WEBVTT - Bloomberg Businessweek Weekend-September 25, 2020 0:00:00.960 --> 0:00:04.480 This is Bloomberg Business Week with Carol Masser and Jason 0:00:04.559 --> 0:00:08.479 Kelly from Bloomberg Radio. Jason Kelly and I'm Carol Masser. 0:00:08.560 --> 0:00:10.960 Welcome to the weekend edition of Bloomberg Business Week. We 0:00:11.960 --> 0:00:14.120 mostly working from home a little bit of the office, 0:00:14.200 --> 0:00:16.040 but it was full of a lot of stories, Jason, 0:00:16.079 --> 0:00:19.079 that reminded us once again, getting back to normal, it's 0:00:19.079 --> 0:00:21.960 not going to be easy. We saw virus cases popping 0:00:22.040 --> 0:00:24.319 up in New York City, also around the globe, and 0:00:24.360 --> 0:00:26.960 throughout this pandemic, we've been reminded of so many of 0:00:27.000 --> 0:00:30.920 the inequalities in our world, and so how timely that 0:00:31.080 --> 0:00:35.160 this week across the Bloomberg Empire, we're talking about equality. 0:00:35.240 --> 0:00:38.720 The equality issue of Bloomberg Business Week, the Equality Summit 0:00:39.080 --> 0:00:41.960 held virtually of course, because that's the world we're living in. 0:00:41.960 --> 0:00:44.520 We're going to hear some of the key interviews from 0:00:44.720 --> 0:00:47.479 that summit and talk to the editor of the magazine 0:00:47.520 --> 0:00:50.920 and some of the key reporters who contributed to that issue. Plus, 0:00:50.920 --> 0:00:53.880 we've got Vox co founder Matthew Iglesias on his new 0:00:53.920 --> 0:00:56.639 book and if we don't measure this and and look 0:00:56.680 --> 0:00:58.200 at it, If companies don't measure and look at this, 0:00:58.240 --> 0:01:01.240 We're not gonna make progress. We'll hear from Xerox chairman 0:01:01.280 --> 0:01:04.360 and CEO Ursla Burns at TPG co CEO and partner 0:01:04.440 --> 0:01:07.080 John Winkle reed on the importance of more diversity on 0:01:07.360 --> 0:01:10.880 corporate boards. But first, Carol, it's the cover story about 0:01:10.880 --> 0:01:13.240 how it's time for a new approach to cure inequality 0:01:13.280 --> 0:01:17.160 because capitalism just isn't cutting it. Check out what Rebecca Greenfield, 0:01:17.200 --> 0:01:19.880 who leads the diversity and sustainability coverage at Bloomberg, had 0:01:19.920 --> 0:01:22.600 to say along with Bluemberg. Business Week editor Joe Weber. 0:01:22.920 --> 0:01:26.200 Credit to Rebecca, who has done a number of stories 0:01:26.240 --> 0:01:28.120 for us this year, and I think this is their 0:01:28.200 --> 0:01:32.240 second cover um in in this space. And when we 0:01:32.280 --> 0:01:35.480 start of started talking to her about what how we 0:01:35.520 --> 0:01:39.039 wanted to approach the quality issue, I think she really 0:01:39.080 --> 0:01:41.200 came at it almost like a little bit of a 0:01:41.240 --> 0:01:45.080 sequel to her last cover story, and it was the 0:01:45.120 --> 0:01:47.319 idea that the last time, it was the idea that 0:01:48.040 --> 0:01:55.160 businesses just have a dearth of of black or minority CEOs, 0:01:55.200 --> 0:01:59.920 people of color, with a really really provocative uh cover 0:02:00.200 --> 0:02:04.960 that showed just how white the fortune is. And this 0:02:05.040 --> 0:02:07.720 time I think she went even a little bit bigger 0:02:07.720 --> 0:02:10.080 about this and said, look like, actually the force of 0:02:10.120 --> 0:02:12.840 that companies have been relying on here is the market. 0:02:12.960 --> 0:02:15.639 The market is supposed to correct things, and it's clue 0:02:15.919 --> 0:02:19.920 clearly not working. And even more provocative, I think, is 0:02:19.919 --> 0:02:23.040 this idea that within HR departments D and I of 0:02:23.120 --> 0:02:26.840 the Diversity and Initiative crew has actually been part of 0:02:26.840 --> 0:02:30.600 the problem. Almost I could pick it up from there. Yeah, 0:02:30.680 --> 0:02:32.840 thanks so much for having me and I yeah, definitely 0:02:32.880 --> 0:02:35.080 Absos did as a follow up to the last piece. 0:02:35.200 --> 0:02:39.359 But like Joab, the driving force behind diversity and inclusion 0:02:39.400 --> 0:02:42.680 initiative to the last three decades has been this market. 