Starbucks Corp. just joined the growing list of US corporations that are boosting pay for workers thanks to the Trump tax cuts.
The company revealed Wednesday morning that it plans to spend $250 million on new employee benefits – including a pay boost for domestic workers, in the wake of the federal tax overhaul, Bloomberg reported.
The coffee chain will increase pay for its 150,000 US hourly workers and salaried employees in April, following its regular annual raise earlier this month. It’s the latest US corporation to pledge to spend a portion of its federal tax-cut windfall this month. The company is also giving an extra 2018 stock grant to US employees, and sick time will expand parental leave to include non-birth parents.
“Investing in our partners has long been our strategy,” Starbucks Chief Executive Officer Kevin Johnson said in a memo to employees.
“Due to the recent changes in U.S. tax law, we are able to accelerate some significant partner investments.”
Unlike Wal-Mart, Starbucks isn’t touting a new starting wage. The coffee giant says the new level will vary by region, and it already pays more than the minimum wage in all 50 states.
Starbucks also has been investing in mobile technology to fix congestion at pickup counters in the U.S., where sales have struggled to keep pace with international growth. The company is slated to give investors an update on its progress when it reports earnings on Thursday.
Yesterday, both JP Morgan Chase & Co. and Disney announced wage hikes and bonuses for employees. JPM also said it would embark on a $20 billion plan to expand its branch locations.
Soros Newest Investor Of Tesla Bonds
Tesla looks to have a new bond holder and it’s none other than George Soros. Whatever this mean, Soros has also taken a stake in Crypto-Currencies .
Zerohedge Reports: Amid Elon Musk’s darkest hour in late March – as his stocks and bonds tumbled in price – it seems there was at least one other billionaire willing to buy the ‘blood on the street’.
According to the latest 13Fs, George Soros’ investment firm took a $35 million stake in Tesla’s convertible bonds during the first three months of the year.
As a reminder, convertibles are hybrid securities, either bonds or preferred stock, that can be exchanged for a predetermined number of common shares. That effectively lets an investor participate in stock-price changes, but with the yield and greater security of a fixed-income instrument.
The March 2019 Converts bounced handsomely off those lows – tracking the stock’s divergent bounce – but in recent days has fallen back towards the lows, catching down to the straight bonds record low price.
“Racial Bias Education Day” To Close Down Starbucks Nationwide
Starbucks is going to the illogical extreme by taking an entire day to put their employees through what they call “Racial Bias Education Day”. Coming after a viral videos showed two men being arrested in a Starbucks in Philadelphia. Starbucks almost instantly gave into calls to do ‘something’ but will this really fix anything in a culture where ‘racism’ is more of a political talking point than an actual substantive conversation or debate.
CNBC Reports: Starbucks said Tuesday it will be closing all of its company-owned restaurants in the U.S. during the afternoon of May 29 to conduct a racial-bias education program.
“I’ve spent the last few days in Philadelphia with my leadership team listening to the community, learning what we did wrong and the steps we need to take to fix it,” Kevin Johnson, CEO of Starbucks, said in a statement Tuesday. “While this is not limited to Starbucks, we’re committed to being a part of the solution. Closing our stores for racial bias training is just one step in a journey that requires dedication from every level of our company and partnerships in our local communities.”
Soros Now Investing In Crypto-Currencies
After a historic drop in cryptocurrency prices in the first quarter, one which deflated much of the euphoria that surrounded the sector in late 2017 and the start of this year, the space is about to get exciting again because none other than 87-year-old billionaire George Soros is reportedly preparing to trade cryptocurrencies as prices plunge.
According to Bloomberg, Adam Fisher -who oversees macro investing at New York-based Soros Fund Management – has received internal approval to trade virtual coins in the last few months, “though he has yet to make a wager.”
The question, of course, is whether Bloomberg’s leak is accurate, and if indeed Soros is only now getting started in the space or if he has quietly loaded up already.
What is ironic, is that just three months ago when speaking at the World Economic Forum in Davos, Soros said digital coins cannot function as actual currencies because of their volatility, “but he didn’t predict the hard tumble that some observers had forecast at the time.”
“As long as you have dictatorships on the rise you will have a different ending, because the rulers in those countries will turn to Bitcoin to build a nest egg abroad,” Soros, 87, said on Jan. 25.
With Bitcoin tumbling below $7000 recently…