In the News

By Sarah Self-Walbrick / A-J Media Happy State Bank announced last month wage increases and bonuses impacting over 600 employees as a direct result of the new tax reform legislation. The change was celebrated by U.S. Rep. Jodey Arrington and the Lubbock Chamber of Commerce at a news conference Friday at the bank’s 98th Street and Quaker Avenue location. J. Pat Hickman, chairman and CEO of Happy State Bank, said the decision was unanimously approved by 15 board members after calculating that the federal tax overhaul passed by Congress and signed by the President late last year would save the bank $5 million a year. “We didn’t hesitate for a second, and decided to pass a third of that on to our employees,” Hickman said. The bank raised its starting wage for many positions from around $9 an hour to $13.50, increasing to $14 after a probationary period. Employees not already making $14 an hour were pumped up to that pay grade. Some salaried employees were also eligible for raises and one-time bonuses. Hickman said for 40 employees, the raise amounted to greater than a 50 percent annual pay increase. “Those are real dollars that show up in people’s pocketbooks,” Hickman said. Haley Cochran and Heather Bledsoe are two customer service representatives at Happy State Bank. The employees said the wage increase has positively impacted them. Cochran, who has worked for the bank since 2012, said she is blessed to work at a business that makes positive impacts on employees. “I’m at the point in my life where I’m starting to plan for my future a little bit more, so this extra money is a great way to put money back,” Cochran said. Bledsoe, a third-year employee at the bank, said the extra money has greatly helped her growing family. “I’m a new mom, so my life has drastically changed,” Bledsoe said. “Any extra income that’s in my pocket helps me take care of my little one, as well as invest in my future so my husband and I can retire eventually.” Chairman of the Lubbock Chamber of Commerce Cory Powell said after many national companies announcing similar plans, it is encouraging to see a local business following suit. “We’ve heard many instances of large corporations and companies passing on the benefits of tax reform to their employees,” Powell said. “It’s a great thing for us to hear this on a local level as well.” Data recently collected through a Lubbock chamber member survey suggests more announcements like Happy State Bank’s may come soon. Powell said 71 percent of chamber members believe tax reform will lower their company taxes. With the extra money, 28 percent reportedly plan to give employees higher salaries or bonuses, another 28 percent plan to hire more workers and 50 percent plan to purchase new equipment or property. The survey also found 84 percent of local business leaders believe tax reform will stimulate local growth, Powell said. Arrington agreed with those surveyed, saying a wave of positive change will soon hit the national economy. “We’re just seeing the beginnings of an economy that’s going to take off,” he said. http://www.lubbockonline.com/news/20180223/happy-state-bank-increases-employees-wages-gives-bonuses-in-response-to-tax-reform