0:02:42.720 --> 0:02:45.840 You have an approach, So this idea that you know, 0:02:46.040 --> 0:02:49.440 discrimination and in equality is bad for business. Um, you 0:02:49.480 --> 0:02:51.600 know you're you're losing out on productive people if you 0:02:51.680 --> 0:02:54.040 discriminate I guess people just because they look like And 0:02:54.240 --> 0:02:57.799 also there's so much research showing that diverse teams are 0:02:57.919 --> 0:03:00.320 just better and more productive. And this has been having 0:03:00.880 --> 0:03:03.720 the deconied apartment and you know, billions of dollars of 0:03:03.800 --> 0:03:07.360 industry to get more people who are women and minorities 0:03:07.400 --> 0:03:10.560 and the high paying jobs. And in the piece, um, 0:03:10.600 --> 0:03:14.520 I get into how that hasn't worked. But also you 0:03:14.560 --> 0:03:18.720 know how the George Floyd protests this summer um have 0:03:18.960 --> 0:03:22.120 led to a bit of a shift in thinking away 0:03:22.280 --> 0:03:27.840 from this kind of dominant theory. And so Becca, what 0:03:28.160 --> 0:03:30.840 are people actually doing about it? I mean part of 0:03:30.880 --> 0:03:33.400 what you know, I know you and your team have 0:03:33.600 --> 0:03:36.480 described as this is obviously moving from the fringes into 0:03:36.520 --> 0:03:39.240 the mainstream, into the main conversation. That's one of the 0:03:39.280 --> 0:03:42.160 pillars of everything we're doing with the Equality Summit. But 0:03:42.480 --> 0:03:45.760 what sort of actual movement are we seeing or is 0:03:45.800 --> 0:03:49.839 the entire point that we're not actually seeing anything. We're 0:03:49.840 --> 0:03:52.640 so actually are seeing some changes. And I think the 0:03:52.680 --> 0:03:54.800 biggest thing is, you know, this is not kind of 0:03:54.840 --> 0:03:57.640 sound like that, it's a mindset shift. So before it 0:03:57.680 --> 0:04:01.400 was kind of like diversity is good. Now it's like, Okay, 0:04:01.640 --> 0:04:03.840 racism is still happening, and so we need to do 0:04:03.920 --> 0:04:06.360 things combat racism. I think we can add that to 0:04:06.400 --> 0:04:10.000 other isms that racism has been the focus um for 0:04:10.120 --> 0:04:12.400 the summer for good reason. So I think that's been 0:04:12.480 --> 0:04:15.120 a big shift, because you do different things once you 0:04:15.240 --> 0:04:18.720 start thinking about it in terms of fixing racism as 0:04:18.720 --> 0:04:21.480 opposed to promoting diversity. And I think the biggest thing 0:04:21.560 --> 0:04:24.440 that I've noticed that's more tangible than a mindset shift 0:04:24.640 --> 0:04:28.440 is things that look very similar to and I would 0:04:28.480 --> 0:04:33.360 describe as quotas um, which is what my first article 0:04:33.440 --> 0:04:35.800 was about, which I remember that that was really great 0:04:35.800 --> 0:04:38.200 because I really thought about that. You know, does this 0:04:38.320 --> 0:04:41.560 is this what we need to do? Yeah? I think companies, 0:04:41.600 --> 0:04:43.560 although they are reluctant to actually call it that because 0:04:43.560 --> 0:04:46.560 they're very scared of the word for various reasons, they 0:04:46.680 --> 0:04:50.520 are saying, like, we are going to aim to have 0:04:50.640 --> 0:04:54.440 a certain number or percentage of black people or Latin 0:04:54.520 --> 0:04:59.320 next people in certain high paying, high power roles, and 0:04:59.360 --> 0:05:02.560 that is different. They had not done anything bad aggressive 0:05:02.720 --> 0:05:06.240 before Five Lives Matter protest, and I think it's things 0:05:06.320 --> 0:05:09.240 like that that might move the needle more or at 0:05:09.279 --> 0:05:11.120 bay at least just trying something different and then and 0:05:11.200 --> 0:05:13.880 that's a big shift in the last couple of months 0:05:14.440 --> 0:05:17.080 compared to the last thirty years. Back in one of 0:05:17.080 --> 0:05:20.120 the most provocative things, I'm gonna steal your thunder a 0:05:20.160 --> 0:05:22.520 little bit um, or at least let you steal your 0:05:22.520 --> 0:05:27.520 own thunder, uh is your opening anecdote