John Kartch

Boom! Thanks to GOP Tax Cuts, Manufacturers are Hiring and Expanding


Posted by John Kartch on Tuesday, December 3rd, 2019, 10:20 AM PERMALINK

Thanks to the Tax Cuts & Jobs Act enacted by congressional Republicans and President Trump, American manufacturers are hiring new employees, building new facilities, purchasing new equipment, and investing in current employees through pay raises, increased benefits, and bonuses.

ATR has compiled manufacturer examples, including:

Advanced Superbrasives (Mars Hill, North Carolina) manufactures uniquely bonded diamond and CBN grinding wheels, filtration, and dressing machines:

Thanks to tax reform, Advanced Superabrasives of Mars Hill, North Carolina, is creating high-paying jobs, investing in workforce training and growing its operations. But what’s even more impressive is it has already given many of the 43 employees not just one, not just two, but three pay raises in 2018. - July 25, 2018, National Association of Manufacturers Shopfloor blog excerpts

Baker Boy (Dickinson, North Dakota) manufactures baked goods including donuts, breads, rolls, biscuits, and more:

Baker Boy, a North Dakota baked goods manufacturer, is producing a brand new donut thanks to the GOP tax cuts. They are also purchasing new equipment, expanding business operations, and hiring new employees.

Never before seen in North America, Magic Ring Donuts are jelly or creme-filled donuts that have a hole in the middle and are injected with filling in the donut ring. The donuts are manufactured with new technology that is only currently used overseas.– October 23, 2018 ATR Blog Post

Ball Corporation (Broomfield, Colorado) - Expanding operations, hiring new employees:

We have also heard from Ball Corporation Senior Vice President and CFO Scott Morrison, who told us that his company is looking to expand its presence in the United States and add 400 more workers to its payrolls. - January 9, 2018, National Association of Manufacturers Shopfloor blog excerpt

Beck Manufacturing International (Converse, Texas) manufactures concrete mixers:

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

Bendix Commercial Vehicle Systems LLC (Elyria, Ohio) manufactures active safety technologies, energy management solutions, and air brake charging, and control systems and components under the Bendix® brand name for medium- and heavy-duty trucks, tractors, trailers, buses, and other commercial vehicles throughout North America.

Bendix Commercial Vehicle Systems LLC, an Elyria, Ohio, vehicle-parts supplier, has seen demand for its brakes and other products surge over the past year and a half as the transportation industry has picked up steam. To meet that demand and maximize capacity, the company has increased investment in machinery and has added a rotation that allows it to run full shifts seven days a week. - July 17, 2018, Wall Street Journal article excerpt

Big River Steel (Osceola, Arkansas) manufactures advanced high-strength steels including dual phase, complex phase, martensitic steel, and farrite bainite steel products. It also produces high-strength and light-weight steels that are used in the automotive industry; wide and thick steels that are used in the pipe and tube applications; and electrical steels that are used in the energy industries:

Big River Steel is investing $1.2 billion in expansion and creating an additional 500 jobs. That means more opportunity for American workers.

A spokesman for the state notes the jobs will pay on average about $75,000 annually. - June 29, 2018 Arkansas Times article excerpt

Bio-Techne (Minneapolis, Minnesota) manufactures scientific tools:

Many of you, particularly in the U.S., have probably been keeping up with the news the past few months on U.S. tax reform. With the passage of the bill in Congress yesterday and the President’s signature, the new tax law is now official. How does this affect our company? A lot. Our current corporate income tax levels average between 29% and 31%. With this new tax law, over the next year our tax rates will drop to levels potentially as low as 21%. We don’t know the total answer yet because the law is complicated, and includes tax calculations from other countries where we do business as well. What I can tell you is that we are likely to pay substantially less taxes in the U.S. and overall.  

There has been extensive media coverage here in the U.S. on what companies will do with these gains. The U.S. Government’s primary goal for the new law is that companies will use the additional monies to invest in growth, and not simply to benefit shareholders through a dividend increase or share buyback. I am happy to tell you that we will use the savings to invest in our company and in you. We will use the funds to continue our investment in the company through expansion and acquisitions. But we also want to invest in our employees. Our board of directors has approved a recommendation to pay a bonus of US $500 to every employee globally. The bonus will be paid to all employees employed as of December 31, 2017 (other than the Corporate Leadership Team) and will be included in a January 2018 payroll.  Management and the Board value each of you and your contributions, and this bonus is one way we wish to show our appreciation for your contributions to our strong business performance and excellent execution.

I look forward to working with all of you to create great future of continued growth for Bio-Techne.  On behalf of the entire management team, thank you. – Dec. 21, 2017 special message to employees from Bio-Techne CEO Chuck Kummeth

Blair Strip Steel Company (New Castle, Pennsylvania) -- The Tax Cuts and Jobs Act allowed the company to raise wages, hire new people, and buy new equipment. 

“I want to thank Mike Kelly for his role in the successful effort to reduce taxes on behalf of the company and it’s employees, said Bruce Kinney, president and CEO of Blair Strip Steel Company. His efforts are a key part of rebuilding and sustaining a healthier manufacturing climate in Pennsylvania and across the United States.” -- August 6, 2018 NAM Shopfloor Blog

Brown-Forman Corporation (Louisville, Kentucky) manufactures alcohol, including Jack Daniel's, Early Times, Old Forester, Woodford Reserve, Canadian Mist, GlenDronach, BenRiach, Glenglassaugh, Finlandia, Herradura, Korbel, and Chambord:

Paul Varga, Chief Executive Officer of Brown-Forman, said, "These capital deployment actions underscore the strength of the company’s balance sheet and health of our business, and are augmented by the anticipated benefits due to tax reform.

--

The company has also decided to fully fund its current pension liability of $120 million, further strengthening an important employee retirement benefit. Additionally, with the goal of helping to fund the company’s ongoing philanthropic endeavors in the communities where Brown-Forman employees live and work, the company is pursuing the creation of a foundation with a contribution of $60-$70 million. The company anticipates that the foundation’s proceeds will provide a consistent amount of revenue per year for its charitable giving program independent of the company’s yearly earnings.– Jan. 23, 2018 Brown-Forman Corporation press release excerpts

BWX Technologies, Inc. (Ohio and Indiana) -- Hiring more than 170 new employees because of tax reform. The company is also investing $210 million in these states because of tax reform:

BWX Technologies, Inc., a supplier of nuclear components and fuel to the U.S. government, is hiring more than 170 new employees and further expanding its operations across three manufacturing facilities in Ohio and Indiana over the course of the next four years, investing approximately $210 million in these two states as a result of tax reform.

“Due to tax reform, we saw a favorable impact to our tax rate of about 8 to 10 percent,” said Rex Geveden, BWXT’s president and chief executive officer. “This has resulted in significant cash savings that we have used for various needs, including reinvestment of capital into our business and hiring additional employees for future growth.” -- July 22, 2019 National Association of Manufacturers Shop Floor Blog

 

Cannon Inc. (Dallas, Texas) – The company was able to create new jobs and invest in new equipment because of the Tax Cuts and Jobs Act:

But many small businesses who file as pass-through entities will qualify for at least some additional deduction. The change will help businesses build a cushion to weather slow periods and financial crises, said Greg Brown, the president of Cannon, Inc., a Texas wholesale distributor for storage equipment like warehouse shelving and conveyor belts. 

“It just seems like you never quite have enough money in the bank for a downturn,” said Brown, who employs 30 people, five of them hired in the past six months. The tax law “allows me to keep a little more capital, to put some money in the bank for me for a rainy day, to bonus my employees, [and] to buy more capital equipment that I may need.”– Feb. 27, 2018, PBS News article.

Cardinal Manufacturing Company, Inc. (Indianapolis, Indiana) manufactures custom high quality interior signs and sign plans:

Cardinal is the leading manufacturer of Interior Signage in the Midwest.  We are pleased and proud to announce our small business is rewarding our (17) Team Members at this time in 2018:  Profit sharing Bonuses for those enrolled in the plan, bonuses for those new employees that are not yet eligible to enroll, and an average pay increase of over $1.00 per hour, across the board, to our fantastic Team. Cardinal will also use the additional funds available from the new tax cuts to invest in our Company’s growth and development. -  August 13, 2018, Laura Mulligan, President of Cardinal Manufacturing Company Inc.

Carpenter Technology (Reading, Pennsylvania) manufactures high-performance specialty alloy-based materials and process solutions for critical applications in the aerospace, defense, transportation, energy, industrial, medical, and consumer electronics markets:

The company announced Monday that it will invest $100 million in soft magnetics capabilities and a new, precision strip hot rolling mill in Reading. The new mill, officials said, will allow Carpenter to meet the increasing demand for aerospace, consumer electronics, and electric vehicle manufacturing customers.

"With more than 90 percent of our products manufactured in the U.S., this type of capital investment will strengthen our foundation for long-term sustainable growth, provide good-paying jobs and increase value for shareholders for years to come," said Tony Thene, Carpenter Technology's president and CEO. "Today's announcement demonstrates the benefits of an effective partnership between public policy and U.S business."

Carpenter said it estimates the company will save as much as $100 million in taxes over the next five years as a result of the recently enacted Tax Cuts and Jobs Act. The company said those savings will allow it to increase investment in its manufacturing operations over the same time period. – March 26, 2018 WFMZ News article excerpt

Centennial Bolt (Denver, Colorado) manufactures bolts, nuts, screws, rivets, washers:

Mark Cordova, President of Centennial Bolt and a longtime champion of American manufacturing is part of the National Association of Manufacturers’ Executive Committee, is hailing the recently signed legislation...

“I’m mapping out putting in a new plant in the Midwest,” Cordova said. The new product line he plans to launce from that facility “is something right now that’s being manufactured primarily in China. We’re actually going to be at a competitive level to build it in the United States again.”

Other advances Cordova attributed to tax reform include:

“Tax savings aren’t just for me,” said Cordova. “It’s so people can have a better life. It’s always been a family motto: our goal is that people will do better for themselves so they can improve their lives and take care of their own.” Centennial Bolt’s new equipment will not just allow the firm to increase production and make work easier for employees—but Cordova said it’ll give the men and women on his shop floor a new reason to be hopeful, rather than watch more and more of their manufacturing jobs go overseas.-  April 24, 2018 National Association of Manufacturers Shopfloor Blog article excerpt

Circuit Interruption Technology Inc. -- CIT Relay & Switch (Rogers, Minnesota) manufacturers a broad array of automotive, telecom, security, industrial, and audio thru-hole and surface mount switches and relays:

Circuit Interruption Technology Inc. dba CIT Relay & Switch manufactures and distributes electromechanical relays and switches to the electronics, security, HVAC, appliance and automotive industries. Employees were notified just before Christmas of one extra week pay added to their final year end check as a result of the new tax reform measure. Due to the positive atmosphere created by the passage of the tax bill Company profit sharing combined with normal 401K contributions amounted to an additional 5% per employee for 2017. CIT has added 10% to our staff thus far in January 2018 and more additions are expected. – Rick Hampton, CIT Relay & Switch

City Machine Technologies Inc. (Youngstown, Ohio) – Because of the Tax Cuts and Jobs Act, the company was able to create more jobs, buy new equipment, and increase wages:

“First and foremost, we are happy to see that the tax reforms will be putting a little extra into our employees’ pockets,” said Claudia Kovach, owner of Youngstown, Ohio-based City Machine Technologies Inc. “When you have less to pay for taxes, you have more money to hire more staff, increase wages and buy new equipment.” – March 23, 2018, NFIB article.

CMC Steel (Cayce, South Carolina) manufactures steel and metal:

“Many businesses in South Carolina have already announced pay and benefit increases, like CMC Steel Company” - Feb. 12, 2018, Rep. Joe Wilson Press Release

Complex Chemical Company Incorporated (Tallulah, Louisiana) manufactures chemicals like brake fluids and antifreeze:

Thanks to tax reform, Complex Chemical Company Incorporated of Tallulah, Louisiana, is hiring more workers, raising wages and making critical new investments that will help grow its business.

Travis Melton, Complex Chemical’s vice president of sales and marketing, said that his company’s first order of business after tax reform passed was to give an immediate raise to every single one of its 120 employees. It’s the first time in several years that the company was able to give such substantial, across-the-board pay increases.

Melton also explained that tax reform is helping Complex Chemical reinvest in its business and accelerate its expansion plans.

“We’ve had an expansion in the works for two years,” Melton said. “Because the corporate tax rates have been reduced, it’s easier for us to move forward with this expansion and another one we have around the corner. Tax reform helps move these investments.” - July 18, 2018, National Association of Manufacturers article excerpt

Conger Construction Group (Lebanon, Ohio) – Because of the Tax Cuts and Jobs Act, the company was able to double the amount of employees, offer bigger bonuses, give more paid time off, and provide better healthcare benefits to workers.

“Justin Conger, owner and president of Conger Construction Group in Lebanon, Ohio, a C corporation, attributes the explosion of his business to the TCJA’s flat corporate tax rate of 21 percent, and he thinks his company’s success indicates the health of the overall economy.

“Construction is a lagging indicator of the economy,” he told members of the House Committee on Small Business on Wednesday. “If our clients or other businesses are not growing, expanding, or re-investing in their facilities, there is no need for commercial construction services. There is a lot of work to be completed before a project can start; from an owner obtaining financing, to architectural drawings being completed, to regulatory approval from local jurisdictions. Businesses all over Ohio are growing and expanding by utilizing the benefits of the TCJA and reinvesting additional generated capital into their businesses. In talking with past, future, and current clients, over 80 percent indicate the reason for their investment in construction services is due to the economy and current tax structure.”

“Conger said the number of employees at his company doubled in the last year and a half, and he’s been offering bigger bonuses, more paid time off and better healthcare benefits to workers because business has been so good. Conger said they’re also expanding office space due to the increased number of employees.”

“Those are real numbers and big numbers in Warren County and Lebanon, Ohio,” he said. – July 25, 2019 Inside Sources article 

Cox Manufacturing (San Antonio, Texas) manufactures screw machine products and precision turned products:

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

Cranston Material Handling Equipment Corp (McKees Rocks, Pennsylvania) – Because of the Tax Cuts and Jobs Act, the company was able to purchase new equipment, build a new website, and invest in training:

As president of the western Pennsylvania company, Cranston was there to discuss the benefits of the Tax Cuts and Jobs Act for small business. Founded in 1957 and an NFIB member since 1994, Cranston Material Handling Equipment Corporation sells material handling products.

“Like many business owners, I pay quarterly estimated taxes,” Cranston testified. “In order to pay those taxes, I take cash from my company each quarter. Those payments suck my working capital right out of my business quarter after quarter. Under the Tax Cuts and Jobs Act’s new Section 199A, I now qualify for a 20 percent deduction on my pass-through income. In real terms, this means I will be able to keep between $1,200 and $2,500 a quarter in my business that I would otherwise have paid in taxes. The ability to keep $5,000 to $10,000 a year in my company is a big deal to a small business owner like me.”

As of January, Cranston has focused on expanding into a new product line. Cranston will purchase new equipment, invest in training, and build a new website, according to his testimony. He credited the tax act for his better financial position to self-fund this new product.

“I can tell you that my optimism that the economy has a real opportunity to continue improving has dramatically increased,” Cranston testified.

Cranston testified in front of Senate Finance Committee Chairman Orrin Hatch, alongside Douglas Holtz-Eakin, president of the American Action Forum, David Kamin, professor of law at the New York University School of Law, and Rebecca Kysar, professor of law at the Brooklyn Law School.

“The Tax Cuts and Job Act has not only reduced taxes for businesses like mine; it has created an environment where more business owners feel confident to take the cash from the tax savings and invest it back into their businesses,” Cranston told lawmakers. “For these reasons, I believe the Tax Cuts and Job Act is spurring business investment and therefore has set the stage for increased economic growth for years to come.” – April 25, 2018, NFIB article.

C.R. Onsrud (Troutman, North Carolina) -- The Tax Cuts and Jobs Act has allowed the company to hire 40 new employees and invest over $8 million in plant upgrades and new equipment.

“At C.R. Onsrud, we appreciate Rep. Budd’s commitment to pro-growth policies and regulatory reform, said Tom Onsrud, president and CEO of C.R. Onsrud. His vote for the tax legislation was a clear message that he stands with manufacturers and manufacturing workers across America. As a direct result of the tax legislation, C.R. Onsrud has hired an additional 40 employees and, due to the immediate capital expensing provision of the law, has invested over $8 million in plant upgrades and equipment necessary to grow our business. Because of Rep. Budd’s leadership in Washington, manufacturing in North Carolina will only continue to flourish.” -- August 30, 2018 NAM Shopfloor Blog

Cummins (Columbus, Indiana) manufactures diesel and alternative fuel engines and generators, and related components and technology

Cummins is accelerating several compensation and benefits programs that have been under consideration for some time. And, in the U.S. specifically, those results combined with the recent tax legislation have allowed us to bring those programs to fruition even more quickly that we had originally planned. For example, I hope you saw that at the beginning of the year we decreased the out-of-pocket maximums in our U.S. medical plans for all employees earning under $60,000 per year. And, for our employees in our U.S. medical plans whose base salary is $40,000 or less per year, we will provide a one-time additional $1,000 employer-seed contribution in their 2018 Health Savings Account (HAS). This is on top of the increased HSA employer contribution that was announced for the 2018 plan year. In addition, we are looking at opportunities in the coming year, and as our collective bargaining agreements expire, to:

More information about these programs will be shared in the coming months. And, rest assured that we are also evaluating how Cummins can improve compensation and benefits globally to support our employees in the best possible way. Maintaining a strong compensation and benefits program enables Cummins to remain competitive in the marketplace, and provide sustainable growth for employees throughout their career.

I want to thank you for all of your work to make our company successful in 2017, and providing a strong foundation for a great 2018.

Rich Freeland

President & Chief Operation Officer

Custom Truck & Body Works (Woodbury, Georgia) manufactures specialized emergency vehicles including ambulances, fire trucks, and swat trucks:

“Two that I will highlight at some point tonight will be Shred-X in Griffin, Georgia, and Custom Truck and Body Works in Woodbury. Both of these businesses are expanding and hiring more workers, and this is a great story for the State of Georgia and the Third District. We are awfully proud of them.”  - March 20, 2018, Rep. Drew Ferguson statement on the House floor

Danko Arlington Inc. (Baltimore, Maryland) manufactures a variety of aluminum and bronze custom-made products:

Danko Arlington and its employees have also benefited from the tax cuts.  Just in the past few months, the company purchased and fully depreciated a new 3-D sand printer in December 2017, provided higher wage increases in January, renovated its seventy-five-year-old pattern shop into a state-of-the-art additive manufacturing center in February, and hired six more workers in March.

Overall the company is looking forward to the expanding economy — including increased funding for defense.  Danko Arlington is not alone. According to a recent survey from the National Association of Manufacturers, optimism among manufacturers registered its second-highest level ever recorded (93.5 percent) in the 20-year history of the survey. - April 12, 2018, Danko Arlington release excerpt

Dixon Valve (Chestertown, Maryland) manufactures hose fittings and accessories:

A Maryland manufacturer will pay $1,000 bonuses to full-time employees as a result of the Republican tax cuts, a move cited by House Speaker Paul Ryan’s press office Wednesday as an example of the tax law working.

Dixon Valve, a company in Chestertown that makes hose fittings and accessories, said the bonuses were a “direct result” of the tax overhaul and regulatory relief.

Hundreds of companies have announced bonuses, raises or other benefits for workers tied to the tax overhaul, according to the anti-tax group Americans for Tax Reform.

Dixon Valve’s announcement stands out, though, because it is one of the companies that Ryan visited in October as he was trying to build support for the massive legislation. – March 28, 2018 Washington Examiner article excerpt

Dong-A Hwa Sung (Martin, Tennessee) - manufactures home appliances and automotives:

“Additionally, in my district, a South Korean manufacturer announced a $13 million investment in Martin, Tennessee, and 220 job opportunities at the company’s first United States-based location.” - May 8, 2018, Rep. David Kustoff statement on House floor

Dyersville Die Cast (Dyersville, Iowa) manufactures custom aluminum die-castings:

“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

Eagle Manufacturing (Wellsburg, West Virginia) manufactures Safety Cans, Safety Cabinets, Secondary Spill Containment Products, Poly Drums, Material Handling Products and Cigarette Receptacles

The company traditionally has sought to buy used equipment at low prices when replacement of machinery was necessary, according to Trimmer.

“Because of that tax break, we can invest and buy our next machines,” he said. “My department is now looking to buy a $2 million machine, rather than a 1990 classic. It will pay for itself in a short manner of time.”

Trimmer said the company is about to sign some government contracts that will put Eagle cabinets and metal products on the next generation of U.S. naval destroyers.

This could result in as many as 25 jobs being created, he said. – May 3, 2018, The Intelligencer article excerpt  

Eastman Chemical (Kingsport, Tennessee) manufactures a broad range of advanced materials, chemicals and fibers:

Kingsport, Tenn.-based Eastman Chemical said it was investing savings in research and development, innovation programs and capital projects to expand manufacturing. - June 29, 2018, Tennessean article excerpt

Eli Lilly (Indianapolis, Indiana) manufactures pharmaceuticals:

The latest tax reform win comes from Indiana, where pharmaceutical manufacturer Eli Lilly and Co. recently opened a new $75 million research facility in Indianapolis. The company’s CEO credited tax reform and other pro-growth policies that helped make it possible.

“Congress and this (presidential) administration have enhanced our ability to acquire and develop U.S.-born innovation,” Dave Ricks, chairman and CEO of Lilly, said in a statement. “The tax reforms they’ve adopted place U.S. companies like Lilly on a level playing field with our global peers.”  - July 9, 2018, National Association Of Manufacturers Shopfloor blog excerpt

Ellwood Group (Ellwood, Pennsylvania) manufactures steel and other heavy metals:

The tax reform is incentivizing the Ellwood Group to invest $10 million into the plant, including an expansion that will house a massive robot.

Ellwood Group CEO David Barensfeld says 500 people currently work at the plant; 200 of them making military equipment.  "Two-thousand-pound capacity to automatically transfer unfinished bombs, so that they can be finished and sent to the Air Force...  And, we expect to expand employment by, perhaps, 10 percent in the next short while, because of the increased demand for bombs." - August 9, 2018, YourErie.com article excerpt

Ennis, Inc. (Midlothian, Texas) manufactures forms, labels, tags, envelopes, folders and more:

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

Evans Tool & Die   (Conyers, Georgia) - Creates New Jobs, Invests Heavily in New Equipment:

“Generosity is one of our core values,” explained Dee Barnes, President and CEO of Evans Tool & Die. “We’ve always shared profit with our employees, and we have always given bonuses each year. With tax reform we will be able to increase those bonuses to our employees. 

“We have a 40,000 square foot warehouse that’s ready to be used,” said Barnes. “We’re ready to grow, buy another stamping press, buy new equipment. In recent years, we haven’t been able to invest heavily into new equipment but now tax reform has definitely made it a good time to invest. Tax reform is causing new business to filter down to Evans, because we make small parts that go into bigger products. The supply chain has definitely been effected positively by tax reform.” 

Evans is creating new jobs, but the labor pool for tool manufacturers is small. As a result, Evans is investing heavily in apprenticeship training for new employees and their existing employees. 

“We’re raising up our own workers to ensure we have quality toolmakers,” said Barnes. “You can’t just go out and hire toolmakers anymore, because there aren’t any. We’ve partnered with tech schools to help them rebuild tool manufacturing programs. And we do everything we can to reward our employees, so they stay want to stay at Evans Tool & Die. Plus, we’re proud to help our workers provide for their families, with incredible healthcare and great benefits.” – September 13, 2018 – National Association of Manufacturers

Excel Boat Company (Ridgely, Tennessee) manufactures boats:

“In Lake County, Excel Boat Company announced they will be opening a manufacturing plant that will bring 200 good-paying jobs and a total economic development investment of $9 million.” - May 8, 2018, Rep. David Kustoff statement on House floor

Expanded Technologies, Inc. (Marietta, Georgia) manufactures light gage expanded metal:

Expanded Technologies, Inc. (ETI) is a privately held corporation based in Marietta, GA which specializes in the manufacture of light gage expanded metal used in the support of HVAC filtration.

As a result of the Tax Cut and Job Act recently enacted by the Trump Administration, we are pleased to announce that ETI will give each of its 77 employees a bonus of $500 cash along with an additional sum for each year of service." -- Statement by Jean-Luc Liverato of Expanded Technologies, Inc.

Fairfield Insulation and Drywall (Lancaster, Ohio) – Because of the Tax Cuts and Jobs Act, the company was able to expand their life insurance benefits and increase their 401(k) match:

Fairfield Insulation and Drywall, a small Ohio-based company, was able to expand life insurance benefits for its employees last year. This year, it will increase its 401(k) match. – April 14, 2019, Fox Business Network article.

Ferroloy (Kansas) -- Doubled the size of its workforce:

Ferroloy, a Kansas-based small business that manufactures ductile and gray iron castings, was once on the verge of bankruptcy. But with the help of tax reform, they have doubled the size of their workforce and are in the process of dramatically expanding their facilities.

“We could tell in early 2018 that activity was picking up, so we added a second shift and more than doubled our workforce by the end of the year,” Soucie explained.

Soucie cited tax reform as a significant driver in allowing Ferroloy’s expansion plans to move faster than they otherwise would. More importantly, tax reform has ushered in the strongest economy in more than a decade, which is impacting Ferroloy by increasing demand for their products.

“To me, tax reform is an opportunity to level the playing field,” Soucie explained. “Large businesses have a significant competitive advantage due to scale and capability relative to smaller businesses. Over 50 percent of our working population is employed in small businesses. If you want small businesses to grow and prosper in this country, we need laws, like tax reform, that can drive economic growth and drive business.”

In Soucie’s eyes, keeping tax reform on the books is a no-brainer.

“I don’t understand why some people in Washington want to roll back something that allows small businesses to compete,” Soucie added. “Maybe it’s me being politically naïve, but economically, tax reform that allows small businesses to compete just makes sense.” --June 5, 2019 National Association of Manufacturers Shop Floor Blog

FireBird Bronze (Damascus, Oregon) manufactures casting artwork:

We are a small manufacturing business casting artwork for artist in bronze we have 9 employees and because of the tax cuts and the current business friendly climate we are for the first time offering employees health care insurance costing our company 40k per year.  – Rip Caswell, FireBird Bronze

First Solar (Perrysburg, Ohio) manufactures solar panels:

First Solar cited two reasons for the expansion, more than doubling the company's output: along with higher solar demand, it pointed to changes in the corporate tax rate. Combined with the tariff decision six months ago, the solar company has benefited from the Trump Administration's decisions.

The expansion will cost $400 million, with a workforce of approximately 500 associates and an annual payroll of approximately $30 million. The company said via a statement it "has options for potential further manufacturing expansion in the future," depending on domestic demand for panels.

First Solar says it has invested approximately $3 billion in Ohio since the company's inception, and state and local officials have worked with the company to create a "business-friendly environment." - June 13, 2018, Utility Dive article

Flavorchem Corp. (Downers Grove, Illinois) -- Because of the Tax Cuts and Jobs Act, the company was able to make a $4 million investment in new equipment.

“During the visit, Flavorchem announced a previously-undisclosed $4 million investment in new equipment helped made possible due to the historic tax reform law enacted last year. Roskam was able to view the upgraded spray dryer and air pollution control device while touring the facility.

