Business corporations – SBS Internet Solutions http://www.sbs-internetsolutions.com/ Sun, 19 Sep 2021 16:07:48 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 http://www.sbs-internetsolutions.com/wp-content/uploads/2021/06/cropped-icon-32x32.png Business corporations – SBS Internet Solutions http://www.sbs-internetsolutions.com/ 32 32 Ralph Martire | Business opposition to budget bill based on flawed theory | Guest comment http://www.sbs-internetsolutions.com/ralph-martire-business-opposition-to-budget-bill-based-on-flawed-theory-guest-comment/ Sun, 19 Sep 2021 14:45:00 +0000 http://www.sbs-internetsolutions.com/ralph-martire-business-opposition-to-budget-bill-based-on-flawed-theory-guest-comment/ The $ 3.5 trillion budget proposal forwarded by Congress would go a long way to strengthening America’s safety net. For example, it would make child care more affordable for low- and middle-income families, while creating a path to universal early childhood programs. It would also support the incomes of working low and middle income workers […]]]>

The $ 3.5 trillion budget proposal forwarded by Congress would go a long way to strengthening America’s safety net.

For example, it would make child care more affordable for low- and middle-income families, while creating a path to universal early childhood programs. It would also support the incomes of working low and middle income workers by continuing the enhanced earned income tax credit benefits initially created under various pandemic relief programs.

The budget proposal would also make health care more affordable, among other things, by reducing the prices of prescription drugs, expanding insurance premium subsidies created under the Affordable Care Act, and launching a new program for provide coverage to approximately 2 million uninsured Americans. Oh, and that would help businesses directly by allocating federal funds to help cover the costs of family leave. But this is not the only way for companies to benefit from this “liberal” proposal.

In fact, most of the benefit programs funded by the proposal help businesses in a variety of ways, from allowing more parents – especially women – to enter the workforce, to subsidizing workers’ incomes. low or moderate income, and thus pressure employers to offer wage increases. It would also give people more money to spend on consumer purchases, which would increase business profits.

This is why business groups have historically supported the social programs that the proposed budget would fund. Yet although they contain many initiatives that businesses support and could benefit from, corporate lobbyists oppose the budget bill.

Why? The answer is simple: To cover some of the $ 3.5 trillion in spending, Congress is considering raising the corporate tax rate to 26.5 or 28% from its current rate of 21%. This tax hike is the reason American businesses oppose a budget that otherwise helps businesses.

Jay Timmons, CEO of the National Association of Manufacturers, lamented that this tax hike would bring America back “to where we were” before the cuts proposed by then President Donald Trump were passed in 2017. This is neither accurate, nor as it turns out, a bad place for business.

This is not correct because the corporate tax rate was 35% before Trump’s tax cuts were passed, still well above the levels proposed to help pay for new federal spending. And in those days before the tax cuts, companies were doing pretty well from a profitability standpoint. How well? According to data from the United States Bureau of Economic Activity, aggregate after-tax corporate profits in 2017 were $ 1.87 trillion.

For context, this profitability figure is 873% higher than in 1981, when President Ronald Reagan first implemented supply-side tax cuts for businesses (and high net worth individuals). ). Recall that according to the supply theory, tax increases always hurt the economy, while tax cuts for wealthy businesses and individuals are still supposed to make it grow at such a rapid rate that huge benefits will trickle down to ordinary people. But things did not turn out as promised by the suppliers.

Indeed, from the time the supply-side tax cuts were first implemented in 1981 until the passage of Trump’s tax cuts in 2017, earnings growth of companies far exceeded the country’s GDP growth, which was around 165 percent, and wage growth for the bottom 90 percent of incomes, or around 40 percent.

Going all the way on the supply side, Neil Bradley of the United States Chamber of Commerce used the flip side of the theory that all tax increases hinder economic growth when he warned that the The proposed tax increase would be “economically devastating for the country”. “

No, it won’t. The truth is, the data has never supported one or the other central tenet of the offer: that tax cuts always boost the economy or that tax hikes always hurt it.

On the contrary, every credible independent study on the supply side to date, whether by the London School of Economics, the International Monetary Fund, or the Congressional Research Service, has found that reducing or increasing rates of Taxation of corporations – or high net worth individuals, for example this issue – is simply not correlated with economic growth.

However, investing in human capital generates increased economic activity that benefits everyone, including businesses.

Ralph Martire is executive director of the Center for Tax and Budget Accountability, a bipartisan tax policy think tank, and Arthur Rubloff professor of public policy at Roosevelt University in Chicago. He can be contacted at rmartire@ctbaonline.org.


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What is preventing another Steinhoff-type corporate disaster in South Africa? http://www.sbs-internetsolutions.com/what-is-preventing-another-steinhoff-type-corporate-disaster-in-south-africa/ Sun, 19 Sep 2021 06:59:53 +0000 http://www.sbs-internetsolutions.com/what-is-preventing-another-steinhoff-type-corporate-disaster-in-south-africa/ By Mpho Mashatola What is stopping another Steinhoff, Tongaat Hulett, African Bank, Eskom or SAA from happening in South Africa? This is an issue that should be a priority for those who have invested hard-earned money in banks and large corporations, those who are saving for the future, those seeking employment, as well as communities […]]]>

By Mpho Mashatola

What is stopping another Steinhoff, Tongaat Hulett, African Bank, Eskom or SAA from happening in South Africa? This is an issue that should be a priority for those who have invested hard-earned money in banks and large corporations, those who are saving for the future, those seeking employment, as well as communities that depend on cash. corporate social spending.

The consequences of a business failure go far beyond the negative financial impacts and the impact on the livelihoods of those the corporate world has influenced. When a business failure occurs, the question to ask is whether we, as a country, have reacted adequately to prevent future business failures. The same questions can arise in the case of public entities.

