January, 19 2022, 07:37am EDT
Over 100 Millionaires Call Out Davos Attendees in Scathing Letter Demanding They Tax the Rich: "You're Part of the Problem"
“Show the people of the world that you deserve their trust. If you don’t, then all the private talks won’t change what’s coming - it’s taxes or pitchforks.”
WASHINGTON
Today, a group of over 100 millionaires and billionaires from nine countries published an open letter to Davos attendees including billionaires, corporate executives, and heads of state, demanding they embrace an aggressive agenda of taxing the rich.
Full text of the letter can be found HERE, and a full list of signatories can be found HERE.
The group published their letter during the World Economic Forum's weeklong Davos Agenda, during which participants are expected to discuss critical global challenges and solutions. It says unless heads of state and government and CEOs acknowledge the "simple, effective solution staring them in the face --taxing the rich," people around the world "will continue to see their so-called dedication to fixing the world's problems as little more than a performance."
Prominent signatories include American film producer and heiress Abigail Disney, American entrepreneur and venture capitalist Nick Hanauer, and British entrepreneur, Gemma McGough.
These super-rich signatories are joining a growing chorus of voices around the world calling for greater taxation of the richest in light of record COVID-19 wealth gains at the top of society --gains that have seen the ten richest men more than double their fortunes to a staggering $1.5 trillion dollars.
This letter is being released in conjunction with a new analysis by the Patriotic Millionaires, Institute for Policy Studies, Fight Inequality Alliance, and Oxfam, that finds that a wealth tax starting at just 2 percent annually for those with more than $5 million, 3 percent for those with over $50 million, and rising to 5 percent annually for billionaires could generate $2.52 trillion a year.
More global findings from the analysis include:
- 3.6 million people have over $5 million in wealth, with a combined wealth of $75.3 trillion.
- 183,000 individuals own over $50 million, for a combined wealth of $36.4 trillion.
- There are 2,660 billionaires with a total combined wealth of $13.76 trillion.
- An annual wealth tax applied to the world's richest would raise US $2.52 trillion a year (with a graduated rate structure: 2% tax on wealth over $5 million; 3% on wealth over $50 million; 5% on wealth over $1 billion).
An annual tax on the world's richest would be enough to lift 2.3 billion people out of poverty, make enough vaccines for the whole world, and deliver universal health care and social protection for all the citizens of low and lower middle-income countries (3.6 billion people).
Their US analysis found:
- There are 740 U.S. billionaires with wealth totaling $5.1 trillion. Throughout the pandemic (beginning in mid-March 2020), the wealth of the US American billionaire class increased $2 trillion.
- The richest billionaire owns more wealth than the bottom 40% of U.S. society.
- U.S. billionaires own half a billion more in wealth than the bottom 60% of U.S. society.
- An annual wealth tax in the United States would raise $928.39 billion a year (with rates at 2% on wealth over $5 million, 3% on wealth over $50 million and 5% over $1 billion). This revenue could raise the government's health budget by a third or it could eliminate half of U.S. households' out of pocket health costs.
From a few signers, in their own words:
Morris Pearl, Chair of the Patriotic Millionaires and former managing director at BlackRock, Inc., said: ""There is no defending a system that endlessly inflates the wealth of the world's richest people while condemning billions to easily preventable poverty. We need deep, systemic change, and that starts with taxing rich people like me."
Gemma McGough, British entrepreneur and founding member of Patriotic Millionaires UK said: "A common value most people share is that if something's not fair then it's not right. But tax systems the world over have unfairness built-in, so why should people trust them? They are asked to shoulder our shared economic burden again and again, while the richest people watch their wealth, and their comfort, continue to rise. For all our well-being --rich and poor alike-- it's time we right the wrongs of an unequal world. It's time we tax the rich."
The letter was circulated by Patriotic Millionaires (US and UK), Tax Me Now, Millionaires for Humanity, Fight Inequality Alliance, Institute for Policy Studies, and Oxfam, and warns that "history paints a pretty bleak picture of what the endgame of extremely unequal societies looks like."
