AT&T plans to give $1,000 bonuses to 200,000 employees because of tax reform

AT&T (T) plans to give a special $1,000 bonus to more than 200,000 employees as Republicans get closer to signing tax reform into law. 

“If the President signs the bill before Christmas, employees will receive the bonus over the holidays,” the company said in a statement.

Shortly after AT&T made the announcement, President Donald Trump highlighted the news as he celebrated the passing of the tax bill.

“And that’s because of what we did. That’s pretty good,” Trump said. “That’s pretty good.”

CEO Randall Stephenson said that this tax reform “will drive economic growth and create good-paying jobs.” He added that the company plans to increase its capital investment, which will create more jobs.

Speaking at an Economic Club of New York lunch in late November, Stephenson said that if tax reform passed they would spend “at least” $1 billion and create an estimated 7,000 jobs. 

RELATED: Take a look at AT&T CEO Randall Stephenson through the years:

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AT&T CEO Randall Stephenson through the years
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AT&T CEO Randall Stephenson through the years
Chief Executive Officer of AT&T Randall Stephenson testifies before the Senate Judiciary Committee Antitrust Subcommittee during a hearing on the proposed deal between AT&T and Time Warner in Washington, U.S., December 7, 2016. REUTERS/Joshua Roberts
Chief Executive Officer of AT&T Randall Stephenson (L) and Chairman and Chief Executive Officer of Time Warner Jeffrey Bewkes listen to testimony before the Senate Judiciary Committee Antitrust Subcommittee hearing on the proposed deal between AT&T and Time Warner in Washington, U.S., December 7, 2016. REUTERS/Joshua Roberts
Chief Executive Officer of AT&T Randall Stephenson (L) and Chairman and Chief Executive Officer of Time Warner Jeffrey Bewkes testify before the Senate Judiciary Committee Antitrust Subcommittee hearing on the proposed deal between AT&T and Time Warner in Washington, U.S., December 7, 2016. REUTERS/Joshua Roberts
Randall Stephenson, chairman and chief executive officer of AT&T Inc., from left, speaks while Jeffrey 'Jeff' Bewkes, chairman and chief executive officer of Time Warner Inc., listens during a Senate Judiciary Subcommittee hearing in Washington, D.C., U.S., on Wednesday, Dec. 7, 2016. Stephenson told Congress his company's planned $85.4 billion purchase of HBO and CNN owner Time Warner Inc. will help the telecommunications provider challenge cable companies for customers. Photographer: Andrew Harrer/Bloomberg via Getty Images
Chairman and Chief Executive Officer of AT&T Randall Stephenson (L), Chairman and Chief Executive Officer of Time Warner Jeffrey Bewkes (C) and Chairman of AXS TV and owner of the Dallas Mavericks Mark Cuban are sworn in before a Senate Judiciary Committee Antitrust Subcommittee hearing on the proposed deal between AT&T and Time Warner in Washington, U.S., December 7, 2016. REUTERS/Joshua Roberts TPX IMAGES OF THE DAY
Randall Stephenson, chairman and chief executive officer of AT&T Inc., swears into a Senate Judiciary Subcommittee hearing in Washington, D.C., U.S., on Wednesday, Dec. 7, 2016. AT&T Inc. Stephenson told Congress his company's planned $85.4 billion purchase of HBO and CNN owner Time Warner Inc. will help the telecommunications provider challenge cable companies for customers. Photographer: Andrew Harrer/Bloomberg via Getty Images
Chief Executive Officer of AT&T Randall Stephenson (L) speaks as Chairman and Chief Executive Officer of Time Warner Jeffrey Bewkes listens during testimony before the Senate Judiciary Committee Antitrust Subcommittee hearing on the proposed deal between AT&T and Time Warner in Washington, U.S., December 7, 2016. REUTERS/Joshua Roberts
Randall Stephenson, chairman and chief executive officer of AT&T Inc., speaks during a Senate Judiciary Subcommittee hearing in Washington, D.C., U.S., on Wednesday, Dec. 7, 2016. Stephenson told Congress his company's planned $85.4 billion purchase of HBO and CNN owner Time Warner Inc. will help the telecommunications provider challenge cable companies for customers. Photographer: Andrew Harrer/Bloomberg via Getty Images
U.S. President Donald Trump (C), flanked by AT&T CEO Randall Stephenson (L) and Trumbull Unmanned CEO Dyan Gibbens (R), holds an event highlighting emerging technologies, in the East Room at the White House in Washington, U.S., June 22, 2017. REUTERS/Jonathan Ernst
U.S. President Donald Trump (C), flanked by New Enterprise Associates (NEA) Managing General Partner Peter Barris, AT&T CEO Randall Stephenson, Trumbull Unmanned CEO Dyan Gibbens, Honeywell President Darius Adamczyk and White House National Economic Council Director Gary Cohn, holds an event highlighting emerging technologies, in the East Room at the White House in Washington, U.S., June 22, 2017. REUTERS/Jonathan Ernst
U.S. President Donald Trump greets AT&T CEO Randall Stephenson (C) as he arrives for an event highlighting emerging technologies, in the East Room at the White House in Washington, U.S., June 22, 2017. REUTERS/Jonathan Ernst
