IOE President Targets 5 Key Inhibitors of Labor Markets at B20 Kickoff

labor_and_employmentSpeaking at the B20 kick off meeting in Beijing on January 26, International Organization of Employers (IOE) President Daniel Funes de Rioja targeted the five key inhibitors of flexible labor markets and optimal labor market participation.

With employment already earmarked by the Chinese G20 presidency as a prime area of focus, Funes wasted no time in setting out the expectations of business: “I want the G20 to make ambitious commitments on the headline aim of Energetic Labor Markets and Adaptable Workforces.”

He set out five key actions for the G20 leaders to optimize labor market participation:

  • Remove barriers to starting, operating and growing a business.
  • Create easy-to-understand, employment-friendly labor law.
  • Promote the variety of forms of employment needed to allow companies maximum opportunities to hire as many people as possible.
  • Decrease the burden of non-wage labor costs – in many cases an obstacle to employing people.
  • Create attractive regulatory framework conditions that stimulate the establishment of apprenticeships systems.

Funes went on to recall the recent IOE-BIAC-Deloitte survey on youth employment in G20 countries, launched just six weeks ago in Ankara, which found that 80 percent of respondents believed that the current regulatory framework for the establishment and operation of enterprises was “more cumbersome than supportive.” The IOE President cautioned that with such framework conditions in place, bringing more people into employment remained a pipe dream.

On top of the required action above, Funes also called for more transparency and accountability in the G20 employment process. The G20 national employment plans could, he acknowledged, play “a decisive role”, but their potential had not been fully exploited to date. The G20, with the support of business, needed to ask themselves:

  • Are the employment plans concrete and ambitious enough?
  • Is implementation of the employment plans sufficient?
  • What are the lessons learned from the last two years?

Summing up, Funes said that the B20 called on the Chinese G20 presidency to refocus the employment process on job creation and growth, and to strengthen the implementation of employment commitments through more rigorous and robust assessment of the employment plans in place across the G20.

New Book Explores Approaches to Lifelong Learning for the 21st Century

Meta-learning chartWhat kinds of competencies will be needed in a world where advanced technologies, including robotics and artificial intelligence, play an increasingly integral role in our workplaces and societies? A new book co-authored by Charles Fadel, founder of the Center for Curriculum Redesign, titled Four-Dimensional Education grapples with the challenges faced by today’s educators in preparing learners for the 21st-century economy.

In 2014, anticipating the present concerns, Fadel led a symposium on the impact of robotics and artificial intelligence in the workplace, organized by the USCIB Foundation in partnership with the McGraw Hill Financial Global Institute. Furthering the work of the Foundation on education, training and human capital requirements in the 21st century, the symposium gathered experts in technology, education and employment to explore how robotics and AI could impact the future jobs market. Fadel is the chair of the Education team of the Business and Industry Advisory Committee (BIAC) to the OECD education committee, and was formerly Global Education Lead at Cisco Systems.

The book explains that the education systems of the United States and many other advanced countries were designed with the needs of the 19th –and 20th century, with a largely industrial workforce, in mind. These systems are no longer adequate for addressing the needs of our modern, hyper-connected and digital economy. The book argues that in order to equip learners with the competencies they need for a more technologically advanced workplace, older curricula will need to evolve to new systems that foster Skills (such as creativity, critical thinking, communication and collaboration), and Character qualities (such as ethics, leadership, mindfulness, curiosity, courage and resilience) all of which will be needed to adapt in a faster-changing jobs market.

Four Dimensional Education brings a deeply cogent, synthetic, open-minded conversation to explore one of the key challenges to our society – how to transform our education systems to respond effectively to global 21st century needs and aspirations,” said USCIB President and CEO Peter Robinson. “USCIB has been privileged to be part of this conversation through a series of sponsored roundtables with the CCR bringing educators together with economists and business to bring new insights and perspectives to help students build the world we want.”

