Corporations that pandered to Donald Trump after his reelection could soon pay the price for it, with one bipartisan consulting firm warning clients of a "tsunami of congressional oversight" in the likely event the Republicans lose the midterms, and it will be "much worse than they expect."
The memo, reported on by Axios, was written by Matthew Miller and Tucker Eskew, who the outlet credited as "veterans of high-profile campaigns." They warned that a major shift is almost certainly headed for Washington D.C., and that companies need to start preparing themselves for Democratic leadership in the House.
"A tsunami of Congressional oversight is headed straight for corporate America," Miller and Eskew wrote. "Barring a dramaticand improbable reversal of both current and historic political trends, Democrats will retake control of the House of Representatives (and possibly the Senate) in November’s elections, ushering in two years of divided government. With prospects for passing major legislation during that period hovering between slim and none, oversight will become the leading substantive and political weaponfor newly ascendant Democrats."
Since Trump's return to the White House, the pillars of corporate America — including tech titans like Amazon, Apple, Meta and Google — have faced widespread accusations of currying favor with his administration. Companies big and small followed Trump's command at the start of his second term to do away with "diversity, equity and inclusion" programs. The aforementioned major companies also donated significant amounts of money to Trump's inauguration and his controversial White House ballroom.
Miller and Eskew further suggested that, in many ways, the incoming Democratic leadership could be similar to past periods when the party held majorities in Congress. However, they also warned that shifting priorities and key changes within the party mean that companies are more likely than ever to face scrutiny.
"The first change stems from a widespread belief among Democrats that major corporations have drawn too close to the administration for comfort," the memo continued. "For example, they have attacked crypto companies for allegedly funneling money to the president and his family, called antitrust review 'pay-to-play corruption,' and questioned the relationship between the White House and oil companies. For Democrats on the Hill, aggressive oversight of private companies is no longer just an end to itself, but a means for exposing alleged abuses by the Trump administration."
Miller and Eskew also predicted that Democrats are preparing for the White House to stonewall any and all attempts at oversight investigations. This will, in turn, cause them to turn their attention to corporations, using oversight of them as "a means for exposing alleged abuses by the Trump administration."
"It's going to be so much worse than they expect," Miller said in a statement to Axios.