The Patriotic Millionaires is a group of high-net worth Americans who share a profound concern about the destabilizing level of inequality in America. Our work centers on the two things that matter most in a capitalist democracy: power and money. Our goal is to ensure that the country's political economy is structured to meet the needs of regular Americans, rather than just millionaires. We focus on three "first" principles: a highly progressive tax system, a livable minimum wage, and equal political representation for all citizens.
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Biden Condemned for Ahistorical and 'Politically Suicidal' Attack on Campus Protests
"Biden's claim that 'dissent must never lead to disorder' defies American history, from the Boston Tea Party to the tactics that civil rights activists, Vietnam War protesters, and anti-apartheid activists used to confront injustice."
May 02, 2024
President Joe Biden faced immediate backlash Thursday for characterizing pro-Palestinian demonstrations that have erupted on university campuses across the country as lawless and violent, a narrative likely to further alienate the thousands of students who have joined peaceful protests against Israel's U.S.-backed war on Gaza in recent weeks.
In brief, unscheduled remarks delivered from the White House, Biden acknowledged that "peaceful protest is in the best tradition of how Americans respond to consequential issues."
But he then proceeded to cast recent campus demonstrations as abhorrent, using instances of property damage to broadly paint student protesters as out of control—giving a pass to police forces and pro-Israel mobs that have brutally attacked peaceful encampments.
Biden, who has armed Israel's military to the hilt, also conflated trespassing and disruptions of day-to-day campus activities—including classes and graduations—with violence, saying, "None of this is a peaceful protest."
"Dissent must never lead to disorder," the president said, ignoring the long history of disruptive civil rights and anti-war protests in the U.S. "There's the right to protest, but not the right to cause chaos."
Watch Biden's remarks in full:
Edward Ahmed Mitchell, a civil rights attorney and national deputy director of the Council on American-Islamic Relations (CAIR), said Thursday that "President Biden's claim that 'dissent must never lead to disorder' defies American history, from the Boston Tea Party to the tactics that civil rights activists, Vietnam War protesters, and anti-apartheid activists used to confront injustice."
"And if President Biden is truly concerned about the conflict on college campuses, he should specifically condemn law enforcement and pro-Israel mobs for attacking students, and stop enabling the genocide in Gaza that has triggered the protests," Mitchell added.
Matt Duss, executive vice president of the Center for International Policy and a former foreign policy adviser to Sen. Bernie Sanders (I-Vt.), wrote following the president's remarks that "the best speech of Biden's campaign was in June 2020, amid the nationwide protests against the murder of George Floyd."
"He could've given a very similar speech today, if only he thought the same rights and principles applied to Palestinians," Duss added. "In June 2020, Biden criticized violence but also refused to paint the protests with that broad brush. He acknowledged the root causes, the pain driving them. He could've made some effort to do the same today, instead he chose to amplify a right-wing caricature."
Countering suggestions that criticism of Biden could harm his reelection chances against former President Donald Trump, Duss pointed to an old social media post in which he explained: "One of my concerns here is that Biden is undermining his re-election. In addition to being morally and strategically awful, I think his Gaza policy is alienating and demobilizing constituencies he will need."
At the end of his speech, a reporter asked Biden whether the mass demonstrations on college campuses have led him to reconsider his approach to Israel's assault on Gaza, which to date has been unconditionally supportive even in the face of horrific Israeli war crimes.
"No," Biden said in response to the reporter's question.
"Apparently Biden is not swayed by the mass killing of children, international law, or an election as a growing number of Americans are appalled by his policies," Assal Rad, an author and Middle East analyst, wrote in reply to the president.
Biden to young people: go fuck yourselves, I’m sticking with Israel and its genocide.
Absolutely surreal, sad, politically suicidal, grotesque. https://t.co/96RIQE2ZO5
— Daniel Denvir (@DanielDenvir) May 2, 2024
Biden's address came hours after Los Angeles police launched a violent attack on pro-Palestinian demonstrators at UCLA, where a pro-Israel mob brutally assaulted student protesters just a day earlier.
In a statement earlier this week, College Democrats of America endorsed the Gaza solidarity protests that have swept the nation and warned Democratic leaders that each day they "fail to stand united for a permanent cease-fire, two-state solution, and recognition of a Palestinian state, more and more youth find themselves disillusioned with the party."
"We condemn those politicians, like MAGA Republicans and many other lawmakers, for smearing all protesters as hateful when, according to reports, the overwhelming majority of protests are peaceful," said the College Democrats.