In an interview with USCIB, Fadel explained that educators will be stymied in their progress unless they revisit educational standards and assessments, including for those areas of knowledge that are more relevant today. For example, in the late 1800s educators began teaching trigonometry because the economy demanded more wood workers and land surveyors. Today, there is demand for “big data” – statistics and probability, and algorithmics. Fadel stressed the need for teaching branches of mathematics that are underrepresented in current curricula, such as Game theory, and algorithmics.

Additionally, he said new disciplines are needed, such as robotics and coding: “We talk about STEM – science, technology, engineering and math – but we only teach the ‘S’ and the ‘M,’ parts. What about Technology and Engineering?  And beyond STEM, what about entrepreneurship, wellness, etc? It is not about STEM or Humanities/Arts, it is STEM and Humanities/Arts. All these disciplines matter.”

The “social pain” of innovation

Fadel then noted that over time technology zooms ahead of education, which leads to instances of social pain, usually followed by an educational response. After the industrial revolution, policymakers responded with mass schooling, which helped a large number of mostly illiterate people, farmers and artisans become factory-ready. Once our educational systems caught up with advances in technology, prosperity ensued.

“Well, the digital revolution is doing the same now at an accelerated rate, where you have a lot of jobs that can be off-shored or automated due to technology,” Fadel said. “So we have to catch up and adapt, even faster than we did for the industrial revolution.”

When asked what the education system of the future should look like, Fadel remarked that students will still need a broad knowledge base that they can tap throughout their life as they move from one specialization to another: “When you’re a young kid, you’re going to learn how to read, write and compute – there’s no deviation. But when you’re an adult, you choose your pathway to stay current. So what we’re trying to cultivate is what IBM has been calling a ‘T-shaped individual,’ where you’re broad through your education and deep through your specialization, and if you expand that it’s an M-shaped model where you add specializations as you go through your career, drawing from that breadth that you’ve acquired in your younger years, and staying current.”

Many societal actors have a role to play in fostering new 21st-century education systems, including governments, parents and corporations. Fadel argued that governments should broaden how they measure and assess students’ capabilities similar to how corporations judge potential job applicants or existing employees, whereby employers examine not just knowledge but also character and skills. He then noted that parents have a role to play by advocating for changing what gets taught in schools, rather than applying pressure on overburdened teachers. And finally, corporations can help by being clearer about exactly what kinds of knowledge, skills, and character qualities they value in future employees.

“I’d love to see corporations be more systematic about their requests for change both in clarity of needs, and stamina,” Fadel concluded. “They seem to come in and out; they get distracted by their own strategic imperatives. It’s hard for corporations to have a steady hand year after year because they have their own dynamics, yet that’s what’s required – a steady hand and a steady set of requirements that’s adaptive to a rapidly changing world.”

IOE Reaffirms Business Commitment to the 2030 Development Agenda

Business for 2030 homepage logoDuring her New York visit for the United Nations Global Compact meeting earlier this month, International Organization of Employers (IOE) Secretary General Linda Kromjong reaffirmed the commitment of the IOE’s members and partner companies around the world to the realization of the UN 2030 Development Agenda.

Kromjong formally represented the collective voice of business on labor and social policy at the Global Compact’s first board meeting under the leadership of Lise Kingo on January 14. Kingo succeeded Georg Kell following his retirement as executive director last year.

Addressing the meeting, UN Secretary General Ban Ki-moon stated his expectation that businesses “play a leading role in implementing the SDGs.”

“Our 13,000 signatories based in 170 countries, and our local networks, can be a force for change from the ground up,” he said. “We have a strong track record of translating UN goals and issues into concrete business action”.

In her intervention, Kromjong recalled her role as co-chair of the Global Compact Human Rights & Labor Working Group, as well as the role of IOE member federations in hosting national Global Compact networks. She highlighted IOE work on business and human rights, migration, youth employment, core labor standards and the sustainable development agenda – all key areas of focus for the Global Compact.

Kromjong also cited USCIB’s Business for 2030 web portal as one of many examples of employer organizations’ commitments to the sustainable development goals. She assured Secretary General Ban Ki-moon that the IOE was encouraging its members and their company affiliates globally “to advance the SDGs through their operations, innovations and partnerships and to be part of the solution.”

