AT&T $1000 tax bonus came after exchange with union head

AT&T $1000 tax bonus came after exchange with union head

A handful of USA companies are already promising to pay one-time bonuses to their employees and bump up hourly pay if President Trump signs into law the tax reform bill that has been voted on by the Republican-led Congress.

AT&T plans to invest $1 billion in the United States in 2018 and pay $1,000 as a bonus to each of its more than 200,000 US employees once the bill becomes law.

AT&T at the same time confirmed it will invest $1 billion more in US operations in 2018.

AT&T and Comcast also announced special bonus to their employees.

The firm will pay the bonuses as a result of United States tax reforms being cleared, which will see some corporate tax rates nearly in halved.

Companies are announcing plans to raise minimum wage and offer bonuses to employees in light of the corporate tax cuts from the GOP's tax overhaul. President Donald Trump is widely expected to sign the bill, giving him and the Republican party a major legislative victory. The savings would generate billions of dollars in profits for companies, with economists generally estimating that roughly 75 percent would go to investors and 25 percent to workers.

AT&T boss Randall Stephenson labelled Trump's reforms a "monumental plan". Fifth Third Bancorp promised to raise their minimum wage to $15 an hour and give a one-time $1,000 bonus to its more than 13,500 workers, according to Business Wire.

House members voted on Wednesday to pass a bill that would cut the corporate tax rate to 21 percent from 35 percent.

"We want to invest in our most important asset - our people", said Fifth Third CEO Greg Carmichael.

The minimum wage hike will impact almost 3,000 employees.

Boeing said it would move forward with $300 million in investments as a result of the new tax law, including $100 million in employee training and education and $100 million to enhance Boeing facilities as part of its "workforce of the future" initiative.

Comcast said later on Wednesday that it will give $1,000 bonuses to more than 100,000 employees. Roberts also announced that the Company expects to spend well in excess of $50 billion over the next five years investing in infrastructure to radically improve and extend our broadband plant and capacity, and our television, film and theme park offerings.

Both USA TODAY and The Washington Post note that companies such as AT&T and Comcast have the added benefit of the FCC's decision to repeal net neutrality, which would allow them to invest into new upgrades that may or may not hinder access to certain websites.