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New EU gig economy laws saved from oblivion by Belgian compromise 2024-03-11 19:44:00+00:00 - New laws designed to improve the rights of gig economy workers in the EU contracted to companies such as Uber have been saved from oblivion after they won the majority backing of member states. The legislation had been blocked by a group of countries last month, when France said it could not support the text on the table and Germany abstained. But on Monday, a compromise text pushed by Belgium got the law over the line, giving it one final chance of being passed before legislative procedures are timed out due to the looming EU parliamentary elections. The Belgian presidency announced the breakthrough during a summit of employment, social affairs and health ministers in Brussels. “Better working conditions for those delivering your meal at home. Ministers just approved the compromise text on the platform work directive,” it said in a tweet. ✅ Better working conditions for those delivering your meal at home! 🇪🇺 Ministers just approved the compromise text on the Platform Work Directive (#PWD). This will improve the rights & conditions of more than 28.5 million Europeans working in the #PlatformWork economy.#EPSCO pic.twitter.com/94nHO40UcK — Belgian Presidency of the Council of the EU 2024 (@EU2024BE) March 11, 2024 Pierre-Yves Dermagne, the Belgian deputy prime minister and minister for the economy and employment, said: “We have taken this historic step, so the message is workers are being heard.” He said the law “was one of the Belgian presidency’s top priorities” and would improve the working conditions of the 28 million people employed as gig workers in the EU by allowing the “reclassification of those bogus self employed persons”. Two years in the making, the directive is designed to give taxi and delivery drivers, such as those working for Uber and Deliveroo, rights similar to those full employees enjoy, including holidays, sick pay and the minimum wage. Under the new laws the default status of gig workers will be as employees and the onus will be on employers to prove they are not, if they so wish. Brussels has previously estimated that this could affect about 5.5 million of the 28 million workers using gig economy platforms. Mark MacGann, the whistleblower who leaked more than 124,000 Uber documents to the Guardian, in part because he believed it misrepresented the economic benefits to drivers of the company’s gig economy model, said: “Millions of platform workers across the EU have waited almost a decade to get governments to recognise their basic human rights. This legislation is an overdue but welcome step in the right direction.” skip past newsletter promotion Sign up to Business Today Free daily newsletter Get set for the working day – we'll point you to all the business news and analysis you need every morning Enter your email address Sign up Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy . We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion An Uber spokesperson said: “EU lawmakers have voted to maintain the status quo today, with platform worker status continuing to be decided country-to-country and court-to-court. Uber now calls on EU countries to introduce national laws that give platform workers the protections they deserve while maintaining the independence they prefer.” It is understood that four countries – France, Germany, Estonia and Greece – said as recently as February that they could not support the text. However, after Estonia and Greece indicated their support at the minister’s meeting, a breakthrough that tipped the balance in favour of the laws. The EU jobs commissioner, Nicolas Schmit, said: “One member state surprised us by joining the qualified majority at the last moment – of course that was great news.” Schmit added that the law had much wider scope beyond taxi drivers and food delivery riders who had previously been dismissed as “young people with bikes” but were “workers with precarious jobs” who must “not be deprived of their rights”. The deal will also give workers the right not to be managed by algorithm, as well as future-proof employment law against employment rights being determined by artificial intelligence, something ministers said was a world first.
Airbnb is banning the use of indoor security cameras in the platform’s listings worldwide 2024-03-11 19:29:04+00:00 - NEW YORK (AP) — Airbnb said Monday that it’s banning the use of indoor security cameras in listings on its site around the world by the end of next month. The San Francisco-based online rental platform said it is seeking to “simplify” its security-camera policy while prioritizing privacy. “These changes were made in consultation with our guests, Hosts and privacy experts, and we’ll continue to seek feedback to help ensure our policies work for our global community,” Juniper Downs, Airbnb’s head of community policy and partnerships, said in a prepared statement. Airbnb had allowed the use of indoor security cameras in common areas, as long as the locations of the cameras were disclosed on the listings page. Under the new policy, hosts will still be allowed to use doorbell cameras and noise-decibel monitors, which are only allowed in common spaces, as long as the location and presence of the devices are disclosed. Airbnb expects the policy update to impact a small number of hosts because the majority of its listings do not report having indoor security cameras. The policy change will take effect April 30. In its fourth-quarter earnings report last month, Airbnb said its bookings and revenue rose, and the company said demand remains strong.
Bitcoin price nears $73,000 in fresh record high 2024-03-11 19:22:00+00:00 - Bitcoin has reached a new record price of almost $73,000 (£57,000), as the UK financial regulator said it would allow the trading of cryptocurrency-backed securities. The cryptocurrency hit a fresh high of $72,720 as of Monday evening having last week overtaken its previous November 2021 high of nearly $69,000. The latest price move came as the UK financial regulator said on Monday it would “not object” to investment exchanges creating a UK-listed market segment for cryptoasset-backed exchange traded notes [cETNs], a financial product that can be traded like a stock. However, the Financial Conduct Authority said it would not permit the sale of the cETNs to retail investors, or members of the public. “The FCA continues to remind people that cryptoassets are high risk and largely unregulated. Those who invest should be prepared to lose all their money,” it said in a statement. Bitcoin has been helped this year by the US financial regulator approving exchange-traded funds [ETFs] – a basket of assets that can be bought and sold like shares on an exchange – that track the price of the cryptocurrency. The chair of the Securities and Exchange Commission, Gary Gensler, also expressed scepticism about bitcoin despite the approval, referring to it in January as a “speculative, volatile asset” used for illicit activities including ransomware and terrorist financing. An upcoming “halving” of bitcoin, in which the amount of new bitcoin being generated is reduced, is also expected to support the currency by causing a reduction in supply – and therefore bolstering the price. Neil Wilson, the chief analyst at the brokerage Finalto, said the FCA move was a “positive” sign for the cryptocurrency market. He added that “parabolic” market moves – referring to sharp price increases – tended to end in a big pullback but “we cannot be sure with bitcoin any more”. “There is a question of the amount of spare cash sitting around that can be allocated to it,” he added.
Airbnb bans indoor security cameras for properties listed on its platform 2024-03-11 19:11:00+00:00 - Airbnb is banning indoor security cameras from rental properties listed on its site, citing privacy concerns. The platform had previously allowed cameras in common areas like hallways and living rooms as long as they were clearly mentioned in a property's listings. Those will now be banned, too. “Our goal was to create new, clear rules that provide our community with greater clarity about what to expect on Airbnb," Airbnb head of community policy and partnerships Juniper Downs said in a release. "These changes were made in consultation with our guests, Hosts and privacy experts, and we’ll continue to seek feedback to help ensure our policies work for our global community.” Airbnb said the new rules would likely only impact a "smaller subset" of listings given that most properties don't have cameras. The company is also revising its rules around outdoor security cameras and other devices like noise decibel monitors. All of these must now be disclosed in property listings. Privacy advocacy group Surveillance Technology Oversight Project (STOP) praised the move. “No one should have to worry about being recorded in a rental, whether the bedroom, the living room, or a hall,” said Surveillance Technology Oversight Project executive director Albert Fox Cahn in a release. “Getting rid of these cameras is a clear win for privacy and safety, and we know that these recording devices are ripe for abuse." Airbnb shares have nearly doubled after hitting a low in December 2022 amid still-healthy demand, though it also has announced stock purchases that cause the price to go up. Even as its most recent quarter saw a record 99 million bookings, Airbnb said in a release it is now looking to "reinvent" itself over the next several years. “I think that Airbnb can go far beyond travel in the coming years, but I think we’re going to start with our core," CEO Brian Chesky said according to the Financial Times. "We’ll start with travel, and then down the road we can move beyond travel."