IOE Webinar on Women, Business and the Law

Women_lawLast October, the International Organization of Employers (IOE) participated in the Geneva launch of the World Bank’s “2016 Women, Business and the Law” report, which examines laws and regulations affecting women’s prospects as entrepreneurs and employees across 173 economies. The report’s quantitative indicators to inform policy discussions on how to remove legal restrictions on women and to promote further research on how to improve the economic inclusion of women.

The IOE is organizing a webinar on this topic on March 7, featuring guest speaker Augusto Lopez-Claros, director of global indicators group at the World Bank. He will present the report and explore with national employer organisations how they can contribute to removing legal barriers to women’s inclusion in their countries. The event is planned as part of the IOE’s program to mark International Women’s Day on March 8.

To register, please contact Thannaletchimy Thanagopal. Instructions on how to join the webinar will be issued to participants well in advance.

USCIB co-organized an event last March titled “Bringing Down the Barriers: Women, Business and the Rule of Law” with the World Bank, the International Chamber of Commerce and the International Development Law Organization, which evaluated the impacts of gender discrimination laws around the world.

BIAC Calls for More Resilient, Flexible and Inclusive Labor Markets

Two machinists working on machineAt the OECD’s Employment Ministerial, the Business and Industry Advisory Committee (BIAC) to the OECD called for more resilient and inclusive labor markets.

More than ever, current labor market challenges require a policy that promotes resilience and flexibility. All parties are tested: companies to find appropriately trained and mobile workforces, workers to develop skills relevant to the labor market, and policymakers to provide for employment and social policy frameworks that encourage access for all, placing employment security over job security. The OECD’s goal should be to give guidance on ways to create more resilient and adaptable labor markets and jobs, within the context of the over-riding goal of enhancing productivity.

“The focus on employment security should serve to improve the resilience of the entire labor force and also facilitate the ability of workers to successfully progress among or between jobs”, said Ronnie Goldberg, chair of the BIAC Employment, Labor and Social Affairs Committee and senior counsel at USCIB.

The digitization of our economies should be seen not as a threat but as an opportunity. At the Ministerial, BIAC emphasized the importance of ongoing OECD work on skills and technology. Technological and structural changes inevitably result in labor market disruption. Flexibility-enhancing policies, together with those promoting life-long learning and development of strategic skills, are necessary to address these disruptions and raise aggregate employment levels.

BIAC also highlighted the importance to business of the current refugee crisis facing many OECD countries, and of labor migration in general. The business community is willing and able to assist governments in more swiftly processing and integrating refugees, for example by helping with skills assessment and recognition. At the same time, governments need to establish clear, transparent and efficient national immigration laws with policies that facilitate labor mobility, and allow the integration of migrants to meet labor market needs.

“Companies are well aware of the magnitude of the current challenge facing governments and local communities,” said Goldberg. “We have a wealth of on the ground experience and knowledge that can be brought to bear, and would welcome the opportunity to be at the table with policymakers.”

We’ve All Got to Work Together on Global Health Challenges

USCIB is pleased to launch this Health and Nutrition Blog, which will include our priorities, activities, and updates related to global nutrition and health policy in major United Nations, World Health Organization, and OECD processes. We look forward working with our members and all stakeholders as they address global health challenges as we aspire to to a healthier 2016 for all! 

By Helen Medina

nutrition_globeAs in years past, January 1st is the time that many Americans make New Year’s resolutions. Often those are associated with a pledge to live a healthier lifestyle. One can experience the result of this undertaking in overcrowded  gyms, jam-packed yoga classes and in the media with advice on how to keep those resolutions. Health and wellness is top-of-mind for many of us, and especially with policymakers. While each of us may be experiencing different challenges to achieve our own optimum well-being, there is no dispute that health is important for all.

Many countries lose approximately two to three percent of their GDP due to under-nutrition, and worldwide, non-communicable diseases account for 60 percent (35 million) of global deaths.

