Time to step up
Rod Oram on business responsibility
Business must help shape the outcome of our general election this September, in ways it never has before. Far too much is at stake here and around the world to let timid or manipulative politicians and disengaged voters hold sway.
Abroad, Trump’s America First and May’s Brexit are over-throwing the economic, political and cultural foundations of the peace and prosperity we’ve enjoyed for 70 years.
These and other leaders of the neo-nationalist revolution are right. Trade and migration have harmed some people. But their remedies will do nothing for those they are trying to help. Worse, they will deeply damage the economic and political systems that must evolve to deliver true progress.
Take trade and tax. Republican congressional leaders are pushing for radical overhauls of both in the hope of boosting domestic activity at the expanse of imports. But both will hit the domestic and global economy hard.
For succinct analysis of this, read Paul Krugman on tax and tariffs, bit.ly/KrugmanTax, and Martin Wolf on manufacturing, bit.ly/ MfgWolf
Take immigration. Trump’s ban on people from seven countries is only the start of his goal to drastically cut the flow of people into the US. Jeff Sessions, likely his Attorney General, wrote this handbook on how two years ago, bit.ly/SessionsMigrants
Sessions, for example, calls ‘‘a hoax’’ Silicon Valley’s analysis that migrant talent is essential to its global success. Thus, Google, Microsoft, Apple and other tech giants are the most forceful business protesters against the ban.
Take politics. Congress and the wider political system have long been hyper-partisan and massively deadlocked. But just two weeks into the Trump presidency, Republican leaders are doubling down on dysfunction.
For example, some congressional committees have parked their rules so they can ram through cabinet nominations without any Democrats in the room to vote. This will only get worse as Democrats in congress and in blue states ramp up the stonewalling strategies Republicans had devised in opposition
Take culture. Trump instinctively knew how disaffected voters could win him the presidency. But victory was secured by the formidable ideological, campaigning and communication skills of Steve Bannon.
Bannon is one of the few, and by far the most persuasive, external voice in Trump’s head. For a sense of his toxic mix of white supremacist, neo-nationalist views read this transcript of a speech he gave in 2014, bit.ly/BannonWorld
Clearly, economic, political and cultural revolution is underway, thanks to the likes of Trump, Bannon and others in the US and Europe.
No surprise a vocal and forceful pushback is emerging. But such people and institutions have a very long, hard road ahead to imagine and articulate what a 21st century version of a liberal world looks like,
This is no time to hunker down, believing we'll be alright as we are.
and how it might be achieved.
Business, given its economic, social and environmental power, has a deep responsibility to play its part in this great debate. Notably, the leaders in this are some of the most enlightened multinationals. Unilever, the Anglo-Dutch consumer goods company, is one example.
Such companies understand the failures of their current business models, and the economic and political systems enabling them. They are energetically seeking deep change.
Here in New Zealand, strong business leaders were crucial to our reforms from the mid-1980s to the early-1990s. But they were driven by a very narrow, zealous ideology. The resulting economic and social damage they inflicted diminished and devalued the significant progress achieved.
Over the past 20 years, NZ business leaders were unhelpful in another way. They sat back, certain the economic and social settings conducive to their success were secure. They were largely silent on the changing needs of the nation, and the evolving nature of business.
Yet, escalating events abroad in recent years have triggered vast disruption. There is no place for New Zealanders to hide. This is the wrong time to hunker down believing we’ll be alright as we are.
Now is the right time for business to step up as apolitical inspirers, enablers and leaders of economic, social and environmental progress.