Washington, DC - Optimism and plans for growth are soaring as businesses feel the benefits of President Donald J. Trump’s tax cuts.
- Optimism among American manufacturers has reached unprecedented levels according to the most recent Outlook Survey from the National Association of Manufacturers (NAM).
- Manufacturer optimism stood at 93.5 percent in the most recent survey, the second highest reading in the survey’s history.
- Projected employment growth, new capital investments, and inventory increases all reached all-time highs in the survey.
- According to the survey, manufacturers expect sales to grow over the next year at the second fastest pace on record.
- Manufacturers anticipate wages will grow at the fastest pace in 17 years.
- Small businesses are worrying less about taxes and are investing more in their workers according to a National Federation of Independent Businesses (NFIB) survey from March 2018.
- Taxes received the fewer votes as the number one problem facing small businesses for the first time since 1982.
- The proportion of small businesses that reported raising their worker’s compensation reached its highest level since 2000.
- A March 2018 survey of business executives by Ernst & Young, looking at how companies plan on using their tax savings found that:
- 75 percent expect to expand manufacturing in the United States.
- 89 percent plan to increase worker compensation.
- 66 percent will likely pass on some of their tax savings to customers.
- 69 percent expect to bring back more earnings to the U.S. from overseas than they would have otherwise.
- The Federal Reserve cited the Tax Cuts and Jobs Act as a key factor in increasing their economic projections for the United States over the next several years.
BENEFITING EMPLOYERS OF ALL SIZES: Businesses of all sizes are using their tax savings to invest in their hardworking employees.
- From small family businesses on up, American employers have been able to raise wages and increase benefits for their workers as a result of the Tax Cuts and Jobs Act.
- More than 5.5 million hardworking taxpayers have received bonuses, pay raises, and increased benefits.
- Wichita Railway Services gave each of its five employees a tax cut bonus between $3,000 and $6,000.
- In March, Muncie Aviation Company gave its 55 full-time and 8 part-time employees a bonus due to its tax savings and 2017 business performance.
- Cox Enterprises has announced it will provide most of its nearly 60,000 employees with bonuses between $1,000 and $2,000 in April.
- McCormick & Company has announced it will provide $1,000 tax cut bonuses to eligible hourly employees in May.
- McDonald’s Corporation announced it would invest $150 million in its education program which provides employees with opportunities to earn a high school diploma, college tuition assistance, and free education advising.
REVITALIZING THE ECONOMY: The Tax Cuts and Jobs Act is contributing to a healthy American economy under President Trump.
- United States gross domestic product (GDP) growth for the fourth quarter of 2017 was revised up to 2.9 percent, beating expectations.
- More than 2.5 million jobs have been added since President Trump took office.
- 263,000 manufacturing jobs have been added.
- 277,000 construction jobs have been added.
- The unemployment rate has remained at a 17-year low of 4.1 percent since October of last year.
- The number of Americans receiving unemployment insurance benefits has fallen to its lowest point since 1973.