In 2002, the United States experienced the largest corporate bankruptcy at the time – Enron Corporation. The scandal was so catastrophic that it contributed to the collapse of Enron’s external auditors, Arthur Andersen LLP, who were part of the Big 5. It was a spectacular debacle in which management failed to present the situation. financial and financial performance of the company in a fair and truthful manner in order to increase the share price and maintain Enron’s status as a darling of Wall Street at the time. Shortly thereafter, there was another corporate bankruptcy, which exceeded that of Enron in terms of the scale of the fraud that had taken place, WorldCom. These corporate failures prompted the enactment of a federal law called the Sarbanes-Oxley Act of 2002. The primary purpose of Sarbanes-Oxley is to protect corporate stakeholders, and I will cite a few of the articles that she introduced:

Article 302: This provision requires that a company’s accountants (typically the CEO and CFO) certify that financial statements are presented truthfully and that the disclosure controls designed to achieve them are functioning effectively.

Article 404: The provision requires management of an organization to certify that it has designed adequate internal controls to prevent and detect material error in the financial statements.

In order for management to perform this certification, the Act requires that entities follow an internal control framework. Most companies listed in the United States comply with the requirements of the Committee of Sponsoring Organizations of the Treadway Commission (COSO) Internal Control – Integrated Framework 2013.

The importance of a committed, strong and independent audit committee was further emphasized. An audit committee holds management accountable for its actions and challenges management on the decisions it makes and the financial statements it prepares. It was time for board members to move from being simple participants to being directors who are proactively engaging in the performance of the fiduciary functions for which they are appointed by shareholders.

In the event of company bankruptcy, the Sarbanes-Oxley Act contains punitive provisions that could cause the CEO or CFO to serve up to 20 years in prison and / or pay a fine of up to $ 5 million. of US dollars.

The law also created the Public Company Accounting Oversight Board to oversee the audit profession. The board requires audit firms to be registered with it. In addition, they establish auditing standards, in particular those relating to ethics, auditor independence and quality control. The board of directors is also responsible for conducting inspections / investigations and disciplinary action on registered companies and for enforcing Sarbanes-Oxley law.

The Sarbanes-Oxley Act (also known as the SOX Act) may not have completely reduced the risk of business failure, but it has created a change in behavior and corrected perceptions of the role of external auditors in the process. financial reporting process. There is often justified social anger towards external auditors after a business failure, and there are strong calls for stricter regulation of the audit profession.

While we cannot relieve auditors of their duty to conduct their audits with professional skepticism and in accordance with auditing standards, there is no law or regulation in South Africa that imposes on the external auditors the responsibility to prevent and detect fraud or misleading financial statements. This responsibility rests with management.

International Financial Reporting Standards clearly state in International Accounting Standard 1, Presentation of Financial Statements (IAS 1), that financial statements should fairly present the financial position, financial performance and cash flows of an entity. IAS 1 further requires management to assess the entity’s ability to continue as a going concern. Companies Act 71 of 2008 requires companies to provide financial statements that “fairly present the state of affairs and activities of the company” and that they must not be “misleading in any material respect” . He goes on to say that anyone who is a party to the preparation, approval and dissemination or publication of financial statements that are materially false or misleading is guilty of an offense. International Standard on Auditing 240, Auditor’s responsibilities for fraud in an audit of financial statements (ISA 240), states that “the primary responsibility for the prevention and detection of fraud lies with those charged with the governance of the entity and the management”.

ISA 200, General objectives of the independent auditor and conduct of an audit in accordance with ISAs, further states that “an audit in accordance with ISA standards is carried out on the assumption that management and, where applicable, those charged with governance of the company have recognized certain responsibilities which are fundamental to the conduct of the audit. . The audit of financial statements does not relieve management or those charged with governance of the company from their responsibilities.

It is therefore clear that it is not enough to look only to external auditors to protect the interests of stakeholders. As a company, we need to understand that we have put our interests in the hands of management and the board and that more needs to be done to hold management and the board accountable for their corporate obligations. impartiality and fairness of the financial statements. Executives are the executors of the strategy, the initiators of the same transactions that they fail to adequately disclose.

The management watchdog is first and foremost the audit committee. An audit committee chairman once said that when financial results are good (when profits are up), budgets are met, and reviews appear positive, it is human nature to create a bias. confirmation when reviewing these financial statements. These bottom lines are less scrutinized and less contested than when the bottom line doesn’t look so good, which it shouldn’t be. The role of the audit committee is to ensure independent and objective oversight of the financial reporting process.

Doesn’t such confirmation bias create additional pressure on management to fraudulently present an entity’s financial position, financial performance and cash flows? Shouldn’t the common goal be to create an environment in which management and employees as a whole are encouraged to prepare the most accurate financial information in accordance with relevant standards?

The second watchdog should be the internal auditors; the third is that of the external auditors. It is crucial that all actors play their part to ultimately protect the interests of an organization’s stakeholders.

The creation of the financial reporting ecosystem

The United States refers to a pre-SOX and post-SOX era, highlighting the drastic measures mentioned above that have been implemented to transform the accounting and auditing profession to restore investor confidence and protect stakeholder interests.

Have we done enough in this country to tackle unethical financial reporting and unethical corporate behavior in the private and public sectors? Even if those responsible for corporate scandals are held to account, it is still after a bloodbath of financial losses suffered by ordinary citizens of this country that may never be recouped. There should be more and more calls for prevention. The JSE issued paragraph 3.84 (k) of the registration requirements which requires the CEO and CFO to sign a declaration on the effectiveness of financial controls. This is a good start, as it recognizes and again emphasizes that management is responsible for putting in place financial reporting controls to avoid misleading financial statements or financial statements that are not prepared in all respects. material in accordance with applicable accounting standards.

However, what is the standard against which the CEO and CFO can measure the effectiveness of their financial controls? What Are Effective Financial Controls? If management is responsible for implementing financial controls, how will it be able to certify that its own financial controls are effective in an impartial manner? It is possible that internal auditors in South Africa will test these controls independently, but the question remains, against what standards?