Deadspin Sells to European Media Company, Leaving Staff Behind 2024-03-11 19:06:17+00:00 - Deadspin, the sports news website, has been sold to a European digital media company, its owner, G/O Media, said on Monday. G/O Media, which is owned by the private equity firm Great Hill Partners, operates a number of digital media brands, including Gizmodo, Kotaku and The Onion. Jim Spanfeller, the chief executive, told staff members in an email Monday afternoon that the company had recently been approached about a deal by “a newly formed digital media company” called Lineup Publishing. Mr. Spanfeller said the board accepted the offer because of “the buyer’s editorial plans for the brand, tough competition in the sports journalism sector and a valuation that reflected a sizable premium from our original purchase price for the site.” He did not disclose the deal price. Mr. Spanfeller said that the new owner would not be bringing on any of the website’s existing staff members, and that those workers would also not be staying at G/O Media.
North Carolina launches statewide sports wagering 2024-03-11 18:55:33+00:00 - CHARLOTTE, N.C. (AP) — Mobile and online sports wagering across North Carolina took off on Monday, as several licensed gambling operators started taking bets nine months after legislation to authorize such activity statewide became law. Some of the interactive sports wagering operators, which include big names in the growing field of legalized gambling, and their affiliates held special events to highlight the new gambling options in the nation’s ninth-largest state. North Carolina is now the 30th state, along with the District of Columbia, to offer mobile sports betting, according to the American Gaming Association. Registered customers within the state’s borders can bet on professional, college or Olympic-style sports. “North Carolina is a state that we’ve been really dying to get into for a couple of years now,” DraftKings Chief Commercial Officer Jeremy Elbaum said at a public event at the NASCAR Hall of Fame in Charlotte, where retired Carolina Panthers player Greg Olsen placed a ceremonial first online bet. “The way the sports calendar works here, the love for college, the love for NASCAR specifically and obviously the other major sports, has made this a key state for us.” The North Carolina State Lottery Commission, directed in the June 2023 law authorizing the games to license operators and set rules, announced several weeks ago that wagering on mobile devices and computers would begin at noon Monday. The start date — on the eve of the popular Atlantic Coast Conference men’s basketball tournament — was not lost on sports enthusiasts. Gov. Roy Cooper, who signed the sports betting bill approved by the General Assembly into law and an ardent fan of the NHL’s Carolina Hurricanes, said he placed a bet on the team to win the Stanley Cup later this year. He said any monetary winnings would go to the team’s charitable foundation. “The legalization of sports betting will provide a significant boost to North Carolina’s economy and will allow our thriving sports industry to continue to grow,” Cooper said while releasing a video, pre-filmed before the noon start, of him walking onto the ice at the team’s PNC Arena in Raleigh. The commission announced the eight initial licensees on Feb. 29. The day after, these operators began setting up accounts for players age 21 and over and receiving monetary deposits. That’s prompted an array of television and social media advertising by gambling operators trying to attract customers with financial incentives. In addition to DraftKings, the initial sport wagering licenses went to BETMGM and Underdog Sports Wagering; companies doing business as FanDuel Sportsbook, Fanatics Sportsbook, bet365 and ESPN BET; and Caesars Sportsbook, which is associated with the Eastern Band of Cherokee Indians and already operates in-person sports gambling at the tribe’s two casinos in western North Carolina. All eight operators were running Monday, the lottery commission said. A late adjustment to the 2023 law said that most interactive wagering company applicants had to enter an agreement with an in-state professional team, or certain pro golf or automobile racing venues or governing bodies, to obtain a license. For example, DraftKings has an agreement with NASCAR, while Fanatics Sportsbook is associated with the Hurricanes. The law also authorizes in-person betting at future sportsbooks that would have to be located at or near certain large sports or racing venues. The commission has said those will open on a case-by-case basis as operators meet requirements. Provisions in the law for the commission to regulate betting on horse races and to set rules for live horse racing also will be implemented in the future. The legislation will tax sports wagering at a rate equal to 18% of gross betting revenue minus distributed winnings. The revenues could exceed $100 million annually within five years, according to a legislative branch analysis. The government’s share will go in part to athletic departments at 13 University of North Carolina system schools, amateur and youth sporting events and gambling addiction education and treatment programs. Some licensees have talked up the “responsible gaming” features on their betting apps. ___ Robertson reported from Raleigh, North Carolina.
The French government says it’s being targeted by unusual intense cyberattacks 2024-03-11 18:49:56+00:00 - PARIS (AP) — The French government said Monday that several of its services have been targeted by cyberattacks of “unprecedented intensity,” and a special crisis center was activated to restore online services. Prime Minister Gabriel Attal’s office said in a statement that the attacks started Sunday night and hit multiple government ministries, without providing details. By Monday afternoon, it said, “the impact of the attacks has been reduced for most services and access to government sites restored.” A group of hackers called Anonymous Sudan, which is considered by cybersecurity experts as pro-Russia, claimed responsibility for the attacks in online posts. The French prime minister’s office and digital safety agency wouldn’t comment on the claim, or provide details of what was targeted or what damage might have been caused. A French official said they were denial-of-service attacks, a common type of cyberattack that involves flooding a site with data in order to overwhelm it and knock it offline. France’s government has made a push to improve cyber defenses before the Paris Olympics this summer and after damaging ransomware attacks in recent years, including on hospitals in 2021. The French government has accused Russia of operating a long-running online manipulation campaign against Ukraine’s Western backers, including by mirroring the French Foreign Ministry website among other methods. President Emmanuel Macron has taken an increasingly tough line against Moscow and the war that Russian President Vladimir Putin started in Ukraine.
Biden releases 2025 budget proposal, laying out vision for second term 2024-03-11 17:45:00+00:00 - Washington — President Biden on Monday released a budget proposal aimed at getting voters' attention: It would offer tax breaks for families, lower health care costs, smaller deficits and higher taxes on the wealthy and corporations. Unlikely to pass the House and the Senate to become law, the proposal for fiscal 2025 is an election year blueprint about what the future could hold if Mr. Biden and enough of his fellow Democrats win in November. The president and his aides previewed parts of his budget going into last week's State of the Union address, and they provided the fine print on Monday. If the Biden budget became law, deficits could be pruned $3 trillion over a decade. It would raise tax revenues by a total of $4.9 trillion over that period and use roughly $1.9 trillion to fund various programs, with the rest going to deficit reduction. Biden aides said their budget was realistic and detailed while rival measures from Republicans were not financially viable. "Congressional Republicans don't tell you what they cut, who they harm," White House budget director Shalanda Young said. "The president is transparent, details every way he shows he values the America people." What's in Biden's budget Parents could get an increased child tax credit in 2025, as payments would return briefly to the 2021 level funded by Mr. Biden's coronavirus pandemic relief package. Homebuyers could get a tax credit worth up to $10,000 in down payment aid for first-time buyers. Corporate taxes would jump upward, while billionaires would be charged a minimum tax of 25%. Mr. Biden said in his State of the Union that Medicare should have the ability to negotiate prices on 500 prescription drugs, which could save $200 billion over 10 years. Aides said his budget does not specify how many drug prices would be subject to negotiations. The president is traveling Monday to Manchester, New Hampshire, where he'll call on Congress to apply his $2,000 cap on drug costs and $35 insulin to everyone, not just people who have Medicare. He'll also seek to make permanent some protections in the Affordable Care Act that are set to expire next year. President Biden delivers remarks at the National League of Cities conference in Washington, D.C., on March 11, 2024. JIM WATSON/AFP via Getty Images The proposal would provide about $900 billion for defense in fiscal year 2025, about $16 billion more than the baseline. The Biden administration is still seeking money to help Ukraine defend itself against Russia and aid for Israel. His budget plan reiterates the supplemental funding request made last October for Ukraine, Israel and humanitarian relief for Palestinians. It's also requesting funding to expand personnel and resources at the U.S. southern border. Still, military spending over 10 years would fall by $146 billion to $9.57 trillion. One key theme in the budget plan is an effort to help families afford their basic needs, as the impact of inflation hitting a four-decade high in 2022 continues to leave many voters feeling as though they're worse off under Mr. Biden. The budget proposal includes $258 billion to help build or preserve 2 million homes, helping to address a national shortage that has kept housing prices high. Parents making under $200,000 annually would have access to child care, with most eligible families paying no more than $10 a day. It would eliminate origination fees on government student loans, possibly saving borrowers $1,000 over the life of the debt. It also includes $12 billion to help universities develop strategies for reducing their costs. All of this is a chance for Mr. Biden to try to define the race on his preferred terms, just as the all-but-certain Republican nominee, Donald Trump, wants to rally voters around his agenda. "A fair tax code is how we invest in things that make this country great: health care, education, defense and so much more," Mr. Biden said at last Thursday's State of the Union address, adding that his predecessor enacted a $2 trillion tax cut in 2017 that disproportionately benefited the top 1% of earners. Trump, for his part, would like to increase tariffs and pump out gushers of oil. He called for a "second phase" of tax cuts as parts of his 2017 overhaul of the income tax code would expire after 2025. The Republican has also said he would slash government regulations. He has also pledged to pay down the national debt, though it's unclear how without him detailing severe spending cuts. "We're going to do things that nobody thought was possible," Trump said after his wins in last week's Super Tuesday nomination contests. House Republicans on Thursday voted their own budget resolution for the next fiscal year out of committee, saying it would trim deficits by $14 trillion over 10 years. But their measure would depend on rosy economic forecasts and sharp spending cuts, reducing $8.7 trillion in Medicare and Medicaid expenditures. Mr. Biden has pledged to stop any cuts to Medicare. "The House's budget blueprint reflects the values of hard-working Americans who know that in tough economic times, you don't spend what you don't have — our federal government must do the same," House Speaker Mike Johnson of Louisiana said in a statement. Meanwhile, Congress is still working on a budget for the current fiscal year. On Saturday, Mr. Biden signed into law a $460 billion package to avoid a shutdown of several federal agencies, but lawmakers are only about halfway through addressing spending for this fiscal year.
