Trump lead tax plan already effecting 200,000 AT&T Union members

[hislegacy]

AT&T to give $1,000 bonuses to more than 200,000 employees because of tax bill passage

AT&T on Wednesday hailed Congress' passage of tax cuts and announced it would invest an additional $1 billion in the United States next year, and pay a one-time $1,000 holiday bonus to more than 200,000 U.S. employees.

In a press release, the company, which is in the midst of a proposed $85 billion merger with Time Warner, said the bonuses would be paid to all "union-represented, non-management and front-line managers."


the press release said.

 

[super animator]

It says "one-time", that completely different from increasing your salary.

 

[SummerMadness]

Now they just need to give them $3000 more and maintain that over the decade. This is one of those moves like Carrier "keeping jobs in the US."

 

[FenderTL5]

[Wonders]
Is it really because of tax cuts or could it possibly be from those extra revenue streams that were opened by ending Net Neutrality? Revenue streams that would be sweetened even more if the buttered-up president were to change his position on the Time-Warner merger.

 

[Hank77]

Approximately a $.50 per hour raise for one year.

 

[SummerMadness]

Considering their profits, it's odd that they're only giving $1000.

AT&T shares dip after slight miss on earnings

 

[GoldenBoy89]

Looks like they're trying to buy influence.

 

[Shimshon]

It says "one-time", that completely different from increasing your salary.

Approximately a $.50 per hour raise for one year.

Why yes, a HOLIDAY bonus is way different than a raise....

 

[super animator]

Why yes, a HOLIDAY bonus is way different than a raise....

A Holiday that occurs every year, which is NOT a one-time thing.

 

[hislegacy]

AT&T on Wednesday hailed Congress' passage of tax cuts and announced it would invest an additional $1 billion in the United States next year, and pay a one-time $1,000 holiday bonus to more than 200,000 U.S. employees.

[Wonders]
Is it really because of tax cuts or could it possibly be from those extra revenue streams that were opened by ending Net Neutrality? Revenue streams that would be sweetened even more if the buttered-up president were to change his position on the Time-Warner merger.

AT&T said it rather plainly. Are you saying they are lying?

 

[hislegacy]

A Holiday that occurs every year, which is NOT a one-time thing.

Does your employers guarantee your Christmas bonus amount every year? or is it based on what the company makes and sometimes it is greater than others?

 

[iluvatar5150]

If anyone wants to read the full press release:
With Tax Reform, AT&T Plans to Increase U.S. Capital Spending $1 Billion and Provide $1,000 Special Bonus to more than 200,000 U.S. Employees

Something to consider: all of those union employees just lost the ability to write off any unreimbursed employee expenses they'd have, like union dues, mileage, or buying their own tools.

 

[Glaucus]

Beats my $100 bonus. But then, I wasn't expecting anything.

 

[bhsmte]

In reality, we won't know how this tax plan works out until it is in place for a while.

With that said, I don't see how anyone could see anything but a positive in AT&T paying out this bonus.

 

[Shimshon]

If anyone wants to read the full press release:
With Tax Reform, AT&T Plans to Increase U.S. Capital Spending $1 Billion and Provide $1,000 Special Bonus to more than 200,000 U.S. Employees

Something to consider: all of those union employees just lost the ability to write off any unreimbursed employee expenses they'd have, like union dues, mileage, or buying their own tools.

You mean because they were just reimbursed with this $1000 bonus?

And I'm sure anything left unreimbursed can be claimed as usual...

 

[Ygrene Imref]

AT&T to give $1,000 bonuses to more than 200,000 employees because of tax bill passage

AT&T on Wednesday hailed Congress' passage of tax cuts and announced it would invest an additional $1 billion in the United States next year, and pay a one-time $1,000 holiday bonus to more than 200,000 U.S. employees.

In a press release, the company, which is in the midst of a proposed $85 billion merger with Time Warner, said the bonuses would be paid to all "union-represented, non-management and front-line managers."


the press release said.

1000 x 200,000 = $200,000,000 to be given from the company. Let's assume that is true.

AT&T Market Cap is currently ~ $0.25T = $250,000,000,000.

Their profits were $19,800,000,000 before taxes

$13,333,000,000 on a 35% tax (actual: 32.7%.)​

Their taxes will drop to about 21% (actual projected: 18.7%) - which would mean if their company does not grow (i.e. no merger or increase,) they would be projected to make $16,100,000,000 this year.

Their Capitalization vs. Profit curve would be parabolic (profits squared would equal market cap.) That is a comfortable margin to have. And, their $200,000,000 "bonus" they would afford their staff is 7% of the increase they would make off of the tax break alone. They still get a net profit increase of 16.4% assuming they break even with 2016.



And, guess what (all of you who work for AT&T you get to put this on your taxes! But, not like you may think; you have to claim this bonus. Hopefully $1000 doesn't shift some of you into a different tax bracket, because there is also that.



This is a victory if you did not read the bill, and do not know the economic consequences. Oh, and if you have a worth/capitalization of at least seven figures.

​

 

[hislegacy]

Let's assume that is true.

What makes you think that AT&T is not telling the truth in their press release?

 

[mark46]

Is anyone arguing that it bad for the workers to be given a holiday bonus of $1000 each. As far as AT&T, I look forward to their announcing an increased dividend for April.

And, of course, their senior management wants to make sure they THANK Trump.
This could help in their getting the merger through. I think that this tactic has worked for others.

 

[iluvatar5150]

You mean because they were just reimbursed with this $1000 bonus?

And I'm sure anything left unreimbursed can be claimed as usual...

No, it can't be.

#7:
What Your Itemized Deductions On Schedule A Will Look Like After Tax Reform

Is anyone arguing that it bad for the workers to be given a holiday bonus of $1000 each. As far as AT&T, I look forward to their announcing an increased dividend for April.

And, of course, their senior management wants to make sure they THANK Trump.
This could help in their getting the merger through. I think that this tactic has worked for others.

No, the bonus is fine. What we're arguing is that it's quite conceivable that the net impact to some of these folks will be negative, and that the bonus is less about giving a bonus and more about political signalling.

 

[mark46]

No, the bonus is fine. What we're arguing is that it's quite conceivable that the net impact to some of these folks will be negative, and that the bonus is less about giving a bonus and more about political signalling.

IMHO, holiday bonuses are great. I believe that AT&T is celebrating, and it is good PR to give out the extra bonus. It is also politically correct to THANK Trump for his great Christmas gift. I expect that next will come an increase in dividends, and a upper management bonus,.

That being said, some workers will get screwed. As is the case for everyone else, this includes folks in NJ, NY, MD, VA, CT, WA, CO and CA. AT&T has lots of employees in New Jersey, a very, very high property tax state.