from seventeen um 0:05:27.880 --> 0:05:30.320 that is about Apple. Can you share that one because 0:05:30.320 --> 0:05:33.640 it's such a provocative way into the story. Yeah. So 0:05:34.000 --> 0:05:37.000 in twenty seventeen, the woman who is tutting up Apple's 0:05:37.080 --> 0:05:39.719 diversity and inclusion department, she's being at a conference and 0:05:39.839 --> 0:05:43.200 she said in her own marks, she said, there can 0:05:43.240 --> 0:05:47.039 be twelve white blue eyes blonde then in a room, 0:05:47.200 --> 0:05:49.560 and they're going to be diverse, and they're going to 0:05:49.600 --> 0:05:53.400 bring a different life experience and life perspective to the conversation. 0:05:54.120 --> 0:05:58.159 And she apologized for those remarks because you know, people said, uh, 0:05:58.320 --> 0:06:00.760 you know, if that's not really diverse city. But it 0:06:00.880 --> 0:06:04.480 was really that that the mission to get more women 0:06:04.520 --> 0:06:06.600 on minorities up and down the corporate ladder had really 0:06:06.640 --> 0:06:09.720 become diluted, and it really become driven by this idea 0:06:09.839 --> 0:06:12.440 we just made diversity of thotten experiences. And when you 0:06:12.440 --> 0:06:16.160 think like, yeah, it's true, like a certain of you know, 0:06:16.200 --> 0:06:19.680 white blonde, blue eyed man from or clearly is going 0:06:19.720 --> 0:06:22.080 to be different than at white blue blonde man from 0:06:22.160 --> 0:06:24.920 somewhere else, but it does not has nothing to do 0:06:25.040 --> 0:06:28.719 with the original mission of getting more women and minorities 0:06:29.000 --> 0:06:32.360 higher up the corporate Later, and that was Rebecca Greenfield 0:06:32.360 --> 0:06:35.400 overseeing all of our managing diversity coverage and Bloomberg Business 0:06:35.440 --> 0:06:38.800 Week editor Joel Webber. So, Jason, coming up from our 0:06:38.839 --> 0:06:42.160 equalities summit, we continue along this theme and this time 0:06:42.200 --> 0:06:44.640 about the failures of capitalism when it comes to diversity 0:06:44.680 --> 0:06:48.400 inclusion in corporate boardrooms. That's right, my conversation with former 0:06:48.480 --> 0:06:51.280 Zerox chairman and CEO Ursula Byrne. She's got a new 0:06:51.320 --> 0:06:55.240 project all about creating more diversity on boards. It is 0:06:55.480 --> 0:06:59.120 very aligned with John Winkle Reed's work over at TPG. 0:06:59.240 --> 0:07:02.760 Weill have that converse tion coming up next. This is Bloomberg. 0:07:07.279 --> 0:07:10.760 This is Bloomberg Business Week with Carol Masser and Jason 0:07:10.880 --> 0:07:14.080 Kelly from Bloomberg Radio. We're going to continue with our 0:07:14.120 --> 0:07:16.280 equality theme this week. Jason. Of course, it's a deep 0:07:16.320 --> 0:07:19.760 diving the issue and our summit absolutely a summit you 0:07:19.800 --> 0:07:21.680 and I were both delighted to be a part of. 0:07:22.000 --> 0:07:24.240 And the conversation that I had, I really liked it. 0:07:24.280 --> 0:07:26.960 I have to say Ursula Burns, she's a force, the 0:07:27.000 --> 0:07:30.280 former Xerox german and CEO. She joined me along with 0:07:30.320 --> 0:07:33.880 TPG co CEO and partner John Winkle Reed. We're talking 0:07:33.920 --> 0:07:37.120 about boards and we started talking about a new initiative 0:07:37.320 --> 0:07:41.280 that Ursula is getting underway. This started pretty simply and 0:07:41.320 --> 0:07:45.440 pretty you know, not a lot of ambition. It was 0:07:45.640 --> 0:07:47.760 the response to a lot of calls that I was 0:07:47.800 --> 0:07:53.000 getting in and my brother's and sisters, my black CEOs 0:07:53.080 --> 0:07:56.440 who were getting calls as well, right after the George 0:07:56.440 --> 0:07:59.520 Floyd incident. And it was calls to say from other 0:08:00.080 --> 0:08:03.960 us to say, we think we are doing things okay, 0:08:03.960 --> 0:08:06.600 but it seems like we maybe missing something. Can you 0:08:07.200 --> 0:08:11.760 help me think through this situation? What's happening in the 0:08:11.840 --> 0:08:14.680 United States, what's happening all over the world? And I 0:08:14.720 --> 0:08:18.320 got probably twenty five calls Darren Walker from the Ford Foundation. 