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Politics

Voting Rights Invoice Falters in Congress as States Race Forward

WASHINGTON — In the national struggle over voting rights, Democrats have rested their hopes for turning back a wave of new restrictions in Republican-led states and expanding ballot access on their narrow majorities in Congress. Failure, they have repeatedly insisted, “is not an option.”

But as Republican efforts to clamp down on voting prevail across the country, the drive to enact the most sweeping elections overhaul in generations is faltering in the Senate. With a self-imposed Labor Day deadline for action, Democrats are struggling to unite around a strategy to overcome solid Republican opposition and an almost certain filibuster.

Republicans in Congress have dug in against the measure, with even the most moderate dismissing it as bloated and overly prescriptive. That leaves Democrats no option for passing it other than to try to force the bill through by destroying the filibuster rule — which requires 60 votes to put aside any senator’s objection — to pass it on a simple majority, party-line vote.

But Senator Joe Manchin III of West Virginia, the Democrats’ decisive swing vote, has repeatedly pledged to protect the filibuster and is refusing to sign on to the voting rights bill. He calls the legislation “too darn broad” and too partisan, despite endorsing such proposals in past sessions. Other Democrats also remain uneasy about some of its core provisions.

Navigating the 800-page For the People Act, or Senate Bill 1, through an evenly split chamber was never going to be an easy task, even after it passed the House with only Democratic votes. But the Democrats’ strategy for moving the measure increasingly hinges on the longest of long shots: persuading Mr. Manchin and the other 49 Democrats to support both the bill and the gutting of the filibuster.

“We ought to be able to pass it — it really would be transformative,” Senator Chris Coons, Democrat of Delaware, said recently. “But if we have several members of our caucus who have just point-blank said, ‘I will not break the filibuster,’ then what are we even doing?”

Summarizing the party’s challenge, another Democratic senator who asked to remain anonymous to discuss strategy summed it up this way: The path to passage is as narrow as it is rocky, but Democrats have no choice but to die trying to get across.

The hand-wringing is likely to only intensify in the coming weeks. Senator Chuck Schumer of New York, the majority leader, vowed to force a floor debate in late June, testing Mr. Manchin’s opposition and laying the groundwork to justify scrapping the filibuster rule.

“Hopefully, we can get bipartisan support,” Mr. Schumer said. “So far, we have not seen any glimmers on S. 1, and if not, everything is on the table.”

The stakes, both politically and for the nation’s election systems, are enormous.

The bill’s failure would allow the enactment of restrictive new voting measures in Republican-led states such as Georgia, Florida and Montana to take effect without legislative challenge. Democrats fear that would empower the Republican Party to pursue a strategy of marginalizing Black and young voters based on former President Donald J. Trump’s false claims of election fraud.

If the measure passed, Democrats could effectively overpower the states by putting in place new national mandates that they set up automatic voter registration, hold regular no-excuse early and mail-in voting, and restore the franchise to felons who have served their terms. The legislation would also end partisan gerrymandering of congressional districts, restructure the Federal Election Commission and require super PACs to disclose their big donors.

A legion of advocacy groups and civil rights veterans argue that the fight is just starting.

“This game isn’t done — we are just gearing up for a floor fight,” said Tiffany Muller, the president of End Citizens United and Let America Vote, which are spending millions of dollars on television ads in states like West Virginia. “At the end of the day, every single senator is going to have to make a choice if they are going to vote to uphold the right to vote or uphold an arcane Senate rule. That is the situation that creates the pressure to act.”

Proponents of the overhaul on and off Capitol Hill have focused their attention for weeks on Mr. Manchin, a centrist who has expressed deep concerns about the consequences of pushing through voting legislation with the support of only one party. So far, they have taken a deliberately hands-off approach, betting that the senator will realize that there is no real compromise to be had with Republicans.

There is little sign that he has come to that conclusion on his own. Democrats huddled last week in a large conference room atop a Senate office building to discuss the bill, making sure Mr. Manchin was there for an elaborate presentation about why it was vital. Mr. Schumer invited Marc E. Elias, the well-known Democratic election lawyer, to explain in detail the extent of the restrictions being pushed through Republican statehouses around the country. Senators as ideologically diverse as Raphael Warnock of Georgia, a progressive, and Jon Tester of Montana, a centrist, warned what might happen if the party did not act.

Mr. Manchin listened silently and emerged saying his position had not changed.

“I’m learning,” he told reporters. “Basically, we’re going to be talking and negotiating, talking and negotiating, and talking and negotiating.”

Despite the intense focus on him, Mr. Manchin is not the only hurdle. Senator Kyrsten Sinema, Democrat of Arizona, is a co-sponsor of the election overhaul, but she has also pledged not to change the filibuster. A handful of other Democrats have shied away from definitive statements but are no less eager to do away with the rule.

“I’m not to that point yet,” Mr. Tester said. He also signaled he might be more comfortable modifying the bill, saying he “wouldn’t lose any sleep” if Democrats dropped a provision that would create a new public campaign financing system for congressional candidates. Republicans have pilloried it.

“First of all, we have to figure out if we have all the Democrats on board. Then we have to figure out if we have any Republicans on board,” Mr. Tester said. “Then we can answer that question.”

Republicans are hoping that by banding together, they can doom the measure’s prospects. They succeeded in deadlocking a key committee considering the legislation, though their opposition did not bar it from advancing to the full Senate. They accuse Democrats of using the voting rights provisions to distract from other provisions in the bill, which they argue are designed to give Democrats lasting political advantages. If they can prevent Mr. Manchin and others from changing their minds on keeping the filibuster, they will have thwarted the entire endeavor.

The Battle Over Voting Rights

Amid months of false claims by former President Donald J. Trump that the 2020 election was stolen from him, Republican lawmakers in many states are marching ahead to pass laws making it harder to vote and changing how elections are run, frustrating Democrats and even some election officials in their own party.

    • A Key Topic: The rules and procedures of elections have become a central issue in American politics. The Brennan Center for Justice, a liberal-leaning law and justice institute at New York University, counts 361 bills in 47 states that seek to tighten voting rules. At the same time, 843 bills have been introduced with provisions to improve access to voting.
    • The Basic Measures: The restrictions vary by state but can include limiting the use of ballot drop boxes, adding identification requirements for voters requesting absentee ballots, and doing away with local laws that allow automatic registration for absentee voting.
    • More Extreme Measures: Some measures go beyond altering how one votes, including tweaking Electoral College and judicial election rules, clamping down on citizen-led ballot initiatives, and outlawing private donations that provide resources for administering elections.
    • Pushback: This Republican effort has led Democrats in Congress to find a way to pass federal voting laws. A sweeping voting rights bill passed the House in March, but faces difficult obstacles in the Senate. Republicans have remained united against the proposal and even if the bill became law, it would likely face steep legal challenges.
    • Florida: Measures here include limiting the use of drop boxes, adding more identification requirements for absentee ballots, requiring voters to request an absentee ballot for each election, limiting who could collect and drop off ballots, and further empowering partisan observers during the ballot-counting process.
    • Texas: The next big move could happen here, where Republicans in the legislature are brushing aside objections from corporate titans and moving on a vast election bill that would be among the most severe in the nation. It would impose new restrictions on early voting, ban drive-through voting, threaten election officials with harsher penalties and greatly empower partisan poll watchers.
    • Other States: Arizona’s Republican-controlled Legislature passed a bill that would limit the distribution of mail ballots. The bill, which includes removing voters from the state’s Permanent Early Voting List if they do not cast a ballot at least once every two years, may be only the first in a series of voting restrictions to be enacted there. Georgia Republicans in March enacted far-reaching new voting laws that limit ballot drop-boxes and make the distribution of water within certain boundaries of a polling station a misdemeanor. Iowa has also imposed new limits, including reducing the period for early voting and in-person voting hours on Election Day. And bills to restrict voting have been moving through the Republican-led Legislature in Michigan.