 Rep. Roskam’s leadership on tax reform supported our long-term, community-focused strategic plan of making a $4 million expansion of our production and enabled us to keep our strong commitment to meeting the highest standards of quality, safety and supply chain contingency, said Ken Malinowski, President of Flavorchem Corporation.” -- July 2, 2018 NAM Shopfloor Blog

 

Footwork International Inc. (Torrance, California) – Was able to create new jobs and increase wages because of the Tax Cuts and Jobs Act:

“Tax Reform allows my business options to exercise many small business struggles with high tax rate,” said Jim Wang, owner of Footwork International Inc. in Torrance, California. “By allowing higher retaining income rate, this enables us to exercise growth options such as staffing, wage increase, purchasing power to keep our business competitive both domestically and globally.”– March 23, 2018, NFIB article.

GE Appliances (Louisville, Kentucky) manufactures kitchen appliances: 

With help from the GOP tax cuts, GE Appliances is investing $200 million in U.S. manufacturing operations and adding 400 jobs. - October 18, 2018, ATR blog post  

Global Water Services (Lisbon, Iowa) -- Hired new employees and built a new warehouse because of the Tax Cuts and Jobs Act.

When small business owners anticipated how much they would save in taxes under the federal Tax Cuts and Jobs Act, many reinvested those savings in their businesses and their employees.

 The owner of Global Water Services in  Lisbon, Keith Huebner, built a new warehouse and added employees. -- June 3, 2019, Des Moines Register

 

Goad Company (Independence, Missouri) manufactures corrosion-resistant tanks and a nationally recognized tank lining applicators:

$1,000 bonuses to employees.

Great Southern Wood Preserving, Inc. (Abbeville, Alabama) manufactures lumber products:

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

Geetings, Inc. (Pella, Iowa) -- Was able to purchase new semitrailers and give employees raises because of the Tax Cuts and Jobs Act.

When small business owners anticipated how much they would save in taxes under the federal Tax Cuts and Jobs Act, many reinvested those savings in their businesses and their employees. 

Lana Pol, who owns several small businesses including Geetings, Inc., a transportation firm in Pella, says she gave employees raises and purchased six new semitrailers. -- June 3, 2019 Des Moines Register

Guy Chemical Company Inc. (Somerset, Pennsylvania) manufactures silicone sealants, silicone greases and two part epoxy adhesives.

Guy Chemical is increasing bonuses between 25 – 50%, increasing wages and investing in new equipment. So far in 2018 we bought a new forklift, furnished a new laboratory and updated some of our computer equipment. We have also invested in a new ERP software system to run our company. – April 4, 2018 statement to Americans for Tax Reform from Guy Berkebile, President of Guy Chemical Company Inc.

Hancock Lumber (Casco, Maine) -- Used savings from the Tax Cuts and Jobs Act to increase wages, increase 401k contributions, increase holiday bonuses, as well as cover 100% of annual health insurance increases. 

“It’s pretty straightforward,” said Hancock Lumber CEO Kevin Hancock. “As a result of tax reform, our cumulative tax rate fell from 38 percent to 28 percent. We’re keeping a dime-on-a-dollar more of our earnings. And we’ve reinvested 100 percent of that back into the business.”

“The first priority of the company is, and always has been, the people who work here,” said Hancock. “In the twelve months following tax reform we increased our employees’ wages. We increased our 401k contribution. We increased our annual bonuses, we increased our holiday bonuses, and we picked up 100 percent of the cost of our annual health insurance increases.”

“We’ve been able to accelerate our reinvestment plans,” said Hancock. “Tax reform is allowing us to do in three years what might’ve taken us four to five years to do otherwise. That’s pretty significant.” 

“Most importantly, this isn’t a one-time boost. Tax reform’s benefits will show up every single year in the future,” said Hancock. “It’s strengthening our future plans as much as our present plans. Simply put, any time a good company is able to keep more of its own money, good things happen.” -- Aug. 20, 2019 NAM Shopfloor Blog 

Harris Corporation (Melbourne, Florida) manufactures tactical radios, assured communication systems and related products:

Harris Corporation (NYSE:HRS) today announced that, as a result of the passage of the tax reform bill, the company anticipates making an additional contribution to its employee pension fund, increasing its investment in research and development, and providing a one-time stock grant to all of its non-executive employees. The actions are expected to occur within the company’s fiscal 2018.

To increase current and former employee retirement stability, Harris anticipates contributing an additional $300 million into the company’s employee pension fund.

The company also will invest an incremental $20 million in technologies to accelerate innovation and affordability initiatives for its customers. This investment in research and development will leverage and enhance the company’s strong engineering talent, strengthen Harris’ position and help it capture new market opportunities in areas such as small satellites, software defined electronic warfare systems, open systems avionics, robotics and air traffic management solutions.

In addition, the company will grant each of its approximately 17,000 non-executive employees 10 shares of Harris common stock that will vest over two years. The grants have a current market value of about $1,470 each, or approximately $24 million in total.

“We are pleased to share the benefits of our strong performance and the recent tax reform legislation with our employees,” said William M. Brown, chairman, president and chief executive officer. “This represents an investment in Harris’ greatest asset and differentiator – our talented employees. Coupled with our innovation and technology investment, we are using this opportunity to further strengthen the company and position Harris for future success.” -- Jan. 30, 2018 Harris Corporation press release

Haworth Inc. (Holland, Michigan) manufactures adaptable workspaces including raised floors, movable walls, office furniture and seating:

Matt Haworth, chairman of the family-owned company, announced to staff on Wednesday, Jan. 24, that full time employees would receive one-time bonuses of $1,000, and part-timers would collect $500.

More than 4,500 employees who work for Haworth-branded companies around the globe will collect the rare bonus.

--

Matt Haworth says the company is able to make the $5 million investment because of several factors including strong 2017 revenues which will be announced next month and an improved business climate state and nationally. The latter he attributes to a rollback of regulations and taxes, which lower company's operational costs. – Jan. 25, 2018 Grand Rapid News article excerpts

Hudson Facades (Linwood, Pennsylvania)  manufactures facades:

“We raised wages, yes,” said Allen Cohen, managing partner of New Hudson Facades, of the approximate 5 percent raise given to employees. “In addition to that, Related Companies [a partner company] has given every factory employee, $3,000 in their 401(k).” – Feb. 20 2018, WHYY article excerpt

Huntington Ingalls Industries (Newport News, Virginia) manufactures military ships:

Workers at Huntington Ingalls Industries will receive a one-time bonus in the company’s response to the federal Tax Reform Act.

A $500 bonus will be given to all employees except for those who work through an incentive plan.

HII is the parent company of Ingalls Shipbuilding, which employs about 11,500 workers and is the largest manufacturing employer in Mississippi.

HII President and CEO Mike Petters announced the news Thursday in a letter provided to the Sun Herald.

The bonus one of several contributions the company plans to make, according to Petters’ letter. – Feb. 15, 2018 Sun Herald article

IDEXX Laboratories Inc. (Westbrook, Maine) manufactures diagnostic tests for pets, poultry and livestock as well as quality and safety tests for water and milk:

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

Industrial Weldors & Machinists (Duluth, Minnesota) manufactures custom industrial equipment parts:

“This is an American success story of generations,” Pence said of IWM, a third-generation family business that gets 70 percent of its work by rebuilding massive rock crushers used to extract taconite iron ore on the Iron Range.

Trump tax cuts helped the business and its employees, Pence said — including thousands of dollars in investments by the company into IWM employee pensions earlier this year.

“That’s what it’s all about,” Pence said.

It was an easy fact to check after the vice president’s remarks. All four sibling owners of the company were on hand — Dawn Bergh and her brothers Rick, Rob and Randy Abernethy. Bergh confirmed the pension investments for the company’s 32 employees.

“The boilermakers’ pension is in the toilet,” Bergh said. “They’re worried about it. We wanted to give them something that would keep them around. It’s really hard to get employees. We’re hiring right now for both a welder and a machinist.” -August 8, 2018, Twin Cities Pioneer Press article excerpt

Johnson & Johnson (New Brunswick, New Jersey) manufacturers a broad range of products used in the baby care, oral care, beauty, over-the-counter pharmaceutical, women’s health and wound care markets; products used for immunology, infectious diseases and vaccines, neuroscience, oncology, and cardiovascular and metabolic diseases; and a broad range of products used in the orthopaedic, surgery, cardiovascular, diabetes care and vision care fields:

“Now regarding tax reform, what we said from the very beginning is that one of the major reasons, in addition to lowering the rate, is just frankly the flexibility that it provides us, and we think it actually helps make us more competitive, particularly on an international level if we happen to be in a competitive situation with other companies because now we have greater flexibility on how we can access that cash. So we think net-net, it's a positive for us. As you heard Dominic [J&J CFO] mention earlier, regarding the more immediate tax reform impact, we think that the -- the wise thing to do is to invest a good portion of that back into R&D. If you look over the past several years, the output, the productivity, particularly in our pharmaceutical pipeline, but also in others of our investments in R&D, we think, have been at the high end. And we think ultimately doing that, we'll have the greatest impact on our business, will help us get out to better serve underserved needs around the globe, and that's where we're heading in that direction.” – CEO Alex Gorsky

"We are pleased by the final passage of the U.S. tax cuts and jobs act.” – CFO Dominic Caruso

Jamison Door (Hagerstown, Maryland) manufactures cold storage doors, high speed fabric doors, sound reduction doors, recirculatory air doors, RFID portals and other new technologies:

Jamison Door, which manufactures temperature-controlled doors, has been a family-owned business since 1906. The company’s commitment to the men and women on its shop floor means that every single employee is sharing in the benefits of tax reform.

Jamison’s 120 employees received two bonuses, each equivalent to one week’s salary—first in August, in anticipation of tax reform, and again in February, after the new law took effect.

That is just the beginning: this year, Jamison plans to do even more, offering another raise to its employees.

Jamison Door is also taking advantage of tax reform and using its tax savings to reinvest in its business. That means growing its facilities, investing in new technology and creating skilled jobs in the Hagerstown plant.

Over the next year, Jamison is adding more than 50,000 square feet in new manufacturing space.

“Right now, we’re in the process of adding a significant-sized facility to add different product lines,” added Chairman and CEO John Williams, referencing his company’s plan to expand a product line of high-speed roll-up doors. “It’s a 400 percent increase in plant size.”

“We are spending about $1.5 million on new state-of-the-art equipment in our main plant, which makes foamed-in-place cold storage doors, and more than $3.5 million on the new plant for high-speed roll-up doors. These are significant investments for a company our size, and we feel comfortable making these investments because of the favorable business climate and the benefits of the lower tax rates.”

Expanding the company’s facilities also means Jamison will need more workers, and it plans to increase hiring dramatically. Over the next three years, Jamison plans to increase its workforce by more than 115 percent.

“Tax reform has absolutely made it more feasible to undertake these projects,” explained Williams. “Tax reform is necessary for us to keep expanding and to keep our business strong.” - July 5, 2018, National Association of Manufacturers article excerpt

Jergens, Inc. (Cleveland, Ohio) manufactures tooling components, fasteners and hoist rings:

Thanks to the tax package, Jergens took what would normally be a cost of living increase for its workers, doubled it and built it in as a permanent part of wages, rather than making it a one-time bonus as some companies did. That means a worker making $25 an hour got a raise of about $2,000 a year. – Feb. 4, 2018 Cleveland.com article excerpt

JSW USA (Mingo Junction, Ohio) -- Committed to $1 billion of new investment in the USA in addition to the hiring or re-skilling of 500 workers:

Today JSW USA CEO John Hritz and Ryan Brindley, an employee at their Mingo Junction, Ohio, state-of-the-art steel mill met with President Trump, Vice President Pence, Ivanka Trump, and other cabinet officials and governors at the White House to celebrate the one-year anniversary of the Pledge to American Workers. 

Hritz, who signed the Pledge in January committing to $1 billion of new investment in the United States and the hiring or re-skilling of 500 workers, visited with the President to show his support for the employees of JSW USA and to ensure Administration policies continue supporting a strong steel industry in America. -- July 25, 2019 Business Wire

Kaman Corp. (Bloomfield, Connecticut) manufactures helicopters and aviation accessories:

Bloomfield manufacturer Kaman Corp. says it's joining the list of U.S. employers sharing the wealth with workers in the wake of federal tax reform.

The maker-supplier of aeroparts, custom aircraft and power-distribution products disclosed Wednesday that about 2,400 workers who were on its payroll on or before Oct. 1, 2017 and who earned less $75,000 a year are eligible for a $1,000 bonus. However, each must remain on the payroll through Aug. 31 to collect, CEO Neal J. Keating told staff in a memo. – April 18, 2018, Hartford Business Journal article excerpt

Kalmbach Feeds (Upper Sandusky, Ohio) - Invested in new equipment and capital improvements because of tax reform.

“I want to thank Rep. Bob Latta for his role in the successful efforts to reduce taxes and regulations, said Paul Kalmbach, President and CEO of Kalmbach Feeds. These reforms have made it easier for Kalmbach Feeds to invest in new equipment and capital improvements. Congressman Latta’s efforts have assisted in supporting a healthier manufacturing climate in Ohio and across the United States.” -- August 23, 2018 NAM Shopfloor Blog

Kanga Roof (Austin, Texas) – Tripled their revenue and was able to double their payroll.

“Round Rock roofing business co-owner Stacie Feller credited Trump with boosting businesses’ confidence.

“She and her husband Scott’s Kanga Roof Austin has has more than tripled its revenue and more than doubled its payroll, to 24 employees, since January 2017, she said.”

“I’m very proud to say with some of the tax cuts, some of the things, this year, 2019, was the first year we were able to offer health insurance and a simple [Individual Retirement Account] plan for our employees,” she said. “We just couldn’t afford it before.” -- Aug. 29, 2019 Dallas Morning News article

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

 

Ketchie (Concord, North Carolina) -- $500,000 capital investment in equipment:

“Because of this huge demand, Ketchie was able to make a number of capital investments,” Silver said. 

Silver said the company had it’s best year in history, with sales increasing by 25% year after year. -- June 19, 2019 National Association of Manufacturers Shop Floor Blog

Kris-Tech Wire (Rome, New York) manufactures copper wire:

On the tour, Graham Brodock the President and CEO informed Rep. Tenney that Kris-Tech Wire has reinvested in the company as a result of the Tax Cuts and Jobs Act. Kris-Tech is building an addition and acquiring new equipment-thanks to the newly created ability to write off equipment charges. Kris-Tech has over 400 employees and a deep commitment to continuing to invest in the facility and employees here in Rome. - August 2, 2018, Rep. Claudia Tenney press release excerpt

Lawrence Paper Company (Lawrence, Kansas) manufactures corrugated boxes, retail packaging and display products for industrial, commercial, or retail use:

The tax bill signed by President Donald Trump last month was met with mixed reviews by some wondering who it would truly benefit, but the Lawrence Paper Company who employs three-hundred workers throughout its Freemont, Nebraska, Lawrence and Hutchinson locations is confident the tax bill will contribute to their future success as a business.

"Assuming you've got the same amount coming in then obviously you're going to make more as a company that we can then again do three things, reinvest it into the business, into your people or pass it along to your shareholders," says Tony Schleich, president of the Hutchinson company division.

Re-investing into its employees is the first step company owners took. This week, they surprised their 300 workers with the news each would receive a $500 bonus.

Employees like Josh Marshall were surprised at the news.

"This money is going to help me recover from the holidays and everything like that," Marshall said. – Jan. 10 CBS KWCH Channel 12 news report

Lee Container Company (Homerville, Georgia) manufactures polyethylene plastic containers:

“Lee Container Company in Homerville, which I visited a couple of weeks ago, said the Tax Cuts & Jobs Act will enable them to purchase more equipment and grow their business.” - March 20, 2018, Rep. Buddy Carter statement on House floor

LiDestri Food and Drink (Rochester, New York) manufactures food, beverages, and spirits:

The Rochester based producer of food, beverages and spirits gave all of their 1,200 employees at each of their five U.S. facilities an extra full paycheck.

They were notified on Wednesday that their mid-month paycheck had been doubled, because of strong company performance and the recently approved federal tax legislation.

“When we learned that the recent tax cuts would provide the company with some unaccounted-for funds, we immediately thought it should be shared with our workforce,” said Co-President Stefani LiDestri. “It just so happened that it came together on Valentine’s Day, the perfect time to let our employees know how much they mean to us.”

She said that the recent federal tax cuts will provide some unaccounted for funds, and the company thought it should be shared with the workforce.

Locally, LiDestri has facilities in Fairport and at the Eastman Business Park. – Feb. 15, 2018 WXXI news article

Lima Pallet Company (Lima, Ohio) manufactures custom wood pallets and crates:

Lima business owner Tracie Sanchez said the tax cut has helped her business. Now she’s adding 15-20 jobs and finishing a half a million dollar expansion project.

"Within probably the first week, we ended up giving all of our employees a raise, which has been much needed," said Sanchez, president, and owner of Lima Pallet Company. "We haven’t been able to do that for several years in a row. We also invested in some equipment. We hope to have that hooked up here within the next 30 days."

Portman said growth can already be seen and more is expected. – March 26, 2018 WLIO News article excerpt

Loenbro (Great Falls, Montana) manufactures pressure vessels and tanks:

“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

Mack Molding (Arlington, Vermont) is a full service contract manufacturer:

Mack Molding, an injection molder and contract manufacturer based in Vermont, announced this week that it is investing $5.4 million to upgrade two existing facilities in response to “favorable tax changes” and a surging economy. - July 16, 2018 National Association of Manufacturers Shopfloor Blog article excerpt

Marlin Steel (Baltimore, Maryland) manufactures  custom wire baskets, wire forms, sheet metal and engineering products:

At Marlin Steel, which only buys American steel and exports to 39 countries, we have already done just that. We increased our workforce by 10 percent to manage more than $1 million in new USA-made equipment. Tax reform gave us the confidence to make these important investments — investments not just in our company but in the lives of hardworking Marylanders. One of the machines we bought makes products here in Baltimore that we will export to Mexico two times a week.

Our existing employees are also better off, given that tax cuts mean they are taking home more money in their paychecks. It’s a little extra security after years of economic anxiety and uncertainty. One of our employees put the savings toward buying his new house. Some of our new employees hired since tax reform have also achieved important life goals: One bought a car; another moved to a new apartment; and a third is able to pay off debt, support his daughter and move to a new apartment. - June 21, 2018, Baltimore Sun article excerpt

McKee Foods (Collegedale, Tennessee) manufactures American snack food and granola:

McKee Foods employees came to work Tuesday, April 3, expecting a routine day baking and packaging products such as Little Debbie Chocolate Cupcakes, Donut Sticks and Honeybuns, and were surprised with an unexpected $1,000 cash award for full-time employees and $500 for part-time employees.

“The recent federal tax legislation will provide benefits to the company and will allow us to invest back into the business," said Mike McKee, president and CEO. "The first thing we thought about was investing in our employees."

The announcement and disbursements of checks coincided with the company’s routine, yearly Spring Report Meetings, where all employees are invited to hear an update on the company from leadership. Attendance is optional and on-the-clock.

“We decided to keep this a tightly-guarded secret to make it more fun and impactful,” said Debbie McKee-Fowler, executive vice president. “Except for our September Profit-Sharing Meetings, this is about the most fun I’ve had at work in my entire career.” Ms. McKee-Fowler and other members of the McKee family helped pass out checks. Some employees were puzzled when members of the Payroll Department showed up to help pass out T-shirts, but in general the secret was well-kept and well-guarded, said officials.

McKee Foods employees received a one-time lump some cash award of $1,000 for all full-time, regular employees; $500 for all part-time, regular employees; and, $250 for all spare, limited, and provisional employees, who were employed on or before Friday, March 23.

Employees were very happy with the surprise. Comments ranged from, “I had some unexpected things happen last week that had me strapped; this will help a lot.”  To simply, “Thank you.” – April 12, 2018 Chattanoogan.com news article excerpt

MEC Aerial Work Platforms (Kerman, California) manufactures line of scissor lifts, boom lifts, and telehandler products:

Company owner David White says the tax cut legislation deserves some of the credit for a boost in sales and hiring.

"Its more of an indirect effect, and as the economy has improved, and as there are more new construction starts, and our products are used in that new construction, they are used in industrial construction, and upgrades. So that has resulted in increased production, increased sales volume, which has directly affected us of course."

White says sales are way up and he's given each of the 130 employees a $1,000 bonus. – May 2, 2018, ABC 30 Actions News.com article excerpt

Melaleuca (Idaho Falls, Idaho) manufactures health and cleaning products:

Melaleuca CEO Frank VanderSloot sent a Tweet today announcing that Melaleuca employees will receive bonuses of $100 for every year they’ve been with the company. He then challenged all Idaho employers to share the wealth from the GOP tax bill and pass along the tax rate cut to those who built their businesses.

Melaleuca employees will receive bonuses of $100 for every year of service to the company, meaning that five-year employees receive $500, 10-year employees receive $1,000 and 20-year employees receive $2,000. Melaleuca has approximately 2,000 U.S. employees. - December 21, 2017, Idaho State Journal article excerpt

Metallix (Shrewsbury, New Jersey) is a precious metal recycling manufacturer:

First order of business? Giving each of Metallix’s 98 workers a $1,000 bonus, an unexpected surprise that came just days after tax reform took effect.

“From the outset, the company wanted to share the benefits of tax reform with our employees,” said Maria Piastre, president of Metallix. “On February 14, every employee received a net $1,000 after-tax bonus in response to tax reform. Coming so soon after our usual end-of-year bonuses, it was completely unexpected by Metallix employees, and we were all very happy to receive it.”

Metallix wasn’t shy about tying these bonuses directly to tax reform. Each employee also received a letter from Metallix owner Eric Leiner, who explained that tax reform was going to mean a big boost to the company—and that he wanted to make sure employees were receiving their share of the good fortune. Metallix employees clearly took this sentiment to heart.

Piastre said that, months after the bonuses were given out, many employees still had Leiner’s letter hung proudly at their desks.

Piastre also explained that Metallix was using some of the benefits of tax reform to grow their business—and that significant investments were now more feasible because the company’s taxes had been so substantially lowered. - August 2, 2018, National Association of Manufacturers Shopfloor Blog article excerpt

Mid-AM Metal Forming (Rogersville, Missouri) manufactures metal fabrications:

Mid-AM Metal Forming is giving its 140 employees cash bonuses.

The local company is one of many companies, like Jet Blue and AT&T, giving employees a bonus because of the tax law reform.

"Mid-AM Metal Forming is excited about the positive implications the tax reform package will have both on the manufacturing industry and its employees," President Steve Johnson said in a news release. "We have very dedicated employees that assist in making us a success. We are excited to surprise all of them with this reward.”

The company does metal stretch forming, bending, metal fabrication and painting services, according to the news release, serving aerospace, automotive, marine and architectural purposes. – Jan. 6 2018, OzarksFirst.com article excerpt

Miles Fiberglass (Oregon City, Oregon) manufactures fiberglass:

 Lori Miles-Olund, who is the president of the family-owned business that her father founded in 1963, explained how Miles Fiberglass plans to pass along the benefits to its employees:

Miles Fiberglass also plans to expand its facilities and workforce dramatically. “We anticipate our sales to double this year due to the economic climate,” Miles-Olund told the National Association of Manufacturers (NAM), adding that demand for composite component parts is “far more than we’d seen in the past.” – June 1, 2018, National Association of Manufacturers Shopfloor Blog article excerpt

Mincey Marble (Gainesville, Georgia) manufactures cast marble products:

“As the owner of a family business, I want to share how tax reform is benefitting Americans at every level. Companies big and small are passing along tax savings to the workers who help build our economy. I hope that the bonuses Mincey Marble is providing encourage other businesses in our great state to pay it forward, because the Tax Cuts and Jobs Act is the kind of meaningful change that can help transform communities by bringing relief to American workers and families,” said [Mincey Marble President and CEO Donna] Mincey.

Employees at Mincey Marble will receive bonuses of up to $1,000 depending on their length of service with the company. Even employees hired this year will see a bonus, and the checks are scheduled to arrive during the week of Valentine’s Day as a sign of the company’s appreciation for its associates. – Jan. 31 2018,  press release

Mill Steel Company (Grand Rapids, Michigan) manufactures hot-rolled, cold-rolled, painted, and coated steel:

Mill Steel Co., one of the nation's largest distributors of flat-rolled carbon steel, is pleased to award a $1,000 bonus to all 400 of its full-time associates following the tax cut passed by Congress and signed by President Trump.

Mill Steel announced this morning that all full-time associates across its nine operations nationwide, no matter each individual's seniority, will receive a one-time bonus from the recent tax overhaul that reduces corporate tax rates. – Feb. 8 2018, Mill Steel Company press release excerpt

Nephron Pharmaceuticals Corporation (West Columbia, South Carolina) generic respiratory medication/inhalation solutions:

Nephron Pharmaceuticals Corporation (Nephron) CEO Lou Kennedy today announced five percent increases for all employees with the exception of commissioned employees.  The raises are a direct result of the Tax Cuts and Jobs Act that was signed into law last week by President Donald Trump.

"We are excited that the Tax Cuts and Jobs Act has given us an opportunity to recognize their hard work and sacrifices with well-deserved raises," said Lou Kennedy, CEO of Nephron. – Dec. 27 2017, Nephron Pharmaceuticals Corporation press release

Nine Line Apparel (Savannah, Georgia) manufactures clothing:

“The bonuses range from $500 to $20,000” - March 28, 2018, Rep Buddy Carter video excerpt

Nucor Corp. (Charlotte, North Carolina) -- Because of the Tax Cuts and Jobs Act, the company is expecting to build a new steel-plate mill in the United States which will create 400 new jobs:

Nucor Corp. announced plans on Jan. 7 to build a $1.35 billion steel-plate mill in the United States that would create approximately 400 new jobs.

Nucor’s CEO, John Ferriola, attributed the expansion to President Donald Trump’s policies. Trump pushed through a significant tax cut for business in 2017 and imposed tariffs on foreign steel to protect American manufacturers.

--

“This administration is taking the decisive and meaningful actions that American manufacturers need to compete on a level playing field,” Ferriola said in a statement.

“Tax reform, continued improvements to our regulatory approach and strong trade enforcement are giving businesses like ours the confidence to make long-term capital investments here in the U.S. that create jobs and ensure our success for decades to come.” -- July 24, 2019, Epoch Times Article

Overseas Hardwoods Company (Stockton, Alabama) manufacturers of high performance hardwood lumber products for the Marine, Millwork, Outdoor Living, and Transportation industries:

$1,000 tax reform bonuses to employees.

Novelis, Inc. (Atlanta, Georgia) manufactures aluminum rolled products:

Since 2008 manufacturing in the United States has added more than a million new jobs, and today that momentum continued with a major announcement by Novelis, Inc.—spurred on, in part, by the recently enacted tax reform legislation.

The global leader in aluminum rolled products and the world’s largest recycler of aluminum broke ground this week on its $300 million automotive aluminum sheet manufacturing facility in Guthrie, Kentucky. This new investment, made possible due to tax reform and a “favorable economic environment,” will create approximately 125 new jobs. – May 14, 2018 National Association of Manufacturers ShopFloor.org blog post

Pan Am Systems, Inc. (North Billerica, Massachusetts) manufactures wood products including railroad ties:

Pan Am Systems, Inc. is a diversified holding company. Its subsidiaries include Pan Am Railways – the nation’s largest regional rail carrier by mileage operating in five states; Perma Treat Corporation – a wood products manufacturer, including railroad ties, and Pan Am Brands, a trademark licensing company.