AT&T CEO Randall Stephenson shows U.S. President Donald Trump a model of how his company plans to install 5G networks in urban settings during in an event highlighting emerging technologies, in the East Room at the White House in Washington, U.S., June 22, 2017. REUTERS/Jonathan Ernst
AT&T CEO Randall Stephenson shows U.S. President Donald Trump a model of how his company plans to install 5G networks in urban settings during in an event highlighting emerging technologies, in the East Room at the White House in Washington, U.S., June 22, 2017. REUTERS/Jonathan Ernst
AT&T's Randall Stephenson (L) speaks as U.S. President Donald Trump meets with technology and telecommunications executives at the White House in Washington, U.S., June 20, 2017. REUTERS/Jonathan Ernst
BEVERLY HILLS, CA - OCTOBER 04: Chairman and CEO of AT&T Randall Stephenson speaks onstage during Vanity Fair New Establishment Summit at Wallis Annenberg Center for the Performing Arts on October 4, 2017 in Beverly Hills, California. (Photo by Matt Winkelmeyer/Getty Images)
BEVERLY HILLS, CA - OCTOBER 04: Chairman and CEO of AT&T Randall Stephenson and Deputy Editor Stephanie Mehta speak onstage during Vanity Fair New Establishment Summit at Wallis Annenberg Center for the Performing Arts on October 4, 2017 in Beverly Hills, California. (Photo by Matt Winkelmeyer/Getty Images)
Randall Stephenson, chairman and chief executive officer of AT&T Inc., speaks during the International Business Machines Corp. (IBM) InterConnect 2017 conference in Las Vegas, Nevada, U.S., on Tuesday, March 21, 2017. IBM InterConnect brings together industry leaders with sessions dedicated to the education and development skills needed to elevate businesses with cloud computing. Photographer: David Becker/Bloomberg via Getty Images
Randall Stephenson, chairman and chief executive officer of AT&T Inc., left, speaks as Ginni Rometty, chief executive officer of International Business Machines Corp. (IBM), smiles during the IBM InterConnect 2017 conference in Las Vegas, Nevada, U.S., on Tuesday, March 21, 2017. IBM InterConnect brings together industry leaders with sessions dedicated to the education and development skills needed to elevate businesses with cloud computing. Photographer: David Becker/Bloomberg via Getty Images
Randall Stephenson, chairman and chief executive officer of AT&T Inc., reacts during a Bloomberg Television interview at the World Economic Forum (WEF) in Davos, Switzerland, on Wednesday, Jan. 18, 2017. World leaders, influential executives, bankers and policy makers attend the 47th annual meeting of the World Economic Forum in Davos from Jan. 17 - 20. Photographer: Simon Dawson/Bloomberg via Getty Images
Randall Stephenson, chairman and chief executive officer of AT&T Inc., right, stands in an elevator at Trump Tower in New York, U.S., on Thursday, Jan. 12, 2017. Donald Trump is slated to meet with AT&T Inc.'s top executives on Thursday to discuss the company's proposed $85.4 billion bid for Time Warner Inc., according to people familiar with the matter. The president-elect has said he opposes the deal. Photographer: John Taggart/Bloomberg via Getty Images
Randall Stephenson, chairman and chief executive officer of AT&T Inc., arrives at Trump Tower in New York, U.S., on Thursday, Jan. 12, 2017. Donald Trump is slated to meet with AT&T Inc.'s top executives on Thursday to discuss the company's proposed $85.4 billion bid for Time Warner Inc., according to people familiar with the matter. The president-elect has said he opposes the deal. Photographer: John Taggart/Bloomberg via Getty Images
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“From my standpoint, the driver of this is the business tax reform… if we get investment going, we get productivity going, we get wage gain going, we invest another billion dollars,” Stephenson said at the time. “Every billion dollars AT&T invests is 7,000 hard hat jobs. These are not entry-level jobs. These are 7,000 jobs of people putting fiber in ground, hard hat jobs that make $70,000 to $80,000 per year.”

He described passing tax reform as a “major” item for the U.S. economy.

“I cannot overstate how important I think a tax bill that makes the US corporate taxes a competitive regime around the world — that’s big. That’s significant,” he said.

He added that it would be a “capital-freeing” event for corporate America.

“You are freed up to invest more capital,” he said. “We have so many initiatives and projects that we would like to invest more in.”

AT&T’s announcement comes amid a suit from the Justice Department to block AT&T/DirectTV’s planned $108 billion acquisition of entertainment giant Time Warner (TWX) claiming the deal would “substantially lessen competition, resulting in higher prices and less innovation for millions of Americans.”

Some have speculated that the government’s move stems from Trump’s dislike of CNN. Trump, who has has been public about his disdain for CNN, which is owned by Time Warner, said during the 2016 campaign that this is a deal that his administration would not approve because it’s “too much concentration of power in the hands of too few.” 

Julia La Roche is a finance reporter at Yahoo Finance. Follow her on Twitter.

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