receive a $1,000 bonus (approx. 6,566 bonus-eligible employees):

Crediting the new corporate tax rate recently approved by Congress, approximately 98 percent of Navient employees across the country received a $1,000 bonus just before the holidays.

Navient has approximately 6,700 employees nationwide, including more than 900 in Hanover Township, company officials say.

According to a memo from Jack Remondi, Navient president and CEO, the firm announced it will pay a $1,000 bonus to all non-officer employees.

--

Colleen Hughes, an instructional design specialist — she works behind the scenes in the training department — said co-workers “cheered and hollered” when they read their emails.

“And it came right before the holidays,” said Hughes, 33, of Dupont. “I literally started to cry. I was shocked. I have a 3-year-old and I overspent for the holidays. This really helped me out.”

As news of the $1,000 bonuses made its way through Navient, Hughes said people became emotional.

“I know I feel I’m valued that we were even considered,” Hughes said. “We all feel valued by the company — that we all are a valuable asset to the company. So much so that they recognize our talent and dedication.” -- Jan. 2, 2018 Wilkes-Barre Times Leader article excerpts

Mountaire Corporation (Millsboro, Delaware) – $1,000 or $500 bonuses based on length of service; increased 401(k) matches:

Mountaire had an amazing year in 2017. We are blessed with great people and great opportunities. Our performance is outstanding and the blessings of Jesus Christ are all around us to enjoy.

I am very encouraged that the President of the United States and the Republican Congress have reduced taxes for businesses and individuals for 2018. I am extremely excited about what this new change means to our company and all Mountaire employees.

Very soon you should see the impact of the new lower tax rate in your paychecks.

Additionally, because of this new tax reduction, I am pleased to announce that on February 2, 2018, Mountaire is going to pay a one-time discretionary bonus to hourly employees. This bonus will be subject to normal taxes and distributed to all full-time Mountaire hourly and piece rate employees as follows:

  1. $1,000 for all active full-time hourly and piece rate Mountaire employees with more than 180 days of employment as of January 27, 2018.
  2. $500 for all active full-time hourly and piece rate Mountaire employees with between 91 and 179 days of employment as of January 27, 2018.
  3. $500 for all active full-time hourly and piece rate Mountaire employees with between 1 and 90 days of employment as of January 27, 2018. This group of employees will receive their bonus money as soon as they have completed their first 90 days of employment.
     

I have also decided to make significant improvements to our 401k savings plan. Effective November 1, 2018, Mountaire’s 401k match will be increased to 100% of the first 3% invested, and 50% of the next 2% invested. And also, effective November 1, 2018 you will be given immediate vesting on 401k matching monies.

All these improvements are being done because of the Tax Reform and Tax Cut passed by the Republicans in Congress and signed into law by our President.

I am very optimistic about our performance and the future of Mountaire and our country.

May God continue bless us and guide us! -- Jan. 26, 2018 letter to employees from Ronald M. Cameron, Chairman

Delmarva Power (Newark, Delaware) – the utility will pass along tax reform savings to customers:

Tax cuts passed by Congress in December have effectively caused Delmarva Power to reduce its power rate increase request in Delaware by $26 million, the company announced on Friday. – February 9, 2018 Delaware Online excerpt

Harvard Business Services, Inc. (Lewes, Delaware) – $1,000 bonuses for all full-time employees:

“Harvard Business Services, Inc., located in Lewes, Delaware, has just announced it will join many companies nationwide and award all full-time employees with an immediate $1,000 bonus in their next pay check in order to augment their tax savings.

Mike Bell, Vice President and Director of Marketing, announced the bonus, saying, “We appreciate the great job you do, and the dedication you show our clients every day. Keep up the good work.” – Jan. 26 2018, Harvard Business Services, Inc. press release

T.J. Maxx – 3 stores in Delaware – tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and charitable donations:

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:

  • Associates

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

  • Communities

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

Home Depot -- 9 locations in Delaware, bonuses for all hourly employees, up to $1,000.

Lowe's -- 1,000 employees at 10 stores in Delaware. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

AT&T -- $1,000 bonuses to 124 Delaware employees; Nationwide, $1 billion increase in capital expenditures.

Cintas Corporation (Seaford, Delaware) -- Bonuses for 38,000 employees; $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Comcast (Multiple locations in Delaware) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Chipotle Mexican Grill (Multiple locations in Delaware) – Bonuses ranging from $250 to $1,000; increased employee benefits; nationally, $50 million investment in existing restaurants.

Ryder (Delaware location: Wilmington) -- Tax reform bonuses for employees.

Starbucks Coffee Company (Multiple locations in Delaware) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave. 

U-Haul (Multiple locations in Delaware) – $1,200 bonuses for full-time employees, $500 for part-time employees; nationally, over 28,000 workers will receive a bonus.

Wal-Mart – 9 locations in Delaware -- Walmart employees are receiving tax reform bonuses. Nationally, 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.

Wells Fargo – 18 bank locations in Delaware; raised base wage from $13.50 to $15.00 per hour; nationally, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Bank of America (Multiple locations in Delaware) -- Delaware-based employees of Bank of America will receive $1,000 bonuses.

Apple (Apple store in Newark, Delaware) -- $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:

     Bonuses:

Apple Inc. told employees Wednesday that it’s issuing a bonus of $2,500 worth of restricted stock units, following the introduction of the new U.S. tax law, according to people familiar with the matter.

The iPhone maker will begin issuing stock grants to most employees worldwide in the coming months, said the people, who asked not to be identified because they weren’t authorized to speak publicly. The move comes on the same day Apple said it would bring back most of its cash from overseas and spend $30 billion in the U.S. over the next five years, funding an additional technical support campus, data centers and 20,000 new employees.

Apple confirmed the bonuses in response to a Bloomberg inquiry Wednesday. – Jan. 17 2018, Bloomberg News article excerpt

     Capital expenditures, etc:

Apple expects to invest over $30 billion in capital expenditures in the US over the next five years and create over 20,000 new jobs through hiring at existing campuses and opening a new one.

Building on the initial success of the Advanced Manufacturing Fund announced last spring, Apple is increasing the size of the fund from $1 billion to $5 billion. The fund was established to support innovation among American manufacturers and help others establish a presence in the US. It is already backing projects with leading manufacturers in Kentucky and rural Texas.

Apple works with over 9,000 American suppliers — large and small businesses in all 50 states — and each of Apple’s core products relies on parts or materials made in the US or provided by US-based suppliers.

Apple, which has a 40-year history in education, also plans to accelerate its efforts across the US in support of coding education as well as programs focused on Science, Technology, Engineering, Arts and Math (STEAM). – Jan. 17, 2018 Apple press release excerpts

Note: If you know of other Delaware examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


Maine Examples of Tax Reform Good News

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Posted by John Kartch on Friday, March 15th, 2019, 10:30 AM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in Maine. (Additions to this list can be sent to jkartch@atr.org)

Pottle’s Transportation (Hermon, Maine): Purchasing new equipment -- 25 tractors and 25 trailers:

Barry Pottle, CEO of Pottle Transportation, plans to buy 25 tractors and 25 trailers this year, adding capacity to his 170-unit truckload fleet.

“Before the tax bill, we were planning on trading in trucks, but now we would like to grow our fleet because we think our customers will also benefit and be busier, too,” Pottle told TT. – Feb. 12 2018, Transport Topics article excerpt

Windham Millwork (Windham, Maine) - increase workforce by 20 percent, $1 million facility expansion, employee bonuses, wage increases:
 

Windham Millwork in Windham, Maine is planning to increase its workforce by 20 percent (from 80 employees to 100) and start a $1 million expansion of its facility. It also gave an immediate bonus of $1,000 to its hourly employees and across-the-board pay increases that the company said were a “direct result” of tax reform. - Testimony of David Farr, Chairman and CEO, Emerson, before the House Ways and Means Committee excerpt

 

IDEXX Laboratories Inc. (Westbrook, Maine) – Increased 401(k) contributions:

IDEXX Laboratories Inc. (NASDAQ: IDXX), Maine's largest publicly traded company, on Thursday announced plans to share the benefits of federal tax reform with employees by paying more into their retirement plans.

For every dollar a 401(k) participant contributes, the Westbrook-based company will match that amount dollar-for-dollar up to 5% of an employee's salary.

The company said the move is a reinvestment of financial benefits realized from US tax reform to help employees save for retirement, and that 90% of its U.S. employees participate in its 401(k) program.

"IDEXX strives to create long-term value for our employees, customers and shareholders, and we believe in providing benefits to our employees that allow them to invest in their future," said Giovani Twigge, IDEXX's chief human resources officer, in a statement.

He added: "This 401(k) plan increase for our U.S. employees — nearly 2,500 of which are based here in Westbrook, Maine—is yet another example of this commitment of creating long-term value for our employees."

IDEXX makes diagnostic tests for pets, poultry and livestock as well as quality and safety tests for water and milk. It employs more than 7,000 people worldwide and has customers in over 175 countries.

As of Thursday's market close, the company was valued at around $16.9 billion.” -- Feb. 2 2018, Mainebiz news article excerpt

Central Maine Power Company (Augusta, Maine) - the utility will pass along tax cut savings to customers:

CMP will decrease distribution rates by $16,429,187 to reflect distribution revenue requirement savings associated with the Tax Act. The decrease associated with the Tax Act -4- includes the one-time deferral of Tax Act benefits of $5,641,368 associated with the period January 2018 – June 2018. - June 21, 2018, State of Maine Public Utilities Commission Central Maine Power Company Annual Compliance Filing

Camden National Bank (Camden, Maine) – Permanent salary increases forthcoming; also $1,000 bonuses to all non-executive full-time employees; $750 bonus to part-time employees; total bonuses are $620,000:

Camden National Bank said Thursday that next week it will give one-time bonuses of $1,000 to all non-executive full-time employees and $750 to all part-time employees in response to the recently enacted corporate tax cut. The total cost of those bonuses will be $620,000, it said.

