Citing tax cuts, Walmart raises wages

Walmart announced Thursday it would raise employee wages and give them bonuses this year, citing the Republican tax overhaul package as the reason. Starting next month, Walmart plans to increase the starting hourly wage from $9 to $11. The retailer also announced it would dole out one-time cash bonuses of up to $1,000 based on years worked at the company. All told, Walmart plans to give out $400 million this year in employee bonuses. “Today, we are building on investments we’ve been making in associates, in their wages and skills development,” Walmart president and CEO Doug McMillon said in a statement. “Tax reform gives us the opportunity to be more competitive globally and to accelerate plans for the U.S.” Large corporations claimed some of the biggest benefits from the GOP tax plan passed last month. The reform cut the corporate tax rate from 35 percent to 21 percent. Walmart has more than 1 million hourly employees in the United States. Other companies have offered similar benefits to workers, citing a desire to pass along the tax reform windfall. Bank of America and AT&T gave their employees year-end bonuses worth $1,000 each, and Wells Fargo announced it would increase its minimum wage to $15 an hour.