Donnelly and Claman Play Key Roles at OECD and BIAC Investment Meetings

Shaun Donnelly speaks at OECD, joined by (on the left) BIAC investment Committee Chair Winand Quaedvlieg of VNO (Netherlands)

Citi Director of International Government Affairs Kimberley Claman joined USCIB Vice President Shaun Donnelly at the recent March 12-13 meetings of the Organization for Economic Cooperation and Development (OECD) and Business at OECD (BIAC) Investment Committee meetings in Paris.

Claman, a last-minute addition to the wrap-up panel for the OECD’s day-long annual Investment Treaties conference, offered business perspectives on the day’s debates on investment treaties and investment chapters as tools to protect and promote much-needed Foreign Direct Investment (FDI) flows around the world.

After BIAC’s in-house Investment Committee discussions and strategizing on March 13, Donnelly and Claman joined the BIAC delegation, as well as invited labor and civil society “stakeholders,” to participate in the OECD Investment Committee’s discussion of “National Security” provisions and exceptions in Investment agreements.

“This was a very timely topic in light of the Trump Administration’s invocation of ‘national security’ justification for steel and aluminum tariffs,” said Donnelly. “Business took a strong position that national security provisions and especially their ‘self-judging’ nature could be serious threats to the quality of investment treaty disciplines.”

Donnelly joined the Dutch BIAC Investment Committee Chair at the table for formal stakeholder consultations with the OECD Committee, where they outlined BIAC policy priorities and positions, presenting BIAC’s “Proactive Investment Agenda for 2018.”  The day concluded with Claman, Donnelly and the rest of the BIAC Investment leadership hosting an informal working dinner for the OECD’s Investment Committee leadership, a useful off-the-record forum for explanations, probing questions, and candid debate.

“It was a long and challenging couple of days but with challenges growing to investment agreements and especially Investor-State Dispute Settlement (ISDS), it’s critical that USCIB be there standing up for strong investment protections, including effective enforcement/dispute settlement provisions,” noted Donnelly. “We offer special thanks to Kimberley for bringing her unique company and former USG negotiator expertise to the discussions.”

“Illicit Trade” Work Heating up at OECD

The Organization for Economic Cooperation and Development (OECD) Governance Committee’s Task Force on Illicit Trade is raising its profile and tempo of work and increasing its effort to include the private sector in that workstream.

USCIB Vice President Shaun Donnelly led Business at OECD’s (BIAC) participation in the first of two days of Task Force meetings in Paris on March 15-16 with strong participation from USCIB member companies and other private sector representatives.  Deputy Assistant Secretary at the U.S. Department of Homeland Security Christa Brzozowski is one of the two new co-chairs for this OECD Task Force, driving this important OECD work and providing strong senior-level U.S. government leadership.

“Illicit trade is a broad and elastic concept, including but not limited to pirated, counterfeit, “gray market”, and smuggled goods but also illicit movement of arms, drugs, antiquities and endangered species as well as and human trafficking,” commented Donnelly.  “As the OECD steps up its policy and coordination efforts to combat illicit trade, strong, broad and proactive private sector involvement will be essential.  BIAC and its national committees, including USCIB, will play the key role in making this process work.”

BIAC Hosts Gender and Skills Seminar, Launches New Report

Business at OECD (BIAC) hosted a breakfast seminar on gender equality and skills as part of the OECD’s March on Gender Initiative on March 9 in Paris. The seminar was chaired by Ronnie Goldberg, USCIB senior counsel, and marked the official launch of the BIAC report “Preparing All our Minds for Work: Girls, women and learning over a lifetime” (2018), produced by BIAC and USCIB with support from Deloitte and Dell. This is the third in a series of BIAC reports that highlight business efforts towards the global advancement of women and girls in the economy.

The focus of the seminar was on corporate efforts to address unconscious bias impacting gender equality at work and featured a summary of the 2018 BIAC report and a presentation by Dell on their implementation of the MARC (Men Advocating Real Change) initiative. MARC aims to identify where unconscious bias exists and aims to promote a more collaborative and inclusive leadership style. As the first IT company to participate in MARC, Dell discussed their experience and impacts.

“Empowering women in the workplace has positive consequences for the lives and careers of both women and men —as well as for the companies that employ them,” said Goldberg. “There has been progress, but it is painfully slow. Initiatives such as MARC are making an important contribution to the cause of gender equality, which more and more companies are recognizing as a key bottom line issue.”

