Some CEOs will give extra profits from tax reform to investors, not employees
President Donald Trump speaks to reporters before leaving the White House. Photo: Manuel Balce Ceneta / AP
Some CEOs of major U.S. companies said they plan to give the bonus they expect to receive from the proposed corporate tax cuts to their shareholders, not employees, Bloomberg reports. These corporations include Cisco Systems Inc., Pfizer Inc. and Coca-Cola Co.
Why this matters: This move would ultimately undermine President Trump's claims about the benefits of his tax plan, specifically that it would increase wages and create more jobs for middle-class workers.