COVID-19 Highlights Deep-Rooted Challenges of Informal Sectors

At a recent OECD virtual meeting, USCIB President and CEO Peter Robinson discussed one of the main, deep-rooted structural challenges underpinning the global economy—informality—the extent of which has been highlighted by the COVID-19 pandemic.

Robinson noted during his remarks at the annual OECD Global Forum on COVID-19 and Responsible Business Conduct that in the longer-term, solutions are going to require dialogue, cooperation and partnership – particularly with regards to issues impacting vulnerable economies.

Informality represents approximately 60% of workers and 80% of businesses worldwide. It is at risk of expanding due to the current economic downturn. The informal sector work is characterized by high degrees of poverty and serious decent work deficits.

“If we can find ways of incentivizing informal firms to formalize, we support both a sustainable recovery by mitigating the size of the problem and advance workers’ rights, good governance and responsible business conduct for the SME and larger companies linked to them through business relationships,” said Robinson. “One critical bottom line in creating an environment that incentivizes and promotes the uptake of responsible business conduct is the fundamental importance of rule of law, enforcement, and well-functioning institutions.”

Robinson also reiterated USCIB’s commitment to responsible business conduct.

USCIB has advocated with the U.S. Department of State to mobilize multilateral development bank assistance for vulnerable economies, particularly for social protection systems and rapid access to relief funds to SMEs to prevent closures and provide funding to workers until they can get back to work.

Robinson Reiterates Commitment to Responsible Business Conduct

Robinson participates virtually in the OECD Global Forum

USCIB President and CEO Peter Robinson participated virtually in the annual OECD Global Forum on COVID-19 and Responsible Business Conduct (RBC), which was held on May 19.

The COVID-19 crisis has dramatically disrupted business and exposed major vulnerabilities in the economy and global supply chains. The event gathered thought leaders from government and business, trade unions, civil society, academia and international organizations to discuss how responsible business conduct can build value and more resilient supply chains in a post-COVID-19 world and how we can use the ongoing pandemic to integrate responsible business thinking into policies and action to bring remedy to people, meet the Sustainable Development Goals (SDGs) and tackle climate change.

Speakers, including Robinson, discussed a variety of themes including the promotion of business responsibility in a post-COVID-19 world; the role of responsible business conduct in government support and recovery packages and how innovative engagement across stakeholders can promote responsible and resilient supply chains.

Robinson spoke on a panel titled, Building Value: The Role of RBC in Government Support and Recovery Packages. “Business is committed to RBC as highlighted in the MNE Guidelines,” emphasized Robinson. “RBC is good business and the crisis is not an excuse to fail to uphold responsible business conduct. In fact, there are many examples of companies already contributing meaningfully to relief and recovery in terms of donations of personal protection equipment, retrofitting production to produce needed emergency supplies, addressing employee safety, etc.”

USCIB has advocated with the U.S. Department of State to mobilize multilateral development bank assistance for vulnerable economies, particularly for social protection systems and rapid access to relief funds to SMEs to prevent closures and provide funding to workers until they can get back to work.

The annual OECD Global Forum has become the leading event for governments, businesses, trade unions and civil society to promote international dialogue on RBC and contribute to the effective implementation of the OECD Guidelines for Multinational Enterprises.

Robinson Shares US Perspective During Virtual Briefing on Socio-Economic Impacts of COVID-19 With ILO Director General

USCIB President and CEO Peter Robinson joined International Organization of Employers (IOE) members from around the world in a virtual dialogue meeting with ILO Director General Guy Ryder. The April 30th briefing allowed for employers to gain better understanding of how the ILO is responding to the socio-economic impacts of COVID-19.

According to the IOE, this briefing attracted 112 participants from across the world.

Robinson’s remarks included the state of the U.S. economic situation, which included somber statistics regarding U.S. GDP, which has contracted 4.8% in the first quarter of this year and U.S. unemployment claims as of April 30, which reached a total of over thirty million.

“The impacts in the U.S. are sadly not unique,” said Robinson. “Every IOE member on this call and every ILO member state has been similarly laid low – especially vulnerable economies already beset by existing challenges.”

“At USCIB we’re particularly concerned with the inadequacies of social protection systems worldwide, but especially in vulnerable economies, as well as lack of access for SMEs in those countries to capital to maintain their financial viability during this crisis,” added Robinson.

USCIB has raised this issue, and others, with the U.S. government.

“As we look to the future and recovery, let’s be bold,” urged Robinson. “We’re in the first year of the ILO’s second century and we are faced with an enormous challenge. Now, more than ever is the time to take clear and focused action together to harness the unique strength of the ILO and its tripartite constituency. Let’s find unity in purpose to support the ILO’s role in helping the world ‘build back better’ by focusing on core issues of shared priority – looking to the ILO Centenary Declaration as our guide. Count on USCIB, our members and the IOE as your committed partners for our recovery together.”