“I don’t think they can convince 50 of their members this is the right thing to do,” said Senator Roy Blunt, Republican of Missouri. “I think it would be hard to explain giving government money to politicians, the partisan F.E.C.”

In the meantime, Mr. Manchin is pushing the party to embrace what he sees as a more palatable alternative: legislation named after Representative John Lewis of Georgia, the civil rights icon who died last year, that would restore a key provision of the Voting Rights Act of 1965 that the Supreme Court struck down in 2013.

That measure would revive a mandate that states and localities with patterns of discrimination clear election law changes with the federal government in advance, a requirement Mr. Manchin has suggested should be applied nationwide.

The senator has said he prefers the approach because it would restore a practice that was the law of the land for decades and enjoyed broad bipartisan support of the kind necessary to ensure the public’s trust in election law.

In reality, though, that bill has no better chance of becoming law without getting rid of the filibuster. Since the 2013 decision, when the justices asked Congress to send them an updated pre-clearance formula for reinstatement, Republicans have shown little interest in doing so.

Only one, Senator Lisa Murkowski of Alaska, supports legislation reinstating the voting rights provision in the Senate. Asked recently about the prospect of building more Republican support, Ms. Murkowski pointed out that she had been unable to attract another co-sponsor from her party in the six years since the bill was first introduced.

Complicating matters, it has yet to actually be reintroduced this term and may not be for months. Because any new enforcement provision would have to pass muster with the courts, Democrats are proceeding cautiously with a series of public hearings.

All that has created an enormous time crunch. Election lawyers have advised Democrats that they have until Labor Day to make changes for the 2022 elections. Beyond that, they could easily lose control of the House and Senate.

“The time clock for this is running out as we approach a midterm election when we face losing the Senate and even the House,” said Representative Terri A. Sewell, a Democrat who represents the so-called Civil Rights Belt of Alabama and is the lead sponsor of the bill named for Mr. Lewis.

“If the vote and protecting the rights of all Americans to exercise that most precious right isn’t worth overcoming a procedural filibuster,” she said, “then what is?”

Luke Broadwater contributed reporting.

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Business

China’s Xpeng Motors’ EV deliveries speed up and Nio declines in Could

A Xpeng P7 electric car is on display during the 18th Guangzhou International Automobile Exhibition at China Import and Export Fair Complex on November 20, 2020 in Guangzhou, Guangdong Province of China.

VCG | Visual China Group | Getty Images

GUANGZHOU, China — Chinese electric car company Nio saw deliveries slide in May as the global chip shortage hit its business.

Meanwhile, rival Xpeng Motors saw vehicle deliveries accelerate in May as it managed to weather the same semiconductor shortage.

Xpeng was up around 5.5% in pre-market trade in the U.S. while Nio was 2.8% higher at 5:03 a.m. ET.

Global automotive players have also been dealing with a semiconductor shortage which has impacted their business.

Nio delivered 6,711 vehicles in May, a 95.3% year-on-year. However, that was a 5% decrease from April.

“In May, the Company’s vehicle delivery was adversely impacted for several days due to the volatility of semiconductor supply and certain logistical adjustments,” Nio said in a statement.

“Based on the current production and delivery plan, the Company will be able to accelerate the delivery in June to make up for the delays from May,” the statement said, adding that it reiterates its delivery guidance of 21,000 to 22,000 vehicles in the second quarter of the year.

As of May 31, cumulative deliveries of Nio’s three models — the ES8, ES6 and EC6 — reached 109,514 units.

Xpeng deliveries accelerate

The Chinese electric car maker delivered 1,889 of its G3 SUV in May.

Meanwhile, China had a five-day Labor holiday in May.

“May actually is a very challenging month for the industry, because obviously we mentioned there’s been a supply chain constraint on this chip shortage. There’s also the holidays, the May holidays imacted the delivery for the first half … of the month,” Brian Gu, president of Xpeng Motors, told CNBC in an interview that will air Tuesday.

Still, despite the challenges, May registered a very robust increase for the company, he said.

“And also, I think most exciting to see is that renewed growth of our P7 product,” Gu said. “We see actually a much stronger growth of that in our sales mix, so that gives us the confidence of really hitting our quarterly guidance and the numbers for this delivery … for the second half.”

Read more about electric vehicles from CNBC Pro

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Health

Coronavirus Variant Found in India is Renamed Delta

If you haven’t yet mastered the name of the latest variant of the coronavirus to turn nations upside down – B.1.617.2, as evolutionary biologists call it – then don’t worry: the World Health Organization has proposed a solution.

The group said Monday that it had developed a less technical and easier-to-pronounce system for naming variants – the mutated versions of the virus that have sparked new flare-ups around the world.

Variants are assigned to letters of the Greek alphabet in the order in which they are classified as a potential threat by the WHO

For example, B.1.617.2, which contributed to a fatal increase in India, was named Delta in the new system. This variant can spread even faster than B.1.1.7, the variant discovered in the UK that has contributed to devastating waves of cases around the world. (The new name of B.1.1.7 is Alpha.)

Scientists are constantly adding long sequences of letters and numbers to new variants for their purposes, but hope that Greek letters will roll off the tongue of non-scientists more easily.

There is also a deeper motivation: The letter-number system was so complicated that many people instead referred to variants with the locations where they were discovered (e.g. the Indian variant for B.1.617.2). Scientists fear these informal nicknames can be both inaccurate and stigmatizing, penalizing countries for investing in the genome sequencing necessary to sound the alarm of new mutations that may have surfaced elsewhere.

Whether the Greek letters stick is another question. It has been months since experts convened by the WHO started debating the issue, spreading labels like “the British variant” and “the South African variant” in the news media.

The experts said they considered a number of alternatives, such as taking syllables from existing words to form new words. But too many of those syllable combinations are already recognizable names of places or companies, they said.

Incidentally, the Greek letters had just been relieved of another task: the World Meteorological Organization announced in March that it would no longer use them to name hurricanes.

