Thanks to the Tax Cuts and Jobs Act passed by the Republican congress and signed by President Donald Trump, 90 percent of wage earners have higher take-home pay. And companies of all sizes are already giving bonuses and raises and expanding the scope of their operations.
Below are several examples of tax reform good news in Delaware. (Additions to this list can be sent to email@example.com)
Green Recovery Technologies, LLC (New Castle, Delaware) — $1,000 bonuses for all seven employees:
"We are a startup waste-to-value biochemical company of seven that believes in the direction the country is going and that our best days are ahead of us. These tax reductions benefit our workers by providing an instant no cost wage hike. Paying the bonuses in a low tax environment was an easy decision for GRT since we know that this low cost capital is being invested in the local community where it will be spent on goods and services as well as being by employees into their retirement savings accounts.” — Kenneth Laubsch, President and CEO, Green Recovery Technologies, LLC
Delaware Supermarkets Inc. (Wilmington, Delaware) -- $150 extra bonuses to 1,000 non-management personnel.
“Our ability to provide bonuses and training to our employees demonstrates the far-reaching implications of this tax reform. We have a renewed optimism for the local and the national economy, and this important legislation better positions us for future growth.” – Christopher Kenny, CEO
“This legislation benefits those of who count on Main Street budgets for our livelihoods, and it’s a privilege to share the benefits with the men and women who work so hard at ShopRite. It makes it possible to succeed in a very competitive industry.” -- Melissa Kenny, director of sales and marketing
Navient (Wilmington, Delaware) – 98% of Navient’s 6,700 employees will receive a $1,000 bonus (approx. 6,566 bonus-eligible employees):
Crediting the new corporate tax rate recently approved by Congress, approximately 98 percent of Navient employees across the country received a $1,000 bonus just before the holidays.
Navient has approximately 6,700 employees nationwide, including more than 900 in Hanover Township, company officials say.
According to a memo from Jack Remondi, Navient president and CEO, the firm announced it will pay a $1,000 bonus to all non-officer employees.
Colleen Hughes, an instructional design specialist — she works behind the scenes in the training department — said co-workers “cheered and hollered” when they read their emails.
“And it came right before the holidays,” said Hughes, 33, of Dupont. “I literally started to cry. I was shocked. I have a 3-year-old and I overspent for the holidays. This really helped me out.”
As news of the $1,000 bonuses made its way through Navient, Hughes said people became emotional.
“I know I feel I’m valued that we were even considered,” Hughes said. “We all feel valued by the company — that we all are a valuable asset to the company. So much so that they recognize our talent and dedication.” -- Jan. 2, 2018 Wilkes-Barre Times Leader article excerpts
Mountaire Corporation (Millsboro, Delaware) – $1,000 or $500 bonuses based on length of service; increased 401(k) matches:
Mountaire had an amazing year in 2017. We are blessed with great people and great opportunities. Our performance is outstanding and the blessings of Jesus Christ are all around us to enjoy.
I am very encouraged that the President of the United States and the Republican Congress have reduced taxes for businesses and individuals for 2018. I am extremely excited about what this new change means to our company and all Mountaire employees.
Very soon you should see the impact of the new lower tax rate in your paychecks.
Additionally, because of this new tax reduction, I am pleased to announce that on February 2, 2018, Mountaire is going to pay a one-time discretionary bonus to hourly employees. This bonus will be subject to normal taxes and distributed to all full-time Mountaire hourly and piece rate employees as follows:
- $1,000 for all active full-time hourly and piece rate Mountaire employees with more than 180 days of employment as of January 27, 2018.
- $500 for all active full-time hourly and piece rate Mountaire employees with between 91 and 179 days of employment as of January 27, 2018.
- $500 for all active full-time hourly and piece rate Mountaire employees with between 1 and 90 days of employment as of January 27, 2018. This group of employees will receive their bonus money as soon as they have completed their first 90 days of employment.
