WEBVTT - P&L: Venezuela Is Going to Collapse, New America's CEO Says 0:00:04.760 --> 0:00:08.080 Welcome to the Bloomberg pim L Podcast. I'm pim Fox. 0:00:08.119 --> 0:00:11.200 Along with my co host Lisa Abramowitz. Each day we 0:00:11.280 --> 0:00:14.480 bring you the most important, noteworthy, and useful interviews for 0:00:14.520 --> 0:00:16.880 you and your money, whether at the grocery store or 0:00:16.920 --> 0:00:20.680 the trading floor. Find the Bloomberg p L Podcast on iTunes, 0:00:20.840 --> 0:00:30.160 SoundCloud and at Bloomberg dot com. We are broadcasting live 0:00:30.240 --> 0:00:32.720 from the Bloomberg ear Ahead Summer at the Park Hyatt 0:00:32.800 --> 0:00:36.639 in New York City. Our next guest is No Stranger 0:00:36.760 --> 0:00:40.320 to news events or two policy changes in the world. 0:00:40.600 --> 0:00:43.280 Joining us now is and Marie Slaughter, the president and 0:00:43.320 --> 0:00:48.519 the chief executive of New America Foundation UH, formerly policy 0:00:48.520 --> 0:00:51.480 advisor in the U. S. State Department. And Marie Slaughter, 0:00:51.560 --> 0:00:53.320 thank you very much for being with us. My pleasure. 0:00:53.880 --> 0:00:57.960 You wanted to focus on equality and women's rights and 0:00:58.600 --> 0:01:01.560 the workforce, and I'm wondering if you could just give 0:01:01.600 --> 0:01:04.600 us a sort of encapsulated version of what your presentation 0:01:04.720 --> 0:01:07.800 was about and what you hope to achieve. So with 0:01:07.880 --> 0:01:10.399 the greatest thing about being in here was that the 0:01:10.440 --> 0:01:13.679 audience was certainly majority men. Often when we have this 0:01:13.760 --> 0:01:16.640 conversation as women and I had a very simple message, 0:01:16.720 --> 0:01:20.000 which was, we are never going to get to gender 0:01:20.000 --> 0:01:25.840 equality unless we change our expectations of men as much 0:01:25.880 --> 0:01:29.640 as we've changed our expectations of women, so that all 0:01:29.760 --> 0:01:33.680 policies have to be gender neutral. You can't have maternity leave, uh, 0:01:33.680 --> 0:01:36.880 and no paternity leave or long maternity leave but short 0:01:36.880 --> 0:01:39.840 paternity leave. You have to assume all human beings have children. 0:01:40.000 --> 0:01:43.080 Think about same sex couples, for instance, our adoption. But 0:01:43.120 --> 0:01:46.520 you also have to assume that you know a man 0:01:46.600 --> 0:01:48.960 with children is going to slow down if you assume 0:01:49.000 --> 0:01:51.000 that a woman with children is gonna slow down, or 0:01:51.160 --> 0:01:53.560 assume a woman has a lead parent at home the 0:01:53.600 --> 0:01:55.880 way you assume a man has a lead parent at home. 0:01:56.240 --> 0:01:59.600 And finally, you're going to have to change the automatic 0:01:59.640 --> 0:02:02.160 as some and uh that you know the person who 0:02:02.160 --> 0:02:05.680 works longest works best and actually look at results rather 0:02:05.760 --> 0:02:10.520 than FaceTime. You wrote a story an article, uh, why 0:02:10.720 --> 0:02:13.000 women still can't have it all in the Atlantic in 0:02:13.000 --> 0:02:17.800 two thousand twelve. Um, you have two boys going back. 0:02:17.840 --> 0:02:20.240 If you could do it all over again, what would 0:02:20.240 --> 0:02:27.119 you have done differently? Let's make it easier? Oh? Nothing, really? 0:02:27.200 --> 0:02:29.200 I mean you know, I was a tenured professor and 0:02:29.240 --> 0:02:32.000 my husband was a tenured professor. It doesn't get better 0:02:32.080 --> 0:02:37.160 than that. And I was a dean, and but Andy 0:02:37.240 --> 0:02:40.320 was a tenured professor, so we had that flexibility. So 0:02:40.440 --> 0:02:42.840 the only thing, you know, I could have not taken 0:02:42.880 --> 0:02:45.799 the job with Secretary Clinton, but I would never say 0:02:45.800 --> 0:02:48.680 I should have done that, because even as hard as 0:02:48.720 --> 0:02:54.360 it was, it was totally worth it. And um, you know, 0:02:54.400 --> 0:02:56.480 I tell young women all the time if they're going 0:02:56.520 --> 0:02:58.600 to go work on