It was a star power celebration Thursday as the Bay Area Council joined with member company Alaska Airlines to co-host a reception for Alaska Airlines CEO Brad Tilden and his executive team to highlight the airline’s almost 40 years in the Bay Area. Golden State Warriors forward Kevin Durant also joined the festivities, sending ecstatic guests into selfie clamoring mode with the newly minted NBA Finals MVP. In a gorgeous setting atop of the Commonwealth Club’s rooftop deck at their newly built headquarters, more than 200 VIPs were treated to a lively and fun fireside chat with Tilden, Council CEO Jim Wunderman and Alaska Airlines President and COO Ben Minicucci. Tilden talked about the importance of community investment and growing a diverse workforce, and he highlighted the more than $1 million Alaska Airlines Group has contributed to almost 70 community organizations across the region in the past year.
Tilden has served as Chairman and CEO since 2012 and is a 25-year veteran of Alaska Air Group, the parent company of Alaska Airlines, Horizon Air and Virgin America. The combined airlines have over 20,000 employees, 285 aircraft and fly to more than 115 destinations throughout the United States, Canada, Mexico and Costa Rica. Under the leadership of Tilden and his team, Alaska Airlines is now the fifth largest airline in the U.S.
Durant wasn’t the only local sports celebrity in attendance donning a championship ring. San Francisco Giants CEO and Council Executive Committee member Larry Baer dropped by and brought his team’s three World Series Championship trophies.
Three important Bay Area water storage projects that originally were slated to receive zero or only a small portion of available state funding are now in line to get a healthy share of voter-approved Proposition 1 money after the Bay Area Council intervened. The proposed projects—the Los Vaqueros Reservoir Expansion, Pacheco Reservoir Expansion, and the new Sites Reservoir—are critical to improving the region’s drought resilience. Following an advocacy push by the Council and other groups, the California Water Commission on Thursday (June 28) reversed an earlier staff recommendation that failed to allocate any of $2.7 billion in Prop 1 funding to the Los Vaqueros and Pacheco projects and provided just half of what was being requested for Sites. The Commission is expected to finalize the funding awards at its July meeting. To engage in the Council’s Water Committee, please contact Vice President of Public Policy Adrian Covert.
The timing was ideal. As President Trump met with North Korean leader Kim Jong Un in Singapore, guests at the Bay Area Council’s 2018 Pacific Summit on Tuesday were sitting down to hear from former Secretary of State Condoleezza Rice on what it all meant. In a lengthy conversation with Andrew Westergren, Senior Vice President and Global Head of Strategy and Corporate Development for Visa, in front of almost 200 top executives and other leaders, Rice candidly acknowledged the unconventional way in which the summit came together but also said it was worth a try given the failure of past efforts. Rice also gave her insights and analysis about the tumultuous G7 meeting in Canada, talked about U.S.-China relations as a trade war looms and provided insights into the motives and agenda of Russia President Vladimir Putin.
With national attention intensely focused on the issues of sexual harassment and discrimination, the timing was also perfect for a lively conservation with two leaders of the #MeToo movement. Janet Liang, President of Kaiser Permanente Northern California, moderated the discussion with Adama Iwu, Vice President of State Government and Community Relations for Visa, and Tina Tchen, former Chief of Staff to First Lady Michelle Obama and Partner at Buckley Sandler. Iwu was honored as a Time magazine Person of the Year for her work in founding We Said Enough, a group focused on exposing and changing a culture of sexual harassment and discrimination in the California legislature. Tchen is a leader of Time’s Up, which works to support women who have suffered sexual harassment or discrimination. The three gave their personal insights on the #MeToo movement and the cultural and institutional changes that must occur in order to end sexual harassment and discrimination.
The audience also was treated to sobering and humorous remarks from renowned New York Times columnist David Brooks. Brooks, in his comments and in a Q&A with McKinsey & Co. Senior Director and West Coast Regional Manager Kausik Rajgopal, talked about cultural and political divides in the U.S. and how a sense of community that has united people in the past has been replaced by tribalism, which by its nature divides people.
