As a result of tax reform, Citizens Financial Group Inc. is giving out employee bonuses and donating millions to the company’s charity fund.
Citizens announced yesterday there will be a one-time $1,000 cash bonus to 12,500 employees below a certain compensation threshold, covering over 70 percent of the company’s workforce.
The company also announced $10 million to the Citizens Charitable Foundation to further the impact it makes on its communities and to benefit its partners. The foundation focuses on improving financial literacy, helping to provide affordable housing and fight hunger and supporting economic development across the Citizens footprint.
“Corporate tax reform provides us with an opportunity to recognize the role our colleagues have played in delivering better results for customers and shareholders, and to positively impact the communities where we live, work and play,” Bruce Van Saun, chairman and CEO of Citizens Financial Group, said in a statement.
Based in Rhode Island, the $120 billion asset Citizens Bank has 246 offices in Massachusetts, more than any other state. The bank had over $881 million in 2016 and had over $820 million through the third quarter of 2017.
Citizen’s is the second bank to make a major announcement about bonuses as a result of tax reform.
HarborOne Bank recently announced that it would implement a $15 per hour minimum wage and provide a one-time $500 bonus to more than 600 employees of the bank and its mortgage lending subsidiary, Merrimack Mortgage Co.
