Two months after President Trump signed the Republican tax bill with promises of big raises and new jobs, 98 percent of workers aren’t even getting bonuses.
Instead, the “tax scam” encourages giant corporations to reward their CEOs and major shareholders while shedding tens of thousands of employees and shortchanging customers.
- Buybacks Balloon Stock Prices: Since President Trump signed the bill into law, corporations have spent more than $120 billion on buying back their own stocks, thereby inflating executives’ and investors’ holdings.
- Only 2% of Workers Get Pay Boosts: These billions of dollars in buybacks total 20 times the much-ballyhooed bonuses and all-too-rare raises that have been credited to the tax law. Only two percent of working Americans have received such bonuses or raises, according to a survey by Reuters.
- Banks Make Out Like Bandits: Wells Fargo ripped off its customers with over 3.5 million unauthorized bank accounts and credit cards. It pocketed a $3.35 billion bonanza from the Republican tax bill. And now, it’s closing over 800 branches. Meanwhile, after getting a $2.7 billion tax cut, Bank of America bought back $5 billion of its stock and hiked its fees on low-income customers.
- Tax Scam Subsidizes Layoffs: With at least $2 billion in tax savings, Walmart laid off over 12,500 employees. And Kimberly-Clark even bragged that the tax law gave it the flexibility to lay off over 5,000 workers.