AT&T Inc. said it would make a one-time $1,000 payment to more than 200,000 workers if President Donald Trump signs the tax-code overhaul bill that Congress has approved.
The pledge from the telecommunications giant comes after a Wednesday House vote cleared a bill containing a $1.5 trillion tax cut and other sweeping changes to the tax code to Mr. Trump for his signature. The company earlier in the day confirmed plans to invest an additional $1 billion in the U.S. next year, which it said would support blue-collar jobs.
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AT&T has said it plans to spend about $22 billion in capital expenditures in 2017, largely on its networks and video services.
AT&T said it would pay the bonus to union-represented, non-management and front-line managers based in the U.S. The company recently employed about 250,000 people.
In a televised speech Wednesday in Washington, D.C., Mr. Trump praised the company's move. "That's pretty good," he said.
Many Americans, including many Democrats and union groups, have criticized the tax bill, saying it overwhelmingly benefits corporations and the wealthy over the middle class and poor. Nearly half of AT&T employees are members of unions.
AT&T's plan to pay the bonus also comes as it faces a lawsuit from the Justice Department to stop its take over of Time Warner Inc.
The main part of the Republican tax plan is a cut in the corporate tax rate to 21% from 35%. The tax plan also cuts individual tax rates and aims to simplify the tax code by eliminating some deductions and trimming others.
In connection with the tax-code overhaul vote, Boeing Co. also said it would invest $300 million in its operations. On Wednesday Boeing said its spending plans would include $100 million for workforce training and $100 million for facilities and infrastructure upgrades.
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(END) Dow Jones Newswires
December 20, 2017 15:36 ET (20:36 GMT)