Top global firms commit to tackling inequality by joining G7 Business for Inclusive Growth coalition

A group of major international companies has pledged to tackle inequality and promote diversity in their workplaces and supply chains as part of a G7 initiative sponsored by French President Emmanuel Macron and overseen by the OECD.

The Business for Inclusive Growth (B4IG) coalition will be launched at the G7 Leaders’ Summit in Biarritz, France. Spearheaded by Emmanuel Faber, Danone Chairman and CEO, the coalition brings together 34 leading multinationals with more than 3 million employees worldwide and global revenues topping $1 trillion. Members have agreed to sign a pledge to take concrete actions to ensure that the benefits of economic growth are more widely shared.

B4IG coalition members will tackle persistent inequalities of opportunity, reduce regional disparities and fight gender discrimination. Companies have identified an initial pool of more than 50 existing and planned projects, representing more than 1 billion euros in private funding, to be covered under the initiative. The projects range from training programmes to help employees adapt to the future of work to greater investment in childcare, to increasing women’s participation in the workforce; to financially supporting small businesses, to encouraging greater participation in supply chains; and to enhancing the integration of refugees through faster integration to the workforce. Coalition members will seek to accelerate, scale-up and replicate already existing projects, while significantly expanding their social impact.

The platform, chaired by Danone, consists of a three-year, OECD-managed programme. It aims at increasing opportunities for disadvantaged and under-represented groups through retraining and upskilling, as well as promoting diversity on the companies’ boards and executive committees and tackling inequalities throughout their supply chains. They will also step up business action to advance human rights, build more inclusive workplaces and strengthen inclusion in their internal and external business ecosystems.

The B4IG initiative will be presented to President Macron during a meeting with business and civil society leaders at the Elysées Palace on Friday 23 August.

OECD Secretary-General Angel Gurría said: “Growing inequality is one of the biggest social challenges in the world today, perpetuating poverty, undermining social cohesion and trust. Sustainable economic growth means inclusive economic growth. It means giving every individual the opportunity to fulfil her or his potential, the chance not only to contribute to a nation’s growth but to benefit from it, regardless of their background or origins.”

A Business for Inclusive Growth (B4IG) Incubator of public-private projects will be created at the OECD. The facility will offer companies access to the latest policy research, to help them launch and develop projects, undertake impact assessments and eventually bring about meaningful change. The B4IG Incubator will be funded by both G7 governments and private donors. It will service innovative inclusive business projects that require strong collaboration between the private and the public sector. The Incubator will catalyse and disseminate knowledge around the business models with higher social impact.

Original source: OECD
Published on 22 August 2019