Fighting Efforts in the UN to Degrade Intellectual Property Rights

intellectual_propertyOne of the most contentious issues during the United Nations COP21 climate negotiations was the push by NGOs and some countries to frame intellectual property (IP) rights as a barrier to environmental goals. USCIB and other business groups made a strong case for IP frameworks, arguing that innovation is crucial for developing solutions to the world’s climate challenges, and thanks to their efforts IP was not mentioned in the final climate treaty agreed to in Paris last year.

However, significant challenges to IP are proliferating throughout the UN system, and concerns remain about the Paris Agreement’s implementation and subsequent climate negotiations. To help push back against attacks on IP protection, USCIB and five other business associations sent a letter to U.S. Senator Orrin Hatch urging the U.S. government “to safeguard innovation at multilateral institutions.”

The letter notes that there is positive precedent for such an approach by the United States, as several IP experts from the American delegation at COP21 worked together to ensure that the Paris Agreement’s text didn’t mention IP and removed uncertainty that could have discouraged continued investments by U.S. companies in clean technology.

Challenges to IP have also arisen in the recently announced UN High Level Panel (UNHLP) on Access to Medicines, and at other international regulatory institutions such as the World Health Organization (WHO). In both cases, the business community is worried that innovators’ perspective will not be taken into account in the agencies’ policy deliberations. The letter encourages the U.S. to prevent the UNHLP and WHO from “constraining business involvement to the detriment of innovation.”

“U.S. leadership will be essential to managing diverse initiatives across the UN system…to ensure that they do not undermine innovation,” the letter stated. “All relevant U.S. government agencies must be aligned in such efforts.”

Read the full letter.

USCIB Webinar: World Bank’s Global Partnerships for Social Accountability

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USCIB will host an upcoming webinar on the World Bank Group’s Global Partnership for Social Accountability (GPSA) on February 24 from 11:00am-12:00pm. This will be the second webinar of the USCIB Corporate Responsibility Webinar Series.

To register for the February 24 webinar, please email Rachel Spence at rspence@uscib.org.

This webinar will introduce the GPSA and showcase its potential for solving vexing governance issues that are undermining the ability for entry into new markets and/or the long-term viability of private sector investments in the over 40 countries in which the GPSA is authorized to fund programs. GPSA is a unique unit within the World Bank’s Governance Unit focuses on supporting governments, citizens and the private sector to work together to solve governance challenges. It provides direct long-term assistance to civil society organizations to promote accountability by government actors on development challenges.

Speaker:

Haim Haviv serves as a Partnerships Specialist for the World Bank Group. Previously, Haim had served as Director of Investments for the Government of Israel in Washington D.C. (2013-2015), as a lawyer with Tnuva food industries (2010-2012) and as an accountant with Ernst & Young (2012-2013). Haim is an attorney and accountant by training.

Following the Paris Agreement, UN Charts Next Steps for International Environmental Policy

UNEPFresh on the heels of COP21 in Paris – possibly the most important United Nations environmental meeting in history – governments are meeting in Nairobi this week to develop an international policy agenda on a wide range of environmental topics at a UN Environment Programme (UNEP) preparatory meeting. The meeting saw over 20 draft resolutions for government action and further UN activity on climate change, chemicals and waste, marine plastic debris and micro plastics, and food waste. The new resolutions that come out of this meeting will be adopted at the 2nd UN Environment Assembly in May.

Beyond environmental topics, governments are also considering cross-cutting issues and initiatives, including health and environment, and the UN’s far-reaching collaboration with the World Health Organization; financing and investment for sustainable development; and the role of public-private partnerships involving the business community across several of these areas.

USCIB is on hand as an official business representative to UNEP. Norine Kennedy, vice president for strategic international engagement, energy and environment, delivered remarks on behalf of the Business and Industry Major Group on a range of business issues in a statement to the Opening Session.

“The groundbreaking sustainability agreements of last year could not have happened without the strong engagement of business working with other stakeholders and governments, and UNEA must also engage the private sector,” Kennedy said.  Innovation, enabling frameworks for cost effective and scientifically sound policy design, and the need to work with business in partnerships are priorities for USCIB’s ongoing involvement in UN environmental work

The UN Environment Assembly next May will be the first major inter-governmental sustainability meeting since the Paris climate summit. The assembly will place special emphasis on “Delivering the Environmental Aspects of the SDGs.”  Ministers will meet to consider how to jumpstart and deepen implementation on environmental issues embedded in the UN 2030 Agenda for Sustainable Development.

