Opinion: Corporations will use their tax savings to hire robots, not people

To the editor: The Times’ article on whether cutting corporate taxes will boost the wages of American workers fails to address critical circumstances that are likely to lead to a devastating economic crash. (“Republicans say corporate tax cuts will boost workers’ wages, but CEOs might have other plans,” Nov. 25)

People greatly underestimate the size of the oncoming wave in automation. We are being tickled a little now with things like hamburger kiosks and self-driving cars, but all of this is just the beginning. If corporations spend to increase production, they most likely will spend it to automate at the expense of workers.

This will mean fewer people will be able to afford their products, leading to lower corporate profits and stock sales by wealthy investors. The likely result will be a severe economic crash much like, if not worse than, what our country experienced in 1929, 1987 and 2008.

If the GOP really wanted to ensure that corporate tax cuts go to working Americans, then it could simply condition a corporation’s receipt of such benefits upon proof that it has increased wages for workers. Better yet, it could just give the lion’s share of tax cuts to the workers, who will certainly spend it to grow the economy.

Gary Bock, Los Angeles

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To the editor: The forthcoming Republican tax reform is truly mind boggling. One needs only third grade logic to counter White House economist Kevin Hassett’s assertion that cutting the corporate tax rate in the U.S. to 20% and eliminating taxes on foreign earned profits would “keep companies from shifting profits overseas” and “workers here in the U.S. will have increased demand for their jobs.”

So essentially Republicans are telling us that if given a choice between paying no taxes on profits made abroad and paying 20% on their domestic profits, corporations will immediately jump at taking a 20% chunk out so they can kindly throw more money to the American workforce.

By that rationale, if I offer a child a candy bar and ask her if she wants all of the bar or for me to take a big bite out of it first, which will she go for?

Constance Mallinson, Woodland Hills

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