Just as companies listed on the New York Stock Exchange use COSO 2013 as a framework for implementing an effective internal control system, South Africa also needs a framework. We already have a set of good corporate governance principles in the form of the King IV Code of Corporate Governance to address many of our entity-wide controls, but we do not have any to help management implement effective financial reporting controls. The framework should be ethical and should ensure that qualified, competent and experienced people fulfill their various roles. Management and employees as a whole should be empowered by the internal controls framework to “do it right” internally through collaboration without transferring the duties of the preparer to the external auditors.

The ultimate pursuit is the creation of a culture of excellence, honesty, integrity and pride in the organizations we work for and for the country as a whole.

Mpho Mashatola CA (SA) is Financial Controller at DRD Gold Limited. The article first appeared in Accountancy SA, the SAICA member magazine. Note that these are the opinions of the author and not necessarily the opinions of SAICA or the IOL.


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Why taxing share buybacks is the wrong solution for executive compensation http://www.sbs-internetsolutions.com/why-taxing-share-buybacks-is-the-wrong-solution-for-executive-compensation/ Sat, 18 Sep 2021 12:38:25 +0000 http://www.sbs-internetsolutions.com/why-taxing-share-buybacks-is-the-wrong-solution-for-executive-compensation/ The DealBook newsletter delves into a single topic or theme each weekend, providing reports and analysis that provide a deeper understanding of an important issue in the news. This week the financial reporter Roger lowenstein weighs on a plan by Senate Democrats to tax share buybacks. If you do not already receive the daily newsletter, […]]]>

The DealBook newsletter delves into a single topic or theme each weekend, providing reports and analysis that provide a deeper understanding of an important issue in the news. This week the financial reporter Roger lowenstein weighs on a plan by Senate Democrats to tax share buybacks. If you do not already receive the daily newsletter, register here.

Corporate share buybacks have been a bogeyman to the left since Senator Bernie Sanders attacked them during his presidential race in 2016.

Now, the cause has been taken up by the Democrats in the Senate, who want to tax companies on their share buybacks. The reason given is that companies should use their cash to raise wages rather than jack up their stock prices and reward their executives.

But the truth is that taxing or restricting share buybacks won’t end corporate greed or excessive compensation.

Despite statements by business leaders about their efforts to help society, most of the social good they do arises incidentally, Therefore of their success. Private companies may be fundamental to the American experience, but most are not aimed at improving the overall standard of living or, specifically, at creating jobs.

Take Bill Gates. When he started Microsoft with Paul Allen in 1975, he had no idea of ​​making it one of the largest employers in the country. He was a smart, ambitious kid who loved computers. Today, the company has nearly 200,000 employees. Incidentally, Microsoft has just announced a $ 60 billion share buyback program.

Mr. Gates and Microsoft illustrate the paradox notoriously conceptualized by Adam Smith: Each individual “does not intend to promote the public interest, nor knows how much he is promoting it.” Instead, “he is aiming only for his own gain, and in this case, as in many other cases, he is guided by an invisible hand to promote an end that was not part of his intention.”

Decisions of modern businesses, including those that determine capital levels, are also made for selfish or self-serving reasons. Subject to well-enforced laws and strong regulation, more success usually translates into more jobs and more investment. Conversely, during the financial crisis, when businesses struggled, Main Street suffered even more.

The public capital system depends on the sale of shares in companies, but we do not require that companies sell stocks. There is no public obligation (except in regulated sectors like banking) to maintain a specific level of capital.

Here’s one way to think about it: If it’s not wrong for a company to sell $ 3 billion in stock, is it wrong for it to sell $ 4 billion and later buy back $ 1 billion? In the end, it’s the same thing.

Buyouts are just one way, through investors, to reallocate capital from surplus firms to firms in need of capital. And too much capital can be just as harmful as too little, leading to misallocation and waste of social resources.

“The best use of cash, if there’s no other good use in business, if the stock is undervalued, that’s a buyout,” Warren Buffett said in 2004.

Even so, companies frequently make capital allocation errors. Determining the right level of capital depends on predicting future returns, a highly flawed science.

It’s also true that buybacks are often made out of an unfortunate obsession with short-term stock prices. But it would be difficult to legislate a distinction between “bad” redemptions and “good” redemptions.

Proponents of taxing share buybacks say the corporate tax cut in 2017 sparked a wave of share buybacks. They argue that business leaders used the money for selfish reasons rather than investing in workers.

But the supposed link between redemptions and inequalities has not been proven. (In some periods, the correlation actually works the other way around.) Share buybacks by S&P 500 companies hit a record high of $ 806 billion in 2018. They have since fallen but remain at historically high levels . Meanwhile, over a roughly coincident period, from 2016 to 2019, inequality, measured by both income and wealth, declined slightly, reversing the trend of sharply rising inequalities since the collapse. financial, according to the Federal Reserve’s triennial consumer finance survey.

Inequality, of course, remains high (and has been reinforced by the pandemic). Its causes are complex. But in general, companies do not increase wages because they have excess capital; they are increasing wages to attract more and more talented workers. If there is a link between buyouts and wages, it is rather obscure; what we do know for sure is that before the pandemic, when executives actively bought back stocks, the relative wages of the lowest were finally starting to regain lost ground.

The worst aspect of penalizing share buybacks to restrict executive compensation is that it is a painfully indirect approach. The argument that buybacks sometimes improve executive compensation holds true for anything that raises stock prices. This can include investing in a new product, leveraging the balance sheet by borrowing (which has the same effect as taking out equity), cutting expenses, or doing whatever else shareholders decide to reward.

Those who oppose the corporate tax cut might better achieve their goals by reversing it than by taxing the buyouts that were a supposed and relatively minor result of the reduced tax rates.

