Jobs Creation Act, Its Working??
Since 2000 alone, Wall Street's tax bills have dropped by a third. As a percentage of the gross domestic product, corporate taxes are now at their lowest level in 20 years—and their second-lowest level since the Great Depression. Nearly 95 percent of corporations pay less than 5 percent of their income in taxes. This despite a tax rate that officially stands at 35 percent.
The merger boom may get some fuel from the American Jobs Creation Act, which gives US companies a one-time repatriation of dividends from overseas if they will be used to create domestic jobs, go into research and development or capital expansion, or be used in acquisitions. Under the "Jobs Creation Act" repatriated funds are taxed at a 5.25% rate.
Since the "act" went into effect, the corporate boys are having and M&A frenzy........PNG / Gillette, 5000 layoffs, Oracle / Peoplesoft, 5000 layoffs, GM auto division being spun off, 5000 layoffs, ATT Wireless / Cingular 6000 layoffs, Sprint and Nextel TBD, Metlife / Citigroup / Travellers 1000 - 3000 layoffs
SBC/ATT Merger update: SBC will eliminate 13,000 jobs after its planned purchase of AT&T. This is on top of another 12,000 jobs which will be eliminate prior to the merger completion. The new layoffs follow over 20,000 jobs eliminated at AT&T over the last two years.
U.S. telecomm companies have fired 300,000 workers since March of 2001, a 22% reduction in the telecomm labor force. People talk about good times, but they ignore the fact the manufacturing sector is in the midst of a depression. Over 3 million jobs have been lost in this sector since 2000.
The merger boom may get some fuel from the American Jobs Creation Act, which gives US companies a one-time repatriation of dividends from overseas if they will be used to create domestic jobs, go into research and development or capital expansion, or be used in acquisitions. Under the "Jobs Creation Act" repatriated funds are taxed at a 5.25% rate.
Since the "act" went into effect, the corporate boys are having and M&A frenzy........PNG / Gillette, 5000 layoffs, Oracle / Peoplesoft, 5000 layoffs, GM auto division being spun off, 5000 layoffs, ATT Wireless / Cingular 6000 layoffs, Sprint and Nextel TBD, Metlife / Citigroup / Travellers 1000 - 3000 layoffs
SBC/ATT Merger update: SBC will eliminate 13,000 jobs after its planned purchase of AT&T. This is on top of another 12,000 jobs which will be eliminate prior to the merger completion. The new layoffs follow over 20,000 jobs eliminated at AT&T over the last two years.
U.S. telecomm companies have fired 300,000 workers since March of 2001, a 22% reduction in the telecomm labor force. People talk about good times, but they ignore the fact the manufacturing sector is in the midst of a depression. Over 3 million jobs have been lost in this sector since 2000.
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