In an effort to highlight the benefits of the landmark Tax Cuts and Jobs Act (“TCJA”), Pan Am Systems, Inc. is pleased to announce that it will be issuing a one-time bonus of $1,100.00 to each employee of the company and its subsidiaries, effective today. This bonus is intended to; (a) acknowledge the importance of our employees; and (b) provide those employees with additional compensation to use as they elect.

As noted by the President, the TCJA is intended to make resources available for investment by businesses that will have downstream effects of expanding and creating wealth among all citizens. Pan Am shares this goal and is committed to future capital investment to foster growth of the company. Pan Am strongly believes that programs such as the TCJA and the 45G tax credit, supported by continued reduction in overly burdensome regulations, provide substantial incentives for investment in America’s growth. – May 23, 2018 Pan Am Systems, Inc. press release

Pivot Manufacturing (Phoenix, Arizona) manufactures industrial machinery:

Two high-speed machines arrived less than a month after the president signed the tax bill. The law lets Macias avoid paying federal tax on 20 percent of his company’s income. - May 16, 2018, KJZZ.org article excerpt

Plexus Corp. (Neenah, Wisconsin) manufactures electronics industry products:

“In order to reward employees for their contributions towards Plexus’ success, Plexus will provide existing, full-time, non-executive employees a one-time cash bonus.  This bonus will be provided in the fiscal second quarter to nearly 16,000 employees, totaling approximately $13 million.” – Feb. 20 2018, Plexus press release excerpt

Pratt Industries (Conyers, Georgia) manufactures corrugated packaging:

Anthony Pratt, the richest person in Australia, will be investing nearly $2 billion in the U.S. in hopes of creating new jobs and doubling American food production – and he credits it all to President Trump’s business-friendly Tax Cuts and Jobs Act of 2017.

The tax overhaul slashed the corporate tax rate to 21% from 35% in hopes of making the U.S. more competitive with foreign countries.

“It’s going to lead to a tsunami of investment in the United States,” he said during an interview with FOX Business’ Stuart Varney on Tuesday. “We make corrugated boxes, everything that's manufactured goes in a box. So we think we’re a barometer of the economy.”

--

The billionaire cardboard king hopes to add 5,000 jobs more to the economy with his latest investment. - June 26, 2018 Fox Business Network article excerpt

Power Curbers, Inc. (Salisbury, North Carolina) -- Added new jobs, added bonuses for workers, and is investing more in research and development because of the Tax Cuts and Jobs Act. 

“All of us at Power Curbers Companies are pleased with Rep. Budd’s vote to enact the new tax law, said Dyke Messinger, President of Power Curbers, Inc. Our employment has grown since the law was enacted; we paid a bonus for 2017 and will pay another bonus for the first six months of 2018. In addition, we are investing heavily in R&D, which will continue to strengthen the company for the long term.” -- July 2, 2018 NAM Shopfloor Blog

Quake Manufacturing (Fort Wayne, Indiana) manufactures fixtures, gauges, tools, prototype parts, and quality machined parts:

“Quake realized there was some extra money after Trump’s tax plan took over. So he decided to give it back to his 12 employees. “I’ve managed to add long-term disability, short-term disability, dental insurance.”

Plus everyone gets a $1,000 bonus and a paid gym membership. A nice surprise on their next check. “I want to reward the guys. Guys have been working hard. A lot of guys have been putting in a lot of overtime. I just don’t see any reason not to kick back to them.” – Feb. 21 2018, Wane.com article excerpt  

RGF Environmental Group, Inc. (Riviera Beach, Florida) manufactures catalytic oxidation systems for total organic oxidation:

“We, as a privately held manufacturing firm in Riviera Beach, Florida, will benefit greatly from the Tax Reform act recently passed. Because of this savings, we have given all our employees a $1,000 Bonus (This is in addition to their 2017 year-end bonuses. – Sharon B. Rinehimer, Executive Vice President/General Counsel, RGF Environmental Group, Inc.

Rockford Ball Screw (Rockford, Illinois) linear motion solutions including ball screws and guide rails:

Linda McGary broke ground Thursday on a 30,000-square-foot expansion at Rockford Ball Screw, the manufacturing firm her father launched in 1973 in the basement of their family home.

McGary, 56, is quick to point out that she’s neither an engineer nor a skilled machinist, but she has a clear vision for Rockford Ball Screw: growth.

The company of 70 employees is looking to hire 25 more as part of the expansion — to be completed by mid-November — at its 60,000-square-foot plant in Southrock Industrial Park. Manufacturers often green light expansions after landing a big purchase order that will outpace present capacity, but that’s not the case with Rockford Ball Screw.

Fueling her company’s expansion, McGary said, are lower corporate tax rates and rules under the Tax Cuts and Jobs Act signed into law last year by President Donald Trump. And Rockford Ball Screw has a promising shot, she said, at reviving a business relationship with a firm that years ago was one of its biggest customers. - June 28, 2018, Rockford Register Star article excerpt

Rockwell Automation (Twinsburg, Ohio) -- Because of the Tax Cuts and Jobs Act, the company was able to raise wages, add new jobs, and buy new equipment.

“Manufacturing’s success hinges on having a highly skilled production workforce that supports the advanced technologies that are essential to modern manufacturing competitiveness, said Bruce Quinn, Rockwell Automation vice president of public affairs. No matter how much you automate, people remain your most important asset. We are confident that the impact of U.S. tax reform on our customers could strengthen our future performance. Corporate tax reform enables us to use excess cash to invest in organic growth and acquisitions.” -- August 13, 2019 NAM Shopfloor Blog

Sabel Steel (Montgomery, Alabama) manufactures metal based products for various industries including agriculture, oil, gas, mining, transportation, & paper mills:

Montgomery, Alabama’s, Sabel Steel is investing heavily in expanding its facilities—which means new jobs, new investment and large pay raises for most of its 230 employees across the South.

“When you’re a business, there are a lot of things to consider,” said Keith Sabel, president and CEO of Sabel Steel. “Taxes are a large part of it.”

Because the tax rate for companies like Sabel Steel—a family-owned steel distributor—has been lowered under tax reform, Sabel is able to maximize the benefits for his company.

First on the list? Rewarding the employees who work hard every day to make Sabel Steel successful.

“We gave a raise to everyone across the board,” said Sabel. “We improved everyone’s pay. We have incentives for as many workers as possible. If they meet or beat expectations, we’re making sure they’re rewarded.”

“We have quality perks,” Sabel added. “Good insurance. Good benefits. We’re constantly trying to improve, and now we’re able to. Morale is very good. We’re a family business, and we run it like a family business—where we take the time to get to know people, their families. I try to look out for my employees all the time.”

But Sabel Steel’s current employees aren’t the only ones who will benefit from tax reform and the booming economy. Sabel Steel also plans to reinvest its tax reform savings in its business by expanding and upgrading facilities in Newnan, Georgia, and Baton Rouge, Louisiana, and adding new equipment that will make its facilities more productive and innovative. Sabel also cites a new plasma machine it purchased for its plant in Theodore, Alabama—a machine that offers smoother and more efficient steel-cutting techniques. It also plans to make further upgrades to its equipment as needed.

To staff the expanded and upgraded facilities, Sabel Steel plans to hire more workers. Its recruitment effort focuses on talent, passion and integrity because Sabel Steel knows that, by starting with solid employees, it can train them on-site and equip them with the skills to do the jobs that the company needs. - July 11, 2018,  National Association of Manufacturers Shopfloor Blog article excerpt

SALUS (Manitou Springs, Colorado) manufactures health and beauty products:

“For our business, pennies add up,” Jerell Klaver, co-owner of SALUS, a 14-year old business that produces health and beauty products, said in a recent article on app.com. “If I can save a penny, it gets big really fast.” Taking advantage of the future deduction on equipment purchases, Jerell and Elissa Klaver did the math and hired an engineer to help make new manufacturing equipment for their company. All told, the couple expects to save between $500,000 and $1 million annually under the new law. - April 18, 2018, Capital One blog post excerpt

Sheffer Corporation (Cincinnati, Ohio) manufactures cylinders:

U.S. Senator Rob Portman (R-OH) today visited Sheffer Corporation, a premier cylinder manufacturing business based in Cincinnati, to tour the facility, meet with employees, and take part in the announcement of the business’s reinvestment into its workers. Sheffer Corporation announced that all 126 employees will be given $1,000 bonuses with the money the business expects to save as a result of the recently-signed tax reform law.

“The historic tax cuts that recently became law are already helping make a difference for middle-class families, creating more jobs, and increasing wages for Ohio workers,” said Portman. “Providing tax relief for middle-class families and reforming our business tax code to create more jobs and higher wages is long overdue, and I was proud to play a significant role in helping craft this law. I’m pleased that we’re already seeing a positive response as employers like Sheffer Corporation reward their workers with higher pay and bonuses—and increase their investments in their businesses and their communities. With the kinds of pro-growth reforms in this tax reform law, I expect this trend to continue in Ohio and across the country.”

“It was truly an honor to host a visit today from Senator Rob Portman,” said Sheffer Corporation President & CEO Jeff Norris. “Senator Portman along with his colleagues and President Donald Trump have been instrumental in bringing forward historic and new tax relief for American companies and for the American people. For many years, business owners have voiced concerns about the burdens associated with high taxes and over-regulation. It is my hope that others will follow and show support for Senator Portman and President Trump as they fight to lower our tax burdens and reduce regulations.” -- Jan. 2, 2018 press release from the office of Senator Rob Portman (R-Ohio)

Siemens (Tampa, Florida) - grand opening of a new $139 million manufacturing facility, 350 new jobs

Siemens and its partner Chromalloy Gas Turbine Corporation celebrated the grand opening of a new $139 million manufacturing facility in Florida. The state-of-the-art joint-venture, Advanced Airfoil Components, will manufacture innovative, high-tech casting components for Siemens gas turbines, and employ 350 workers.

Noting that Siemens has 60 manufacturing, digital and R&D sites across the United States, Lisa Davis, CEO Energy, Siemens AG, said today’s announcement “enhances what we see as our larger responsibility to the local communities where we have a presence: not just to create profit, but to create jobs, to spur economic growth and to support innovation.”

Siemens’ and Chromalloy’s investment comes at an important time for manufacturing workers in the United States. Manufacturers are more optimistic about their businesses and their futures than ever before, and pro-growth policies like tax reform and regulatory relief have unlocked a wave of big investments, new jobs and rising paychecks. – National Association of Manufacturers Shopfloor

Sko-Die (Morton Grove, Illinois) manufactures custom steel laminations and heavy gauge metal stampings 

Sko-Die has been in the Steininger family since its founding in 1947—and after 71 years in business, tax reform is allowing them to expand their facility, update their technology and reward their employees.

“The first thing I did when I found out what my tax savings would be? I took that money and gave a raise to all the employees,” said Sko-Die’s president, Patrick Steininger. “It came to about 3 percent per employee, on average.”

The total price for Steininger’s technology investment? “About $1 million.”

“Without tax reform, we wouldn’t have made these investments,” Steininger said. “Absolutely not.” - August 24, 2018, National Association of Manufacturers’ Shopfloor Blog excerpt

SmithCraft Signs (Phoenix, Arizona) manufactures exterior & interior signs, letters, graphics, vinyl, digital, wayfinding, lighted, LED, monument, neon and other signs:

MS. BERGSTROM:  Oh, thank you. Thank you Mr. President.  Wow. I’m Nicole, and I run Smithcraft Signs.  We are a veteran-owned, small manufacturing company.  We’re a job shop.

And what tax reform means for me is what we can do for our team.  To improve our capabilities, we’re buying new equipment. We issued a special bonus to our midlevel employees.

Deeann, in our accounting department told me that she is using the extra money for what she describes as a “dream bucket-list vacation” to visit her daughter who was recently discharged from the Navy who is now in Hawaii.

Phil and NOAZ is using the money for a bathroom remodel he has been planning for over 10 years.

I’ve very excited about what the future holds for us.  And again, so many thanks. -April 12, 2018, White House transcript

Southwire (Carrollton, Georgia) manufactures wire and cable solutions:

Southwire, North America’s leading manufacturer of wire and cable solutions, recently announced that it will reinvest approximately nine million dollars back into the lives, and pockets, of its employees, joining a growing list of companies that have made similar moves as a result of recent tax reform.

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Full-time employees in the United States, will each receive a $1,000 bonus (USD), and full time employees outside of the United States will receive an equivalent supplement. Part-time employees will also receive a bonus payment of $250 USD or an international equivalent. These investments will impact the majority of Southwire’s nearly 7,500 employees.

--

In addition to the one-time bonuses, Southwire will expand its parental leave policy to assist eligible parents.

Southwire will also offer a bridge scholarship program for eligible hourly employees seeking to further their education through a two-year degree, four-year degree or technical certification. The company also announced that plans are in the works to make strong investments into new and existing industry partnerships. The purpose of these investments is to accelerate the attraction of diverse candidates into Southwire's manufacturing and STEM careers. More information on these new programs will be available soon. – March 26, 2018 Southwire press release excerpts

Spectrum Adhesives, Inc. (Memphis, Tennessee) manufactures adhesives and sealants:

$500 bonuses for employees.

Spirit Aerosystems (Wichita, Kansas) manufactures aerostructures:

“In my community, Spirit AeroSystems announced new investments in training and technology.” - June 11, 2018, Rep. Ron Estes statement on U.S. House Floor

Starbucks Coffee Company (Seattle, Washington) manufactures coffee products:

“Starbucks has also reaffirmed their commitment to create more than 8,000 new part-time and full-time retail jobs and an additional 500 manufacturing jobs in its Augusta, Georgia soluble coffee plant.

For store partners, Starbucks has also expanded their parental leave policy to include all non-birth parents with up to 6 weeks of paid leave when welcoming a new child.” —Jan. 24 2018, Starbucks Coffee Company press release excerpt

Staub Manufacturing (Dayton, Ohio) manufactures sheet-metal brackets, mounts, enclosures, covers, frames, boxes, weldments and assemblies:

“After Trump’s tax cuts and reform legislation were enacted last year, Staub says he  was able to give larger than expected Christmas bonuses to his employees.” – Jan. 29 2018, WDTN Dayton 2 News

Suit-Kote Corporation (Cortland, New York) manufactures asphalt products:

Paul Walts is getting a raise this year, thanks to the GOP tax plan. So is Louis Morgan. So are about 800 other employees at Suit-Kote Corporation.

The Cortland paving company is doling out raises and retirement bonuses using money saved from the new Republican-led tax plan.

Walts, a dispatcher who's been with the company 14 years, has three kids in college. He plans to put money aside to help pay for their education.

Morgan, too, said he's going to save more and possibly take a vacation.

"You hear it's in the pipeline and you hope it's going to happen, but you don't know how much it's going to be," Morgan said regarding the raises. "I'm definitely looking forward to it."

Walts, Morgan and a few dozen other employees watched Thursday as President and CEO Frank Suits Jr. announced the wage hikes to media alongside U.S. Rep. Claudia Tenney.

The average raise, Suits said, will be about $1,400. The company also increased its 401K contributions by about $1 million. – Feb. 22, 2018 The Post-Standard article excerpt

The Belden Brick company (Sugarcreek, Ohio) -- Made investments in new equipment and capital improvements because of tax reform.

“I want to thank Bob Gibbs for his role in the successful efforts to reduce taxes and regulations, said Bob Belden, chairman, president and CEO of The Belden Brick Company. These reforms have made it easier for The Belden Brick Company to invest in new equipment and capital improvements. His efforts are a key part of rebuilding and sustaining a healthier manufacturing climate in Ohio and across the United States.” -- August 14, 2018 NAM Shopfloor Blog

Tingley Rubber Company (Piscataway, New Jersey) manufactures liquid proof protective footwear and clothing:

New Jersey based Tingley Rubber Corporation will be issuing all U.S. based employees one-time bonuses of $1,000 because of the recent tax reform passed by Congress.

Tingley’s ownership announced Thursday its plans to share some of the tax benefit directly with their employees to express the company's gratitude. The 122-year-old, fifth generation family owned business joins many businesses across the country in giving employee bonuses after Congress passed a sweeping tax cut for businesses and individuals.

President Donald Trump signed a bill on December 22nd overhauling the nation's tax code. One of the biggest changes included in the bill cuts the corporate tax rate from 35 percent to 21 percent for qualifying corporations. The bill also restructures and lowers the seven personal income tax brackets.

Based in Piscataway, NJ the privately held Tingley Rubber Corporation announced the bonuses during an employee luncheon held on March 22nd. The $1,000 bonuses will also be eligible for the company’s 401(k) plan deferral with the standard corporate match.

"The economic development that should come as a direct result of the new tax reform legislation and deregulations will positively affect Tingley’s ability to grow its business.  The tax reform package will allow Tingley to invest more into our strategic initiatives, and better serve our customers, as well as our employees and shareholders," said Owner and Chairman of the Board, Bruce McCollum.  Bruce’s son and owner JB McCollum said "We are excited for the opportunity to reward our dedicated and hard-working employees with this special bonus as a token of our gratitude."

President & COO, Mike Zedalis, expressed his gratitude to the McCollum family and sees the new tax plan as a major boost to Tingley: “Our company continues to grow, and enhanced investment into our operations will always bring benefits to our customers, employees and shareholders.”

Tingley Rubber Corporation is a leading supplier of protective footwear and clothing and has been protecting generations of workers since 1896. -- March 26, 2018 Tingley Rubber Corporation press release

Tremco Inc. (Cleveland, Ohio) manufactures roofing materials and services, construction sealants, glazing and gaskets, waterproofing systems, concrete admixtures and sealers:

Tremco is upgrading their equipment, hiring new workers, and reinvesting in their employees through increased contributions to employee retirement plans. I’m pleased that we continue to see these kinds of positive responses from Ohio businesses as a direct result of this tax reform law, and I believe this is only the beginning. – Jan. 12, 2018 United States Senator Rob Portman’s press release excerpt

Uelner Precision Tools & Dies (Dubuque, Iowa) manufactures tool and die, and stamping products:

tax reform bonuses to employees.

Utility Trench Technologies (Spokane, Washington) – The company was able to invest in its community because of the Tax Cuts and Jobs Act:

Tax reform is twofold for our small business because the 20 percent deduction allows us greater revenues without additional tax liabilities—of at least 20 percent—and in turn we will spend that extra revenue locally,” Angela Gibson, owner of Utility Trench Technologies based in Spokane, Washington, said in the survey. “This tax reform helps our customersalso.” – March 23, 2018, NFIB article.

Velvet Ice Cream Company (Utica, Ohio) manufactures ice cream:

The company is increasing wages for new employees by $1.10 per hour for full-time employees and by 50 cents per hour for seasonal summer workers. Velvet employs 125 full-time workers and 50 part-timers in the summer.

Velvet will fix the roof of the mill, installing natural shingles like the ones used 200 years ago, at a cost of about $60,000 to $80,000. The new warehouse management system will increase food safety, allowing products to be traced, in case of a safety issue. And, there will be ceiling, lighting and equipment upgrades in the manufacturing area

Warwood Tool (Wheeling, West Virginia) manufactures hand-forged steel tools:

The tax cuts have given the company and its customers enough optimism for the future that Warwood Tool is developing a new line of products. – May 3, 2018, The Intelligencer article excerpt

Webco Industries Inc. (Sand Springs, Oklahoma) manufactures specialty metal tubular products:

Webco Industries based in Sand Springs is the latest employer to give workers a bonus following the passage last year of the Trump Administration's tax plan.

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

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

 

Winnebago Industries (Forest City, Iowa) manufactures motor homes:

“During the quarter, we recorded a tax reform benefit and expect a similar favorable tax rate for the remainder of Fiscal 2018.  We are committed to passing a portion of the tax savings to our hard-working Winnebago Industries employees in the form of a bonus and other selective wage adjustments, making a donation to our foundation, and accelerating facility improvements over the coming months which will create better work environments.  As always, I want to sincerely thank each and every one of our employees for their tremendous efforts and dedication to building a stronger future for our Company.” — March 21, 2018 statement of Winnebago Industries President and CEO Michael Happe, Second Quarter Fiscal 2018 announcement

Winton Machine (Suwanee, Georgia)  manufactures complete engineered solutions for tube and coax fabrication, including tube benders, tube cutters, coax benders and more:

“Tax reform is enabling companies to make significant capital investments, and it’s creating more business for us and other small manufacturers,” said Ms. Winton.

Winton anticipates making her own capital investments. “We’ll be replacing two machines in our factory,” she said. - May 1, 2018, National Association of Manufacturers article excerpt

Wirco Inc. (Avilla, Indiana) – $500 employee bonuses:

“Wright (Wirco Inc. owner) announced that he would be giving every Wirco employee a $500 bonus as a result of the savings the company would see from federal tax reform passed by Republicans in late 2017. Rokita, along with the rest of Indiana’s Republican delegation, had voted in favor of those large business tax rate cuts.” – Feb 19 2018, The News Sun powered by KPC news

Wolf Metals (Columbus, Ohio) manufactures a full line of fabrications including baskets, fixturing, furnace fans (new and rebuilt), furnace rolls, muffles, corrugated boxes, wrought and cast radiant tubes and retorts:

“Today, as a result of the new tax reform law, Wolf Metals was proud to announce its plan to purchase new equipment, including a water jet cutter first and then a press brake,” said Jim Wolf, Co-Founder and Owner. “This investment will help our company, help our workers, and help those who rely on us to deliver top-of-the-line product. I want to thank Senator Portman for coming to visit today and for his role in delivering historic tax relief for small businesses like ours who for too long have been saddled with burdensome taxes and over-regulation.” – Jan. 5, 2018 statement, press release of Sen. Rob Portman (R-Ohio)

Xante Corporation (Mobile, Alabama) manufactures printers for computers:

Mobile-based Xante Corp. handed out $1,200 bonus checks to most of its employees on Monday, as its CEO gave thanks to a Republican tax reform bill and Rep. Bradley Byrne.

Xante provides high-end printers and related software for use by professional graphics and printing operations. It employs a little over 100 people in Mobile and about 15 more in Europe. CEO Robert Ross said Monday that anyone who'd been with the company for a year or more was getting a $1,200 bonus, while those employed less than a year were getting a different amount.

Mobile employees whooped and cheered as Ross announced the windfall Monday morning. They also heard Ross explain that the company had additional plans for money saved as a result of tax cuts passed by Congress and signed into law by President Donald Trump in December. Among other changes, the tax bill significantly lowered the corporate tax rate. – Feb. 19, 2018 AL.com article excerpt

Send any additions to jkartch@atr.org

Please visit the National Association of Manufacturers' Shopfloor Blog to read in-depth blog posts about the policy and politics that impact manufacturing.


Pennsylvania Examples of Tax Reform Good News

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Posted by John Kartch on Tuesday, December 3rd, 2019, 9:20 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 Pennsylvania. (Additions to this list can be sent to jkartch@atr.org)

Hudson Facades (Linwood, Pennsylvania) –  $3,000 in every factory worker’s 401(k); increase base wage pay:

"We raised wages, yes,” said Allen Cohen, managing partner of New Hudson Facades, of the approximate 5 percent raise given to employees. “In addition to that, Related Companies [a partner company] has given every factory employee, $3,000 in their 401(k).” – Feb. 20 2018, WHYY article excerpt

Glass & Sons Collision Center (Reading, Pennsylvania) – $1,000 tax reform bonuses to employees.

Guy Chemical Company Inc. (Somerset, Pennsylvania) – Increased bonuses, increased wages, and investments in new equipment – a new forklift, new laboratory furnishings, updated computer equipment, and new software system:

Guy Chemical is increasing bonuses between 25 – 50%, increasing wages and investing in new equipment. So far in 2018 we bought a new forklift, furnished a new laboratory and updated some of our computer equipment. We have also invested in a new ERP software system to run our company. – April 4, 2018 statement to Americans for Tax Reform from Guy Berkebile, President of Guy Chemical Company Inc.

Ellwood Group (Ellwood, Pennsylvania) - Facility expansion:

The tax reform is incentivizing the Ellwood Group to invest $10 million into the plant, including an expansion that will house a massive robot.

Ellwood Group CEO David Barensfeld says 500 people currently work at the plant; 200 of them making military equipment.  "Two-thousand-pound capacity to automatically transfer unfinished bombs, so that they can be finished and sent to the Air Force...  And, we expect to expand employment by, perhaps, 10 percent in the next short while, because of the increased demand for bombs." - August 9, 2018, YourErie.com article excerpt

Dollar Bank (Pittsburgh, Pennsylvania) - $2,000 permanent raises for employees making $60,000 or below:

Four months after most banks moved to give employees some of the anticipated savings from the Tax Cuts and Jobs Act, the $8.3 billion-asset Dollar is giving workers with annual salaries at or below $60,000 a $2,000 raise. About 60% of Dollar’s 1,300-person workforce will get raises, Senior Vice President Joseph B. Smith said Monday.

CEO Jim McQuade announced the raises May 2 in an in-house video message. They went into effect May 1. - May 7, 2018, American Banker article excerpt

Erie Insurance (Erie, Pennsylvania) – $1,000 bonuses; $1,000 contribution to employees’ 401(k) accounts:

Erie Insurance CEO Tim NeCastro called an all-employee meeting Wednesday to deliver a bit of good news — a few million dollars worth of good news, in fact.

Like many corporations, the company was expected to benefit from the new tax code that President Donald Trump signed into law in December.

NeCastro has announced that the company will share those benefits with its employees by giving a $1,000 cash bonus to permanent full-and part-time employees.

In addition, the company will contribute $1,000 to the account of any employee who has a 401 (k) retirement savings plan. – March 23 2018, Go Erie article excerpt

Comcast (Philadelphia, Pennsylvania) -- $1,000 bonuses to 100,000 employees; 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 NBCUniversal, announced that the Company would award special $1,000 bonuses to more than one hundred thousand eligible frontline and non-executive employees.” – Comcast press release

1st Summit Bank (Johnstown, Pennsylvania) -- $1,000 bonuses to full-time employees; salary raises; increased charitable donations.

AccuWeather (State College, Pennsylvania) – Tax reform bonuses for all employees. (Approx. 450 – 500 employees):

“The bonuses are possible due to the company's robust financial performance in 2017 and strong confidence in the growing U.S. and global economy now that the Tax Bill has passed.” – Dec. 26, 2017 AccuWeather press release

Cranston Material Handling Equipment Corp. (McKees Rocks, Pennsylvania) – Because of the Tax Cuts and Jobs Act, the company was able to purchase new equipment, build a new website, and invest in training:

As president of the western Pennsylvania company, Cranston was there to discuss the benefits of the Tax Cuts and Jobs Act for small business. Founded in 1957 and an NFIB member since 1994, Cranston Material Handling Equipment Corporation sells material handling products.

“Like many business owners, I pay quarterly estimated taxes,” Cranston testified. “In order to pay those taxes, I take cash from my company each quarter. Those payments suck my working capital right out of my business quarter after quarter. Under the Tax Cuts and Jobs Act’s new Section 199A, I now qualify for a 20 percent deduction on my pass-through income. In real terms, this means I will be able to keep between $1,200 and $2,500 a quarter in my business that I would otherwise have paid in taxes. The ability to keep $5,000 to $10,000 a year in my company is a big deal to a small business owner like me.”