For those who believe that executives are unreasonably and often obscenely playing their control over company assets, it would be more effective to tackle the problem head-on. Increase the marginal income tax on very high incomes.

More directly, the Securities and Exchange Commission could require that executive compensation plans above a minimum threshold be subject to a binding vote by shareholders, who foot the bill.

Finally, there is an argument that options given to insiders create an untenable conflict of interest and an abuse of fiduciary responsibility. Perhaps they should be banned or the profits of the options should be taxed at high punitive rates.

But does the takeover deserve to be a whipped child for real or imagined corporate ills? Common sense suggests that it is best to leave it alone.

Roger Lowenstein is the author of six books, the most recent being “America’s Bank: The Epic Struggle to Create the Federal Reserve”. He is also a director of the Sequoia Fund. He writes regularly here.

What do you think? Should the government tax share buybacks? Are there better ways to control executive compensation? Let us know: dealbook@nytimes.com.


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With tighter grip, Beijing sends message to Hong Kong tycoons: stand in line http://www.sbs-internetsolutions.com/with-tighter-grip-beijing-sends-message-to-hong-kong-tycoons-stand-in-line/ Fri, 17 Sep 2021 08:25:00 +0000 http://www.sbs-internetsolutions.com/with-tighter-grip-beijing-sends-message-to-hong-kong-tycoons-stand-in-line/ HONG KONG, Sept. 17 (Reuters) – As Beijing seeks to tighten its grip on Hong Kong, it has a new mandate for the city’s powerful property tycoons: devote resources and influence to support interests of Beijing and help solve a potentially destabilizing housing shortage. Chinese officials delivered the message in closed-door meetings this year as […]]]>

HONG KONG, Sept. 17 (Reuters) – As Beijing seeks to tighten its grip on Hong Kong, it has a new mandate for the city’s powerful property tycoons: devote resources and influence to support interests of Beijing and help solve a potentially destabilizing housing shortage.

Chinese officials delivered the message in closed-door meetings this year as part of broader efforts to bring the city under a sweeping national security law and make it more “patriotic,” according to three leading developers. and a Hong Kong government adviser familiar with the talks.

“The rules of the game have changed,” they were told, according to a source close to mainland officials, who declined to be named because of the sensitivity of the case. Beijing is no longer willing to tolerate “monopoly behavior,” the source added.

For the biggest real estate companies in Hong Kong, that would be a big change. Corporations have long wielded inordinate power under the city’s hybrid political system, helping choose its rulers, shaping government policies, and reaping the benefits of a land auction system that kept supply and prices down. some of the highest real estate in the world.

The sprawling businesses of the top four developers, CK Asset (1113.HK), Henderson Land Development (0012.HK), Sun Hung Kai Properties (SHKP) (0016.HK) and New World Development (0017.HK), extend their influence even more in society. For example, the empire of Hong Kong’s richest man, Li Ka-shing of CK Assets, includes real estate, supermarkets, pharmacies, and utilities.

Because the tycoons are so deeply tied to the city’s economy and politics, it would be difficult for Beijing to rule them out entirely, said CY Leung, former Hong Kong leader and now vice chairman of the highest advisory body. Chinese.

“They are a major component of our political and economic ecosystem, so we have to be careful,” Leung told Reuters. “I think we have to be wise with what we do and not throw the baby out with the bathwater.”

INFLECTION POINT

Some Chinese officials and state media have criticized the tycoons for failing to prevent anti-government protests in 2019 that they said were rooted in sky-high house prices.

The protests, joined by millions of people of all ages and walks of life, called for more democracy and less interference from Beijing to Hong Kong, which had been promised vast freedoms until 2047.

The new directives mark an inflection point in the power game between Beijing and the tycoons, who once held sway over the king in the race for political leadership of Hong Kong.

“Now the focus is on contributing to the country; this is not what the traditional Hong Kong business sector is used to,” said Raymond Tsoi, chairman of Asia Property Holdings (HK) and member. of the Chinese People’s Political Consultative. Shanxi Conference Committee.

In March, Beijing made sweeping electoral changes. In a new electoral committee, tasked with choosing Hong Kong’s next ruler and some of its lawmakers, a greater “patriotic” force has emerged, while many prominent tycoons, including Li, 93, will be absent for the first time since Hong Kong returned to Chinese rule in 1997.

The Hong Kong Constitutional and Continental Affairs Office said the new electoral committee would be more broadly representative of Hong Kong, going beyond the vested interests of specific sectors, specific districts and specific groups, which it called ‘shortcomings’ of the system.

The source close to Chinese government officials told Reuters that a team from the Hong Kong and Macao Affairs Bureau and Liaison Office (HKMAO) had sought to reduce the influence of groups perceived to have done little for them. Beijing’s interests in the city.

HKMAO and the liaison office did not respond to requests for comment.

The SHKP said it is confident in Hong Kong’s future and will continue to invest there and in mainland cities. Henderson Land and New World Development declined to comment, while CK Holdings did not respond to the request for comment. Li did not respond to a request for comment.

‘GIVE MORE’

The developers have already taken steps to show that the message has been received.

New World and Henderson Land donated rural land as reserves for social housing. In recent weeks, Nan Fung Group, Sun Hung Kai, Henderson Land and Wheelock have applied for a public-private partnership program, the first applications since the program launched in May 2020.

The program offers developers the option to build on a higher percentage of open land, but they must use at least 70% of the additional floor area for social housing. Several told Reuters last year that the program was unattractive because there were many restrictions and the risk of higher costs.

“Beijing is not telling us what to do, but says you have to solve this problem,” Gordon Wu of Hopewell Holdings told Reuters, adding that “it will not be impatient but it will put pressure on you.”

Another developer source, who declined to be named due to the sensitivity of the issue, said Chinese officials have set expectations, but no strategy or deadline.

“We can continue to operate as long as we give more back to the company,” said the source, a senior official at a major developer in Hong Kong. The sector must redouble its efforts to alleviate the housing shortage, he added.