0:08:18.560 --> 0:08:22.560 Can we all got calls from other CEOs and business 0:08:22.600 --> 0:08:26.160 leaders asking for some insight. And one of the things 0:08:26.160 --> 0:08:29.920 that became clear was that they were calling us they 0:08:29.960 --> 0:08:34.040 didn't have the resource at home that they could actually 0:08:34.080 --> 0:08:37.560 reach to clearly on their boards, they didn't have that 0:08:37.640 --> 0:08:40.800 resource they could say, can you give me some insights 0:08:40.840 --> 0:08:43.880 that would be able to help me and and my company, 0:08:43.920 --> 0:08:48.000 our company get through this. After these levels of calls, 0:08:48.040 --> 0:08:50.840 myself and Darren and Gaby Salzburger, a whole bunch of 0:08:51.520 --> 0:08:54.800 were just together thinking and talking and saying, why don't 0:08:54.840 --> 0:08:58.000 we not become these point people of here. You know, 0:08:58.040 --> 0:08:59.520 can you give me a call and get a help. 0:08:59.800 --> 0:09:06.160 Can can we structure something that's that's reasonable, that is 0:09:06.160 --> 0:09:10.200 a resource for companies to use income to if they 0:09:10.240 --> 0:09:13.000 wanted to do something pretty simple, because most of these 0:09:13.000 --> 0:09:18.559 calls were to us as business leaders speaking to ceo s, 0:09:18.600 --> 0:09:21.120 could we actually start at the top and structure something 0:09:21.160 --> 0:09:26.200 that was to get every board in the fortune fortune 0:09:26.200 --> 0:09:30.360 one thousand, fortune three thousand to have at least one 0:09:30.360 --> 0:09:35.440 black director, pretty straightforward and no other No, you know, 0:09:35.480 --> 0:09:39.079 no gun to your head, no threats, No, this is 0:09:39.120 --> 0:09:42.880 all about you doing what is will be helpful for 0:09:42.920 --> 0:09:46.520 you and your company particularly now. Just do it as 0:09:46.520 --> 0:09:50.200 a natural, as a natural initiative, and it turns out 0:09:50.240 --> 0:09:52.920 that it then snowball from there. The more people that 0:09:52.960 --> 0:09:54.480 we talked to, the more we realize that this is 0:09:54.520 --> 0:09:57.280 something that's good. We're not the only group doing this, 0:09:57.320 --> 0:09:59.400 This is not the only initiative, this is not the 0:09:59.480 --> 0:10:02.959 only move happening, but it was something that we could do. 0:10:03.640 --> 0:10:08.000 Um that was black lead three you know, three black people, myself, 0:10:08.040 --> 0:10:14.120 two women, uh, myself, Gabby Darren and some people around 0:10:14.200 --> 0:10:16.520 us as well. We have to NaIO helping us. They 0:10:16.520 --> 0:10:20.280 are they are helping us with numbers and with process 0:10:20.360 --> 0:10:22.640 and actually helping us build up a little bit more 0:10:22.679 --> 0:10:26.760 of a database. We have the black Director's initiative, who's engaged. 0:10:26.800 --> 0:10:28.839 We have the Boulet who's engaged. So there are a 0:10:28.960 --> 0:10:31.840 large number of people who actually are trying to work 0:10:31.840 --> 0:10:35.120 on this. We know, maybe too many initiatives, but enough 0:10:35.679 --> 0:10:38.120 such that we can actually make progress on this one 0:10:38.200 --> 0:10:43.320 simple thing. One black director on every company that has 0:10:43.320 --> 0:10:46.440 a board. Let's start with the three thousand. Then we 0:10:46.480 --> 0:10:49.640 went to to try to finding out find out who 0:10:49.720 --> 0:10:53.520 has what. And it's interesting that the data is horrible. 0:10:53.559 --> 0:10:56.560 It's not well kept. Um, it's not an essential place. 0:10:56.600 --> 0:10:58.800 We couldn't. We couldn't. The way that we've found out 0:10:58.800 --> 0:11:01.479 the data is to literally get the list of directors 0:11:02.400 --> 0:11:06.240 and look at the pictures and make an assessment. Now, 0:11:06.440 --> 0:11:08.320 how do we know if this person is black or not? 0:11:08.440 --> 0:11:11.280 So the second thing is about reporting. Can we get 0:11:11.760 --> 0:11:16.800 self identification the director self identify and get some idea 0:11:16.840 --> 0:11:18.920 of where we are, because if we don't measure this 0:11:19.040 --> 0:11:20.880 and and look at it, if companies don't measure and 0:11:20.880 --> 0:11:22.760 look at this, we're not gonna make progress and then 0:11:22.760 --> 0:11:26.120 the third plank is basically around support. Can we support? 