Covid-19 Stimulus Package Is a Boon for Business

American businesses are poised to benefit from twin victories in the $1.9 trillion Covid-19 relief package, which gives consumers more money to spend but doesn’t force companies to raise workers’ wages.

The legislation, expected to be signed into law by President Biden on Friday, includes $1,400 checks to many Americans and an extension of a $300 weekly unemployment-aid supplement. It doesn’t include a proposed increase in the minimum wage to $15 over four years, meaning retailers, restaurants and others don’t have to worry about higher payrolls for now.

Executives and economists said that unlike the last round of stimulus payments, which came in the midst of lockdowns and heightened economic uncertainty, these checks are more likely to flow into the economy as families face fewer financial constraints, more people are vaccinated and restrictions on travel, dining and other activity are lifted.

“All this money is coming in, and a lot of it is going to get spent,” said Jeff Aronson, co-founder and managing principal of investment firm Centerbridge Partners. “Obviously that has huge implications” that are good for the economy, businesses and consumers, he said.

The bill passed the House on Wednesday, largely along party lines with Democratic support. No Republicans voted for it, with some saying that the economy was poised for a strong recovery without it and that many of its measures are bloated or unnecessary and unrelated to the crisis.