As of January, Cranston has focused on expanding into a new product line. Cranston will purchase new equipment, invest in training, and build a new website, according to his testimony. He credited the tax act for his better financial position to self-fund this new product.

“I can tell you that my optimism that the economy has a real opportunity to continue improving has dramatically increased,” Cranston testified.

Cranston testified in front of Senate Finance Committee Chairman Orrin Hatch, alongside Douglas Holtz-Eakin, president of the American Action Forum, David Kamin, professor of law at the New York University School of Law, and Rebecca Kysar, professor of law at the Brooklyn Law School.

“The Tax Cuts and Job Act has not only reduced taxes for businesses like mine; it has created an environment where more business owners feel confident to take the cash from the tax savings and invest it back into their businesses,” Cranston told lawmakers. “For these reasons, I believe the Tax Cuts and Job Act is spurring business investment and therefore has set the stage for increased economic growth for years to come.” – April 25, 2018, NFIB article.

Centric Financial Corporation, Inc. (Harrisburg, Pennsylvania) - Increasing employee wages, hiring new staff, investing in new technology, expanding services offered to customers:

With the support of the Bank's board of directors and the corporate tax savings from the Tax Cuts and Jobs Act signed into law on December 22, 2017, Centric Bank President and CEO Patricia (Patti) A. Husic unveiled a suite of bank-wide initiatives to announce post-tax reform benefits to share and reinvest savings with customers, employees, and the community.

Effective July 1, 2018, Centric Bank is committed to:

  1. Increasing salaries of entry-level personnel to $15 per hour, resulting in raises for more than 50 Centric Bank employees in the operations, credit, and branch areas of the Bank and who are on the frontlines of serving customers.

  2. Providing raises to employees who are near entry-level wages, resulting in a 6% increase.

  3. Hiring additional team members in business development and commercial lending to expand upon the positive, pro-growth relationships with small businesses in the Bank's market areas, and meet the increased lending demand from economic optimism and business growth.

  4. 4. Investing between $3 and $4 million in technology initiatives over the course of five years, beginning with strategic goals set forth by Centric Bank's Chief Information Officer & Director of Operations. Innovations, expanded customer initiatives, multichannel distribution, digitization, service development, and customer experience personalization will be areas of focus.

  5. 5. Expanding the physical footprint of Centric Bank to include additional full-service technologies in our financial centers for these markets over the next 3 to 4 years.         

- August 17, 2018, Centric Financial Corporation, Inc. press release

American Bank (Allentown, Pennsylvania) – $1,000 bonuses for 60 employees:

“President and CEO Mark W. Jaindl stated, “Beginning in 2018, we expect to see benefits from the recent tax reform due to lower corporate tax rates.  As we celebrate the holiday season and prepare to close out another year of growth at American Bank, the Board of Directors and senior management want to give back to our team members who are directly responsible for our success.”

Mr. Jaindl continued, “We expect the actions taken by Congress and the President will have a material positive impact on growth throughout the country.  As a result, we anticipate our hiring efforts will increase in 2018.”  Dec. 22, 2017 American Bank press release

Pike County Light & Power Company (Milford, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

PPL Electric Utilities Corporation (Allentown, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Blair Strip Steel Company (New Castle, Pennsylvania) -- The Tax Cuts and Jobs Act allowed the company to raise wages, hire new people, and buy new equipment.

“I want to thank Mike Kelly for his role in the successful effort to reduce taxes on behalf of the company and it’s employees, said Bruce Kinney, president and CEO of Blair Strip Steel Company. His efforts are a key part of rebuilding and sustaining a healthier manufacturing climate in Pennsylvania and across the United States.” -- August 6, 2018 NAM Shopfloor Blog

Wellsboro Electric Company (Wellsboro, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

West Penn Power Company (Greensburg, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

PECO Energy Company (Philadelphia, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

National Fuel Gas Distribution Corporation (Erie, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Peoples Gas Company LLC (Pittsburgh, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Peoples Natural Gas Company LLC-Equitable Division (Pittsburgh, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

UGI Central Penn Gas Inc. (Shippensburg, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

UGI Penn Natural Gas Inc. (Valley Forge, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

UGI Utilities Inc. (Valley Forge, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Fairfield Inn & Suites (Slippery Rock, Pennsylvania) (Neema Hospitality Franchise)  - New location acquired, renovations

$700,000 investment in renovation and upgrades due to tax reform. - August 3 2018, call with Americans for Tax Reform  

Comfort Inn (Mechanicsburg , Pennsylvania) (Neema Hospitality Franchise) - Acquired hotel, renovations:

$400,000 investment in renovation and upgrades due to tax reform - August 3, 2018, phone call with Americans for Tax Reform

Pennsylvania-American Water Company (Hershey, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Pennsylvania-American Water Company-Wastewater (Hershey, Pennsylvania) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Citizens’ Electric Company of Lewisburg (Lewisburg, Pennsylvania) – the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Beneficial Bancorp, Inc. (Philadelphia, Pennsylvania) -- base wage raised to $14 per hour; $1,000 bonuses for all AVP Level employees and below; 4.5% employer contribution to 401(k) plans:

Following the passage of H.R. 1 and the anticipated savings from lower future taxes, we announced a special $1,000 bonus paid to over 600 employees and enhanced our medical coverage to our entire employee base.  We also evaluated the compensation of our hourly employees and raised our minimum hourly rate to $14.00. -- Feb. 1, 2018 Beneficial Bancorp Inc. press release

Customers Bank (Wyomissing, Pennsylvania) – increased charitable contributions of $1 million:

Customers Bank will also increase its charitable giving by $1 million in 2018, and will continue to invest in its talent, who all already earn at least $15 per hour – a rarity in banking. “By increasing our charitable giving and investing in our talent, we’re investing in the growth of the communities we serve,” said Sidhu. “These tax savings will ensure that we can put more money in the hands of communities, families, and small business owners. We expect that this bill will be positive for growth.” – Jan. 5, 2018 Customers Bank press release

Fidelity Bank (Dunmore, Pennsylvania; not to be confused with Fidelity Investments) – $1,000 bonuses for all full-time employees making less than $100,000; $500,000 in charitable donations:

Fidelity Bank is pleased to announce additional investments in its Bankers and communities made possible by the passing of the recent tax reform bill. Fidelity Bank’s Board of Directors and Executive Management Team have decided to share in the benefits of the lower corporate tax burden by:

  • Providing a one-time cash payment of $1,000 to all full-time Fidelity Bankers. This bonus was paid to all Fidelity Bankers below $100,000 in annual compensation.
  • Taking a $500,000 contribution to the newly created Fidelity D & D Charitable Foundation that will support the local philanthropic and community needs. The newly formed and funded foundation creates a sustainable way to give back to the communities Fidelity Bank serves.
     

“The tax reform law creates an opportunity to reward our most valuable asset, our Bankers, who are working hard each day to serve our clients, building strong relationships in our communities, and creating long term shareholder value. The Fidelity Bankers put forth perfect effort to position Fidelity Bank as the best bank,” said Daniel J. Santaniello, President & Chief Executive Officer. -- Jan. 2 2018, Fidelity Bank press release

Kraft Heinz Company (Pittsburgh, Pennsylvania and Chicago, Illinois) – $1.3 billion pre-funding of post-retirement benefit plans; $800 million in capital expenditures; $300 million in strategic investments:

“Since the HR-1 Tax Cuts and Jobs Act was signed into law, we have already taken actions and are accelerating key business initiatives. This includes approximately $300 million in strategic investments to build our capabilities, our people skills and our brands; more than $800 million in capital expenditures to improve quality, safety and capacity; as well as $1.3 billion to pre-fund our post-retirement benefit plans.” – Feb. 16 Kraft Heinz statement by David Knopf, CFO

F.N.B. Corporation (Pittsburgh, Pennsylvania) – extra 401(k) contributions to employees totaling $1 million; base wage raised to $15 per hour; increased charitable donations:

F.N.B. Corporation (NYSE:FNB) today announced a significant financial commitment to both its employees and the communities it serves relating to the signing of the Tax Cuts and Jobs Act of 2017.

As an investment in its workforce, FNB plans to raise the minimum hourly wage for its employees to $15 by the end of 2019, accelerating an ongoing initiative to elevate hourly wages. Paying competitive wages will continue to be a focus for the Company in attracting and retaining the highest caliber employees to serve customers, which translates into strong financial performance and benefit to its shareholders. FNB will also provide a discretionary, one-time 401(k) contribution, totaling $1 million, to the vast majority of employees based upon analysis of compensation levels and eligibility.

During the first half of 2017, FNB also made a $5 million contribution to its Foundation, which was established to provide grants for a variety of non-profit entities throughout its multi-state footprint. Moving forward, these funds will be utilized to support causes within its service area. This contribution was also part of a broader community benefit plan focusing on charitable giving, community development investments and lending efforts serving financially-vulnerable and historically underserved populations.


“We are pleased that the current tax law changes present the opportunity for substantial benefits for our clients, employees, communities and shareholders,” said Vincent J. Delie, Jr., Chairman, President and Chief Executive Officer of F.N.B. Corporation. “Increased investment in our employees and in improving the quality of life within our communities creates an enhanced experience for our clients and superior long-term shareholder returns.” – Jan. 18, 2018 F.N.B. Corporation press release

Almo Corporation (Philadelphia, Pennsylvania) – $1,000 incremental bonus, capital improvement, and purchasing a new operating system:

Almo, the Philadelphia-based appliance, CE, housewares and pro A/V distributor, is investing its savings from the Trump administration’s new tax legislation in its employees and infrastructure.

President/CEO Warren Chaiken said Almo’s newly lowered tax structure will allow it to reward its employees with an incremental bonus of $1,000, as “they are the greatest asset we have to offer as a business.”

--

The capital improvements include:

  • a new 300,000-square-foot distribution center in Philadelphia to cover the Mid-Atlantic region, plus warehouse relocations in Nevada and Ohio to larger facilities;
  • an ongoing headquarters renovation that includes a reconfigured first floor and a new 7,000-square-foot second floor that can accommodate 65 additional employees;
  • a new central office in Ft. Lauderdale for the company’s global operations and hospitality and new business groups; and

Sewickley Spa (Sewickley, Pennsylvania ) -- Pay raises; increased capital expenditures:

For the past decade, Sewickley Spa’s 13 employees didn’t receive annual raises.

With economic pressures forcing cuts at the business since the Great Recession of 2007-09, owner Dorothy Andreas said she couldn’t afford pay hikes — though she still managed to provide a bonus every Christmas.

But on Dec. 20 — the day Congress gave final approval to the Tax Cuts and Jobs Act — Ms. Andreas decided to “pull the trigger” on raises of 2 percent to 5 percent and bonuses that averaged 2.5 percent.

“My staff needed a morale booster,” said Ms. Andreas. She welcomes the federal tax changes because she expects them to translate to savings she can pump back into spending for new equipment and at least two more employees.

In recent years, her luxury spa — which offers massages, facials, and other salon treatments for men and women — has delayed investments in things like updated computer systems and pedicure chairs.

“I just want to put it all back into my company,” she said. “It feels like the government wants to see small business succeed and it’s like a breath of fresh air into a very stale climate.” -- Feb. 5 2018, Pittsburgh Post-Gazette article excerpt

Fulton Financial Corporation (Lancaster, Pennsylvania) – base wage raised to $12 per hour; bonuses in the form of an additional week of pay for 75% of the 3,700 employees; $2 million in increased charitable donations:

Fulton Financial Corporation (NASDAQ: FULT) (“Fulton”) announced today that during 2018, it will invest an additional $2 million in the communities it serves as part of its Fulton Forward  initiative; and the company will raise the minimum wage paid to employees in addition to providing an additional week of pay at year-end to employees who do not participate in an incentive plan.

“At Fulton, we understand that our future is connected to the communities where we operate and the employees who serve them,” said E. Philip Wenger, Chairman and CEO of Fulton Financial. “It makes sense for us to share the benefits of tax reform, and we’re very pleased to be able to give back to our communities and employees.”

As a result of the recently enacted Tax Cuts and Jobs Act of 2017, Fulton will commit an additional $2 million as part of its Fulton Forward  Initiative, which broadly supports communities across the company’s footprint. The initiative was designed to support underserved communities to create affordable housing, provide financial literacy and education programs, and to accelerate economic development.

In addition to expanding its community support, Fulton also will raise its minimum wage to $12 per hour. The company also plans to provide an additional week of pay in 2018 to employees, who are not participants in other variable-award plans. It is expected that 75% of Fulton’s approximately 3,700 employees will receive this additional week of pay.

“Giving is a cornerstone of our culture, and we already provide thousands of volunteer hours and millions of dollars of existing support to community organizations,” said Wenger. “I am thrilled that our communities and employees will benefit from the savings we will realize from the changes in our corporate tax rate.” – Jan. 18, 2018 Fulton Financial Corporation press release

ISI Financial Group (Lancaster, Pennsylvania) -- $2,000 bonuses for all employees:

At year ahead staff planning meeting in January I proudly announced to all  of our staff that because of the new tax law, that ISI is happy to share the tax savings and will providing to all staff members a $2000 bonus.  

When  announced, the staff were all taken back, very surprised and EXTREMELY grateful.This welcome tax cut for ISI Financial Group and most other companies and individuals is a welcome and prudent step toward freeing up capital for all of us to invest into our economy and great country.  I, Tim Decker, personally challenge other companies to share this gift with their employees as well. – Tim Decker, President and CEO

Sundance Vacations (Wilkes-Barre, Pennsylvania) -- $125,000 in employee tax reform bonuses:

"Sundance Vacations announced a decision to award bonuses to its employees based on the GOP tax reform bill that was recently signed into law by President Trump. Sundance Vacations president John Dowd cited two tax reform factors that he believes will positively impact company profits. “Additional take home pay for many Americans will likely lead to robust vacation sales for the company this year,” projects Dowd. “And the ability to deduct some business expenses upfront rather than depreciate them over multiple years will be a major factor for company profitability.” Sundance Vacations decided to award individual bonuses to staff members similar to corporate giants like Apple and AT&T. The immediate bonuses are in addition to the reduction in tax withholding that Americans will benefit from beginning in February. The Sundance bonuses will total over $125,000. Hundreds of other companies are also issuing bonuses nationwide which Dowd believes will inject more spending into the US economy.

Congressman Barletta commented, “The results have been clear that our tax plan will provide more opportunity for all Americans. Businesses will invest in workers and equipment, generating the historic growth that has been dormant in our nation for far too long. Americans will keep more of their paychecks, allowing them to pay bills, save for their children’s education or pay off lingering bills. I am very excited for companies in Pennsylvania like Sundance Vacations as they award bonuses because of our tax plan. The future is very bright for Pennsylvania.” – Jan. 30 2018, Sundance Vacations press release

NexTier Bank (Butler, Pennsylvania) – $1,000 bonuses for all employees; tuition reimbursement on job training; wage raises for hourly employees:

NexTier Bank, N.A. (“NexTier”), today announced an investment in its workforce with a one-time bonus of $1,000 for all employees as a result of the tax reform bill passed by the U.S. Congress and signed by President Trump. This is in addition to annual bonuses paid in late 2017.    

“Our employees are the key to our success and we are pleased to share this tax savings with our team. NexTier’s employees work hard to meet the needs of our customers, build relationships, and give back to the communities we serve. It’s an honor to reward them for their efforts,” stated CEO, Clem Rosenberger.

In addition to this one-time payout, NexTier is committed to providing educational and career advancement opportunities to employees on an ongoing basis with educational benefits such as tuition reimbursement, internal training, and a variety of industry training opportunities. NexTier will also make adjustments to the wages of hourly employees throughout the year.

“The tax reform bill not only allows us to invest in our employees, but to accelerate lending to small businesses, increase hiring, and enhance our charitable giving. It’s a win-win,” continued Rosenberger. “We fully expect to see significant growth, not only as a company, but throughout the local and national economy as a result of this historic legislation.” – Jan. 12, 2018 NexTier Bank press release

Noah Bank (Elkins Park, Pennsylvania) – $1,500 cash bonus to employees:

Noah Bank, a Pennsylvania-chartered community bank, has announced today that its Board of Directors has elected to provide all employees with a one-time $1,500 cash bonus thanks to the passage of new tax legislation.

CEO Edward E. Shin stated, "We are pleased to have the opportunity to reward employees with salary increases and bonuses thanks to these tax cuts.  We are proud of our dedicated and enthusiastic employees who have made Noah Bank a success."  Mr. Shin added that, "The new legislation will continue to benefit Noah Bank, our employees, our shareholders, and our customers as we progress and grow."

Congress approved tax reform legislation that reduced the corporate tax rate from 35% to 21%.  Noah Bank intends to pay out the bonuses on February 8.” – Feb. 2 2018, Noah Bank press release

PNC Financial Services Group, Inc. (Pittsburgh, Pennsylvania) -- $1,000 bonuses to 47,500 employees; an additional $1,500 in employee pension accounts; base wage hike to $15; $200 million charitable contribution:

"The tax reform law creates an opportunity to reward our employees who are working hard each day to serve our customers, build strong relationships in our communities and create long-term value for our shareholders," said William S. Demchak, PNC's chairman, president and chief executive officer. "The Board's decision to recognize our employees and support our communities is reflective of our commitment to PNC's success." – Dec. 22, 2017 PNC press release

Apple (There are nine Apple store locations in PA: Ardmore, King of Prussia, Lancaster, Philadelphia, Whitehall, Willow Grove, and three locations in Pittsburgh) -- $2,500 employee bonuses in the form of restricted stock units; nationally, $30 billion in additional capital expenditures.

AT&T -- $1,000 bonuses to 2,141 Pennsylvania employees; Nationwide, $1 billion increase in capital expenditures.

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

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

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

Home Depot -- 70 locations in Pennsylvania, bonuses for all hourly employees, up to $1,000

Lowe's --13,000 employees at 84 stores and two distribution centers in Pennsylvania. 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 (Twenty-eight locations in Pennsylvania) – Tax reform bonuses for employees.

Starbucks Coffee Company (357 locations in Pennsylvania) – $500 stock grants for all 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 Pennsylvania) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Walmart – 63 locations in PennsylvaniaWalmart 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.

McDonald’s (575+ locations in Pennsylvania) – 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  260 locations in Pennsylvania; raised base wage from $13.50 to $15.00 per hour; Nationlly, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Pennsylvania 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


Ohio Examples of Tax Reform Good News

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Posted by John Kartch on Tuesday, December 3rd, 2019, 9:20 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 Ohio. (Additions to this list can be sent to jkartch@atr.org)

Conger Construction Group (Lebanon, Ohio) – Because of the Tax Cuts and Jobs Act, the company was able to double the amount of employees, offer bigger bonuses, give more paid time off, and provide better healthcare benefits to workers.

“Justin Conger, owner and president of Conger Construction Group in Lebanon, Ohio, a C corporation, attributes the explosion of his business to the TCJA’s flat corporate tax rate of 21 percent, and he thinks his company’s success indicates the health of the overall economy.

“Construction is a lagging indicator of the economy,” he told members of the House Committee on Small Business on Wednesday. “If our clients or other businesses are not growing, expanding, or re-investing in their facilities, there is no need for commercial construction services. There is a lot of work to be completed before a project can start; from an owner obtaining financing, to architectural drawings being completed, to regulatory approval from local jurisdictions. Businesses all over Ohio are growing and expanding by utilizing the benefits of the TCJA and reinvesting additional generated capital into their businesses. In talking with past, future, and current clients, over 80 percent indicate the reason for their investment in construction services is due to the economy and current tax structure.”

“Conger said the number of employees at his company doubled in the last year and a half, and he’s been offering bigger bonuses, more paid time off and better healthcare benefits to workers because business has been so good. Conger said they’re also expanding office space due to the increased number of employees.”

“Those are real numbers and big numbers in Warren County and Lebanon, Ohio,” he said. – July 25, 2019 Inside Sources article 

Bendix Commercial Vehicle Systems LLC (Elyria, Ohio) - Invested in new machinery, added new shift rotations:

Bendix Commercial Vehicle Systems LLC, an Elyria, Ohio, vehicle-parts supplier, has seen demand for its brakes and other products surge over the past year and a half as the transportation industry has picked up steam. To meet that demand and maximize capacity, the company has increased investment in machinery and has added a rotation that allows it to run full shifts seven days a week. - July 17, 2018, Wall Street Journal article excerpt

Bar Cento (Cleveland, Ohio) – The tax cuts allowed the bar to add new jobs and invest more in their facility:

Sam McNulty, co-founder of multiple Cleveland brewery/restaurants including Market Garden Brewery and Bar Cento, credited the tax break with helping his operations expand at an accelerated rate, "which in our case meant several million dollars of investment in our facility as well as the creation of a large number of full-time positions."

Not having certainty for the tax cut beyond next year could stymie other, more long-term investments.

"As in life, so it goes in business, where if the future is uncertain, you are more likely to be less secure and optimistic and thus more conservative and frugal," McNulty said. "There's not a bank on the planet that will finance a business that has only a one-year lease. And so a one-year extension is appreciated, but it is not enough to really fuel this growing industry and reach the full promise of the economic benefits of local craft beer." – Dec. 17, 2018, Crains Cleveland article.

Ariel Corporation (Mount Vernon, Ohio) – increase wages, expand business and increase employee benefits:

Karen Buchwald Wright, the Chairman, CEO and President of the Ariel Corporation, told the NAM that tax reform is helping the company improve the quality of life for their employees and the entire community of Mt. Vernon.

Ms. Wright told the NAM that the company is using tax reform the further wages and expand benefits for her employees:

  • Tax reform means “reinvesting in the business,” Karen said. They plan to further grow Ariel’s manufacturing capabilities, provide even better pay and benefits for employees, and continue giving back to the community.
  • Last year, before tax reform was even discussed, Karen said that Ariel gave across-the-board pay increases because she had repeatedly read that due to high taxes and an overwhelming regulatory climate, “national wages throughout manufacturing had essentially been flat for 20 years,” Karen explained. “So, across the board, we gave everyone a 13% increase in wages,” she said.
  • Because of tax reduction, Karen reported that Ariel is moving forward with further significant raises in 2018, thanks to additional profits the company can invest in both people and the “tools” they need to do their jobs. Ariel will offer employees performance-based raises of up to 4.25%, on top of what they already received last year. Tax reform also allowed improvements and increases in the company’s generous profit-sharing and retirement programs. – April 17, 2018 National Association of Manufacturers news article excerpt

Dynalab Inc. (Reynoldsburg, Ohio) – Because of the Tax Cuts and Jobs Act, the company was able to invest in new manufacturing equipment, employees received a bonus as well as a larger take home pay:

On a recent trip to Ohio, President Donald Trump proclaimed: “America is once again open for business.” Evidence for that statement? The Tax Cuts and Jobs Act of 2017.

As the president and chief executive officer of Dynalab Inc., a small-business manufacturer of electronic products in central Ohio, I can say that we already see many benefits provided by the corporate and personal tax-rate reductions of the 2017 act:

• Larger 2017 year-end bonuses and greater take-home pay for most of our associates.

• $2 million-plus in new manufacturing equipment.

Although final regulations have not been released, and more needs to be done to rein in the Internal Revenue Service, our country’s economy is benefiting. The growth in gross domestic product, jobs creation and the stock market tell the tale.

Gary James
Reynoldsburg  
– March 22, 2018, Columbus Dispatch article.

BWX Technologies, Inc. (Ohio and Indiana) -- Hiring more than 170 new employees because of tax reform. The company is also investing $210 million in these states because of tax reform:

BWX Technologies, Inc., a supplier of nuclear components and fuel to the U.S. government, is hiring more than 170 new employees and further expanding its operations across three manufacturing facilities in Ohio and Indiana over the course of the next four years, investing approximately $210 million in these two states as a result of tax reform.

“Due to tax reform, we saw a favorable impact to our tax rate of about 8 to 10 percent,” said Rex Geveden, BWXT’s president and chief executive officer. “This has resulted in significant cash savings that we have used for various needs, including reinvestment of capital into our business and hiring additional employees for future growth.” -- July 22, 2019 National Association of Manufacturers Shop Floor Blog

Six Hundred Downtown (Bellefontaine, Ohio) - Opening a new location, introducing employee healthcare benefits:

“Brittany, where’s the pizza?” Trump asked Saxton. She said she’d been able to use the tax cuts to open a second location and provide health benefits to some managers and thanked Trump at the podium. - April 12, 2018, WTOP article excerpt

Warped Wing Brewing Co. (Dayton, Ohio)  – The brewery plans to use savings from the tax cut to give raises to employees and buy new equipment:

“It’s a big deal for most of the breweries in Southwest Ohio,” said John Haggerty, co-owner of Warped Wing Brewing Co. in downtown Dayton.

Without the tax cut, beer brewers and most alcoholic-beverage producers would have been looking at a higher tax bill the second week in January. The tax cut also reduced the amount that distilleries paid on the first 100,000 proof gallons from $13.50 to $2.70 per gallon. A proof gallon is a gallon of spirits at 50 percent alcohol.

“We’ve been waiting for this. We planned for it to go up in our strategic budgeting for next year, but it’s hard because it affects decisions like giving raises to employees, buying new equipment, future bank loans and ultimately the price beer drinkers would have to pay. – Dec. 30. 2019, Dayton Daily News article.

RPM International (Medina, Ohio) - Investing in employee pension plans:

Frank Sullivan, chairman and CEO of Medina-based RPM International, said by putting $50 million as a result of the tax package into RPM's pension plan, the company is boosting its commitment to workers. "It's a reinforcement of the benefit package that we have," Sullivan said. - February 6, 2018, Cleveland.com article excerpt

Market Garden Brewery (Cleveland, Ohio) – The tax cuts allowed the brewery to add new jobs and invest more in their facility:

Sam McNulty, co-founder of multiple Cleveland brewery/restaurants including Market Garden Brewery and Bar Cento, credited the tax break with helping his operations expand at an accelerated rate, "which in our case meant several million dollars of investment in our facility as well as the creation of a large number of full-time positions."

Not having certainty for the tax cut beyond next year could stymie other, more long-term investments.

"As in life, so it goes in business, where if the future is uncertain, you are more likely to be less secure and optimistic and thus more conservative and frugal," McNulty said. "There's not a bank on the planet that will finance a business that has only a one-year lease. And so a one-year extension is appreciated, but it is not enough to really fuel this growing industry and reach the full promise of the economic benefits of local craft beer." – Dec. 17, 2018, Crains Cleveland article.

Streetside Brewery (Cincinnati, Ohio) – Used savings from the Tax Cuts and Jobs Act to hire more employees and buy new equipment:

Garrett Hickey was among those who were feeling relieved as 2020 arrived. He is a co-owner of Streetside Brewery which does 1,200 barrels a year.

Its per barrel tax would have doubled if President Donald Trump had not signed an extension of the federal alcohol tax cut. As a result, Streetside foresees a steady, unimpeded trickle-down flow from the suds.

"Continue to hire new people, continue to buy new equipment, continue to work with charitable places," said Hickey. – January 3, 2020, WLWT5 article.

Dominion Energy Ohio (Columbus, Ohio) – Because of the Tax Cuts and Jobs Act corporate tax rate cut, the utility provider is able to issue credits on bills.