the National Security Council, I say, 0:02:59.040 --> 0:03:00.800 do it. You know you'll love it. It's great for 0:03:00.800 --> 0:03:03.040 your resume. But just to understand, you're not going to 0:03:03.120 --> 0:03:05.200 see your children, so don't try to do both. And 0:03:05.240 --> 0:03:07.400 if your spouse is not willing to be redparent, you've 0:03:07.400 --> 0:03:09.840 got a big problem because you really aren't gonna be 0:03:09.880 --> 0:03:13.519 able to do both. So I wouldn't change it. Um, 0:03:13.560 --> 0:03:16.920 And you know, I have been home as much as 0:03:16.919 --> 0:03:19.240 I'm ever home. My kids would say my definition of 0:03:19.240 --> 0:03:23.919 being home is different than many people's, but for for 0:03:23.960 --> 0:03:25.480 both of them, all the way through the end of 0:03:25.560 --> 0:03:28.120 high school. And I wouldn't trade that. Now. You served 0:03:28.160 --> 0:03:31.560 as a Director of Policy Planning for the US State 0:03:31.600 --> 0:03:36.080 Department from two thousand nine to two tholeven. You were 0:03:36.120 --> 0:03:39.280 the first woman to actually hold that position. What did 0:03:39.320 --> 0:03:43.720 you learn as a result of your tenure and are 0:03:43.760 --> 0:03:49.200 there things that you wish you knew about? What was accomplishable? 0:03:49.360 --> 0:03:52.480 What was the real world versus the policy world. Can 0:03:52.480 --> 0:03:55.800 you give us some some insight. Yeah, well, so I 0:03:55.880 --> 0:03:57.920 learned a lot. So you have to start with a proposition. 0:03:58.000 --> 0:04:01.000 Having been a tenured professor, I was fifty years old 0:04:01.040 --> 0:04:03.600 before I ever had a boss, because at the academy 0:04:03.640 --> 0:04:05.280 you do not have a boss. So getting used to 0:04:05.320 --> 0:04:08.800 having a boss, even a fabulous boss like like Hillary Clinton, 0:04:09.160 --> 0:04:12.800 took some doing. Um, I would say, I really did 0:04:12.920 --> 0:04:16.840 experience something I had read about but not not seen that. 0:04:18.480 --> 0:04:21.159 You know, women, anybody will be cut out of a 0:04:21.200 --> 0:04:24.960 meeting in Washington, but effectively to be in the meeting 0:04:25.000 --> 0:04:27.600 you have to act like, of course, I'm going to 0:04:27.680 --> 0:04:29.440 be in this meeting, which I think is harder for 0:04:29.440 --> 0:04:32.480 women to do than men. The other thing is that 0:04:32.560 --> 0:04:34.839 the you know, this should have been obvious too, but 0:04:34.920 --> 0:04:38.280 the in this case young men networks. They weren't a 0:04:38.320 --> 0:04:40.280 whole boy networks. They were young men. There were thirty 0:04:40.360 --> 0:04:43.080 two year olds through from the White House, through the 0:04:43.160 --> 0:04:46.400 Treasury to d O D to State that's where the 0:04:46.440 --> 0:04:50.800 information traveled, and information is gold in politics, and so 0:04:51.320 --> 0:04:54.360 they just weren't enough women to have that kind of 0:04:54.440 --> 0:04:57.479 network so that you always were one step ahead of 0:04:57.480 --> 0:05:00.680 your boss. Given your experience an international relations I would 0:05:00.720 --> 0:05:02.800 be remiss not to ask you. Looking around right now, 0:05:02.839 --> 0:05:05.039 people are worried about a lot of crises around the world. 0:05:05.240 --> 0:05:09.120 Which do you think is most imminent and important to 0:05:09.160 --> 0:05:12.640 watch and that the U S could potentially help to abeliate. 0:05:14.400 --> 0:05:17.920 It's hard to know where to where to start. Uh, 0:05:18.120 --> 0:05:22.840 you know, I do so imminent. We are watching the 0:05:22.880 --> 0:05:26.480 implosion of the entire Middle East and we are not 0:05:26.560 --> 0:05:29.159 going to be able to cabin that. I disagree sharply 0:05:29.240 --> 0:05:33.280 with the President on his Syria policy because I think 0:05:33.440 --> 0:05:37.440 not just refugees, but we're just incubating another whole generation 0:05:37.480 --> 0:05:40.719 of terrorists and we are destabilizing a region that is 0:05:40.839 --> 0:05:44.279 very important to us. So I think that that is critical. 