The conversations continued later in the afternoon in smaller group discussions, with PwC Managing Partner Jeanette Calandra moderating a conversation with Tchen, UPS Northern California District President Rosemary Turner leading a discussion with Dr. Rice and TMG Partners leader Denise Pinkston guiding a talk with Brooks. Bay Area Council CEO Jim Wunderman opened the summit with insights about the Bay Area’s run of economic success and the housing and transportation challenges that threaten to pull the rug out from under it.
The Bay Area Council extends its thanks to Visionary sponsor Kaiser Permanente and the many other sponsors whose support is critical to funding our public policy and advocacy. See a full list of all Pacific Summit sponsors. Our thanks also to the Kohl Mansion for hosting us.
The Bay Area Council Workforce of the Future program will be hosting a Veterans Employer Summit on June 20th. In partnership with Genentech Foundation and Swords to Plowshares, the event aims to strengthen veteran talent pipelines and connect employers with veteran initiatives. Employers will share best practices, while examining the most effective ways to hire, retain, and upskill veteran talent. Veterans serve a crucial role in filling high-demand positions, as the Bay Area builds a more inclusive and diverse workforce.
The Bay Area Council’s Workforce of the Future Initiative received a big boost of support from the Coca-Cola Foundation with a year-long grant to advance the Council’s inclusive economy work with regional community-based organizations and employers to train and upskill youth of color. Despite booming economic growth in the Bay Area, certain communities, such as youth of color, have not been able to tap into this prosperity. This grant will address these disparities by further engaging youth of color in workforce development programs, beginning this week at SFO International Airport’s “Working at SFO: A Day of Career Exploration” on May 16th where over 400 students, parents, teachers, and trainers will learn and interview for aviation industry jobs. The Council is thrilled to be working with the Coca-Cola Foundation and its local North America Group to help give local youth opportunities to work with our member companies. For employers who want to participate in this effort, please contact Senior Vice President of Public Policy Linda Bidrossian to get involved.
Absentee ballots began arriving this week in Bay Area mailboxes ahead of the June election and the Bay Area Council is urging early voters to support Regional Measure 3 to invest $4.5 billion to ease traffic and improve mass transit systems around the region. The Council is partnering with the Silicon Valley Leadership and SPUR on a multi-million dollar campaign that is ramping up now to spread the word about this important measure targeting the region’s horrific traffic and overburdened mass transit system. The Council was also instrumental in passing the legislation by state Sen. Jim Beall Jr. that authorized the RM3 vote. An estimated 75 percent of the money will go to public transit, replacing and expanding the aging BART fleet and extending BART to San Jose and Santa Clara, a fleet of ferries, electrifying and modernizing Caltrain and extending the SMART train in the North Bay. Another big chunk will go to unclogging some of the region’s worst traffic chokepoints at key highway interchanges in Contra Costa, Alameda, San Mateo and Santa Clara counties, and completing the widening of Highway 101 between Marin and Sonoma counties. The funding would come from a $3 toll increase on seven state-owned bridges that would be phased in over six years with $1 increases in 2019, 2022 and 2025. Learn more about RM3>>
SAN FRANCISCO, CA – The Bay Area Council Economic Institute and Central Valley Community Foundation today announced the launch of an in-depth study to examine Fresno’s important role in the fast-emerging Northern California megaregion and how the arrival of high speed rail over the next decade will dramatically accelerate economic connections between Silicon Valley and the broader Bay Area and the state’s fifth largest city.
High speed rail is expected to shrink the time it takes to travel between the Bay Area and the Central Valley from more than three hours to less than one hour when it is scheduled to begin service in 2025 between Fresno and San Jose. That has huge implications for housing, transportation and workforce development across the megaregion and promises to bring exciting new economic opportunities to Fresno and other parts of the Central Valley. “Fresno and the broader Central Valley are key players in developing a broader megaregion strategy,” said Micah Weinberg, President of the Bay Area Council Economic Institute. “As county and other regional boundaries blur with the emergence of the megaregion, it’s imperative that we get a handle on what that future looks like and the infrastructure we’ll need to put in place to support it. We can act now to address these issues or confront chaos later. The Central Valley Community Foundation is an important and indispensable partner in making that happen.”
