AT&T to pay bonuses and invest $1 billion once tax reform signed

Employees of the No. 2 U.S. wireless carrier who will receive the bonus are all “union-represented, non-management and front-line managers,” AT&T said in a statement. The company has more than 250,000 employees in all. A person briefed on the matter said the bonuses will cost the company about $230 million.

Aerospace company Boeing Co also said on Wednesday it would invest $300 million in workforce training and facilities enhancements for employees as its CEO lauded the tax bill.

The two announcements gave at least some support to claims by Trump and fellow Republicans that their tax bill, which cuts the corporate tax rate to 21 percent from 35 percent, would lead to more investment by U.S. companies.

Republican senators and Trump praised the announcements.

“Within hours of passing tax reform, we’re already seeing announcements that companies plan to give back to their employees and invest more at home,” said Senator Shelley Moore Capito of West Virginia on Twitter. “Good news for workers and the economy!”

sourced – Reuters