USCIB Works with UN, IOE to Host Virtual Dialogue on Public-Private Partnerships, SDG17

The United Nations Department of Economic and Social Affairs (UN DESA), USCIB’s All In 2020 Campaign, Business Partners for Sustainable Development (BPSD) and the International Organization of Employers (IOE) organized a “Virtual Dialogue on SDG-17 and Public-Private Partnerships: COVID-19 Response and Recovery in the Framework of the 2030 Agenda” on April 29.

The dialogue, initiated by USCIB, offered private sector ideas in lieu of ECOSOC rescheduling its Partnerships Forum in light of the COVID-19 pandemic. Speakers from business, academia and government highlighted areas in which partnerships with business can be catalyzed and scaled to tackle COVID-19 challenges while advancing the UN 2030 Agenda for Sustainable Development.

USCIB Vice President of Environment, Energy and Strategic International Engagement Norine Kennedy moderated the virtual dialogue. “The wide-reaching impacts of COVID19 require integrated solutions and international cooperation – now is the time to advance substantive U.S. business engagement in inclusive multilateralism,” she said in her comments.

According to its Secretary General Roberto Suarez Santos, IOE has been actively responding to the pandemic and has organized multiple webinars and provided resources for employers across the globe understand and mitigate impacts of COVID-19. “The most important element of COVID-19 response by employers federations is what we do together with other government and worker partners. Because of this, SDG 17 is more relevant than ever,” said Santos.

Novozymes’ Senior Advisor of Public Affairs Justin Perrettson, who also serves as co-chair of the USCIB Environment Committee, explained that “international COVID-19 actions must strengthen and animate private-public partnerships, working in new ways and with new partners. To help overcome COVID-19, Novozymes has done everything from utilizing our products in COVID-19 diagnostic kits to helping the most vulnerable communities in healthcare, education and food.”

High-level speakers included:

  • H.E. Ambassador Munir Akram, vice president of the Economic and Social Council (ECOSOC) and permanent representative of Pakistan to the UN
  • Elliott Harris, assistant secretary general and chief economist, United Nations Department of Economic and Social Affairs (UN DESA)
  • Myriam Sidibe, Harvard fellow
  • Dr. Scott Ratzan, executive director, Business Partners for Sustainable Development (BPSD), an initiative of The USCIB Foundation

A recording of the event can be found here.

OECD Digital Economy Policy Group Discusses Data Governance, Privacy Amid COVID-19

The OECD Committee on Digital Economy Policy (CDEP) and one of its working parties held virtual meetings April 21-23 against the uncertain global backdrop caused by the COVID-19 virus. USCIB Vice President for ICT Policy Barbara Wanner participated.

By necessity, the normally week-long meetings were streamlined, focusing on only a few items pertaining to data governance and privacy as well as pursuing “alignment and agreement” on the 2021-22 CDEP Program of Work and Budget. These meetings were preceded by webinars on April 15 and April 17, which focused on (1) “Data Governance and Privacy Challenges in the Fight Against COVID-19” and (2) data portability, respectively.

“Not surprisingly, discussions in the data portability webinar and CDEP meetings repeatedly circled back to the appropriate use of digital technologies and data to address COVID mitigation and recovery,” said Wanner.

According to Wanner, CDEP’s consideration of the 2021-2022 Program of Work and Budget featured numerous government interventions noting the importance of addressing COVID-mitigation in the near term, but urging the CDEP to view the COVID-19 crisis through a wider lens in the medium term and consider how technologies and data may be galvanized to address future global crises.

“The CDEP’s focus should be on [the role of data and digital technologies in] crisis management, in general, since the next global crisis may not be health-related,” the European Commission representative urged; the U.S. Government concurred.

Under the auspices of Business at OECD (BIAC), USCIB members stepped up in both workshops and in the CDEP meetings to provide expert commentary that detailed how they are endeavoring to develop privacy-respecting COVID solutions. In BIAC’s PWB intervention, BIAC CDEP Co-Chair Makoto Yokozawa echoed the theme of government interventions, encouraging OECD current and future work-streams to consider lessons learned from the pandemic about the use of data and digital technologies.

One example was USCIB members’ Apple and Google application programming interfaces to make it possible to trace COVID transmission. Importantly, the venture addresses many of the issues identified by the data regulators as necessary to build public trust and safeguard privacy protections. For more information on this joint venture, please click here.