0:11:26.200 --> 0:11:29.560 Can we educate? Can can we be a resource to 0:11:29.720 --> 0:11:33.360 these companies and too these boards and two management teams, etcetera. 0:11:33.559 --> 0:11:36.000 UM to actually make progress on diversity as a total. 0:11:36.040 --> 0:11:38.000 We started with black, but it's not black only. We 0:11:38.040 --> 0:11:40.240 started with black because that's the moment that we're in. 0:11:40.640 --> 0:11:44.400 But we have we have women diversity, we have Latina diversity, 0:11:44.600 --> 0:11:49.800 Latino diversity, the diversity across the board. And so, John, 0:11:49.840 --> 0:11:52.240 I want to turn to you because you and I 0:11:52.320 --> 0:11:55.679 spoke a year or so ago about some initiatives that 0:11:55.720 --> 0:12:00.280 you are undertaking, largely around including women on the boards 0:12:00.280 --> 0:12:03.600 of the companies that you were invested in. You have 0:12:03.720 --> 0:12:07.440 since expanded that. I want to back up a little 0:12:07.440 --> 0:12:12.040 bit to understand and help the audience understand why do 0:12:12.200 --> 0:12:16.079 boards matter so much? Why is there so much focus 0:12:16.200 --> 0:12:19.040 on the board. It seems maybe a little bit obvious 0:12:19.480 --> 0:12:24.520 that I want to put that question to you. Well, 0:12:24.559 --> 0:12:27.920 I think you know that the words UM are really 0:12:27.960 --> 0:12:30.600 critical in a number of different respects in a in 0:12:30.640 --> 0:12:35.360 a private equity context. UM. You know, we bring a 0:12:35.360 --> 0:12:41.000 lot of capabilities and talents to our companies to help navigate, 0:12:41.200 --> 0:12:46.240 help build our businesses UM and our words are an 0:12:46.240 --> 0:12:49.600 integral part of that. UM. You know, the private equity 0:12:49.640 --> 0:12:56.280 approach in governance in private company situations is slightly different, 0:12:56.320 --> 0:12:58.400 but not you know, it's not entirely different than public 0:12:58.440 --> 0:13:03.000 companies UM. But in a private context, you know, we're 0:13:03.040 --> 0:13:07.800 trying to investment companies create value. And one of the 0:13:07.880 --> 0:13:11.040 things that we do in particular a TPG. It's done 0:13:11.080 --> 0:13:14.079 across the private equity industry. But one of the things 0:13:14.120 --> 0:13:16.199 that we are very focused on as a firm and 0:13:16.320 --> 0:13:20.480 proud of is that we are we're very engaged with 0:13:20.520 --> 0:13:24.440 our companies and UM. So I would say if I 0:13:24.440 --> 0:13:26.120 had if I had to boil it down, I would 0:13:26.120 --> 0:13:29.560 say engagement with our companies to help our companies grow, 0:13:30.120 --> 0:13:34.280 help our companies navigate problems UM on one hand, and 0:13:34.320 --> 0:13:38.120 on the other hand, UM, I would say, having an 0:13:38.160 --> 0:13:42.040 investor mindset around the cable UM is often an important 0:13:42.040 --> 0:13:46.400 thing in terms of accountability and driving growth and improving 0:13:46.400 --> 0:13:51.000 our companies UM, and so quality of people that we 0:13:51.120 --> 0:13:54.840 have around our boards is paramount. And so a year 0:13:54.840 --> 0:13:58.079 ago when we got together and talked about this, Jason, 0:13:58.120 --> 0:14:00.360 I think one of the things that we felt really 0:14:00.400 --> 0:14:07.640 important was UM having a group sitting around those tables 0:14:07.679 --> 0:14:11.640 that are adding value, that are UM, that are diverse 0:14:11.720 --> 0:14:16.880 and inclusive UM, and really are focusing on bringing great 0:14:16.960 --> 0:14:20.600 talent to the boards of our companies UM, so that 0:14:20.640 --> 0:14:24.480 we helped drive and navigate the future. And UM. I think, 0:14:24.520 --> 0:14:26.640 as we talked about last year, we had we had 0:14:26.720 --> 0:14:31.760 launched an initiative