Most of the developers have published statements and advertisements in newspapers, as well as other Chinese companies, to support national security legislation and electoral changes.

Critics of the measures said they dashed democratic dreams, while authorities said they were needed to restore stability after the 2019 protests.

Adrian Cheng, 41, who took charge of New World, founded by his grandfather, told Reuters late last year that the company needed to become more relevant to society, especially in a new environment where companies must carefully balance the interests of various parties.

“It’s not easy. I have a lot of gray hair that you can’t see,” Cheng said.

(This story corrects to clarify the name of Sun Hung Kai Properties in paragraph 5

Additional reporting by James Pomfret; Editing by Anne Marie Roantree and Gerry Doyle

Our Standards: Thomson Reuters Trust Principles.


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Salesforce Said It Will Help Employees Leave Texas Due To Abortion Law http://www.sbs-internetsolutions.com/salesforce-said-it-will-help-employees-leave-texas-due-to-abortion-law/ Sat, 11 Sep 2021 20:57:00 +0000 http://www.sbs-internetsolutions.com/salesforce-said-it-will-help-employees-leave-texas-due-to-abortion-law/ In a Soft (JOB) message obtained by CNBC, the cloud computing company told its 56,000 employees that they “stand with all of our women at Salesforce and everywhere.” “That being said, if you have concerns about accessing reproductive health care in your state, Salesforce will help relocate you and your immediate family members,” the Slack […]]]>
In a Soft (JOB) message obtained by CNBC, the cloud computing company told its 56,000 employees that they “stand with all of our women at Salesforce and everywhere.”

“That being said, if you have concerns about accessing reproductive health care in your state, Salesforce will help relocate you and your immediate family members,” the Slack post said.

Salesforce took no position on Senate Bill 8 in the statement. The company has 16 sites in the United States, including one in Dallas.

Texas law, which prohibits abortion providers from performing abortions once a fetal heartbeat is detected, essentially banned the procedure from six weeks a pregnancy. (Under current federal law, the procedure is legal, but many states have restrictions such as waiting periods or a ban after a woman has been 20 weeks pregnant.)

The law came into effect on September 1 after the Supreme Court and the Federal Court of Appeal refused to rule on the blocking attempts. It effectively bans at least 85% of requested abortions in the state, according to opponents. It also punishes anyone, not just health care providers, who “aids or encourages” a restricted abortion. This would include healthcare providers, family and friends, or anyone transporting a person to or from an abortion clinic.

The Justice Department filed a lawsuit against Texas on Thursday over the abortion law.

Friday night, Salesforce CEO Marc Benioff tweeted, “Ohana if you want to move, we’ll help you leave TX. Your choice.”

Benioff and Salesforce have long championed social causes and corporate responsibility.

Salesforce company acquired Slack in December for over $ 27 billion. Shares have since risen more than 6%.
“Businesses are the best platform for change. My role is to help CEOs see they can change,” Benioff said in an interview with CNN Business in December.
This isn’t the first time the company has criticized a controversial state law. Salesforce was one of the first corporate voices against sweeping election bills in Georgia, which critics said was a clear voter suppression. Atlanta is home to Salesforce Towers, the company’s regional headquarters, which employs 1,300 people.

“A person’s right to vote is the foundation of our democracy,” Salesforce tweeted in March after the Georgia House of Representatives passed a bill that called for voter identification, less time to ask for votes. postal ballots, severely restricted access to early voting and even clarified that no one can offer water to voters who queue.

“Georgia HB 531 would limit reliable, safe and equal access to voting by restricting early voting and eliminating provisional ballots. That is why Salesforce opposes HB 531 as is,” the company said.

While U.S. businesses have taken public positions on last summer’s racial justice protests and restrictive voting laws filed or enacted in various states, U.S. businesses have largely remained silent on Texas abortion law. .

Exceptions include the private company Bumble and the Match group (MTCH) CEOs who both announced last week that they were creating relief funds for those affected by Texas’s abortion law.

“Bumble is founded and run by women, and from day one we have stood up for the most vulnerable. We will continue to fight regressive laws like # SB8,” the company said on Twitter.

Bumble and Match pledges to help those affected by Texas abortion law
And Lyft (LYFT) CEO Logan Green tweeted that his company had created a legal defense fund to cover the legal costs of one of its drivers who are being prosecuted under SB8. Uber (UBER) then followed. The broad wording of the law could make drivers responsible for helping a person to have a restricted abortion while transporting them, even without knowing it.
No large company has announced its departure from Texas. Large Texas-based companies such as Hewlett Packard (HPQ) in Houston publicly spoke out against the state’s new restrictive electoral law, which came into effect on Sept. 7.

Other cities are capitalizing on controversial new state laws. The city of Chicago will run a full-page ad in the Sunday edition of the Dallas Morning News listing the reasons Windy City is “a great place for business.” This ad refers to voting, abortion and Covid-19, all major political issues in Texas.

CNN’s Paul R. La Monica and Charles Riley contributed to this story.



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OF corporatization, selection of bosses contested in HC | Nagpur News http://www.sbs-internetsolutions.com/of-corporatization-selection-of-bosses-contested-in-hc-nagpur-news/ Wed, 08 Sep 2021 23:27:00 +0000 http://www.sbs-internetsolutions.com/of-corporatization-selection-of-bosses-contested-in-hc-nagpur-news/ Nagpur: The corporatization of munitions factories as well as the appointment of senior officials in the seven new entities resulting from the Ordnance Factory Board (OFB) have been challenged in court.The Indian Federation of Defense Employees (AIDEF), a left-wing union, already lodged a complaint against corporatization with the Madras District Court on Monday. The union […]]]>

