EXECUTIVE SUMMARY The Lowdown on Showdowns: Piloting around PartisanEconomic Divides in Immigration,Rejuvenation: Infrastructure, and Industry Safely Bringing Corporations and Communities out of COVID Caves Washington, DC | March 13, 2018 Yale CEO Summit & Mayors College | June 3, 2020 PRESENTING SPONSORS The American Colossus: The Best of Times and the Worst of Times? The Yale Club of New York City & The New York Public Library | June 12 - 13, 2018 LEADERSHIP PARTNERS Economic Rejuvenation: Safely Bringing Corporations and Communities out of COVID Caves Yale CEO Summit & Mayors’s College June 3, 2020 Key Themes The 101st gathering of the Yale School of Management’s Chief Executive Leadership Institute—and the first held virtually via Zoom—brought together dozens of mayors and hundreds of CEOs and business leaders, as well as current and former government officials, such as Vice President Joe Biden, Secretary of State Colin Powell, and Secretary of Defense Ashton Carter. From the Mayors College – an outcry from mayors about the challenges leading through three unprecedent crises simultaneously. The COVID-19 crisis, an economic crisis with high rates of unem- ployment, and the crisis of systemic racism which threatens social unrest. These crises are disproportionately affecting minority popula- tions, are in some instances increasing tensions between the police and citizens, and are straining public resources. Many mayors want financial assistance from the federal government as well as leadership in bringing about healing and greater unity. Despite these immense challenges, some mayors expressed optimism and hope about the potential for significant and lasting change, par- ticularly on race issues. Jeffrey A. Sonnenfeld, Senior Associate Dean, Yale School of Management From the CEO Summary – a recognition from business leaders of the need to “do more” in addressing With a theme of “Economic Rejuvenation: systemic racism. CEOs were in agreement about the need to demonstrate greater lead- Safely Bringing Corporations and ership on race by speaking out, listening to employees, identifying Communities out of COVID Caves,” Yale actions within each company’s sphere of influence, providing more jobs and opportunities, and providing greater access to capital. CEOs Professor and Senior Associate Dean Jeff were not just responding to the headlines of the day, but see combat- Sonnenfeld led a discussion which focused ting systemic racism as a critical issue that must become a CEO and boardroom priority for all organizations. on the social justice issues that have dominated everyone’s attention in recent Legend in Leadership Award days. Brian Cornell, Chairman & CEO of Target Corporation, was presented with the Legend in Leadership Award for his exemplary leadership, vision, humility, willingness to make difficult decisions, and emphasis on diversity and inclusion. © 2020 Chief Executive Leadership Institute. All rights reserved. 2 Economic Rejuvenation: Safely Bringing Corporations and Communities out of COVID Caves Yale CEO Summit & Mayors’s College June 3, 2020 Mayors College Yale’s Jeff Sonnenfeld led a discussion among Mayors across the country are dealing with three simultaneous crises: the COVID-19 crisis, the mayors about the immense challenges they economic crisis, and the crisis of systemic racism that are currently facing and moderated a question is threatening social unrest. and answer session between mayors and Vice Several mayors, such as Victoria Woodards from Tacoma, Wash- President Joe Biden. ington, and Libby Schaaf from Oakland, California, talked about the incredibly difficult times that cities Overview currently face. Cities and mayors across the country are dealing with an unprec- The unprecedented challenges at this edented trifecta of challenges. Simultaneously, communities must moment are due to the combination contend with COVID-19, an economic crisis with high rates of un- of the COVID-19 pandemic, the eco- employment, and civil unrest focused on police brutality and systemic nomic crisis with staggeringly high Victoria Woodards, Mayor, Tacoma, racism. Mayors want financial assistance for their cities from the rates of unemployment—especially Washington federal government and help from businesses in providing jobs. among minorities—and then the police brutality and crisis of systemic Despite the enormous turmoil, some mayors expressed hope that racism. these crises could help bring about positive societal changes, espe- cially in confronting structural racism and creating greater opportuni- ties for those who have been disadvantaged. “Cities are in crisis right now. It’s like a triple pandemic—the structural Key Takeaways racism and disparities of Mayors are apolitical problem solvers. COVID-19 and