0:05:44.760 --> 0:05:50.840 The crisis I worry about most is a accidental collision 0:05:51.160 --> 0:05:54.800 or incident in the South or East China Sea, where 0:05:55.360 --> 0:05:59.560 for domestic political reasons, Japan goes on alert. Japan is 0:05:59.720 --> 0:06:03.280 archery d the ally we back Japan, China goes on alert. 0:06:03.400 --> 0:06:07.359 China has to feed its nationalist youth, and suddenly it 0:06:07.360 --> 0:06:09.680 looks like nineteen fourteen, where nobody really wants to go 0:06:09.720 --> 0:06:12.280 to war, but no one can see a way out. 0:06:12.480 --> 0:06:15.599 So that's one I worry about. And then the last one, 0:06:15.640 --> 0:06:18.760 which we could do much more about, is Venezuela is 0:06:18.800 --> 0:06:22.640 going to collapse. And when Venezuela collapses, it's gonna be 0:06:22.640 --> 0:06:25.640 bad for energy markets, it's going to be terrible for refugees, 0:06:25.800 --> 0:06:29.800 It's could further destabilize Colombia. You know, we we need 0:06:29.839 --> 0:06:32.280 to be paying much more attention and doing what we 0:06:32.320 --> 0:06:35.440 can to help stabilize that country, preferably with the rest 0:06:35.480 --> 0:06:38.680 of the Oias. Thank you so much. This was really 0:06:38.720 --> 0:06:43.440 really tremendous. And Maurice Slaughter, a long time UH policy 0:06:43.440 --> 0:06:48.560 adviser to the president but also professor and UH now 0:06:48.600 --> 0:06:51.919 currently president and CEO of New America, thank you so 0:06:52.000 --> 0:06:53.640 much for being with us. We heard a lot of 0:06:53.680 --> 0:06:56.320 really fantastic things for the year ahead. I'm hopeful, paim 0:06:56.320 --> 0:06:57.839 I've got to tell you a little bit more helpful 0:06:57.880 --> 0:06:59.760 than I was when I started. I'm hopeful for your 0:07:10.000 --> 0:07:14.960 We are here with an esteemed guest, Valerie Jarrett, Senior, 0:07:15.040 --> 0:07:20.960 adviser to President Barack Obama and longtime confidante here at 0:07:21.040 --> 0:07:24.440 the Bloomberg Here Ahead Summit to talk about some of 0:07:24.480 --> 0:07:29.400 the issues and some of the progress made in workplace issues. Valerie, 0:07:29.400 --> 0:07:31.040 thank you so much for being with us. Thank you, 0:07:31.120 --> 0:07:33.200 Lisa and Pim. It's a delight for me to be here, 0:07:33.200 --> 0:07:35.480 and I appreciate you putting a spotlight on these issues 0:07:35.480 --> 0:07:38.240 that are so important to working families. So what have 0:07:38.440 --> 0:07:42.080 some of the biggest surprises been for you as you've 0:07:42.120 --> 0:07:46.280 pushed through some of your workplace agenda. Well, frankly, how 0:07:46.320 --> 0:07:49.160 easy it is to convince businesses about what's in their 0:07:49.160 --> 0:07:52.920 self interest once you show them the data. So, for example, UM, 0:07:52.920 --> 0:07:55.920 eight years ago, it was hard to get businesses to 0:07:56.000 --> 0:07:58.520 really talk about investing in their workforce in the form 0:07:58.600 --> 0:08:03.600 of paid leave, paid sick days, workplace flexibility, affordable childcare, 0:08:03.680 --> 0:08:06.120 equal pay. There wasn't fun and center. In fact, I 0:08:06.120 --> 0:08:08.240 would venture to guess if I'd been invited to Bloomberg, 0:08:08.280 --> 0:08:10.000 that wouldn't have been the topic that you'd wanted me 0:08:10.080 --> 0:08:13.320 to address. And I've been so hardened to see truly 0:08:13.360 --> 0:08:15.400 a transformation over the eight years in terms of the 0:08:15.440 --> 0:08:19.280 awareness and not just with the large companies publicly health companies, 0:08:19.320 --> 0:08:22.120 but small businesses who care about their culture and care 0:08:22.120 --> 0:08:25.400 about retaining their workforce and recognizing it's not just enough 0:08:25.440 --> 0:08:27.080 to get him in the door. You've got to be 0:08:27.120 --> 0:08:31.320 able to compete in the twenty one century UM marketplace, 0:08:31.640 --> 0:08:35.720 and that's dependent upon recognizing the needs of the century worker. 