Five Job-Destroying CEOs Trying to “Fix” the Debt by Slashing Corporate Taxes and Cutting Social Security Benefits
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5. Terry Lundgren, Macy’s
U.S. jobs destroyed since 2007: 7,000
Average effective federal corporate income tax rate, 2009-2011: 20.7%
Though Macy’s sales have rebounded from their recessionary slump, the department store owner’s workforce is still down by 7,000 compared to 2007. Meanwhile, Macy’s CEO Terry Lundgren has seen his pay more than double over the period, from $8.7 million in 2007 to $17.6 million last year. Macy’s has also showered Lundgren with generous retirement benefits, currently worth more than $16.7 million. Over the last three years, Macy’s has taken advantage of various tax credits and deductions to lower its federal income tax rate to 20.7 percent. Lundgren also attended the November 28 meeting with President Obama, where Fix the Debt CEOs pushed cuts to Social Security and Medicare.
Another Way to Fix the Debt: End Corporate Entitlements, Demand Big Business Pays Its Fair Share
The five companies profiled here have contributed enormously to the national debt by eliminating livelihoods — together they’ve destroyed 108,000 jobs since 2007 — and through tax-dodging. If they had simply been required to pay the full statutory corporate tax rate of 35 percent, they would’ve paid $48 billion in additional federal income taxes over the last three years. And now these CEOs expect us to fall for their argument that even more tax breaks will be good for American workers.
There is an entitlement problem at the center of the debt debate — it is the entitlement of CEOs with track records of job destruction and tax dodging lecturing the rest of us on how to fix the debt.