In a floor speech on Wednesday, Sanders called out his colleagues who "are spending their time attacking the protesters rather than the Netanyahu government, which has caused and has created this horrific situation."
Sanders noted that the late Rep. John Lewis (D-Ga.) "was arrested 45 times for sit-ins and protests, 45 times for protesting segregation and racism."
"Protesting injustice and expressing our opinions is part of our American tradition," said the Vermont senator. "And when you talk about America being a free country, well, you know what, whether you like it or not, the right to protest is what American freedom is all about."
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Fossil Fuel Companies Use Enclosures to Hide Planet-Heating Methane Flares
"If you enclose the flare, people don't see it, so they don't complain about it," said one expert. "But it also means it's not visible from space by most of the methods used to track flare volume."
May 02, 2024
Fossil fuel companies are using a technology known as enclosed flaring to conceal dangerous methane emitted during the production of fossil gas, a report published Thursday revealed.
The Guardian's Tom Brown and Christina Last reported that fossil fuel producers in countries including the United States, United Kingdom, Germany, and Norway "appear to have installed technology that could stop researchers from identifying methane, carbon dioxide emissions, and pollutants at industrial facilities involved in the disposal of unprofitable natural gas."
As the World Bank, European Union, and others have been using satellites to track flaring—the burning of unwanted fossil gas—in an effort to reduce the harmful practice, fossil fuel producers have been adopting enclosed combustion technology to eliminate unwanted methane.
While the industry promotes enclosed combustors as a clean, safe, and efficient solution for eliminating unwanted emissions and ensuring regulatory compliance, critics claim they're a way for gas producers to conceal flaring—which releases five times more methane than previously believed, as Common Dreamsreported in 2022.
"Enclosed combustors are basically a flare with an internal flare tip that you don't see."
"Enclosed combustors are basically a flare with an internal flare tip that you don't see," Tim Doty, a former regulator at the Texas Commission on Environmental Quality, told The Guardian. "Enclosed flaring is still flaring. It's just different infrastructure that they're allowing."
"Enclosed flaring is, in truth, probably less efficient than a typical flare," Doty added. "It's better than venting, but going from a flare to an enclosed flare... is not an improvement in reducing emissions."
Eric Kort, an associate professor at the University of Michigan, told The Guardianthat "if you enclose the flare, people don't see it, so they don't complain about it."
"But it also means it's not visible from space by most of the methods used to track flare volumes," he added.
According to a March 2023 report published by the World Bank and Global Gas Flaring Reduction Partnership, an estimated 140 billion cubic meters of gas was flared globally in 2022, a 3% decrease from the previous year. The top 10 countries by flare volume that year were Russia, Iraq, Iran, Algeria, Venezuela, the United States, Mexico, Libya, Nigeria, and China.
Flaring releases carbon dioxide and toxic pollutants including carcinogenic chemicals. Despite these dangers, energy and environmental regulators allow the venting of fossil gas, which is up to 90% methane, into the atmosphere.
Methane—which has more than 80 times the warming power of carbon dioxide during its first two decades in the atmosphere—is emitted during the production and transportation of oil, gas, and coal, as well as from municipal landfills and livestock.
The International Energy Agency (IEA) published a report last October warning that immediate cuts to methane gas pollution caused by fossil fuel production are critical for limiting planetary heating to 1.5°C, the more ambitious objective of the Paris agreement.
The need is urgent. According to the U.S. National Oceanic and Atmospheric Administration, the three most critical heat-trapping gases in Earth's atmosphere—carbon dioxide, methane, and nitrous oxide—once again reached record levels last year, with methane increasing by 10 parts per billion to 1,922.6 ppb.
Responding to The Guardian's reporting, U.K. Green parliamentary candidate Catherine Read said that "oil and gas companies are hiding their 'flaring' operations because laws are being brought in to reduce emissions of [greenhouse gases] from waste gas that can't be sold at a profit."
"They don't care about us, our children, or nature," she added, "only profit above all else."
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'An Affront to the World': Shell Posts Billions in Profits as Planet Burns
"The grotesque wealth that this Earth-wrecking company continues to accumulate is something we cannot allow ourselves to accept as normal," one campaigner said.