Nagpur: The corporatization of munitions factories as well as the appointment of senior officials in the seven new entities resulting from the Ordnance Factory Board (OFB) have been challenged in court.
The Indian Federation of Defense Employees (AIDEF), a left-wing union, already lodged a complaint against corporatization with the Madras District Court on Monday. The union also challenged the Essential Defense Services Act (EDSA). The law, enacted shortly after the collapse of talks between the unions in military equipment factories and the government, makes strikes in defense establishments illegal.
Both cases were filed by AIDEF before the Madras District Court.
In one day, the Bharatiya Pratiraksha Mazdoor Sangh (BPMS), an RSS trend union, is expected to file a complaint against EDSA in the Delhi High Court.
Amid it, the Association of Indian Ordnance Factories Services (IOFS) Officers on Wednesday filed a lawsuit challenging the very method of appointing senior officials, including chief executive officers (CMDs) and news administrators. companies. As part of the corporatization plan, seven public sector companies were excluded from the OFB.
The association appointed secretary, defense production, ministry of corporate affairs, general director OFB and all those selected for the post of CMD and directors as respondents. The Delhi High Court served notices on the respondents.
Union sources said a number of issues led to the controversy. The officers’ association alleged that none of the procedures, set by the Union Public Services Commission (UPSC) or the Public Enterprise Selection Board (PESB), were followed in the selection process.
An association source alleged that the age criteria had been abruptly changed. The change was not publicly notified, but candidates received emails, he said. “Representations by some of the officers asking for clarification were eliminated without any response,” the source said, adding that some of the candidates had not even had a telephone interview. All these points will be raised during the litigation, the source said.
“In some cases, there are also issues related to vigilance,” said an associative source, on condition of anonymity.
The union’s argument against corporatization is that there have already been agreements with the previous defense minister that the OFB will not be transformed into corporatization. The unions say it has even been mentioned in parliament that the unused capacity of munitions factories must be maintained to meet any requirements. Factories may not be financially viable as a trading company.
EDSA is challenged on the grounds that strike is the constitutional right of workers in munitions factories. They are covered by the labor disputes law and can go on strike after following certain procedures.

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Muzzle the watchdog? : the head of Asic defends the shift to “promoting economic recovery” | Business http://www.sbs-internetsolutions.com/muzzle-the-watchdog-the-head-of-asic-defends-the-shift-to-promoting-economic-recovery-business/ Sat, 04 Sep 2021 20:01:00 +0000 http://www.sbs-internetsolutions.com/muzzle-the-watchdog-the-head-of-asic-defends-the-shift-to-promoting-economic-recovery-business/ By any means, Joe Longo has a job to do. The new head of the Australian Securities and Investments Commission has only been in the post since April and his opponents are already claiming the corporate watchdog has gone toothless. There are accusations that the Federal Government is determined to forget the lessons of the […]]]>

By any means, Joe Longo has a job to do.

The new head of the Australian Securities and Investments Commission has only been in the post since April and his opponents are already claiming the corporate watchdog has gone toothless.

There are accusations that the Federal Government is determined to forget the lessons of the atrocious Royal Banking Commission and willfully neutralize Asic’s ability to hold Australian companies to account.

In an interview with Guardian Australia, Longo, a lawyer who has spent much of his career – 17 years – with struggling German leviathan Deutsche Bank, says he is not the type to be muzzled and appears determined. to prove that detractors are wrong.

But the usual background murmurs among politicians and consumer advocates about Asic turned into open alarm last week after three words were removed from its business plan.

The words: “why not plead”.

The phrase comes from the Royal Commission on Financial Services, headed by Commissioner Kenneth Hayne. The commission heard story after story of misconduct where Asic got bogged down in endless back and forth with armies of bank lawyers.

Hayne in his final report in 2019 said that one way for Asic to go through the legal jungle with a machete was to stop negotiating and let a judge do the job of determining whether someone had broken the law. “Why not plead? The report says.

To help him ask this question, Asic then hired QC Daniel Crennan as commissioner. Armed with a handful of referrals from the Royal Commission, a team set to work producing ready-made briefs for top Asic officers.

As Asic took case after case to court, it seemed that a new philosophy had taken root within the regulator – one that might make those looking for the quick buck think twice before, for example. , charge deceased persons a fee for financial advice.

But last week came the deletion of the words.

Longo has since come out, sending a calming message to media, including Guardian Australia: the absence of the sentence does not mean Asic will stop pleading.

He was sometimes accompanied by Sarah Court, a new commissioner for Asic who left the Australian Competition and Consumer Commission, where she was seen as a tough regulator and a straight shooter.

The court isn’t on that particular Microsoft Teams call, but it’s clearly on Longo’s mind when it comes to litigation.

“We are both very experienced in this area,” he says.

“We’re sort of saying, well, that mantra won’t make any difference as far as I’m concerned, we’re going to continue to plead and maybe plead even more than before – I don’t know, we’ll have to see how the cases turn out. unfold.

Labor spokesman for financial services Stephen Jones thinks differently.

“It seems the government is taking us back to the days of Warning and assuming they will get a different result than last time around, ”he told Guardian Australia.

“You can set a date for another royal banking commission.”

But the truth is, it’s not just “why not advocate” that has disappeared from the new business plan.

Promises – or at least aspirations – that have been suppressed include “alleviating harm to consumers”, “tackling harm to consumers in an environment of high debt levels and hardship, with an emphasis on predatory loans ”and“ reduce the mistakes made by company directors and professional services providers ”.

From now on, Asic’s first priority is to “promote economic recovery”, which must be done “through better and more effective regulation, by facilitating innovation and by targeting regulatory and enforcement measures on the most dangerous areas. “.

Longo says it’s not a step back from the app.

“From my perspective, I have studied the business plan very carefully,” he says.

“And personally, I don’t see any backsliding from gentle pedaling or any other word people like to use on the law enforcement issue.”

He says, however, that in his business plan and another document called a statement of intent, Asic responds to the wishes expressed by treasurer Josh Frydenberg in a statement of expectations. And those expectations have changed dramatically.

