Friday, May 13, 2011

Why "Tax cuts = Jobs" is a lie: Exxon Mobil

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The common refrain from any right-winger is that the only way to create jobs is through tax cuts. Any common observer would agree that corporate tax rates have never been more favorable than during the Bush administration. Of course in addition to those tax cuts, a company would also need to profit to create jobs. What is the most profitable company in the world today? Exxon Mobil. Don't take my word for it. Check out this link.

Top 10 corporate quaterly earnings of all time

1. Exxon Mobil Corp: 2008, 2Q $11.68 billion

2. Exxon Mobil Corp: 2007, 4Q $11.66 billion

3. Exxon Mobil Corp: 2008, 1Q $10.89 billion

4. Exxon Mobil Corp: 2005, 4Q $10.71 billion

5. Exxon Mobil Corp: 2006, 3Q $10.49 billion

6. Exxon Mobil Corp: 2006, 2Q $10.36 billion

7. Exxon Mobil Corp: 2007, 2Q $10.26 billion

8. Exxon Mobil Corp: 2006, 4Q $10.25 billion

9. Exxon Mobil Corp: 2005, 3Q $9.92 billion

10. Exxon Mobil Corp: 2007, 3Q $9.41 billion

Not bad at all. Exxon Mobil must be creating jobs at a record pace. That is what you'd have to believe if you were a right-winger... or brain dead.

I decide to research what Exxon Mobil recorded for regular employees since 1999. I was able to find this information through the SEC filings of Form 10-K for each year. Those can be viewed at this link here.

Form 10-K filings to the FEC for Exxon Mobil

I'll save you browsing through the documents and list the results below. Prepare to be shocked (or not).
1999 106,900
2000 99,600
2001 97,900
2002 92,500
2003 88,300
2004 85,900
2005 83,700
2006 82,100
2007 80,800

There is no information released for 2008 as yet. So despite the best possible corporate tax rates available and despite record profits compared to any company in existence, Exxon Mobil has cut regular jobs EVERY YEAR of the Bush administration. They've cut a total of 26,100 regular jobs during the entire two years Bush was president. almost 25,000 of those before the Democratic party took back control of the house and senate. So anytime some right wingnut says that tax cuts will create jobs, ask them how many jobs Exxon Mobil has created the last 8 years.

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