UNEP is the authoritative environmental agency in the United Nations system.  USCIB will be discussing business issues and strategy for the second UN Environment Assembly at the next meeting of the USCIB Environment Committee in Washington DC on March 8.

IOE: No Need for World Employment Report to be “Overly Pessimistic”

WESO_2016The International Labor Organization’s “World Employment and Social Outlook Trends: 2016” expects recent labor market growth to slow in the coming years amid uncertain economic prospects. The report recalls previous years’ editions in terms of content and approach, and the overall outlook for global employment remains bleak – worse than in 2015.

The International Organization of Employers (IOE) noted that rather than look only at growth and unemployment with a focus on vulnerable employment, the report could have looked at growth forecasts and their impact on employment, especially new forms of working arrangements. Given the current debate on the future of work, a different approach would have been welcome and may have painted a different picture of the future of employment.

Read the IOE perspective in full here….

University of New South Wales Wins 11th ICC International Commercial Mediation Competition

Mediation_awardLauded as the International Chamber of Commerce’s (ICC) biggest educational event of the year, the International Commercial Mediation Week is the premier international mediation moot, run by the ICC International Centre for ADR.

After six days and 147 rigorous and fast-paced mock mediation sessions, the University of New South Wales’ Katherine Mackellar, Connor Taylor, Roshan Evans and Self Rumbewas have been crowned as the winners of the 11th ICC International Commercial Mediation Competition, which was held on February 10 in Paris at the Maison du Barreau.

The final capped off an exciting Mediation Week that originally began with 65 teams from 32 countries who put their problem-solving skills to the test in real cross-border commercial dispute scenarios. However, it was the efforts of the University of New South Wales (Australia) that turned out to be the most victorious against Auckland University (New Zealand). Two U.S. schools – Cornell Law School and Pepperdine University – qualified for the competition’s quarterfinals.

The final problem was drafted by Rosemary Jackson, who is part of an international working group of mediation experts. It involved a dispute between a world-renowned pastry chef and an exclusive caterer to the stars with a failed icing situation. The bittersweet issue was observed by 350 spectators.

The winners not only walk away with coveted internships at the International Chamber of Commerce (ICC) International Centre for ADR, as well as the Centre for Effective Dispute Resolution as part of the Competition’s prize, but an ample amount of first-hand experience, advice from and connections with world renowned mediators.

The team, which was headed by Competition veteran, Rosemary Howell, was selected for their communication skills, strong presence and teamwork after a thorough selection process that included an interview, written application and several other examinations.

“It is my last year at university, so it is an incredible high note to go out on,” said Mackeller who represented her team in the final.

“My sincere congratulations go out to everyone who participated in this year’s Mediation Competition,” said Andrea Carlevaris, director of ICC’s dispute resolution services and secretary general of ICC’s International Court of Arbitration. “We certainly hope that all students will return home having forged some exceptional connections in addition to having further built upon their already outstanding skills and knowledge in support of mediation as an alternative form of dispute resolution.”

The OECD’s Tax Agenda: Building a Coherent and Predictable Tax Regime

taxes-portFor global business, the leading role of the OECD in international tax policy is of great importance and value. With the G20 mandate for the project on Base Erosion and Profit Shifting (BEPS), the reach of OECD tax work and policy guidance has increased considerably. All OECD/G20 countries, along with Latvia and Colombia, have pledged to follow the BEPS minimum standards, but any country could join the efforts to address BEPS. For this, the inclusive framework for the monitoring and implementation of BEPS will be essential.

At the same time, the OECD has developed Multilateral Competent Authority Agreement on Country-by-Country reporting. This agreement, signed on January 27 by 31 countries, including four non-OECD/G20 countries, is a first major step in the BEPS implementation and should facilitate a more coherent and predictable tax regime for investors. Through the Business and Industry Advisory Committee (BIAC) to the OECD, the business community will be actively involved in the further implementation process of BEPS.