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World News

Outlook for April-June quarter GDP amid Covid

Crowds of people are seen shopping during a weekly market at Kandivali.

SOPA Images | LightRocket | Getty Images

India is expected to see double-digit expansion in the three months ending in June — but economists warn that the data won’t be painting the full picture of the country’s growth trajectory.

South Asia’s largest economy released fourth quarter GDP data Monday that showed an expansion of 1.6% from the same period a year ago, driven mostly by state spending and manufacturing sector growth. Full year GDP is estimated to have contracted 7.3% compared to a 4% growth in the previous year.

Since February, India has been battling a devastating second wave of coronavirus that accelerated in April and peaked in early May. The infection forced most of India’s industrial states to implement localized lockdown measures to slow the spread of the virus.

“With the lockdowns which are there, we think that going ahead, the economy will tend to slow down,” Madan Sabnavis, chief economist at Care Ratings, said Tuesday on CNBC’s “Street Signs Asia.”

“The numbers which we get for the first quarter of fiscal 2022 — that is for the quarter ending in June — may be very much misleading,” he said. India’s fiscal year begins in April and ends in March the following year.

On (a) sequential basis, we are going to see a double digit contraction when we do a seasonally adjusted data, but on the year-on-year comparison, you are going to see a strong double-digit growth.

For the April-June quarter last year, the economy contracted 23.9% as a months-long national lockdown hammered the country. Economists argue that while the reported year-on-year figure for the current quarter will likely show a double-digit growth, the strong number will be due to the low base from last year’s negative print.

“On (a) sequential basis, we are going to see a double digit contraction when we do a seasonally adjusted data, but on the year-on-year comparison, you are going to see a strong double-digit growth,” Radhika Rao, an economist with Singapore’s DBS Group, said Tuesday on CNBC’s “Squawk Box Asia.”

“That’s because it’s coming on the back of a 24% drop the same time last year,” she added.

Still, experts agree that the economic impact of the second wave may not be as severe as the one seen last year. India has, thus far, avoided another national lockdown, allowing states to implement localized shutdowns instead. Economists agree that the country is generally on track to revive its growth but at a delayed pace.

Data is likely to show that consumption lost momentum this quarter on a sequential basis due to the second wave as households had to prioritize more of their spending on hospitalization and medical expenses, Rao explained.

“So, domestic demand, which is the main component for growth, is not going to look that good. Plus you have got contact-intensive services, most of which had been shut down,” she said, adding, “Only into June now, some of the states are starting to talk about reopening. But, certainly, it’s a very staggered and a very unpredictable path, in terms of the unwinding of restrictions.”

Many economists have trimmed their full fiscal 2022 growth predictions for India. Goldman Sachs, for example, lowered its full-year real GDP growth forecast from 11.1% to 9.9%.

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Business

Ransomware Disrupts Meat Vegetation in Newest Assault on Crucial U.S. Enterprise

A cyberattack on the world’s largest meat processor forced the closure of nine beef factories in the United States and interrupted production in poultry and pork factories, according to union officials on Tuesday. The attack could shake the country’s meat markets and raise new questions about the vulnerability of critical American companies.

JBS said most of its plants would reopen on Wednesday. But even a one-day disruption to JBS could “significantly affect” wholesale beef prices, according to analysts for the Daily Livestock Report.

The attack at JBS was a ransomware attack, the White House said – the second recent attack of its kind to freeze a critical US business. Last month, a ransomware attack on the Colonial Pipeline, which carries gas to nearly half of the east coast, sparked gas and kerosene bottlenecks and panic buying.

JBS, which is based in Brazil and accounts for one-fifth of the US daily cattle harvest, said in a statement late Tuesday that it has made “significant strides in solving the cyberattack.”

“Our systems are coming back online and we are not sparing resources to combat this threat,” said Andre Nogueira, CEO of JBS USA, in the statement.

The Department of Agriculture announced Tuesday that it is working with other producers to minimize bottlenecks.

All nine JBS beef factories in the United States closed on Tuesday, according to the United Food and Commercial Workers International Union, which represents workers at JBS beef and pork factories. The company’s poultry and pork factories in the US posted on Facebook that they had canceled shifts scheduled for Monday or Tuesday or changed production, some citing “IT problems”.

In addition to the company’s U.S. plants, the shutdowns affected 2,500 workers at a beef factory in Brooks, Alberta, according to Scott Payne, a spokesman for United Food and Commercial Workers Local 401 in Canada. “All shifts were canceled yesterday,” he said on Tuesday. “The morning shift was canceled today. But the afternoon shift has been postponed to today. “

When the plants went online, at least one beef factory delayed the start of production on Wednesday and another changed one of its shifts, according to the factories.

With restaurants and retail customers starting to buy beef in the summer, the wholesale market was “extremely tight,” the analysts for the Daily Livestock Report wrote in a report released on Tuesday. They discovered that a small restaurant in southern Utah had started charging an additional $ 4 for dishes that included carne asada.

“Retailers and beef processors are coming back from a long weekend and need to catch up on orders and make sure the meat crate is full,” the analysts wrote. “If you suddenly get a call that the product may not be delivered tomorrow or this week, it will create very big challenges when it comes to keeping the equipment up and running and keeping the retail case in stock.”

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June 1, 2021, 12:59 p.m. ET

A prolonged hiatus, the analysts warned, “could add gasoline to an already large flame”.

JBS said it was the target of an “organized cybersecurity attack” that affected systems in North America and Australia, that its backup servers were unaffected, and that it did not expect customer, supplier or employee information to be leaked.

Karine Jean-Pierre, a White House deputy press secretary, told reporters at Air Force One Tuesday that JBS had told the Biden government that it was a ransomware attack and that the ransom was from “a criminal organization based in Russia “came.”

The Federal Bureau of Investigation investigated the hack, and the Cybersecurity and Infrastructure Security Agency was also involved, Ms. Jean-Pierre said.

“The White House is working directly with the Russian government on this matter, sending the message that responsible states do not harbor ransomware criminals,” she said.

In two weeks’ time, President Biden is due to meet Russian President Vladimir V. Putin in Geneva for a summit that puts a multitude of cyberattacks, many of which originate from Russia, at the top of the American agenda.

A recent security breach used SolarWinds software to infiltrate more than 250 federal agencies and companies. It was considered the worst attack because it raised the question of whether the United States could trust its software supply chain. SolarWinds, according to the United States, is the work of the SVR, one of the leading Russian intelligence agencies.

Last week, the SVR was blamed for a breach that hijacked the company that distributes emails on behalf of the US Agency for International Development and sent links containing malware to organizations criticizing Putin.

But ransomware attacks have become more urgent after hackers hit the Colonial Pipeline last month. The pipeline operator shut down its systems after the attack, which led to price rises, panic buying and a shortage of jet fuel. The company later admitted it paid $ 4.4 million to restore its data.

