Aurelia Butler

Chinese president Xi Jinping and his Philippine counterpart Ferdinand Marcos Jr agreed to strengthen economic ties and handle maritime issues in the South China Sea through consultations, as Beijing seeks to salvage a relationship undermined by their territorial dispute.After meeting in Beijing, the two leaders agreed to “continue to properly handle maritime issues through friendly consultations”, according to the Chinese foreign ministry. According to Marcos’s office, Xi vowed to extend assistance to the Philippines in areas including agriculture, energy and infrastructure. Marcos told him that the Philippines and China should strengthen their partnership to make the two countries stable and strong and keep the region a driving force behind the global economy.Coming two weeks after reports China had started building up previously unoccupied land features in the South China Sea, the meeting — and Marcos’s first state visit outside south-east Asia — is seen as a test for whether Manila can bolster economic ties with Beijing while also strengthening its traditional security alliance with the US.“The value of the visit for Xi Jinping will be to size up Marcos Jr — what kind of leader he is, and whether he can be accommodating like [his predecessor Rodrigo] Duterte was,” said Jay Batongbacal, director of the University of the Philippines Institute for Maritime Affairs and Law of the Sea.While Duterte took an accommodating stance towards China and suspended developing the alliance with the US, Marcos has pledged to prioritise the protection of Philippine sovereignty. He has moved to strengthen the military relationship with the US with larger joint exercises and talks about new joint bases in the country.

But the Philippine president is also eyeing Chinese investment, especially to underpin his priority policy to strengthen the Philippines’ agricultural sector. China is the Philippines’ largest trading partner, with US$29.1bn worth of bilateral trade in the first nine months of 2022.Xi and Marcos oversaw the signing of a series of agreements, including for a hotline between their foreign ministries to avoid miscalculations in the South China Sea.But analysts dismissed the hotline deal as largely meaningless. “Communications channels between the two sides have never been hindered, and hotlines never prevented incidents,” Batongbacal said, pointing to a 2017 hotline agreement between the two countries’ coastguards and to similar arrangements between China and other South China Sea claimant states.Manila said in December that it would investigate a Bloomberg report that according to western officials China had conducted reclamation on four so far unoccupied land features in the northern Spratly Islands. Beijing has denied the accusation, but according to Philippine officials, Chinese maritime militia ships are preventing Philippine vessels from approaching the sandbars and reefs, making an investigation on the ground impossible. More

The writer is chief executive of Oxfam Great BritainIt is a tragedy that one in 23 people around the world will be in need of humanitarian assistance in 2023. More frequent disasters, increased displacement and the lingering threat of disease, coupled with skyrocketing food, fuel and fertiliser prices, are driving the worst humanitarian crises seen in decades. Organisations like Oxfam are doing our best to respond in regions such as east Africa, where we estimate the worst drought in 40 years means someone is dying every 36 seconds from hunger. But we operate in a humanitarian system that feels overwhelmed. Fixing the problem is not just about more money. It requires a new system for financing global public goods such as humanitarian need, and 2023, despite how gloomy things look, will be a crucial year for delivering it. Half a century ago, rich governments created Official Development Assistance. While few have ever fulfilled their promises to set aside 0.7 per cent of gross national income to aid, and many donors don’t prioritise poverty alleviation (more UK aid money is now spent inside Britain on things like refugee reception than inside the poorest countries in the world), the $180bn or so set aside annually is a remarkable manifestation of compassionate internationalism. But, in recent years, the system’s weaknesses have been painfully exposed. The UN’s humanitarian appeals are only ever partially met, while climate breakdown is already increasing need. Oxfam research shows that humanitarian need arising from extreme weather events has risen eight-fold since 2000. And, just last month, at the biodiversity COP, delegates from developing countries staged a walkout over rich countries’ failure to provide sufficient funding to tackle a rapid decline in global biodiversity. We cannot keep simply relabelling existing — often dwindling — pots of money. And this is where 2023 becomes important. First, there are growing calls to overhaul the Bretton Woods institutions to release more finance. The multilateral development banks could lend up to an additional $1tn to help countries finance their development objectives without needing new money from the shareholders that fund them. Leveraging callable capital from Washington could be the key to providing coastal defences for communities increasingly vulnerable to extreme weather. And the so-called Bridgetown Agenda to reform global financial architecture is gaining momentum. A summit co-hosted by the prime minister of Barbados, Mia Mottley, and French President Emmanuel Macron in June 2023 will be a key test of how much political will there is to unlock new resources. Second, the agreement coming out of November’s COP27 