WASHINGTON D.C. — The Labor Department’s latest Consumer Price Index (CPI) report makes clear that corporate greed remains a primary driver of inflation. As a recent analysis from government watchdog Accountable.US found, top corporations across several industries that have raised prices on everyday necessities like food, shelter, and utilities have raked in “record-high profit margins” and near-record operating margins while rewarding wealthy investors billions of dollars. Some of the largest companies within the CPI’s major categories––Food, Energy, Healthcare, and Shelter––have raised prices while making over $6 billion in increased profits in the first half of FY 2022 compared to FY 2021. Meanwhile, these same companies have increased spending on shareholder handouts by $15.4 billion year-over-year for a total of $62.6 billion. The latest CPI report comes as the Inflation Reduction Act has yet to fully take effect including efforts to rein in corporate profiteering.
Any corporation that keeps marking up prices on families despite reporting massive profits and generous giveaways to wealthy investors has a choice – yet so many are choosing greed over helping to stabilize costs. Across industries, we’re seeing unreasonable price hikes that clearly go well beyond any supposed added cost of doing business. Companies desperately trying to maximize profits on the backs of consumers before the Inflation Reduction Act takes full effect are doing the economy no favors. It’s a reminder why profiteering corporations need to finally pay their fair share in taxes as they refuse to lighten the cost burden on everyday families. Policymakers should build on their work to keep highly profitable corporations from dodging their tax responsibility, which will in turn reduce the deficit and inflation.”