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Biden and Other G7 Leaders To Endorse a Global Minimum Corporate Tax of 15%

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The leaders are hoping to prevent companies from moving their headquarters to countries with lower tax rates, but their plan will likely face substantial hurdles both internationally and from the U.S. Congress.


Global Tax Minimum

President Joe Biden and other G7 leaders announced on Friday that they are endorsing a global minimum corporate tax rate of 15%. 

Their plan seeks to effectively end company strategies of moving headquarters to countries with cheaper tax rates, even if most of their business is located elsewhere. Coupled with the tax minimum, the leaders have also announced a tax plan that links companies to where they do business rather than where they are headquartered.

Should it become widely adopted, the plan could prove to be a significant threat to the so-called tax-cutting “arms race,” where countries push for lower and lower corporate tax rates to attract businesses; however, the plan will undoubtedly face challenges of its own. For example, Ireland — a country with a 12.5% corporate tax rate — has said such a policy would be detrimental to its economic success. 

The Wall Street Journal has also reported that China is unlikely to support the plan, though it noted that such support isn’t completely off the table. While China already has a higher corporate tax rate of 25%, its special administrative region of Macau has a noticeably lower rate of 12%.

Even England itself, which is backing the global tax rate, is looking to exclude London’s financial services companies from the overhaul. 

As the White House noted in a press release, “This U.S. priority is a critical step towards ending the decades-long race to the bottom that pushes nations to compete over who can offer the lowest tax rate to large corporations at the expense of protecting workers, investing in infrastructure, and growing the middle class.”

The G7, or Group of Seven, is an informal alliance between many of the world’s top economies, composed of the United States, Japan, Germany, France, the United Kingdom, Italy, and Canada. Leaders for each met in person Friday to discuss not only the global tax rate but also issues such as coronavirus aid, climate change, and cybersecurity.

Following this weekend’s summit, the G7 hopes to push its global tax minimum before the G20, which is composed of 19 countries and the European Union. 

Congress Would Need to Sign Off

While only an endorsement, any official implementation of a global tax rate in the U.S. would require congressional approval.

That could prove difficult considering people like Sen. Pat Toomey (R-Pa.) have called the plan “crazy.” 

“Certainly the whole fact that they had to try to persuade all these other countries to make sure they raise their taxes is a confession of the damage we’re doing to our own country,” Toomey added. “They certainly wouldn’t have the votes to approve a treaty of this kind that they’re contemplating.”

Biden’s plan to raise domestic corporate tax rates from 21% to 28% has also faced major opposition from Republican lawmakers. This week, the president indicated that he would be willing to decouple the tax hike from his infrastructure plan, but talks with Republicans have since fallen through.

See what others are saying: (CNBC) (Fox Business) (The Guardian)

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Right-Wingers Are Turning Against Chick-fil-A

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Some have accused the company of joining a woke “cult” after learning of its diversity, equity, and inclusion initiative.


Chick-fil-A Goes “Woke”

Conservatives are condemning Chick-fil-A after learning of the fast food chain’s commitments to diversity, equity, and inclusion.

Some have accused the brand of bowing “to the Woke mob.” Others have debated boycotting the chain.

It’s unclear when exactly Chick-fil-A began its DEI campaign, but according to LinkedIn, the current Vice President of DEI, Erick McReynolds, has been working in the department since 2020 before taking on his current role in 2021. It is also unclear why right-wingers on Twitter have just now discovered Chick-fil-A’s DEI website, but many spent a chunk of Tuesday morning lambasting the company for working to promote diversity. 

Chick-fil-A’s DEI page is titled “Committed to being Better at Together.” 

“Modeling care for others starts in the restaurant, and we are committed to ensuring mutual respect, understanding and dignity everywhere we do business,” McReynolds said in a statement on the website. 

Chick-fil-A is no stranger to boycott campaigns, though those efforts usually come from the opposite side of the political aisle. The company, known for its strong Christian ties, has been criticized for donating to groups with anti-LGBTQ missions. As a result, many on the left have refused to eat there, while it has been a haven for those on the right. 

Conservatives, however, have become increasingly outraged by DEI initiatives. Chick-fil-A’s website, which only vaguely outlines its DEI efforts, still seems to be enough for the right to change its tune about the brand. 

“Even our beloved Chick-Fil-A has fallen to the DEI cult,” one person tweeted. “the same agenda that is turning our beloved military woke.”

“It’s becoming an epidemic that even Christian companies are being strong-armed to participate in,” the tweet continued. 

Old Clip of Chairman Resurfaces 

Some have also started resurfacing an old clip of Chick-fil-A Chairman Dan Cathy speaking on a panel about racism during the summer of 2020. During the discussion, he talked about repentance and said that if you ever see someone who needs their shoes shined, you should do it. He then walked over to a Black person on the panel, got on his knees, and shined their shoes.

“There’s a time in which we need to have, you know, some personal action here, and maybe we need to give them a hug, too,” Cathy said while shining the shoes.

“I bought about 1,500 of these and I gave them to all our Chick-fil-A operators and staff a number of years ago,” Cathy continued, in reference to his shoe-shining brush. “So, any expressions of a contrite heart, of a sense of humility, a sense of shame, a sense of embarrassment begat with an apologetic heart — I think that’s what our world needs to hear today.”