The attack on the Colonial Pipeline was the work of a ransomware operator called DarkSide, which Biden said was based in Russia.

The perpetrator behind the JBS attack has not been publicly identified. Cybersecurity specialists said Tuesday blogs and online channels frequented by large ransomware groups have gone silent – most likely because the group in charge was waiting to see if JBS would pay.

The US government does not know how to deal with the attacks, as many of the responsible groups operate from Russia, where they largely enjoy a safe haven. Russia has refused to extradite its hackers and frequently attacks them for sensitive intelligence operations.

Mr Biden said after the attack on the Colonial Pipeline that Russia was partly responsible, although there was no evidence that the government was involved.

“We were in direct communication with Moscow to get responsible countries to take decisive action against these ransomware networks,” said Biden. “We will also take action to disrupt their operability.”

He did not rule out the possibility of the US launching a cyber attack against the criminals responsible for the pipeline attack. Following Mr Biden’s remarks, DarkSide criminals said they would close, despite cybersecurity experts warning that they would likely be renamed and reappear.

David E. Sanger and William P. Davis contributed to the coverage.

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Health

U.S. begins research testing mix-and-match Covid vaccine doses

A healthcare doctor prepares a dose of Johnson & Johnson’s Coronavirus Disease (COVID-19) vaccine for a commuter during the opening of MTA’s public vaccination program on the 179th Street subway station in the Queens borough of New York City in front. USA, May 12, 2021.

Shannon Stapleton | Reuters

The National Institutes of Health announced Tuesday that they had started an early-stage clinical trial looking into what happens when an adult fully vaccinated with a type of Covid-19 vaccine like Pfizer’s is boosted with another vaccination about three to four months later.

The study will enroll approximately 150 adults who have received any of the three Covid vaccination regimens currently available under the Food and Drug Administration’s emergency approval: Johnson & Johnsons, Moderna, or Pfizer.

Federal health officials said people who have not yet received an approved vaccine are also eligible to enroll in a separate group for the study. These volunteers will receive two doses of the vaccine from Moderna and will receive a booster dose of one of the three vaccines around 12 to 20 weeks later, officials said.

“Although the vaccines currently approved by the US Food and Drug Administration offer strong protection against COVID-19, we must prepare for the possibility that booster vaccinations will be required to counter declining immunity and step up with an evolving virus said Dr Fauci, director of the National Institute of Allergy and Infectious Diseases, a member of the NIH.

“The results of this study are intended to inform public health policy decisions about the potential use of mixed vaccination schedules in the event that booster doses are indicated,” he added.

The study is taking place as drug makers and some scientists are now saying that people will likely need a booster dose of the Covid-19 vaccines and possibly additional vaccinations every year, just like they did with seasonal flu.

Pfizer and Moderna’s Covid-19 vaccines currently require two doses three to four weeks apart, while Johnson & Johnson vaccines only require one prick. All three vaccines have been shown to be highly effective against Covid, although company executives now expect this strong protection to wear off over time.

Dr. Peter Marks, director of the FDA’s Center for Biologics Evaluation and Research, said last month that Covid-19 booster vaccinations could be required for fully vaccinated individuals within a year.

“So, hopefully, you know, it would be nice if it turned out it would be a year before someone needed a refresher,” said Marks on the 18th of school and junior journalists.

“But we still don’t know,” he added. “It could be more, it could be a little less, but … that’s just something we need to find out over time.”

Each vaccine group in the NIH study will enroll about 25 people ages 18 to 55 and about 25 people ages 56 and older.

Twelve to 20 weeks after their initial vaccination, participants in the study will receive a single booster dose of the Moderna vaccine.

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Business

World financial leaders name for $50 billion from rich nations

People wearing protective face masks wait to receive a dose of COVISHIELD, a coronavirus disease (COVID-19) vaccine manufactured by Serum Institute of India, at a vaccination centre in New Delhi, India, May 4, 2021.

Adnan Abidi | Reuters

Global economic and health leaders called on the world’s wealthier nations to provide $50 billion in funding to accelerate Covid-19 vaccine distribution across the planet and help end the pandemic.

The heads of the International Monetary Fund, World Bank, World Health Organization and World Trade Organization said Tuesday that nations need to act before the virus has a chance to spread throughout unvaccinated countries and evolve into more dangerous new variants.

The group, which published an op-ed in newspapers across the globe this week, said there was a two-track pandemic brewing with richer nations vaccinating large portions of their populations while poorer countries that have received less than 1% of the vaccines administered so far “being left behind.”

“Even as some affluent countries are already discussing the rollout of booster shots to their populations, the vast majority of people in developing countries — even front-line health workers — have still not received their first shot,” according to the op-ed signed by IMF Managing Director Kristalina Georgieva, WHO Director-General Tedros Adhanom Ghebreyesus, World Bank President David Malpass and WTO Director-General Ngozi Okonjo-Iweala.

“By now it has become abundantly clear there will be no broad-based recovery without an end to the health crisis. Access to vaccination is key to both,” they wrote, noting that $50 billion will generate some $9 trillion in additional global output by 2025 by accelerating an end to the pandemic.

The money would go toward increasing manufacturing capacity, supply and delivery, which would accelerate the equitable distribution of diagnostics, oxygen, treatments, medical supplies and vaccines.

“Cooperation on trade is also needed to ensure free cross-border flows and increasing supplies of raw materials and finished vaccines,” they said.

They said the money is “a relatively modest investment by governments in comparison to the trillions spent on national stimulus plans and lost trillions in foregone economic output.”

“WTO members can and should deliver on all three fronts,” Okonjo-Iweala said. The trade group currently has members from 159 countries around the world.

The WHO said last week that Africa needs at least 20 million AstraZeneca Covid vaccine doses within the next six weeks to get the second round of shots to people who’ve already received the first. The continent has received only 1% of all of vaccines administered globally and needs another 200 million doses of any cleared Covid-19 vaccines to vaccinate 10% of the continent by September.

“More than 700 million vaccine doses have been administered globally, but over 87% have gone to high income or upper middle-income countries, while low income countries have received just 0.2%,” the WHO’s director-general, Tedros Adhanom, said in a briefing last month.

Many countries have had to rely on COVAX for their doses, a global collaboration of organizations like the WHO and UNICEF, to speed the production and delivery of Covid-19 vaccines across the world.

The WHO and its COVAX partners hope to vaccinate 30% of the population in all countries by the end of 2021, if they get enough funding.

“This can reach even 40% through other agreements and surge investment, and at least 60 percent by the first half of 2022,” the agency leaders said.

Categories
Politics

Household of imprisoned journalist Danny Fenster fights for his launch

Frontier Myanmar Managing Editor Danny Fenster can be seen in this handout picture taken in Yangon, Myanmar, in November 2020.

Reuters

The military regime that recently seized power in Myanmar has blocked virtually all attempts to reach Danny Fenster, a US journalist who has been detained there for more than a week without explanation.