0:08:36.480 --> 0:08:40.160 The President has just signed an executive order having to 0:08:40.280 --> 0:08:43.600 do with companies that do business with the federal government. 0:08:43.600 --> 0:08:46.040 Wonder if you could just expand on that. Sure, well, 0:08:46.320 --> 0:08:49.960 we recognize right now that there's no national paid sick 0:08:50.280 --> 0:08:54.240 day requirement UM, and so there's legislation pending called the 0:08:54.240 --> 0:08:56.920 Healthy Families Act that would require companies to give their 0:08:57.280 --> 0:09:00.439 workforce at least seven days of paid sick time. I 0:09:00.440 --> 0:09:02.719 would mention also that we're the only developed country in 0:09:02.760 --> 0:09:05.040 the world that doesn't have a federal paid lea paid 0:09:05.120 --> 0:09:08.680 sickly policy. So, in light of Congress is failure to act, 0:09:08.720 --> 0:09:11.120 the President sign an executive order saying all right, well, 0:09:11.160 --> 0:09:14.800 at least if we're spending federal taxpayer dollars, we want 0:09:14.840 --> 0:09:17.080 to know that the workers are going to at least 0:09:17.120 --> 0:09:19.240 have seven days of paid sick time. And so if 0:09:19.280 --> 0:09:21.480 you want to do business with the federal government, then 0:09:21.520 --> 0:09:24.240 you're going to have to pay your workers um paid 0:09:24.240 --> 0:09:26.959 sick days for seven days. Everybody gets sick, and I 0:09:26.960 --> 0:09:29.079 don't know about you, but if I go to a restaurant, 0:09:29.480 --> 0:09:32.040 I actually want the worker to be healthy. So this 0:09:32.080 --> 0:09:34.160 isn't just that it's good for the worker and good. 0:09:34.320 --> 0:09:36.360 If I'm a mom and my daughter sick, I don't 0:09:36.360 --> 0:09:38.440 want to get doctor day's work because I want to 0:09:38.440 --> 0:09:39.959 stay home and take care of her. I want to 0:09:39.960 --> 0:09:44.040 be able to do that. And all too often, particularly 0:09:44.040 --> 0:09:47.439 lower wage workers can't afford to choose between going to 0:09:47.520 --> 0:09:50.640 work or missing that day's pay, or little losing your 0:09:50.679 --> 0:09:52.720 job if you don't show up. So that's what the 0:09:52.720 --> 0:09:55.839 executive and we're very familiar as consumers about following the 0:09:55.880 --> 0:09:57.720 whole supply chain. In this case, it goes back to 0:09:57.760 --> 0:10:00.760 a person. It goes back to a person exactly. And 0:10:00.920 --> 0:10:03.280 if you're an employer, you're only going to be as 0:10:03.280 --> 0:10:06.240 good as the people who you employ, and recognizing that 0:10:06.280 --> 0:10:08.000 you've got to take care of them and invest in 0:10:08.080 --> 0:10:10.600 them is not just good for women. This is a 0:10:10.640 --> 0:10:13.320 working family issue, but it's also good for business, and 0:10:13.360 --> 0:10:15.840 it's good for our economy. We're now competing with companies 0:10:15.880 --> 0:10:18.120 all over the world. I just mentioned I was here 0:10:18.160 --> 0:10:22.160 several months ago at Spotify, and they just announced twelve 0:10:22.559 --> 0:10:27.080 months of paid leave. Twelve months. Why because their headquarted 0:10:27.120 --> 0:10:29.360 in Sweden where they offer eighteen months, and they're having 0:10:29.400 --> 0:10:31.839 a hard time with their workforce because the ones that 0:10:31.920 --> 0:10:33.520 work here are going or wait a minute, look what's 0:10:33.520 --> 0:10:35.920 happening over in Sweden. So they're needing to close that gap. 0:10:36.320 --> 0:10:38.680 And that's happening all over the world. And so companies 0:10:38.720 --> 0:10:41.480 that recognize the importance of investing in their work in 0:10:41.559 --> 0:10:46.160 their workforce are seeing the results of that investment. As 0:10:46.200 --> 0:10:49.000 the mother of two small children who works full time 0:10:49.000 --> 0:10:52.160 and as a husband who some time, I totally understand this. 0:10:52.200 --> 0:10:54.560 But I also understand, you know, when you hear about 0:10:54.640 --> 0:10:56.520 equality of pay for women, and you hear about the 0:10:56.559 --> 0:10:59.960 child care issues, how complicated