The clip caused a stir when the events first unfolded, and has prompted a new wave of anger now. Some are accusing Cathy of being “a woke, anti-American, anti-white BLM boot licker” who thinks all white people need to shamefully shine the shoes of Black people to apologize for racism, though that is not what he said. 

These boycott calls are just the latest from conservatives who have been on a rampage against any company supporting any social cause they deem as “woke.” Earlier this year, the political right took a stand against Bud Light after it included a trans influencer in a sponsored Instagram post. Just last week, Target and Kohls faced boycotts over items in their Pride Month collections. 

See what others are saying: (The Hill) (Rolling Stone) (AL)

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Bioré Apologizes For Referencing School Shooting in Mental Health Ad Campaign 

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 “Our tonality was completely inappropriate. We are so sorry,” the skincare brand said.


Video Faces Backlash

The skincare brand Bioré apologized this week for partnering with a school shooting survivor as part of its Mental Health Awareness Month campaign. 

“We are committed to continuing our mental health mission, but we promise to do it in a better way,” the company said in an Instagram post on Sunday. 

Last week, influencer and recent Michigan State University graduate Cecilee Max-Brown posted a video to TikTok sponsored by Bioré where she discussed the numerous challenges she had faced throughout the year. Among them was a school shooting on her college’s campus, which killed three people in February. 

“Life has thrown countless obstacles at me this year, from the school shooting to having no idea what life is going to look like after college,” Max-Brown says in the video. “In honor of mental health awareness month, I’m partnering with Bioré skin care to strip away the stigma of anxiety. 

“We want you to get it all out, not only what’s in your pores, but most importantly, what’s on your mind, too,” she continued. 

In the 50-second video, Max-Brown went on to discuss more details about her mental health struggles, as well as how “seeing the effects of gun violence firsthand” has impacted her and led to “countless anxiety attacks.”

“I will never forget the feeling of terror that I had walking around campus for weeks in a place I considered home,” she said before closing the video by encouraging her followers to participate in Bioré’s mental health campaign.

Bioré Apologizes

The video ignited swift outrage from people who accused Bioré of using a school shooting to sell products. In its apology, the brand admitted the video was misguided. 

In the past, Bioré said it has worked with influencers to discuss and reduce mental health stigmas, as the subject is a top priority for its consumers. 

“This time, however, we did it the wrong way,” the company said. “We lacked sensitivity around an incredibly serious tragedy, and our tonality was completely inappropriate. We are so sorry.”

Max-Brown also apologized on TikTok, writing that the video was intended to spread awareness, not suggest a product fixed the struggles she has experienced as a result of the shooting.

“I did not mean to desensitize the traumatic event that took place as I know the effects that it has had on me and the Spartan community,” she wrote. 

Max-Brown has since removed the initial sponsored video from her account.

See what others are saying: (The New York Times) (NBC News) (The Independent)

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Canada’s WestJet Pilots Give 72-Hour Notice For Strike Amid Wave of American Strike Authorizations 

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“We kept the airline alive during the pandemic. The company is poised to have wild profits going forward and they’re giving us the stiff arm at the table,” said a United Airlines union member to The Washington Post. 


Airline Staffers Ready to Strike

Pilots across North America have been inching towards industry-shaking strikes for the last several weeks. 

Most recently, Canada’s WestJet Airline pilots issued their 72-hour strike notice on Monday. This means a strike could start as early as Friday, potentially leading to major disruptions for travelers over the Victoria Day holiday weekend. 

WestJet pilots are looking for better scheduling and higher pay. Specifically, they want to be paid at a similar rate to their American counterparts.

However, staffers for many American airlines are also ready to fight for higher wages, among other things. Pilots with both Southwest and American Airlines have approved strikes in recent weeks. United Airlines, although they haven’t authorized a strike, spent Friday picketing major airports across the country. Pilots from all three carriers are pushing for higher salaries, better scheduling, and better rules that establish what is expected of each employee on the job. 

All of these pilots are pointing to Delta as an example, which recently ratified a $7 billion contract that will raise the wages of their 15,000 pilots by 34% over 4 years. 

Airline Responses

However, despite the authorizations, an actual walkout is unlikely. In order to legally strike in the U.S., airline workers’ unions have to go through federal mediation with the airlines themselves and that mediator has to decide that negotiation is unproductive and release both sides. Even then, a strike can be blocked by Congress or the president. 

However, these strike authorizations are meant to put further pressure on the airlines to come to the table with their pilots and find some solution. 

“We kept the airline alive during the pandemic. The company is poised to have wild profits going forward and they’re giving us the stiff arm at the table,”  Garth Thompson, chair of the United Master Executive Council of the Air Line Pilots Association, said to the Washington Post.

The response from airlines thus far has been mixed. Southwest said in a statement that the strike authorization vote has absolutely no effect on their operations. Casey Murray, the president of the pilot’s union, said the union will petition mediators to strike because they have been in negotiations with Southwest for more than three years with no solution on the horizon.

American Airlines and its pilots, on the other hand, are much closer to reaching a solution. CEO Robert Isom even said the airline is prepared to match the pay rates of Delta pilots. 

“We remain confident that an agreement for our pilots is within reach and can be finalized quickly,” the airline said in a statement. “The finish line is in sight.”

See what others are saying: (The Washington Post) (AP News) (Reuters

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