His family want him to know that they are doing all they can.

Amid the silence of the Myanmar authorities, Window’s relatives have communicated with US officials, spoken to the media and recently launched a petition and website to raise awareness and press for his immediate and unconditional release.

“He probably has no idea about these efforts that are being made for him,” Bryan Fenster, Danny’s older brother, told CNBC in a telephone interview on Tuesday. “It’s the worst situation imaginable, but we’re incredibly proud of him and he’s a hero to many people.”

“My heart aches for all the families who have ever been through something like this,” said Danny’s mother Rose Fenster, who was also in the conversation. “But as a mom and he’s my son, I just won’t sleep until he’s home safely.”

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Danny Fenster, a 37-year-old Michigan native and executive editor of Frontier Myanmar news magazine, was arrested at Yangon International Airport on May 24 before boarding a plane to Kuala Lumpur.

His family says he was on his way home to Huntington Woods, near Detroit, to surprise them after more than three years of absence. But little else is known about why Danny was arrested and transferred to Insein Prison in Yangon, a supposedly harsh prison with a long history of holding political prisoners.

It is not known whether Fenster will be charged and neither his magazine nor US officials have been able to contact him directly.

“That’s the hardest part,” said Bryan Fenster. “We’re going on day 9 and you still have to answer.”

He said the first time he heard about his brother’s imprisonment, “I remember thinking, ‘Oh my god, where do you even start?”

“I got into combat mode pretty quickly,” said Bryan Fenster. “A quick breath of panic or two, but we’re just getting down to business.”

“I think I stopped breathing,” said Rose Fenster of her own reaction, calling it a “total out-of-body experience” that was “instinctive” and “heartbreaking”.

But she said she found solace in “knowing my son Bryan and other close family members are working on it,” along with the support of the community that “only stopped us.”

That work includes a just launched website instructing visitors to raise awareness by sharing information on social media and signing a petition from MoveOn.org that had more than 20,000 signatures as of Tuesday.

Frontier Myanmar Editor-in-Chief Danny Fenster is pictured in this undated handout received on May 25, 2021. The 37-year-old American is currently in custody in Myanmar.

Reuters

The family also sells T-shirts with the hashtag #BringDannyHome and an appeal to “Protect The Press”. The family said they plan to let Danny Fenster decide where that proceeds will be donated once he is exempt.

They also said that they talk to Fenster’s wife, who is in Myanmar, several times a day.

MP Andy Levin, D-Mich., Told CNBC in an interview that the government had confirmed the transfer of Danny Fenster to Insein, although consular access to him – a requirement under the rules of the Vienna Convention – has still not been granted has been.

Levin, who represents the congressional district where Window’s Family lives, drafted the House of Representatives resolution condemning the February coup in Myanmar. Levin is a member of the House Foreign Affairs Committee and vice chairman of the Asia, Pacific, Central Asia and Non-Proliferation Subcommittee.

The day after the arrest was announced, Levin listed all 16 members of his state delegation in a letter asking Foreign Minister Antony Blinken to clear windows.

“It’s very, very personal to me,” Levin said, adding that he and Danny and Bryan Fenster attended the same high school.

In a statement on Tuesday, a State Department spokesman told CNBC that Myanmar had been pressing “to release him immediately and will continue to do so until he is safe to return to his family.”

“Free and independent media are essential to building prosperous, resilient, and free societies. The arrest of Daniel and the arrest and use of force by the Burmese military against other journalists constitute an unacceptable attack on freedom of expression in Burma, ”the statement said.

The Myanmar Embassy in Washington did not respond to CNBC’s request to comment on Fenster’s detention.

Fenster is not the only American journalist held in Insein Prison: In March, authorities arrested Nathan Maung from the online news site Kamayut Media, along with his co-founder Hanthar Nyein.

Correction: This article has been updated to reflect that the Myanmar Embassy in Washington did not respond to CNBC’s request for comment.

Categories
Business

The New York Instances

Daily Business Briefing

June 1, 2021Updated 

June 1, 2021, 6:20 p.m. ET

Credit…Bing Guan/Reuters

The White House on Tuesday said that a breach at JBS, the world’s largest meat processor, was a ransomware attack, as some of the company’s plants were partly or fully shut down in its aftermath.

“Meat producer JBS notified us on Sunday that they are the victims of a ransomware attack,” Karine Jean-Pierre, a deputy press secretary, told reporters aboard Air Force One on Tuesday. Ms. Jean-Pierre said that the Federal Bureau of Investigation was investigating the hack and that the Cybersecurity and Infrastructure Security Agency was also involved.

Operations at most JBS plants were affected, according to Facebook posts meant for employees. About 25 plants in the United States and Canada posted to Facebook that they had canceled shifts scheduled for Monday or Tuesday, with some of them citing “server problems.” Many of the company’s poultry plants were starting to bring workers back Tuesday, but at least three of the company’s 11 beef plants were still shuttered, according to the posts.

“I can confirm that the attack affected the plant in Brooks and the roughly 2,500 unionized workers employed there,” said Scott Payne, a spokesman for the United Food and Commercial Workers Local 401 in Canada, referring to a beef plant in Alberta. “All shifts were canceled yesterday. The morning shift was canceled today. But the afternoon shift has been rescheduled to operate today.”

JBS has said only that it was the target of an “organized cybersecurity attack” that affected systems in North America and Australia, and that it did not expect that any customer, supplier or employee data was affected. JBS couldn’t immediately be reached to comment. Ms. Jean-Pierre said that JBS had informed the Biden administration that the ransom demand came from “a criminal organization likely based in Russia.”

“The White House is engaging directly with the Russian government on this matter and delivering the message that responsible states do not harbor ransomware criminals,” she said.

In two weeks, President Biden is scheduled to meet the president of Russia, Vladimir V. Putin, in Geneva for a summit in which a variety of cyberattacks, mostly emanating from Russia, are already on the American agenda. One recent breach leveraged software called SolarWinds to infiltrate upward of 250 federal agencies and businesses. It has been considered the most damaging attack because it got to the question of whether the United States can trust its supply chain of software.

In May, parts of the country experienced gasoline shortages after a ransomware attack on the Colonial Pipeline caused some panic buying.

SolarWinds, the United States has said, was the work of the S.V.R. — one of Russia’s premier intelligence agencies. The Colonial Pipeline attack appeared to be the work of a ransomware group, which Mr. Biden said was based in Russia. The culprit behind the JBS attack has not been publicly identified.

David E. Sanger, Noam Scheiber and Julie Creswell contributed reporting.

Mohammed Hadi and

Read moreCompanies can require vaccines only for employees returning to the workplace, the Equal Employment Opportunity Commission said.Credit…John Muggenborg for The New York Times

The agency that enforces workplace discrimination laws has said — twice — that companies can make their employees who are returning to the job get vaccinated against Covid-19.

