This was yet another good week for America’s workers, thanks to the Tax Cuts and Jobs Act. The week brought an announcement that nearly 400 of the nation’s franchise owners are planning to reinvest in their employees and businesses—joining the list of hundreds of companies that have already done so.
Additionally, a newly released survey shows manufacturers are as optimistic as ever about the future of the economy. This comes as weekly jobless claims remained under 300,000 for the longest streak on record.
Here are some details on how the Tax Cuts and Jobs Act is fueling growth and changing the lives of hardworking Americans:
- More Bonuses for American Workers: The International Franchise Association yesterday announced that nearly 400 franchise brands or individual businesses signed a pledge to issue bonuses, boost investment, or increase wages as a result of the updated tax code. And McKee Foods, the maker of Little Debbie baked goods, announced it would be giving $1,000 bonuses to all full-time employees. President and CEO Mike McKee said, “The recent federal tax legislation will provide benefits to the company and will allow us to invest back into the business. The first thing we thought about was investing in our employees.”
- Record Confidence among Manufacturers: The National Association of Manufacturers’ First Quarter 2018 Outlook Survey found 93.5 percent of manufacturers have a positive outlook on their companies’ futures, driven by a better environment delivered by the tax bill. Small manufacturers also expressed confidence: In the survey, 94.5 percent of them shared an optimistic economic outlook—the highest level ever recorded. The respondents also expect higher growth rates in areas like production, capital spending, employment, and wages over the next year.
- A Healthier Labor Market: This week, initial jobless claims fell by 9,000 to 233,000. This marks the 162nd week claims have held below 300,000. As The Wall Street Journal noted: “The number of Americans claiming new unemployment benefits has never been so low for so long.”
These key signs show that tax reform continues to help deliver a strong U.S. economy—and all just in time for Tax Day. As Speaker Ryan said yesterday, “This law is working, and it will make this country stronger and much more prosperous for years to come.”