FedEx announced on Friday that the Memphis-company would invest $3.2 billion toward employee pay hikes, bonuses, pension funding, and capital investment thanks to the Tax Cuts and Jobs Act of 2017, which was signed into law by President Donald Trump.
The Tennessee-based company will invest $200 million toward employee pay hikes. Two-thirds of that will go to hourly employees, while the rest will be performance-based incentives for salaried employees.
The company will also voluntarily donate $1.5 billion to its pension plan, which it called “one of the best-funded retirement programs in the country.”
In the press release, they said that “FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States.”
FedEx Committing More Than $3.2 billion in Wage Increases, Bonuses, Pension Funding and Expanded U.S. Capital Investment Following the Passage of the Tax Cuts and Jobs Act. Learn more: https://t.co/rjyxe6Qz63
— FedEx Public Affairs (@FedExPolicy) January 26, 2018
— Paul Ryan (@SpeakerRyan) January 26, 2018
Adding @FedEx to the growing list of #TaxCutsAndJobsAct companies giving more employee benefits to hard working Americans! $200 million in increased wages, $1.5 billion in pension plans, $1.5 billion in company expansions! https://t.co/7TolfncEQe
— Dave Joyce (@RepDaveJoyce) January 26, 2018
The #TaxCuts and #TaxReform signed into law by @POTUS @realDonaldTrump continues to breathe new life into America. @FedEx announced $200M increased compensation, $1.5B to pensions, and $1.5B in an expansion.
— Rep. Lou Barletta (@RepLouBarletta) January 26, 2018