A coalition of unions at Walt Disney World Resorts filed a federal complaint alleging unfair labor practices Monday, accusing the company of holding employees’ $1,000 bonuses hostage during contract negotiations. Last month, Walt Disney Co. announced it was giving $1,000 each to more than 125,000 employees. The Burbank media giant, similar to many other companies, planned to give extra money to employees after the GOP federal tax overhaul reduced the corporate tax rate. However, the Service Trades Council said Monday that Disney refuses to give employees at the Orlando theme park the bonuses until the union approves a new contract. “If the unionized employees do not accept Disney’s offer by August 31, ‘the bonus offer will expire,’ ” according to a news release from the trades council. “A thousand dollars is a lot of money to people who make $10 or $15 an hour,” said Ed Chambers, the trade council’s president. “Wages and … [Read more...] about Disney World unions file complaint to get $1,000 bonus promised after corporate tax cut
Investors continue to hope that tax cuts will fuel a surge in corporate profits and dividend increases. Certain parts of the market may benefit more than others this year. One way to cash in is with shares of small and midsize firms. Such companies tend to pay taxes at higher effective rates than large multinationals, so those companies stand to save more from lower tax rates. You can invest in this area with exchange-traded funds such as iShares Core S&P Small-Cap (symbol IJR) and iShares Core S&P Mid-Cap (IJH), a member of Kiplinger’s 20 favorite ETFs. Among individual stocks, consider domestic retailers Target (TGT) and Ulta Beauty (ULTA). Tax cuts should lift profits for both firms by at least 18 percent this year, and the stocks still look like good values, says investment firm UBS. New corporate tax breaks are also good news for dividend investors. Big companies are likely to repatriate large amounts of cash held abroad, partly because they can now pay tax on the … [Read more...] about Kiplinger Money Power: How to cash in on corporate tax cuts
As investors work to identify the winners and losers of the recent tax bill, it's clear that one of the biggest beneficiaries of the new corporate tax rate will be the retail sector. In this episode of Industry Focus: Consumer Goods, Vincent Shen recruits senior Motley Fool contributor Adam Levine-Weinberg to break down why the news is so good for retailers and its likely effect on companies, including TJX Companies (NYSE: TJX), Target (NYSE: TGT), and Macy's (NYSE: M). The hosts also look at Bon-Ton's (NASDAQ: BONT) recent bankruptcy filing and its grim prospects even if management is able to avoid a liquidation. A full transcript follows the video. 10 stocks we like better than Walmart When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, the Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to … [Read more...] about What Will Retailers Do With Billions in Corporate Tax Savings?
Tax cuts passed by Congress in December have effectively caused Delmarva Power to reduce its power rate increase request in Delaware by $26 million, the company announced on Friday.After Congress slashed corporate tax rates from 35 percent to 21 percent, state regulators in January directed public utility companies, such as Delmarva Power, to calculate their total amount of savings "to ensure that consumers will receive the benefits." The move came at the behest of Delaware Public Advocate Drew Slater and state legislators who argued in January that the entirety of the tax savings should bypass companies' coffers and instead flow to ratepayers. Earlier last fall, Delmarva had petitioned the state to grant it an electricity and gas rate increase totaling $31 million, or about $9 per household. With its calculated tax savings at $26 million, the upper bound of a … [Read more...] about Delmarva Power lowers rate increase request by $26 million as result of corporate tax cuts
Duke Energy Kentucky’s first rate hike in over 11 years could end up reduced - or killed entirely - because of the recently passed corporate tax cuts.That's at least what national cases, a previous Kentucky case, and a spokesman for the state utility regulator indicate.Investor-owned utilities are legal monopolies regulated by state commissions. When a utility wants to raise its rates, it must go through state commissions.Companies in other states, like Arizona Public Service Co. and DTE Energy in Detroit, are already lowering their monthly rates in light of the corporate tax cuts passed by Congress last year. Duke is seeking its first rate increase in Northern Kentucky in 11 years. Duke cites a need to make "critical infrastructure investments in its electric generation and delivery systems," according to a Duke news release.On Feb. 1, Duke Energy pledged to lower rates in North Carolina because of the tax reduction."This is a unique opportunity that … [Read more...] about Duke’s NKY rate hike proposal: Will corporate tax cuts mean residents get spared?