The Public Utilities Commission of Ohio (PUCO) today adopted an agreement that authorized Dominion Energy Ohio (Dominion) to establish a credit on gas customer bills to reflect the impact of the Tax Cuts and Jobs Act (TCJA) of 2017 on its rates.

Dominion will credit residential customers the amount it has over collected, plus interest, since Jan. 1, 2018 under the previous corporate tax rate. The $50.9 million credit will be passed back to all customers over a 12 month period.

Dominion will return to customers annually approximately $18.9 million, which reflects the remaining tax savings not currently accounted for in rates, on a going-forward basis, until the Commission approves updated rates through a distribution rate case. Dominion is expected to file an application with the PUCO for its next distribution rate case in 2024.

Dominion will return to customers normalized excess deferred income tax (EDIT), estimated by the utility to be approximately $416 million, over a federally prescribed time period of approximately 38 years.

Dominion will credit customers non-normalized EDIT, estimated by the utility to be approximately $181 million, over approximately a six-year period.

A residential customer will see a bill reduction of approximately $5.80 per month for the first year, a $3.15 reduction in years two through six and a $1.55 reduction in year seven and beyond. – Dec. 5, 2019 WKTN article.

R+L Carriers (Wilmington, Ohio) -- $1,000 bonuses for 12,000 employees:

Wilmington-based global transportation company R+L Carriers announced this week it would issue bonuses of up to $1,000 for all its employees, citing the economic benefits from the Tax Cuts and Jobs Act.

“R+L Carriers is just the latest company we’ve seen invest in their employees as a result of tax reform,” U.S. Rep. Steve Stivers (R-15th District) said.

“For folks in Wilmington and across the country, these bonuses can be used for everyday needs, pay for a car repair, or be put in a savings account. This money can make a real difference for families, and I applaud R+L for their commitment to their employees,” the congressman added.

Family owned and operated, R+L Carriers began in 1965 with Ralph L. “Larry” Roberts Sr.’s purchase of a single truck. Today, the company serves all 50 states, Canada, Puerto Rico, the Dominican Republic, and many Caribbean islands with nearly 15,000 tractors and trailers, and more than 12,000 employees, stated a media release from the Office of Congressman Steve Stivers. – Feb. 16, 2018 Wilmington News Journal article excerpt

The Belden Brick company (Sugarcreek, Ohio) -- Made investments in new equipment and capital improvements because of tax reform. 

“I want to thank Bob Gibbs for his role in the successful efforts to reduce taxes and regulations, said Bob Belden, chairman, president and CEO of The Belden Brick Company. These reforms have made it easier for The Belden Brick Company to invest in new equipment and capital improvements. His efforts are a key part of rebuilding and sustaining a healthier manufacturing climate in Ohio and across the United States.” -- August 14, 2018 NAM Shopfloor Blog

Rockwell Automation (Twinsburg, Ohio) -- Because of the Tax Cuts and Jobs Act, the company was able to raise wages, add new jobs, and buy new equipment.

“Manufacturing’s success hinges on having a highly skilled production workforce that supports the advanced technologies that are essential to modern manufacturing competitiveness, said Bruce Quinn, Rockwell Automation vice president of public affairs. No matter how much you automate, people remain your most important asset. We are confident that the impact of U.S. tax reform on our customers could strengthen our future performance. Corporate tax reform enables us to use excess cash to invest in organic growth and acquisitions.” -- August 13, 2019 NAM Shopfloor Blog

ProMedica (Toledo, Ohio) - New headquarters

Today, U.S. Senator Rob Portman (R-OH), as part of his Results for the Middle-Class Tax Reform Tour, visited ProMedica Headquarters in Toledo. The headquarters was partially funded through New Markets Tax Credits and Historic Tax Credits, tax incentives Senator Portman fought to preserve in the Senate version of the Tax Cuts & Jobs Act and the final bill which ultimately became law. - March 27, 2018, Sen. Rob Portman press release excerpt

 

Kroger (Cincinnati, Ohio) – The nationwide grocery store chain announced plans to increase wages, improve their 401(k) plan, implement an improved education assistance program, as well as more discounts and support programs for employees:

The Kroger Co. (NYSE: KR) today announced new and enhanced long-term associate benefits following the Tax Cuts and Jobs Act, including an industry-leading education assistance program called Feed Your Future, accelerated investments in store associate wages, a more generous 401(k) benefit, and enriched associate discount and support programs. 

"The Tax Cuts and Jobs Act is a catalyst that is enabling us to accelerate investments in Restock Kroger, our plan to serve America through food inspiration and uplift," said Rodney McMullen, Kroger's chairman and CEO. "We intend to make significant investments in our associates, to continue redefining the customer experience, and to return value to our shareholders – sharing the benefit with all of our stakeholders in a balanced way. 

"I am especially excited to introduce Feed Your Future, Kroger's new, industry-leading continuous learning and education benefit. Many of our associates can attest to the life-changing power of education, and I'm proud to be one of them. Feed Your Future will support both full- and part- time associates, wherever they are on their personal education journey, whether they are pursuing GEDs, MBAs or professional certifications. In this way, we're offering more than a one-time award – we're offering an investment in our associates' future.

"Sharing the benefits of tax reform with our associates and customers will create a more sustainable and stronger business model to support Restock Kroger and beyond. This approach is also consistent with living our purpose: to Feed the Human Spirit."

Feed Your Future: Embracing the Life-Changing Power of Education

Lower federal taxes under the Tax Cuts and Jobs Act have enabled Kroger to introduce Feed Your Future – an education program to encourage lifelong learning and strengthen the company's opportunity culture. 

Kroger and its subsidiaries will now offer associates an employee education benefit of up to $3,500 annually ($21,000over the course of employment) toward continuing education and development opportunities including a high school equivalency exam, professional certifications and advanced degrees. 

Under the new benefit, Kroger expects to increase by five times its total annual investment in employee education. And in addition to a more generous individual and lifetime benefit, Feed Your Future will now cover all full- and part-time associates following six months of employment. 

"We care about our nearly half a million associates' growth and development, and we believe investing in education will support and encourage lifelong learning and reinforce our 'come for a job, stay for a career' opportunity culture," said Mr. McMullen. "We believe that making education benefits available to more associates and at more generous levels than ever before is the best way to support their future."

As part of Feed Your Future, Kroger is also introducing a new educational leave of absence that allows associates to take time off work to focus on approved studies, while maintaining a role with the family of companies and their seniority. 

Raising Starting and Overall Wages for Store Associates 

In order to increase starting wages and overall wage rates in certain markets, Kroger is utilizing the benefits of the Tax Cuts and Jobs Act to accelerate some of the previously-announced, incremental $500 million investment in associate wages, training and development over the next three years as part of Restock Kroger. 

Last month in Cincinnati, for example, Kroger associates ratified a labor agreement with UFCW Local 75 that set the stage for starting wage and overall wage increases in multiple markets across the country. The agreement raised starting wages to at least $10 per hour, and accelerated wage progressions to $11 an hour after one year of service, for store associates in the Cincinnati/Dayton area. Those wage increases went into effect on April 1.

Supporting Associates' Financial Well-Being – Today and in Retirement

To support associates' financial well-being, Kroger and its subsidiaries will increase the company match in the 401(k) Plan to 5% of pay, compared to a 4% match today. 

The family of companies is also making its associate discount of 10% off Our Brands products a more consistent benefit across supermarket banners, which will apply to more associates and in more locations than before. This new commitment will expand on the existing associate discount for Our Brands products, which allowed associates to save $53 million in 2017 alone. New associate discounts on general merchandise, home, apparel, and jewelry are also being offered.

Helping Hands: More Help in Times of Need

Kroger's long-standing Helping Hands program, an internal support fund that aids associates during hardships, will receive an additional $5 million in funding and be easier to use across the family of companies. 

"It is a point of great pride for Kroger that we are part of the fabric of our communities, and our associates always step up to take care of our customers, neighbors and each other in times of need," said Mr. McMullen. "Helping Hands is just one example of how at Kroger we show care every day and uplift each other in every way – especially when people need it most." 

Last fall, as part of the Helping Hands program, Kroger awarded $700,000 in financial grants to support 1,100 associates enduring hurricane-related hardships. 

"At Kroger, we are thrilled to have a talented, diverse and unique workforce," said Tim Massa, group vice president of human resources & labor relations. "We care about our associates, and we took the time to thoughtfully consider how to live our purpose and offer meaningful, personalized benefits while helping individuals, families and communities thrive today and in the future."

All of these investments were contemplated in previously-announced guidance. April 16, 2018, Kroger press release.

UH Rainbow Center (Cleveland, Ohio) - Built a new women’s and children’s center:

U.S. Senator Rob Portman (R-OH), as part of his Results for the Middle-Class Tax Reform Tour, visited UH Rainbow Center for Women & Children and hosted a tax reform roundtable. The UH Rainbow Center for Women & Children’s $26 million capital project was partially funded through New Markets Tax Credits, a tax incentive Senator Portman fought to preserve in the Senate version of the Tax Cuts & Jobs Act and the final bill which ultimately became law. - February 24, 2018, Sen. Rob Portman press release excerpt

Peoples Services Inc. (Canton, Ohio) - Increased wages, employee bonuses, hired new employees, nearly doubled capital investment:

“But thanks to the leadership of President Trump and his commitment to tax reform, I hear new stories every day of how my constituents are doing better under the new law. Just last week, I spoke to Doug Sibila, President, and CEO of Peoples Services, Inc., whos seven state operation is led out of Canton, Ohio. In recent months Peoples Services has raised pay, handed out bonuses, hired more people, and nearly doubled capital investment. All while increasing sales and margins. Stories like that of Doug and his employees are shaping the legacy of tax reform, and that’s a legacy I’m glad to have played a part in.” - July 2, 2018, Rep. Jim Renacci statement on U.S. House Floor

“We’ve increased wages more in the last two years than we have in the last 10 years,” said Doug Siblia, Peoples Services. “Entry-level drivers are making more than $50,000 a year, and our senior drivers are getting closer to $100,000 a year, and here in the Midwest, that’s a nice salary and a way to earn a living. -- August 27, 2019 Spectrum News 1 Article

Fairfield Insulation and Drywall (Lancaster, Ohio) – Because of the Tax Cuts and Jobs Act, the company was able to expand their life insurance benefits and increase their 401(k) match:

Fairfield Insulation and Drywall, a small Ohio-based company, was able to expand life insurance benefits for its employees last year. This year, it will increase its 401(k) match. April 14, 2019, Fox Business Network article.

GKM Auto Parts Inc. (Zanesville, Ohio) – Providing healthcare benefits to employees:

“Under the Affordable Care Act, our company has faced double digit increases in health care costs year after year, causing us to drop coverage in 2016,” said Kelly Moore, owner of GKM Auto Parts. “Because of the cost savings from tax reform, we are reinstating this important benefit for our employees…” Kelly Moore, owner of GKM Auto Parts, article excerpt

First Solar (Perrysburg, Ohio) -- Plant expansion, new workforce of 500 associates, and an annual payroll of $30 million:

First Solar cited two reasons for the expansion, more than doubling the company's output: along with higher solar demand, it pointed to changes in the corporate tax rate. Combined with the tariff decision six months ago, the solar company has benefited from the Trump Administration's decisions.

The expansion will cost $400 million, with a workforce of approximately 500 associates and an annual payroll of approximately $30 million. The company said via a statement it "has options for potential further manufacturing expansion in the future," depending on domestic demand for panels.

First Solar says it has invested approximately $3 billion in Ohio since the company's inception, and state and local officials have worked with the company to create a "business-friendly environment." - June 13, 2018, Utility Dive article

Wolf Metals (Columbus, Ohio) – Purchase of new equipment:

“Today, as a result of the new tax reform law, Wolf Metals was proud to announce its plan to purchase new equipment, including a water jet cutter first and then a press brake,” said Jim Wolf, Co-Founder and Owner. “This investment will help our company, help our workers, and help those who rely on us to deliver top-of-the-line product. I want to thank Senator Portman for coming to visit today and for his role in delivering historic tax relief for small businesses like ours who for too long have been saddled with burdensome taxes and over-regulation.” – Jan. 5, 2018 statement, press release of Sen. Rob Portman (R-Ohio)

JSW USA (Mingo Junction, Ohio) -- Committed to $1 billion of new investment in the USA in addition to the hiring or re-skilling of 500 workers:

Today JSW USA CEO John Hritz and Ryan Brindley, an employee at their Mingo Junction, Ohio, state-of-the-art steel mill met with President Trump, Vice President Pence, Ivanka Trump, and other cabinet officials and governors at the White House to celebrate the one-year anniversary of the Pledge to American Workers. 

Hritz, who signed the Pledge in January committing to $1 billion of new investment in the United States and the hiring or re-skilling of 500 workers, visited with the President to show his support for the employees of JSW USA and to ensure Administration policies continue supporting a strong steel industry in America. -- July 25, 2019 Business Wire

First Communications, LLC  (Akron, Ohio) – $1,000 bonuses and a $3 million capital investment:

When Julia Mueller learned her employer is going to give $1,000 bonuses to her and her co-workers this year, she had an immediate reaction: Tears.

“It means a lot to me. Things are a little tight,” said Mueller, 55, a staff accountant the last three years at First Communications in Fairlawn. The Mogadore resident said she recently divorced, is making payments on foot surgery from last year and also needs new tires for her SUV.

“It’s the only way I’m going to get tires. And I won’t have to keep paying for my surgery,” Mueller said.

Mueller and all other full-time employees of the telecommunications company will get $1,000 bonuses in April that the business says stem from recently enacted federal tax reform.

First Communications said lowering the corporate tax rate from 35 to 21 percent is allowing the company to better invest in employees, in product development and in the local community. The company offers data networking, cloud, voice and managed services throughout the Midwest.

The company will use the tax cuts to make a $3 million capital investment that will allow it to better compete against much larger companies such as Comcast, AT&T and Spectrum, said Mark Sollenberger, chief financial officer.

All of the money generated from the tax cut will go to employee bonuses and to capital improvements, Sollenberger said. First Communications needs to continually invest in its people and products to remain competitive, he said.

“Without the tax cut we would have had to limit ourselves on our new product initiates, but the tax cuts give us the operating room to make sure we have all the latest services our customers need to operate their businesses,” Sollenberger said.

First Communications has 83 Akron-area employees and more than 70 in the Chicago area.

“Being a small business the bonuses are a significant cost to the company,” Sollenberger said. “We have about 150 employees so the board had to give special approval due to the size of the expenditure.”

Other companies have also announced employee bonuses that are tied to the federal tax changes. Among the more widely known companies are Apple, AT&T, Walmart, Chipotle, CVS, Home Depot, JPMorgan Chase, Boeing, Lowes, Starbucks, U-Haul, Verizon and Disney.

Also locally, Orrville-based food company J.M. Smucker Co. said it will pay $1,000 bonuses to nearly 5,000 employees, plus make a $20 million payment to employee pensions and donate $1 million to charities.

Other First Communications employees said they’re happy to be getting extra money.

“It was a very pleasant surprise, to say the least,” said Craig Larkins, 37, a cost analyst who has been at the company 12 years. “It’s like being able to breathe a little bit better.”

Larkins said he is his family’s breadwinner, with his wife staying at home in Akron’s Firestone Park neighborhood with their two children ages 5 and 3.

“We own our home,” Larkins said. The $1,000 bonus likely will be used to pay off home improvements and other expenses, with some money going to other family needs and put into a rainy day fund, he said.

--

Mueller, meanwhile, already has plans for any money left over from paying off her surgery bill and buying tires — she will host a party for her children and grandchildren.

“I will probably have a make-your-own pizza night,” she said. -- March 11, 2018 Akron Beacon Journal article excerpts

Seventh Son Brewery (Columbus, Ohio) -- Used savings from the Tax Cuts and Jobs Act to hire more employees, increase production space, increase charitable giving, as well as improve employee benefits.

“Quite simply this tax law has helped my business, Seventh Son in Columbus, grow and enabled me to make it a better place for my employees to work.

Under CBMTRA, small breweries like mine which produce less than 2 million barrels of beer a year saw the federal excise tax on their first 60,000 barrels lowered from $7.00 per barrel to $3.50 per barrel. For us, that meant a savings of around $35,000. As a result, in the last two years, Seventh Son has increased its taproom and production space by 15,000 square feet, opened a second brewery and doubled our staff from 25 to 52.

We also have made improvements to our employee benefits package and increased our role in the community by boosting our charitable giving across several local organizations including Habitat for Humanity, Kaleidoscope, the Godman Guild, Cat Welfare and many others. The improvements to our physical space and our workforce, along with an increased presence in our community, have all been bolstered by the excise tax reduction,” Collin Castore, co-founder of Seventh Son Brewing said. -- August 23, 2019 Columbus Dispatch article.

Bruns General Contracting (Tipp City, Ohio) – Investment in equipment; enhanced retirement benefits:

U.S. Ohio Senator Rob Portman (R) made a stop in the Miami Valley for his Middle-Class Tax Reform Tour.

Portman visited and took a tour of Bruns General Contracting in Tipp City Monday and talked to the employees.

The company said it is investing in more equipment and strengthening its retirement benefits because of the money it expects to save in the next tax reform bill. -- Jan. 15, 2018 WDTN news report

Cintas (Headquarters in Cincinnati, and multiple locations throughout the state) -- Bonuses for 38,000 employees; $1,000 for employees of at least a year, $500 for employees of less than a year.

Tri-State Trailer Sales, Inc. (Hubbard, Ohio and Cincinnati, Ohio) – Increased 401(k) match for employees, to 100% on the first 4% of compensation:

We were very motivated that President Trump and Congress made the tax reform decision to benefit the American People and the Businesses they work for.

I look at all our employees as a big TEAM, its management and ownerships job to coach our team making sure everyone has the necessary tools to be successful in their position, we have done a good job at this and will continue to do so which has enabled us effective January 1st 2018 to implement an increased 401(k) match from approximately 25% to now 100% on the first 4% of compensation.

This new tax reform will also assist our company in continuing to support some of the great non-profit organization we have in the past. – Joe Mancino, CEO/President

STERIS Corp. (Ohio locations in Mentor, Groveport, Lima, and Stow) -- $1,000 bonuses 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

Staub Manufacturing (Dayton, Ohio) – Due to tax cuts, the 37 employees received higher Christmas bonuses:

“After Trump’s tax cuts and reform legislation were enacted last year, Staub says he  was able to give larger than expected Christmas bonuses to his employees.” – Jan. 29 2018, WDTN Dayton 2 News

City Machine Technologies Inc. (Youngstown, Ohio) – Because of the Tax Cuts and Jobs Act, the company was able to create more jobs, buy new equipment, and increase wages:

“First and foremost, we are happy to see that the tax reforms will be putting a little extra into our employees’ pockets,” said Claudia Kovach, owner of Youngstown, Ohio-based City Machine Technologies Inc. “When you have less to pay for taxes, you have more money to hire more staff, increase wages and buy new equipment.” – March 23, 2018, NFIB article.

Sheely’s Furniture and Appliance (North Lima, Ohio) – $1,000 bonuses for full-time employees; $500 bonuses for part-time employees; expansion of retail store:

Over 140 employees for a local furniture store will feel their wallets get a lot bigger.

Sheely’s Furniture and Appliance President and CEO, Dale Sheely Jr. announced the bonuses Tuesday morning.

The cause — tax reform, a growing retail footprint, and creating a better working environment for employees.

The bonuses will be given throughout the first quarter of 2018. Full-time employees will receive $1,000 in cash and part-time employees will get $500.

The store also announced a 4,500 square foot expansion to make Sheely’s Bargain Bonus center. The new space will offer exclusive purchases. – Feb. 20, 2018 WKBN 27 report

Sheffer Corporation (Cincinnati, Ohio) -- $1,000 bonuses for all 126 employees:

U.S. Senator Rob Portman (R-OH) today visited Sheffer Corporation, a premier cylinder manufacturing business based in Cincinnati, to tour the facility, meet with employees, and take part in the announcement of the business’s reinvestment into its workers. Sheffer Corporation announced that all 126 employees will be given $1,000 bonuses with the money the business expects to save as a result of the recently-signed tax reform law. 

“The historic tax cuts that recently became law are already helping make a difference for middle-class families, creating more jobs, and increasing wages for Ohio workers,” said Portman. “Providing tax relief for middle-class families and reforming our business tax code to create more jobs and higher wages is long overdue, and I was proud to play a significant role in helping craft this law. I’m pleased that we’re already seeing a positive response as employers like Sheffer Corporation reward their workers with higher pay and bonuses—and increase their investments in their businesses and their communities. With the kinds of pro-growth reforms in this tax reform law, I expect this trend to continue in Ohio and across the country.”

“It was truly an honor to host a visit today from Senator Rob Portman,” said Sheffer Corporation President & CEO Jeff Norris. “Senator Portman along with his colleagues and President Donald Trump have been instrumental in bringing forward historic and new tax relief for American companies and for the American people. For many years, business owners have voiced concerns about the burdens associated with high taxes and over-regulation. It is my hope that others will follow and show support for Senator Portman and President Trump as they fight to lower our tax burdens and reduce regulations.” -- Jan. 2, 2018 press release from the office of Senator Rob Portman (R-Ohio)

Kalmbach Feeds (Upper Sandusky, Ohio) - Invested in new equipment and capital improvements because of tax reform.

“I want to thank Rep. Bob Latta for his role in the successful efforts to reduce taxes and regulations, said Paul Kalmbach, President and CEO of Kalmbach Feeds. These reforms have made it easier for Kalmbach Feeds to invest in new equipment and capital improvements. Congressman Latta’s efforts have assisted in supporting a healthier manufacturing climate in Ohio and across the United States.” -- August 23, 2018 NAM Shopfloor Blog

Coach, Truck & Tractor, LLC (Conneaut, Ohio) -- Higher Christmas bonuses thanks to tax reform for this family business with seven employees. Bonus amounts determined by length of service:

"We are a small (7 employees) family business that was contemplating what to give for Christmas bonuses and when the tax bill passed, we decided to give much more than we ever did in past. We gave various amounts based on length of time with us. $500 to two-year employees, $300 and $100 to those who were less than a year." -- Dick Elliott, Coach, Truck & Tractor, LLC

J.M. Smucker Company (Orrville, Ohio) -- $1,000 bonuses to about 5,000 employees; $1 million in increased charitable donations; $20 million contribution to employee pension plan:

With the benefit resulting from U.S. income tax reform, the Company contributed an incremental $20.0 million to its employee pension plan and has announced a one-time bonus of $1,000 to nearly 5,000 employees and a $1 million increase to its charitable contributions. – Feb. 16, 2018 J.M. Smucker Company press release

Fifth Third Bank (Headquarters in Cincinnati and 326 branch locations in Ohio) – $1,000 bonuses for 13,500 employees; base wage raised to $15 per hour:

Newly passed tax legislation includes a reduction in corporate tax rates designed to spur economic growth. Carmichael said the tax cut allowed the Bank the opportunity to reevaluate its compensation structure and share some of those benefits with its talented and dedicated workforce.

Carmichael said the higher wage is an important step to help support individuals, their families and the communities in which we operate. Fifth Third has a history of investing in its 18,000 employees.

Once the legislation is signed into law, nearly 3,000 hourly employees will see their pay increase to $15 an hour. The one-time $1,000 bonus is expected to be distributed by the end of the year, assuming the president signs the bill before Christmas. Senior managers and executive leadership are excluded from this compensation.

“It is good for our communities, employees and Fifth Third Bank,” [President and CEO Greg] Carmichael said. – Dec. 20, 2017 Fifth Third Bancorp press release

Metropolitan Edison Company (Akron, Ohio) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Pennsylvania Electric Company (Akron, Ohio) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

Pennsylvania Power Company (Akron, Ohio) - the utility will pass along tax reform savings to customers:

The Pennsylvania Public Utility Commission (PUC) today issued an Order, requiring a “negative surcharge” or monthly credit on customer bills for 17 major electric, natural gas, and water and wastewater utilities, totaling more than $320-million per year. The refunds to consumers are the result of the substantial decrease in federal corporate tax rates and other tax changes under the Tax Cuts and Jobs Act (TCJA) of 2017, which impacted the tax liability of many utilities.

Additionally, the PUC will consider the effects of federal tax reform on seven other public utilities as part of the investigations for rate cases which have already been filed or are expected to be filed by Aug. 1, 2018. In those situations, the Commission has directed the parties involved to address the impact of any TCJA tax savings as part of the overall rate design for each utility. – May 17, 2018, Pennsylvania Public Utilities Commission Press Release

First Federal Community Bank (Dover, Ohio) – $1,000 bonuses for full-time employees; $500 bonuses for part-time employees; increased charitable contributions.

e-Cycle (Hilliard, Ohio) -- $1,000 bonuses for all 55 employees:

“I’m pleased to announce that e-Cycle paid out our largest bonus in company history this past Friday. One-hundred percent of all of our hourly and salaried employees participated in this bonus program of over $350,000. In addition, due to the greatest tax reform package just passed in U.S. history, we’re celebrating with an additional $1,000 tax reform bonus for all of our 55 employees.” – Feb. 5, 2018 statement by Chris Irion, e-Cycle CEO

First Financial Bancorp (Cincinnati, Ohio) -- Base wage raised to $15 per hour; $3 million charitable contribution:

First Financial Bancorp (Nasdaq: FFBC) will raise the starting wage for all new and existing hourly associates to $15 an hour effective immediately. Additionally, the bank has made a $3 million contribution to its newly established charitable foundation. This announcement comes as a result of the recently passed tax legislation, which includes a reduction in corporate tax rates.

First Financial strives to provide fair and competitive salaries and benefits to its associates. Approximately 1,335 associates are employed throughout the First Financial footprint in Ohio, Indiana and Kentucky. The increase will affect 220 of these associates. – Jan. 3, 2018 First Financial Bancorp press release

KeyCorp (Headquarters in Cleveland and over 200 branch locations in Ohio) – Base wage raised; increased employee retirement plan contributions:

Key will be sharing the expected tax benefits with its employees by increasing its minimum wage and making the additional retirement plan contribution referenced above. These actions will benefit over 80% of our workforce and allow us to reward and invest in the financial wellness of our employees. – Jan. 18, 2018 KeyCorp press release

Duke Energy Ohio, Inc. (Cincinnati, Ohio) – The utility will pass along tax reform savings to customers:

Duke Energy Ohio customers will receive approximately $20 million in annual tax savings on their electric bills beginning this month. The bill reduction is a result of the recent Tax Cuts and Jobs Act, which federal lawmakers passed in late 2017.

"The tax act provides a unique opportunity for us to reduce customers' bills by millions of dollars," said Jim Henning, president of Duke Energy Ohio and Kentucky. "And that's exactly what we're doing here – delivering real savings to our customers."

Duke Energy Ohio also plans to lower its customers' natural gas bills by about $3 million beginning in May – subject to the approval of proposals filed with state regulators.

"The tax act reduced our corporate tax rate – and that's a benefit we are pleased to pass along to our customers," said Henning. "However, the impacts on our business and customers go far beyond the reduction in the corporate tax rate. While some of the changes reduce our federal tax liabilities over time, others could actually increase our tax obligations.