The study will focus in particular on strategies Fresno and other Central Valley cities can pursue to leverage high speed rail and other economic and demographic changes within the megaregion to boost their own economic prospects. While the 10 percent economic growth that Fresno has enjoyed since 2011 matches the national average, it has lagged cities like San Francisco and Los Angeles where the rate has reached 26 percent and 16 percent, respectively. Expanding the Central Valley’s participation in the megaregion economy, attracting new business and elevating its workforce to meet the needs of employers will also be a focus of the study.
“Improved economic and infrastructure connections between the Silicon Valley/Bay Area and the Central Valley is good, not just for our regions, but for the entire state,” said Ashley Swearengin, President and CEO of the Central Valley Community Foundation. “We are pleased to launch this work with the Bay Area Council and to explore meaningful ways to create new economic opportunities for Central Valley residents, businesses and communities and relieve pressure on the congested Bay Area.”
Swearingen kicked off the project on Friday, April 24 at a meeting in Fresno to identify the issues that would be addressed. The study is part of a much broader, long-term effort the Bay Area Council is leading to bring together top business, government and other civic leaders from the Bay Area, Central Valley, Sacramento and Monterey regions to develop a unified, integrated vision for guiding future planning for the megaregion around such issues as housing, transportation and workforce development.
Driving the Council’s intense focus on the megaregion is the Bay Area’s meteoric economic growth over the past decade combined with an historic housing shortage and affordability crisis. In search of more affordable housing, record numbers of Bay Area workers are being forced into longer and longer commutes from the Central Valley and Sacramento that are putting increasing pressure on an already overburdened and congested transportation system. At the same time, the Central Valley is eager to accelerate economic development opportunities that the megaregion offers and prepare its workforce.
The study with the Central Valley Community Foundation and support from Wells Fargo, UC Merced, Fresno State University, City of Fresno, and Lance Kashian & Co., is one of several activities the Council is leading to bring greater attention to megaregion planning. The Council is also working closely with Sacramento Mayor Darrell Steinberg and the Greater Sacramento Economic Council on megaregion issues, including investing in better rail connections along the I-80 corridor and promoting the capitol city as a destination for businesses looking to start and expand outside the Bay Area.
The Council will be convening a series of meetings in 2018 to begin a dialogue with government, business, nonprofit and academic leaders on the future of the megaregion.
# # #
About the Bay Area Council Economic Institute
The Bay Area Council Economic Institute is a public-private partnership of business, labor, government and higher education that works to foster a competitive economy in California and the San Francisco Bay Area, including San Francisco, Oakland and Silicon Valley. The Economic Institute produces authoritative analyses on economic policy issues affecting the region and the state, including infrastructure, globalization, energy, science and governance, and mobilizes California and Bay Area leaders around targeted policy initiatives. Learn more at www.bayareaeconomy.org.
About the Central Valley Community Foundation
Central Valley Community Foundation has been a trusted partner in philanthropy in the Central Valley for more than 50 years. Our mission is to cultivate smart philanthropy, lead, and invest in solutions that build stronger communities. Learn more at www.centralvalleycf.org.
About the Bay Area Council
The Bay Area Council is a business-sponsored, public-policy advocacy organization for the nine-county Bay Area. The Council proactively advocates for a strong economy, a vital business environment, and a better quality of life for everyone who lives here. Founded in 1945, the Bay Area Council is widely respected by elected officials, policy makers and other civic leaders as the voice of Bay Area business. Today, more than 300 of the largest employers in the region support the Bay Area Council and offer their CEO or top executive as a member. Our members employ more than 4.43 million workers and have revenues of $1.94 trillion, worldwide. Learn more at www.bayareacouncil.org.