USCIB member Microsoft’s Carolyn Nguyen intervened on behalf of BIAC. Addressing the topic at a higher level, she cautioned the OECD to avoid policy siloing in developing COVID-19 policy recommendations, urging a holistic, cross-committee/cross-sectional approach as was used for the Going Digital project. Nguyen further underscored the importance of public-private partnership and voluntary and responsible data sharing in enabling rapid response. She also suggested that the OECD’s review of the 2013 Privacy Guidelines review and the Enhanced Access and Sharing of Data (EASD) initiative should take the Covid-19 experience into consideration before going forward.

“It’s clear that technology can and must play a part in creating the environment in which we can safely and carefully begin to return to work and re-open businesses. It also is clear that any solution needs to be approved by elected officials, designed with strong privacy protections in mind, include clear and transparent communications with citizens, and only be used to address public health needs,” said Nguyen.

Nguyen further noted Microsoft’s efforts to build privacy compliance into its tools and services has made it easier for the organizations that it supports to focus their efforts on advancing their missions of combating the pandemic. For example, she noted that Microsoft’s Healthcare Bot is being used to build COVID-19 self-assessment tools by organizations around the world, including the U.S. Centers for Disease Control and Prevention.

Marketing and Advertising

Trends and Challenges Facing Advertisers:

  • New regulations and policies at the national and global levels that threaten to restrict some types of advertising such as food and beverage marketing, social media, and marketing to children
  • New opportunities to extend self-regulation of marketing and advertising in key countries and regions

 

USCIB’s Response:

  • Advocate for multi-stakeholder initiatives and the central role of science- and evidence-based data in developing policy
  • Press for policies at the OECD that create the right incentives and collaborative environments to drive investment in innovation and technology
  • Advance voluntary consumer initiatives, responsible marketing, and healthy lifestyles

Magnifying Your Voice with USCIB:

  • USCIB is the only U.S. business association formally affiliated with the world’s three largest business organizations where we work with business leaders across the globe to extend our reach to influence policymakers in key international markets to American business
  • Build consensus with like-minded industry peers and participate in off-the-record briefings with policymakers both home and abroad.

USCIB on LinkedIn

Positions and Statements

USCIB Congratulates Colombia on Formally Becoming OECD Member (4/30/2020) - The Organization for Economic Cooperation and Development (OECD) announced today that Colombia has formally become an OECD Member as of…
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News Stories

USCIB Members Play Active Role on OECD’s Illicit Trade During COVID Panel (4/30/2020) - The OECD Task Force on Countering Illicit Trade hosted a webinar on April 23—"Illicit Trade at the Time of Crisis.”…
USCIB Congratulates Colombia on Formally Becoming OECD Member (4/30/2020) - The Organization for Economic Cooperation and Development (OECD) announced today that Colombia has formally become an OECD Member as of…

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Press Releases

New Marketing Code Raises Consumer Protection Standards Around the World (9/15/2011) - New York, N.Y., September 15, 2011 –New protection for Internet users – along with detailed standards for marketers selling to…

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Getting the Green Message Right: A New Framework for Environmental Marketing (1/26/2010) - New York, N.Y., January 26, 2010 –  As more consumers consider environmental features important in their purchasing decisions, businesses have…

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Chair

Brent Sanders
Associate General Counsel
Microsoft Corporation

Vice Chair

Carla Michelotti
Marketing Consultant & International Advertising Association Vice President

Staff

Kira Yevtukhova 
Acting Director of Communications
202-617-3160 or kyevtukhova@uscib.org

 

USCIB Members Play Active Role on OECD’s Illicit Trade During COVID Panel

The OECD Task Force on Countering Illicit Trade hosted a webinar on April 23—”Illicit Trade at the Time of Crisis.” In advance of the webinar, USCIB worked closely with Business at OECD (known as BIAC) and the OECD Secretariat on developing a robust panel dedicated to the BIAC Anti-Illicit Trade Expert Group (AITEG) and the good work of the AITEG and USCIB on illicit trade in the COVID-19 crisis environment.

“As the U.S. affiliate for Business at OECD, USCIB has been working closely with BIAC on anti-illicit trade matters since the establishment of our Anti-Illicit Trade Committee (AITC) in 2018,” said Director for Customs and Trade Facilitation Megan Giblin.

In addition to statements by BIAC’s Anti-Illicit Trade Expert Group chair and vice chair, the panel was rounded out by USCIB member representatives; Pfizer’s Senior Director David Shore, who leads the Europe, Middle East and Africa regional Global Security Team, as well as Amazon’s Senior Public Policy Manager Chris Oldknow, who discussed counterfeiting and intellectual property in Europe and gave poignant remarks on Pfizer and Amazon’s, respective, efforts on illicit trade in the COVID environment.