House Republicans release report seeking to undermine Jan. 6 Committee and star witness 2024-03-11 17:45:00+00:00 - WASHINGTON — A House committee investigating the special Jan. 6 committee released a sweeping report Monday that Republicans say demonstrates key witness Cassidy Hutchinson’s dramatic account of former President Donald Trump's actions that day was not corroborated by four other White House employees. “None of the White House Employees corroborated Hutchinson’s sensational story about President Trump lunging for the steering wheel of the Beast. However, some witnesses did describe the President’s mood after the speech at the Ellipse,” states the 81-page report by the House Administration Committee’s oversight subcommittee led by Rep. Barry Loudermilk, R-Ga., a section of which was obtained by NBC News in advance of its release. Hutchinson testified under oath, privately and publicly before the Jan. 6 panel, that she had heard that Trump had lunged at the steering wheel of the presidential SUV and got into a physical altercation with his lead Secret Service agent after the president was told he could not go to the Capitol to join his supporters after speaking at a rally on the Ellipse on Jan. 6. While the new GOP report says one White House employee described Trump's mood after the speech as "irate," Republicans argue that "it is highly improbable that the other White House Employees would have heard about the President’s mood in the SUV following his speech at the Ellipse but not heard the sensational story that Hutchinson claims [Tony] Ornato told her after returning to the White House on January 6." Since taking back the majority last year, House Republicans have been eager to relitigate the investigation and findings of the Jan. 6 committee as Trump seeks to win back the White House in November. One of the GOP's top priorities has been to discredit Hutchison, who was serving as a top aide to then-White House chief of staff Mark Meadows in the final days of the Trump administration. She was the star witness for the select House committee that investigated Trump’s efforts to overturn the 2020 election and block Congress from certifying the results on Jan. 6, 2021 — actions the bipartisan panel said led to the deadly attack on the Capitol. Trump is not only facing a likely rematch with President Joe Biden this year; he's also facing multiple federal felony charges for his role in Jan. 6. Hutchinson has also written about these events in her book. Asked for comment Monday, Hutchinson's attorney, William H. Jordan, referred NBC News to a January letter he sent to Loudermilk stating that his client has been truthful. "Let me be clear: since Ms. Hutchinson changed counsel, she has and will continue to tell the truth. While other individuals — often men who occupied more senior roles — would not speak with the Select Committee, Ms. Hutchinson and many other witnesses courageously stepped forward. Yet she now finds herself being questioned by you and your Subcommittee regarding her testimony and on matters that may also be the subject of ongoing criminal proceedings against Mr. Trump," Jordan wrote to Loudermilk. "Ms. Hutchinson will not succumb to a pressure campaign from those who seek to silence her and influence her testimony, even when done in the name of 'oversight,'" he continued. Members of the Jan. 6 committee — led by then-Chairman Bennie Thompson, D-Miss., and then-Vice Chair Liz Cheney, R-Wyo. — have argued that Trump's push to subvert the results of the 2020 election and remain in power shows that he's a threat to democracy and the peaceful transfer of power. In a statement Monday, Thompson condemned the GOP report, saying “Mr. Loudermilk’s latest attack on the Select Committee’s work is dishonest." The Jan. 6 panel's final report considered the testimony of all witnesses, Thompson said. "All the evidence points to the same conclusion: Donald Trump wanted to join his violent mob as it marched on the Capitol and he was irate when his security detail told him he couldn’t go," Thompson said. “Loudermilk is merely trying to deflect from Donald Trump’s responsibility for the violence of January 6th and his own refusal to answer the Select Committee’s questions," he continued. But Loudermilk and other Republican allies have argued that the Jan. 6 panel, launched by then-Speaker Nancy Pelosi, played up Hutchinson's testimony damaging to Trump and minimized or ignored testimony from other witnesses who didn't corroborate her account. According to transcripts of Jan. 6 committee interviews newly obtained by House Republicans, an unidentified witness known as “White House Employee Three” testified that Ornato, then-Trump's deputy chief of staff, had said that Trump was “irate” on the drive back to the White House that day. But Loudermilk’s report says Employee Three “never testifies that President Trump lunged, grabbed, or made any aggressive movements as claimed by Hutchinson.” Citing the transcripts, Republicans said they also found it peculiar the Secret Service agent driving Trump's SUV was not questioned by the Jan. 6 panel about Hutchinson's testimony until the agent's attorney broached the subject. The driver testified to the Jan. 6 committee "that he specifically refuted the version of events as recounted by Hutchinson," the report states. "The driver of the SUV testified that he 'did not see him reach [redacted]. [President Trump] never grabbed the steering wheel. I didn’t see him, you know, lunge to try to get into the front seat at all.'" Hutchinson also testified to the Jan. 6 panel that Meadows had told her that Trump believed his vice president, Mike Pence, “deserves” to be hanged as the president watched a crowd on TV chant “Hang Mike Pence!” Employee Three, who was with Trump that day, said he did not hear Trump say anything about the chants. Transcripts from these witnesses, some redacted by the White House's request, will be made available to the public. “The content of these witness transcripts makes clear why the Select Committee chose not to release these transcripts despite releasing nearly every other witness transcript,” the Loudermilk report states. “These witnesses directly undermine claims made by Hutchinson and the Select Committee and underscore that the Select Committee only showed the public what it wanted them to see.” In the new report, Republicans also highlight corrections Hutchinson made to her testimony over the course of her various interactions with the Jan. 6 committee. During her first transcribed interview in February 2022, Hutchinson said she did not know whether anyone had told Trump that people in the Ellipse crowd had weapons. She later revised that testimony in September 2022 to say that Trump had been told about the weapons. Administration Committee Republicans also criticize Hutchinson for not testifying in her initial interviews about the alleged incident of Trump lunging for the steering wheel on Jan. 6. “The Select Committee, despite knowing that Hutchinson’s testimony changed substantially over time to be more dramatic, rushed into yet another Hollywood hearing even though they were not able to verify the story,” the report states. Hutchinson's attorney said that she has gone into great detail to explain why she clarified her testimony. She was first represented by Trump-funded counsel and said that she had been pressured to be "loyal" to the "boss" and that Trump received regular reports about her testimony. Her later testimony, which included more details about Trump, came after she hired new attorneys.