Camden National also said it plans to give permanent raises to employees, but that it will first bring in a consultant to help it determine the appropriate amounts of those raises. – Jan. 11, 2018 Portland (Maine) Press Herald article excerpt

Everett J. Prescott Inc. (Gardiner, Maine) – $1,000 bonuses for employees with more than a year of service, $250 for employees with less than a year:

A Maine company says 300 employees will receive bonuses following changes to the federal tax code enacted at the end of 2017.

Everett J. Prescott Inc., a Gardiner-based waterworks materials company, says the bonuses will arrive Monday. The Kennebec Journal reports CEO Peter Prescott said Friday that many employees will receive a $1,000 bonus.

He says employees with less than a year of service will still receive a $250 bonus.

The family-owned company employs about 300 people across 26 locations in New England, New York, Ohio and Indiana. Prescott says the average tenure of an employee is 20 years. – March 5 2018, WABI article excerpt

Starbucks Coffee Company (30 locations in Maine) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave. 

Best Buy --  Four locations in Maine; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees.

Lowes 1,000 employees at 11 stores in Maine; Bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

 

Apple (Retail location in South Portland, Maine) -- $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.

AT&T -- $1,000 bonuses to 125 Maine employees; Nationwide, $1 billion increase in capital expenditures:

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

Walmart – Mainers employed at 22 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

 

Chipotle Mexican Grill (Locations in Bangor, Augusta, Portland, Westbrook, and South Portland) – Bonuses ranging from $250 to $1,000; increased employee benefits; Nationally, $50 million investment in existing restaurants.

Comcast (Locations in Brunswick, Maine) -- $1,000 bonuses; at least $50 billion investment in infrastructure in next five years.

CarMax (Portland, Maine) – $250-$1,500 bonuses depending on length of service:

“The nation’s largest retailer of used cars, announced plans to provide one-time bonuses to most hourly and commissioned full-time and part-time associates as a result of the recently passed Tax Cuts and Jobs Act of 2017. Bonus amounts will vary from $200 up to $1,500 based on length of service with the company.” – Feb 23. 2018, EPR Retail News article excerpt

Home Depot -- 11 locations in Maine, bonuses for all hourly employees, up to $1,000:

This incremental investment in our associates was made possible by the new tax reform bill. -- Jan. 25, 2018 Home Depot press release

Ryder (Five locations in Maine) – Tax reform bonuses for all non-incentive bonus eligible employees, totaling $23 million nationwide.

T.J. Maxx – (9 locations in Maine) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

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:

Associates

  • 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

Communities

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

Bank of America (16 locations in Maine) -- $1,000 bonuses.

U-Haul (Multiple locations in Maine) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Cintas (Multiple locations in Maine) -- $1,000 bonuses for employees of at least a year, $500 bonuses for employees of less than a year.

CVS Health (Multiple locations in Maine) -- Base wage raised to $11 per hour, and other pay ranges adjusted accordingly; company will absorb increases costs of health insurance premiums; creation of new parental leave program.

Waste Management, Inc. (Multiple locations in Maine) -- $2,000 bonuses.

McDonald’s (60+ locations in Maine) – 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

Note: If you know of other Maine examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


Montana Examples of Tax Reform Good News

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Posted by John Kartch on Friday, March 15th, 2019, 10:00 AM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in Montana. (Additions to this list can be sent to jkartch@atr.org)

Rod’s Harvest Foods (St. Ignatius, Montana) – 3-5% pay raises; base wage raised to $11 per hour; bonuses up to $500:

We are happy to share with our employees the anticipated tax saving for 2018 realized by the Tax Reform bill recently passed by the US Congress and signed by President Trump. We are excited about the benefits it will provide for our country’s economy, our store, and our employees.  As a result of the tax savings expected in 2018, we will be passing this savings on to our employees. We will be raising wages 3-5% and entry wage to $11 an hour (non-student).  Also, please accept this bonus as a gesture of appreciation for your hard work and loyalty to Rod's Harvest Foods. You are our most valuable resource! – Rod Arlint, Rod’s Harvest Foods, note to employees

Westland Seed (Ronan, Montana) - hiring new employees:

Businesses such as Westland Seed in Ronan — another stop on Gianforte’s tour — said they are hiring more employees because of the Tax Cuts and Jobs Act. - May 4, 2018, Daily Inter Lake article excerpt

 

Lewis & Clark Brewing Co (Helena, Montana) - hiring new employees:

At Lewis and Clark Brewing Co., Pigman expects to save $25,000 this year because of the provision in the tax reform that he said brewers like him have been working to get for three years.

The money is going to hiring — an employee was brought on last week and Pigman is looking for two more full-time positions each in production and sales. - May 6, 2018 Helena Independent Record article excerpt

TrueNorth Steel (Billings, Montana) - Creating 35 new jobs. 

Anchor Electric (Wye, Montana) - Expanding business operations, hiring additional employees:

At Anchor Electric, Rosendale said company owner Paul Lindstrom told him that the tax reform package allowed him to expand his businesses and hire about 10 additional employees. - August 9, 2018, Missoulian article excerpt

AT&T -- $1,000 bonuses to 686 Montana employees; Nationwide, $1 billion increase in capital expenditures.

Loenbro (Great Falls, Montana) - Increasing worker benefits, enhancing training programs, purchasing new equipment:

“Other Montana businesses are making investments thanks to tax reform. Loenbro, a Great Falls industrial construction and manufacturing firm that employs more than 600, said the tax reform immediately added 15 percent to their bottom line. Tax reform is leading them to increase worker benefits, enhance training programs, and invest in construction equipment that will create more jobs. - June 19, 2018, Rep. Greg Gianforte statement on U.S. House Floor

Billings Flying Service (Billings, Montana) -  Purchasing new equipment, investing in research:

“Billings Flying Service credits the full expensing provision for its decision to purchase new equipment. The company is also investing in new research and development for enhanced firefighting equipment.” - June 19, 2018, Rep. Greg Gianforte statement on U.S. House Floor

NorthWestern Energy (Butte, Montana) – The utility is passing tax reform savings to its customers:

The tax savings stem from the Republican Tax Cuts and Jobs Act, which Congress passed in December and was signed into law by President Donald Trump. Federal corporate tax rates fell from 35 percent to 21 percent.

Regulated utilities like NorthWestern cannot pocket the savings, which must be shared with ratepayers, who also pay the utilities' taxes. NorthWestern has about 345,000 customers in Montana. 

NorthWestern is proposing that its natural gas customers receive direct refunds for the entire $3.154 million in tax breaks associated with the utility’s natural gas business. The company’s electric customers would receive half of the $10.8 million in tax breaks associated with NorthWestern’s electric business. Half the money would be spent removing hazard trees that pose a fire or outage risk.

“With what we proposed, for a natural gas customer, it would be about $1.18 a month. An electricity customer would be 67 cents per month,” said Butch Larcombe, NorthWestern spokesman. – April 3, 2018 Billings Gazette article excerpt

U-Haul (Many locations in Montana) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Walmart - Montana employees at all 14 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Dollar Tree, Inc. (Montana locations in Billings, Butte, Bozeman, Dillon, Great Falls, Havre, Helena, Kalispell, Miles City, Missoula, Whitefish) -- Base wage increases and enhanced employee benefits including maternity leave.

Home Depot - Six locations in Montana, bonuses for all hourly employees, up to $1,000.

Best Buy - Three locations in Montana; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees. 

Lowe's -- 700 employees in five stores in Montana. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/paternal leave; $5,000 of adoption assistance. 

Ryder (Billings, Montana) -- Tax reform bonuses for employees.

Starbucks Coffee Company (36 locations in Montana) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

T.J. Maxx – 6 stores in Montana – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

“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:

Associates

  • 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

Communities

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

U.S. Bank (25 branch locations in Montana) – $1,000 bonuses for employees; base wage raised to $15 per hour; increased charitable contributions.

“We believe that tax reform is positive for the U.S. economy because it provides an immediate opportunity to benefit our employees, our communities and our customers.” – Andy Cecere, President and CEO, quoted in a Jan. 2, 2018 U.S. Bank press release

Taco John’s (21 locations in Montana): All full-time and part-time crew members received a $200 after-tax bonus:

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

FedEx (Multiple locations in Montana) – 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

McDonald’s (45+ locations in Montana) – 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

Comcast (Multiple locations in Montana) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Wells Fargo - 34 banks in Montana, raised base wages from $13.50 to $15.00 per hour; nationally, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Montana examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

 

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Mississippi Examples of Tax Reform Good News

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Posted by John Kartch on Friday, March 15th, 2019, 9:30 AM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in Mississippi. (Additions to this list can be sent to jkartch@atr.org)

Treppendahl’s Super Foods (Woodville, Mississippi) - employee raises, facility upgrades, expand product selection, developing plan to upgrade checkout lanes, purchasing new equipment:

“The new tax law has had an immediate positive impact on my family business’ ability to invest in our store and local community. Independent grocery stores are capital intensive businesses that survive on 1 to 2 percent profit margins. As a direct result of tax reform, we have upgraded and replaced 12doors in the frozen foods section of our store during the past few months. That may not sound like a big project to some people, but that investment cost over $65,000 and most importantly provided work for our local refrigeration company. Because of these new freezers we have been able to expand our selection of frozen foods to our customers and save on energy costs.