to create a fund to pay for dealing with the loss and damage caused by climate change in developing countries creates an opportunity to root this finance in responsibility, something developing countries and climate campaigners have been demanding for decades. Here, too, there has been positive momentum, with countries such as Scotland and Denmark recently committing bilateral finance to address loss and damage, and the COP28 in the UAE at the end of 2023 should aim to deliver predictable and adequate financing.Third, just as many governments threw out the fiscal rule books when responding to the Covid-19 pandemic, and then to rising energy prices, there is now a chance to design bold new solutions for financing global public goods. Whether it is a windfall tax on fossil fuels, or the re-emergence of calls for “Robin Hood” taxes, there are some interesting ideas in the mix, as well as opportunities for actors in the private sector to show leadership where governments seem unable or unwilling. Developed countries need to wake up to the fact that dealing with reform of the global financial architecture is less about charity and more about responsibility — and of course enlightened self-interest. The current situation in which we find ourselves competing to catch the attention of donors with dwindling funds is unsustainable. Audacity and ambition is needed if we are to create a new, fit-for-purpose system for financing global public goods, the most urgent of which is meeting rising humanitarian need. More

J Sainsbury will become the first big supermarket to pay shop-floor staff £11 an hour as it brought forward its annual pay review by a month in response to cost of living pressures.The increase from £10.25 to £11 — with London-based staff earning £11.95 an hour — will apply to 127,000 employees in stores and distribution centres from February and will cost the retailer £185mn over the course of a financial year.Simon Roberts, chief executive, said the group was “acutely aware of how tough things are for millions of households this winter”. “It’s our job to support our colleagues as they face rising costs,” he added. “This is a massive investment that reflects the real challenges our people are facing right now”.Dave Gill, national officer at shop workers union Usdaw, described the pay awards as “unprecedented” and said they would “make a significant difference to our members”.“With the cost of living continually rising, we have kept open our dialogue with Sainsbury’s and we are pleased the business has responded so positively,” he added.The move comes after discounter Aldi said last year it would pay all store staff £11 an hour and £12.45 an hour within the M25 from January. Rising wage costs are a big issue for supermarkets, which employ hundreds of thousands of people in stores and depots. Sainsbury’s, the UK’s second-largest supermarket chain, spends more than £3bn a year on wages and salaries and said its per-hour wages had risen 38 per cent over six years. Pay has increased by 10 per cent over the past 12 months alone.The group came under pressure last year from a coalition of investor groups to adopt the real living wage, a non-statutory pay rate based on the cost of living. But the resolution was heavily defeated at the company’s annual meeting.Like others, Sainsbury’s balked at the idea of committing to implement wage increases decided by third parties even though its increased pay rates match or exceed the current real living wage of £10.90 an hour outside London and £11.95 in the capital. Wage inflation in retail was initially driven by increases in the UK’s statutory minimum wage after the introduction in 2015 of a “national living wage” for the over-25s, then set at £7.20 an hour. That has since increased to £9.50 an hour — though all the large supermarket groups are already paying more than £10 — and will rise to £10.42 in April. It applies to everyone over the age of 23.More recently, the sharp fall in inward migration from the EU following Brexit and the withdrawal of large numbers of older workers from the employment market have compounded staff shortages in lower paid sectors.In addition to competing on headline hourly rates, retailers are increasingly beefing up employment benefits packages. Sainsbury’s said that alongside its latest wage rises it would extend free food during shifts for another six months and additional discounts at Argos, its general merchandise subsidiary.Sainsbury’s plans to fund the cost of the increases through its “save to invest” programme, which aims to reduce costs by £1.3bn by 2024. Like other retailers it has increased automation, most visibly in the form of self-checkout tills, and cut back on labour-intensive activities that do not add much to profits, such as in-store cafés and fresh meat and fish counters.It has also cut salaried jobs elsewhere, including at manager levels in stores, and introduced more flexible contracts that reduce demarcation and provide for equal hourly pay regardless of age. Even so, the group’s total staff count, at around 118,000 full-time equivalent roles, has changed little over the past five years. More

