Senators Announce Plan to Introduce a Bill Imposing Limits on Corporate Buybacks

On February 3, 2019, Senate Democratic leader Charles Schumer and Senator Bernie Sanders announced their plan to introduce legislation that would prevent companies from buying back their own shares unless they pay workers at least $15 an hour and offer seven days of paid sick leave and other health benefits. Citing statistics that U.S. corporations repurchased more than $1 trillion of their own stock in 2018, the Senators asserted that such buybacks are contributing to economic inequality and diverting resources away from workers.