Critics call time on 24-hour city claims by London mayor’s office 2024-03-11 17:27:00+00:00 - Anyone who has ever wandered through London after midnight, looking for a place to go once last orders have been called, might find themselves agreeing with recent critics of the mayor’s office for describing the UK capital as a 24-hour city. Michael Kill, head of the Night Time Industries Association, said he was astounded when he heard the mayor’s “night czar”, Amy Lamé, speaking on BBC Politics London, where she made the remarks. In a tweet sharing the clip in early March, the mayor, Sadiq Khan, said: “London is leading the world in its 24-hour policy with other global cities looking to us for inspiration.” Kill said he could not understand the basis for the comments, adding that there was a “real disparity with the narrative presented and the PR position … and the reality what is going on within the city”. He added that London had lost a huge amount of nightlife, with 1,100 bars and clubs shutting in just three years. The capital lost 46 pubs in the first six months of 2023, according to data from real estate analysts Altus Group. People took to social media to express their frustration under #LameLondon on X. Images showed empty streets at night, half-full bars, and signage saying “no drinks outside after 9.30 pm”. London nightlife is practically nonexistent. We are a country of busybodies, killjoys and curtain twitchers. #lamelondon pic.twitter.com/oe9oq514E2 — 🥑🗽🏗🏘️ Na₂Ca(CO₃)₂•5H₂O (@Gaylussite) March 5, 2024 Soho, kingly street at midnight last night. Literally the most central part of London on a THURSDAY eve pic.twitter.com/asWa0l4VhB — J (@JMMMMA97) March 3, 2023 It comes in stark contrast to Spain, where a debate over the country’s vibrant nightlife – and the long working hours needed to sustain it – was thrust into the spotlight this week when leftwing labour minister, Yolanda Díaz, said their late-night restaurant culture was out of step with the rest of Europe. “A country that has its restaurants open at 1 o’clock in the morning is not reasonable,” she said. “It is madness to continue extending opening hours until who knows what time.” In 2005, the UK had more than 3,000 nightclubs, but by June 2023 there were only 851 remaining. Research from CGA, a market research consultancy, showed that between March 2020 and June 2023, the number of UK nightclubs fell by 30%. Kill said the market had changed but the desire to go out was still there. “After 11 or past midnight, it is hard to get a drink and that is linked to the challenges around infrastructure which is not committed to a 24-hour economy. “Let me give you an example: if you cannot get home after midnight or cannot get a cab, or there are not enough places open and people around to socialise … You need the right infrastructure in place for the market to go later and longer and at the moment there is not that commitment.” He added that London had never been a 24-hour economy. “When 24-hour licensing came out people were hyped about that but the number of premises granted a licence is limited. There are restrictions on who can operate 24 hours.” Last May a heated debate grew over Greggs’ right to trade into the early hours in central London, amid warnings it could cause a wave of crime and disorder. The resolution was that Greggs was allowed to open its Leicester Square flagship store until 2am from Thursday to Saturday and until midnight through the rest of the week, after Westminster council allowed it to sell hot drinks, such as tea and coffee, as well as some food items after an 11pm curfew. Greggs said it had cancelled a three-day appeal hearing after reaching the agreement – although it falls short of its hopes of 24-hour trading. The store was also not allowed to sell food heated above ambient temperature, including potato wedges and chicken goujons, past 11pm. Data from the Home Office shows that the number of pubs, bars, and nightclubs with a 24-hour licence between 2012 and 2022 increased from 81 to 183. Figures from UKHospitality and CGA show that London’s hospitality industry revenue grew to £46bn last year, up from £43bn in 2019, and sales outpaced the rest of the UK, growing on average 7.7% a month, compared to 5.6% nationally. But Kill says “businesses are struggling” and that the numbers do not account for “inflation”. He added: “It sounds like London is doing well but businesses are not saying that is the case. They are saying the cost of operating is one of their biggest challenges. They are filling venues and still not covering costs.” A spokesperson for the mayor of London, said: “The night-time industries across the country have faced huge challenges in recent years, due to the ongoing impact of the pandemic, rising rents and business rates, staffing shortages due to Brexit, and the government’s cost of living and cost of doing business crisis. “The mayor and night czar continue to work closely with businesses, venues, boroughs and Londoners to support them throughout these challenges and last year London’s hospitality industry sales outpaced the rest of the UK. They know challenges remain and will continue to do all they can to protect and support venues across the capital and help new ones to open.”
Retiring in America increasingly means working into old age, new book finds 2024-03-11 17:07:00+00:00 - What’s the magic number for retiring? What’s the magic number for retiring? 03:46 Retirement in America increasingly means working into old age, with most seniors unable to support themselves on Social Security and savings alone, according to noted retirement expert Teresa Ghilarducci. The reason: The nation's retirement system has left behind the bottom 90% of workers, Ghilarducci told CBS MoneyWatch in discussing her new book, "Work, Retire, Repeat: The Uncertainty of Retirement in the New Economy." Ghilarducci, a labor economist and a professor at The New School for Social Research in New York, also said the nation needs a "bold plan," which she calls the "Gray New Deal" after the Depression-era New Deal, to shore up retirement for millions of Americans. Ghilarducci's research shows that only 10% of Americans between the ages of 62 and 70 are both retired and financially stable. The majority of older Americans are either retired, but living below the standard of living they enjoyed while working, or still working because they can't afford to stop, she found in analyzing data from the University of Michigan's Health and Retirement Survey. 30% of Americans lack any retirement savings That's perhaps no surprise given the sobering reality of retirement savings in the U.S.: About 3 in 10 Americans who are 59 or older do not have any money put away for retirement. At the same time, some policy experts and lawmakers point to a decades-long improvement in life expectancy as a solution to Americans' lack of retirement readiness. Because people are living longer, they argue, they should extend their working lives into old age. Republican lawmakers have proposed raising the retirement age for claiming Social Security to 70, up from about 67 now, citing longer lifespans. And there's also a growing belief among younger workers that they'll be able to work into their late 60s or even longer, even though the average retirement age is 62, with many older people leaving the workforce unwillingly, typically because they were fired or encountered health issues. "We found that most people who are retired didn't retire when they wanted to, but because they were forced out," Ghilarducci said. "Even though we have this idea that people could just decide to work a little bit longer, it probably isn't their choice." In other words, you can plan to work longer, but life might have other plans for you. CBS MoneyWatch spoke with with Ghilarducci about her new book. It has been edited for length and clarity. Why is this book needed at this moment? Teresa Ghilarducci: The problem of American workers not having enough money in retirement has not gone away, and in some prospects it has gotten worse because of the growing increase in U.S. wealth inequality. A fake solution to the problem was emerging and getting stronger and had support in cocktail parties, in academia and in the halls of Congress. That solution was that we could solve the retirement crisis by people just working longer. And the reason why it was appealing is because it's pretty cheap — employers like it because more labor supply in the market just means a weaker labor force in terms of bargaining power. And I think individuals like the idea of it — the sound of it: "Oh, good. I could just like retire when I want to." What I found is that when people approach retirement age and they don't have enough money, then they do stay in the labor market — but not in their career jobs. They have to go to much lower-paying jobs. And a lot of those jobs actually hasten death, hasten disability, morbidity and pain. And so what we are doing is forcing a group of people to live the end of their lives with more pain and more wear and tear than other people. If lower-income Americans aren't living longer, yet they're also working longer in old age, does that mean their retirements are shorter? We see big gaps with the rich and the poor in terms of who gets to retire. At the lower end, the typical person has 12 years in retirement, and at the higher end the wealthy are retiring for about 20 years. And at the lower end, those retirement years are filled with a lot of need for assistance with daily living, with high levels of morbidity. Whereas the rich not only get to retire for a longer period of time, but they're healthier for a greater share of that time. It's been more than 40 years since the U.S. shifted to 401(k) plans from traditional pensions to fund retirement. How has that gone? Experts 40 years ago put pen to paper and said, "This is all going to work out because if people start saving when they're 25 and 30 and keep it in the market for the entire time they're working, then they might have enough to supplement Social Security and keep their pre-retirement living standards." But it turns out that people's careers and labor market experiences are not like what you see on an Excel spreadsheet. Most people suffer through two or three recessions, and at least one of those could affect you. If you've had a life event, like you've had to move or you've had a divorce, or you've had to draw down your 401(k) for whatever life's emergencies offer up, then that spreadsheet projection falls apart. The 401(k) system was too flimsy. It was a do-it-yourself system where people did not have the right tools to do it. It's sort of like me going to the grocery store and getting what I need to fix my plumbing, What has happened is that most of us are coming into retirement without enough money, and we have no way to make it last a lifetime. Are there certain types of workers who have effectively been left out of the retirement system? The design of the system creates more wealth inequality because it leaves out people without college educations; it leaves out people who are lower middle class and lower income. It leaves out people in whole industries. A lot more workers are working on a contingent basis, so it leaves out people who don't have traditional employer relationships. The tax code and the design of the 401(k) has left behind basically the bottom 90% of the labor force. You note that there's a belief people retire first and then claim Social Security, but you found that's not the case. What's happening? One of the key assumptions behind the working-longer hypothesis is that you'll delay claiming your Social Security benefit, which gives you a huge benefit for claiming later. And to my shock, when I looked at the data I saw that most low-income workers collected their Social Security as soon as they could. And they did that to boost their monthly income from work. They stayed above the poverty line, but it also helped their employers because the employers of low-wage, older workers know that the Social Security system will come in and supplement what they don't pay their workers. It's very perverse. It means this ability to delay claiming is really a benefit that falls to the wealthy, who can afford to delay claiming. Tell me about what you call the Gray New Deal. The name of the Gray New Deal emphasizes that the real solution has to be bold, just like the New Deal was bold. We have to support workers — older people who want to work as well as ensure against poverty in old age and make sure that people can maintain their living standards. One goal of the Gray New Deal is to make sure that a middle-class worker can remain a middle-class retiree. It gets people into an universal pension system into saving for retirement at the beginning of their careers — that principle is embodied in current legislation called the Retirement Security Act for all Americans. It's more money into the individual, private system, and more money into Social Security and then support for people who want to work, such as enforcing laws against age discrimination and more training for older workers. What grade would you give the American retirement system overall? I give a D, because it's so inadequate for so many people and it's so unfair. It doesn't get an F because the top 10% of the labor force has done just fine.