Prior to the webinar, BIAC published a statement, “Illicit Trade in Context of COVID-19 and Future Pandemics,” which was widely shared with webinar participants and built off earlier contributions of the work of the OECD Task Force.

USCIB’s AITC is chaired by David Luna of Luna Global Networks and vice-chaired by Fernando Pena of DHL. Luna also chairs the recently elevated BIAC AITEG, which is vice-chaired by Alvise Giustiniani of PMI.

USCIB Supports Final Duty Deferral in Letter to Trump

USCIB joined the coalition Americans for Free Trade to send a letter to President Donald Trump urging him to take further action to provide relief to struggling American businesses by delaying the collection of all duties and fees. USCIB is one of nearly 500 businesses calling on the Administration to expand its current duty deferral program. The coalition represents retailers, manufacturers, service providers and farmers and ranchers.

The letter made two specific recommendations: first, requesting the Administration to extend the program to cover imports made during May and June and second, urging that the program be expanded to defer the due dates for all duties and fees. Combined, the two actions would immediately free up billions of dollars of working capital for American companies to pay suppliers, employees, service providers and other critical stakeholders.

The letter emphasized that this cash is even more important for companies that have had to close their doors because of stay-at-home orders, leaving them with little to no revenue to make ends meet.

The Administration could expand the current Executive Order and defer collection of all duties without waiting on authorization from Congress. As it currently stands, the Administration is only deferring the collection of some duties and only for imports made in the months of March and April.

USCIB Congratulates Colombia on Formally Becoming OECD Member

Pictured from left: Iván Duque Márquez, President of the Republic of Colombia and Angel Gurría, Secretary-General of the OECD (Photo: OECD/Victor Tonelli)

The Organization for Economic Cooperation and Development (OECD) announced that Colombia has formally become an OECD Member as of April 28, 2020. Colombia is the 37th country to do so in the Organization’s near 60-year history.

According to the OECD, Colombia has now completed its domestic procedures for ratification of the OECD Convention and deposited its instrument of accession. This brings to a successful conclusion an accession process that began in 2013.

“Colombia is an important market for many companies, and we commend Colombia on successfully concluding this lengthy process and committing to the high standards of the OECD,” said USCIB Senior Director for Trade, Investment and Financial Services Eva Hampl. As the official voice representing U.S. business in this process, USCIB was actively involved in providing input into Colombia’s accession process via Business at OECD (BIAC), the official business voice at the OECD.

OECD Member countries formally invited Colombia to join the Organization in May 2018, following a five-year accession process during which it underwent in-depth reviews by twenty-three OECD Committees and introduced major reforms to align its legislation, policies and practices to OECD standards. These spanned the breadth of policy fields including labor issues, reform of the justice system, corporate governance of state-owned enterprises, anti-bribery, trade, and the establishment of a national policy on industrial chemicals and waste management.

Michener Shares USCIB’s COVID-19 Response with ICC Americas Group

At a recent virtual meeting of the ICC Americas group, USCIB Vice President for Product Policy and Innovation Mike Michener discussed USCIB’s response to the COVID-19 crisis, which first and foremost, is to continue important functions as the entire USCIB team works from home in the New York and Washington metro areas.

“We are still representing member interests in multilateral institutions while highlighting individual company responses in tandem with international organizations, and featuring the important work of global affiliates such as International Chamber of Commerce (ICC), as well as the International Organization of Employers (IOE) and Business at OECD (known as BIAC),” said Michener.

According to Michener, USCIB is also flexing its institutional muscle as a thought leader in the nexus between business and the multilateral system, publishing op-eds and press releases, and promoting partnerships with international organizations through its new venture Business Partners for Sustainable Development (BPSD).

Michener outlined how USCIB is fulfilling its function in representing member interests through virtual events; all committee meetings have been converted into a virtual format and USCIB continues to engage with global partners on events, such as the one held on April 29 with the UN Department for Economic and Social Affairs on SDG 17 & Public-Private Partnerships: COVID-19 Response & Recovery in the Framework of the 2030 Agenda.

“We are proud to share the work being done related to COVID-19 across the world by our global network of affiliates on our web page, in particular focusing on ICC’s partnership with the World Health Organization (WHO), the ICC campaign to Save our MSMEs and ICC actions via the G20,” added Michener.

USCIB continues to spotlight what member companies are doing to address the COVID-19 crisis; featured companies include ExxonMobil, Qualcomm, Procter & Gamble, Nike, SAP, Google, Amazon, Apple, CenturyLink, IBM, AT&T, Pfizer, Hewlett-Packard, Intel, Mastercard, Salesforce, Microsoft and HanesBrand, with additional spotlights in the pipeline.

More information can be found on this web page: Ensuring Business Continuity During COVID-19