Workplace cultures that promote and even reward crazy long hours are doing more than causing baggy, blood-shot eyes and caffeine addictions. They’re also seriously undermining efforts to improve gender equity. That is among the findings of a new report the Bay Area Council Economic Institute released today (April 24) examining how long hours, inflexible scheduling, lack of access to quality early childhood education and childcare and other seemingly innocuous workplace practices can create an environment where women have less opportunity to advance and succeed. The report comes as the #MeToo and TIME’s Up movements are sparking a powerful national debate on gender equity and how both new and old workplace practices may be enabling a culture of inequity.
The report, in particular, explores how workplace policies and practices are often adopted piecemeal and in isolation from each other and how this fragmentation misses the crucial insight that gender equity, family-friendly policies, and early childhood care and education are intertwined. Employers who care about gender equity in the workplace, according to the report, need to understand the importance of high-quality childcare and early childhood education programs in the communities in which their businesses are based. Policymakers who care about providing universal early childhood care and education because of their impacts on child development and learning must also care about paid parental leave and other family-friendly workplace policies.
“We can’t begin to tackle unconscious bias, help women climb the corporate ladder, or close the pay gap until we develop policies and benefits that enable working women—and men—to reconcile the pervasive work-family conundrum” says Dr. Micah Weinberg, President of the Bay Area Council Economic Institute. “Long gone are the 1960s where only 20 percent of mothers worked outside the home and the American family included a male breadwinner and a stay-at-home mother. This anachronistic model no longer fits today’s economy and modern workforce where 70.5 percent of U.S. mothers with children under the age of 18 are participating in the labor force.”
The report is the focus of a conference on Tuesday, April 24 hosted by Children’s Hospital Research Institute in Oakland that will bring together leaders from the business, public policy, early education and healthcare communities to discuss strategies to help employers better connect various workplace policies and practices around gender equity, early education and childcare. A separate report by the Rand Corporation will also be presented that looks at how investing early education can pay huge economic dividends.
The cost of not adopting a well-integrated set of gender equity, family-friendly and early education workplace practices and policies is considerable, for employers, for women, for men and families, according to the report. An alarming gender gap in median annual earnings of 19.5 percent continues, with inequalities becoming even more acute for mothers in the workforce. New mothers in their prime career-building years between the ages of 25 and 35 will experience the most significant earnings shock. The analysis shows that mothers are still assuming twice as much unpaid caregiving and household work than their male counterparts, causing stalled careers and lack of opportunity to advance in leadership positions.
The report offers a robust set of recommendations for addressing not only the lack of specific workplace policies and practices around gender equity and families and their connections to each other.
Modernizing employer work models that integrate family-friendly policies is critical to advancing gender equity in the workplace. Generous paid parental leave, more flexible work time, telecommuting, and providing access to affordable early childhood care and education are critical to working families and supporting mothers in the labor force. Important early childhood care and education strategies for employers outlined in the report include on-site childcare, subsidizing employee childcare expenses, providing referral resources, partnerships with neighboring businesses and more.
What Stakeholders Are Saying:
“Currently, the burden of paying for quality early childhood care and education falls squarely on the shoulders of parents and particularly women who are sometimes forced to leave the workforce because they can’t afford quality care. Increased public and private sector investments in this area will not only help businesses retain qualified talent, they’ll be helping to foster tomorrow’s workforce, since quality interactions between teachers and young children are linked to increased acquisition of social and cognitive skills.”
—Patricia Lozano, Executive Director, Early Edge California
“When we think about now people are perceived for taking advantage of the policies that we have, it really is a question of how normal is it. Do you become the outlier when you decide to take the full eight weeks parental leave as a male employee who didn’t give birth to the child? Or are you seen as somebody who’s leading the charge to role model the types of behaviors that leadership said they wanted to have at the firm? And I think that starts with leadership not just endorsing the policies, but taking advantage of it themselves, but also recognizing that when employees do that, it actually is a commitment to the type of employee that the firm wants. It’s not an outlier that shows lack of commitment.”