Biden Calls for Higher Taxes on Corporations and the Wealthy 2024-03-11 16:59:48+00:00 - The budget that President Biden released on Monday projects to cut deficits by $3 trillion over a decade, and it does so with an approach that has become familiar: tax increases for companies and the wealthy. The president previewed several of the proposals in his State of the Union speech last week and contrasted them with those of Republicans, who have called for extending most of the $2 trillion of tax cuts that former President Donald J. Trump signed into law in 2017. For Mr. Biden, tax policy has been at the center of his efforts to make the economy more equitable and to counter Republican tax proposals that Democrats deride as giveaways to the wealthy. “Does anybody here think the tax code’s fair?” Mr. Biden said during remarks in New Hampshire on Monday. “I don't either.”
Trump asks judge to delay New York criminal trial until Supreme Court rules on presidential immunity 2024-03-11 16:59:00+00:00 - Former President Donald Trump’s attorneys are asking the judge presiding over his impending criminal trial in New York to delay the trial until after the U.S. Supreme Court issues its ruling on the scope of presidential immunity. If granted, the 11th hour long-shot bid would delay the trial, which is scheduled to start March 25, by several weeks, if not months. Trump is charged with 34 counts of falsifying business records tied to a hush money payment to an adult film star toward the end of his 2016 campaign. While actress Stormy Daniels received the money from Trump's attorney Michael Cohen before Trump became president, Trump's payments to Cohen — and the allegedly falsified business records — came after he was in the White House. Trump's filing contends that he's immune from state prosecution based on "official acts," and that some of the evidence against him should be kept out of trial because they were official acts — including his tweets and public comments. It says prosecutors from Manhattan District Attorney Alvin Bragg's office want "to offer evidence at trial concerning a fictitious so-called 'pressure campaign' by President Trump in 2018 relating to Michael Cohen." Part of that evidence, the filing said, is his public statements and tweets about Cohen. Those remarks "fell within the outer perimeter of his Presidential duty, to which communicating with the public on matters of public concern was central,” it contends. Trump's lawyers also appeared to argue there's some sort of blurred line as to whether the business records Trump signed off on relating to the payments were an official act. They said that "while it is clear that the People intend to offer documents and testimony relating to the period in 2017 when President Trump was in office, they have not provided sufficiently specific notice of the nature and extent of that evidence to allow President Trump or the Court to distinguish between personal and official acts." His lawyers said Judge Juan Merchan should delay the trial until after the Supreme Court issues its ruling on the scope of presidential immunity in the federal election interference case against the former president. The high court is scheduled to hear arguments in that case on April 25. Trump tried making a similar immunity argument in the case last year when he was trying to get the matter moved to federal court, and it was firmly rejected by U.S. District Judge Alvin Hellerstein. “The evidence overwhelmingly suggests that the matter was a purely a personal item of the President — a cover-up of an embarrassing event. Hush money paid to an adult film star is not related to a President’s official acts,” Hellerstein wrote in his ruling. “Falsifying business records to hide such reimbursement, and to transform the reimbursement into a business expense for Trump and income to Cohen, likewise does not relate to a presidential duty,” he added. Trump appealed that ruling but later dropped it, making it likely the DA's office will contend the matter has already been decided and that Trump waived his right to challenge it. In a separate filing Monday, Trump asked the judge presiding over the classified documents case in Florida to extend some filing deadlines for him, in part because of the impending New York trial. The filing did not mention that Trump was seeking to have the trial delayed.
