Big businesses promised wage hikes from Trump’s tax cuts. What actually happened?

Toward the end of last summer, managers at global giant Emerson Electric Co. called an employee meeting at its air conditioning and refrigeration factory in this county seat of 21,000 people west of Dayton. They had big news: Each employee would get a $1,000 “special contribution” to a 401(k) retirement account.

The reason for the generosity? The Tax Cuts and Jobs Actcongressional Republicans had passed, and President Donald Trump had signed in late 2017, Emerson executives told the Sidney plant employees.

With the announcement, Emerson joined hundreds of companies — as many as 750 by one count — that issued similar statements to show they were sharing the wealth of a $150 billion cash windfall firms were estimated to receive in the first year from the then newly enacted tax law. On an employee bulletin board, Emerson explained in bold type that the contribution “Affirms Emerson’s Core Value to Support our People and to Help Them Prepare for Retirement!”

See Original

Shelly Jo Jacobs

Author: Shelly Jo Jacobs