But so far, few companies have decided to move forward, as many are still engaging in internal debates about how to safely restore their offices to operations that resemble what they were before the pandemic.

Pressed by some of the nation’s biggest business groups, including the U.S. Chamber of Commerce, the Equal Employment Opportunity Commission said Friday that companies could mandate vaccines as a requirement for coming into the office. The agency had issued a similar note in December.

Some companies say they are wary of setting mandates until the vaccines have received full approval by the Food and Drug Administration, which so far has granted emergency use authorization. Another reason many companies remain hesitant, according to executives, lawyers and consultants who advise companies, is the long list of legal considerations the E.E.O.C. says they must follow before mandating vaccines.

While Saks and Delta Air Lines have said they will require vaccines for at least some employees, most have arrived at a solution more like that of JPMorgan Chase. The bank, which opened its offices on a voluntary basis on May 17 and will require most workers to return to their desks in rotations starting in July, has said it is strongly encouraging but not yet mandating vaccines.

Jamie Dimon, the bank’s chief executive, said at a House Financial Services Committee hearing last week that he felt it was safe for employees to return to the office.

“No one’s being forced to do anything,” Mr. Dimon said. “We want everyone to be vaccinated — we’re not requiring that.”

Vaccine mandates must abide by the Americans With Disabilities Act and the Civil Rights Act of 1964, the E.E.O.C. said. That means companies must accommodate employees with health concerns like allergies and keep that information confidential.

“I think that the fact that it takes the E.E.O.C. several pages of notes to talk about all the steps you need to take to reasonably accommodate someone who has a disability or a religious reason why they can’t get a vaccine is one of the reasons why employers might still choose not to mandate,” said Douglas Brayley, an employment lawyer at Ropes & Gray.

Companies are considering whether to offer incentives for employees to get vaccinated, or to show proof of vaccination, while stopping short of a mandate. But even trying to nudge workers can be legally fraught.

The E.E.O.C. said Friday that employers could offer inducements as long as they were not “coercive,” or so strong that they made participation essentially involuntary. The agency did not define what constitutes a coercive incentive.

“They don’t want to go out on a limb when there are still cases yet to happen and allegations have to be made,” Mr. Brayley said.

The agency also reminded employers to consider that access to the vaccine is not yet equitably distributed. Certain groups of people face greater barriers to vaccination, and the agency said employers should consider that in any back-to-work requirements.

A long list of companies, including the Olive Garden parent Darden Restaurants and McDonald’s, are offering paid time off for employees to be vaccinated. Amazon is offering frontline workers who get vaccinated a bonus of up to $80. Walmart workers are being offered a $75 bonus, but they must provide proof they have been vaccinated.

Some companies, like JPMorgan and Goldman Sachs, are allowing employees who have been vaccinated to go without masks while in the office, following guidance that the Centers for Disease Control and Prevention issued last month on masks and social distancing. Walmart will allow vaccinated employees to go mask-free in its stores and offices. None of the companies require employees to provide proof of vaccination to go without masks.

Workplace policies allowing vaccinated workers to go mask-free raise questions about whether companies are prepared to monitor who is wearing masks.

“When you see an employee without a mask, are you going to run back to H.R. and verify that that person really was fully vaccinated?” asked Jessica Kuester, an employment benefits lawyer at the law firm Ogletree Deakins.

Sharon Masling, an employment specialist at the law firm Morgan Lewis, said companies might be more inclined to mandate vaccines as vaccines became more widespread and obtained full F.D.A. approval.

“I can say that we are getting more questions about requiring vaccines for employees than we were even a month ago,” Ms. Masling said.

Read moreThe oil market is expected to tighten as increased economic activity across the globe leads to more petroleum consumption.Credit…Jonathan Drake/Reuters

It did not take long. With oil futures rising to levels not seen since 2018, officials from the Organization of the Petroleum Exporting Countries and allied producers like Russia met on Tuesday and decided to stick with a plan to gradually ease production curbs agreed to in April.

OPEC meetings sometimes drag on for days, but Tuesday’s gathering required less than half an hour, Prince Abdulaziz bin Salman, the Saudi oil minister, said during a news conference. The rising price of oil probably didn’t hurt.

The group, known as OPEC Plus, is still adjusting to a market that collapsed a year ago when the pandemic took hold of the global economy, forcing a huge cutback in petroleum output. Under the plan the group agreed to in April and confirmed on Tuesday, the oil states will add 350,000 barrels per day in June and 441,000 barrels per day in July.

Saudi Arabia will also continue to unwind the one million barrels a day in voluntary cuts it announced this year. The Saudis plan to produce 350,000 barrels a day in June and 400,000 barrels a day more in July on top of the other states’ expansions.

Analysts say that even with these modest additions in production, the oil market is likely to be tight as increased economic activity leads to more petroleum consumption, burning off the glut that built up in the early months of the pandemic. “Demand growth is outpacing supply gains,” even with the OPEC Plus increases, said Ann-Louise Hittle, an analyst at Wood Mackenzie, a market research firm.

Oil prices rose on Tuesday. Brent crude, the international benchmark, settled above $70 a barrel, while the U.S. benchmark, West Texas Intermediate, gained about 3.5 percent, to more than $68.50 a barrel. Both prices were the highest since October 2018.

OPEC ministers are watching indirect talks between Iran, a member of the cartel, and the United States that could lead to an easing of sanctions and a surge in Iranian crude onto the world market. OPEC figures that the outcome of the talks is still unclear and that a major increase in Iranian oil output, if it comes, is months away.

Prince Abdulaziz said that the issue of Iran had not been discussed during the meeting but that OPEC Plus would continue its recent practice of holding monthly meetings to decide on adjustments in output as necessary.

“We know the situation prevailing today allows us to proceed with what we are planning in July,” he said.

Read moreCredit…Aaron P. Bernstein/Reuters

The Federal Reserve’s Board of Governors is expected to have several openings over the coming year, allowing the Biden administration a chance to partly remake a body largely appointed by former President Trump, potentially by increasing diversity and including candidates who are more aligned with its economic priorities.

But there might be one position fewer to fill than many Democrats had been hoping for. Randal K. Quarles, the Fed’s vice chair for supervision, suggested during an event on Tuesday that he might stay at the central bank once his leadership term ends.

Mr. Quarles’s term as vice chair runs through mid-October, and his term as head of the global Financial Stability Board wraps up in December. Once those leadership roles end, he could stay at the Fed as one of its seven governors until 2032.

“I’ll serve out my full F.S.B. term,” Mr. Quarles said during a Politico event on Tuesday. “There’s a tradition in our family that people serve out their full terms on the Federal Reserve Board of Governors, even if they’re no longer the chair or the vice chair.”

He said he “hasn’t decided that yet” when asked if that meant he would serve through 2032, just that there’s familial precedent for it.