We are also in the process of working with the Associated Grocers of Baton Rouge, our wholesaler, to develop a plan for upgrading our checkout lanes, which are currently 18years old. We hope to install new checkout counters in our store next year. The grocery business also requires us to purchase expensive equipment such as coolers and air conditioners to remain functioning. If it were not for tax reform, we would not have been able to make these improvements to our store. Being able to invest our savings back into our business and community is a good thing. The new tax law has increased my confidence in making important business decisions, now and in the future, which has allowed me to be more comfortable investing in my business. If these tax cuts were to be reversed, I would not feel comfortable reinvesting in my store. Tax reform has also allowed me to provide all full-time, rank and file, employees with raises, which has boosted our employees’ confidence and ability to support themselves and their families.” - July 25, 2018 excerpt from House Small Business Committee hearing on “The Tax Law’s Impact on Main Street”

Lazy Magnolia Brewery (Kiln, Mississippi) - provide employee benefits, give employee promotions, and complete facility upgrades:

Known for its Southern Pecan Nut Brown Ale, Lazy Magnolia opened in 2005 and is the oldest packaging brewery in Mississippi. With the money saved from the tax cut, Henderson said the brewery has been able to improve benefits for employees, convert two part-time jobs to full time and improve the brewery's taproom. - June 2, 2018 CNN article excerpt

Renasant Bank (Tupelo, Mississippi) - plans to share benefits with employees, community, and clients:

Renasant Bank also announced plans to share benefits from the tax reform legislation with their 2,000 associates, communities, and clients.

 

"Our focus on these three constituencies for more than 114 years has provided us with the success we enjoy as a company," Renasant Chairman and CEO E. Robinson McGraw said. "We look forward to continuing our legacy of understanding and meeting the needs of the communities we serve." - January 9, 2018, Rep. Trent Kelly letter excerpt

 

Kevin-Charles Furniture (New Albany, Mississippi) - 5 percent employee pay raises, new facility investments:

Kevin-Charles Furniture in New Albany opened its doors in 2002 with just six employees. The New Albany-based furniture manufacturer has grown to 65 employees. Company President Rusty Berryhill said 2018 is going to be a good year for the company and its employees because of the new tax law. Kevin-Charles Furniture will be among the companies in Mississippi and across the nation who will have their corporate tax rate reduced from 35 percent to 21 percent.                           

The tax credits available for investment in equipment will make it possible for the company to purchase additional machinery. "We're really excited about the tax bill and what it is going to do for our operation," Rusty said. "I applaud the efforts of Congress to build back a business climate that makes it easier to invest in our people and facilities."

Additionally, the tax savings made it easier for Kevin-Charles Furniture to give employees a five percent pay raise. Carol Crisel, a seamstress for Kevin-Charles Furniture, has worked at the New Albany operation for 15 years. She and her husband are helping to raise two of their grandchildren. Carol said she is thankful that the new tax law made it possible for the pay increase. Doubling the child tax credit from $1,000 to $2,000 for each child is also going to be a tremendous help. - January 9, 2018, Rep. Trent Kelly letter excerpt

Whittington Scrap Metal (Union County, Mississippi) - business investments:

Michael and Heather Whittington, owners of Whittington Scrap Metal in Union County, are optimistic about what tax relief will bring to their family, business, and their customers. The Whittington's have three children, including one in college. Heather said tax breaks will help them save more money which they will invest in their business.

"If we are getting a cut on our taxes, that could be another employee we could hire," Heather said. "When our customers see an increase in their bottom line, that becomes a win-win situation for everyone." - January 9, 2018, Rep. Trent Kelly letter excerpt

Ingalls Shipbuilding (Pascagoula, Mississippi) -- $500 bonuses; $300 million in increased capital expenditures; increased pension contributions; increased charitable contributions:

The government's Tax Cuts and Jobs Act has made way for big news at Huntington Ingalls Industries.

The company announced Thursday that it will give employees a bonus, increase voluntary contributions for qualified pension plans and grow charitable contributions.

In addition, the company said the tax reform will also allow a $300 million increase of investment into major capital projects to strengthen the core shipbuilding business.The majority of the 38,000 employees with the company will get an extra $500.

Since Ingalls Shipbuilding is so intertwined into the South Mississippi community, the increase is likely to have a big business impact as well.

The news has several business owners in downtown Pascagoula excited about the potential for growth. Most said that 50 percent or more of their business comes from Ingalls employees.

“It’s pretty big. It’s good news, actually,” said Robynn Rankin, owner of Bridget Blue boutique. “Because I know the past couple of years have been really slow all over town. I think it will help a lot. I mean, we’ve seen businesses on the street shut down because of the down turn of the economy.”

Ariel Hebert will see benefits from two sides.

She owns Itty Bitty Boutique and Monogramming, while her husband works at Ingalls.

“I feel like that that would be a little extra cash in our hands to do a few renovations we want to do at our house,” she said, “Or, you know, to support other local businesses.”

Each employee should get the check by the second week of March on their normal payday. -- Feb. 15, 2018 WLOX news report

Great Southern Wood Preserving, Inc. (Brookhaven, Mississippi) -- Significantly increased employee benefits: lower healthcare costs, more paid time off, scholarships, and more:

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

BancorpSouth Bank (Tupelo, Mississippi) – 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

Entergy Mississippi (Jackson, Mississippi): The utility is passing tax reform savings to customers:

If approved by the MPSC, the multi-million dollars in tax savings will benefit customers in three ways:

  • short-term bill credits,
  • long-term rate reductions and
  • alleviation of some future rate increases. 

These are projected to begin this summer, when usage and bills are typically at their highest. Based on its plan, Entergy Mississippi expects residential customer bills to drop more than $30 per month during July, August and September, from a combination of lower-rates and short-term bill credits.

Without the tax reform, which reduced the corporate tax from 35 percent to 21 percent, substantial projects undertaken by Entergy to strengthen and modernize the grid would have required significant rate increases.

“We intend to ensure that our customers receive timely benefits from the new tax reforms,” said Haley Fisackerly, Entergy Mississippi president and CEO. “The tax reduction will allow us to reduce rates, provide substantial bill credits and lower our customers’ bills during the high-usage summer months.” – Feb. 26, 2018 Entergy Mississippi press release excerpt

AT&T -- $1,000 bonuses to 2,576 Mississippi employeesNationwide, $1,000 bonuses for 200,000 employees and a $1 billion increase in capital expenditures:

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

Walmart – Mississippi employees at 78 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Home Depot -- 14 locations in Mississippi - Bonuses for all hourly employees, up to $1,000.

Lowe's -- 3,000 employees at 24 stores and one distribution center in Mississippi. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (Six locations in Mississippi) – Tax reform bonuses to employees.

Best Buy -- Nine locations in Mississippi; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees. 

Cintas (Multiple locations in Mississippi) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Chipotle Mexican Grill (Oxford, Mississippi) – Bonuses ranging from $250 to $1,000; increased employee benefits; $50 million investment in existing restaurants.

Comcast (Multiple locations in Mississippi) -- $1,000 bonuses; nationwide, at least $50 billion investment in infrastructure in next five years.

Starbucks Coffee Company (32 locations in Mississippi) –$500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

T.J. Maxx – (Ten locations in Mississippi) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

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:

Associates

  • 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

Communities

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

U-Haul (Multiple locations in Mississippi) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Dollar Tree, Inc. (Multiple locations in Mississippi) - Nationwide, $100 million investment in raising base wages, enhanced benefits including maternity leave for qualifying employees, and employee training. 

FedEx (Multiple locations in Mississippi) – 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

Waste Management Inc. (Multiple locations in Mississippi) -- $2,000 bonuses:

In light of the meaningful contributions of its employees and the new U.S. corporate tax structure, the company will distribute US $2,000 in 2018 to every North American employee not on a bonus or sales incentive plan; that includes hourly and other employees.

“We are about to get a tax benefit as our U.S. corporate tax rate goes from 35 percent to 21 percent. In considering how to best spend that, we wanted to find a way to help grow our economy, which in turn, will help grow our business, and give some of the tax savings back to those hardworking employees who do not get the opportunity to participate in our salaried incentive plans,” said Jim Fish, president and chief executive officer, Waste Management.

“So, we are offering each North American hourly full-time employee and salaried employee who does not participate in any sales incentive or bonus plan during 2018, a cash bonus of US $2,000 to show our appreciation to so many of our valued employees while growing our business and returning a good portion of the tax savings directly to the overall economy,” he continued. – Jan. 10 2018, Waste Management Inc. press release excerpt

McDonald’s (150+ locations in Mississippi) – 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 

Wells Fargo (12 locations in Mississippi) - Raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Mississippi examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


Iowa Examples of Tax Reform Good News

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Posted by John Kartch on Thursday, March 14th, 2019, 4:30 PM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in Iowa. (Additions to this list can be sent to jkartch@atr.org)

Anfinson Farm Store (Cushing, Iowa) -- $1,000 bonuses and 5% pay raises for employees:

Anfinson Farm Store, a family business in Cushing, Iowa (population 223), has awarded $1,000 bonuses and raised wages 5% for all full-time employees as a result of tax reform. The good news was delivered to employees in person just after Christmas.

In an interview with Americans for Tax Reform, store owner John Anfinson said tax reform will boost “money that will be available for the business overall and I want to use it in the right places.”

Anfinson has helmed the store for about 45 years. His grandfather started the business as a general store in 1918, so they will soon celebrate 100 years of operation. His customers chiefly grow corn, soybeans, and alfalfa.

“For us, we have a small number of employees. I work every day shoulder to shoulder with everyone,” said Anfinson. “When you work every day with a group of people, you know them and their family and you appreciate everything they do. I value them and the interest they take in our customers. They are the most valuable asset in any business.” Jan. 9, 2018 Americans for Tax Reform blog post

Keg Creek Brewing (Glenwood, Iowa) - Expanding operations, purchasing new equipment:

“A small brewery in Glenwood, Iowa, in Mills County called Keg Creek is expanding their operations and investing in new equipment as they grow.” - June 11, 2018, Rep. David Young statement on U.S. House Floor

Dyersville Die Cast (Dyersville, Iowa) - $200 bonus for all eligible full-time employees; $50 monthly bonus for at least twelve months for all eligible full-time employees; $150,000 in total on bonuses:

Dyersville Die Cast employees will be getting bonuses thanks to the recently passed tax reform bill.

