Never in our decades of working on and around Capitol Hill and the White House have we seen as much anti-business sentiment among Republican lawmakers as we do today. And the trend shows no sign of abating.

There was a time when American corporations could count on unequivocal Republican support. To  be a Republican was virtually synonymous with supporting free market principles, capitalism and business. Republican President Calvin Coolidge once said, “the chief business of the American people is business.” Today, however, many Republicans scoff when they’re told that big business’ trade associations are for x or against y. They believe many companies have abandoned their trust in market forces for a “crony capitalism” that protects favored industries. Industries that profit from government programs are viewed with particular suspicion.

Conservatives say that it is not they who have moved away from business, but rather business which has moved away from them. Many Republicans see corporate America as lining up with the Progressive agenda on climate, ESG, mandatory vaccinations, sexual orientation and gender issues, voter ID laws, gun rights, speech restrictions, policing and abortion, leading them to believe that Wall Street is adverse not just to traditional values but also to conservative economic and constitutional principles. Social media companies have gained special opprobrium from Republicans for their content moderation policies, which they believe favor Progressives and suppress conservative content.

In another sign of the shift, conservatives launched a website, “Stop Corporate Tyranny,” intended to push corporate America away from progressive causes. Other conservative groups have run million-dollar ad campaigns against corporations whom they believe have embraced “woke corporatism” or “stakeholder capitalism,” hoping to shame progressive-leaning corporations and deter other corporations from joining their ranks. There are regular meetings of conservative groups dedicated to stopping corporations from choosing sides on issues beyond their immediate economic interests.

Multinational corporations’ involvement in China is another cause for concern among Republicans. The Republican grassroots are driving lawmakers to advocate for decoupling from China, which they increasingly see as a Cold War adversary. Corporations that either fail to speak out against China’s behavior or lobby to preserve access to bilateral trade are sometimes singled out for public shaming.  The Victims of Communism Memorial Foundation has developed a “Corporate Complicity Scorecard” that examines American corporations’ direct or indirect links to certain Chinese government practices.

President Trump played a major part in both reflecting and accelerating Republicans’ move from their historically reflexive pro-business position to a more populist “Blue Collar Conservatism” (per the book by the same name authored by former Senator and presidential candidate Rick Santorum). Among the policy prescriptions that increasing numbers of Republican lawmakers are considering — and which would have been anathema in years past — are expansion of antitrust enforcement beyond Robert Bork’s consumer welfare standard, narrowing of the liability protection afforded by Section 230 of the Communications Decency Act, and the selective removal of statutory protections in the realm of copyright and antitrust. There is also a high likelihood that in 2023 a Republican House will ask executives identified as “woke” or too closely entangled with the People’s Republic of China to testify at hearings to defend their views and practices.

Republicans have not entirely abandoned Big Business, but the influence the business community once had has clearly eroded. The House of Representatives is likely to flip to the Republicans after November’s election. American businesses can get ready for this by:

  1. making sure their trade associations and in-house lobbying teams do not take GOP support for granted,
  2. identifying ways to show support for real-world free markets and level economic playing fields,
  3. making sure policymakers understand their business models, especially when those models are complex or reliant on government programs; and
  4. making an effort to comprehend both sides of contentious cultural issues, understanding that weighing in on one side has the potential to alienate policymakers on the other.
Photo of Bill Wichterman Bill Wichterman

Bill Wichterman is a non-lawyer Senior Advisor in Covington’s Public Policy practice.

Prior to joining Covington, Bill served as Special Assistant to President George W. Bush and as the President’s personal liaison to the conservative movement.  Before serving in the White House, he held…

Bill Wichterman is a non-lawyer Senior Advisor in Covington’s Public Policy practice.

Prior to joining Covington, Bill served as Special Assistant to President George W. Bush and as the President’s personal liaison to the conservative movement.  Before serving in the White House, he held a number of senior staff-level positions on Capitol Hill, including as Policy Advisor to Senate Majority Leader Bill Frist, and Chief of Staff to Congressman Joe Pitts and Congressman Bill Baker.

Bill also has inside experience in congressional and presidential campaigns, including every presidential campaign from 2000 to 2016, usually as a senior advisor. He remains active in national Republican politics.

Bill has more than 35 years of experience in policy-making and is skilled at developing and implementing comprehensive strategies—including the media, opinion-makers, and interest groups—to accomplish the policy goals of his clients. He calls upon his nearly two decades of government service and extensive knowledge of the policy-making and political structures in Washington to counsel Fortune 500 clients in various industries on a wide range of matters related to semiconductor technology, patent policy, trade controls, CFIUS, foreign relations, antitrust, and cybersecurity, among others.

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Photo of Gabe Neville Gabe Neville

Gabe Neville, a non-lawyer, helps Covington’s clients navigate the complexities of federal policymaking.

Gabe helps clients in various sectors understand individual policymakers and the legislative and regulatory tools they can use to advance their agendas. Using an intimate knowledge of the government gained…

Gabe Neville, a non-lawyer, helps Covington’s clients navigate the complexities of federal policymaking.

Gabe helps clients in various sectors understand individual policymakers and the legislative and regulatory tools they can use to advance their agendas. Using an intimate knowledge of the government gained over a nearly twenty-year period as a Congressional staffer, he helps clients proactively engage the legislative and executive branches of government. He also advises clients on responding to congressional inquiries and invitations to testify.

Gabe joined Covington after nearly two decades as a senior congressional staffer, most recently serving as chief of staff for Pennsylvania Congressman Joe Pitts (R, PA-16). He previously worked for the Pennsylvania state legislature, and managed several successful political campaigns. After managing Congressman Pitts’ first campaign for Congress, he served the congressman as press secretary and then as chief of staff. In that role, he advised the congressman on a wide range of issues, with special attention to the range of health, energy, and telecommunications issues that come before the House Energy and Commerce Committee. Other issues Gabe engaged in range from agriculture to human rights.

As chief of staff to a leading conservative, Gabe also developed deep relationships within the conservative movement. He frequently chaired meetings of the Values Action Team (VAT) and attended meetings of the Republican Study Committee (RSC). Gabe continues to work with these and other right-of-center organizations in Congress, including the House Freedom Caucus.

While on Capitol Hill, Gabe worked closely with the members and staff of the Health Subcommittee while Congressman Pitts chaired that panel. The subcommittee oversees a wide range of government health programs and issues, including public health; hospital construction; mental health and research; biomedical programs and health protection in general, including public and private health insurance; food and drugs; and drug abuse. The subcommittee has jurisdiction over federal agencies responsible for public health programs, regulation, and administration. They include the Department of Health and Human Services (HHS), the Food and Drug Administration (FDA), the National Institutes of Health (NIH), the Centers for Disease Control (CDC), the Centers for Medicare and Medicaid Services (CMS), and others.

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