(Reuters) – U.S. companies, from tech majors to consumer firms, are bracing for a potential economic downturn by shrinking their employee base to streamline operations.Job cuts announced by U.S.-based employers jumped 13% to 33,843 in October last year, the highest since February 2021, according to a report.Here are some of the major job cuts announced in recent weeks:Amazon.com Inc (NASDAQ:AMZN):The e-commerce giant has laid off some employees in its devices group as a person familiar with the company said it still targeted around 10,000 job cuts, including in its retail division and human resources.Meta Platforms Inc (NASDAQ:META):The Facebook-parent said it would cut 13% of its workforce, or more than 11,000 employees, in one of the biggest tech layoffs this year as it grapples with a weak advertising market and mounting costs.DoorDash Inc:The food delivery firm, which enjoyed a growth surge during the pandemic, said it was reducing its corporate headcount by about 1,250 employees. AMC Networks (NASDAQ:AMCX) Inc:The cable TV network said it would cut about 20% of its U.S. workforce, as it announced Chief Executive Officer Christina Spade had stepped down, less than three months into the role. Kraken:The cryptocurrency exchange said it would cut its global workforce by 30%, or about 1,100 employees, citing tough market conditions that have crippled demand for digital assets this year. Citigroup Inc (NYSE:C):The bank eliminated dozens of jobs across its investment banking division, as a dealmaking slump continues to weigh on Wall Street’s biggest banks, Bloomberg News reported. Morgan Stanley (NYSE:MS):The Wall Street powerhouse is expected to start a fresh round of layoffs globally in the coming weeks, Reuters reported on Nov. 3, as dealmaking business takes a hit. Intel Corp (NASDAQ:INTC):Chief Executive Officer Pat Gelsinger told Reuters “people actions” would be part of a cost-reduction plan. The chipmaker said it would reduce costs by $3 billion in 2023.The adjustments would start in the fourth quarter, Gelsinger said, but did not specify how many employees would be affected. Microsoft Corp (NASDAQ:MSFT): The software giant laid off under 1,000 employees across several divisions in October, Axios reported, citing a source. Johnson & Johnson (NYSE:JNJ):The pharmaceutical giant has said it might cut some jobs amid inflationary pressure and a strong dollar, with CFO Joseph Wolk saying the healthcare conglomerate is looking at “right sizing” itself. Twitter Inc (NYSE:TWTR):The social media company laid off half its workforce across teams ranging from communications and content curation to product and engineering following Elon Musk’s $44 billion takeover. However, Bloomberg later reported Twitter was reaching out to dozens of employees who lost their jobs, asking them to return. Lyft Inc (NASDAQ:LYFT):The ride-hailing firm said it would lay off 13% of its workforce, or about 683 employees, after it already cut 60 jobs earlier this year and froze hiring in September.Warner Bros Discovery (NASDAQ:WBD):Film subsidiary Warner Bros. Pictures is planning to cut a number of jobs in distribution and marketing that will reduce headcount by 5% to 10%, Bloomberg News reported.Beyond Meat (NASDAQ:BYND) Inc: The vegan meat maker said it plans to cut 200 jobs this year, with the layoffs expected to save about $39 million. Stripe Inc:The digital payments firm is cutting its headcount by about 14% and will have about 7,000 employees after the layoffs, according to an email to employees from the company’s founders. Chime Financial Inc:The online banking firm has laid off 12% of its employees, or about 160 jobs, a spokesperson said. Opendoor (NASDAQ:OPEN) Technologies Inc: The property-selling platform is laying off about 550 employees, Chief Executive Officer Eric Wu said, adding that the company had already reduced its workforce by more than 830 positions. Phillips 66 (NYSE:PSX):The refiner reduced employee headcount by over 1,100 as it seeks to meet its 2022 cost savings target of $500 million. The reductions were communicated to employees in late October.Chesapeake Energy Corp (NYSE:CHK):The U.S. shale gas producer cut about 3% of its workforce, sources told Reuters, as the company readies a sale of South Texas oil properties. Seagate Technology Holdings Plc:The memory chip firm announced a restructuring plan including reducing worldwide headcount by about 8%, or 3,000 employees. Arrival SA: The EV startup said it plans to further “right-size” the organization, which could have a “sizable impact” on its global workforce, mostly in the UK. The company in July said it may cut up to 30% of workforce in restructuring. Coinbase (NASDAQ:COIN) Global: The cryptocurrency exchange said it planned to cut over 60 jobs, in its recruiting and institutional onboarding teams.The move marks a second round of jobs cuts at the company this year, and comes at a time when cryptocurrencies have been roiled by extreme volatility as investors dump risky assets. Walt Disney (NYSE:DIS) Co:The media giant is planning to freeze hiring and cut some jobs, according to a company memo seen by Reuters. Roku (NASDAQ:ROKU) Inc:The video-streaming device maker said it would reduce its headcount by 5%, or about 200 employees, due to “current economic conditions”.Cisco Systems Inc (NASDAQ:CSCO):The networking and collaboration solutions company said it will undertake restructuring which could impact roughly 5% of its workforce. The effort will begin in the second quarter of the fiscal year 2023 and cost the company $600 million. HP Inc (NYSE:HPQ):The computing devices maker said it expected to cut up to 6,000 jobs by the end of fiscal 2025. CNN:Warner Bros Discovery-owned CNN’s top boss Chris Licht informed employees in an all-staff memo that job cuts were underway.Buzzfeed Inc:The online media company said it will cut about 12% of its workforce. As of Dec. 31 last year, the company had 1,522 employees in six countries.Blue Apron Holdings (NYSE:APRN) Inc:The online meal-kit company said it will cut about 10% of its corporate workforce, as it looks to reduce costs and streamline operations. The company had about 1,657 full-time employees, as of Sept. 30. Wolverine World Wide (NYSE:WWW) Inc:The casual footwear and apparel retailer said it had initiated a workforce reduction earlier this week and expects this initiative to result in about $30 million in savings in 2023.TuSimple Holdings IncThe autonomous driving technology company will lay off 25% of its workforce, or nearly 350 employees, as part of a restructuring plan to rein in costs.Micron Technology Inc (NASDAQ:MU)The memory chipmaker will cut 10% of its workforce in 2023 and would reduce its capex plans for fiscal 2024, citing a nagging glut in the semiconductor market.Salesforce IncThe software company said it would lay off about 10% of its employees and close some offices as a part of its restructuring plan, citing a challenging economy. More