In 2018, then-treasurer Scott Morrison wanted Asic to “reduce the likelihood that consumers will suffer losses due to misconduct by businesses and financial services licensees” and use his “box. regulatory tools complements and devotes a substantial portion of its resources to monitoring and enforcement “.

But now, Frydenberg says Asic should “identify and reduce the risk of misconduct through well-targeted and proportionate oversight, monitoring and enforcement activities” and “minimize the costs and burdens of regulatory requirements for entities. regulated and consumers “.

Longo says, “The statement of expectations bears the stamp of the current treasurer and the current government.”

“You know we’re in the middle of a pandemic, and it’s pretty clear that they are worried about the economy, and we expect us to do everything we can to promote good economic performance for everyone. .

“I think this is a completely understandable kind of exhortation, but I don’t think this document, or even by the government, intends that this be done at the expense of taking action against the evildoers.”

He points out that the new business plan specifically targets a host of online scams, according to Asic, which have arisen during the pandemic.

Longo arrived at Asic after a period of intense turmoil within the regulator, which has barely had a quiet moment in the past six years. He was rocked by wave after wave of banking scandals which led him to be denounced by the royal commission as incapable of effectively restraining big finance and its army of lawyers.

The banks have lobbied the government hard to relax the stricter regulatory environment produced by the royal commission, and they appear to have been very successful.

The treasurer, Josh Frydenberg. Photograph: Mike Bowers / The Guardian

Last year, Frydenberg decided to abolish responsible lending laws which are designed to protect Australians from borrowing more than they can afford.

As of November 2020, Frydenberg was at war with Asic, determined to restrict the powers of the regulator. It has since done so, removing rules designed to keep the market informed and launching an assault on proxy advisers.

Crennan resigned amid a political storm over Asic’s rent payment, and President James Shipton also resigned payments made by the regulator to cover his tax advice. The two men were cleared after an investigation.

While Longo spent from 2002 to 2019 at Deutsche Bank, including as General Counsel for Asia and Europe, he has an Asic training: between 1996 and 2001, he was national application manager. of the law for the regulator.

Prior to that he was actually a corporate defense attorney in Perth.

“I went from defense to prosecution, if that’s the way the saying goes,” he said.

“I did this for six years and then got the opportunity to work internally for a bank in Germany, a leading global financial institution.

He says he has nothing to do with Deutsche Bank’s January deal to pay US $ 130 million to US authorities and admits he bribed Saudi and Abu Dhabi officials between 2009 and 2016 – which he was not aware of.

He was also not involved in an ongoing investigation by German authorities into Deutsche Bank and other financial institutions into allegations of facilitating tax evasion in what was known as “commerce. cum-ex ”.

“You focused on wrongdoing, but there are a lot of things Deutsche Bank has done extremely well, like payment systems,” he says.

He thinks the experience will make him a better regulator.

“I am very proud of my experience at DB, I chaired the Reputational Risk Committee, I did a lot of work there which I believe was in the interest of Deutsche bank, its shareholders and the market, ”he says.

Longo is keen to talk about the future and the tension between a government that wants Asic out of policy making and consumer advocates who want an active regulator.

“This policy issue is really interesting because the people, strictly speaking, including the staff at Asic and the consumers and Australians, they want an independent regulator,” he says.

“They want someone to watch over them and try to do the right thing, apply the law wisely. “

On the other hand, the regulator is required by law to administer its patch in accordance with government policy.

This is tricky territory for an agency that has law enforcement powers that can ultimately send people to jail.

“As it stands, I’m pretty optimistic about our independence,” says Longo.

“I am optimistic and energetic about our approach to law enforcement. “


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The one-of-a-kind business community platform / app is very useful http://www.sbs-internetsolutions.com/the-one-of-a-kind-business-community-platform-app-is-very-useful/ Sun, 29 Aug 2021 00:36:27 +0000 http://www.sbs-internetsolutions.com/the-one-of-a-kind-business-community-platform-app-is-very-useful/ SEqueer isn’t trying to change the world, just the way you choose to spend money. The Queensland start-up offers the first community inclusion search engine of its kind, and they’ve packed it with extras that even your grandpa will love. Filter your search to support veteran-owned businesses, hire staff with different abilities, or members of […]]]>

SEqueer isn’t trying to change the world, just the way you choose to spend money.

The Queensland start-up offers the first community inclusion search engine of its kind, and they’ve packed it with extras that even your grandpa will love.

Filter your search to support veteran-owned businesses, hire staff with different abilities, or members of the queer community.

SEqueer makes it easy to elevate your social equality game without much effort. Little things help.

No politics, no activism and no overt sexuality… the negatives often associated with locating an intersectional business.

Find gay-owned, gay-allied, and gay-friendly businesses with so many extras. As a business owner, providing information about your sustainable practices – or even something as simple as your bathroom fixtures – can really help a queer kid.

The participatory directory promotes and supports gay, allied and LGBTQIA + owned businesses on an easy-to-use app (both Apple and Android) and online at sequeer.com.

Born from a desire to offer representation and secure spaces, SEqueer (pronounced See Queer) allows users to share their favorite companies and to award these companies with identification badges that allow them to discover the world.

“I want to help people find businesses that are safe spaces. As a non-binary person who lives in a progressive city and country, people might assume that any business would welcome queer customers, ”said James Makiol, managing partner at SEqueer.

“It’s just not true; I don’t always know if a business will be safe for me. Unfortunately, some places I visited in my youth no longer welcome me as a young adult sailing the world.

Assigning badges to businesses helps create safe spaces for people of color, people with disabilities, and of course, the queer community. Badges also allow users to identify sustainable and ethical business practices.

If you own a business and want to join the SEqueer platform, register for free for six months at sequeer.com

Representation is important. We see you:

Free APP for Users – crowdsource platform for users to filter their search and locate businesses that match their needs and preferences.

