GOP tax plan does nothing to boost the wages of working people

Josh Bivens Economic Policy Institute

EPI is dedicated to advancing policies that raise workers’ wages. And we’re happy to welcome Republicans’ newfound recognition that American workers need a raise. But their solution is bunk.

Donald Trump and Republican leaders will tell us that their tax plan will boost wages for American workers. But real-world evidence suggests otherwise.

For years, corporate profits have soared, yet business investment has been extraordinarily slow. The Republican plans aim to boost profits even more and hope that investment will follow. But evidence from past tax cuts in U.S. history, as well as evidence from comparisons of tax changes across countries and across individual U.S. states all argue strongly that this hope will be disappointed. 

Cutting corporations’ taxes is not a recipe for increasing workers’ wages. It’s a recipe for exacerbating income and wealth inequality.

The Senate is expected to vote on their tax plan this week and your senators need to hear from you today.

Here’s a suggested call script:

Call: 888-516-5820

My name is _______. I live in TOWN, STATE and I’m a constituent of the Senator's.

I want Senator [NAME] to OPPOSE the Senate tax plan that delivers huge tax cuts to America’s wealthiest families and corporations. Instead of tax breaks for hedge funds and private equity firms―that just increase income and wealth inequality―we need a tax plan that invests in critical programs for working families.

Republicans know that they need to offer the American people something they can claim is a wage-boosting policy. But tax cuts for America’s wealthiest families and corporations is not that policy.

Call your senators today and urge them to reject a tax plan that does nothing to boost the wages of working people.


From the EPI

Posted In: Allied Approaches

Union Matters

Get to Know AFL-CIO's Affiliates: National Association of Letter Carriers

From the AFL-CIO

Next up in our series that takes a deeper look at each of our affiliates is the National Association of Letter Carriers.

Name of Union: National Association of Letter Carriers (NALC)

Mission: To unite fraternally all city letter carriers employed by the U.S. Postal Service for their mutual benefit; to obtain and secure rights as employees of the USPS and to strive at all times to promote the safety and the welfare of every member; to strive for the constant improvement of the Postal Service; and for other purposes. NALC is a single-craft union and is the sole collective-bargaining agent for city letter carriers.

Current Leadership of Union: Fredric V. Rolando serves as president of NALC, after being sworn in as the union's 18th president in 2009. Rolando began his career as a letter carrier in 1978 in South Miami before moving to Sarasota in 1984. He was elected president of Branch 2148 in 1988 and served in that role until 1999. In the ensuing years, he worked in various roles for NALC before winning his election as a national officer in 2002, when he was elected director of city delivery. In 2006, he won election as executive vice president. Rolando was re-elected as NALC president in 2010, 2014 and 2018.

Brian Renfroe serves as executive vice president, Lew Drass as vice president, Nicole Rhine as secretary-treasurer, Paul Barner as assistant secretary-treasurer, Christopher Jackson as director of city delivery, Manuel L. Peralta Jr. as director of safety and health, Dan Toth as director of retired members, Stephanie Stewart as director of the Health Benefit Plan and James W. “Jim” Yates as director of life insurance.

Number of Members: 291,000 active and retired letter carriers.

Members Work As: City letter carriers.

Industries Represented: The United States Postal Service.

History: In 1794, the first letter carriers were appointed by Congress as the implementation of the new U.S. Constitution was being put into effect. By the time of the Civil War, free delivery of city mail was established and letter carriers successfully concluded a campaign for the eight-hour workday in 1888. The next year, letter carriers came together in Milwaukee and the National Association of Letter Carriers was formed.

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There is Dignity in All Work

There is Dignity in All Work