it is and how they're 0:11:00.040 --> 0:11:02.200 so many factors that go into it with respect to 0:11:02.800 --> 0:11:05.600 the wishes and sort of whether people are directed by 0:11:05.679 --> 0:11:09.679 virtue of getting time off to be the primary caregiver 0:11:10.080 --> 0:11:12.920 going forward, what do you think needs to happen. That's 0:11:12.920 --> 0:11:15.040 a really good question where one of the steps of 0:11:15.040 --> 0:11:19.400 the president has also taken is to require companies um 0:11:19.400 --> 0:11:21.640 that are over a hundred have over a hundred employees 0:11:21.960 --> 0:11:24.560 to collect data on pay and send it to the 0:11:24.600 --> 0:11:27.200 Department of Labor. And it's a tool for the companies, 0:11:27.280 --> 0:11:29.880 but it's also a tool for policymakers to try to 0:11:29.920 --> 0:11:33.160 figure out whether or not there is a discrepancy and pay. 0:11:33.200 --> 0:11:35.720 And if you get to the fact that there is, 0:11:35.760 --> 0:11:38.160 then you can go behind the numbers and figure out why. 0:11:38.960 --> 0:11:41.480 We've also asked companies to take what we're calling an 0:11:41.480 --> 0:11:44.440 equal Pay pledge. We have fifty seven companies around the country, 0:11:44.440 --> 0:11:48.640 big companies you know, from Amazon to Google to um GM, 0:11:48.679 --> 0:11:50.679 who have taken this pledge. And what the pledge requires 0:11:50.760 --> 0:11:53.400 is once a year, look at your data, look at 0:11:53.440 --> 0:11:56.040 what are the structural impediments to equal pay and other 0:11:56.320 --> 0:11:59.000 impediments to keeping work women in the workplace, and then 0:11:59.000 --> 0:12:01.640 make a commitment to try to deal with them. And 0:12:01.679 --> 0:12:03.200 what we do with the White House is try to 0:12:03.559 --> 0:12:06.160 show what are those best practices and if we're keeping 0:12:06.200 --> 0:12:08.440 women in the workforce, half of our horse is now 0:12:08.480 --> 0:12:11.360 comprised of women. Women are graduating from college that higher 0:12:11.440 --> 0:12:13.680 rates than men. Thank you, I'm familiar with that. But 0:12:14.080 --> 0:12:16.440 in a field such as computer science, they're only staying 0:12:16.480 --> 0:12:18.600 in three years and the number one reason they give 0:12:18.640 --> 0:12:22.040 for leaving the field culture. And so it's also not 0:12:22.080 --> 0:12:25.800 just a matter of lease of having these important policies 0:12:25.800 --> 0:12:28.440 on your books of your company, but you also have 0:12:28.520 --> 0:12:30.720 to create a culture where people feel comfortable to take them. 0:12:30.760 --> 0:12:33.360 At the White House, we have three months paid leave 0:12:33.600 --> 0:12:36.800 for men and women equal because we think they should. 0:12:37.040 --> 0:12:40.280 But just let's for one second. I mean, your job 0:12:40.320 --> 0:12:42.560 is incredibly important as it is, you do a lot 0:12:42.640 --> 0:12:46.480 of things. If if you were in that position, would 0:12:46.480 --> 0:12:49.160 you be able to extract yourself for three months or 0:12:49.400 --> 0:12:51.439 kind of a fallacy? No, you could, And that's what 0:12:51.600 --> 0:12:53.520 That's why I always give the White House as an example, 0:12:53.520 --> 0:12:56.360 because what's more high powered, high pressure than that? Where 0:12:56.400 --> 0:12:58.800 do we all think we're indispensable? But we have had 0:12:58.840 --> 0:13:01.560 several senior member is in the White House team, including 0:13:01.960 --> 0:13:04.480 my own deputy who left for three months, and we 0:13:04.520 --> 0:13:06.440 have now created the kind of culture where if you 0:13:06.559 --> 0:13:09.439 don't take that three months, then there's pure pressure and 0:13:09.440 --> 0:13:11.080 it's like, well what are you doing back here? And 0:13:11.120 --> 0:13:13.360 so you reinforce it. You know what happens while you're 0:13:13.400 --> 0:13:16.520 going somebody steps up and we all cover for each other, 0:13:16.640 --> 0:13:18.960 and we've created the environment where there isn't any resentment 0:13:19.000 --> 0:13:21.080 for