But the OECD work on taxation is not only about BEPS. There are multiple streams of work with great significance for business, including International Guidelines on VAT/GST, the Global Forum on Transparency and Exchange of Information for Tax Purposes with currently 130 parties undertaking peer reviews, as well as tax and development.

To better understand the complexities of the OECD work and role in international taxation, BIAC has prepared a brief on the Tax Agenda of the OECD. We hope this brief will provide good guidance even to members who do not participate in this work on an expert level.

With valuable support and input from our members, USCIB and BIAC will continue to offer structured advice to the OECD to help develop a more coherent international tax regime that will support – and not hinder – cross border trade and investment, and growth. USCIB is the U.S. affiliate of BIAC.

Visit USCIB’s Membership page for more information on how to become a member and get involved in our Taxation Committee, which promotes sound and consistent international tax policy and advocates against government actions that result in double taxation. USCIB co-organizes an annual tax conference with BIAC and the OECD in Washington, D.C. This year’s OECD International Tax Conference will take place on June 6 and 7.

Integrating Refugees in Labor Markets

IntegrationWith the widespread migration of refugees to many OECD countries, policymakers are grappling with how to effectively integrate the large number of refugees and other asylum seekers into the workforce. On January 28, representatives from the Business and Industry Advisory Committee (BIAC) to the OECD met with the UN High Commissioner for Refugees Filippo Grandi to discuss the view of business on migration and the integration of refugees in labor markets.

The event coincided with the a release of a release a new OECD booklet on experiences, policy lessons and good practice in the integration of refugees and other groups in need of protection, developed over the last year in consultation with OECD member countries and social partners.

In his message to governments and other high-level participants, BIAC Secretary General Bernard Welschke called for advanced skills recognition on the national level, immediate and intensive language training, and targeted programs to better facilitate the integration of beneficiaries of international protection and other migrants into local labor markets. He also emphasized the importance of a consistent and efficient process to clarify the status of humanitarian migrants and refugees as this is a critical factor to determine their perspectives in labor markets.

ICC Report Examines How Arbitrators Make Decisions on Costs

Decisions on Costs in International Arbitration_source_sourceThe International Chamber of Commerce (ICC) Commission on Arbitration and ADR has released a new report as part of its continued work to improve the management of time and costs in international arbitral proceedings.

The ICC Report, “Decisions on Costs in International Arbitration,” examines how the costs of an arbitration can be allocated between parties and sheds light on the specific roles of arbitrators, parties and counsel in using cost allocation as a case management tool.

Under the 2012 ICC Arbitration Rules, an arbitral tribunal has a broad discretion when it comes to allocating the costs of the arbitration between the parties.

While affirming that there is no definitive approach to costs allocation in international arbitration, the report, produced by the Task Force on Decisions as to Costs of the ICC commission on Arbitration and ADR, describes current approaches and practices that can help arbitrators and parties to conduct ICC proceedings in an effective and cost efficient way.

The report identifies the cost allocation considerations that arbitrators take into account and considers how decisions on costs can be used not only to allocate costs fairly, but also as a means to improve efficiency during the proceedings.

“Users would like decisions on costs to be predictable, but at the same time, the discretion enjoyed by arbitrators needs to be preserved so as to ensure that a fair result can be achieved in each case,” said Christopher Newmark, Chair of the ICC Commission. “The report describes how arbitrators can address both these needs – but it does not establish guidelines or endorse a specific approach,”

Topics covered in the report include the relevance on costs allocation of the procedural behaviour of the parties, how costs issues may be discussed at the early case management conference, how interim decisions on costs can be taken, dealing with in-house costs, the potential impact of third party funding and success fee arrangements, and how tribunals assess the reasonableness of costs.

The report sets out the research upon which it is based, which comprises a review of decisions on costs in hundreds of ICC awards as well as reports from eight other arbitration institutions and summaries of reports on national approaches to cost decisions from over 40 ICC national committees.

Following significant revisions made to the ICC Arbitration Rules in 2012, the new report is ICC’s latest tool for encouraging greater control of time including ICC’s 2012 Report on Techniques for Controlling Time and Costs in Arbitration and 2014 Guide on Effective Management in Arbitration .