In fact, the United Nation’s Sustainable Development Goals reflect the importance of nutrition and health, with targets listed at the top as goals 2 and 3 respectively. Goal 2 aims to address the challenges the world faces as the population continues to grow. More effort and innovation are needed to increase agricultural production, improve the global supply chain, decrease food losses and waste and ensure that all who are suffering from hunger and malnutrition have access to nutritious food. Goals 3 is “ensure healthy lives and promoting well-being for all at all ages.” The associated targets aim to reduce the rate of global maternal mortality, end preventable deaths of newborns, reduce by one third premature mortality from non-communicable diseases and end certain epidemics.

The Access to Nutrition Index indicates that 805 million people globally suffer from hunger and more than two billion people suffer from micronutrient deficiencies. The economic costs of under-nutrition are high, as many countries lose approximately two to three percent of their GDP due to under-nutrition. In Africa and Asia, the cost can be as high as 11 percent of GDP.

According to the World Health Organization, non-communicable diseases (NCD) make the largest contribution to mortality both globally and in the majority of low- and middle-income countries . Worldwide, NCDs account for 60 percent (35 million) of global deaths. The largest burden – 80 percent (28 million) – occurs in low- to middle-income countries, making NCDs a major cause of poverty and an urgent development issue. They will be the leading global cause of disability by 2030.

USCIB understands the scale and complexity of these global challenges. Together with our members, we are actively following and participating in international discussions on nutrition because we believe that no one organization, industry or government can make a material difference completely on its own. Instead, we must bring forward and catalyze partnerships that connect across business, government and civil society. Working together is key to addressing today’s health challenges. As innovators, goods and service providers and employers, companies are only as strong as the communities that they work in and serve, and they are committed to offering solutions and actions.

Human Rights First Summit Explores Solutions to Human Trafficking

Human Rights First

“The 2015 Human Rights First Summit, held December 9 at the Newseum in Washington, D.C., featured experts who sought to answer difficult questions on how to combat human trafficking…a diverse panel of experts…moderated by Ariel Meyerstein, Vice President of Labor Affairs at the United States Council for International Business (USCIB)—delved deeper into the issue.”

Read the full Human Rights First article.

At High-Level Summit, Business Representatives Urge Ambitious Climate Pact

Peter Robinson (USCIB)
Peter Robinson (USCIB)

Paris, December 9, 2015 – Private-sector representatives from around the world have endorsed the conclusion of an ambitious and comprehensive worldwide agreement to reduce greenhouse gas emissions and strengthen resilience, while advancing energy access and security in the context of sustainable development.

Meeting today at the headquarters of the French business federation. MEDEF, company executives and business federation officials from more than 20 countries agreed on a joint declaration stating: “Climate change is a common responsibility for all stakeholders, including for businesses in every part of the world, of every sector and every size, large groups and SMEs.”

“We have a common and unified approach to this urgent challenge,” said USCIB President and CEO Peter Robinson. “Our message to governments is clear: Business needs the right policy frameworks in order to enable and incentivize the mammoth amounts of investment and innovation that will enable our global society to avoid the worst consequences of climate change. And we require a clear and recognized path to participate in ongoing discussion with the UN and with national governments as we move forward together.”

As the COP21 talks moved into its final crucial stage, the joint business statement laid out a blueprint for an effective global agreement to mobilize broad private-sector action to apply its technological know-how to effectively addressing climate change. An ambitious agreement, it said, must include transparent, fair and comparable national commitments among all parties, effective and transparent monitoring and reporting mechanisms, and the maintenance of open trade and investment regimes worldwide.

Business leaders from major developed and developing countries called on governments to remain engaged with the private sector after COP21, including through an institutionalized channel for private-sector consultation and engagement in the UN Framework Convention on Climate Change process.

On Saturday, American business representatives including Robinson appealed governments to establish a mechanism for ongoing, substantive dialogue with the private sector, saying such a mechanism is essential to achieving COP21’s goal of effectively addressing global climate change.

With over twenty years’ experience of direct engagement in the UN climate process, USCIB is representing American business at COP21 in its capacity as the U.S. affiliate of the International Chamber of Commerce (ICC), which is serving as the umbrella business coordinator in Paris, and as a member of the Business Major Economies Forum (BizMEF), which encompasses national business groups from the leading economies around the world.