Unbearably Good Investment: A Build-A-Bear Stock Analysis 2024-03-11 16:55:00+00:00 - Key Points Build-A-Bear is growing at record levels and widening margin; capital returns have started to flow. Analysts have become interested in this stock and see it advancing at least 50%. A move to new highs would be pivotal for this market and may lead to a multi-year rally and price-multiple expansion. 5 stocks we like better than Build-A-Bear Workshop Build-A-Bear Workshop NYSE: BBW is an iconic brand with enduring products that resonate with consumers - if you are looking for a comprehensive guide to Build-A-Bear stock, where it’s been and where it’s going, this is it. This article takes you on a journey that begins with the company’s founding, its rise to fame, and IPO and ends with the business and stock price outlook. By the end, it should be clear this company specializes in bears but is building a bull market for investors. The only questions are how high the stock can get and how long it will take the market to get there. Get Build-A-Bear Workshop alerts: Sign Up Build-A-Bear: A Furry Revolution in Retail and Stock Analysis Build-A-Bear Workshop was founded on a dream. Maxine Clark, formerly president of Payless ShoeSource, quit her job to follow that dream. She founded Build-A-Bear Workshop in 1997 after test marketing her concept. The test included two other concepts presented to children, and Build-A-Bear won. Fortunately, it was an easy decision because Build-A-Bear came with high margins. Those margins helped Ms. Clark expand the business quicker than initially planned. The company had nearly two dozen locations within as many months of operations due to its high-volume, high-margin business. The stores doubled the average sales per square foot for mall-based retailers and attracted investment from private equity firms because of the profits. Along the way, it initiated more than a dozen lawsuits protecting its patents and trademarks, leaving many would-be competitors with no choice but to close. Today, Build-A-Bear Workshop is the market leader in do-it-yourself stuffed animals. It is the largest operator with little to no direct competition. People who want to build a bear must go to Build-A-Bear. Is Build a Bear publicly traded? The IPO came quickly for this company. It was floated on the open market in 2004 with great success only seven years after launch. The initial pricing increased as the IPO approached, and the first trades reached the high end of the range, so it was viewed as a success. Unfortunately, like many others, the IPO priced in numerous years’ worth of growth and the market soon came under pressure. The market for BBW shed more than 95% from high to low, about $34.55, eventually hitting bottom in 2020, nearly two decades after the first trade. Market Performance and Financial Overview: Build-A-Bear Stock Analysis 2018 was a pivotal year for the brand. A botched marketing gimmick turned into a goldmine of public awareness that has sustained growth for the business since. The company offered to let children pay for a bear based on age, attracting so many customers worldwide that it overwhelmed the operation. Unable to fulfill demand, the company provided vouchers to those who waited, helping to alleviate the damage. It took some time for the business to recover, but now it is booming. Can you buy stock in Build a Bear? You can buy stock in Build-A-Bear; the question is, should you? Based on the trends, it looks like a good buy. The company is growing revenue at record levels, expected to accelerate in 2024, and its margins are widening. The operating margin is near 10% at the end of F2023 and more than double its significant toy-making peers, Hasbro NASDAQ: HAS and Mattel NASDAQ: MAT. Growth and leverage provide solid cash flow, as seen in the 2023 results, helping to maintain a healthy balance sheet. Details from 2023 include cash doubling and what was described as “comfortable” inventory levels by execs. Leverage is nearly non-existent. The stock price hit a bottom in 2020, coinciding with the COVID-19-related market sell-off. Already deeply undervalued, the stock has rebounded robustly since then, advancing more than 1700% between 2022 and today. Because the stock is trading at a deep value near 6.5X earnings with solid cash flow and growth in the outlook, it could increase another quadruple amount as the price-to-earnings multiple expands. Hasbro and Mattel trade at more than double the valuation. Strategic Initiatives and Expansion Plans: Impact on Build-A-Bear Stock Price Build-A-Bear strategic plans focus on two avenues: expanded addressable markets and new stores. The store count is forecast to grow by 30 in 2024, raising it by nearly 6% on top of the 6% increase in 2024, and expansion is expected to continue domestically and internationally in 2025. The company is widening its addressable markets by offering new products with a timeless appeal. Products are based on licensing arrangements with significant toy and media brands, designers, and accessory manufacturers in high demand. Among the business's success drivers are the upsell opportunities, which include scents, sounds, clothing, and accessories. Other signs of improved market size are the success of the Axolotl toy among pre-teens and teens, the Bear-lieve Bear, and the line of pet products. The Bear-lieve Bear is an interactive bear that comes to life with touch and voice commands: AI for toy lovers. Pet Products became a thing after the company realized many of its accessory and clothing sales were being used for pets. The pet market is expected to grow at a mid-single-digit CAGR for the next five or more years, so it is a significant source of revenue. Is Build a Bear a buy? Factors influencing Build-A-Bear’s stock price are its balance sheet and capital returns. The balance sheet is a fortress with net cash and low leverage, which provide no red flags for investors and allow sustainable capital returns. The capital return program is robust and includes share repurchases and dividends. Dividends are still erratic, so investors shouldn’t count on the stock for income. It started paying a special dividend in 2021 when cash flow and balance sheet improvements proved sticky, but it hasn’t paid distributions regularly yet. Regular dividend payments could start soon and significantly boost share prices. Repurchases are more regular and reduced the share count by over 2% in 2023. The authorization in place is worth about $25 million to investors in calendar 2024, equal to 2023, and is likely to increase at the end of the year. ESG (Environmental, Social, and Governance) Factors and Corporate Responsibility: Considerations for Build-A-Bear Stock Forecast Build-A-Bear is an average company regarding ESG. Results from various ESG-tracking websites peg the stock as average for the industry, which is slightly above average for the broad market. Areas of concern include safety, fair labor, and equality issues, but not to the extent they impact market sentiment today. Analyst Forecasts and Investment Outlook for Build-A-Bear Stock Build-A-Bear is a deeply undervalued stock trading at only 6.5X its earnings outlook for 2024 with growth, profits, and broader margin in the forecast. That value is amplified by the analyst's sentiment, which has it pegged at Buy and sees the stock advancing by double-digits. Marketbeat is only tracking three analysts with coverage, but their activity is noteworthy because all reports were issued late in 2023 and include two initiated coverages. Jeffries Financial Group and Northland Securities initiated coverage with a consensus Buy/Strong Buy and target near $38 shortly before the Q3 release. What is the target price for Build-a-Bear stock? The price targets for Build-A-Bear are robust and suggest at least a 50% upside for the stock. That aligns with the lowest target issued by analysts, and the highest adds another 1000 basis points. Because the company has begun to attract new coverage, more analysts may initiate and issue revisions as the year progresses. The analysts' price targets are significant because the low-end aligns with the all-time highs; the consensus and high-end would be fresh all-time highs. Moving above the low end at $36 would indicate a pivot in the market that could lead it much higher than the current high target. Basis technical targets include robust projections based on the rally's magnitude and range preceding the breakout. The move is worth about $34.50, putting a target of $70.50 in place. The move is also worth 2300%, setting a high-end target of $864. As unlikely as $864 sounds, the combination of growth, widening margin, cash flow, dividends and share repurchases would get it there over time. Before you consider Build-A-Bear Workshop, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Build-A-Bear Workshop wasn't on the list. While Build-A-Bear Workshop currently has a "Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Housing Secretary Fudge resigning. Biden hails her dedication to boosting supply of affordable homes 2024-03-11 16:54:07+00:00 - WASHINGTON (AP) — Housing and Urban Development Secretary Marcia Fudge announced Monday that she would resign her post, effective March 22, saying she was leaving “with mixed emotions.” A former mayor of Warrensville Heights, Ohio, and later an Ohio representative in Congress, Fudge, 71, served as HUD secretary since the start of President Joe Biden’s administration. “As a dedicated public servant for nearly five decades, I have been devoted to improving the quality of life for the people of this nation, focusing on those with the greatest need,” Fudge said in a statement. “Having worked at every level of government ... I have worked tirelessly to ensure that America lives up to its promise of liberty and justice for all.” Fudge’s statement did not indicate a reason she was resigning now, saying only that she planned to “transition to life as a private citizen.” The White House, in a statement, hailed Fudge’s dedication to increasing the supply of affordable housing and protect the housing needs of some of the country’s most vulnerable residents. “From her time as a mayor, to her years as a fierce advocate in the U.S. House of Representatives, Marcia’s vision, passion, and focus on increasing economic opportunity have been assets to our country,” said Biden, a Democrat. “I’m grateful for all of her contributions toward a housing system that works for all Americans, and I wish her well in her next chapter.” Since taking over at HUD, Fudge has focused much of her efforts on addressing homelessness and making housing more affordable – problems that worsened during and after the coronavirus pandemic. Last year, HUD announced a series of measures aimed at reducing barriers to affordable housing, such as zoning restrictions that in some places have become a hurdle to increasing the supply of affordable housing. Fudge has touted the fact that her agency extended rental assistance to 100,000 additional families. HUD also has built and repaired more than a half million units of affordable housing, issued more new rental assistance vouchers in the last three years than have been issued in same period over the past two decades and housed more than 1.2 million people experiencing homelessness. White House principal deputy press secretary Olivia Dalton said Biden “certainly will nominate a replacement” for Fudge, but she offered no timeline for the process. For now, Deputy Secretary Adrianne Todman will serve as acting HUD secretary when Fudge departs, the White House said. Under Fudge, HUD “worked closely with partners at the federal, state and local levels to increase the housing supply, particularly the supply of affordable homes, while allocating historic resources to address homelessness,” Dalton said. ”And with Secretary Fudge at the helm, HUD strictly enforced fair housing laws and took a stance against racial bias and discrimination in the appraisal market.” David M. Dworkin, president of the National Housing Conference, said in a statement that Fudge’s tenure at HUD had “surpassed all expectations,” and he praised her for helping Americans navigate the economic ravages of the coronavirus pandemic while prioritizing affordable housing policies. Dworkin called Fudge a steadfast advocate for equitable housing policies, saying she championed initiatives aimed at “alleviating homelessness, expanding access to affordable housing, and fostering sustainable communities.” ___ Associated Press writers Michael Casey in Boston and Fatima Hussein on Air Force One contributed to this report.
