The federal Tax Cuts and Jobs Act has turned out to be a windfall for employees of one financial institution with a presence in southcentral Kentucky. Capitalizing on the new law's reduction in the corporate tax rate from 35 percent to 21 percent, U.S. Bancorp (the parent company of U.S. Bank) has announced that it is giving a $1,000 bonus to each of its nearly 60,000 employees and raising the minimum wage to $15 for all hourly employees.
The Minnesota-based bank holding company is also making a one-time $150 million contribution to the U.S. Bank Foundation and enhancing its employees' health care offerings.
U.S. Bank, ranked seventh in total assets on a list of the nation's largest banks, has 126 branches and more than 3,000 employees in Kentucky.
"We believe that tax reform is positive for the U.S. economy because it provides an immediate opportunity to benefit our employees, our communities and our customers," said Andy Cecere, U.S. Bancorp president and CEO.
Cecere said the $150 million contribution to the U.S. Bank Foundation will expand the company's "ability to invest in and revitalize our communities."
U.S. Bancorp has total assets of $459 billion. With its stock trading at $55.43 per share Monday, it has a market capitalization of more than $91 billion.