Gabriella Rigg Herzog who leads USCIB work on corporate responsibility and labor affairs added, “Empowering women to participate meaningfully in the global economy is good for families, communities, business and society. We applaud BIAC and the OECD for their leadership in bringing attention to practical tools and best practice examples to reduce gender discrimination and support women in the world of work.”

 

Colombians in Washington Lobby on OECD Accession

Last week, USCIB was actively involved in various meetings with the Colombian government, business community and civil society on the issue of Colombia’s accession process to the Organization for Economic Cooperation and Development (OECD). USCIB Director for Investment, Trade and Financial Services Eva Hampl, who coordinates U.S. business input on OECD accession issues attended a number of these meetings, along with USCIB Senior Vice President for Policy and Government Affairs Rob Mulligan.

“With only two outstanding OECD Committees left to approve the accession, Colombia has ramped up lobbying efforts to the U.S. business community and government,” said Hampl. The outstanding committees are the Committee for Employment, Labor and Social Affairs (ELSA) and the Trade Committee. These committees are scheduled to deliberate in March and April, respectively.

In anticipation of the upcoming meeting of the Trade Committee, Colombia’s Minister of Trade Maria Lorena Gutierrez met with USCIB to discuss outstanding issues on pharmaceuticals, distilled spirits and truck scrapping, as outlined in the Business at OECD (BIAC) Pre-Accession Recommendations. Also part of the delegation was Colombia’s Minister of Finance and Public Credit Mauricio Cardenas Santamaria, who advocated strongly for Colombia to accede prior to the end of Colombia’s President Juan Manuel Santos term this summer.

USCIB also had a meeting with ANDI, the National Business Association of Colombia, to discuss outstanding issues for business. Bruce Mac Master, president of ANDI led a delegation of Colombian CEOs in this meeting with the U.S. business community, in an effort to make progress on issues like trucking and pharmaceuticals.

Hampl also addressed these critical issues to U.S. business with Colombian civil society in an interview on Colombian radio last week. The main concerns raised during that conversation were on the timing of the accession process given the expiring term of President Santos, and substantive issues on pharmaceuticals, including patents.

“The U.S. business community remains firm on the outstanding issues,” said Hampl. “The OECD is a group of like-minded countries when it comes to believing in open trade and investment and innovation. It is important for any new members to share those views. The Colombian market is important to U.S. industry and we value the U.S. relationship with Colombia, so we look forward to Colombia making the necessary regulatory changes to allow the accession process move forward.”

Private Sector Meets with Governments on Digital Security Risk

Addressing digital security across business fields, Business at OECD members participated in an OECD Workshop on Digital Security and Resilience in Critical Infrastructures and Essential Services earlier this month in Paris to contribute to the OECD‘s Going Digital Project.

The OECD Going Digital Project was officially launched in Berlin in 2017 and aims to examine how the digital transformation affects policy-making across a large spectrum of policy areas, including competition, consumer policy, digital economy policy (privacy, security, infrastructure, economic impact), science, technology and innovation, industry and entrepreneurship, insurance and private pensions, financial markets, fiscal affairs and taxation and much more. The project will draw on national experiences and policy experimentation occurring across the OECD’s 35 member countries, its accession countries, key partners and many other economies involved in the OECD’s work.

At the meeting earlier this month, which featured USCIB member Chris Boyer (AT&T), Business at OECD members emphasized the importance of a multi-stakeholder approach to cooperation and information exchange between actors – business, government, civil society and the technical community – to ensure effective and appropriate security and privacy protections.

“Importantly, workshop participants underscored the importance of using existing OECD consensus-based and multi-stakeholder developed security and privacy frameworks – the 2015 OECD Digital Risk Management for Economic and Society Prosperity and the 2013 OECD Privacy Framework,” said Barbara Wanner, USCIB Vice President for ICT Policy. “There is no need for OECD member nations – or non-member nations – who are looking to improve their approaches to security and privacy to ‘reinvent the wheel’ because these two products serve as solid building blocks,” Wanner said.

Politico Highlights Business at OECD Work on Colombia Accession

In light of Secretary Tillerson’s upcoming trip to South America, Politico published an article highlighting unresolved concerns surrounding Colombia’s accession to the Organization for Economic Cooperation and Development (OECD), including on intellectual property and transparency.

