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.
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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…

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 clients navigate the complexities of federal policymaking and proactively engage the legislative and executive branches of government. Using an intimate knowledge of the government gained over thirty years in politics, Gabe helps clients understand policymakers, conservative politics, and…

Gabe Neville, a non-lawyer, helps clients navigate the complexities of federal policymaking and proactively engage the legislative and executive branches of government. Using an intimate knowledge of the government gained over thirty years in politics, Gabe helps clients understand policymakers, conservative politics, and the legislative and regulatory tools available to advance their agendas. He also advises on responding to congressional inquiries and invitations to testify.

Gabe supports clients in sectors as varied as mining, franchising, technology, and life sciences and has substantial experience advising on appropriations, critical minerals, energy, food regulation, health, human rights, intellectual property, labor, social media content moderation, telecommunications, tax, and international trade.

He joined Covington after nearly two decades as a senior congressional staffer and chief of staff to a senior Republican member of the House Energy & Commerce Committee. He previously worked as a Pennsylvania state legislative staffer, Republican campaign professional, and journalist.

Gabe has deep relationships in Republican politics and the conservative movement. As a congressional staffer he frequently chaired meetings of the Values Action Team (VAT) and attended weekly meetings of the Republican Study Committee (RSC). Gabe continues to work with these and other center-right organizations that constitute the base of the Republican Party and frequently drive its priorities.

Gabe was chief of staff to the chairman of the Energy & Commerce Health Subcommittee, which 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.

At Covington, Gabe has prepared dozens of corporate executives, nonprofit leaders, academics, and nominees for congressional committee hearings. These range from routine policy hearings to high-stakes, high-profile congressional investigations.

He is the author of The Last Men Standing: The 8th Virginia Regiment in the American Revolution and many deeply researched articles on the Revolutionary War and the Founding Era.

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