Full-time employees who were with the company prior to Oct. 1, 2017 will receive a $200 bonus on March 9. But, that’s not all.

All full-time, hourly employees will also be receiving $50 monthly bonuses for at least the next 12 months.

In addition, employees will still receive their regular “profit bonus” in June, according to General Manager Bob Willets.

The big news is thanks to that fact that Dyersville Die Cast is slated to save approximately $200,000 thanks to the new tax law, and have decided to dole out $150,000 of that to its workers” – Feb. 21 2018, Dyersville Commercial article excerpt

Pattison Sand Company (Clayton, Iowa): $600 cash bonuses, base pay raised by $1.50-$2.50 per hour:

“Last fall, Congressman Rod Blum visited our mine in Clayton County. He met many of our people and saw for himself what we do every day. We told him about the high costs of over-taxation and over-regulation. He listened. He did his part, taking our message back to Washington. He fought for real tax reform that will bring our business taxes in line with other industrialized countries. More importantly it will mean more take home pay for our people. He is also working put more common sense into federal regulations. We did our part too. We gave every employee a $600 cash (in $2 bills) bonus and we raised base pay by $1.50-$2.50 an hour. And yes we are growing, adding staff and buying more equipment. We thought you should know.” – The Waterloo- Cedar Falls Courier

Cedar Rapids Toyota (Hiawatha, Iowa) – $500 bonuses to each full-time employee:

The car dealership off Boyson Road in Hiawatha expects to see a savings on its taxes under the federal tax reform bill that taxes effect next month. Instead of investing in the facility or new equipment, the company invested in its people.

Owner Scott Ryan decided to give each full-time employee a $500 tax break. The company sees the bonus checks as a way to give back to both the employees and the community, thinking many of the employees will spend the extra money around town. – Jan. 19, 2018 KCRG TV9 news report

Employers Mutual Casualty Insurance (Des Moines, Iowa) -- $1,000 bonuses for employees with the exception of Vice Presidents and above.

Iowa American Water Co. (Davenport, Iowa) – The utility will pass along tax savings to customers:

And Iowa-American Water Co., which provides service in eastern Iowa, would provide $1.5 million and $1.8 million to customers. – Jan. 29, 2018 Des Moines Register article excerpt

MidAmerican Energy Company (Des Moines, Iowa) - the utility will pass along tax reform savings to customers:

Thanks to tax reform, utility bills will start going down soon. MidAmerican Energy says bills will be lowered for its Illinois customers starting in April, and probably for Iowa customers in May.

Spokeswoman Tina Hoffman says the company's tax rate dropped from 35 to 21 per cent, and as a result Illinois electric and natural gas customers will save about 50 dollars per year. The average Iowa customer would save 30 dollars.

But tax reform will affect more than just MidAmerican's corporate tax rate.

"And what we're proposing to do is create an account that captures these benefits that will help us in the long-term make sure that we reduce the size of even the need for future rate cases. So eventually that keeps rates low for customers well into the future."

Hoffman says the Illinois Commerce Commission has already approved the company's proposal and the savings should show up in residential bills this month. However the Iowa Utilities Board has not yet approved MidAmerican's proposal but she thinks it could lower Iowa bills beginning in May.  – April 2, 2018 WVIK Article

Ohnward Bancshares (Maquoketa, Iowa) -- $1,000 bonuses for all 260 employees:

"As a result of the passage of the tax relief bill this week, Ohnward Bancshares has   announced it will pay a $1,000 tax relief, holiday bonus to every company employee. This bonus is separate, and, in addition to, normal bonuses received based  on company performance. “There has been a lot of debate about what a tax cut will do for the nation’s economy. This sweeping tax reform will create economic growth in our communities, but only if the expense savings are shared”, comments the Ohnward leadership team, Abram Tubbs, Brigham Tubbs, Alan Tubbs and Kendra Beck."  –  Dec. 21 2017, Ohnward Bancshares press release

Bank Midwest (Spirit Lake, Iowa) -- $500 bonuses for full-time employees; $250 bonus for part-time employees.

T.J. Maxx – 11 stores in Iowa – tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and charitable donations:

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:

Associates

  • 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

Communities

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

AT&T -- $1,000 bonuses to 541 Iowa employees; Nationwide, $1 billion increase in capital expenditures:

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

Home Depot -- 10 locations in Iowa, bonuses for all hourly employees, up to $1,000

Lowe's -- 1,000 employees at 11 stores in Iowa. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Apple (Apple store in West Des Moines) -- $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 America (Multiple locations in Iowa) -- Iowa-based employees of Bank of America will receive $1,000 bonuses.

Cintas Corporation (Multiple locations in Iowa) -- $1,000 bonuses for employees of at least a year, $500 bonuses for employees of less than a year.

Comcast (Multiple locations in Iowa) -- $1,000 bonuses; at least $50 billion investment in infrastructure in next five years.

Ryder (Eleven locations in Iowa) – Tax reform bonuses for employees totaling $23 million nationwide.

Starbucks Coffee Company (89 locations in Iowa) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plant and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave

U-Haul (Multiple locations in Iowa) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Wal-Mart – 59 store locations in Iowa -- Walmart employees are receiving tax reform bonuses of up to $1,000; base wage increase for all hourly employees to $11; expanded maternity and parental leave; $5,000 for adoption expenses.

McDonald’s (165+ locations in Iowa) – 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 

Wells Fargo – 64 bank locations in Iowa; raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over next three year

Note: If you know of other Iowa examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

 

 

More from Americans for Tax Reform


Texas Examples of Tax Reform Good News

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Posted by John Kartch on Thursday, March 14th, 2019, 12:30 PM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

In their own words, below are several examples of tax reform good news in Texas (Additions to this list can be sent to jkartch@atr.org)

Cox Manufacturing (San Antonio, Texas) -- The company is hiring new employees and speeding up new facility construction:

For Cox, those savings may give the manufacturer some much-needed relief as it adds staff and equipment necessary to handle the increased orders the company’s been receiving over the last month or so, President Bill Cox said.

“The biggest benefit I think is not the tax savings, but the activity that’s going on. It’s just like crazy,” said Cox, whose company employs 150 and makes machined and other parts. “I had some older machines that we wanted to phase out and I just couldn’t believe how quickly they sold. I’m getting pressure to release them sooner than I wanted to.”

Demand has picked up dramatically since the bill was signed into law, he said. His backlog of orders has grown from six to eight weeks in December to 10 to 12 weeks now, and he’s having to move up construction of a new 8,000-square-foot manufacturing plant by at least a year in order to meet the growth.

“We needed it yesterday,” he said of the new facility.

Cox said his backlog of orders is starting to cost him work. The new factory and equipment — which he hopes to bring online this year — will cost at least $1.5 million, create 15 jobs and would add to his 54,000 square feet of existing manufacturing space. - February 7, 2018, San Antonio Express News article excerpt

Village Foods & Pharmacy (Bryan, Texas) - employee bonuses, implement a 401(k) program:

Village Foods & Pharmacy Said They Were Able To Provide Employee Bonuses And Implement A 401(k) Program. - US Chamber of Commerce

Home Instead Senior Care -- Samuel and Brandy Patton, franchise owners  (El Paso, Texas) – As noted by the International Franchise Association, tax savings will help the Pattons achieve their goal of hiring 50 people in 2018:

“We fully plan on hiring more employees,” said Samuel Patton, who owns a Home Instead Senior Care franchise with his wife, Brandy, in El Paso, Texas. They’ve set a goal of hiring 50 people in 2018. “This tremendously helps with that endeavor as this money will assist with prerequisite items such as training, drug screens and background checks,” he said of the tax savings. “We will spend more money on advertising in our local community as well as increase training programs for current employees,” Patton added. – April 17, 2018 International Franchise Association report.  (The IFA has a growing list of franchisees who have pledged to hire additional workers, raise wages, purchase new equipment, or expand territories/purchase new franchise locations due to the Tax Cuts and Jobs Act.)

Camp Construction Services (Houston, Texas) – This Houston-based full-service general contractor awarded its employees $500 tax reform bonuses in December 2017:

In a note to employees, CEO Roger C. Camp wrote:

              Campers,

I’m sure you have heard of the new tax reform that Congress just passed. Because of the reduction in Corporate taxes we, as will all businesses, benefit from this tax cut. We believe that YOU are the reason for our success. And now that we will be giving less of our hard earned income to the federal government, we can share some of it with you. Please look for a $500 “tax cut” bonus in your next payroll run. Merry Christmas!

Center Point Energy (Houston, Texas) - The utility is passing on 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

Beck Manufacturing International (Converse, Texas) - Building a new facility, hiring new employees, doubling company’s capacity

Tom Beck, vice president of operations at Beck Manufacturing International in Converse, said he expects his company, which builds cement mixer bodies that mount on trucks, will see a reduction of close to 10 percent in its tax rate.

The savings will flow into Beck Manufacturing International investments, including an under construction manufacturing site that will double his company’s capacity in Converse, he said.

“That money that we hang on to … that’s absolutely going directly toward the new facility that will employ more people,” Beck said.  - February 7, 2018, San Antonio Express-News article excerpt

 

Leak Sealers (Lumberton, Texas) – Bonuses to its 100 employees:

Female-owned engineering company Leak Sealers says it's handing out bonuses to its 100 employees, joining major retailers like Lowe's and Walmart Inc. that are investing in workers after Congress approved a tax cut that will help businesses. – 

"We've been incredibly successful, and I've never seen anything like it, the way business has been roaring," said CEO Henry Adams in a statement. "We're appreciative and we want to share it with our employees."

Leak Sealers, with company offices in Lumberton, Nederland and Lake Charles, is a "woman-owned certified engineering company and a leader in the on-stream environmental repair industry," according to the statement. -- Feb. 8 2018, The Beaumont Enterprise article excerpt

Groomer’s Seafood (Corpus Christi, Texas) – Expansion of distribution facilities.