"We considered all of these scenarios as we determined the best ways to pass along the benefits of the tax act to our customers. And we continue to work through various regulatory proceedings in our efforts to ensure that our customers receive the benefits of this new law." – April 13, 2018, Duke Energy Press Release

Nationwide Insurance (Columbus, Ohio) -- $1,000 bonuses to 29,000 employees; increased 401(k) matching contributions for 33,000 employees:

“The combination of the new tax legislation, including a reduced corporate tax rate, and our associates’ ongoing commitment to our members, community and On Your Side promise are the reasons we’re making this investment that further enhances the already robust benefits we offer to attract and retain the best talent.” – Jan. 3 2018, Nationwide Insurance statement

Middlefield Banc Corp. (Middlefield, Ohio) – $1,000 bonuses for each employee:

Middlefield Banc Corp. (NASDAQ: MBCN) today announced that, as a result of the company’s strong 2017 financial results, favorable 2018 outlook, and the benefits of the Tax Cuts and Jobs Act, the company’s Board of Directors has approved several actions to return capital to Middlefield’s shareholders and employees.

Middlefield’s Board of Directors declared a quarterly cash dividend of $0.28 per common share payable on March 15, 2018, to shareholders of record on February 28, 2018. The 2018 first-quarter dividend payment represents a 3.7% increase over the 2017 first-quarter payment. In addition, the Board declared a special one-time cash dividend of $0.05 per common share that will be payable on March 15, 2018, to shareholders of record on February 28, 2018. The Board also approved a one-time bonus of $1,000 to each employee. – Feb. 14, 2018 Middlefield Banc Corp. press release

Jergens, Inc. (Cleveland) – Pay raises:

Thanks to the tax package, Jergens took what would normally be a cost of living increase for its workers, doubled it and built it in as a permanent part of wages, rather than making it a one-time bonus as some companies did. That means a worker making $25 an hour got a raise of about $2,000 a year. – Feb. 4, 2018 Cleveland.com article excerpt

Worldpay Inc. (Cincinnati, Ohio) – Up to $2,000 bonuses, increasing some hourly wages, increasing 401(k) match, increasing charitable contributions, investing in wellness and recognition programs:

“An Ohio-based payments-processing giant said Friday it's giving bonuses, upping pay and improving benefits while crediting the GOP tax cuts.

--

Worldpay said U.S. hourly workers are getting bonuses of $1,000 to $2,000 each, and some hourly wages are being hiked. The company is increasing its 401(k) match and investments in wellness and recognition programs. Charles Drucker, the company's executive chairman and co-CEO, said the company also will increase charitable giving.” – March 2 2018, U.S. News and World Report article excerpt

Western & Southern Financial Group (Cincinnati, Ohio) -- $2,000 bonuses for full time employees; $1,000 for part time employees.

Walmart 170 retail locations in Ohio -- Pay raises and bonuses. Ohio Walmart and Sam's Club employees are receiving tax reform bonuses of up to $1,000 for a combined state total of $18.1 million. Hourly wages raised to at least $11 per hour. The company also expanded maternity and parental leave and now provides $5,000 for adoption expenses:

Starting Thursday, Walmart associates in Ohio will be receiving cash bonuses the company promised them in January.

According to a release from Walmart, starting today, Ohio associates will receive a one-time $1,000 cash bonus for a total of $18.1 million in combined bonuses across the state.

The retailer will also begin increase its starting hourly wage for all associates to $11 an hour, and expand maternity and parental leave benefits.

The company also said it is creating a new benefit to assist employees with adoption expenses.

Walmart says they operate more than 170 retail units in the state of Ohio, and paid more than $157.5 million in taxes and collected more than $496.5 million in sales taxes in 2017. -- March 8, 2018 WCMH NBC4 report

Columbia Gas (Columbus, Ohio) – Customers will save $300 million because of the company’s lower tax rate.

“The Trump tax cuts will mean lower bills for Columbia Gas of Ohio customers.”

“The Public Utilities Commission of Ohio adopted a settlement agreement Wednesday that adjusts rates for customers to reflect the utility's lower tax rate under the federal Tax Cuts and Jobs Act. The lower rates are expected to save customers $300 million.”

“Columbia Gas will credit customers for higher rates it's collected since the tax cuts went into effect, with $22.5 million passed back to customers over 12 months. Residential customers will see a $1.06 monthly credit on their bill.”

“The utility also will reduce base distribution rates by $121 million, resulting in a $1.06 monthly savings for customers going forward.”

“The commission is pleased to approve a balanced agreement that credits Columbia’s customers with the effects of the (tax cuts),” PUCO Chairman Asim Haque said in a statement. “Rate impacts from important gas system work will be minimized thanks to the commission’s strong stance on utility tax reform.” -- Nov. 29, 2018 Columbus Business First article

Ohio Edison, (Akron, Ohio) - Passing 100% of savings by the Tax Cuts and Jobs Act onto customers.

“Ohio Edison, Cleveland Electric Illuminating Company and Toledo Edison – announced today that the Public Utilities Commission of Ohio (PUCO) approved a comprehensive settlement agreement that will return additional savings to customers related to federal income tax law changes and includes investments to modernize the electric distribution system with advanced automation equipment, real-time voltage controls and smart meters. 

“FirstEnergy's Ohio customers will receive 100 percent of the tax savings created by the federal Tax Cut and Jobs Act, which includes tax savings already credited to customers since last year. As a result of the additional tax savings, a typical residential customer using 1,000 kilowatt hours of electricity could expect to see a reduction of over $4 in monthly bills.”

"We are pleased to resolve the tax reform issues and will pass along the tax savings to customers," said Samuel L. Belcher, senior vice president and president of FirstEnergy Utilities. "We look forward to modernizing our electric system with advanced equipment that will help reduce the number and duration of power outages. Smart meters also will allow our customers to make more informed decisions about their energy usage.” – July 17,
2019 First Energy Corp. press release

Cleveland Electric Illuminating Company (Cleveland, Ohio) - Passing 100% of savings by the Tax Cuts and Jobs Act onto customers.

“Ohio Edison, Cleveland Electric Illuminating Company and Toledo Edison – announced today that the Public Utilities Commission of Ohio (PUCO) approved a comprehensive settlement agreement that will return additional savings to customers related to federal income tax law changes and includes investments to modernize the electric distribution system with advanced automation equipment, real-time voltage controls and smart meters. 

“FirstEnergy's Ohio customers will receive 100 percent of the tax savings created by the federal Tax Cut and Jobs Act, which includes tax savings already credited to customers since last year. As a result of the additional tax savings, a typical residential customer using 1,000 kilowatt hours of electricity could expect to see a reduction of over $4 in monthly bills.”

"We are pleased to resolve the tax reform issues and will pass along the tax savings to customers," said Samuel L. Belcher, senior vice president and president of FirstEnergy Utilities. "We look forward to modernizing our electric system with advanced equipment that will help reduce the number and duration of power outages. Smart meters also will allow our customers to make more informed decisions about their energy usage.” – July 17,
2019 First Energy Corp. press release

Toledo Edison (Lucas County,  Ohio) - Passing 100% of savings by the Tax Cuts and Jobs Act onto customers.

“Ohio Edison, Cleveland Electric Illuminating Company and Toledo Edison – announced today that the Public Utilities Commission of Ohio (PUCO) approved a comprehensive settlement agreement that will return additional savings to customers related to federal income tax law changes and includes investments to modernize the electric distribution system with advanced automation equipment, real-time voltage controls and smart meters. 

“FirstEnergy's Ohio customers will receive 100 percent of the tax savings created by the federal Tax Cut and Jobs Act, which includes tax savings already credited to customers since last year. As a result of the additional tax savings, a typical residential customer using 1,000 kilowatt hours of electricity could expect to see a reduction of over $4 in monthly bills.”

"We are pleased to resolve the tax reform issues and will pass along the tax savings to customers," said Samuel L. Belcher, senior vice president and president of FirstEnergy Utilities. "We look forward to modernizing our electric system with advanced equipment that will help reduce the number and duration of power outages. Smart meters also will allow our customers to make more informed decisions about their energy usage.” – July 17,
2019 First Energy Corp. press release

Lowe's -- 11,000 employees at 83 stores and two distribution facilities in Ohio. 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. 

AT&T --  $1,000 bonuses to 5,069 Ohio-based 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

Apple (Apple store locations in Akron, Beavercreek, Cincinnati, Columbus, Toledo, Westlake, Woodmere) -- $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.

Home Depot - 70 locations in Ohio, bonuses for all hourly employees, up to $1,000.

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

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

Ryder (Twenty-four locations in Ohio) -- Tax reform bonuses for employees.

Starbucks Coffee Company (Multiple locations in Ohio) – $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. 

Everett J. Prescott Inc. (Ohio locations in Lima and West Carrollton) – $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

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

FedEx (Multiple locations in Ohio) – 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

MainSource Financial Group (Multiple locations in Ohio) – Base wage raised to $15 per hour:

MainSource Financial Group (NASDAQ: MSFG) will raise the starting pay and minimum hourly rate to $15 an hour effective immediately for all of its non-exempt, non-commissioned employees. This announcement comes as a result of the recently passed tax legislation, which includes a reduction in corporate tax rates.

Approximately 1,000 associates are employed throughout the MainSource footprint in Ohio, Indiana, Illinois and Kentucky. The pay increase will affect over 200 employees.

Archie M. Brown, Jr., President and CEO, stated, "The recently passed tax legislation is anticipated to create significant savings for our company. We are pleased to direct a portion of this savings back to many of our employees with a meaningful increase in pay." – Jan. 3, 2018 MainSource Financial Group press release

Taco John’s (Ohio locations in Bellville and Athens): 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

Note: If you know of other Ohio 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


New Jersey Examples of Tax Reform Good News

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Posted by John Kartch on Tuesday, December 3rd, 2019, 5:00 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 Jersey (Additions to this list can be sent to jkartch@atr.org)
 

New Jersey Families See Increased Tax Simplification and Tax Reduction. Americans at every income level have seen significant tax reduction. 90 percent of families and individuals are seeing increased take-home pay across the country. There are numerous reforms in the bill that benefit taxpayers in New Jersey and across the country:

  • The Tax Cuts and Jobs Act doubled the child tax credit from $1,000 to $2,000 per child. 563,170 New Jersey families took the Child Tax Credit in 2015.
  • The Tax Cuts and Jobs Act doubled the standard deduction for an individual from $6,000 to $12,000 and for a family from $12,000 to $24,000. 2,574,770 New Jersey families and individuals took the standard deduction in 2015.
  • The Tax Cuts and Jobs Act raised the threshold of the Alternative Minimum Tax so fewer taxpayers are forced to comply with the provision. 279,740 New Jersey families paid the Alternative Minimum Tax in 2015. 
     

New Jersey Middle Class Families See Increased Take-Home Pay. In 2018, New Jersey taxpayers will see average tax reduction of $1,490 and around 6 in 10 New Jersey taxpayers see an average federal tax cut of $2,740.    

  • 90 percent of New Jersey taxpayers with annual income of between $48,300 and $77,300 will see an average federal tax cut of $930 in 2018.
  • 84 percent of New Jersey taxpayers with annual income between $77,300 and $135,800 will see an average federal tax cut of $1,390 in 2018.
  • 80 percent of New Jersey taxpayers with annual income between $135,800 and $314,500 will see an average federal tax cut of $3,070 in 2018.    
     

New Jersey Families See Relief From the Individual Mandate Tax Penalty. Obamacare imposed a tax penalty of $695 for an individual and $2,085 for a family of four for failing to buy “qualifying” health insurance as defined by the federal government. The Tax Cuts and Jobs Act repeals this unfair tax.

The individual mandate tax penalty is one of the most regressive taxes in the code as it disproportionately impacts low and middle-income families:

  • 188,570 New Jersey individuals and families paid a total of $93,342,000 in individual mandate tax penalties in 2015. 
  • 37.56 percent of New Jersey taxpayers (70,830 households) that paid the individual mandate made less than $25,000 in annual income.
  • 77.91 percent of New Jersey taxpayers (146,910 households) that paid the individual mandate made less than $50,000 in annual income.
     

Tax Reform Benefits Businesses and Workers in New Jersey. The Tax Cuts and Jobs Act reduced the federal corporate tax rate to 21 percent and established a 20 percent small business deduction. Businesses across the state have responded by announcing pay raises, bonuses, 401(k) match increases, and expansions. For example:

  • Tingley Rubber Corporation – based in Piscataway, New Jersey - announced one-time bonuses of $1,000 because of the recent tax reform passed by Congress. 
  • Quest Diagnostics Incorporated – based in Secaucus, New Jersey – has announced bonuses of up to $500 for 40,000 employees. 
  • Amicus Therapeutics – based in Cranbury, New Jersey – will build a $200 million facility in the U.S. instead of Europe because of tax reform. The factory will produce a new drug designed to treat Pompe, a rare, fatal disease. The facility will employ at least 200 people with an average salary of $100,000. 
  • Lowe’s – (5,000 employees at 39 stores and two distribution centers in New Jersey). Employees will receive bonuses of up to $1,000 based on length of service, expanded benefits and maternity/parental leave, and $5,000 of adoption assistance. 
  • Amboy Bank – based in Old Bridge, New Jersey – is increasing its employee base wage to $15 per hour and giving $1,000 bonuses for non-executive employees. 
     

New Jersey companies of all sizes give powerful testimonials to the power of tax reform:

Metallix (Shrewsbury, New Jersey) - Employee bonuses, investing in business growth:

First order of business? Giving each of Metallix’s 98 workers a $1,000 bonus, an unexpected surprise that came just days after tax reform took effect.

“From the outset, the company wanted to share the benefits of tax reform with our employees,” said Maria Piastre, president of Metallix. “On February 14, every employee received a net $1,000 after-tax bonus in response to tax reform. Coming so soon after our usual end-of-year bonuses, it was completely unexpected by Metallix employees, and we were all very happy to receive it.”

Metallix wasn’t shy about tying these bonuses directly to tax reform. Each employee also received a letter from Metallix owner Eric Leiner, who explained that tax reform was going to mean a big boost to the company—and that he wanted to make sure employees were receiving their share of the good fortune. Metallix employees clearly took this sentiment to heart.

Piastre said that, months after the bonuses were given out, many employees still had Leiner’s letter hung proudly at their desks.

Piastre also explained that Metallix was using some of the benefits of tax reform to grow their business—and that significant investments were now more feasible because the company’s taxes had been so substantially lowered. - August 2, 2018, National Association of Manufacturers article excerpt

Atlantic City Electric (Atlantic City, New Jersey) - The utility will pass along tax cut savings to customers:

Atlantic City Electric will provide $23 million in annual tax savings to its customers. The company made a filing this month with the New Jersey Board of Public Utilities, which was approved on March 26, 2018. Customers will begin to see reductions on their bills around April 1, 2018. - April 3, 2018, Exelon Utilities press release excerpt

Honeywell (Morris Plains, New Jersey) – increased 401(k) match:

“I am confident in Honeywell’s future, and our ability to continue to deliver for our shareowners and our employees. Our strong performance in 2017, together with the enactment of new U.S. tax legislation, has enabled us to increase our 401(k) match in the U.S. This is a sustained, annual benefit that will provide a more secure retirement for our employees. We believe that enhancing this benefit is extremely valuable and important to our employees over the long term,” Adamczyk concluded.—Jan. 26 2018, Honeywell press release

Flemington Car & Truck Family of Brands (Flemington, New Jersey) -- $500 employee bonuses:

The new tax reform law is giving some benefits to New Jerseyans. The Flemington Car and Truck Country Family of Brands, a new and used car dealership in Flemington, is awarding each of its full-time employees a $500 bonus because of the recently passed federal Tax Cuts and Jobs Act.

As a result of the corporate tax rate cut under the new law to 21 percent from 35 percent, the company will also look to upgrade its facility and hire additional workers. The dealership is 41 years old and has 17 brands in eight different locations.

“We believe this is the right thing to do,” said company chairman Steve Kalafer, in a written statement. “Reinvesting tax savings in our employees and our businesses will make our communities and America stronger. We call on all of the auto manufacturers we work with to help drive economic growth by giving back to the communities where they employ and invest with appropriate employee bonuses and by creating new jobs with their new capacity for additional capital expenditures.” – Jan. 8, 2018 NJ Biz article excerpt

Quest Diagnostics Incorporated (Secaucus, New Jersey) -- Bonuses of up to $500 for 40,000 employees:

Tax Reform Benefit

In 2018 the company expects to realize approximately $180 million in tax savings on an adjusted basis. Of this amount, the company plans to reinvest roughly $75 million before tax back into the business and its employees, resulting in a benefit of approximately $120 million to net earnings.  Investment initiatives include:

-Advanced diagnostics innovation through new tests and high-touch concierge services;

-Investments to deliver a consistently excellent consumer experience both online through the MyQuest mobile patient application and patient service centers; and 

-A bonus of up to $500 for nearly 40,000 employees to be paid based on the company's performance in 2018. -- Feb. 1 2018, Quest Diagnostics Incorporated press release

New Jersey American Water (Swedesboro, New Jersey) – The utility will pass along tax cut savings to customers:

New Jersey American Water customers also recently had a rate decrease as a result of the Tax Cuts and Jobs Act. On April 1, 2018, most customer water rates were reduced by 5.9 percent (and 2.3 percent for former Shorelands Water Company customers). The water bill for the average residential customer using 6,000 gallons a month decreased approximately $3.36 per month ($1.00 per month for former Shorelands customers), and the average residential wastewater bill decreased between $1.49 and $5.81 per month, depending on service area.

The BPU is continuing their review of the overall impact of the new tax act, and further rate adjustments are anticipated in the coming months. – May 11, 2018, BusinessWire article excerpt

Merck (Kenilworth, New Jersey) -- Bonuses (details to be announced); increased charitable donations; increased capital expenditures:

“The recently enacted U.S. tax legislation improves Merck’s financial flexibility to invest in sustainable long-term value creating opportunities. In addition to the company’s ongoing investment in R&D, business development and continued support of the dividend, as well as share repurchases, the company also:

  • Plans to invest approximately $12 billion over 5 years in capital projects including approximately $8 billion in the United States
  • Made a contribution to the Merck Foundation in the fourth quarter of 2017
  • Plans to provide a one-time, long-term incentive award for its eligible non-executive employees in the second quarter of 2018” – Feb. 2 2018, Merck press release
     

Tingley Rubber Company (Piscataway, New Jersey) -- $1,000 bonuses:

New Jersey based Tingley Rubber Corporation will be issuing all U.S. based employees one-time bonuses of $1,000 because of the recent tax reform passed by Congress.

Tingley’s ownership announced Thursday its plans to share some of the tax benefit directly with their employees to express the company's gratitude. The 122-year-old, fifth generation family owned business joins many businesses across the country in giving employee bonuses after Congress passed a sweeping tax cut for businesses and individuals.

President Donald Trump signed a bill on December 22nd overhauling the nation's tax code. One of the biggest changes included in the bill cuts the corporate tax rate from 35 percent to 21 percent for qualifying corporations. The bill also restructures and lowers the seven personal income tax brackets.

Based in Piscataway, NJ the privately held Tingley Rubber Corporation announced the bonuses during an employee luncheon held on March 22nd. The $1,000 bonuses will also be eligible for the company’s 401(k) plan deferral with the standard corporate match.

"The economic development that should come as a direct result of the new tax reform legislation and deregulations will positively affect Tingley’s ability to grow its business.  The tax reform package will allow Tingley to invest more into our strategic initiatives, and better serve our customers, as well as our employees and shareholders," said Owner and Chairman of the Board, Bruce McCollum.  Bruce’s son and owner JB McCollum said "We are excited for the opportunity to reward our dedicated and hard-working employees with this special bonus as a token of our gratitude."

President & COO, Mike Zedalis, expressed his gratitude to the McCollum family and sees the new tax plan as a major boost to Tingley: “Our company continues to grow, and enhanced investment into our operations will always bring benefits to our customers, employees and shareholders.” 

Tingley Rubber Corporation is a leading supplier of protective footwear and clothing and has been protecting generations of workers since 1896. -- March 26, 2018 Tingley Rubber Corporation press release

Public Service Enterprise Group (Newark, New Jersey) – the utility will pass along tax reform savings to customers:


Public Service Electric and Gas Co. (PSE&G) today proposed to lower customer bills by approximately 2 percent on April 1 to pass on the benefits of the federal tax reform legislation enacted earlier this year.


In its filing with the NJ Board of Public Utilities, PSE&G will reduce rates by approximately $114 million on an annual basis effective April 1 to reflect lower federal taxes the utility will pay. The typical residential combined electric and gas customer will save nearly $41 per year.  – March 2, 2018, PSE&G Press Release

Amicus Therapeutics (Cranbury, New Jersey) – In order to find a cure for a rare disease, the company is building a $200 million facility in the United States instead of overseas. The facility will employ at least 200 people who will earn an average of over $100,000 per year:

Specialty drugmaker Amicus Therapeutics, Inc. has decided to spend as much as $200 million on a new production facility in the U.S. instead of Europe.

--

At Amicus Therapeutics, the new tax law solved a geographic dilemma. The Cranbury, N.J., company is developing an experimental drug to treat Pompe disease, a rare inherited disorder that causes muscle weakness and can be fatal.

After early results for a new drug proved promising, Amicus wanted to increase production for further clinical testing and potential commercial sales.

Amicus, which has been using Chinese contract manufacturer WuXi Biologics to supply the drug, decided in August to build its own facility. The U.S. was at a disadvantage to Europe, due to its 35% statutory federal income-tax rate for companies. Ireland’s corporate tax rate, by contrast, is 12.5%.

Those financial considerations threatened to overshadow other advantages that a U.S. plant would offer, including the ease with which company officials could visit it, and the availability of talented workers in some regions.

“Our strong assumption was that it would be very challenging to establish a new bio-manufacturing facility in the U.S.,” Chief Executive John Crowley said in an interview.

As the tax legislation advanced in Congress last fall, however, building in the U.S. began to look more attractive. On Dec. 21, a day after Congress passed the final measure, which lowered the statutory corporate rate to 21%, Mr. Crowley recommended to his board the company focus on finding a U.S. site. The company has narrowed its choice to three East Coast cities Mr. Crowley declined to identify, and expects to decide in the next month or two. It expects the plant to cost $150 million to $200 million, and to employ at least 200 people at an average pay of $100,000 a year.

“With the changes in the tax law, it now makes the U.S. competitive with these geographies we’re looking at,” he said. – Jan. 26, 2018 Wall Street Journal article excerpt

Somerset Savings Bank (Bound Brook, New Jersey) -- $750 bonuses for employees excluding senior management:

Somerset Savings Bank announced today that, following the enactment of the new federal tax reform legislation, it will distribute a special cash bonus to its employees.  Every employee, excluding senior management, will receive a one-time $750 bonus. – Jan. 23, 2018 Somerset Savings Bank press release

OceanFirst Financial Corp. (Toms River, New Jersey) – base wage increase to $15 per hour:

OceanFirst Financial Corp. (NASDAQ:OCFC) the holding company for OceanFirst Bank, today announced a commitment to increase the Bank's minimum hourly pay rate to $15.00 within 30 days of the enactment of the Tax Cuts and Jobs Act which has been approved by Congress and is expected to be signed into law in the near future." -- Dec. 22, 2017 OceanFirst Financial Corp. press release

Advanced Sciences and Technologies, LLC (Berlin, New Jersey) – increased 401(k) match for employees.

Unity Bank (Clinton, New Jersey) – all 200 non-executive employees will receive a $750 bonus:

In response to Congressional approval of tax reform legislation, Unity Bancorp, Inc. (NASDAQ:UNTY), parent company of Unity Bank, announced today that its Board of Directors has elected to provide all employees excluding executive management with a one-time $750 bonus.

“The bank’s Board and executive management felt strongly that the anticipated benefit of the corporate tax rate reduction should be shared with our employees,” said Unity Bank President & CEO James A. Hughes. “Unity’s employees constantly demonstrate their commitment to our customers and the community, not only in their work responsibilities, but by donating their personal time and resources to benefit those in need. We foster an entrepreneurial culture at Unity where the employees and bank can grow together and this decision fits perfectly with that philosophy.”

The corporate tax rate in the recently passed legislation will drop from 35% to 21%. Unity Bank intends to pay the bonuses to its approximately 200 employees in January. – Dec. 26, 2017 Unity Bancorp Inc. press release

Amboy Bank (Old Bridge, New Jersey) – Base wage raised to $15 per hour; $1,000 bonuses for non-executive employees:

The New Jersey Bankers Association said Amboy Bank was "sharing the benefits of the recent tax reform."

"They are joining the growing group of banks across New Jersey and the country that are rewarding employees with increased wages, special bonuses and enhanced benefits programs as well as increased funding for charitable giving," president and CEO  John E. McWeeney, Jr. said in a statement. – Feb. 8, 2018 NJ Advance Media article excerpt

Apple (There are 12 Apple stores in New Jersey: Atlantic City, Bridgewater, Cherry Hill, Edison, Freehold, Lawrence Township, Marlton, Paramus, Rockaway, Short Hills, Wayne, Woodcliff Lake) -- $2,500 employee bonuses in the form of restricted stock units; nationally, $30 billion in additional capital expenditures.

Johnson & Johnson (New Brunswick, New Jersey) – New investments due to tax reform – details will be released in April.

“Now regarding tax reform, what we said from the very beginning is that one of the major reasons, in addition to lowering the rate, is just frankly the flexibility that it provides us, and we think it actually helps make us more competitive, particularly on an international level if we happen to be in a competitive situation with other companies because now we have greater flexibility on how we can access that cash. So we think net-net, it's a positive for us. As you heard Dominic [J&J CFO] mention earlier, regarding the more immediate tax reform impact, we think that the -- the wise thing to do is to invest a good portion of that back into R&D. If you look over the past several years, the output, the productivity, particularly in our pharmaceutical pipeline, but also in others of our investments in R&D, we think, have been at the high end. And we think ultimately doing that, we'll have the greatest impact on our business, will help us get out to better serve underserved needs around the globe, and that's where we're heading in that direction.” – CEO Alex Gorsky

"We are pleased by the final passage of the U.S. tax cuts and jobs act.” – CFO Dominic Caruso

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

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

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

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

Home Depot -- 72 locations in New Jersey, bonuses for all hourly employees, up to $1,000

Lowe's -- 5,000 employees at 39 stores and two distribution centers in New Jersey. 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 (13 locations in New Jersey) – Tax reform bonuses for employees.

Starbucks Coffee Company (Multiple locations in New Jersey) – $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 – 39 stores in New Jersey – 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

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

Wal-Mart – 63 locations in New Jersey -- 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  279 locations in New Jersey; 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 New Jersey 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


Arizona Examples of Tax Reform Good News

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Posted by John Kartch on Monday, December 2nd, 2019, 11:30 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 Arizona. (Additions to this list can be sent to jkartch@atr.org)

SmithCraft Signs (Phoenix, Arizona) - Employee bonuses, purchasing new equipment:

MS. BERGSTROM:  Oh, thank you. Thank you Mr. President.  Wow. I’m Nicole, and I run Smithcraft Signs.  We are a veteran-owned, small manufacturing company.  We’re a job shop.

And what tax reform means for me is what we can do for our team.  To improve our capabilities, we’re buying new equipment. We issued a special bonus to our midlevel employees.

Deeann, in our accounting department told me that she is using the extra money for what she describes as a “dream bucket-list vacation” to visit her daughter who was recently discharged from the Navy who is now in Hawaii.

Phil and NOAZ is using the money for a bathroom remodel he has been planning for over 10 years.

