Costco announced on Thursday it will raise its minimum wage for hourly workers, thanks to President Donald J. Trump’s tax cut legislation.
Starting on June 11, Costco will raise its minimum wages for hourly workers to $14 an hour.
Costco chief financial officer Richard Galanti credited the tax windfall created by Trump’s Tax Cuts and Jobs Act, which lowered the corporate tax rate from 35 to 28 percent.
Galanti said that many companies have “a desire to use some of this (tax windfall) to help employees, to share that wealth if you will, to drive their business.”
Costco pays roughly 90 percent of its employees by the hour, making wage hikes a significant boon for Costco employees.
The American economy continues to grow under President Trump.
Walmart announced in January that it will raise its minimum wage to $11 an hour, distribute $1,000 bonuses, and expand maternal and paternity benefits to workers as a result of the Tax Cuts and Jobs Act.
Chik-fil-A announced in May it will raise its wages to as high as $18 per hour in Sacramento, California, due to a tighter workforce in Trump’s economy.
The U.S. Department of Labor revealed on Friday that the economy added 223,000 jobs in May, and the unemployment rate dropped to 3.8 percent.
The Labor Department said the average hourly wages for workers rose by eight cents to $26.92.
A new study from the University of Wisconsin-Madison suggested that Trump’s tax cuts raised contributions to defined-benefit pensions in 2017.
The Conference Board’s Consumer Confidence Index found that consumer confidence remains at a 17-year high.
Trump tweeted on Monday, “A Democratic lawmaker just introduced a bill to Repeal the GOP Tax Cuts (no chance). This is too good to be true for Republicans…Remember, the Nancy Pelosi Dems are also weak on Crime, the Border and want to be gentle and kind to MS-13 gang members…not good!”:
A Democratic lawmaker just introduced a bill to Repeal the GOP Tax Cuts (no chance). This is too good to be true for Republicans…Remember, the Nancy Pelosi Dems are also weak on Crime, the Border and want to be gentle and kind to MS-13 gang members…not good!
— Donald J. Trump (@realDonaldTrump) May 28, 2018