Mr. Quarles is married to a relative of Marriner Eccles, who was a long-serving Fed chair before the Truman administration declined to reappoint him in 1948. Mr. Eccles chose to stay on as governor until he resigned in mid-1951, and ended up playing an important role in striking the agreement that secured the Fed’s independence from elected government. The Fed has been free ever since to set policy to achieve macroeconomic goals — stable inflation and high employment — rather than partisan ones.

As the Fed’s first official vice chair for banking supervision, Mr. Quarles has helped loosen safeguards put in place following the global financial crisis.

His stance on regulation makes it highly unlikely that the Biden administration would reappoint Mr. Quarles to his leadership role, because his views are at odds with those of the White House. If he were to stay on as a governor, though, it could ramp up pressure on the administration to find a powerful and knowledgeable replacement for Mr. Quarles, one who could balance his influence on regulatory measures.

Richard H. Clarida, the Fed’s monetary policy vice chair, will see his term as governor expire in early 2022. Jerome H. Powell, the Fed’s chair, will see his leadership role end early next year, though his governor role lasts into 2028. Mr. Powell became a governor during the Obama years but elevated to his current position during the Trump administration. There is one open spot on the Fed board already.

Read moreA Krispy Kreme store in Times Square.Credit…Amr Alfiky/The New York Times

Krispy Kreme, the doughnut giant owned by the European investment firm JAB Holding, is planning to sell stock to the public.

The company revealed its financials for the first time on Tuesday as it prepares for a public listing in the United States. The company’s sales grew 17 percent to $1.1 billion its last fiscal year, up from $959 million (not $959,000, as previously written here) the year before. Losses, though, nearly doubled, to $60 million from $34 million as the company doubled down on efforts to transform itself. That includes the $20 million it spent on consulting and advisory fees, personnel transition costs, buying out its franchisees and other initiatives.

JAB acquired Krispy Kreme for roughly $1.35 billion in 2016, adding the doughnut seller to a portfolio of consumer brands that now includes the sandwich shop Panera and the coffee chain JDE Peets.

The firm has since taken JDE Peets public and is laying the groundwork to do the same with Panera. The I.P.O. market has been wide open for consumer brands like Oatly, the dairy-free milk producer, and Honest Company, the online consumer products retailer. Digital brands like Warby Parker, the eyeglass store, and AllBirds, the Silicon Valley shoe favorite, are also considering offerings.

But unlike many of those brands, Krispy Kreme is no start-up. The 83-year old company first went public in 2000 before its sale to JAB. It must contend with new health trends, as well as a dining backdrop that has transformed considerably over the past year, as restaurant giants poured money into technology to adapt to the remote needs of customers. Among the leaders was Dunkin’ Brands, which was acquired by Inspire Brands, the parent of Arby’s, for $11 billion last year.

Krispy Kreme says it is not a restaurant but “an affordable indulgence.” The brand said in its I.P.O. prospectus its doughnuts are “world-renowned for their freshness, taste and quality,” and it highlighted its ability to create “major media-driven events,” like its doughnut giveaway to promote coronavirus vaccinations.

Shares will trade on the Nasdaq stock exchange under the symbol DNUT.

Read more

Stocks were mostly unchanged on Tuesday as new data showed evidence of a strengthening global economic recovery but included signs that manufacturers are struggling to keep up with demand, which could increase inflationary pressures.

The S&P 500 and the Nasdaq composite ticked down less than 0.1 percent.

Commodities and bond yields saw gains, though they ended the afternoon well below their highs of the day.

The yield on 10-year Treasury notes was at 1.61 percent, up two basis points but down from 1.64 percent earlier in the day. West Texas Intermediate, the U.S. crude benchmark, gained 2.1 percent to $67.72 a barrel, as the Organization of the Petroleum Exporting Countries and its allied producers including Russia decided on Tuesday to continue gradually increasing production quotas.

Shares of AMC Entertainment, the world’s largest movie theater chain, jumped 23 percent. The company’s shares were caught up in a trading frenzy earlier this year, when small investors briefly pumped up so-called meme stocks. The volatility has continued, and on Tuesday, AMC shares closed at prices not seen since late 2016.

Read more

The sudden lack of child care systems at the height of the pandemic has been blamed for causing what many economists call the world’s first “she-cession” — when more women than men, particularly those with children, were either pushed out of their jobs or were forced to downsize their careers.

But a new study published in April by the National Bureau of Economic Research, which analyzed employment figures in 28 developed countries in North America and Europe, presents a more nuanced picture of the damage. The economic damage was indeed worse for women in almost every country analyzed: The number of women in the labor force, compared with men, fell in 18 of the 28 countries, reports The New York Times’s Alisha Haridasani Gupta.

Credit…The New York Times | Source: Matthias Doepke, Northwestern University Department of Economics

And part of the disproportionate impact on women globally was, undoubtedly, related to the extent of school closures. Schools have been closed the longest in the United States and Canada, according to data from UNESCO, the U.N.’s education agency, and employment among women fared the worst in both those countries.

In France, schools were closed for a total of 11 weeks, and employment losses for women were among the lowest of the 28 countries analyzed, said Matthias Doepke, an author of the study and an economist at Northwestern University. However, France also ended up with higher coronavirus infection and death rates than other European countries.

But school closures alone don’t explain how a country like Germany, where schools were shut for 30 weeks, kept unemployment levels for women low, Mr. Doepke said, suggesting that other factors, like labor protections or the ability to work remotely, played equally significant roles in employment.

Credit…By The New York Times | Source: United Nations Educational, Scientific and Cultural Organization

One critical difference between the United States and Germany (as well as several other countries in Europe) is the expansive furlough programs, in which workers remained employed and received subsidized paychecks while working reduced hours or none at all. Often, those paychecks were larger for parents.

And the study found that the single biggest indicator of job losses for American women in the last year was actually whether they could work from home in the first place. Among mothers of prekindergarten children who could not work remotely, their hours declined by almost 18 percentage points more than fathers’ work hours. But for mothers who could work remotely, that gap was two to three percentage points.

Read moreThe pandemic has slowed sawmill operations, causing a shortage of lumber that has hampered home building in the United States.Credit…Octavio Jones for The New York Times

As the pandemic hampered factory operations and created chaos in global shipping, many economies around the world were bedeviled by shortages of a vast range of goods including electronics, lumber and clothing.

The shortages reflect the disruption of the pandemic combined with decades of companies limiting their inventories, The New York Times’s Peter S. Goodman and Niraj Chokshi report.

Over the last half-century, Toyota has captivated global business in industries far beyond autos. It pioneered so-called Just In Time manufacturing, in which parts are delivered to factories right as they are required, minimizing the need to stockpile them. Companies have embraced Just In Time to stay nimble, allowing them to adapt to changing market demands, while cutting costs.

But the tumultuous events of the past year have challenged the merits of paring inventories, while reinvigorating concerns that some industries have gone too far, leaving them vulnerable to disruption.