it because it gives younger people a chance to 0:13:21.080 --> 0:13:23.560 move up for a second and get and sometimes that 0:13:23.640 --> 0:13:26.040 leads to promotion because people more senior get to see 0:13:26.040 --> 0:13:28.199 them in action. So if you can do it in 0:13:28.240 --> 0:13:29.880 the White House, and you can do it equally for 0:13:29.920 --> 0:13:32.559 men and women, and you work on that culture, and 0:13:32.720 --> 0:13:35.240 it takes a deliberate effort, you can't just say yes, 0:13:35.280 --> 0:13:37.520 you can do it. You have to model. People can't 0:13:37.520 --> 0:13:41.079 be what they can't see. And so when the Press Secretary, 0:13:41.080 --> 0:13:45.000 who's a man, Josh Ernist, takes paternity leave, that sends 0:13:45.000 --> 0:13:47.760 a message throughout his entire core group that if the 0:13:47.800 --> 0:13:50.400 Press Secretary can be out of pockets, so can everybody else. 0:13:50.679 --> 0:13:54.000 Just give you a quick twenty seconds here. Eight years 0:13:54.360 --> 0:13:57.800 Obama is ending his two terms. You're going to be 0:13:57.920 --> 0:14:01.000 ending eight years at the Washington White House. And so right, 0:14:01.600 --> 0:14:05.400 what are you going to miss the most? Oh my gosh, 0:14:05.640 --> 0:14:08.680 or what are you gonna miss the least? Congress? Okay, 0:14:09.880 --> 0:14:12.000 that was a much easier because I'm gonna miss so much. 0:14:12.040 --> 0:14:14.600 I'm gonna I'm gonna miss the people and I don't 0:14:14.679 --> 0:14:16.280 just mean the people with whom I work, but the 0:14:16.280 --> 0:14:18.960 people across this country who I have the privilege of 0:14:19.000 --> 0:14:21.440 meeting every day from all walks of life, who are 0:14:21.520 --> 0:14:24.000 really just trying to do right by their family. And 0:14:24.040 --> 0:14:28.160 I've met the most ordinary people who do extraordinary things, 0:14:28.280 --> 0:14:30.880 and we try to lift them up by inviting them 0:14:30.920 --> 0:14:33.320 to the White House and see them around. Um. So 0:14:33.400 --> 0:14:36.120 I will miss just the diversity of my day, and 0:14:36.200 --> 0:14:39.400 I'll miss the majesty of coming through those gates every morning, 0:14:39.520 --> 0:14:41.800 right every single day for nearly eight years. I just 0:14:41.880 --> 0:14:44.880 pinched myself at the privilege of working at the White House. 0:14:46.240 --> 0:14:48.080 I don't drink coffee, but I bet it's pretty good 0:14:48.320 --> 0:14:50.320 everything else from the White House mess. Maybe mess is 0:14:50.360 --> 0:14:53.440 really good. Thanks very much for joining us. A Valerie Jarrett, 0:14:53.720 --> 0:15:08.440 senior advisor to President Barack Obama. This is Bloomberg him. 0:15:08.440 --> 0:15:10.400 No better person for us to talk to you in 0:15:10.440 --> 0:15:12.800 the morning when I could be on my third cup 0:15:12.840 --> 0:15:16.840 of coffee than Andrea Ellie, Chairman and Ellie Cafees of 0:15:16.880 --> 0:15:21.080 Ellie Cafees, sp a on about his life. I want 0:15:21.080 --> 0:15:24.040 to talk to you first before we talk about climate change. 0:15:25.680 --> 0:15:27.720 I want to talk first about the fact that you 0:15:27.800 --> 0:15:30.400 are four years old when you had your first cup 0:15:30.440 --> 0:15:32.760 of coffee. Can you please explain to me how that 0:15:32.840 --> 0:15:34.680 how that came about as a mom of a four 0:15:34.760 --> 0:15:40.040 year old. Well, I was sipping coffee by the spoon, 0:15:40.480 --> 0:15:43.440 not drinking coffee four years old, but I was assisting 0:15:43.480 --> 0:15:47.160 my mother preparing the very first espresso. There was no 0:15:47.240 --> 0:15:51.560 expresso technology for home at that time, so she was 0:15:51.960 --> 0:15:56.520 grinding and dozing and waiting and then tamping. It took 0:15:56.760 --> 0:15:59.480 probably half an hour up to forty five minutes to 0:15:59.480 --> 0:16:03.040 get the one, and we were probably spoiling, you know, 0:16:03.440 --> 0:16:05.880 wasting three of them in order to get the good. 0:16:06.000 --> 0:16:08.800 But then the coffee was perfect. So all these