On Friday, FedEx announced a massive $3.2 billion investment in the American economy, crediting the Trump-backed Tax Cuts and Jobs Act. The money will be used for wage increases, employee bonuses and pensions, and job creation.
Over $200 million will go directly to workers’ wages, FedEx said in a statement. Approximately two-thirds of that sum will be devoted to hourly employees, while the remainder will boost incentives for the company’s salaried personnel.
FedEx is following that up with $1.5 billion for its pension plan, a voluntary contribution the company said will “ensure it remains one of the best funded retirement programs in the country.”
The last $1.5 billion will serve as capital to expand the FedEx Express Indianapolis hub over the course of the next seven years–leading to jobs and community growth. The Memphis SuperHub will also be expanded, with details of the plan set to be announced in the spring.
“FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States,” the statement read.
The announcement marked the most recent news of corporate investment in jobs and workers since the passage of the GOP’s tax reform legilsation, which President Trump signed into law last month.
According to a regularly-updated list by the nonprofit Americans for Tax Reform, at least 3 million Americans at 265 companies are offering employees bonuses of as much as $3,000. Many companies are matching bonuses with wage increases, charitable donations, and capital investment.
On Thursday, Home Depot revealed it would be giving all its US hourly associates a $1,000 cash bonus.
Earlier this month, Walmart announced a raise in its base wage to $11, along with expanded maternity and parental leave benefits and a $1,00 cash bonus.
Additionally, US wages are growing in areas with low unemployment.
House Minority Leader Nancy Pelosi (D-CA) called $1,000 bonuses “crumbs,” a sentiment echoed by Rep. Debbie Wasserman-Schultz (D-FL).
Higher wages and bonuses may mean little to beltway elites like Pelosi and Wasserman-Schultz, but America’s working class is taking note of improved prospects under the Trump administration.