I have also decided to make significant improvements to our 401k savings plan. Effective November 1, 2018, Mountaire’s 401k match will be increased to 100% of the first 3% invested, and 50% of the next 2% invested. And also, effective November 1, 2018 you will be given immediate vesting on 401k matching monies.
All these improvements are being done because of the Tax Reform and Tax Cut passed by the Republicans in Congress and signed into law by our President.
I am very optimistic about our performance and the future of Mountaire and our country.
May God continue bless us and guide us! -- Jan. 26, 2018 letter to employees from Ronald M. Cameron, Chairman
Harvard Business Services, Inc. (Lewes, Delaware) – $1,000 bonuses for all full-time employees:
“Harvard Business Services, Inc., located in Lewes, Delaware, has just announced it will join many companies nationwide and award all full-time employees with an immediate $1,000 bonus in their next pay check in order to augment their tax savings.
Mike Bell, Vice President and Director of Marketing, announced the bonus, saying, “We appreciate the great job you do, and the dedication you show our clients every day. Keep up the good work.” – Jan. 26 2018, Harvard Business Services, Inc. press release
Lowe's -- 1,000 employees at 10 stores in Delaware. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.
AT&T -- $1,000 bonuses to 124 Delaware employees; Nationwide, $1 billion increase in capital expenditures.
Cintas Corporation (Seaford, Delaware) -- Bonuses for 38,000 employees; $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.
Comcast (Multiple locations in Delaware) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.
Chipotle Mexican Grill (Multiple locations in Delaware) – Bonuses ranging from $250 to $1,000; increased employee benefits; nationally, $50 million investment in existing restaurants.
Starbucks Coffee Company (Multiple locations in Delaware) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.
U-Haul (Multiple locations in Delaware) – $1,200 bonuses for full-time employees, $500 for part-time employees; nationally, over 28,000 workers will receive a bonus.
Wal-Mart – 9 locations in Delaware -- Walmart employees are receiving tax reform bonuses. Nationally, base wage increase for all hourly employees to $11; bonuses of up to $1,000; expanded maternity and parental leave; $5,000 for adoption expenses.
Wells Fargo – 18 bank locations in Delaware; raised base wage from $13.50 to $15.00 per hour; nationally, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.
Bank of America (Multiple locations in Delaware) -- Delaware-based employees of Bank of America will receive $1,000 bonuses.
Apple (Apple store in Newark, Delaware) -- $2,500 employee bonuses in the form of restricted stock units; nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing:
Apple Inc. told employees Wednesday that it’s issuing a bonus of $2,500 worth of restricted stock units, following the introduction of the new U.S. tax law, according to people familiar with the matter.
The iPhone maker will begin issuing stock grants to most employees worldwide in the coming months, said the people, who asked not to be identified because they weren’t authorized to speak publicly. The move comes on the same day Apple said it would bring back most of its cash from overseas and spend $30 billion in the U.S. over the next five years, funding an additional technical support campus, data centers and 20,000 new employees.
Apple confirmed the bonuses in response to a Bloomberg inquiry Wednesday. – Jan. 17 2018, Bloomberg News article excerpt
Capital expenditures, etc:
Apple expects to invest over $30 billion in capital expenditures in the US over the next five years and create over 20,000 new jobs through hiring at existing campuses and opening a new one.
Building on the initial success of the Advanced Manufacturing Fund announced last spring, Apple is increasing the size of the fund from $1 billion to $5 billion. The fund was established to support innovation among American manufacturers and help others establish a presence in the US. It is already backing projects with leading manufacturers in Kentucky and rural Texas.
Apple works with over 9,000 American suppliers — large and small businesses in all 50 states — and each of Apple’s core products relies on parts or materials made in the US or provided by US-based suppliers.
Apple, which has a 40-year history in education, also plans to accelerate its efforts across the US in support of coding education as well as programs focused on Science, Technology, Engineering, Arts and Math (STEAM). – Jan. 17, 2018 Apple press release excerpts
Note: If you know of other Delaware examples, please email John Kartch at firstname.lastname@example.org
The running nationwide list of companies can be found at www.atr.org/list