More Winning: Trump’s Tax Cuts Leading Walgreens to Spend $150 Million on Increasing Employee Wages

Scott Olson/Getty Images

Walgreens claimed that thanks to President Donald Trump’s tax cuts, it’s able to increase employee wages.

In fiscal 2019, in-store employees will benefit from the company’s $150 million investment to raise wages. The company will also put more toward its community health care initiatives.

Joe Raedle/Getty Images

Walgreens Chief Financial Officer James Kehoe announced Thursday that the investment is “in light of the favorable tax reforms in the U.S,” according to The Street.

In December 2017, the Senate approved a $1.5 trillion tax bill that included temporary tax cuts for individuals and tax breaks for corporations.

Chip Somodevilla/Getty Images

“Our plan also lowers the tax on American business from 35 percent all the way down to 21 percent. That’s probably the biggest factor in this plan,” Trump said at a Cabinet meeting in December 2017, according to CNBC.

Watch the video below:

According to Walgreens, the company employs over 240,000 people and tends to nearly 8 million customers daily.

Scott Olson/Getty Images

Another large company, Amazon, also recently pledged to raise its employees’ wage.

Amazon will double its minimum wage from $7.25 to $15 an hour starting November 1.

Robert Galbraith/Reuters

“We listened to our critics, thought hard about what we wanted to do, and decided we want to lead,” Amazon founder and CEO Jeff Bezos said at the time. “We’re excited about this change and encourage our competitors and other large employers to join us.”

Other large companies did the same — Walmart said in January that it would raise its starting pay to $11, and Target raised it to $12 an hour, hoping to reach $15 by 2020.

What do you think?

13 points
Upvote Downvote
newest oldest most voted
Notify of
Kelly Stevenson
Guest
Kelly Stevenson

Someone should have factchecked this article. In the Walgreens Press release in March “Walgreens will boost its hourly workers’ wages by $100 million a year after similar moves by competitors, company leaders announced Wednesday. … Walgreens had already planned to raise wages before the tax changes – though those changes… Read more »

banstan
Member
banstan

are you really effin serious, “Walgreens had already planned to raise wages before the tax changes”. You quote a press release from MARCH 2018, Trump’s tax decrease was signed into LAW on DEC 22, 2017. So, Walgreens “planned” to raise wages 3 months AFTER Trump’s tax decrease, not before, like… Read more »

Lenny Stebulis
Guest

This must be part of that horrible result of the Trump Tax Cuts that the Democrats are campaigning on that complain about the largest tax cuts going to corporations. Without which, companies like Walgreens and Amazon wouldn’t likely have the resources to up their minimum wage. But hey, they must… Read more »

Anonymous
Guest
Anonymous

$150M spread out across 240k employees comes out to a $0.30/hr raise. $12.00 a week, before taxes. Let’s not break out the balloons yet…

banstan
Member
banstan

Yeppers. More “crumbs”

1ntrepid
Guest
1ntrepid

This is the kind of result that was intended to result from the tax cut, but it is still atypical. Amazon may be increasing the hourly wage, but they are reneging on other employee bonuses and incentives. They still need to pee in bottles.

Anonymous
Guest
Anonymous

I spoke to a young lady that works for Amazon. She is very pleased and said the pay raise is better for her at this time.

banstan
Member
banstan

I’m sure that there are a huge number of employees at Amazon who are very happy with their raise, anon. But, insipid, being the true social justice warrior that he is, is not wrong. He let’s other people do his research for him. I’m sure he has read my own… Read more »

banstan
Member
banstan

The HOLY $15 an hour saved Jeff Bezos MILLIONS.

Joe Kennedy III Heads to Texas to Campaign With Beto O’Rourke

‘There Were Real Core Problems With Her Story’: Ben Sasse Doubles Down on His Support for Kavanaugh on ‘The View’