Reddit IPO to raise nearly $750 million and will offer shares to Redditors. Here's how it will work. 2024-03-11 16:45:00+00:00 - Reddit said its initial public offering could raise about $748 million, and that it also plans to offer shares to the social media company's users and moderators as a way to allow them to participate in the stock sale. In a regulatory filing on Monday, Reddit said it will sell about 15.3 million shares priced about $31 to $34 each. Additional, its investors will sell another 6.7 million shares. Together, the stock sales would be worth about $748 million, with Reddit raising about $519 million for the company through the IPO. Based on its total number of shares outstanding, the transaction would value Reddit at $5.4 billion. Reddit's IPO, while typical for a tech company seeking to raise more money to fuel its expansion, is unusual in that it's setting aside a significant number of shares to offer its own users. In the company's filing, CEO Steve Huffman noted that the service was built on the efforts of its community, such as moderators and users, and that Reddit wants them to be able to participate in publicly owning the business. "We hope going public will provide meaningful benefits to our community as well. Our users have a deep sense of ownership over the communities they create on Reddit," Huffman wrote in a letter published in the filing. He added, "We want this sense of ownership to be reflected in real ownership — for our users to be our owners. Becoming a public company makes this possible. With this in mind, we are excited to invite the users and moderators who have contributed to Reddit to buy shares in our IPO, alongside our investors." Here's what to know about Reddit's IPO Why is Reddit going public? Reddit said it's going public to fund its operations and potentially to expand, noting in the filing that it could use the proceeds for "strategic opportunities," although for now the platform is not planning any investments or acquisitions. Why is Reddit offering shares to "Redditors"? Reddit said it is reserving 1.76 million shares, or 8% of the stock it's selling in the IPO, to its Redditors, which is what it calls its users. The shares will be sold to Redditors, according to the filing. That's unusual because companies going public typically reserve their IPO shares for big institutional investors, such as investment firms and banks. It's very unusual for a company's users to be included in a public stock sale. Which Redditors will be offered shares in the IPO? Only certain Redditors will be given a chance to buy stock in the IPO, according to the filing. The company said it will invite some users and moderators to participate in the IPO in "six phased priority tiers." Users will be invited based on their "karma," which is their reputation score on the site. Moderators will be measured by their moderator actions, the filing said. "If demand for the directed share program in an earlier tier exceeds capacity, eligible users and moderators will have the option to join a waitlist," Reddit said. "An invitation to participate in the directed share program does not guarantee that the participant will receive an allocation of shares." Additionally, users and moderators must have created an account before January 1, 2024, and reside in the U.S. and be at least 18 years old, the filing said. Current or former Reddit employees are excluded from the offer, it added.
British hedge fund trader goes on trial in Denmark accused of £1bn fraud 2024-03-11 16:24:00+00:00 - A British hedge fund trader accused of defrauding Danish tax authorities in a billion-pound scam has gone on trial in Copenhagen, with the government hoping to recover the money in the blockbuster case. Sanjay Shah, who was arrested in June 2022 in Dubai where he was living, is accused of running a 9bn krone (£1.03bn) scam that enabled companies he controlled to fraudulently claim Danish tax refunds between 2012 and 2015. The 53-year-old pleaded not guilty on Monday and said he had not violated Danish law. Shah could face up to 12 years in prison if the Glostrup district court in Copenhagen finds him guilty. The United Arab Emirates extradited Shah in December after lengthy negotiations, having signed an extradition treaty with Denmark in March 2022. The prosecution claimed Shah “used a well-designed and organised fraud scheme to submit more than 3,000 applications to unlawfully receive more than 9bn kroner in dividend tax refunds from the treasury”. In practice, according to the prosecution’s case, foreign firms controlled by Shah pretended to own shares in Danish companies and fraudulently claimed dividend tax refunds. The prosecution said it hoped to recover 7.2bn kroner illegally acquired by Shah. Describing the complexity of the case, the prosecutor Marie Tullin told the court it involved more than 300,000 documents. “It’s not a secret to anyone that there are a lot of attachments,” she said. Danish media have portrayed Shah as a man who flaunted his flashy lifestyle while also raising money through charity concerts for an organisation he founded called Autism Rocks. Shah’s former assistant Anthony Mark Patterson recently decided to plead guilty to being an accomplice. On 1 March, the Briton was sentenced to eight years in prison. The court may call him as a witness in Shah’s case. During his trial, Patterson said he was “thrown into deep water” as soon as he was recruited to Solo Capital, the investment fund that Shah founded in 2013 and headed. “By the autumn, when I fully understood the internal work processes, I became aware of the trading patterns when we had to plan the trades for 2014,” Patterson told the court. He expressed his “regret at having taken part” in the scheme. Shah’s lawyer Kåre Pihlmann told Agence France-Presse his client was concerned about getting a fair trial in Denmark. “Denmark has very, very good judges. Independent, professional. That’s not the problem,” Pihlmann said. “The problem is that some government representatives, in particular cabinet ministers, have over the years made comments about the case giving the impression that he is guilty of fraud. That is a possible violation of the presumption of innocence.” In January 2021 when the indictment was announced, the prosecution said it had managed to seize 3bn kroner, or about a third of the total. “Generally … it is very difficult or almost impossible to get the money back. And as a rule, all seized assets must be shared with the country that carried out the actual seizure,” Per Fiig, another prosecutor, said in a statement at the time. In May 2023, a Dubai court ordered Shah to pay Denmark’s tax authority more than $1.2bn (£940m). Another trial is under way in Britain. So-called “cum-ex” and “cum-cum” scams, which take advantage of a loophole in European tax laws, have been uncovered in several EU countries. According to Bloomberg estimates, the scams have cost European taxpayers up to €150bn (£128bn).
The Body Shop shuts down in the U.S. after filing for bankruptcy 2024-03-11 16:15:00+00:00 - The Body Shop is shutting down its U.S. operations after filing for bankruptcy. The U.K.-based chain filed for Chapter 7 liquidation in New York last week, according to a court filing. The filing means the company's U.S. operation will sell off certain assets to pay back its creditors. Earlier this month, the beauty store confirmed it had filed for restructuring in its home country, the United Kingdom, as well as in Canada. While some stores in those countries will remain open, the chain indicated it was shuttering its remaining U.S. locations. A Body Shop spokesperson did not immediately respond to a request for comment. According to The Guardian, some 50 locations in the U.S. were operational at the time of the bankruptcy filing. Launched in 1976 in Brighton, U.K., by entrepreneur and rights activist Anita Roddick (using the name of an earlier store founded in Berkeley, California), Body Shop was acquired for the equivalent of $1.3 billion in 2006 by beauty giant L'Oréal. It subsequently changed hands again before being acquired by a private equity group in December for approximately $250 million. But the company collapsed in February, with administrators citing mismanagement and a challenging retail landscape. “The Body Shop has faced an extended period of financial challenges under past owners, coinciding with a difficult trading environment for the wider retail sector,” the administrators said in a statement according to Reuters.