I’ve very excited about what the future holds for us.  And again, so many thanks. - April 12, 2018, White House transcript

HT Metals (Tucson, Arizona) - Purchasing new equipment:

His Tucson-based company, HT Metals, cuts pieces for aerospace and medical device industries. In early May, Ruiz told a crowd gathered in Tempe to see Vice President Mike Pence that he recently spent a couple hundred thousand dollars on a new machine.

“And, we get to expense it immediately,” he said. - May 16, 2018, KJZZ.org article excerpt

Pivot Manufacturing (Phoenix, Arizona) - Purchasing new equipment:

Two high-speed machines arrived less than a month after the president signed the tax bill. The law lets Macias avoid paying federal tax on 20 percent of his company’s income. - May 16, 2018, KJZZ.org article excerpt

Crooked Tooth Brewery (Tucson, Arizona) – Because of the Tax Cuts and Jobs Act, the brewery is planning to invest in new jobs and  has been able to give back to the community:

The Vernons have been in the brewery business for about three years. Most of that time has fallen under the Craft Beverage Modernization Tax Reform Act passed in 2017. Because of this, they pay $3.50 a barrel in taxes, but at the start of 2020 that could double.

“We had about two months of business where we had $7 a barrel,” Vernon said. “That two months of business we didn’t do a lot of brewing, you know.”

This tax break was like a glass half full for small business.

Like the glass, there was plenty of room to grow. But if it expires, there's fear that optimism goes down the drain.

“Something that we may be investing in employment or we also give a lot to the community,” Vernon said.

These are things Vernon said he's been able to do because of this tax break, like working with local nonprofits on events. – Dec. 7, 2019, KLOD article.

Sutter Masonry, Inc. (El Mirage, Arizona) -- The company employs approximately 100 people. Hourly wages were increased by $1.00 and over $50,000 in bonuses were distributed.

Liberty Utilities  (Phoenix, Arizona) – The utility will pass along tax savings to customers:

The Arizona Corporation Commission is following through on its promise to pass savings created by the Tax Cuts and Jobs Act to Arizona utility ratepayers. As of August, the effort has totaled $189,088,437.

The Commission has been working on rate adjustments every month since February. At the July Open Meeting, the Commission addressed federal tax adjustments for both Southwest Gas and Liberty Utilities with adjustments made to their revenue requirements of $20 million and $1.9 million respectively. – August 24, Prescott News Online

San Tan Brewing (Chandler, Arizona) – The Tax Cuts and Jobs Act allowed the brewery to put their spirits on the market:

Anthony Canecchia owns San Tan Brewing, a company that produces large quantities of beer and a small amount of distilled spirits.

Canecchia and his team had been experimenting with spirits for a while before they put them on the market. In 2017, considering the tax cut, it seemed like a natural time to start production, he says. San Tan Distilling started selling its spirits, such as Saint Anne's vodka and Sacred Stave whiskey and bourbon, in 2018. – Dec. 20, 2019, The Arizona Republic article.

Quail Creek (Phoenix, Arizona) – The utility will pass tax savings on to customers

The Arizona Corporation Commission is following through on its promise to pass savings created by the Tax Cuts and Jobs Act to Arizona utility ratepayers. As of August, the effort has totaled $189,088,437.

At the August Open Meeting, the Commission addressed tax adjustments for both the Quail Creek and Bermuda Water Companies. The largest tax adjustment occurred earlier this year when the Commission approved a $119 million dollar reduction to benefit APS customers. - August 24, Prescott News Online

Bermuda Water Company (Phoenix, Arizona) – The utility will pass tax savings on to customers:

The Arizona Corporation Commission is following through on its promise to pass savings created by the Tax Cuts and Jobs Act to Arizona utility ratepayers. As of August, the effort has totaled $189,088,437.

At the August Open Meeting, the Commission addressed tax adjustments for both the Quail Creek and Bermuda Water Companies. The largest tax adjustment occurred earlier this year when the Commission approved a $119 million dollar reduction to benefit APS customers.- August 24, Prescott News Online

Helio Basin Brewery (Phoenix, Arizona) – The Tax Cuts and Jobs Act allowed the brewery to expand:

Local breweries have been paying a $3.50 tax per barrel, but once the bill expires, it will double, increasing to $7 per barrel. "Even though it doesn't sound like a lot of money, a $3.50 increase, it really does matter a lot to us, especially at our scale," said Dustin Hazer, the owner of Helio Basin Brewery. "Pretty much anything we try to do to increase our efficiency, it's a matter of change. It's not even once the sale happens; it's once we process it. So, we're getting immediately taxed on that volume. It's not when we sell it; it's when we process it."

Hazer opened his brewery a little more than three years ago, before the tax break was put in place.  "The first year we had the full tax and then the last couple we've had the nice tax," he said. "Basically, when that tax break happened, we started to launch into some of the bigger stores, can products. We wouldn't have been able to do that even though it doesn't seem like a lot of money." – Dec. 5, 2019, AZFamily article.

The Beer Shop Co. (Tempe, Arizona) – Because of the Tax Cuts and Jobs Act, the owner was able to open his business and create jobs:

Dylan DeMiguel is a partner at the The Shop Beer Co. in Tempe. 

Originally he thought he’d head to law school, but it turns out his entrepreneurial spirit drew him into the booze business. 

It's booming, he says, thanks in part to a tax break that went into effect in 2018.

“We’re taking this money to fuel the growth of this company. We’re literally hiring people,” DeMiguel said. “We’re buying equipment. And we’re investing in our community.” – Dec. 8, 2019, KPNX 12 News article.

U-Haul (Headquarters in Phoenix, with many locations statewide) – $1,200 bonus for full-time employees, $500 for part-time employees; over 28,000 workers will receive a bonus:

Officials with U-Haul say Friday its employees will receive a one-time bonus, as a result of the tax cut bill that was signed by President Donald Trump.

According to a statement, full-time team members will get a $1,200 bonus, while part-time employees will get $500. The bonuses, which will be issued by the end of February, will cost the company $23 million.

Officials say over 28,000 workers will benefit from the bonus, with more than 3,800 of those in Arizona. – Feb. 9 2018, Fox 10 Phoenix news article

YAM Worldwide (Scottsdale, Arizona) -- $2,000 bonuses for the 595 employees who have been with the company more than six months; $1,000 bonuses for the 131 employees who have been with the company less than six months. More than $1.3 million in bonuses were paid:

American entrepreneur and philanthropist Bob Parsons today announced that in celebration of the passage of the GOP tax plan, all 725 YAM Worldwide employees will receive additional bonuses. The 594 staffers who have been with the company for more than six months will receive $2,000, and the remaining 131 employees who have been on the YAM Worldwide team six months or less will receive $1,000 each. The more than $1.3 million in bonuses will be distributed today.

“The passage of the tax credit is a catalyst for explosive economic growth. On a massive scale, the lowered federal tax burden on businesses will increase investment, entrepreneurship and corporate philanthropy,” said Parsons. “I’ve always believed in sharing good news and have decided to celebrate the tax plan by mgiving back to my staff.” – Dec. 17 2017, YAM Worldwide press release

Data Sales Co., Inc. (Scottsdale, Arizona) – $1,000 bonuses for all 80 employees:

Data Sales Co., Inc. announced today that the Company will celebrate the recent passage of tax reform legislation by distributing to all 80 plus employees a special bonus of $1,000 each. Data Sales Co. will benefit from the new tax law lowering the corporate tax rate from 35 percent to 21 percent:

“Our hard-working employees make this company succeed, and we wanted them to share in the savings the company will see and also help grow our economy. Today I’m announcing that every employee will receive a cash bonus of $1,000 each,” said Paul Breckner, President of Data Sales Co. “I also want to thank our local Congressman, Jason Lewis, for his consistent advocacy of tax reform and seeing it through to becoming law. With the majority of our 80+ strong workforce here in Burnsville, I’m pleased that the benefits of tax reform will be felt at home.”

Background on tax reform bonuses and Data Sales Co.:
All employees, whether full-time or part-time, hourly, salaried, commission or non-commission will receive the bonus to show our appreciation and heartfelt thanks for their service. We believe this tax reform will be good for Data Sales, spur economic growth, continue to grow jobs and keep unemployment at an all-time low. – Jan. 22, 2018 Data Sales Co., Inc. press release

Virtua Partners (Phoenix, Arizona) - Launched an Opportunity Zone Fund, raising $200 million for the fund:

Virtua Partners (Virtua), a global private-equity real-estate investment firm, today announced the launch of the first-ever Opportunity Zone Fund. This groundbreaking fund is the first vehicle designed to invest in the newly created Opportunity Zones -- one of the lesser known provisions of the Tax Cuts and Jobs Act of 2017 (the Tax Reform Act). Virtua Opportunity Zone Fund I, LLC aims to raise $200 million and is designed to utilize the tax-savings opportunities created by the tax-reform law. - June 20, 2018 Virtua Partners press release

EPCOR USA (Phoenix, Arizona) - The utility will pass along tax cut savings to customers:

More than 57,000 EPCOR wastewater customers will receive more than $1.1 million in federal corporate tax cut savings, reducing the amount of their monthly wastewater bill starting with the July 2018 billing cycle.

Today, the Arizona Corporation Commission (ACC) approved EPCOR’s request to refund $1,106,392 in tax reform savings to all of the company’s residential and commercial wastewater customers.

Residential customers will receive a monthly credit of $1.26 until new rates are determined in a future rate case. Because wastewater service is billed at a flat rate, all residential customers will receive the same monthly credit. Residential customers will also receive a one-time credit of $7.56 on their July 2018 bill, refunding corporate taxes collected through June 2018 at the previous tax rate before today’s ACC approval of EPCOR’s application.

“We are extremely pleased to help our wastewater customers save more than $1 million each year, and it’s important to us that we put this into effect as soon as possible,” commented Joe Gysel, President of EPCOR USA, Arizona’s largest regulated water utility. “All our customers deserve to share in the savings generated by federal tax reform. It's positive for them, for their communities and for our state.” - June 12, 2018 EPCOR press release

 

Western Alliance Bancorporation (Phoenix, Arizona) – Base pay raise of 7.5 percent for the lowest-paid 50% of employees; increased bonuses; increased 401(k) match; etc.

Western Alliance, which has $20 billion in assets, plans to increase the base pay of the lowest-paid 50% of employees by 7.5% once the bill becomes law, the bank’s chief executive Robert Sarver said in an interview Wednesday. Bonuses will also go up, bringing the total pay increase for this group of employees to around 10%. These employees generally make $75,000 or less.

Western Alliance, which operates units including Bank of Nevada and Torrey Pines Bank, also plans to increase its 401(k) match from 50% of an employee’s contribution up to 6% of pay to 75% of an employee’s contribution up to that same level. The bank, which has about 1,700 total employees, also plans to improve maternity leave benefits, though Mr. Sarver declined to detail those changes. – Dec. 20, 2017 Wall Street Journal article excerpt

Arizona Public Service (Phoenix, Arizona) -- The utility requested a $119 million bill reduction for customers due to tax reform:

"APS has requested the Arizona Corporation Commission approve a $119 million bill reduction for customers, based on federal corporate tax cuts, effective February 1, 2018.

If approved, the $119 million decrease will offset the $95 million revenue increase that resulted from APS’s last rate review. The savings of $0.004258/kWh will be passed directly to customers through the Tax Expense Adjustor Mechanism (TEAM), a new adjustor mechanism that was included in the company’s rate review, and customer savings will vary with actual energy usage. APS customers would receive the credit on their monthly bill. – Jan. 9, 2018 Arizona Public Service press release

Tucson Electric Power Company (Tucson, Arizona) – The utility will pass tax reform savings to customers:

EP and its sister utilities “believe it is in the public interest to share a substantial portion of the expected income tax savings with their respective customers on an expedited basis,” the companies said.

TEP says its proposals may include a fast-tracked regulatory approval process to implement a billing credit as soon as possible; a higher seasonal credit that would help offset customer bills during higher usage months; or bill credits that would decline over time while still smoothing the bill impacts of future rate requests. – Feb. 2, 2018 Tucson.com article excerpt

AT&T - $1,000 bonuses to 1,510 Arizona 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

Apple (Apple store locations in Chandler, Gilbert, Glendale, Phoenix, Scottsdale, Tucson ) -- Arizona-based Apple employees received $2,500 bonuses in the form of restricted stock unitsNationally, $30 billion in additional capital expenditures; 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.

Wal-Mart – Arizona employees at 113 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.

Lowe's -- 4,000 employees at 32 stores in Arizona. 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.

Home Depot -- 57 locations in Arizona, 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 (Six locations in Arizona) -- Tax reform bonuses for employees.

Waste Management Inc.  (Multiple locations in Arizona) -- $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

T.J. Maxx – 17 stores in Arizona – 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 Arizona) – More than $3.2 billion in wage increases, bonuses, pension funding due to the recent tax cuts. Pay raises, bonus increases, pension plan increases, and at least $1.5 billion in capital expenditures:

“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.

The company has made no change to its fiscal 2018 earnings or capital expenditure guidance as issued on December 19, 2017 as a result of these actions.” – Jan. 26 2018, FedEx press release

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

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

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

Starbucks Coffee Company (Multiple locations in Arizona) – $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.

McDonald’s (280+ locations in Arizona) – 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 – 181 bank locations in Arizona; 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 Arizona examples, please email John Kartch at jkartch@atr.org

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


Arkansas Examples of Tax Reform Good News

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Posted by John Kartch on Monday, December 2nd, 2019, 3:35 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 Arkansas. (Additions to this list can be sent to jkartch@atr.org)

Bean Counter Farm (Fayetteville, Arkansas) - Hiring new employees, new investments:

Additional hiring is in store for bookkeeping franchise Bean Counter Farm, according to Chief Operating Officer Tom Porterfield. “We also plan to invest in target marketing to the franchise industry,” he said. - April 17, 2018, @ Our Franchise article excerpt

Big River Steel (Osceola, Arkansas) - $1.2 bill expansion and hiring 500 new employees:

Big River Steel is investing $1.2 billion in expansion and creating an additional 500 jobs. That means more opportunity for American workers.

A spokesman for the state notes the jobs will pay on average about $75,000 annually. - June 29, 2018 Arkansas Times article excerpt

Walmart (Headquarters in Bentonville plus 132 retail locations statewide) – Base wage increase for all hourly employees to $11; bonuses of up to $1,000; expanded maternity and parental leave; $5,000 for adoption expenses:

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

“Today, we are building on investments we’ve been making in associates, in their wages and skills development,” said Doug McMillon, Walmart president and CEO. “It’s our people who make the difference and we appreciate how they work hard to make every day easier for busy families.”

He added, “We are early in the stages of assessing the opportunities tax reform creates for us to invest in our customers and associates and to further strengthen our business, all of which should benefit our shareholders. However, some guiding themes are clear and consistent with how we’ve been investing -- lower prices for customers, better wages and training for associates and investments in the future of our company, including in technology. Tax reform gives us the opportunity to be more competitive globally and to accelerate plans for the U.S.”

This increase in wages to associates will take effect in February and will be approximately $300 million incremental to what was already included in next fiscal year’s plan. The one-time bonus represents an additional payment to associates of approximately $400 million in the current fiscal year, which ends Jan. 31, 2018.

While the new law will create some financial benefit for the company, Walmart is early in the process of assessing potential additional investments. That assessment will be done not only through the lens of associates, customers and shareholders, but also within Walmart’s financial framework of strong, efficient growth, consistent operating discipline and strategic capital allocation. Further details will be shared, as appropriate, when the company releases quarterly results Feb. 20, 2018.

Associates will hear more from their managers in the coming days about details.

But, broadly, associates in the U.S. will share in tax savings through:

· A one-time bonus benefiting all eligible full and part-time hourly associates in the U.S. The amount of the bonus will be based on length of service, with associates with at least 20 years qualifying for $1,000. A discrete one-time charge will be taken in the fourth quarter of the current year to account for the bonus; qualification will be determined before the end of the month and payments will be paid as quickly as practical thereafter.

· An increase in Walmart’s starting wage rate to $11 an hour, effective in the Feb. 17, 2018, pay cycle. The change is in addition to wage increases already planned for many U.S. markets in the coming fiscal year. The increase applies to all hourly associates in the U.S., including stores, Sam’s Clubs, eCommerce, logistics and Home Office.

·       An expanded parental and maternity leave policy, providing full-time hourly associates in the U.S. with 10 weeks of paid maternity leave and six weeks of paid parental leave. Salaried associates will also receive six weeks of paid parental leave.

·       Walmart will provide financial assistance to associates adopting a child. The adoption benefit, available to both full-time hourly and salaried associates, will total $5,000 per child and may be used for expenses such as adoption agency fees, translation fees and legal or court costs.  –  Jan. 11 2018, Walmart press release

Tyson Foods, Inc, (Springdale, Arkansas) -- 100,000 employees will receive a tax reform bonuses: $1,000 for full-time employees and $500 for part-time employees. 

Entergy Arkansas (Little Rock, Arkansas) – The utility will pass tax reform savings to customers:

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

  • Customer bill credits will begin in April so customers will begin to benefit almost immediately and prior to summer when usage is typically higher.
  • Residential customers will see a savings of an estimated $20 per month for every 1000 kWh consumed from April 2018 to December 2019.
  • Business customers also will see significant bill reductions, allowing them to reinvest those savings into their business in 2018 as they deem appropriate.
  • Other effects of the TCJA are being considered in a docket opened by the APSC, and we expect those customer benefits to be reflected in future rate changes. -Feb. 28 2018, Entergy Arkansas press release excerpt
     

Peoples Bank (Magnolia, Arkansas) -- $500 bonuses and $50,000 in charitable donations.

AT&T -- $1,000 bonuses for 2,044 Arkansas-based 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

Apple (Retail location in Little Rock) - $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing. 

Bank of the Ozarks (Little Rock, Arkansas) – Bonuses of up to $1,200 for 2,300 employees

“Recently signed U.S. corporate tax legislation has given us the opportunity to enhance current compensation programs for our employees. This bonus plan rewards hard work and performance while promoting our longstanding commitment to excellence which has driven our Company’s success for decades.” – Dec. 28, 2017 Bank of the Ozarks press release

Diamond Bear Brewery (Little Rock, Arkansas) – The brewery saved over $10,000 because of the Tax Cuts and Jobs Act and invested it in employees and equipment:

Russ Melton, president of Diamond Bear Brewing, said the Craft Beverage Modernization and Tax Reform Act is a big relief for his business.

"It lowered it from $7 per barrel which is 31 gallons to $3.50 a barrel," he said.

He said it's allowed him to save thousands every year.

"Doesn't sound like a lot but if you do 3,000 barrels that's $10,000," Melton said.

That's 10-thousand dollars that can be used on employees or equipment.

"It is a big help for small businesses," he said. – Dec. 18, 2019, THV11 article.

Great Southern Wood Preserving, Inc. -- "YellaWood" (Glenwood, Arkansas) -- 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

Home Bancshares, Inc. (Conway, Arkansas) – $500 bonuses for 850 employees:

Home BancShares, Inc. (Nasdaq:HOMB) ("Home" or "the Company"), parent company of Centennial Bank ("Centennial"), announced plans today to distribute a one-time bonus of $500 for more than 850 full-time tenured employees. The actions are in appreciation for the commitment employees show in supporting customers and building stronger communities.

"We are investing in our most important asset - our people," said John Allison, Home BancShares, Inc. Chairman.  "Our employees drive our reputation, our business and ultimately our success.  Investing in these individuals is an important step to help support them, their families and the communities in which we operate."

Newly passed tax legislation includes a reduction in corporate tax rates from 35% to 21% and is designed to spur economic growth. 

"The tax reform has created the opportunity for us to reward our employees who are working hard each day to both serve our customers and enrich relationships in our communities," added Mr. Allison. "We look forward to identifying additional opportunities for Home BancShares to invest in our people and communities as we continue to execute our business strategies and deliver long-term value to our shareholders."

"We believe tax reform is good for our U.S. economy and we are very happy to share with our valuable team members some portion of the benefits Home BancShares will realize by the enactment of the recent tax reform," said Tracy French, Centennial Bank President and CEO.

Approximately 53 percent of full-time employees will receive this one-time bonus which is expected to be distributed during January 2018.  Employees with base salaries exceeding $50,000 are excluded from this compensation. – Jan. 12, 2018 Home Bancshares, Inc. press release

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

Lowe's -- 3,000+ employees at 20 stores in Arkansas. 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 (Eight locations in Arkansas) – Tax reform bonuses for employees.

Starbucks Coffee Company (55 locations in Arkansas) –$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 – (13 locations in Arkansas) – 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

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

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

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

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

FedEx (Multiple locations in Arkansas) – Accelerated and increased compensation; pension plan contributions:

“FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. – Jan. 26, 2018 FedEx press release

Taco John’s (Two locations in Russellville, Arkansas): 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

McDonald’s (180+ locations in Arkansas) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:

McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.

The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.  

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:

  • Increased Tuition Investment:
    • Crew: Eligible crew will have access to $2,500/year, up from $700/year.
    • Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
    • Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
  • Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
  • Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
  • Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
  • Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.

“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”

After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt

BancorpSouth Bank (44 branch locations in Arkansas) Pay raises for over 70 percent of employees; $1,000 bonuses for nearly 20 percent of employees: 

BancorpSouth Bank (NYSE: BXS) today announced an additional investment in its employees, which includes pay increases and /or one-time bonuses to nearly all non-commissioned employees.

The investment of over $10 million in 2018 will benefit 96% of the Company's non-commissioned workforce. Pay increases were effective January 1, 2018.

"We are proud to reward our team with this opportunity since the Tax Cuts and Jobs Act should benefit everyone" said Dan Rollins, Chairman and CEO. "BancorpSouth's continued and future success is based on the economic vitality of the communities we serve and taking care of our teammates allows us to provide the very best service to our customers, communities and shareholders." – Jan. 3, 2018 BancorpSouth Bank press release

-----------------------

The increased compensation overall at BancorpSouth affected more than 70 percent of all employees, and provided a $1,000 bonus to nearly 20 percent of all employees.

BancorpSouth employs some 4,000 employees in more than 230 locations in Alabama, Arkansas, Florida, Louisiana, Mississippi, Missouri, Tennessee and Texas, plus an insurance location in Illinois. – Jan. 4, 2018 Daily Journal/BizBuzz article

Bank of America (19 branch locations in Arkansas) -- $1,000 bonuses.

Wells Fargo  (Arkansas branch locations in Ashdown and Texarkana) 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 Arkansas examples, please email John Kartch at jkartch@atr.org

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

Photo Credit: Jo Naylor/Flickr

More from Americans for Tax Reform


Georgia Examples of Tax Reform Good News

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Posted by John Kartch on Monday, December 2nd, 2019, 2:20 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 Georgia. (Additions to this list can be sent to jkartch@atr.org)

Wild Adventures (Valdosta, Georgia) – $500 bonus to employees, health benefits, free admission to park for family and friends:

As South Georgia residents find themselves on the other side of Tax Day, some Wild Adventures Theme Park team members are receiving a $500 bonus thanks to the recent federal corporate tax cuts.

“We work hard at Wild Adventures to ensure our park is a great place to play and a great place to work,” said Molly Deese, Wild Adventures Vice-President and General Manager. “The memorable experiences our guests have are thanks to the hard work of our team members, and this bonus is just one way for us to show appreciation for their dedication.”

The bonus will be distributed the week of May 14 and will be awarded to hourly and salaried full-time team members who worked at least 1,000 hours in 2017 and are currently employed at Wild Adventures. Approximately 125 team members are eligible.

In addition to this one-time bonus, Wild Adventures employees receive a variety of unique benefits throughout the year, including incentives for employees who stay with the company, complimentary admission to Wild Adventures and Splash Island Waterpark for family and friends, as well as various community-wide incentives. A comprehensive health benefits package is also available for qualified, full-time employees and qualifying seasonal team members. – April 18, 2018, SOWEGAlive.com article excerpt

Winton Machine (Suwanee, Georgia) - Capital investments; purchase of new equipment:

“Tax reform is enabling companies to make significant capital investments, and it’s creating more business for us and other small manufacturers,” said Ms. Winton.

Winton anticipates making her own capital investments. “We’ll be replacing two machines in our factory,” she said. - May 1, 2018, National Association of Manufacturers article excerpt

Evans Tool & Die (Conyers, Georgia) - Creates New Jobs, Invests Heavily in New Equipment:

“Generosity is one of our core values,” explained Dee Barnes, President and CEO of Evans Tool & Die. “We’ve always shared profit with our employees, and we have always given bonuses each year. With tax reform we will be able to increase those bonuses to our employees.

“We have a 40,000 square foot warehouse that’s ready to be used,” said Barnes. “We’re ready to grow, buy another stamping press, buy new equipment. In recent years, we haven’t been able to invest heavily into new equipment but now tax reform has definitely made it a good time to invest. Tax reform is causing new business to filter down to Evans, because we make small parts that go into bigger products. The supply chain has definitely been effected positively by tax reform.”

Evans is creating new jobs, but the labor pool for tool manufacturers is small. As a result, Evans is investing heavily in apprenticeship training for new employees and their existing employees.

“We’re raising up our own workers to ensure we have quality toolmakers,” said Barnes. “You can’t just go out and hire toolmakers anymore, because there aren’t any. We’ve partnered with tech schools to help them rebuild tool manufacturing programs. And we do everything we can to reward our employees, so they stay want to stay at Evans Tool & Die. Plus, we’re proud to help our workers provide for their families, with incredible healthcare and great benefits.” – September 13, 2018 – National Association of Manufacturers

Pratt Industries (Conyers, Georgia) - Investing $2 billion into the United States:

Anthony Pratt, the richest person in Australia, will be investing nearly $2 billion in the U.S. in hopes of creating new jobs and doubling American food production – and he credits it all to President Trump’s business-friendly Tax Cuts and Jobs Act of 2017.

The tax overhaul slashed the corporate tax rate to 21% from 35% in hopes of making the U.S. more competitive with foreign countries.

“It’s going to lead to a tsunami of investment in the United States,” he said during an interview with FOX Business’ Stuart Varney on Tuesday. “We make corrugated boxes, everything that's manufactured goes in a box. So we think we’re a barometer of the economy.”

--

The billionaire cardboard king hopes to add 5,000 jobs more to the economy with his latest investment. - June 26, 2018 Fox Business Network article excerpt

Yancey Bros. (Cobb County, Georgia) -- $500 bonuses for 1,200 employees.

Mincey Marble (Gainesville, Georgia) – Bonuses of up to $1,000 based on length of service:

“As the owner of a family business, I want to share how tax reform is benefitting Americans at every level. Companies big and small are passing along tax savings to the workers who help build our economy. I hope that the bonuses Mincey Marble is providing encourage other businesses in our great state to pay it forward, because the Tax Cuts and Jobs Act is the kind of meaningful change that can help transform communities by bringing relief to American workers and families,” said [Mincey Marble President and CEO Donna] Mincey.

Employees at Mincey Marble will receive bonuses of up to $1,000 depending on their length of service with the company. Even employees hired this year will see a bonus, and the checks are scheduled to arrive during the week of Valentine’s Day as a sign of the company’s appreciation for its associates. – Jan. 31 2018,  press release

Total System Services Inc. (Columbus, Georgia) $1,000 bonuses:

Total System Services Inc. (NYSE: TSS) is crediting tax reform for cash bonuses going to their team members worldwide.