that UM was focused initially on gender 0:14:31.840 --> 0:14:37.640 diversity where we would bring UH at least one woman 0:14:37.720 --> 0:14:39.960 to the boards of all the companies that we either 0:14:40.040 --> 0:14:43.840 controlled or had great influence on. And that's TPG cocy 0:14:43.920 --> 0:14:47.440 On partner John Winkle Reed, former Xerox chairman and CEO 0:14:47.520 --> 0:14:50.000 Earthla Burns very much on the same page about where 0:14:50.040 --> 0:14:53.840 we go next. Yeah. Absolutely. That entire conversation, by the way, 0:14:53.880 --> 0:14:56.600 can be watched by going to Bloomberg Live dot com well, 0:14:56.600 --> 0:14:59.000 from changes in the boardroom to changes in a workplace 0:14:59.040 --> 0:15:02.040 because of the virus. What Semens have been doing through 0:15:02.040 --> 0:15:05.520 this pandemic is we hear from Siemens USA President and 0:15:05.600 --> 0:15:09.720 CEO Barbara Humpton. She gives us her take. This is Woodburn. 0:15:12.040 --> 0:15:15.520 This is Bloomberg Business Week with Carol Masser and Jason 0:15:15.640 --> 0:15:19.520 Kelly from Bloomberg Radio. This week on our daily show, 0:15:19.560 --> 0:15:21.760 we caught up with the President CEO of Siemens USA. 0:15:21.840 --> 0:15:24.440 She's Barbara Humpton. As you know, this is a company 0:15:24.520 --> 0:15:26.680 that has a wide lens at which to look at 0:15:26.800 --> 0:15:30.840 our world, power generators, high tech, you name it. We 0:15:30.920 --> 0:15:34.280 talked about a lot of things, including COVID nineteen's impact 0:15:34.360 --> 0:15:36.920 on the company. What Semens have been doing through this 0:15:37.000 --> 0:15:41.720 pandemic is serving the serving society as we've been built 0:15:41.800 --> 0:15:44.520 to do. One of the most important things was siemens 0:15:44.640 --> 0:15:48.640 capabilities in healthcare are our colleagues and Semens Health and 0:15:48.720 --> 0:15:52.680 Ears has helped respond with additional testing capability and now 0:15:53.320 --> 0:15:57.120 most importantly with antibody testing so that we can understand 0:15:57.160 --> 0:16:00.680 public health as the virus continues to spread it. But 0:16:00.840 --> 0:16:05.080 it goes beyond healthcare. We're engaged in helping with facilities, 0:16:05.280 --> 0:16:09.800 um ensuring that there's adequate hospital beds available, standing up 0:16:09.800 --> 0:16:14.040 new facilities and record time, helping manufacturers keep supply chain 0:16:14.120 --> 0:16:16.600 flowing so that we have enough ppe to meet our 0:16:16.640 --> 0:16:19.680 needs as we go. Overall, I would tell you Siemens 0:16:19.720 --> 0:16:23.200 is going to end up being an important partner for 0:16:23.200 --> 0:16:26.840 for communities around the globe and here across the US. 0:16:27.080 --> 0:16:29.920 As as we deal potentially with a second wave, and 0:16:30.000 --> 0:16:33.720 our goal is to help America stay open potentially a 0:16:33.760 --> 0:16:35.960 second wave. I got to ask you, though, how likely 0:16:36.000 --> 0:16:38.640 are you expecting that, especially with what we're watching over 0:16:38.720 --> 0:16:41.520 in Europe right now in the UK, Well, we know 0:16:41.600 --> 0:16:43.840 that everyone everywhere is having to pay a lot of 0:16:43.880 --> 0:16:47.160 attention to community health, and we've got tools to do 0:16:47.240 --> 0:16:50.800 that now, right So expanded testing certainly makes a big difference. 0:16:50.880 --> 0:16:54.480 And we've also learned how to keep things open with 0:16:54.680 --> 0:16:59.720 appropriate strategies like physical distancing, etcetera. One of our businesses 0:17:00.000 --> 0:17:03.000 and infrastructure actually has a whole program called come Back 0:17:03.040 --> 0:17:07.160 with Confidence. We're rolling out technology into buildings to help 0:17:07.280 --> 0:17:11.240 the people who are managing those spaces keep their residents safe. 0:17:11.760 --> 0:17:13.919 And I were confident that that's going to be a 0:17:13.960 --> 0:17:17.920 major tool for us as we enter into the fall month. So, Barbara, 0:17:18.000 --> 0:17:21.440 one of the areas that we've been very focused on 0:17:22.400 --> 0:17:26.720 is