Group 1 Automotive (Houston, Texas) – $500 cash bonuses for non-management dealership employees and operational support staff in the United States:

Group 1 Automotive, Inc. (NYSE: GPI), ("Group 1" or the "Company"), an international, Fortune 500 automotive retailer, today announced a $500 cash bonus for non-management dealership employees and operational support staff in the U.S. The Company owns and operates 115 dealerships nationwide.

"As we were in the process of reviewing the opportunities the new tax reform law creates for us to better our business, we decided the best investment we could make was in the people serving as the face of our company every day,"said Earl J. Hesterberg, Group 1's president and chief executive officer.  "For almost 13 years, I have watched our loyal dealership operating and support teams move cars in the 100-degree heat of the Texas summer, clean snow off of new car inventory in a 10-degree Boston winter, and spend long days in front of a computer screen processing documents and communicating with our customers. These people are the heart of the Company. They generate our profits and my management team and I feel that the financial benefit of the new tax law creates an opportunity for us to say thank you to these key teammates."

 This bonus to qualified employees will be paid on March 1, 2018.

Group 1 is assessing the full impact of the tax reform law on the company's operations. Additional details will be shared when the company releases 2017 fourth quarter and full year earnings on February 8, 2018. – Jan. 12, 2018 Group 1 Automotive press release

Charlie Bravo Aviation (Georgetown, Texas) - $1,000 bonuses for all six employees.

Rush Enterprises (New Braunfels, Texas) – $1,000 bonuses for all 6,600 employees:

“We believe tax reform to be beneficial for Rush Enterprises, our communities and overall economic growth,” said W.M. “Rusty” Rush, Chairman, Chief Executive Officer and President of Rush Enterprises, Inc.“We are happy to take this step to invest in our employees and honor their important contributions to our company with this $1,000 gift,” he added.

The $1,000 discretionary bonus will be paid to all Rush Enterprises, Inc. employees once the President signs the tax reform bill into law. – Rush Enterprises, Inc.

Cabot Oil & Gas Corporation (Houston, Texas) - $1,600 bonuses for employees.

WIN-911 (Austin, Texas) — software company hiring new employees:

Robert Brooker, chairman of WIN-911, says the Austin-based software company will add five or six workers to its U.S. staff of 35 this year, up from the two or three it was planning to bring on. “It’s allowing us to … hire more people,” he says of the tax benefits.April 26, 2018 USA Today article excerpt

AT&T -- $1,000 bonuses to 32,435 Texas employeesNationwide, $1,000 bonuses for 200,000 employees and a $1 billion increase in capital expenditures:

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 

Waste Management, Inc. (Houston, Texas) –  $2,000 bonuses to approximately 34,000 employees:

Waste Management, Inc. (NYSE: WM) announced today that, in light of the meaningful contributions of its employees and the new U.S. corporate tax structure, the company will distribute US $2,000 in 2018 to every North American employee not on a bonus or sales incentive plan; that includes hourly and other employees.

“We are about to get a tax benefit as our U.S. corporate tax rate goes from 35 percent to 21 percent. In considering how to best spend that, we wanted to find a way to help grow our economy, which in turn, will help grow our business, and give some of the tax savings back to those hardworking employees who do not get the opportunity to participate in our salaried incentive plans,” said Jim Fish, president and chief executive officer, Waste Management.

“So, we are offering each North American hourly full-time employee and salaried employee who does not participate in any sales incentive or bonus plan during 2018, a cash bonus of US $2,000 to show our appreciation to so many of our valued employees while growing our business and returning a good portion of the tax savings directly to the overall economy,” he continued.

Approximately 34,000 qualified Waste Management employees could receive this special bonus. – Jan. 10 2018, Waste Management, Inc. press release

Ennis, Inc. (Midlothian, Texas) -- $500 bonuses to 2,200 non-management employees:

Keith S. Walters, Chairman, President and Chief Executive Officer of Ennis, Inc. (NYSE: EBF), a manufacturer of business forms and other business products headquartered in Midlothian, Texas, announced today that in conjunction with the signing of the Tax Cuts and Jobs Act of 2017, the Ennis Board of Directors has approved a special one-time bonus to more than 2,200 non-management employees in the amount of $500.00 each. This payment will take place with the first payroll period in January 2018.

In addition, in response to this landmark act the Board of Directors has declared a special one-time cash dividend of $0.10 a share of our common stock. The dividend will be paid on February 9, 2018 to shareholders of record on January 12, 2018.

“Congress and the President by their passage of this historic law have improved the prospects of the American worker and American company success. We recognize this historic opportunity for our Company, our employees and our shareholders,” said Mr. Walters. – Dec. 22, 2017 Ennis, Inc. press release

Quadvest (Tomball, Texas) – the utility will pass along tax reform savings to customers:

"On behalf of the approximately 30,000 customers Quadvest Utility serves in Southeast Texas, we would like to thank you for your integral part in the development and ultimate passage of the Tax Cuts and Jobs Act of FY2017. The passage of this key piece of legislation has allowed Quadvest to proactively reduce our customers' base water and sewer fees by 26% or almost $90 per year/family." – Simon Sequeira, President of Quadvest

Entergy Texas (The Woodlands, Texas) – the utility will pass along tax reform savings to customers:

`Entergy Texas is also passing substantial savings from federal tax reform directly to customers. These tax savings, along with investments in infrastructure to reduce outages and improve service, will result in more reliable and affordable energy to customers.

Following the passage of the Tax Cuts and Jobs Act, the federal corporate tax rate was lowered, and Entergy Texas will flow back more than $200 million to customers over the next two years. This sum represents funds that Entergy Texas had collected from customers according to IRS rules to pay future taxes at the higher tax rate that is no longer in effect. Additionally, Entergy Texas’ new rates will reflect the lower tax rate going forward. - May 15, 2018, Entergy Texas Press Release excerpt

 

Russell Marine LLC (Channelview, Texas) - Increased pay by an average of 10 percent, gave $900,000 in bonuses, purchased $1.8 million in new equipment, green lighted a new company headquarters:

This Houston-based marine construction business, has already been able to purchase new equipment because of tax reform and expects to see record-setting revenue of about $90 million following new tax law.

“This will be our best year ever” – Russell Inserra, Owner

Bonuses: totaling $900,000

Pay Raises: 10 percent raise on average

New Equipment: $1.8 million, 440-ton crane, the largest floating rotating crane in Texas  - May 7, 2018, Woodlands Online article excerpt

Nexstar Media Group, Inc. (Irving, Texas) -- Bonuses of $500 for full-time employees, $250 for part-time employees; increased 401(k) contributions:

As announced by Perry Sook during our Town Hall broadcast, the new corporate tax rate will produce a financial benefit for Nexstar, and the Company wants to extend that benefit to our employees via a one-time bonus and an increase to the 401k plan company match. Here are the details for those benefits.

A one-time special bonus will be issued to all employees actively employed by the Company as of March 1, 2018. The amount of the bonus is $500 for full-time employees and $250 for part-time employees. Bonuses will be paid in the first pay period of March and will be subject to applicable taxes.

Employees ranked at the Vice President level or above are not eligible for the bonus.

Effective April 1, 2018, the Company match for 401k contributions will be increased from 25% to 50% of the first 6% of contributions. -- Jan. 17, 2018 note to Nexstar employees

American Airlines (Ft. Worth, Texas) -- $1,000 bonuses for every employee (excluding officers). The bonuses will total $130 million. AA had 127,600 employees as of Sept. 2017.

“Recent tax reform has received much publicity. While the company does not yet pay cash taxes due to our enormous losses in the past, there is no doubt that our country’s new tax structure will have positive long-term benefits for American. We will be able to invest even more in aircraft and facilities, and we will be able to do so with even greater confidence about the future. As we analyze those potential future benefits, our leadership team, backed by our Board of Directors, considered how a portion of that positive impact might be directly shared with the very people who produce the profits at American—all of you. 

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.” – Jan. 2, 2018 American Airlines press release

Southwest Airlines (Dallas, Texas) -- $1,000 bonuses for all 55,000 employees; $5 million additional charitable donations:

The Southwest Board of Directors authorized a bonus to all Southwest Airlines Employees to celebrate the recent passage of the tax reform legislation. All Fulltime and Parttime Southwest Employees employed with Southwest on Dec. 31, 2017, will receive a $1,000 cash bonus on Jan. 8, 2018.

"We applaud Congress and the President for taking this action to pass legislation, which will result in meaningful corporate income tax reform for the transportation sector in general, and for Southwest Airlines, in particular," said Southwest's Chairman and Chief Executive Officer Gary Kelly. "We are excited about the savings and additional  capital, which we intend to put to work in several forms—to reward our hard- working Employees, to reinvest in our business, to reward our Shareholders, and to keep our costs and fares low for our Customers." – Jan. 2 2018, Southwest Airlines press release

Insperity (Houston, Texas) – Tax reform bonuses totaling $17 million. $1,000 - $4,000 bonuses for each employee, based on length of service.

The good news was announced to employees via internal message from CEO Paul Sarvadi. ATR obtained the message, which is reproduced below. A company press release confirming the details can be found here.

To all Insperity Employees,

In December Congress passed a tax reform bill which among other changes, lowered the tax rate for corporations. Insperity is one of those corporations which will benefit accordingly. This change leaves more of our hard earned dollars available after tax to invest in our business as we see fit. We believe all constituencies should benefit from this change including our amazing employees.

Therefore, as was communicated with this morning’s news release we will be paying a one-time bonus as a result of the U.S. tax reform act. We plan for this bonus to be paid on Wednesday February 14, 2018. This bonus is intended for

 ·full-time employees in grades 14 and below with hire dates 9/30/2017 or before and eligible to receive the 2017 AP payout and eligible to participate in the 2015 AIP Program, and

 ·full-time employees in grades 14 and below with hire dates, 10/01/2017 to 02/07/2018 and are eligible to participate in the 2018 AIP Program, and

·Business Performance Advisors and Business Performance Consultants with hire dates 02/02/2018 or before

Below is the overview for the bonus payout

Hire Date                                        Payout

12/31/2015 or before                      $4,000

01/01/2016 to 12/31/2016              $3,000

05/01/2016 to 09/30/2017              $2,000

10/01/2017 to 02/07/2018              $1,000

The tax reform bonus payments will be in addition to the normal AIP program and disbursed similar to your regular paycheck.