The app also enables customers to recognize and participate in informing the world and creating safe / welcoming environments for people from all types of businesses.

WEBSITE for business users – providing a platform that advertises their ownership status and information about the practical, social and sustainable practices of their business. Large corporations and government entities in Australia looking to switch with intersectional businesses often find it difficult to locate intersectional business owners. SEqueer will help solve this problem by offering sourcing options, significantly helping business dollars find their way into the intersectional community.

/ Public distribution. This material is from the original organization and may be ad hoc in nature, edited for clarity, style and length.


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U.S. households and small businesses have racked up a breathtaking record cash flow of nearly $ 17 trillion http://www.sbs-internetsolutions.com/u-s-households-and-small-businesses-have-racked-up-a-breathtaking-record-cash-flow-of-nearly-17-trillion/ Wed, 25 Aug 2021 18:16:00 +0000 http://www.sbs-internetsolutions.com/u-s-households-and-small-businesses-have-racked-up-a-breathtaking-record-cash-flow-of-nearly-17-trillion/ U.S. households and small businesses have amassed a record cash flow of nearly $ 17 trillion – a mind-boggling estimate that exceeds the $ 16 trillion in tax action taken by governments around the world to keep the global economy at bay. flood during the pandemic. This national treasury has grown exponentially since February 2020 […]]]>

U.S. households and small businesses have amassed a record cash flow of nearly $ 17 trillion – a mind-boggling estimate that exceeds the $ 16 trillion in tax action taken by governments around the world to keep the global economy at bay. flood during the pandemic.

This national treasury has grown exponentially since February 2020 due to three factors: direct government stimulus payments to individuals, the savings induced by the closure of Americans working from home, and the decisions of small businesses to keep subsidies. or loans, according to Jim Vogel, a Memphis-based manager at fixed-income broker FHN Financial, which tracks cash flow.

The magnitude of cash positions held is surprising given the tendency of households and businesses to dip into their savings during each of the two or three recessions before the pandemic era. After the coronavirus pandemic triggered a two-month deep recession in the United States starting in February 2020, what’s different this time around is that economies have skyrocketed despite the economy reopening . Two reasons have been put forward for this: Small businesses seem to focus on restocking to meet pent-up demand, while individuals choose not to spend money on even the smallest of services and experiences that are available. have now become the norm.

“This is a sign of an unusual economy in which a lot of people are making money or having money, but not spending it,” Vogel said in a telephone interview on Wednesday. “There are two sides of this coin: a lot of people are doing well, while some people who depend on these expenses don’t. And the longer the imbalances last, the longer they take to resolve. “

FHN Financial’s estimate of around $ 17 trillion exceeds the figure of $ 16 trillion that the International Monetary Fund estimated in July as the amount of fiscal measures taken by governments around the world to prevent the collapse economic during the pandemic.

Federal Reserve, FHN Financial

Vogel said his company hit its estimate of nearly $ 17 trillion by taking the most recent data on the Federal Reserve’s money supply, released on Tuesday, and removing the estimated level of demand deposits from corporate and institutional money market accounts. The nearly $ 17 trillion figure has increased by about $ 250 billion in the past three months, he says, in a trend that has shaken his expectations of decline in the current quarter. In February 2020, it stood at less than $ 12 trillion.

More remarkably, the nearly $ 17 trillion represents money that has yet to be deployed in the US stock market, where the benchmark shows SPX,
+ 0.27%

DJIA,
+ 0.18%
advance further into record-breaking territory. In addition to representing available cash that could still flow into stocks, silver acts as a “bar” allowing investors already in that market to avoid selling a lot, according to Vogel.

“Money acts as a zero risk anchor, and there is a reduced need to sell. It’s also why the buy-on-dip model has worked so well, ”he says. “When an external shock puts the economy on its heels, the length of time people hold money is surprisingly long.”


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Bitcoin price decline continues after hitting $ 50,000 http://www.sbs-internetsolutions.com/bitcoin-price-decline-continues-after-hitting-50000/ Wed, 25 Aug 2021 08:18:50 +0000 http://www.sbs-internetsolutions.com/bitcoin-price-decline-continues-after-hitting-50000/ InRussWeTrustCrypto.com CEO Russ Davis explains how he made millions investing in cryptocurrencies and creating a coin to help charities. Bitcoin traded more than 3% less Wednesday morning. The price was around $ 48,150 per piece, while rivals Ethereum and Dogecoin were trading around $ 3,180 and 29 cents per coin, respectively, according to Coindesk. GET […]]]>

Bitcoin traded more than 3% less Wednesday morning.

The price was around $ 48,150 per piece, while rivals Ethereum and Dogecoin were trading around $ 3,180 and 29 cents per coin, respectively, according to Coindesk.

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Citigroup is considering offering bitcoin futures contracts to some of its institutional clients, according to Coindesk.

Increased demand in the cryptocurrency space was cited by a spokesperson for the bank.

Bitcoin prices topped $ 50,000 earlier this week as adoption by businesses and the general public accelerates.

Citi is awaiting regulatory approval to begin trading bitcoin futures on the Chicago Mercantile Exchange, citing a source within the bank.

“Given the many questions regarding regulatory frameworks, supervisory expectations and other factors, we are very careful with our approach,” a spokesperson for Citi said in an email to Coindesk.

BITCOIN PRICE JUMPS TO $ 50K IN RECOVERY

If approved, Citigroup would join Goldman Sachs in offering bitcoin futures trading.

NFT Budweiser

In other cryptocurrency news, Budweiser is branching out into non-fungible tokens (NFTs).

Budweiser added a profile photo of a rocket designed by artist NFT Tom sachs. to his Twitter page.

Coindesk also reported that the brewer bought the Beer.eth domain name for 30 ethers, or around $ 95,000.

Budweiser had not responded to Coindesk for comment.

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CoinDesk announced last month that the beer brand is investing in a new NFT media store that will see intellectual property packaged and sold as NFT.



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