what's happening in cities, and you alluded to this, 0:17:26.800 --> 0:17:29.600 and I know that you attended I believe the U 0:17:29.640 --> 0:17:33.240 S Conference of Mayors, and I want to understand what 0:17:33.320 --> 0:17:37.320 they're saying to you because the infrastructure that they have 0:17:37.480 --> 0:17:41.160 to maintain is critical, as both the network, but also 0:17:41.520 --> 0:17:44.600 just for individual human beings. What can you tell us 0:17:44.600 --> 0:17:47.679 about what's happening on the ground as you talked to 0:17:48.080 --> 0:17:51.800 these folks who are very much on the front lines. Yeah, Jason, 0:17:51.840 --> 0:17:54.400 we were so interested in what's happening at the city 0:17:54.480 --> 0:17:59.919 level because this pandemic is hyperlocal, right. It affects community 0:18:00.280 --> 0:18:04.560 and and communities have to deal with different circumstances. So 0:18:04.800 --> 0:18:08.520 we wanted to survey mayors, and we asked the Harris 0:18:08.520 --> 0:18:12.160 Pole in concert with the U S Conference of Mayors, 0:18:12.200 --> 0:18:15.360 and we got great feedback from a hundred twenty four 0:18:15.400 --> 0:18:18.359 mayors across three or four states across the United States, 0:18:18.880 --> 0:18:22.600 and it was remarkably consistent feedback. And what mayors are 0:18:22.600 --> 0:18:25.760 saying is they expect to see declines in their budgets. 0:18:25.880 --> 0:18:30.240 We're all concerned about that, understanding the economic impact UM, 0:18:30.359 --> 0:18:34.919 but they're also viewing investments in infrastructure as the most 0:18:36.160 --> 0:18:38.480 the most positive way that they can be working in 0:18:38.520 --> 0:18:41.520 both the short term and the long term to support 0:18:41.560 --> 0:18:45.199 the economies, bring jobs back into their communities, and and 0:18:45.359 --> 0:18:48.560 attend to health UM simultaneously. You know, I feel like 0:18:48.560 --> 0:18:51.240 we've been talking about infrastructure for so long. Barbara, do 0:18:51.320 --> 0:18:54.520 you feel like finally something will ultimately be done, because 0:18:54.560 --> 0:18:56.679 you know, it's like one of those things that actually 0:18:56.720 --> 0:18:59.400 both sides of the ai'll agree that we should be 0:18:59.440 --> 0:19:03.080 putting any into infrastructure, you know, in Washington, and yet 0:19:03.600 --> 0:19:06.280 it doesn't seem to happen. You think it's a little 0:19:06.280 --> 0:19:08.760 bit different. You are actually seen municipalities saying we've got 0:19:08.760 --> 0:19:11.600 to do stuff, We've got to do things, Carroll and 0:19:11.600 --> 0:19:13.800 and so here's what I think we're going to see. First, 0:19:13.800 --> 0:19:17.040 we've seen both campaigns at the presidential level talk about 0:19:17.080 --> 0:19:20.879 infrastructure is being central to their agendas. UM. But but 0:19:21.000 --> 0:19:23.600 more than that, this is going to take far beyond 0:19:23.680 --> 0:19:26.240 I mean, before the pandemic, we were seeing something like 0:19:26.280 --> 0:19:30.280 a two trillion dollar deficit in the kind of UM 0:19:30.320 --> 0:19:33.679 spending an infrastructure that would be required to This is 0:19:34.000 --> 0:19:36.439 data from the American Society of Civil Engineers, so we 0:19:36.520 --> 0:19:39.080 knew we were working, you know, an uphill battle at 0:19:39.080 --> 0:19:42.119 that point. What's going to be necessary at this stage 0:19:42.119 --> 0:19:45.000 of the game is to mobilize capital from every sector. 0:19:45.080 --> 0:19:49.040 So I truly believe that UM seeing not only government action, 0:19:49.160 --> 0:19:52.960 but private sector actions would be engaged in infrastructure improvement. 0:19:53.200 --> 0:19:56.000 So Barbara, in the few minutes that we have now. 0:19:56.080 --> 0:19:58.280 I just wanted to ask you what's this been like 0:19:58.840 --> 0:20:02.000 as a leader. I mean, you have a massive organization 0:20:02.520 --> 0:20:05.920 that you're responsible for, and I wonder you know, now 0:20:06.040 --> 0:20:09.560 six months in, this isn't triage anymore. You know, we're 0:20:09.560 --> 0:20:12.520 having to make real decisions about how our companies are running. 