DAVOS, Switzerland – The irony is so thick you can ski on it.
When the World Economic Forum (WEF) released its “Global Risks 2014” report last January in advance of its annual meeting in Davos, Switzerland, it named the “worsening wealth gap” as the year’s biggest risk.
To outside observers, WEF is in many ways the embodiment of that global risk. It is the annual gathering of the world’s super rich, peppered with artists, academics and scientists to boost discussion and enlightenment. About 1,700 private flights are scheduled to swoop down on this Swiss resort town over the next few days, with each return flight costing an estimated $28,000.
Free food will be plentiful, the parties will be lavish, and for those without a hangover, mindfulness guru Jon Kabat-Zinn will lead each morning off with group meditation.
WEF’s “Global Risks 2015” report, released last week, cites international conflict and the world’s growing water crisis as this year’s biggest risks. Income disparity didn’t even make the short list.
Does this mean the wealth gap is narrowing? Quite the contrary. A report released this week by Oxfam International says the problem is getting worse.
Oxfam warns that by 2016 the planet’s wealthiest 1 per cent will control just as much – if not more – of the world’s assets as the 99 per cent combined. Indeed, since 2009 the 1 per cent has expanded its slice of the wealth pie to 48 per cent from 44 per cent. Oxfam contends it will reach, and possibly surpass, 50 per cent sometime next year.
To be fair, if the WEF picked the same No. 1 global risk every year the headline-framing press release would quickly get stale. The reality is that there are, in any given year, many global risks competing for international attention and most of them get discussed in Davos. In fact, the WEF did address the wealth gap ahead of its meeting this week with the release of a 14-point plan of action that tackles everything from minimum wage to corruption.
Elitist as it is, WEF is effective at getting the planet’s wealthiest, brainiest and most politically powerful under one roof for a few days. Bill Gates, John Kerry and happy guy Pharrell Williams won’t solve the world’s problems in one week, but the occasion shines a light on these problems and allows for a sharing of information and commitment that can inspire action, hard as it may be to measure.
WEF is also an occasion that others can piggyback, drawing attention to their own research and causes. The Oxfam report is one of dozens expected to be released during the week. The United Nations Environment Programme, for example, will release a report called “Pathways to Scale,” part of an inquiry into designing a more sustainable financial system. The report will outline how banks, bond markets, and institutional investors can, with the right tools and policy, help redirect the flow of capital to achieve long-term sustainable development.
For 10 years now Corporate Knights has launched the annual Global 100 Most Sustainable Companies in the World ranking from Davos, where we also host an executive roundtable dinner. The dinner is an opportunity for leading business, finance and economic minds – from George Soros to Sir Nicholas Stern – to discuss ways of making capitalism more sustainable. This year’s topic is how to create a favourable investment climate to price carbon.
On Friday morning, Corporate Knights and the Schulich School of Business at York University will host the final round of the second-annual CK-Schulich Business for a Better World MBA case competition, which this year is aimed at making pharmaceutical giant Novartis a sustainable leader among its peers.
Teams from the University of Victoria, Simon Fraser University and Schulich have travelled to Davos to present their business plans in front of a live judging panel. The winning team will take home a $6,000 prize.
Throughout the week, Corporate Knights will file reports from WEF on issues that fall within our sustainable business mandate. We will pay particular interest to discussions around climate action, including a Thursday morning session titled “Closing the Climate Deal,” which is expected to build consensus and momentum toward reaching a global emission-reduction plan in Paris this December.
Many of the WEF sessions will be webcast live, including those with a focus on environmental and social issues. We’ve listed some of those sessions below in case you’d like to tune in. You can search for these on the WEF website, put them in your online calendar and schedule email reminders:
Wednesday 21 January
09.00 - 10.00 (3 a.m. EST)
The New Energy Context
How are technological, economic and geopolitical changes shaping the future energy landscape?
10.00 - 10.30 (4 a.m. EST)
What's Next? A Climate for Action
Through a powerful visual narrative, Nobel Laureate Al Gore reveals what's next for climate in 2015.
14.30 - 15.45 (8:30 a.m. EST)
The Geo-Economics of Energy
How are energy producers and consumers adapting to increasing uncertainty?
Dimensions to be addressed: Demand and supply uncertainty; Market volatility; Geo-economic shifts
Thursday 22 January
16.30 - 17.30 (10:30 EST)
Closing the Climate Deal
How can a comprehensive global climate deal be achieved in 2015?
Friday 23 January
09.00 - 10.00 (3 a.m. EST)
The BBC World Debate: A Richer World, but for Whom?
Are existing growth models failing to deliver jobs and address income inequality?
10.30 - 11.30 (4:30 a.m. EST)
Tackling Climate, Development and Growth
What resources and commitments are needed now to tackle climate change, development and growth?
12.30 - 14.00 (6:30 a.m. EST)
Employment: Mind the Gap?
Remuneration for top jobs continues to increase while mechanization and offshoring have eroded middle-wage jobs. Inequality in capital and income are on the rise and the trend shows no signs of abating. With 42 million people striving to join the workforce every year, is this trend reversible?
- What are the long-term concerns for youth in this tough market?
- What solutions could alleviate this trend in the short term?
- How can the labour market be re-organized? - Is globalization driving inequality?
18.00 - 18.15 (noon EST)
Sustainable Development: Demystifying the Facts
A thought-provoking presentation by Professor Hans Rosling that reveals the surprising trends shaping today’s world.
18.15 - 18.45 (12:15 p.m. EST)
Sustainable Development: A Vision for the Future
A discussion with Bill and Melinda Gates on catalysing action on the new Sustainable Development Goals
18.30 - 20.00 (12:30 EST)
Should Business Lead the Social Agenda?
Complex global problems are often left for international organizations and government to solve. As a result, we have failed to meet challenges such as the Millennial Development Goals. Businesses play an increasingly important role in the global system, and face growing pressure from millennial consumers and employees to align core operations with social impact. Can businesses help to find a solution to global challenges, and should these challenges really be tackled by businesses?
- Is business doing enough?
- Can business solve social problems and make a profit? What models exist?
- Do other stakeholder groups need to rethink their traditional roles?
Saturday 24 January
11.00 - 11.30 (5 a.m. EST)
An Insight, An Idea with Mario Molina
A conversation with Nobel Laureate Mario Molina on communicating the science behind climate change
15.30 - 16.30 (9:30 a.m. EST)
The Diversity Dividend
How can organizations embrace diversity to drive innovation and sharpen their competitive edge? Dimensions to be addressed: Paths for women in power; Ensuring LGBT inclusion; Diversity beyond borders