Thank you for your hard work and dedication and let’s keep our strong performance going!

PJS

Allsup’s Convenience Stores, Inc. (198 stores in Texas) -- $1,000 bonuses:

Workers were feeling so good at a Santa Fe Allsup’s convenience store Thursday that you might have thought it was raining cash. And it almost was.

One-time cash bonuses of $1,000 had appeared that morning by direct deposit in the bank accounts of all full-time, non-executive Allsup’s employees who have been with the company at least one full calendar year.

Cashier Cesia Villatoro, who works at the Allsup’s store at 305 N. Guadalupe St., said she was happy with the bonus. Then she amended that to “very happy.”

“I’m going to help my family,” Villatoro said.

Owners of the Clovis-based company said in a news release that the windfall was “a result of the recent Tax Cuts and Jobs Act passed in December 2017” — a massive Republican tax overhaul pushed by President Donald Trump.

“The new tax reform legislation provides tax cuts for individuals and companies and should result in positive economic growth,” Allsup’s said.

The company operates 317 stores in New Mexico, West Texas and Oklahoma and employs 3,200 full-time and part-time employees. It did not say how many of its employees received a bonus this week.

Velia Bojorquez, manager of the North Guadalupe Street store, said the company had mentioned the bonuses would be coming but didn’t give an exact date of when workers could expect them. “It’s too good to be true,” she said. “We were all surprised. Where did this money come from?”

Bojorquez said she plans to use the extra infusion of cash to pay some bills. “It’s going to be a big help.”

Cashier Maria Rosado was equally enthused. “I really need it,” she said of the cash disbursement. “I’m going to help my family and pay some bills.” – March 15, 2018 Santa Fe New Mexican

Cadence Bancorporation (Houston, Texas) – Base wage raised to $15 per hour; increased company 401(k) contributions; new employee stock purchase plan; merit pool increase; enhanced employee benefits:

In an announcement to its employees, the company shared it will introduce the following changes effective April 1, 2018:

  • An increase in the company’s matching 401k contribution
  • An increase in the company’s contribution to employee healthcare costs
  • A pay increase for non-exempt, non-commissioned associates to a base wage of no less than $15 an hour
  • A merit pool increase for eligible associates

In addition, Cadence executives announced an employee stock purchase plan with a 15% discount, pending approval by Cadence Bancorporation shareholders.

“Our employees deliver exceptional service and value to our clients every day, and we want to reward them for their dedication,” said Paul B. Murphy, Jr., chairman and chief executive officer of Cadence Bancorporation. “Investing in our employees allows us to attract and retain top talent, which directly correlates to sound operating and financial performance and a better return for our shareholders.” – February 14, 2018, Cadence Bancorporation press release excerpt

Apple (Apple store locations in El Paso, Austin, Dallas, Fort Worth, Friendswood, Frisco, Houston, Plano, San Antonio, Southlake, Sugar Land, and The Woodlands) - $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.

El Paso Electric Company (El Paso, Texas) – The utility is passing along tax savings to customers:

El Paso Electric (EPE) was one of the first utilities in the state of Texas to address and identify a mechanism to refund Texas customers due to the reduction in the federal income tax rate.

On December 14, 2017, the unopposed settlement approved by the Public Utility Commission of Texas (PUCT) included a provision to refund EPE’s Texas customers for the reduction in the federal income tax rate.

EPE is currently calculating the changes and impacts of the new tax law to determine the amount of the refund to be filed in mid-April.  EPE expects Texas customers will begin to see the refund as a credit on their bills by mid-year 2018 following PUCT approval of its refund filing. – Jan. 23 2018, El Paso Electric Company press release

Oncor Electric Delivery (Dallas, Texas) – The utility is passing along tax savings to customers:

The company delivering electricity to most North Texans would likely save millions from    the new corporate tax rate cut. But that entire windfall is expected to go back to consumers.

That's the result of a recently completed rate case where the state's largest regulated        utility agreed to return all tax cut benefits to its customers.

The $1.5-trillion tax overhaul hadn't been completed when Oncor's rate negotiation          with the regulator was settled. And the Public Utility Commission of Texas, the agency that regulates the operations of electricity-distribution companies like Oncor, made sure to cover the possibility of a tax cut. 

"Oncor will work with the PUCT to determine the best way to distribute those savings        back to customers," said spokesman Geoff Bailey via email. "In short, we are capturing    these tax savings for future refunds to our customers." – Jan. 16 2018, Dallas Morning News article excerpt

Happy State Bank (Happy, Texas) -- base wage raised; salary increases; bonuses; increased retirement contributions:

In its board meeting yesterday, January 23, the Board of Directors of Happy State Bank voted unanimously for a significant wage and benefit increase for employees of the company as a direct result of the new tax reform legislation.  The announcement was made by Board Chairman and CEO, J. Pat Hickman.    
The wage increases directly impact over 600 of the bank’s 700+ employees.

The highlights of the new program are: 

  • Happy State Bank has a new starting minimum wage of $13.50 per hour…increasing to $14.00 after a 90-day probationary period. 
  • Present employees currently earning less than $14.00 per hour will be increased to this amount immediately.
  • Employees currently earning between $14.00 and $17.50 hourly will receive an approximate $0.50 hourly wage increase.  
  • Salaried employees making less than $18 hourly will receive a $1,000 annual increase. 
  • Full-time employees making up to $100,000 (and not in the above categories) will receive a one-time $1,000 bonus or $500 bonus if part-time. 
  • The KSOP Retirement Plan dollar-for-dollar company match will increase from 6% to 7%, which benefits every employee that participates to that level. 

“Our board is really excited to pass a major portion of our bank’s tax benefit over to our employees. For many of our employees, the raise will be life-changing.  All told, these increases will impact 80% of our 700+ employees.  It’s a win-win for everyone.  Obviously, we’re all pretty happy around here,” stated Hickman. -- Jan. 24 2018, MyHighPlains.com article excerpt

Rio Bank (McAllen, Texas) — $1,000 bonuses for each of the 108 employees:

“Our Board approved the payment $1,000 to each of our 108 employees. That is everyone from the janitor on up. Our employees do not think this check is ‘crumbs’ like Nancy Pelosi called it and they sure do not think it is insulting like she stated that it was.” — Ford Sasser, President & CEO, Rio Bank

FirstCapital Bank of Texas (Midland, Texas) -- $500 bonuses for 197 employees.

First National Bank (Spearman, Texas) -- $1,000 bonuses for its 44 employees.

Amarillo National Bank (Amarillo, Texas) – $1,000 salary increases for over 300 employees:

Christmas came early for more than 300 employees at Amarillo National Bank when they found out they'd be getting a $1,000 pay raise.  

The bosses at ANB are saying the pay increase is because of the GOP's tax reform bill.

The raises are the highest salary and wage increases in the bank's history.

313 of the bank's 600 full-time, non-salaried employees will get an immediate raise of $1,000. 

ANB says they also plan on investing another $2.5 million into its downtown properties.

Executive Vice President William Ware says the bank will be saving a ton of money with the new tax bill so they're investing those savings back into their most valuable asset, their employees. 

Executive Vice President William Ware said, "This is a once in a lifetime opportunity and we know with the savings from the tax reform bill, we want to reinvest that back into our bank and the first place we are going to put it is into our employees. That's our most important asset and we feel like that's a great thing to do." 

ANB has 18 branches in Amarillo, Canyon, Borger and Lubbock. – Dec. 21, 2017 MyHighPlains.com article excerpt

Comerica Bank (Dallas, Texas) -- $1,000 to 4,500 non-officer employees; base wage increase to $15 per hour:

“This increase in minimum wage and one-time bonus are made possible by the tax reform bill that was passed by the U.S. Congress, then signed by the President on Dec. 22, 2017.” –  Dec. 29, 2017 Comerica Bank press release

Texas Capital Bank (Dallas, Texas) – $1,000 bonuses for 900 employees:

“The rewritten tax code cuts the marginal tax rate, and that can be significantly beneficial to earnings and our stockholders, because we believe we have among the highest marginal and effective federal tax rates in the banking sector. The tax changes also will be very beneficial to our customers,” [Texas Capital Bank President and CEO Keith] Cargill said. – Texas Capital Bank press release

STERIS Corp. (Texas locations in El Paso, Grand Prairie, Houston, and Keller) -- $1,000 bonuses totaling $7 million for non-executive U.S. -based employees:

"Like many companies, the recent tax reform in the U.S. will result in significant additional earnings for STERIS to strategically grow our business and return value to Customers, employees and shareholders.  One of our first actions on that front will be a one-time special discretionary bonus of $1,000 to all U.S. employees other than senior executives." -- Feb. 7, 2018 STERIS plc press release

Webco Industries Inc. (Orange, Texas) – Up to $2,000 bonuses:

Webco says each employee was given $1,000 if they've been there for a year or more. Employees who have been there for a significant amount of time, were given $2,000.

Webco says they had more than a million dollars total to distribute to their employees, many of whom are in Sand Springs.

"The tax cuts and jobs act reduced corp tax rates, so that produced a significant amount of savings this year for Webco as our corporate tax bill was reduced," said Mike Howard with Webco Industries.

These were one-time bonuses and impacted employees in Oklahoma, Pennsylvania, Texas, Illinois, and Michigan. -- March 7, 2018 News on 6 article excerpt

Wal-Mart – Texas employees at 508 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

T.J. Maxx70 stores in Texas – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

“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:

Associates

  • 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

Communities

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

Home Depot -- 180 locations in Texas, bonuses for all hourly employees, up to $1,000.