A spokesperson for the Columbus, Ga.-based credit card processor best known as TSYS told Atlanta Business Chronicle that it made an internal announcement Tuesday that team members would receive a "special one-time cash bonus of $1,000" as "a result of the company’s continued success and the recently passed U.S. tax reform legislation." – Jan. 2, 2018 Atlanta Business Chronicle article excerpt

Cox Enterprises (Atlanta, Georgia) -- $2,000 bonuses to be paid on Tax Day:

Georgia's largest privately owned company is reportedly joining the tax reform bonus parade.

Fox Business reported that Cox Enterprises said earlier this week that the most of the company's nearly 60,000 employees will receive bonuses of $1,000-$2,000 because of the $1.5 trillion tax bill. Cox employs more than 8,700 workers in Atlanta.

The bonuses will be distributed on Tax Day to employees who have worked at Cox Enterprises for at least a year and are not part of an executive incentive plan, according to Fox.

Phoenix Business Journal reports the bonuses will go to all Cox Enterprise employees, which includes Cox Automotive, Ready Transport, AutoTrader, Kelly Blue Book and Cox Media Group, which has reportedly been taking bids to sell some of its biggest remaining newspapers.

“Cox Communications continues to invest in new businesses such as telecom infrastructure and health care, in building its own infrastructure to better power the smart homes, smart businesses and smart cities of the future — $10 billion in capex the next five years — in the communities it serves via corporate giving — approximately $70 million per year — and in its greatest resource, our employees," said John Wolfe, senior vice president and regional manager for Cox in Arizona. -- March 9, 2018 Atlanta Business Chronicle article excerpt

T.J. Maxx – 50 stores in Georgia – 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

Atlanta Gas Light Co. (Atlanta, Georgia) – The utility will pass along tax cut savings to customers:

Atlanta Gas Light Co. received approval from the Georgia Public Service Commission for a stipulation that allows for $82 million in customer benefits as a result of the federal tax reform law. – May 16, 2018, SNL Daily Gas Report Excerpt

Expanded Technologies, Inc. (Marietta, Georgia) – Minimum bonuses of $500 for each employee, additional cash depending on the length of service:

Expanded Technologies, Inc. (ETI) is a privately held corporation based in Marietta, GA which specializes in the manufacture of light gage expanded metal used in the support of HVAC filtration.

As a result of the Tax Cut and Job Act recently enacted by the Trump Administration, we are pleased to announce that ETI will give each of its 77 employees a bonus of $500 cash along with an additional sum for each year of service." -- Statement by Jean-Luc Liverato of Expanded Technologies, Inc.

American Proteins Inc. (Cumming, Georgia)— $1,000 bonuses:

American Proteins Inc. based in Cumming has 700 employees at its operations in Georgia and Alabama. It announced it would give employees $1,000 bonuses "in response to the tax reform package signed into law earlier this year."

"President Donald Trump and the Republican Congress have reduced taxes for businesses and individuals and I'm excited what this means for our company and its employees," American Proteins Inc. Chairman Tommy Bagwell said in a statement Feb. 5.” Feb. 26 2018, Atlanta Business Chronicle article excerpt

Carl Black Automotive Group (Kennesaw, Georgia) -- Bonuses to over 500 employees.

Carter’s, Inc. (Atlanta, Georgia) – Bonuses for non-executive employees: Full-time employees will receive a bonus of approx. 5% of base salary and part-time employees will receive a bonus of approx. $100 per year of service to the company; increased retirement fund match:

“The Tax Cuts and Jobs Act of 2017 is expected to have a significant and positive impact on our Company’s future earnings, cash flow, and ability to invest in its growth strategies. In 2018, we plan to reinvest approximately half of the $40 million benefit from the lower corporate tax rate in brand marketing and improved eCommerce capabilities.

“Given the significant and unexpected benefit in 2017 of the historic tax reform legislation, we are also announcing today that our Board of Directors has approved $20 million in special compensation awards to all of our Company’s eligible full-time and part-time employees provided through enhanced retirement plan contributions and bonuses.

--

The Company’s provision for income taxes in the fourth quarter of fiscal 2017 includes a net tax benefit of $40.0 million related to the enactment of the Tax Cuts and Jobs Act of 2017. This net tax benefit consists of a $50.4 million benefit related to revaluation of the Company’s deferred tax assets and liabilities and a $10.4 million provisional estimate for additional tax expense related to accumulated earnings outside of the United States.

Fourth quarter fiscal 2017 results also include pretax expense of $21.2 million for special compensation and related payroll taxes awarded as a result of this tax reform legislation. The nature of the special compensation includes:

Cash bonuses to full-time and part-time global employees with one year of service, with full-time employees receiving a bonus of approximately 5% of base salary and part-time employees receiving approximately $100 per year of service with the Company. The Company’s leadership team will not receive these special bonuses.

A 100% match of employee voluntary contributions to Company-sponsored retirement programs, subject to certain statutory thresholds and limits. -- Feb. 27, 2018 Carter’s, Inc. statement excerpts

Fifth Third Bancorp33 locations in Georgia,  $1,000 bonuses for Georgia employees; base wage will rise to $15.

Newly passed tax legislation includes a reduction in corporate tax rates designed to spur economic growth. Carmichael said the tax cut allowed the Bank the opportunity to reevaluate its compensation structure and share some of those benefits with its talented and dedicated workforce.

Carmichael said the higher wage is an important step to help support individuals, their families and the communities in which we operate. Fifth Third has a history of investing in its 18,000 employees.

Once the legislation is signed into law, nearly 3,000 hourly employees will see their pay increase to $15 an hour. The one-time $1,000 bonus is expected to be distributed by the end of the year, assuming the president signs the bill before Christmas. Senior managers and executive leadership are excluded from this compensation.

“It is good for our communities, employees and Fifth Third Bank,” [President and CEO Greg] Carmichael said. – Fifth Third press release

Home Depot (headquarters in Atlanta, plus 90 Georgia retail locations) – Bonuses for all hourly employees, up to $1,000:

Today, The Home Depot® announced plans to provide a new one-time cash bonus for U.S. hourly associates of up to $1,000 in the fourth quarter of fiscal 2017.  The bonus will be paid in addition to the Company's longstanding Success Sharing bonuses for hourly associates.

"We are pleased to be able to provide this additional reward to our associates for continuing to deliver outstanding customer service," said Craig Menear, Chairman, CEO and President. "This incremental investment in our associates was made possible by the new tax reform bill." -- Jan. 25, 2018 Home Depot press release

Aflac (Columbus, Georgia) – increase 401(k) match from 50% to 100% on the first 4% of compensation plus one-time $500 contribution to every employee’s 401(k); $250 million increase in overall U.S. investment.

"We are pleased that these tax reforms provide Aflac with an opportunity to increase our investments in initiatives that reflect our company values; providing for our employees in the long and short term, ensuring future growth for our company and giving back to the community." -- Aflac Chairman and CEO Dan Amos

Georgia Power (Atlanta, Georgia) – Thanks to the tax cuts the utility will provide $1.2 billion in benefits for customers:

Georgia Power has completed an assessment of the impact of the Tax Cuts and Jobs Act for the company – including approximately $1.2 billion in benefits for customers. The benefits were confirmed as part of an agreement with Georgia Public Service Commission (PSC) Staff and include approximately $130 million in reduced taxes on financing costs for the Vogtle nuclear expansion; $330 million in direct credits to customers as a result of lower federal income tax rates over the next two years and approximately $700 million in future benefits to be addressed in the company's next base rate case in 2019, which also includes the benefits of last week's reduction in state of Georgia income tax rates. If approved by the Georgia PSC, the typical residential customer using an average of 1,000 kilowatt-hours per month could receive approximately $70 in refunds over the two-year period.

"We are committed to offering the highest customer value with rates below the national average, and we're pleased to be able to continue to pass the benefits of the new tax laws on to our customers," said Paul Bowers, chairman, president and CEO of Georgia Power. "We appreciate the collaborative effort with Georgia PSC Staff to evaluate the new tax laws and reach a joint agreement, which we hope the Commission will review and approve as the best way to deliver benefits to customers as quickly as possible."

Today's announcement marks the second substantial, positive impact for Georgia Power customers tied to the new tax laws. In January, Georgia Power announced that customers would pay $139 million less than expected in 2018 for the Vogtle nuclear expansion currently under construction due to changes in federal tax laws and full receipt of the Toshiba parent guarantee payments. Beginning in April, the typical residential customer using 1,000 kilowatt-hours per month will pay $2.70 less than expected per month in financing costs for the Vogtle project. Additionally, Georgia Power bill credits totaling $188 million were approved by the Georgia PSC as part of its order to continue construction of Vogtle 3 & 4 as a direct result of the Toshiba parent guarantee payments for the Vogtle project. The credits, amounting to $75 per individual customer, will be distributed across three separate Georgia Power bills in 2018, with the first $25 credit appearing in the coming months. – March 6, 2018 Georgia Power article excerpt

Starbucks Coffee Company -- (326 locations in Georgia) 500 new manufacturing jobs in its Augusta, Georgia coffee plant. $500 stock grants for all Starbucks retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants, totaling more than $100 million in stock grants; 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. 

SunTrust Banks, Inc. (Atlanta, Georgia) – base wage raise to $15 per hour; $50 million in additional community grants; merit pay raise; additional 401(k) contributions; etc:

SunTrust Banks, Inc. (NYSE: STI) is taking a series of actions to invest savings from tax reform in supporting the financial wellness of its workforce and communities.   

"The anticipated benefits from tax reform allow us to build upon our purpose of Lighting the Way to Financial Well-Being in a sustainable way by implementing actions that will have a multi-year impact for many of the constituents that count on us," said Bill Rogers, SunTrust chairman and CEO. "We believe tax reform will improve the competitiveness of American business and promote economic growth, and this gives us confidence to invest more in our company, our teammates and the communities we serve." – Dec. 28 2017, SunTrust Banks, Inc. press release

Shred-X (Griffin, Georgia) – New truck purchase and the potential hire of a new employee:

In Griffin, Shred-X, a small business providing paper shredding and recycling services to over 3,000 clients throughout Atlanta and central Georgia, plans to use the additional savings from tax reform to buy a new truck and potentially hire a new employee. For a company of ten people, that makes a huge difference.

As Shred-X owner Cade Joiner said, “This is just one practical example of how tax reform is helping us here on Main Street.” Feb. 4 2018, The LeGrange Daily News article excerpt

Synovus Financial Corporation (Columbus, Georgia) – $1,000 bonuses to all non-executive employees.

AR-15 Gun Owners of America (Warner Robins, Georgia) – tax reform bonuses; increased salaries for all employees.

Best Buy -- 37 locations in Georgia; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees.

Lowes 63 stores and four distribution centers in Georgia; bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

 

Apple (There are six Apple retail stores in Georgia: Alpharetta, Augusta, Buford, and three in Atlanta) -- $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 -- 17,366 AT&T employees in Georgia received $1,000 bonuses. Nationwide, the company will increase capital expenditures by $1 billion.

Bank of America (Multiple locations in Georgia) -- $1,000 bonuses.

BB&T (Multiple locations in Georgia) – $1,200 bonuses; base wage will rise from $12 to $15 per hour; Nationally, $100 million in charitable donations

 

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

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

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

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

Ryder (31 locations in Georgia) – Tax reform bonuses for all non-incentive bonus eligible employees, totaling $23 million nationwide.

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

Walmart189 locations in Georgia; 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.

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

Wells Fargo 259 bank locations in Georgia -- Base wage raised from $13.50 to $15.00 per hour; Nationwide, $400 million in charitable donations for 2018, and $100 million increased capital investment over next three years.

McDonald’s (500+ locations in Georgia) – 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 

Anthem (Multiple locations in Georgia) -- $1,000 in extra 401(k) contributions.

Note: If you know of other Georgia 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


South Carolina Examples of Tax Reform Good News

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Posted by John Kartch on Monday, December 2nd, 2019, 11:15 AM PERMALINK

Thanks go 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 South Carolina. (Additions to this list can be sent to jkartch@atr.org)

Mooneyhan’s Auto Service (West Columbia, South Carolina) - Hiring new employees, business expansion:

Since then, small businesses across the Second District are expanding and creating jobs.

Bill Mooneyhan, of Mooneyhan’s Auto Service in West Columbia, announced he is adding a new bay on to the shop and hiring additional employees.  - February 21, 2018, The Lexington Ledger article excerpt

CMC Steel (Cayce, South Carolina) - Pay and benefit increases:

“Many businesses in South Carolina have already announced pay and benefit increases, like CMC Steel Company” - Feb. 12, 2018, Rep. Joe Wilson Press Release

Whiskey Alley (Aiken, South Carolina) - Expanding business operations:

Norman Dunagan, owner of Whiskey Alley restaurant and Dumpster Depot in Aiken, announced they are expanding as well. - February 21, 2018, The Lexington Ledger article excerpt

Dempsey Wood Products (Orangeburg, South Carolina) – Creating new jobs, purchasing new equipment, and expanding the business:

Signed into law by President Donald Trump in 2017, the Tax Cuts and Jobs Act has contributed to the expansion of his company, Ronny Dempsey said.

“We’ve got a big expansion going on now, and we wouldn’t be able to do it without the tax situation and the accelerated depreciation,” he said. That depreciation is a part of the law and is being offered at 100 percent in 2018 but is subject to yearly change.

--

“We were able to put some cash aside, then put it right back in the business to get the business back growing again. There really wasn’t much growth for four or five years. In 2014, we started growing again,” Dempsey said.

He again credited the depreciation, this time as a catalyst for a $15 million project the company has launched.

--

“In other words, we’ll have new equipment and have the best technology,” he said. “The plan is to get it up and going and start a second shift, and probably add another 40 jobs. We’re in position to grow the business some more, and have been since about 2014." May 2, 2018, The Times and Democrat  

Dumpster Depot (Aiken, South Carolina) - Expanding business operations:

Norman Dunagan, owner of Whiskey Alley restaurant and Dumpster Depot in Aiken, announced they are expanding as well. - February 21, 2018, The Lexington Ledger article excerpt

Solara Hospitality (Columbia, South Carolina) – cash bonuses up to $500:

“Columbia-based Solara Hospitality, developer and owner of Marriott franchised hotels in the Midlands, said it plans to provide a cash bonus of up to $500 for all hourly-paid hotel employees. The plan for the bonuses was announced at a press conference.

“Since the passage of the Tax Cuts and Job Act of 2017 we will create some financial benefit for the company and the hotels we operate and we want to share that benefit with our associates,” said Clancy Cipkala, President and CEO of Solara Hospitality, the land developer and management company for the hotels.” – Feb. 23 2018, Cola Daily article excerpt

Blackbaud (Charleston, South Carolina) -- $2,000 in stock bonuses for most employees:

“Most Blackbaud employees will receive about $2,000 worth of stock this month, a bonus the Daniel Island-based company says it's offering because of federal tax cuts approved last year.

Chief executive Mike Gianoni said in a statement that the stock award will ensure that "all employees are owners and can participate in the company's success." Shares will be distributed Feb. 28 to workers who aren’t already paid in stock.

Blackbaud is the first Charleston-based company to award a bonus tied to the rewritten tax code, but similar announcements have trickled out of corporate America since Congress approved the measure in late December.”—Feb. 7 2018, The Post and Courier article excerpt

South State Bank (Columbia, South Carolina) -- 2,800 employees getting bonuses; $1,000 bonuses for full-time employees and $500 for part-time employees:                     

South State Bank is pleased to announce that as a result of excellent financial performance and the recent federal tax reform efforts, it will be rewarding teams with $2.7 million.          

South State will distribute $1,000 to full-time employees and $500 to part-time                  employees on Feb. 9 and will benefit more than 2,800 South State employees.

"Last year was an excellent year for South State. The performance of the company, along   with the recent tax reform provide a great opportunity to share in this success," said Robert R. Hill, Jr., CEO, South State Corporation. "We are pleased that this payment will  reach over 2,800 outstanding members of our team. Along with investing in our team, we will also invest in hiring talent and will fund investment in technology to provide    enhanced solutions for our customers." – Jan. 26 2018, South State Bank press release

Nephron Pharmaceuticals Corporation (West Columbia, South Carolina) – 5% pay raises for employees:

Nephron Pharmaceuticals Corporation (Nephron) CEO Lou Kennedy today announced five percent increases for all employees with the exception of commissioned employees.  The raises are a direct result of the Tax Cuts and Jobs Act that was signed into law last week by President Donald Trump.

"We are excited that the Tax Cuts and Jobs Act has given us an opportunity to recognize their hard work and sacrifices with well-deserved raises," said Lou Kennedy, CEO of Nephron. – Dec. 27, 2017 Nephron Pharmaceuticals Corporation press release

Dominion Energy (SCE&G) (Cayce, South Carolina)  – The utility will pass tax cut savings on to customers:

Virginia utility Dominion Energy (D) announced a deal to purchase South Carolina's SCANA(SCG) for $7.9 billion -- and Dominion plans to pay $1.3 billion to SCANA's South Carolina Electric & Gas Company customers within 90 days after the merger closes.

That works out to an average of about $1,000 for each SCE&G residential customer. Payments will depend on how much electricity SCE&G customers have used in the past year.

Dominion also said Wednesday that it plans an average 5% rate reduction for SCE&G customers, thanks in part to to lower corporate taxes under the new federal tax law in Washington.

Dominion said the rate cut would lower the average SCE&G customer's electric bill by more than $7 a month – January 3, 2018, CNN Business article excerpt

Beckett Financial Group (West Columbia, South Carolina) -- $1,000 bonuses for all employees; $1,000 matching funds charitable contributions for all employees:

The most important asset of Beckett Financial Group is our people. As a result of the Tax Cuts and Jobs Act and resulting economic growth, our company will be providing bonuses of at least $1,000 for all full-time employees. In addition, hourly employees will see a wage increase of at least 5% this year.

We recognize that our team members are the best ones to determine how to spend their dollars. This provides an opportunity for each individual to either spend money locally, save it for their retirement, decrease debt, or donate dollars to charity. In addition, we will be increasing our employee matching funds campaign by matching each of their contributions to charities dollar-for-dollar up to $1,000 per employee.

Beckett Financial Group provides retirement and insurance solutions to businesses and families throughout South Carolina and specializes in income planning for current and future retirees. We live in a world of opportunity and want to help others as a result of the Tax Cuts and Jobs Act. – Jason (JB) Beckett, Managing Partner, Beckett Financial Group

Home Depot -- 25 locations in South Carolina, bonuses for all hourly employees, up to $1,000

Lowe's -- 8,000 employees at 49 stores and one distribution center in South Carolina. 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 locations in Charleston and Greenville) -- $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 billion in additional capital expenditures; $1 billion increase in capital expenditures.

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

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

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

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

Ryder -- (Thirteen locations in South Carolina) – Tax reform bonuses for employees.

Starbucks Coffee Company (Multiple locations in South Carolina) – $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 South Carolina) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Wal-Mart – 110 stores in South CarolinaWalmart 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.

Wells Fargo – 132 locations in South Carolina; 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 South Carolina 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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North Dakota Examples of Tax Reform Good News

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Posted by John Kartch on Sunday, December 1st, 2019, 6:30 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 North Dakota. (Additions to this list can be sent to jkartch@atr.org)

Baker Boy (Dickinson, North Dakota) – Expanding operations, developing new products, and hiring more employees:

Baker Boy, a North Dakota baked goods manufacturer, is producing a brand new donut thanks to the GOP tax cuts. They are also purchasing new equipment, expanding business operations, and hiring new employees.

Never before seen in North America, Magic Ring Donuts are jelly or creme-filled donuts that have a hole in the middle and are injected with filling in the donut ring. The donuts are manufactured with new technology that is only currently used overseas.– October 23, 2018 ATR Blog Post

True North Steel (locations in Fargo, West Fargo, and Mandan) - Hiring new employees:
 
TrueNorth Steel Employees flew to D.C. to discuss recent tax cut measures and its effects on their business.
 
TrueNorth's president says demand for steel, and more work hours is attributing to their growth.
 
Because of this business environment, TrueNorth is able to 'reinvest' in itself.
 
To do this, they are adding 50 new jobs across their 10 locations.
 
"We're a company that's been around since 1945, 73 years, and we plan on being around for another 73 years. So we do plan on growing and that's our intent to grow long term for this organization," said Dan Kadrmas, said TrueNorth Steel president. - April 28, 2018, WDAY ABC article excerpt
-- 
A steel company based here recently went to the White House to talk about how recent tax reforms influenced its decision to grow its workforce.
 
TrueNorth Steel, which has a corporate office in West Fargo in addition to a tank and structural steel plant at 4401 Main Ave. in Fargo and a drainage facility at 1522 40th St. N. in Fargo, announced earlier this week that six TrueNorth employees were among the business owners and representatives invited to participate in the April 12 event in the Rose Garden.
 
The manufacturer of structural steel, tanks and other products said it plans to grow its workforce about 10 percent "as a result of improvements to the U.S. business climate." A news release said that growth will result in about 50 new jobs across its 10 locations in the Dakotas, Minnesota, Montana and Wyoming.
 
"It was a special honor to represent our hard-working employees across the Midwest," CEO Ole Rommesmo said in a written statement. "The new tax laws are one reason we are creating new jobs throughout the region as well as expanding some of our facilities."
 
TrueNorth President Dan Kadrmas said tax cuts and other policy changes under the President Donald Trump administration are driving an increasing demand for steel products. - April 27, 2018, West Fargo Pioneer article
 

Xcel Energy North Dakota (North Dakota) - The utility will pass tax cut savings along to customers:

Xcel Energy will soon distribute nearly $10 million to all North Dakota electricity customers as a result of the federal tax cut. All Xcel Energy electricity customers in the state will receive a credit on their bills. The refund for a residential electricity customer will average about $46, but will vary based on each customer’s actual use.

The North Dakota Public Service Commission approved the refunds this week and customers should receive them as one-time bill credit beginning this spring. – February 8, 2019, Inforum article excerpt

Scheels -- Minot, Bismarck, Fargo, Grand Forks -- $1,000 and $500 bonuses; investment in new stores, increased charitable donations:

SCHEELS is about our PEOPLE and the communities in which we live and work. As we enter 2018, the new tax reform bill offers a huge opportunity for American business and notably our employee-owned company. This new bill allows SCHEELS to:

- Invest in new stores
- Create jobs in new and existing markets
- Increase our charitable impact in our communities
- $1,000 bonus for Scheels associates working >1000 hours
- $500 bonus for Scheels associates working 500 hours

It’s opportunities like this that give our employee-owned company the ability to create a vision for steady and healthy growth in our communities. – Dec. 28, 2017 Scheels statement

--

Right after the tax reform bill became law in December, leaders of Fargo-based Scheels All Sports decided employees would get some extra money, a company official said during Vice President Mike Pence's campaign-style rally here Tuesday, March 27.

"We knew we wanted to do something intentional right away," said Chief Financial Officer Michelle Killoran. "So we decided to give a tax-reform bonus to our associates."

After hearing from employees, it became clear many didn't know what tax reform was or that it had happened, she said. Company leadership responded by holding meetings to explain to employees the "positive impacts" of the reforms to them and their employer, she said. – March 27, 2018 Fargo Forum article excerpt

Gate City Bank -- headquarters in Fargo with branch locations in Minot, Mandan, Bismarck, Mohall, Carrington, Dickinson, Devils Lake, Jamestown, Williston, Hettinger, Park River, Mayville, Grand Forks, West Fargo, and Fargo -- $1,000 hand-delivered bonus checks to 538 non-management personnel; $500,000 higher charitable giving; $500,000 worth of free home appraisals.

“This new tax reduction enables us to make decisions that benefit our customers, communities and team members in a significant way which has been our culture for decades. Gate City Bank is making a commitment to reinvest an additional $1.6 million in 2018.”

“As a thank you for our employees' hard work and dedication, we will be providing our 538 employees with $1,000 each, giving back over $625,000. Every employee will be hand-delivered a check for a net amount of $1,000 on January 15th. Executive Leadership, Regional Leaders, Office Managers and Department Managers are not eligible. This is above and beyond general compensation.”

Otter Tail Power Company -- The utility is passing tax reform savings along to customers:

“Federal corporate incomes taxes are a cost of service to our customers,” Otter Tail said in its request. “The reduction of the federal corporate income tax rate from 35 percent to 21 percent reduces Otter Tail’s cost of providing service.” -- Feb. 27, 2018 Bismarck Tribune article excerpt

Montana-Dakota Utilities Co. (Bismarck, North Dakota) – The utility is passing tax reform savings along to customers:

Montana-Dakota Utilities filed proposed lower electric prices with the North Dakota Public Service Commission to account for the impact of the Tax Cuts and Jobs Act. The company has calculated a $7.2 million benefit to North Dakota electric customers.

On average, a residential customer will see their monthly bill lowered by $3.65. The lower prices will be effective upon PSC approval. Based on the date of PSC approval, customers also will receive a refund for the amount overpaid from January 1 to the date that new electric prices are set.

"Working through the financial impacts of the Tax Cuts and Jobs Act is a complex process. The result will be a reduction in the price customers pay for electricity in North Dakota,” said Nicole Kivisto, president and CEO of Montana-Dakota Utilities. – March 9, 2018 Montana-Dakota Utilities Co. Website

Dollar Tree -- Bismarck, Devils Lake, Fargo, Grand Forks, Jamestown, Minot, Wahpeton - Base wages increased by a total of $100 million nationwide, plus enhanced benefits including maternity leave and employee training.

U-Haul -- locations in Beach, Dickinson, Harwood, Mandan, Tioga, Beulah, Ellendale, Hazen, Minot, Valley City, Bismarck, Fargo, Jamestown, Mott, Wahpeton, Bottineau, Grafton, Kenmare, New Town, Watford City, Cavalier, Grand Forks, Killdeer, Oakes, West Fargo, Devils Lake, Harvey, Lisbon, Rolla, and Williston – $1,200 bonuses for full-time employees, $500 for part-time employees. 

Bank of the West -- branch locations in Lidgerwood, Fargo, Wahpeton, Dickinson, and Beach – Base wage increased to $15 per hour:

Bank of the West announced it will increase the company's minimum wage across the business to $15 per hour. The change will impact one-quarter of hourly team members, primarily in the Bank's branches and call centers.

The permanent increase will take effect on April 1 and is part of our long-standing commitment to reward our team members and attract the industry's best talent. At more than double the federal minimum wage, the Bank's new minimum wage is the result of a thorough internal review of the Bank's business stemming from the federal tax reform recently completed by the U.S. Congress. – Feb. 8 2018, Bank of the West press release

Lowe's -- 300+ employees at three stores in North Dakota -- Employees received up to $1,000 bonuses based on length of service, plus expanded benefits and maternity/parental leave and $5,000 of adoption assistance.

Walmart - North Dakota employees at 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.

Best Buy -- stores in Bismarck, Fargo, Grand Forks and Minot -- $1,000 bonuses for full-time employees; $500 bonuses for part-time employees.

Cintas -- locations in Bismarck and West Fargo --  $1,000 bonuses for employees of at least a year $500 for employees of less than a year.

Taco John’s (25 locations in North Dakota): 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

Starbucks Coffee Company (13 locations in North Dakota) – $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.

AT&T -- $1,000 bonuses for 156 North Dakota 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

McDonald’s (25+ locations in North Dakota) – 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

FedEx (Multiple locations in North Dakota)– 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

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

Wells Fargo   19 locations in North Dakota -- 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 North Dakota 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 Sunday, December 1st, 2019, 10:10 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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