Private Equity and Hedge Fund Industries Pour Over $347 Million Into Midterms

Federal committees reported receiving nearly $347.7 million during the 2022 midterm election cycle from private equity and hedge fund employees and PACs, an OpenSecrets analysis of Federal Election Commission disclosures available on Aug. 15 found. Sen. Kyrsten Sinema (D-Ariz.) made headlines in August for her stalwart opposition to a provision in the Inflation Reduction Act — signed into law by President Joe Biden on Aug. 16 — that would have closed the carried interest tax loophole. The existing loophole allows private equity executives and some hedge fund managers to claim large portions of their income as investment gains at a…

Sinema Met With Her Many Private Equity Friends Ahead of IRA Vote

Last week, Democrats in the Senate and House managed to pass the Inflation Reduction Act — a significant tax, climate, and health care package — but only after appeasing one senator from Arizona by allowing an ongoing tax loophole for investment executives. For years, lawmakers have attempted to close the carried interest loophole, an income tax arrangement that favors investment managers at private equity, hedge fund, and venture capital firms by allowing them to pay lower taxes — at a rate based on capital gains as opposed to their actual income from labor. Once Senate Majority Leader Chuck Schumer (D-N.Y.)…

Report Warns About Private Equity’s Increasing Grip on Home Health Industries

The private equity industry’s business model of buying up companies and extracting as much profit as possible over a short period of time has made it a notorious force in the United States, where it has gained a solid foothold in a range of sectors — often with disastrous consequences. In recent years, according to a new report, private equity firms have increasingly sunk their teeth into the fast-growing home healthcare and hospice industries, alarming advocates and researchers who say private equity’s pursuit of maximal returns over all else is hurting vulnerable patients and workers. “Due to increased demand and…

Warren Demands Private Equity-Backed Firms Answer for Role in Rising Rent Prices

Sen. Elizabeth Warren (D-Massachusetts) is demanding answers from housing corporations with backing from private equity, who she says are involved in inflating housing prices for both renters and buyers. Warren sent letters to CEOs of Progress Residential, American Homes 4 Rent and Invitation Homes to condemn rent hikes and rising house prices that she says are a result of corporations’ growing influence on the housing market. Her aim is to determine whether or not these businesses have been taking advantage of current housing shortages. “Our country faces an unprecedented affordable housing supply shortage,” she wrote. “Decades of underinvestment, coupled with…

Warrior Met Coal Miners Are Spending Christmas 2021 on Strike

This article was first published by Labor Notes. This Christmas, as millions of families settle in to adorn fir trees, the children of striking coal miners in Alabama have asked mainly for practical gifts. Shoes and clothes top their lists, followed by Barbies and Rainbow High dolls, Legos, Nerf guns, and makeup kits. Roughly 300 children will receive these gifts through donations collected by the Mine Workers (UMWA) auxiliary. “We feel very confident that Christmas is going to be covered for all of our families,” said Haeden Wright, a high school teacher and president of the auxiliary for Locals 2368…

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