USCIB has long been advocating on these issues, particularly through Business at OECD and most recently through a document, which Politico references.

“This important advocacy document, which contains pre-accession recommendations for issues Colombia should address before acceding to the OECD, to be included in the OECD Trade Committee’s Formal Opinion, was developed by BIAC, with significant USCIB input on US industry priority issues,” noted Eva Hampl, USCIB director of investment, trade and financial services.

IGF Discusses Gender, Trade, Digital Security and More

Speakers from L-R: Heshadharani Poornima (India), Barbara Wanner (US Council for International Business), Jennifer Chung (DotAsia), Louise Marie Hurel (Gender Youth/Youth Observatory), Bruna Santos (Gender Youth/Youth Observatory, Brazil)

More than 2,000 stakeholders from business, government, civil society, the technical community, and academia gathered in Geneva, Switzerland December 18-21 for the 12th Internet Governance Forum (IGF). The four-day conference featured wide-ranging discussions under the overarching theme, “Shape Your Digital Future.” USCIB Members joined global business colleagues under the aegis of ICC-BASIS in urging that the IGF continue to serve as a forum for mulitstakeholder discussions about Internet governance issues and as an incubator of ideas and best practices about how to most effectively address opportunities and challenges in the digital ecosystem.

ICT Policy Committee Chair Eric Loeb, senior vice president, international external and regulatory affairs, AT&T, provided the business perspective on Internet governance issues in a special high-level thematic session, “Shaping our Future Digital Global Governance,” which officially opened the IGF. Paying tribute to the late Joseph Alhadeff, former USCIB board member and ICT Policy Committee vice chair, Loeb highlighted how Alhadeff approached Internet governance with collegiality, collaboration and empathy, with an eye to solving immediate problems but not losing sight of where we need to be. “In this spirit, the IGF facilitates working together across respective and varied interests to achieve progress and share issues,” said Loeb told the standing-room-only opening plenary.

USCIB members and USCIB Vice President, ICT Policy Barbara Wanner made important contributions on leading topics of this year’s nearly 200 IGF workshops. Wanner who spoke on the panel, “Navigating Gender and Youth Challenges: Telling Stories about Women, Technology, and Creation,” emphasized the role of both governments and business in ensuring that the digital gender divide is bridged.

“One of the largest barriers to many women and youth in terms of entering the digital system has to do with culture,” said Wanner. “A government cannot simply have on the books policies that ensure equal rights.  They have to follow up and see that the laws are properly implemented and effectively transcend cultural mores that can hold back women of all ages. I have been very inspired by the various initiatives pursued by USCIB members aimed at developing STEM skills and coding by young women to enable their involvement in the digital economy.  Going to the heart of my topic, though, I would say that business also is keenly aware of the importance of enabling generational exchange as a means of bringing more youth and women into the digital ecosystem.”

Additional topics discussed during the IGF included digital trade, artificial intelligence, cybersecurity and the “Internet of Things.” Additionally, the OECD’s Going Digital project was featured in a special session, which enabled USCIB members to reiterate points of support and concern offered by Business at OECD (BIAC) at the November meeting of the Committee on Digital Economy Policy.

Business at OECD Calls for Action Against Corruption

While progress has been made in creating cultures of integrity, corruption continues to seriously affect economies. Marking the 20th anniversary of the OECD Anti-Bribery Convention, Business at OECD (BIAC) and USCIB affirm the importance of an integrated and effective approach in the fight against corruption, which is a global challenge and requires international cooperation.

“Corruption is a cancer for the global economy and seriously compromises the health and productivity of our economies and value chains across the globe. The legally binding standards of the Anti-Bribery Convention have clearly positioned the OECD as a leading force in the international fight against corruption,” said Dr. Klaus Moosmayer, chief compliance officer of Siemens and BIAC anti-corruption chair. Speaking at the OECD Roundtable on 20 years of the Anti-Bribery Convention, Moosmayer called on the OECD and governments to step up efforts and also address the demand side of bribery, recognize the compliance efforts of companies, and support voluntary self-disclosure. “We recognize the urgency of this agenda,” said Moosmayer. “The private sector should be considered as a key partner in this struggle.”

