AT&T promises $1,000 bonus to workers after tax overhaul

AT&T promised Wednesday to give more than 200,000 U.S. workers a $1,000 bonus once President Trump enacts the tax ove...

Posted: Dec 21, 2017 10:02 AM
Updated: Dec 21, 2017 10:02 AM

AT&T promised Wednesday to give more than 200,000 U.S. workers a $1,000 bonus once President Trump enacts the tax overhaul that Congress just passed.

The pledge for $200 million in bonuses shows shows the extent of AT&T's support for the Republican tax plan, which will slash the tax rate on corporations.

The bonus plan may also represent an olive branch to the Trump administration following the Justice Department's lawsuit last month to block AT&T's $85 billion takeover of CNN owner Time Warner.

President Trump praised AT&T's bonus plans during a Rose Garden event celebrating Congress' passage of the tax plan. "That's because of what we did. That's pretty good," Trump said.

In a statement, AT&T CEO Randall Stephenson hailed "Congress, working with the President" for taking a "monumental step" that will "create good-paying jobs."

AT&T said the bonus payments will go to all union-represented, non-management and front-line managers, totaling more than 200,000 employees.

AT&T expects the bonuses will be delivered over the holidays if the law is enacted before Christmas. It's not clear when Trump plans to sign the bill, which passed the House and Senate this week.

Related: Why now's not the time for expensive tax cuts

AT&T has been an outspoken backer of the tax legislation -- and it hasn't been shy about backing up that support with promises to spend more within the U.S.

The company reiterated a promise, first made in early November prior to the Justice Department lawsuit, to ramp up its capital spending by $1 billion in the U.S. AT&T said at the time that research shows that every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers.

In touting the GOP tax overhaul, Trump has repeatedly emphasized the importance of creating jobs.

"Results will speak for themselves, starting very soon," Trump tweeted on Wednesday. He added, "Jobs, Jobs, Jobs!"

Other companies have been more reluctant to promise any new investments or returns for workers as a result of tax cuts.

Only 14% of CEOs surveyed by Yale University said their companies planned to make large, immediate capital investments in the United States if the tax plan became a reality.

On a call with analysts, FedEx CEO Fred Smith praised the tax legislation as a "pro-growth" plan that will "power the economy." However, FedEx said it only "may" boost spending if the plan gets enacted.

Boeing, however, said on Wednesday it will use some of its tax savings on employees. The aerospace giant announced $300 million in spending, to be split equally between worker training, upgrading workforce facilities and a program that matches employees' charitable contributions. Boeing, a major defense contractor, gets nearly one-quarter of its revenue from the federal government.

Wells Fargo and Fifth Third Bancorp announced plans on Wednesday to raise their minimum wage to $15 per hour. Fifth Third Bancorp also said it will pay a one-time bonus of $1,000 to more than 13,500 of its 18,000 employees.

Trump's Justice Department shocked the business world last month by suing to block the takeover of Time Warner. The decision was surprising because it's very rare for the government to challenge "vertical" mergers like this one, in which no direct competitor is removed from the market.

A trial is scheduled for March 19. The $85 billion transaction expires on April 22. If the companies don't extend the deadline, AT&T must pay Time Warner a $500 million breakup fee.

--CNNMoney's Julia Horowitz and Hadas Gold contributed to this report.

Mississippi Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 119336

Reported Deaths: 3328
CountyConfirmedDeaths
Hinds8109180
DeSoto734280
Harrison553785
Jackson488488
Rankin412386
Madison388094
Lee368682
Forrest313478
Jones298484
Washington2644100
Lauderdale2611135
Lafayette256043
Lamar234040
Oktibbeha206055
Bolivar205279
Neshoba1883111
Lowndes182862
Leflore173088
Panola172241
Sunflower165949
Warren156656
Monroe154873
Pontotoc151520
Marshall150530
Lincoln144859
Pike140956
Copiah139936
Scott128129
Coahoma126537
Union126025
Yazoo124534
Simpson124049
Grenada123139
Tate123039
Pearl River117960
Itawamba117827
Leake117042
Holmes115160
Adams110245
Prentiss109520
Alcorn105012
Wayne103422
George103020
Covington99729
Marion96944
Tippah95124
Hancock88128
Newton88128
Chickasaw87028
Winston85921
Tallahatchie85826
Tishomingo83141
Attala80927
Clarke78353
Clay71522
Jasper69817
Walthall64827
Calhoun63613
Smith60816
Noxubee60317
Yalobusha56616
Montgomery56523
Lawrence55314
Claiborne54216
Tunica53917
Perry52823
Carroll50912
Stone49814
Greene48218
Humphreys45817
Amite43413
Jefferson Davis42412
Quitman4246
Webster38213
Benton36911
Wilkinson34321
Kemper33415
Sharkey29115
Jefferson28110
Franklin2533
Choctaw2096
Issaquena1074
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Alabama Coronavirus Cases

Confirmed Cases: 162720

Reported Deaths: 2735
CountyConfirmedDeaths
Jefferson23940385
Mobile17123319
Tuscaloosa10602141
Montgomery10503199
Madison955798
Shelby760565
Baldwin676869
Lee664965
Calhoun476562
Marshall447451
Etowah441952
Morgan430835
Houston423934
DeKalb355429
Elmore327858
St. Clair311342
Limestone297031
Walker287493
Talladega276437
Cullman266525
Lauderdale240543
Jackson225317
Autauga212631
Colbert210232
Franklin209432
Blount200925
Russell19833
Chilton192332
Dallas189227
Dale184952
Coffee183611
Covington177329
Escambia175831
Clarke138717
Chambers138047
Tallapoosa137287
Pike136414
Marion110931
Barbour10559
Marengo104622
Butler101941
Winston94713
Geneva9427
Pickens89018
Lawrence88533
Bibb86115
Randolph84616
Hale78130
Cherokee76414
Clay76312
Washington75812
Henry7316
Lowndes72128
Monroe66310
Bullock65117
Crenshaw61230
Fayette59913
Perry5996
Cleburne5799
Conecuh57213
Wilcox57112
Macon54320
Lamar5235
Sumter48621
Choctaw39512
Greene34516
Coosa2173
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