About USCIB:
USCIB promotes open markets, competitiveness and innovation, sustainable development and corporate responsibility, supported by international engagement and regulatory coherence. Its members include U.S.-based global companies and professional services firms from every sector of our economy, with operations in every region of the world. With a unique global network encompassing leading international business organizations, including ICC, USCIB provides business views to policy makers and regulatory authorities worldwide, and works to facilitate international trade and investment. More at www.uscib.org.

Contact:
Jonathan Huneke, USCIB
+1 212.703.5043, jhuneke@uscib.org

Highlights from the First Week of COP21

Norine Kennedy (USCIB) speaks at an event at the U.S. Center about using trade to jump start Paris action.
Norine Kennedy (USCIB) speaks at an event at the U.S. Center about using trade to jump start Paris action.

World leaders representing nearly 200 nations have gathered in Paris for the Conference of the Parties (COP21) to finalize a long-term global climate agreement aimed at reducing greenhouse gas emissions and helping communities deal with the adverse effects of global warming. On December 5, the draft climate agreement agreed by 195 countries was presented to the COP. The COP president hopes to have an outcome ready for review by Friday, December 11.

USCIB led an American business delegation to Paris, providing critical business recommendations and engagement to the UN through its global network, including the International Chamber of Commerce (ICC), and in partnership with the Major Economies Business Forum on Energy Security and Climate Change (BizMEF), to inform the agreement’s outcome, ensuring that its conclusions truly work for business.

COP21 will conclude on December 11. Here are some highlights from week one of the world’s largest climate change summit.

Find out more on USCIB’s climate homepage.

U.S. business appeals for private-sector role in UN climate talks

L-R: Pierre Dejoux (Otis/United Technologies), Alexandra Liftman (Bank of America) and Peter Robinson (USCIB)
L-R: Pierre Dejoux (Otis/United Technologies), Alexandra Liftman (Bank of America) and Peter Robinson (USCIB)

American business representatives gathered at the UN climate summit in Paris have appealed to governments to establish a mechanism for ongoing, substantive dialogue with the private sector, saying such a mechanism is essential to achieving COP21’s goal of effectively addressing global climate change.

USCIB and the American Chamber of Commerce in France issued a joint declaration following a business briefing on December 5 that coincided with the halfway point of COP21.

The declaration stated: “Until now, business groups have been viewed as ‘observers’ at these vital UN deliberations. Yet in view of all that business does and offers, that is a misnomer. We see COP21 as a pivotal opportunity to pursue institutional innovation. New challenges require new ways of working together, which can be achieved through the recognition and expansion of partnerships, dialogue and consultation between governments and the private sector.”

“Our takeaway from today is that the UN needs business,” USCIB President CEO Peter Robinson said at the meeting. “It needs a solid working relationship between business and the UN system. To be sure, business needs the UN Climate Agreement – but more importantly, the UNFCCC needs business.”

Read the full press release here.

View photos of the event (Flickr).

Business rallies in support of COP21 agreement

Business representatives taking part in the official COP21 Business and Industry (BINGO) Day on December 4 called on governments to seal a deal that will work with the private sector and help them do more to meet the climate challenge.

“A COP21 agreement must work with business to speed and scale up the innovation and investment needed to reduce emissions and increase resilience to changing weather patterns,” said ICC Secretary General John Danilovich.  Danilovich pointed to the estimated $53 trillion investment required in energy supply and efficiency that is largely expected to come from the private sector, saying “It’s clear that business action and engagement will be, without doubt, a central and defining part of the solution [to the climate challenge].”

In a letter to the New York Times on December 4, Danilovich also said: “It is therefore vital that the Paris talks mark the start of a new era of collaboration with business when it comes to climate change.”

Read more on ICC’s website.