For a copy of the full report visit: Decisions on Costs in International Arbitration – ICC Arbitration and ADR Commission Report

Future of Work Forum and OECD Employment Ministerial

worker_femaleThe future of work and the digitization of jobs bring new challenges to the frontier of policy dialogue with business stakeholders. Innovation and integration of digital tools and processes have brought forth new business models, evolving employment contracts and changing demands for skills at the workplace. The impact of this progress is a demanding area of interest for businesses and the policy community.

At the OECD Future of Work Forum and the Employment Ministerial that took place in January in Paris, stakeholders and leaders from the business community, the public sector and academia convened to discuss ways to foster and adapt employment in the changing nature of the digital economy while encouraging inclusive growth. The Business and Industry Advisory Committee (BIAC) to the OECD was represented at each of the high level panels of the Future of Work Forum, and a strong BIAC delegation led by Chair Ronnie Goldberg, USCIB senior counsel, contributed business views on labor markets and the digital economy in the Employment Ministerial. BIAC’s call for more comprehensive and targeted education policies and the necessary flexibility in labor markets was well received.

IBM: Maritime Piracy Hotspots Persist Worldwide

Piracy and armed robbery on the world’s seas is persisting at levels close to those in 2014, despite reductions in the number of ships hijacked and crew captured, the International Chamber of Commerce (ICC) International Maritime Bureau’s (IMB) annual piracy report reveals.

IMB’s Piracy Reporting Centre recorded 246 incidents in 2015, one more than in 2014. The number of vessels boarded rose 11 percent to 203, one ship was fired at, and a further 27 attacks were thwarted. Armed with guns or knives, pirates killed one seafarer and injured at least 14. Kidnappings – where crew are taken away and held for ransom – doubled from nine in 2014 to 19 in 2015, all the result of five attacks off Nigeria.

A total of 15 vessels were hijacked in 2015, down from 21 in 2014, while 271 hostages were held on their ships, compared with 442 in 2014. No hijackings were reported in the last quarter of 2015. IMB says one key factor in this recent global reduction was the drop in attacks against small fuel tankers around South East Asia’s coasts, the last of which occurred in August 2015.

SE Asian gangs

“IMB particularly commends the robust actions taken by the Indonesian and Malaysian authorities in the arrest and prosecution of two gangs that hijacked tankers. We also applaud the subsequent arrest of some of the alleged masterminds,” said Pottengal Mukundan, director of IMB, which has monitored world piracy since 1991.

However Mukundan urged shipmasters to maintain strict anti-piracy and robbery watches. South East Asia still accounts for most of the world’s incidents. Almost 55 percent of the region’s attacks were against vessels underway compared to 37 percent in 2014. Most were aimed at low-level theft. IMB cites this rise on moving vessels as a cause for concern as it increases potential risks to the vessels and their crew.

The IMB continues to work closely with the Indonesian Marine Police and other Indonesian authorities to monitor high-risk areas. Thefts are down in the majority of the 11 designated anchorages with only Belawan and Nipah recording marked increases in attempted thefts, reporting 15 and 26 incidents respectively in 2015.

Nigeria: oil and kidnappings

Nigeria is a hotspot for violent piracy and armed robbery. Though many attacks are believed to go unrecorded, IMB received reports of 14 incidents, with nine vessels boarded. In the first of these, ten pirates armed with AK47 rifles boarded and hijacked a tanker and took all nine crewmembers hostage. They then transferred the fuel oil cargo into another vessel, which was taken away by two of the attackers. The Ghanaian navy dispatched a naval vessel to investigate as the tanker moved into its waters, then arrested the pirates on board.

Somalia still risky

No Somali-based attacks were reported in 2015. Following a new 55 percent reduction in the industry-defined High Risk Area, IMB warns vessels transiting the Gulf of Aden and Indian Ocean to stay particularly vigilant.

“Somalia remains a fragile state, and the potential for an attack remains high. It will only take one successful hijacking to undo all that has been done, and rekindle this criminal activity,” Mukundan explained.

Elsewhere…

Incidents in Vietnam surged from seven in 2014 to 27 in 2015. The main cause is low-level theft against vessels anchored in Vietnam, with 15 reports from around the port of Vung Tau alone.

In China four incidents were recorded in December 2015, the first in a long time. These include three thefts of bunker diesel oil from large bulk carriers off Tianjin, and one failed attempt to do the same.

Meanwhile, low-level incidents in Bangladesh dropped to 11 in 2015, from 21 in 2014.