has 0:16:08.840 --> 0:16:13.960 been completely revolutionized with the first paper pot that my 0:16:14.040 --> 0:16:17.880 father was able to innovate at the beginning of the eighties, 0:16:18.440 --> 0:16:23.000 and suddenly, uh, with the easy pots and the successful 0:16:23.160 --> 0:16:28.720 technology with capsules, these espresso technology became available worldwide and 0:16:28.760 --> 0:16:32.280 made the espresso to become global and loved by you know, 0:16:32.720 --> 0:16:36.480 consumers all over the world, and made the basically espresso 0:16:36.560 --> 0:16:40.880 to become the most you know, enjoyed way of drinking 0:16:40.880 --> 0:16:46.440 coffee even by tea drinkers and filter coffee drinkers. Let's 0:16:46.440 --> 0:16:49.800 talk about the Elie brand and the reach right now, 0:16:49.880 --> 0:16:53.600 because you're here at the Year Ahead Summit to learn, 0:16:53.680 --> 0:16:56.600 to meet, but also to share some of the new 0:16:56.640 --> 0:16:59.680 programs that you would put together at Elie to draw 0:17:00.040 --> 0:17:03.680 b in and to expand the brand when it is 0:17:03.760 --> 0:17:08.919 the is the most global coffee brand. Were present in 0:17:08.960 --> 0:17:12.960 over forty one hundred forty countries and we do basically 0:17:13.000 --> 0:17:15.680 one third of our stays in our domestic country, Italy. 0:17:15.760 --> 0:17:18.320 So I feel when I hear in New York, I 0:17:18.359 --> 0:17:21.840 feel really I'm at home. And um, it's a family 0:17:21.880 --> 0:17:26.560 business controlled by the family. So we grow set finance, 0:17:26.640 --> 0:17:30.640 which is a challenge because we are the private company 0:17:30.960 --> 0:17:36.120 which grows the more relatively in percentage compared to let's 0:17:36.119 --> 0:17:41.359 say other strictly private one. So that means that only 0:17:41.400 --> 0:17:45.800 companies which grow more than us are public realist okay, 0:17:46.119 --> 0:17:51.439 and we are obsessively focused only on quality. As a 0:17:51.480 --> 0:17:54.280 matter of fact, the company was founded upon the dream 0:17:54.320 --> 0:17:57.800 of my grandfather, the founder, to offer the greatest coffee 0:17:57.800 --> 0:18:01.639 to the world, and this dream became a mission the 0:18:01.760 --> 0:18:04.679 lighting lovers of goodness and beauty all over the world 0:18:04.760 --> 0:18:08.200 with the best coffee nature can provide enhanced by technology 0:18:08.240 --> 0:18:10.520 and the beauty of the arts. This is our mission 0:18:11.400 --> 0:18:14.080 and UH we stick to it to such an extent 0:18:14.160 --> 0:18:17.359 where we are the only coffee company in the world 0:18:17.440 --> 0:18:20.040 offering only one coffee, because if you want to offer 0:18:20.080 --> 0:18:22.680 the best, it can be only one. So the famous 0:18:22.720 --> 0:18:26.600 really Blend this is it's done with the nine ingredients 0:18:26.600 --> 0:18:30.560 of the best Arabbica that we source directly from all 0:18:30.560 --> 0:18:32.880 over the world in in in twenty countries. So next 0:18:32.920 --> 0:18:36.640 week there will be November one here in New York 0:18:36.680 --> 0:18:42.840 the very first international award awarding the best growers of 0:18:42.960 --> 0:18:47.320 the nine countries sourcing our our our blend. And then 0:18:47.320 --> 0:18:49.560 there will be also the best of the Best awarded 0:18:49.600 --> 0:18:53.080 by International jewel So with that, this Illy Blend is 0:18:53.119 --> 0:18:57.560 served globally and omni channel you can enjoy in the 0:18:57.600 --> 0:19:04.080 hospitality restaurants, cafes, hotels at home through different channels. On 0:19:04.080 --> 0:19:07.120 on the air, we are we have been recently appointed 0:19:07.160 --> 0:19:10.800 as the official coffee of the United Airlines and UH 0:19:10.880 --> 0:19:13.160 and so on the go. We also have this partnership 0:19:13.160 --> 0:19:15.640 with Coca Cola for the really ready to drink, so 0:19:15.680 --> 0:19:18.080 you can get it everywhere. Well, Andrea, you know I'm 0:19:18.240 --> 0:19:20.439 as I hear you talk. I'm kind of torn because 0:19:20.720 --> 0:19:22.600 I grew up in a family where my father is 0:19:22.600 --> 0:19:24.440 a professor and he spends a lot of his day 0:19:24.440 --> 0:19:27.359 tamping down the espresso and grind to get and measuring it. 0:19:27.400 --> 0:19:29.399 I mean, this is a very important pursuit in my household. 