Climate pledges at a glance

Never have there been more world leaders focused on one issue, for one day, in one place. 150 presidents and prime ministers, along with 40,000 delegates from 195 countries and civil society and businesses have been attending COP21. Pledges made by countries during the first week of COP21 include:

  • $248 million in adaptation finance pledged for the world’s poorest by 11 countries to the Least Developed Countries Fund.
  • $500 million for a green incentives fund by Germany, Norway, Sweden and Switzerland in partnership with the World Bank.
  • Mission Innovation,” a public-private partnership unveiled by President Obama and Bill Gates pledging $20 billion over five years of R&D funding for clean energy innovation.
  • One trillion dollars by 2030 for the massive deployment of affordable solar energy in developing countries through the “International Solar Energy Alliance” backed up by 120 countries.
  • 2 billion euros pledged by France in renewable energy in Africa from 2016-20.

At the start of COP21 on November 30, President Obama said: “We are the first generation to feel the impact of climate change, and the last generation that can do something about it.”

COP21 will conclude on December 11.

U.S. Business Appeals for Private-Sector Role in UN Climate Talks

L-R: Pierre Dejoux (Otis/United Technologies), Alexandra Liftman (Bank of America) and Peter Robinson (USCIB)
L-R: Pierre Dejoux (Otis/United Technologies), Alexandra Liftman (Bank of America) and Peter Robinson (USCIB)

Paris, December 7, 2015 – American business representatives gathered at the UN climate summit in Paris have appealed to governments to establish a mechanism for ongoing, substantive dialogue with the private sector, saying such a mechanism is essential to achieving COP21’s goal of effectively addressing global climate change.

The United States Council for International Business (USCIB) and the American Chamber of Commerce in France issued a joint declaration following a business briefing on December 5 that coincided with the halfway point of COP21.

The declaration stated: “Until now, business groups have been viewed as ‘observers’ at these vital UN deliberations. Yet in view of all that business does and offers, that is a misnomer. We see COP21 as a pivotal opportunity to pursue institutional innovation. New challenges require new ways of working together, which can be achieved through the recognition and expansion of partnerships, dialogue and consultation between governments and the private sector.”

The two business groups said a new business consultative mechanism would provide both long-term and short-term benefits, helping governments prioritize policies to address climate change, while allowing companies to better invest in cleaner technologies and solutions. This mechanism could provide national governments and the UN secretariat with detailed technical guidance on a range of matters, including implementation of the Intended Nationally Determined Contributions (INDCs) at the national and international levels.

“COP21 gives us an opportunity to develop workable solutions. These can only be found if the private and public sector work together. It is time for the UN to provide a recognized interface for business engagement so that together we build solutions that make a difference in the fight against climate change.” Pierre Dejoux (Otis/United Technologies), member of the board and representative of the Green Growth Committee at AmCham France. The Green Growth Committee, made up of representatives from large corporations, SMEs and startups, leads AmCham’s actions on climate change and sustainability issues. Through its network of committees, AmCham’s role as a business enabler focuses on facilitating exchanges amongst private sector actors and on fostering a dialogue with public authorities in France.

“Our takeaway from today is that the UN needs business,” USCIB President CEO Peter Robinson said at the meeting. “It needs a solid working relationship between business and the UN system. To be sure, business needs the UN Climate Agreement – but more importantly, the UNFCCC needs business.”

With over twenty years’ experience of direct engagement in the UN climate process, USCIB is representing American business at COP21 in its capacity as the U.S. affiliate of the International Chamber of Commerce (ICC), which is serving as the umbrella business coordinator in Paris, and as a member of the Business Major Economies Forum (BizMEF), which encompasses national business groups from the leading economies around the world.

About USCIB:
USCIB promotes open markets, competitiveness and innovation, sustainable development and corporate responsibility, supported by international engagement and regulatory coherence. Its members include U.S.-based global companies and professional services firms from every sector of our economy, with operations in every region of the world. With a unique global network encompassing leading international business organizations, including ICC, USCIB provides business views to policy makers and regulatory authorities worldwide, and works to facilitate international trade and investment. More at www.uscib.org.

Contact:
Jonathan Huneke, USCIB
+1 212.703.5043, jhuneke@uscib.org.