Because of the Republican tax plan that was passed at the end of last year, Walmart has just announced they are doling out the cash to employees in terms of wages, benefits, and bonuses:
CNBC – Walmart’s employees will soon reap the benefits of the recent tax law changes, as the company raises its starting wage and distributes bonuses to eligible workers.
The big-box retailer announced Thursday it will be increasing its starting wage rate for hourly employees in the U.S. to $11, and expand maternity and parental leave benefits. The retailer also will pay a one-time cash bonus to eligible employees of as much as $1,000.
Currently, Walmart’s starting wage is $9 until workers complete a training program. Then, they receive $10.
The company is also creating a new benefit that provides financial assistance to its employees who are looking to adopt a child, giving them as much as $5,000 per child to cover expenses such as adoption agency fees, translation fees and legal costs.
“Tax reform gives us the opportunity to be more competitive globally and to accelerate plans for the U.S.,” CEO Doug McMillon said in a statement.
“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,” he added. “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.”
Walmart said the changes will benefit the retailer’s more than 1 million hourly employees across the country and will take place in February.
The bonuses will be determined on an employee’s length of service at the company, Walmart said, and those workers with more than 20 years of experience will qualify to receive $1,000. The payouts will result in a one-time charge that will be taken in the fourth quarter of the current year.
On top of all of this, Walmart said once they are done evaluating how the new tax bill will help them, they may also create additional investments.
This is exactly what Democrats were trying to argue would not happen before the tax bill passed.
I’m sure Trump will be tweeting about this soon!