Is Labour about to prune its plan to boost workers’ rights? 2024-03-11 16:02:00+00:00 - In his pre-election budget last Wednesday, Jeremy Hunt rehearsed a new attack line against Labour, alongside familiar arguments on tax and spend: Keir Starmer’s party would, the chancellor said, “destroy jobs”. Remarks fed to newspapers in advance of Hunt’s moment in the spotlight talked of the “70 new burdens on employers” that Labour would impose. It was a sign that the Conservatives hope to turn Labour’s plans for increasing workers’ rights – championed by the deputy leader Angela Rayner – into a problem for the party, potentially stoking internal pressure for the proposals to be watered down. Rayner toured Scottish constituencies over a weekend last month, as part of a UK-wide push to put workers’ rights front and centre of Labour’s pitch for the general election. Candidates and campaigners in seats across the country turned out, brandishing placards highlighting the “New Deal for Working People”. But some of the policies behind the promise to “make Britain work for working people” are starting to draw the fire of business leaders. And after the drastic pruning of Labour’s £28bn green prosperity pledge, some activists fret that workers’ rights could be the next area to be pared back, as the party prepares for what is expected to be a brutal election campaign. With Labour’s consistent poll lead making a Starmer premiership look highly probable, business groups are increasingly focused on the detail of the party’s policies. The workers’ rights plan, hammered out with Labour’s trade union backers, includes a ban on zero-hours contracts, a new system of pay bargaining in social care, employment rights from the first day of a job and an end to “hire and fire”. Alex Hall-Chen, a principal policy adviser for employment at the bosses’ lobby group the Institute of Directors (IoD), says parts of it will be welcomed by many businesses. However, she has concerns, particularly about the ban on zero-hours contracts. “This is not us saying there’s no need for reform: I think everybody recognises that there are issues with the system. But a lot of our members would say there can be a really valid role for zero-hours contracts, not just for the employer but for the employee,” says Hall-Chen. The president of the Confederation of British Industry business lobby group has also spoken out. Rupert Soames is urging Labour to avoid what he calls a “European model” of labour market laws – which, he argues, make firms reluctant to take on workers because it is harder to lay them off. “The UK has basically been a jobs factory,” says Soames. “In France … people will spend £100,000 without blinking on some new software if it means they can employ two less people, because once you’ve got people it’s really difficult to get rid of them. “Do we want to have an economy where businesses are keen to employ people because it’s easy or do we want to have one where actually stable employment conditions mean more to people?” Hannah Peaker, the director of policy at the New Economics Foundation, a leftwing thinktank, says: “The new deal for working people has been under attack for quite a long time now. The parts that businesses were most concerned about – you’ve already seen some watering down there.” She pointed to the shift from promising a “single status” of worker when the new deal for working people was first announced in 2021, to merely offering a consultation on moving towards the idea. This policy is aimed at tackling the fact that under UK employment law there is a category of “worker” introduced in the mid-1990s that does not confer the full rights of an “employee”. Unions argue that, alongside the existence of zero-hours contracts, this has contributed to the emergence of millions of low-paid, precarious jobs. Introducing a “single status” would see the “worker” category disappear, and anyone habitually working for the same employer given full rights, including sick pay and pensions auto-enrolment, for example. Such a policy would be likely to be highly contentious with some gig economy employers. The leader of the Unite union, Sharon Graham, has pointed to other areas where she claims the new deal for working people has been diluted – complaining that Labour is now promising to stop “exploitative” zero-hours contracts, for example, reading this as a signal that the party is backing away from an outright ban. However, Labour insiders point to three reasons why the party is not poised for a full-blown U-turn on workers’ rights, akin to its abandonment of the £28bn green pledge. The first is the unions’ vehement support for the package. While Starmer’s Labour has been building up links with wealthy individual donors, the unions are still an essential source of financial support, as well as being woven into Labour’s governance structure – and providing a ready pool of on-the-ground activists. skip past newsletter promotion Sign up to Business Today Free daily newsletter Get set for the working day – we'll point you to all the business news and analysis you need every morning Enter your email address Sign up Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy . We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion Michael Jacobs, a professor of political economy at the University of Sheffield, says: “I don’t think it is the next domino to fall: I think the lobby for it inside the Labour party is much stronger than the lobby for the green stuff.” Kate Bell, the assistant general secretary of the Trades Union Congress, confirms that the workers’ rights package is the unions’ top priority. “We believe the package of levelling up workers’ rights is absolutely vital – not just to deliver workers the job security they deserve at work, but also transform our economy so that we have an economy that is based on good quality work, productive work, investment in people, investment in businesses rather than a race to the bottom,” she says. The second reason the workers’ rights plan is not about to be scrapped is that it is regarded as a solid retail offer to working-class voters, and is easier to discuss on the doorstep than Starmer’s overarching “missions”. Policies such as an end to zero-hours contracts have featured prominently in recent byelection campaigns, including October’s victory over the Scottish National party in Rutherglen and Hamilton West. And Rayner’s team insist much of the preparatory work for implementing the package is well under way. The third factor in favour is Starmer’s buy-in. While he is often criticised for lacking a fully worked-through political project, he has frequently pointed to the need to ensure working people have respect and security – highlighting his care worker sister, for example. Starmer-watchers say this may be the closest thing the leader has to a personal credo. In his speech to the Labour party conference last year, he used the phrase “working people” 21 times, promising to create “a Britain built to last. Where working people are respected.” And he is clearly primed for a backlash, telling Labour’s recent business conference: “We are going to level up workers’ rights in a way that has not been attempted for decades. And that might not please everyone in the room or the wider business community. “But nobody can doubt that our labour market is at the heart of our challenges on productivity.” In other words, Starmer and his shadow chancellor, Rachel Reeves, see increasing workers’ rights as an integral part of their plan for delivering economic growth. While ditching the workers’ rights plan appears highly unlikely, however, even the most determined optimists about Labour’s proposals say the details of how they are enacted will be critical – and vulnerable to external pressure. Hall-Chen says the IoD is “hopeful for a very pragmatic approach from Labour that will involve a lot of engagement with the business community just to make sure that there aren’t unintended consequences”. Or as Jacobs, a former adviser to Gordon Brown, puts it: “In government it is really about holding your nerve: because in government you really get lobbied.”
Biden's proposed budget includes $4.7 billion emergency fund for border migrant surges 2024-03-11 16:00:00+00:00 - President Joe Biden’s budget proposal for 2025 includes a $4.7 billion emergency fund for border security to enable the Department of Homeland Security to ramp up operations in the event of a migrant surge, according to a portion of the budget reviewed by NBC News. The contingency fund would let DHS tap into funds on an as-needed basis when the number of undocumented migrants crossing the southern border tops a certain threshold that is unspecified in the budget. If the money is not used to address a surge, the money would be transferred to the general funds of Customs and Border Protection (CBP), Immigration and Customs Enforcement (ICE) and the Federal Emergency Management Agency (FEMA). The request is likely to fall on deaf ears among congressional Republicans, who have already refused to fund $13.6 billion the Biden administration asked for in an emergency supplemental request aimed at responding to a record high number of migrants crossing the border. It comes as both CBP and ICE are facing significant budget shortfalls. NBC News first reported that ICE will have to start cutting key operations by May if Congress does not help cover a $500 million budget gap. Acting CBP Commissioner Troy Miller said that Republicans’ blocking of border provisions of the national security supplemental bill earlier this year will put his agency in a weaker position should the number of migrants rise as the weather warms. “I certainly continue to be cognizant that the numbers of migrants coming across the southern border could increase and probably will increase in the weeks and months ahead,” Miller said. “I think that’s one of the reasons that as we looked at the national security bill, it gave us additional authorities and resources to effectuate a consequence so that we could quickly screen off folks that didn’t have a valid asylum claim and send them back.” Migrants attempting to cross in to the U.S. from Mexico are detained by U.S. Customs and Border Protection in Jacumba Hot Springs, Calif., on Nov. 28, 2023. Nick Ut / Getty Images file Biden’s budget also asks Congress for $405 million to hire 1,300 more Border Patrol agents, funding to keep ICE’s 34,000 existing detention beds, $1 billion for aid to Central America to address the root causes of migration, and nearly $1 billion to address the backlog of over 2.4 million pending cases in U.S. immigration courts. To combat fentanyl smuggling, the budget asks for funding to hire an additional 1,000 CBP officers who can stop the illicit drug from coming across the U.S.-Mexico border and $849 million for technology to detect fentanyl at the border. After an NBC News report that some fentanyl detection scanners were sitting unused because of Republican opposition to funding to place them in the ground, Sen. Jon Tester, D.-Mont., asked Congress to fund the technology. The budget also asks Congress for funds to ensure that migrant children who cross the border unaccompanied are placed with relatives and sponsors as quickly as possible. In a statement, Homeland Security Secretary Alejandro Mayorkas said, “The President’s Budget, in combination with the Senate’s bipartisan border security legislation, is vital to meeting the needs of our workforce and the challenges we face. The President’s Budget prioritizes staying ahead of the diverse and complex threats facing the homeland and highlights our unwavering dedication to protecting the security of the American people.”