The most prominent manifestation of too much reliance on Just in Time is found in the very industry that invented it: Automakers have been crippled by a shortage of computer chips — vital car components produced mostly in Asia. Without enough chips on hand, auto factories from India to the United States to Brazil have been forced to halt assembly lines.

But the breadth and persistence of the shortages reveal the extent to which the Just in Time idea has come to dominate commercial life. This helps explain why Nike and other apparel brands struggle to stock retail outlets with their wares. It’s one of the reasons construction companies are having trouble purchasing paints and sealants. It was a principal contributor to the tragic shortages of personal protective equipment early in the pandemic, which left frontline medical workers without adequate gear.

Just In Time has amounted to no less than a revolution in the business world, but the shortages raise questions about whether some companies have been too aggressive in harvesting savings by cutting inventory, leaving them unprepared for whatever trouble inevitably emerges.

No pandemic was required to reveal the risks of overreliance on Just In Time combined with global supply chains. In fact, experts have warned about the consequences for decades.

Read moreBrent Ozar, 47, and his wife have been working remotely in Iceland since January and will stay until the fall before returning home to San Diego.Credit…Béatrice de Géa for The New York Times

Let’s say you’re thinking about becoming a digital nomad this summer, making the most of your company’s work-from-home policy as borders reopen before the bosses require you back in the office. The streets of Rome and the foothills of Iceland’s glaciers are appealing, but have you thought much about the logistics of keeping up with your job, or about the tax consequences?

As tempting as it all is, the reality can be complicated, experts say.

“The tax system globally right now is not prepared for what the work force is going through,” said David McKeegan, a co-founder of Greenback Tax Services, an accounting firm for U.S. expatriates. “I think at some point we’ll see a system where people are asked on the way in or out if they were working and countries will try and get some more tax revenue from this very mobile work force.”

Here is a look at how working remotely from abroad could affect Americans’ take-home pay, addressing questions such as:

  • Can I work from outside the United States for a few weeks or months without being double-taxed?

  • Am I on the hook for U.S. taxes no matter where I go?

  • Can I “forget” to mention my plans to my boss?

Read more

Categories
Health

Editor of JAMA Leaves After Outcry Over Colleague’s Remarks on Racism

Following an outcry over comments about racism made by an editor at JAMA, the influential medical journal, the top editor, Dr. Howard Bauchner, will step down from his post effective June 30.

The move was announced on Tuesday by the American Medical Association, which oversees the journal. Dr. Bauchner, who had led JAMA since 2011, had been on administrative leave since March because of an ongoing investigation into comments made on the journal’s podcast.

Dr. Edward Livingston, another editor at JAMA, had claimed that socioeconomic factors, not structural racism, held back communities of color. A tweet promoting the podcast had said that no physician could be racist. It was later deleted.

“I remain profoundly disappointed in myself for the lapses that led to the publishing of the tweet and podcast,” Dr. Bauchner said in a statement. “Although I did not write or even see the tweet, or create the podcast, as editor in chief, I am ultimately responsible for them.”

Last month, the A.M.A.’s leaders admitted to serious missteps and proposed a three-year plan to “dismantle structural racism” within the organization and in medicine. The announcement on Tuesday did not mention the status of the investigation at JAMA. The journal declined further comment.

“This is a real moment for JAMA and the A.M.A. to recreate themselves from a founding history that was based in segregation and racism to one that is now based on racial equity,” said Dr. Stella Safo, a Black primary care physician at the Icahn School of Medicine at Mount Sinai in New York.

Dr. Safo and her colleagues started a petition, now signed by more than 9,000 people, that had called on JAMA to restructure its staff and hold a series of town hall conversations about racism in medicine. “I think that this is a step in the right direction,” she said of the announcement.

But other critics said they were withholding judgment to see how the organization addressed what they saw as pervasive neglect of covering racism’s impact on health in its journals.

“In the entire history of all the JAMA network journals, there’s only been one non-white editor,” noted Dr. Raymond Givens, a cardiologist at Columbia University in New York. In October, Dr. Givens wrote to Dr. Bauchner, noting that editors at the JAMA journals were overwhelmingly white and male. Dr. Bauchner did not respond, according to Dr. Givens.

“This is not cause to celebrate,” he said of the announcement, adding that he had not intended to jeopardize Dr. Bauchner’s job. Nor will appointing a top editor of color resolve the issues, Dr. Givens said.

“Looking for just a person of color misses the point,” he added. “I’m more interested in a bold voice. I want somebody who is willing to take a stand, push to move things forward.”

The podcast that set the events in motion aired on Feb. 24 and did not include any Black researchers or experts on racism in medicine.

“Structural racism is an unfortunate term,” Dr. Livingston, who is white, said on the podcast. “Personally, I think taking racism out of the conversation will help. Many people like myself are offended by the implication that we are somehow racist.”

The podcast was promoted with a tweet from the journal that said, “No physician is racist, so how can there be structural racism in health care?” Following widespread protest in the medical community, the journal took down the podcast and deleted the tweet.

“Comments made in the podcast were inaccurate, offensive, hurtful and inconsistent with the standards of JAMA,” Dr. Bauchner said in a statement released a week later. “We are instituting changes that will address and prevent such failures from happening again.”

Dr. Livingston later resigned, and the A.M.A. placed Dr. Bauchner on administrative leave on March 25.

The JAMA family of journals added four new titles under Dr. Bauchner’s leadership, and expanded to include podcasts, videos and new, shorter article types. But critics noted that the journals rarely addressed structural racism in medicine, and more often published papers linking health disparities to socioeconomic or biological factors.

Dr. Bauchner’s exit offered the journals a chance to improve, said Dr. Mary Bassett, professor of the practice of health and human rights at Harvard University.

“Medical journals have helped build the racist idea that races have intrinsic differences that have a bearing on health,” Dr. Bassett said. Journals are “challenged to embrace, not only accept, racism as a health issue.”

Dr. Bauchner told The New York Times last month that JAMA had published “more than 100 articles on issues such as social determinants of health, health care disparities and structural racism over just the last five years.” He also noted that JAMA accepted only a tiny fraction of the manuscripts it had received.

He said in the statement on Tuesday that the journal would be better served by his resignation. “The best path forward for the JAMA Network, and for me personally, is to create an opportunity for new leadership at JAMA,” he said.

In an editorial published in JAMA on Tuesday, colleagues at the journal lauded Dr. Bauchner’s leadership, saying he “has left an indelible legacy of progress, innovation and excellence in medical journalism.”

The A.M.A. said it has begun a search for Dr. Bauchner’s replacement. The journal’s executive editor, Dr. Phil Fontanarosa, will serve as interim editor in chief.

Whoever the new editor may be, he or she will need to acknowledge the profound impact of structural racism on health outcomes for communities of color, Dr. Bassett said.

“Racism works in ways that are structural and not simply as the result of ignorant, misguided or even racist individuals,” she added. “As a new editor in chief is sought, there will be a chance for JAMA to lead in dismantling this idea. I hope they grab it.”