USCIB has been actively promoting the OECD Anti-Bribery Convention, especially during last month’s OECD events in the U.S. that celebrated the 20th anniversary of the Anti-Bribery Convention. USCIB’s Director for Investment, Trade and Financial Services  Eva Hampl took part in a panel at the event “Celebrating the OECD Anti-Bribery Convention at 20, the FCPA at 40 & Addressing the Challenges Ahead”.

Hampl addressed the cost that corruption and bribery present to business and the important role the OECD plays to level the playing field in that regard. Specifically, companies from OECD countries, who have to comply with the OECD Anti-bribery Convention, compete with companies from non-OECD countries that are not subject to the same anti-bribery measures.

“This leads to unfair competition and can even create an environment favorable to corrupt practices,” warned Hampl. “U.S. companies of course have to comply with the FCPA, which means they spend a significant amount of resources on developing anti-corruption policies and compliance programs as well as training systems for employees so that they are well-equipped to withstand demands for corruption.”

Robinson Speaks on Private Sector Contribution to the SDGs

OECD Deputy Secretary General Mari Kiviniemi and USCIB President and CEO Peter Robinson

Over 40 business experts, including USCIB President and CEO Peter M. Robinson, met with OECD governments and secretariat officials last week in Paris to discuss the role of the private sector in delivering the UN Sustainable Development Goals (SDGs). High-level speakers including OECD Development Assistance Committee Chair Charlotte Petri Gornitzka, Deputy Secretary General Mari Kiviniemi and Robinson outlined the need for greater collaboration between public and private actors.

The meeting, which was organized in partnership with the Center for International Private Enterprise (CIPE) gave participants an opportunity to highlight what needs to improve for an enabling environment that can spur local business activity as a key mechanism for driving growth and development.

Hampl Urges High Standards in Colombia’s OECD Accession

 

USCIB Director for Investment, Trade and Financial Services Eva Hampl

Through its Business at OECD (BIAC) affiliation, USCIB has been extensively involved in representing member interest in the OECD accession process of Colombia. USCIB’s Director for Investment, Trade and Financial Services Eva Hampl traveled to Paris last week with member companies and associations, to attend meetings with OECD officials and various OECD delegations. BIAC led the global business delegation in meetings with Ken Ash, OECD director for trade and agriculture, Nicola Bonucci, OECD director for legal affairs and coordinator for accession, Catalina Crane, high-level contact for Colombia’s OECD Accession Process, and delegation representatives from the United States, including Andrew Haviland, chargé d’affaires, as well as representatives from the European Union, United Kingdom, Sweden, Switzerland, Belgium and Mexico.

Colombia started the accession process in 2013. At present, 20 of the 23 OECD Committees have approved them for accession. The Committee dealing with our outstanding issues on pharmaceuticals, distilled spirits, and trucking is the OECD Trade Committee, which will meet again at the end of November. In terms of Trade Committee procedure, the OECD concluded the Market Openness Review (MOR) a few months ago, and are now a number of drafts into the so-called Formal Opinion. Once this Formal Opinion is approved, that concludes the process in the Trade Committee. OECD accession for Colombia won’t be concluded until all Committees independently approve them.

“Our current advocacy surrounds pre-accession recommendations, which we urged the OECD Trade Committee to include in the Formal Opinion,” said Hampl. “The concept of pre-accession requirements, as opposed to post-accession requirements, is a novelty in an OECD accession, rooted in past experience of the ineffectiveness of post-accession requirements, once the leverage of joining the OECD is gone. Accordingly, we view this ask as central to resolving our various business issues. We understand that several issues are currently covered in the confidential draft Formal Opinion as part of pre-accession recommendations, though it is not yet clear which of our issues are included in those.”

The next meeting of the OECD Trade Committee will be in April 2018. Given that Colombia’s President Juan Manuel Santos will leave office in May 2018, there is a high likelihood that a meeting will be called by the OECD before April to resolve any final issues, if the Formal Opinion is not finalized this month.

“USCIB acknowledges the importance of the Colombian market to our companies, but we also see the precedent Colombia can set for other countries from the region that have indicated an interest in joining the OECD, such as Argentina and Brazil,” added Hampl. “While no new processes have officially started, it is important to ensure that the high standards of the OECD are met by any country looking to join. We will aggressively continue our advocacy efforts as this accession process moves forward, to ensure that as many of our priority issues are resolved as possible before Colombia joins the OECD. “