0:19:29.600 --> 0:19:31.280 On the other hand, you know, we hear so much 0:19:31.280 --> 0:19:34.560 about burning down the rainforests, and you know, and flattening 0:19:34.640 --> 0:19:37.880 areas and and sort of the unsustainability of a lot 0:19:37.880 --> 0:19:40.120 of the coffee industry. Can you speak to that? I mean, 0:19:40.160 --> 0:19:42.159 how do you deal with that? So it used to be, 0:19:42.160 --> 0:19:46.080 it's much better now. Coffee has been uh, let's say, 0:19:46.480 --> 0:19:51.359 well negative negative lee known until three decades ago for 0:19:51.480 --> 0:19:55.960 deforestation and also harsh working condition in the producing countries. 0:19:56.320 --> 0:20:00.800 Situation has dramatically improved, let's say, since the the eighties, 0:20:01.520 --> 0:20:05.680 thanks to let's say, the revolution of good MC coffee. 0:20:06.800 --> 0:20:11.080 The revolution gour mc coffee made coffee to develop three virtues, 0:20:11.280 --> 0:20:16.000 which are pleasure, health, and sustainability. Pleasure. There is much 0:20:16.000 --> 0:20:20.920 better quality around, better preparation, better places of consumption, more 0:20:21.000 --> 0:20:25.879 variety so people can have fun and enjoy health. The 0:20:25.920 --> 0:20:29.919 perception of health has dramatical increase Now not only sixty 0:20:30.359 --> 0:20:35.960 of people and the the reverted ratio before before believe 0:20:36.000 --> 0:20:38.840 that coffee is good for health. There are several studies 0:20:38.880 --> 0:20:41.879 which confirm all confirmed that coffee makes you live longer 0:20:41.920 --> 0:20:46.160 and better and even the WORLL The Health Organization did 0:20:46.200 --> 0:20:50.800 reclassify coffee from possibly consinergenic to non consumer genny so, 0:20:50.840 --> 0:20:53.560 which is a huge achievement. And last, but the least, 0:20:53.560 --> 0:20:59.720 sustainability didn't improve. Environmental one, uh, no deforestation any longer. 0:21:00.040 --> 0:21:02.879 The last two decades there has been a fifty increase 0:21:02.960 --> 0:21:06.440 in production with no more actors, So no more the deforestation. 0:21:07.119 --> 0:21:12.800 We can always confirmed that coffee planting contributes positively to 0:21:13.119 --> 0:21:18.359 a carbon sequestration. You know, also the water consumption has 0:21:18.400 --> 0:21:23.200 been dramatically reduced and the water pollution has been very limited. 0:21:23.560 --> 0:21:27.119 So this is all positive. Of course, on average there 0:21:27.160 --> 0:21:31.199 can be always negative situations and the social one. The 0:21:31.240 --> 0:21:34.359 only thing that we can say is that the human 0:21:34.400 --> 0:21:37.320 development index of most of the producing countries in the 0:21:37.400 --> 0:21:40.480 last twenties did improve. Is it enough? No, it is 0:21:40.520 --> 0:21:43.800 not enough. There's still a lot to do, but the 0:21:43.880 --> 0:21:47.280 situation is improving. Can I just give you about twenty seconds, 0:21:47.400 --> 0:21:49.760 very short, you're on your way to Boston, home to 0:21:49.760 --> 0:21:52.080 Bloomberg twelve. But if you can just tell us what 0:21:52.119 --> 0:21:54.760 are you planning to do in Boston. Well, in Boston, 0:21:54.880 --> 0:21:59.200 I'm going to have a conversation at the university level 0:21:59.600 --> 0:22:02.199 about the coffee culture in Jenna. This is just how 0:22:02.240 --> 0:22:04.640 people wear it is and what it's about. What this 0:22:04.720 --> 0:22:08.920 is a at the university at Boston and the detail 0:22:08.960 --> 0:22:12.800 I will tell you later. I still alright, alright, alright, 0:22:13.119 --> 0:22:15.159 but you're gonna be at Boston University. It was that 0:22:15.280 --> 0:22:18.800 private say all right, you're gonna learn everything you need 0:22:18.840 --> 0:22:22.440