May 02, 2024
Oil major Shell announced $7.7 billion in profits during the first quarter of 2024 on Thursday, as well as a $3.5 billion share buyback program.
The news comes as every month covered by the period was the hottest of its kind on record. The three-month period also saw the second-largest wildfire in Texas history, extreme heat in West Africa and the Sahel, and the beginning of the Great Barrier Reef's fifth mass bleaching event in eight years. Scientists have clearly linked global heating, and the weather disasters it exacerbates, to the climate crisis driven primarily by the burning of fossil fuels.
"As extreme weather accelerates and the cost-of-living crisis rumbles on, Shell's latest billion-pound profits are an affront to the world," Izzie McIntosh, climate campaign manager at Global Justice Now, said in a statement. "The grotesque wealth that this Earth-wrecking company continues to accumulate is something we cannot allow ourselves to accept as normal."
"This is the sad irony of the global energy system in which those causing chaos are the ones getting rich."
Shell's profits for the first three months of 2024 were around 20% lower than for the same time in 2023, CNBC reported. However, the company brought in $1.2 billion more than analysts had predicted. The world's largest oil firms, including Shell, saw record profits in 2022 following Russia's invasion of Ukraine and the energy crisis that followed.
"Shell has beaten expectations by a reasonable margin, despite the impact of lower gas prices during the first quarter," Stuart Lamont, an investment manager at RBC Brewin Dolphin, said in a statement shared by CNBC.
Global Witness pointed out that Shell's earnings to date amounted to over $58,000 a minute, more than the average U.K. nurse makes in a year.
"Shell continuing to rake in huge sums of money shows us that huge polluter profits were not a one-off but are the twisted reality of an energy system that benefits climate-wrecking companies to the cost of everyone else," Global Witness fossil fuel campaigner Alexander Kirk said in a statement.
Shell announced its profits one day after the U.S. Senate held a hearing on how large oil and gas companies, including Shell, have continued to deceive the public about the dangers of their products, moving from outright climate denial into making commitments they don't intend to keep or touting false solutions like carbon capture and storage that they then fail to develop. Shell, according to the testimony of Rep. Jamie Raskin (D-Md.), spent only 11% of its capital on low-carbon technologies between 2009 and 2023.
The hearing sparked calls for accountability from the fossil fuel industry—such as mechanisms to make climate polluters pay for the transition to renewable energy—and the news of Shell's profits generated more.
In the U.K., Labor Shadow Energy and Climate Minister Ed Miliband proposed increasing the tax on energy company profits. Shell paid the U.K. government around $1.4 billion in taxes in 2023, of which around $300 million went to the Energy Profits Levy, according toThe Guardian. Also last year, it paid its shareholders $23 billion, nine times more than it invested in its "Renewables and Energy Solutions" program.
"These results show yet again why it is so damning [that Prime Minister] Rishi Sunak refuses to bring in a proper windfall tax on the oil and gas giants," Miliband said. "These are companies that have made record profits at the expense of working people. Labor says tax these companies fairly so we can invest in clean homegrown energy that will end the cost of living crisis and make Britain energy independent."
Greenpeace U.K. called Shell's latest profits "shameless."
"Their reckless hunt for profits needs to end," the environmental advocacy group wrote on social media. "When will world leaders find their backbone and make polluters pay?"
When one commenter suggested governments held back out of desire to keep collecting Big Oil's taxes, Greenpeace fired back, "What taxes?" and noted that Shell avoided paying U.K. taxes for years.
"At the end of the day we want clean, cheap renewable energy not to face the worst impacts of climate change," Greenpeace continued. "Solutions exist, we just need the political and industrial will to get them in place."
Global Witness and Global Justice Now also took the opportunity to call for an energy transition.
"This is the sad irony of the global energy system in which those causing chaos are the ones getting rich," Kirk said. "This spiral won't stop until we make the urgent switch to a fairer renewable energy system that puts both people and planet first."
McIntosh concluded: "We urgently need to bring a fair and organised end to the fossil fuel era, and that means companies like Shell must stop trying to extract new oil and gas, and start paying what they owe for the loss and damage they've caused. Profit announcements like this for a corporate dinosaur like Shell need to become a thing of the past."
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