0:20:12.920 --> 0:20:16.920 I wonder how you've handled it and what you've learned. Well, 0:20:17.160 --> 0:20:20.680 great question, Jason, and we just discovered early on, because 0:20:20.720 --> 0:20:24.840 we were so essential to so many segments of the market, 0:20:25.200 --> 0:20:28.440 it was necessary for us to, you know, basically pull 0:20:28.480 --> 0:20:31.080 our boots on and get out there and get working. Um, 0:20:31.160 --> 0:20:34.240 when we initially got started, about two thirds of our 0:20:34.280 --> 0:20:37.679 employees were able to work remotely, but that meant a 0:20:37.760 --> 0:20:39.800 third had to be out on the front line in 0:20:39.920 --> 0:20:42.960 harm's way. And that's Barbara Hopton, President and CEO of 0:20:43.040 --> 0:20:46.520 Siemens USA. Excited to catch up with her because, as 0:20:46.600 --> 0:20:51.280 you pointed out, Carol, they have a window into the 0:20:51.440 --> 0:20:55.240 local governments, the state governments, and really this infrastructure issue 0:20:55.280 --> 0:20:57.840 that we're going to have to tackle to battle this virus. 0:20:58.000 --> 0:21:00.480 You're listening to Bloomberg Business Week coming up, lots of 0:21:00.480 --> 0:21:02.639 problems out there for CEOs to solve and when it 0:21:02.680 --> 0:21:04.840 comes to all that ails the US. While our next guest, 0:21:05.040 --> 0:21:07.280 there's a pretty easy fix, and Jason, it involves the 0:21:07.359 --> 0:21:14.800 number one billion or people. This is Bloomberg. This is 0:21:14.800 --> 0:21:18.800 Bloomberg Business Week with Carol Masser and Jason Kelly from 0:21:18.880 --> 0:21:22.479 Bloomberg Radio. So Carol, straight up, I'm a fanboy of 0:21:22.480 --> 0:21:26.280 our next guest. I've followed his work and he delivered. 0:21:26.280 --> 0:21:28.880 Talking about Matthew Iglesias. He's the co founder of Fox. 0:21:28.960 --> 0:21:31.840 He's got a new book. It's called One Billion Americans, 0:21:32.080 --> 0:21:35.200 The Case for Thinking Bigger, and he is thinking big. 0:21:35.440 --> 0:21:38.639 United States, major world power. We've been probably the most 0:21:38.920 --> 0:21:41.800 prominent country in the world for a hundred years now, 0:21:41.840 --> 0:21:45.280 the world's largest economy, the world's largest domestic market. But 0:21:45.400 --> 0:21:48.240 China is up and coming on us. They're in purchasing 0:21:48.240 --> 0:21:51.480 power parity terms. Their economy is bigger than ours. There's 0:21:51.480 --> 0:21:53.879 a lot of tensions, you know, talking about TikTok, you 0:21:53.920 --> 0:21:58.040 can talk about PRC censorship of American movies. Um, and 0:21:58.119 --> 0:22:00.159 you know, what do we want to do about this? 0:22:00.320 --> 0:22:02.719 And I think one obvious answer would be to go 0:22:02.920 --> 0:22:06.439 after the underlying source of Chinese strength, which is that 0:22:06.480 --> 0:22:09.119 they are such a large country, we could seek to 0:22:09.200 --> 0:22:13.600 grow our own population domestically, and that's both by being 0:22:13.600 --> 0:22:16.359 more open to immigrants we are privileged to be a 0:22:16.359 --> 0:22:18.600 country that tens of millions of people around the world 0:22:18.600 --> 0:22:20.560 want to move to, and also by doing more to 0:22:20.640 --> 0:22:24.280 support Americans who want to have children. We have, on 0:22:24.440 --> 0:22:28.159 average about one point seven children per woman, but the 0:22:28.240 --> 0:22:30.680 average woman says she'd like to have about two point 0:22:30.720 --> 0:22:34.880 six children. Men slightly lower preferences. But also, people don't 0:22:34.880 --> 0:22:38.200 necessarily care what we think um and we don't do 0:22:38.400 --> 0:22:42.680 very much financially to let people have the family life 0:22:42.720 --> 0:22:46.080 that they aspire to. We do no child allowance unlike 0:22:46.080 --> 0:22:49.800 most countries. In most jurisdictions, we don't provide for preschool. 0:22:50.240 --> 0:22:52.639 We don't do much to help kids out during the summertime. 0:22:52.800 --> 0:22:55.399 Right now, during covid in, large squads of the country 0:22:55.480 --> 0:22:58.320