—Keith Bevans, Partner, Chicago Global Head of Consultant Recruiting, Bain & Company
“We actually give moms and dads both 12 weeks of paid parental leave. We do believe that the father has a huge role to play in the child’s life, and we don’t want them to feel different than the mom. So we give them both that baby bonding time, and we’re seeing more and more dads take advantage of it. We also want moms to ease back into the workforce, and so we give them an additional 4 weeks of part-time so that they can get used to the new childcare arrangement that they have and feel comfortable leaving their baby.”
—Nina McQueen, Vice President – Employee Experience & Global Benefits, LinkedIn
“We believe that it’s an employer’s responsibility in these times to put forward family-friendly policies that provide flexibility, that encourage men as well as women to become caregivers, and to allow people to work remotely at times if that works for the organization. So that with those kinds of policies in place, we’ll truly see women be able to do all the things that men have historically been able to do when it comes to making commitments to their companies and organizations.”
It was a good news, bad news week in the Bay Area Council’s continuing fight to loosen the grip of the state’s historic housing shortage and affordability crisis. Legislation (SB 831) the Council is sponsoring to eliminate many of the fees that represent a financial obstacle to building accessory dwelling units (ADU), aka granny units, cleared a key Senate committee this week. The bill by Sen. Bob Wieckowski (Fremont) builds on reform legislation the Council sponsored in 2015 that has unleashed a statewide surge in ADUs. Fees and other regulatory barriers can add many tens of thousands of dollars to the cost of building an ADU. The Council estimates that making it faster, easier and less expensive for homeowners to build ADUs could result in the addition of well over 150,000 affordable housing units in the Bay Area alone.
Not all the news was positive, however. Legislation by Sen. Scott Wiener (San Francisco) that the Council was backing was defeated in committee after building trades, social equity and city government groups loudly opposed it. SB 827 stoked a statewide debate and gained national attention for its bold approach to promoting transit-oriented housing development. The bill would have allowed more home building near transit-rich areas like BART and Caltrain, but opponents feared it would lead to displacement of existing residents and weakened local control over housing decisions. The Council is looking forward to working with Sen. Wiener to bring the legislation back next year and we applaud his leadership in addressing a crisis that is hurting millions of Californians and threatening to harm the state’s economy.
Coming up, the Council will be returning to the state capitol next Tuesday to advocate for legislation (SB 1277) by Sen. Nancy Skinner (Oakland) that we are sponsoring that would address a huge statewide shortage of student housing. An estimated 762,585 California college students experience housing insecurity or homelessness. SB 1227 would authorize 35 percent more units in student housing developments that meet a variety of affordability requirements and exempt them from costly parking requirements. To join our coalition in support or SB 1227 and engage in the Council’s housing policy work, please contact Vice President Adrian Covert.
California is a global innovation and economic powerhouse, but currently does not have a statewide, comprehensive plan to grow its economy. That would change under legislation (AB 2596) that the Bay Area Council is sponsoring with the Greater Sacramento Economic Council and Valley Vision. AB 2596, authored by Assemblymembers Ken Cooley, Kevin Kiley and Sharon Quirk-Silva, would authorize the creation a statewide economic development plan to grow jobs, better coordinate economic activities across counties and regions and boost the state’s competitiveness. Having a clear, unified strategy can also help protect the state against future economic downturns and ensure that economic opportunities are being spread more evenly across the entire state. AB 2596 on Tuesday won unanimous approval by the Assembly Jobs, Economic Development and the Economy Committee and now heads to Assembly Appropriations. Just ahead of the vote, an OpEd by Council CEO Jim Wunderman and Greater Sacramento Economic Council CEO Barry Broome that ran in the Sacramento Bee argued for passage of the bill. To add your company to the growing list of our AB 2596 supporters, please contact Director for Government Relations Cornelious Burke.