then this economic shutdown.” Welcoming mayors to the Yale School of Management for the fifth Libby Schaaf, Mayor, Oakland, California time, Jeff Sonnenfeld noted that mayors are practical problem solvers Mayor Woodards talked about the need for healing in this polariz- who get things done. Richard Berry, former mayor of Albuquerque, ing climate and Mayor Schaaf focused on the importance of rapidly New Mexico, who worked with Jeff to launch the Mayors College, transforming entrenched systems and accelerating a more equitable termed it an important moment for the country and for mayors to economy and equitable recovery. engage in dialogue. Most mayors and police forces are working to build The current turmoil could be a turning point in positive relationships with citizens and communities. America, propelling the country to a better day. Louisville, Kentucky, Mayor Greg Fischer said that “passions that Tampa Mayor Jane Castor—who served as a police officer for 31 years are boiling over in our streets are not a result of something that has and the chief of police in Tampa for six years—said that police officers just happened in the last month.” He continued by stating that these are working every day to create relationships with the community to passions are “the result of generations of mistreatment, inequity, and keep neighborhoods safe. When an episode of police brutality occurs, structural racism that has led us to this point.” like in Minneapolis, all police officers in the country are judged as a group and every police officer in the nation pays for it. Yet, despite the turmoil in cities across the country at this moment, Mayor Fischer was surprisingly optimistic and hopeful. He believes “There are few who detest that the current unrest is finally waking up white America to the ne- police brutality more than cessity of confronting structural racism in the United States—through police officers. when a moral lens, an economic lens, and a public safety lens. Fischer sees something like this happens, it the tide turning and looks to the future with hope. He said, “I encour- age us all to look for a better day. We are going to be in a position sets back those relationships when we come out of this to help more people in a shorter period of [between the police and time realize their dreams than before because of this wakeup call for the community] and you, in America.” essence, have to start all over again, building it.” Jane Castor, Mayor, Tampa, Florida © 2020 Chief Executive Leadership Institute. All rights reserved. 3 Economic Rejuvenation: Safely Bringing Corporations and Communities out of COVID Caves Yale CEO Summit & Mayors’s College June 3, 2020 “I am full of hope, actually . • As a country we need to implement policies that reflect our finally I think that white values. Vice President Biden repeated his statement that “we are America is ready to wake up in a battle for the soul of the nation.” That battle entails enacting and understand the depth policies that are consistent with our values. Examples of policies in- of racism and structural clude criminal justice reform to hold police accountable; expanding racism in our country . Obamacare; making COVID testing and treatment free; holding white America, business in polluters accountable; making public colleges free for families earn- ing less than $125,000 per year; creating a clean energy economy; America, is ready to say, ‘We and reversing the unnecessary tax cut provided to businesses and Greg Fischer, Mayor, Louisville, Kentucky have to deal with this.’” the wealthy. • The business community needs to step up. Corporations have The Conference of Mayors is focused on three “I’s”— been focused on shareholders and have had a short-term mindset. infrastructure, innovation, and inclusion. This must change. Businesses have a responsibility to stakeholders, “We are at an incredible inflection not just shareholders, and need to take a longer-term approach. point in the US right now,” said Ste- As the country recovers from the pandemic and the economic phen Benjamin, Mayor of Columbia, crisis, businesses must help build back even better, which involves South Carolina, and Past President of providing jobs and hiring people into many roles without a college the US Conference of Mayors. Mayor education. Benjamin highlighted that in an environment where America is falling “You [business leaders] behind the world, the US Conference have some real of Mayors has a bipartisan agenda fo- responsibility . cused on infrastructure, innovation, there are stakeholders in and inclusion. These elements are at addition to shareholders. 07 - Stephen Benjamin, Mayor, Columbia, the core of every conversation taking . I’m running to rebuild South Carolina; Past President, US place