Lowe's --23,000 employees at 23 stores and three distribution facilities in Texas. Employees will receive bonuses of up to $1,000 based on length of service, for 260,000 employees; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (41 locations in Texas) – Tax reform bonuses.

Cintas Corporation (Multiple locations in Texas) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Chipotle Mexican Grill (Multiple locations in Texas) – Bonuses ranging from $250 to $1,000; increased employee benefits; $50 million investment in existing restaurants.

Comcast (Multiple locations in Texas) -- $1,000 bonuses; nationwide, at least $50 billion investment in infrastructure in next five years:

Based on the passage of tax reform and the FCC's action on broadband, Brian L. Roberts, Chairman and CEO of Comcast NBC Universal, announced that the Company would award special $1,000 bonuses to more than one hundred thousand eligible frontline and non-executive employees.

Roberts also announced that the Company expects to spend well in excess of $50 billion over the next five years investing in infrastructure to radically improve and extend our broadband plant and capacity, and our television, film and theme park offerings. With these investments, we expect to add thousands of new direct and indirect jobs. – December 21, 2018, Comcast release excerpt

Starbucks Coffee Company (Multiple locations in Texas) –$500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

U-Haul (Multiple locations in Texas) – $1,200 bonuses for full-time employees, $500 for part-time employees.

FedEx (Multiple locations in Texas) – 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

McDonald’s (1,200+ locations in Texas) – 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

Wells Fargo   588 locations in Texas; raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Texas examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

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Hawaii Examples of Tax Reform Good News

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Posted by John Kartch on Thursday, March 14th, 2019, 12:00 PM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in Hawaii (Additions to this list can be sent to jkartch@atr.org)

 

Royal Hawaiian Heritage Jewelry (Honolulu, Hawaii) – The company will open additional retail locations:

Royal Hawaiian Heritage Jewelry has been in business for about 40 years.

And owner Jackie Breeden is hoping a sweeping tax overhaul approved by Congress and headed to the president's desk will help her expand operations beyond her stores at Pearlridge Center and on Bishop Street, and a single neighbor island outlet in Kona.

"I'm from Kauai so I would like to open up a shop back on the island of Kauai and on the west side of Honolulu as well, and be back in Maui. Before we were on all the islands," she said. – Dec. 21, 2017 Hawaii News Now article excerpt

Hawaiian Electric, Maui Electric, Hawai’i Electric Light (Honolulu, Hawaii) – The utility will pass along tax savings to customers:

The 460,000 customers of the Hawaiian Electric Companies could see lower electric bills as a result of the federal corporate income tax cut. Changes to federal tax law will lower corporate rates from 35 percent to 21 percent starting this year. That is expected to result in a lower tax bill for Hawaiian Electric, Maui Electric and Hawaiʽi Electric Light. State and federal taxes are included in the base electric rate and with a lower federal tax, the tax rate imbedded in the bill will be reduced. “We’re in the process of analyzing the impact of the tax overhaul but it’s pretty clear at this point that this will benefit most customers,” said Tayne Sekimura, senior vice president and chief financial officer of the Hawaiian Electric Companies. “We will work with our regulators and the Consumer Advocate to determine the exact amount of the tax reduction and the best way to pass on the savings.” Any change in the base rate is subject to the approval of the Public Utilities Commission, which will also determine the timing of any change in rates. –  Jan. 10, 2018 Hawaiian Electric Press Release

Apple (Three Apple store locations in Hololulu: Ala Moana, Kahala, Royal Hawaiian) - $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. 

American Savings Bank (Honolulu, Hawaii) - $1,000 bonuses to 1,150 employees; base wage raised from $12.21 to $15.25 

Bank of Hawaii (Honolulu, Hawaii) – $1,000 bonuses to 2,074 employees; base wage raise from $12 to $15:

“Our employees are, by far, our greatest asset. It’s our pleasure to reward our team with this holiday opportunity,” said bank Chairman, President and CEO Peter Ho. “We’ve recently been thinking about increasing our minimum wage level throughout the organization to the living wage level. The adjustments to the corporate tax rate provided further momentum to execute on the plan.” – Dec. 22, 2017 Bank of Hawaii press release

Central Pacific Bank (Honolulu, Hawaii) – All 850 employees received $1,000 bonuses; base wage raised from $12 to $15.25:

“We are delighted to have this opportunity with the lowering of the corporate tax rate to take care of our hard-working employees, who are our most important asset, and give them an extra special holiday this year.” -- Central Pacific President and CEO Catherine Ngo

First Hawaiian Bank (Honolulu, Hawaii) -$1,500 bonuses to 2,264 employees; base wage increase to $15.

Hawaii National Bank (Honolulu, Hawaii) -- $1,000 bonuses; base wage raised to $15 per hour.

Territorial Savings Bank (Honolulu, Hawaii) -- $1,000 bonuses to 247 employees; base wage raised from $11.25 to $15.00 per hour. 

AT&T -- $1,000 bonuses to 394 Hawaii employeesNationwide, $1,000 bonuses for 200,000 employees and a $1 billion increase in capital expenditures:

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

Walmart – Hawaii employees at 10 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Home Depot -- Seven locations in Hawaii - Bonuses for all hourly employees, up to $1,000.

Lowe's -- 800+ employees at four store locations in Hawaii. Employees will receive bonuses of up to $1,000 based on length of service, for 260,000 employees; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (Four locations in Hawaii) – Tax reform bonuses to employees.

Best Buy -- Locations in Aiea and Honolulu; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees. 

Cintas (Honolulu, Hawaii) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Starbucks Coffee Company (99 locations in Hawaii) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

T.J. Maxx – (Multiple locations in Hawaii) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

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:

Associates

  • 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

Communities

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

U-Haul (Multiple locations in Hawaii) – $1,200 bonuses for full-time employees, $500 for part-time employees.

FedEx (Multiple locations in Hawaii) – 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

McDonald’s (60+ locations in Hawaii) – 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 

Note: If you know of other Hawaii examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

 

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Voters Consistently Reject Tax Increases at the Ballot Box

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Posted by John Kartch, Abigail Marone on Friday, March 8th, 2019, 11:49 AM PERMALINK

Consultants often try to convince elected officials that Americans don’t mind tax increases. Such consultants cite questionable opinion polls. But the most accurate polls are elections, and the ballot box results show Americans consistently reject tax increases.

A review by Americans for Tax Reform of the past three election cycles -- 2018, 2016, and 2014 -- shows that voters nationwide have rejected every major tax increase ballot measure:

 

2018

Arizona voters prevent new tax hikes - Proposition 126, which prohibited the state and local governments from enacting new taxes or increasing tax rates on services performed in Arizona, was passed with 64% voting YES.

Washington state carbon tax defeated - For the second time in a row, blue state Washington voters firmly rejected a carbon tax. Initiative 1631 was defeated by a 56.3% - 43.7% margin.

Missouri voters reject gas tax hike - Proposition D, which would have hiked Missouri's gas tax by more than 58%, raising the rate from 17 to 27 cents per gallon, was rejected by more than 54% of Missouri voters.

Utah voters reject gas tax hike - Utah voters sent a clear message to state lawmakers they do not want them to even think about raising the state gas tax. Non-binding Question 1 asked Utah voters if they wanted to advise the legislature to raise the state gas tax. Utah voters rejected the question with more than 65% voting NO.

Colorado voters reject massive personal and corporate income tax hikes -  Amendment 73, which would've imposed personal and corporate income tax hikes, was rejected by voters, with 56% voting NO.

Colorado voters defeat sales tax increase - Proposition 110, which would've raised the state sales tax, was rejected by voters, with 60% voting NO.

Maine voters reject payroll tax hike - Question 1, which would’ve enacted a payroll tax and non-wage income tax to fund a Universal Home Care Program was rejected by voters, with 62% voting NO.

South Dakota voters reject tobacco tax hike - Initiated Measure 25, which would have increased the excise tax on cigarettes, was rejected by voters, with 55% voting NO.

 

2016

Washington state rejects carbon tax - Initiative 732 got rejected by a 58.5% to 41.5% margin. The initiative would have phased in a $25 per metric ton carbon tax over a period of two years. After reaching $25 it would have continued to increase by 3.5% plus the rate of inflation until the tax reached $100.

Colorado rejects payroll and income tax hike – By a 79.9% to 20.3% margin, Colorado voters rejected Amendment 69, a massive tax increase that would have imposed a 10% payroll tax and a 10% tax on all non-payroll income.

Oklahoma rejects 22 percent sales tax hike  - State Question 779 got rejected by a 59.4% to 40.6% margin. State Question 779 would have hiked the sales tax by 22% (from 4.5% to 5.5%).

Oregon rejects business tax increase - By a 59.2% to 40.8% margin, Oregon voters rejected Measure 97 which would have implemented a 2.5% gross receipts tax on all corporate sales exceeding $25 million.

Colorado rejects tobacco tax increase - By a 53.7% to 46.3% margin, Colorado voters rejected Amendment 72, which would have increased the tobacco excise tax by $1.75 per 20-pack. Additionally, all other tobacco products excluding e-cigarettes would have been taxed at 62 percent of the manufacturer's list price.

Missouri rejects 23-cent cigarette tax increase - Missouri voters rejected Proposition A by 55.3% to 44.7% margin, which would have increased the cigarette tax by 23 cents per pack by 2021. Further, all other tobacco products would have been subject to an additional 5% sales tax.

Missouri rejects 60-cent cigarette tax increase  - By a 59.2% to 40.8% margin, Missouri voters rejected Constitutional Amendment 3, which would have raised the cigarette tax by 60 cents per 20-pack in 15 cent increments by 2020. Additionally, an 'equity assessment fee' of 67 cents per pack would have been imposed on manufacturers who did not sign the Tobacco Masters Settlement Agreement (TMSA) of 1998.

