Apr 18, 2019

Americans have gotten $0.01 more in bonuses since Trump's tax cuts

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Data: Economic Policy Institute analysis of BLS data; Chart: Axios Visuals

Companies made headlines last year as they gave out a bounty of bonuses to their employees thanks to 2017's Tax Cut and Jobs Act. But those bonuses ended up totaling just 1 red cent in extra compensation for American workers, according to data analysis from the Economic Policy Institute.

What it means: The left-leaning think tank's inflation-adjusted calculations based on Bureau of Labor Statistics’ Employer Costs for Employee Compensation showed that bonuses fell $0.22 from December 2017 to December 2018, and the average bonus for 2018 was just $0.01 higher than in 2017.

Details: EPI's analysis of the government data shows very little increase in private sector pay or W-2 wages since the end of 2017. W-2 wages fell 2% from December 2017 to December 2018, and total compensation fell by 0.9%. For the full year, W-2 wages and compensation in 2018 rose by 0.2% and 0.1%, respectively, over their 2017 levels.

What they're saying: "This is not what the tax cutters promised, or bragged about soon after the tax bill passed," Lawrence Mishel, a distinguished fellow at EPI, said in the report.

  • "They claimed that their bill would raise the wages of rank-and-file workers, with congressional Republicans and members of the Trump administration promising raises of many thousands of dollars within ten years. The Trump administration’s chair of the Council of Economic Advisers argued last April that we were already seeing the positive wage impact of the tax cuts."

Go deeper: A closer look at Trump's invisible tax cut

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Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 6 p.m. ET: 1,088,878 — Total deaths: 58,773 — Total recoveries: 225,438Map.
  2. U.S.: Total confirmed cases as of 6 p.m. ET: 273,880 — Total deaths: 6,889 — Total recoveries: 9,521Map.
  3. Public health latest: The CDC is recommending Americans wear cloth masks or face coverings in public to help stop the spread of the coronavirus.
  4. 2020 latest: Wisconsin governor calls for last-minute primary election delay.
  5. Oil latest: The amount of gasoline American drivers are consuming dropped to levels not seen in more than 25 years, government data shows. President Trump is calling on the Energy Department to find more places to store oil.
  6. Tech updates: Twitter will allow ads containing references to the coronavirus under certain use cases.
  7. Business updates: America's small business bailout is off to a bad start.
  8. U.S.S. Theodore Roosevelt: Senators call for independent investigation into firing of Navy captain.
  9. What should I do? Answers about the virus from Axios expertsWhat to know about social distancingQ&A: Minimizing your coronavirus risk.
  10. Other resources: CDC on how to avoid the virus, what to do if you get it.

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Government will cover uninsured patients' coronavirus treatment

Azar at Friday's briefing. Photo: Win McNamee/Getty Images

The federal government will cover the costs of coronavirus treatment for the uninsured, Health and Human Services Secretary Alex Azar said at a White House briefing Friday.

How it works: The money will come from a $100 billion pot set aside for the health care industry in the most recent stimulus bill. Providers will be paid the same rates they get for treating Medicare patients, and as a condition of those payments, they won't be allowed to bill patients for care that isn't covered.

More states issue stay-at-home orders as coronavirus crisis escalates

Data: Axios reporting; Map: Danielle Alberti/Axios

Alabama Gov. Kay Ivey issued a stay-at-home order on Friday as the novel coronavirus pandemic persists. The order goes into effect Saturday at 5 p.m. and will remain in place through April 30. Missouri Gov. Mike Parson also issued a statewide social distancing order on Friday.

The big picture: In a matter of weeks, the number of states that issued orders nearly quadrupled, affecting almost 300 million Americans.

Go deeperArrowUpdated 1 hour ago - Health