In its pre-Covid prime, the total value of Chinese worldwide travel was roughly the size of Portugal’s gross domestic product, or just over a quarter of a trillion dollars. The number of Chinese who made trips outside the mainland in 2019 — some 155mn people — represented a population slightly larger than Russia’s. In that same year, Chinese overseas spending on luxury goods was larger than the current $90bn market capitalisation of General Electric.The resurrected form of this collective globetrotting titan, whether it comes back formidable or faltering, will be economically significant either way. More powerful, though, is its potential to reset certain views of China that have formed during the absence of its travelling avatars.Since it became clear in December that China would jettison its restrictive pandemic policies more quickly than previously expected, markets have naturally been wrestling with the implications. Along with the many domestic rules that have evaporated — to striking and immediate effect — the lifting of the requirement for a PCR test and quarantine on arrival in China removes a huge obstacle for Chinese planning any travel abroad.As well as an expected spike in business trips (and with them the greater possibility of investment and dealmaking), the clearest effect of the resumption of large-scale Chinese travel abroad is likely to be a release of pent-up demand for tourism by a vast middle class forced against its instincts to play the hermit. This cohort, whose overseas travel spending once accounted for 17 per cent of the global tourism outlay, has not taken a foreign holiday for three years, and has a growing list of things it wants to spend its money on. In addition to Hong Kong and Macau, Japan, South Korea and Thailand appear the favoured first ports of call. Pharmacies in Tokyo, long the target of spectacular “sales explosion” Chinese shopping sprees, are already sold out of a selection of cold medicine brands after just a modest resumption of arrivals from the mainland since last month.Stockbrokers are touting long lists of names — from theme parks and railways to department stores and makers of eyedrops — that stand to gain from the revival of China’s former spending patterns. Research by the World Tourism Organization showed that 57 per cent of pre-Covid Chinese tourist spending went on shopping and eating — the precise formula with which cities like Tokyo appeal.There are significant caveats around forecasts of an instant tourism boom. China is suffering a deadly Covid wave, flights (including fuel surcharges) are punishingly expensive, and the Chinese economy is not draping the middle class in the sort of feel-good dynamics it once did. Added to that are the decisions of some countries — the UK, Italy, US and Japan prominent among them — to reimpose testing requirements on Chinese visitors that have been abandoned for other arrivals.But analysts at Citigroup are among those whose assumption is now a solid recovery in high-end Chinese tourism in the first quarter of 2023, and by the mass market travellers in the second quarter. The real rush, suggests Citi’s Xiangrong Yu, could come around the five-day Labour Day holidays in May. All of this could put greater pressure on China’s current account, if outbound tourist spending snaps back towards its pre-pandemic levels. “Besides sightseeing and shopping, the pent-up demand for outbound business travel, overseas investments and hidden capital outflows could also be unleashed,” he said. But on top of the direct financial impact, the return of Chinese travellers could have a meaningful effect on businesses and contribute to a subtle geopolitical nudge: that of re-pluralising the outside world’s view of China. In its self-sequestered state of the past three years, China’s external image has progressed more swiftly to bogeyman than it might otherwise have done: in Washington, particularly so. Many will argue — citing, among other signs, the intensified military threat to Taiwan, Xi Jinping’s precedent-breaking claim on permanent rule and his apparent proximity to Vladimir Putin on the future of geopolitics — that this image is fully justified. It is perhaps no coincidence that the China-West decoupling narrative feels much more plausible now than it did in 2019 when Chinese business leaders, mid-level executives and shopaholic middle classes were criss-crossing the planet in their tens of millions. This phase of absence has, to some extent, allowed a view of China to form that has suppressed the voices of global business — either those operating in China and dependent on its growth, those in partnership with Chinese companies around the world, or those directly exposed to the spending of Chinese on the move. The resumption of Chinese overseas travel is no panacea to the onset of decoupling and deglobalisation, but it may serve to reinvigorate the voices of those who wish it to [email protected] More