North Dakota rejects Tobacco Tax Increase - North Dakota voters rejected Initiated Statutory Measure 4 by 61.7% to 38.3%, which would have increased the state tobacco tax from 44 cents to $2.20 per pack. Also, it would have raised the tax on other tobacco products (including liquid nicotine and electronic vapor products) from 28 percent to 56 percent of the wholesale purchase price.

 

2014

Massachusetts voters eliminate a vote-less backdoor tax hike on taxpayers - Question 1: In deep blue Massachusetts, voters repealed a law that indexed the state gas tax to inflation by 53% – 47% 

Nevada voters defeat a two percent “margin tax” on businesses -  Question 3: In Harry Reid’s home state, voters defeated a proposed two percent "margin tax" on businesses by 80% – 20% . The revenue from the new tax was to be granted to the state’s public school districts.

Tennessee voters enshrined a prohibition on state and local income taxes in the state constitution by a vote of 66% – 34%

Georgia voters passed a state constitution cap on the state income tax - Amendment A: Voters enshrined in the state constitution a cap on the state income tax at the effective rate on January 1, 2015 by a vote of 74% – 26% . Therefore the state legislature is now constitutionally prohibited from increasing the state income tax rate any higher.

Photo Credit: Joe the Goat Farmer


New Mexico Examples of Tax Reform Good News

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Posted by John Kartch on Thursday, March 7th, 2019, 10:00 AM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in New Mexico. (Additions to this list can be sent to jkartch@atr.org)

Allsup’s Convenience Stores, Inc. (Headquarters in Clovis, New Mexico, with 118 store locations statewide) -- $1,000 bonuses:

Workers were feeling so good at a Santa Fe Allsup’s convenience store Thursday that you might have thought it was raining cash. And it almost was.

One-time cash bonuses of $1,000 had appeared that morning by direct deposit in the bank accounts of all full-time, non-executive Allsup’s employees who have been with the company at least one full calendar year.

Cashier Cesia Villatoro, who works at the Allsup’s store at 305 N. Guadalupe St., said she was happy with the bonus. Then she amended that to “very happy.”

“I’m going to help my family,” Villatoro said.

Owners of the Clovis-based company said in a news release that the windfall was “a result of the recent Tax Cuts and Jobs Act passed in December 2017” — a massive Republican tax overhaul pushed by President Donald Trump.

“The new tax reform legislation provides tax cuts for individuals and companies and should result in positive economic growth,” Allsup’s said.

The company operates 317 stores in New Mexico, West Texas and Oklahoma and employs 3,200 full-time and part-time employees. It did not say how many of its employees received a bonus this week.

Velia Bojorquez, manager of the North Guadalupe Street store, said the company had mentioned the bonuses would be coming but didn’t give an exact date of when workers could expect them. “It’s too good to be true,” she said. “We were all surprised. Where did this money come from?”

Bojorquez said she plans to use the extra infusion of cash to pay some bills. “It’s going to be a big help.”

Cashier Maria Rosado was equally enthused. “I really need it,” she said of the cash disbursement. “I’m going to help my family and pay some bills.” – March 15, 2018 Santa Fe New Mexican

Haciendas at Grace Village (Las Cruces, New Mexico): Hiring additional employees:

Haciendas at Grace Village had planned to expand in the future but the company is moving forward now because of lower taxes according to Coppedge. The assisted living facility which has 49 employees may hire as many as 40 additional people. — Feb. 23, 2018 Albuquerque Journal article excerpt

Public Service Company of New Mexico (Albuquerque, New Mexico) – The utility will pass tax reform savings to customers:

The company will gain about $48 million from the lowering of the corporate income tax rate from 35 percent to 21 percent. It will pass those gains onto consumers starting this year as part of Public Service Co. of New Mexico’s latest rate case that concluded in December, allowing PNM to lower its newest rate hike to just 1.4 percent. – Feb. 27 2018, Albuquerque Journal article excerpt

AT&T -- $1,000 bonuses to 287 New Mexico employeesNationwide, $1,000 bonuses for 200,000 employees and a $1 billion increase in capital expenditures:

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

Walmart – New Mexico employees at all 46 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Home Depot -- 11 locations in New Mexico - Bonuses for all hourly employees, up to $1,000.

Lowe's -- 1,000+ employees at eight store locations in New Mexico. Employees received bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (Albuquerque, New Mexico) – Tax reform bonuses for employees.

Best Buy -- Eight locations in New Mexico; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees. 

Cintas (Albuquerque, New Mexico) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Apple (Apple store in Albuquerque, New Mexico) -- $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 million 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. 

U-Haul (Multiple locations in New Mexico) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Dollar Tree, Inc. (Multiple locations in New Mexico) -- Base wage increases, enhanced benefits including maternity leave, and employee training.  

CarMax (Albuquerque, New Mexico) – $250-$1,500 bonuses depending on length of service:

The nation’s largest retailer of used cars, announced plans to provide one-time bonuses to most hourly and commissioned full-time and part-time associates as a result of the recently passed Tax Cuts and Jobs Act of 2017. Bonus amounts will vary from $200 up to $1,500 based on length of service with the company. – Feb 23. 2018, EPR Retail News article excerpt

Chipotle Mexican Grill (Multiple locations in New Mexico) – Bonuses ranging from $250 to $1,000; increased employee benefits; $50 million investment in existing restaurants.

Bank of America (Locations in Albuquerque, Edgewood, Farmington, Gallup, Las Cruces, Los Lunas, Rio Rancho, Santa Fe) -- $1,000 bonuses. 

Comcast (Multiple locations in New Mexico) -- $1,000 bonuses; nationwide, at least $50 billion investment in infrastructure in next five years.

Starbucks Coffee Company (76 locations in New Mexico) –$500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plant and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

T.J. Maxx – (Five locations in New Mexico) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

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:

Associates

  • 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

Communities

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 New Mexico) – 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

Waste Management Inc. (Multiple locations in New Mexico) -- $2,000 bonuses:

In light of the meaningful contributions of its employees and the new U.S. corporate tax structure, the company will distribute US $2,000 in 2018 to every North American employee not on a bonus or sales incentive plan; that includes hourly and other employees.

“We are about to get a tax benefit as our U.S. corporate tax rate goes from 35 percent to 21 percent. In considering how to best spend that, we wanted to find a way to help grow our economy, which in turn, will help grow our business, and give some of the tax savings back to those hardworking employees who do not get the opportunity to participate in our salaried incentive plans,” said Jim Fish, president and chief executive officer, Waste Management.

“So, we are offering each North American hourly full-time employee and salaried employee who does not participate in any sales incentive or bonus plan during 2018, a cash bonus of US $2,000 to show our appreciation to so many of our valued employees while growing our business and returning a good portion of the tax savings directly to the overall economy,” he continued. – Jan. 10 2018, Waste Management Inc. press release excerpt

McDonald’s (90+ locations in New Mexico) – 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 

Wells Fargo (76 locations in New Mexico) - Raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other New Mexico examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

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Alaska Examples of Tax Reform Good News

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Posted by John Kartch on Thursday, March 7th, 2019, 9:15 AM PERMALINK

Thanks to the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump, 90 percent of American wage earners have higher take-home pay. And employers of all sizes are hiring, raising pay, increasing benefits, upgrading equipment and expanding operations.

Below are several examples of tax reform good news in Alaska. (Additions to this list can be sent to jkartch@atr.org)

Enstar Natural Gas Company (Anchorage, Alaska) – The utility will pass tax reform savings to customers.

Alaska Electric Light and Power (Juneau, Alaska) – The utility will pass tax reform savings to customers.

Golden Heart Utilities (Fairbanks, Alaska) – The utility will pass tax cut savings along to customers:

In December, Congress passed new tax law that included a major cut to the corporate tax rate — to 21 percent from 35 percent. That will likely mean major savings for the small number of Alaska utilities that aren't cooperatives or municipally owned.

Those utilities include Enstar Natural Gas, which serves Anchorage, the Kenai Peninsula and Mat-Su; Alaska Electric Light and Power (AEL&P) in Juneau; and Golden Heart Utilities and College Utilities, water and sewer utilities in Fairbanks.– March 7, 2018 Anchorage Daily News article excerpt

College Utilities (Fairbanks, Alaska) – The utility will pass tax cut savings along to customers:

In December, Congress passed new tax law that included a major cut to the corporate tax rate — to 21 percent from 35 percent. That will likely mean major savings for the small number of Alaska utilities that aren't cooperatives or municipally owned.

Those utilities include Enstar Natural Gas, which serves Anchorage, the Kenai Peninsula and Mat-Su; Alaska Electric Light and Power (AEL&P) in Juneau; and Golden Heart Utilities and College Utilities, water and sewer utilities in Fairbanks. – March 7, 2018 Anchorage Daily News article excerpt

Walmart –Alaskans employed at all nine Alaska Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

AT&T -- $1,000 bonuses to 455 Alaska employeesNationwide, $1 billion increase in capital expenditures:

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 (Apple store in Anchorage) -- $2,500 employee bonuses in the form of restricted stock unitsNationally, $30 billion in additional capital expenditures.

Home Depot - Seven locations in Alaska, bonuses for all hourly employees, up to $1,000.

U-Haul (Multiple locations in Alaska) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Lowe's -- 800 employees in five stores in Alaska. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/paternal leave; $5,000 of adoption assistance. 

Ryder (Anchorage, Alaska) -- Tax reform bonuses for employees.

Dollar Tree, Inc. (Anchorage, Alaska) - Nationwide, $100 million investment in raising base wages, enhanced benefits including maternity leave for qualifying employees, and employee training.  

Starbucks Coffee Company (49 locations in Alaska) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

FedEx (Multiple locations in Alaska) – 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

McDonald’s (20+ locations in Alaska) – 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

Comcast (Locations in Alaska) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Wells Fargo - 45 banks in Alaska, raised base wage from $13.50 to $15.00 per hour; nationally, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Alaska examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


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