IBM CEO: Executives Like Trump's Pro-Business Promises
January 19 2017 - 6:21AM
Dow Jones News
By Sam Schechner
DAVOS, Switzerland--The prospect of lower U.S. corporate tax
rates and scaled-back regulations is tempering businesses' worries
about global political uncertainty, International Business Machines
Corp. Chief Executive Ginni Rometty said Thursday.
The possibility of more nationalistic trade policies in the U.K.
and U.S. has cast a shadow over 2017's World Economic Forum, but
Ms. Rometty said pro-business promises from the incoming
administration of Donald Trump were getting a warm reception from
CEOs.
"Any time when you make it easier to do business, that's good,"
said Ms. Rometty, who is part of a business-policy advisory group
for the new administration.
"In a results-oriented government, there are many things that
everyone's looking forward to seeing progress on."
Many executives this week said they had high hopes for lower
U.S. tax rates, designed in part to encourage companies to
repatriate some $2.5 trillion in cash that has been held
overseas.
Ms. Rometty made the case, echoed by other corporate leaders,
that any U.S. tax changes should be permanent, rather than a
one-time tax holiday for repatriated cash.
Tax policy should be "consistent for a long period of time," Ms.
Rometty said.
"Many people have long cycles to plan. And you really have to
have assurance that that's going to be the policy in place."
Anti-globalization sentiment, reflected in the U.K.'s vote to
leave the European Union and the election of Mr. Trump in the U.S.,
stems in part, Ms Rometty said, from people feeling locked out of
technological progress. She said that governments and businesses
needed to focus on creating vocational training and retraining
programs for displaced workers.
"Some people are feeling time has left them behind," Ms. Rometty
said. She added that 2017 should be "an inflection point around the
world for how we're going to look at education."
Write to Sam Schechner at sam.schechner@wsj.com
(END) Dow Jones Newswires
January 19, 2017 06:06 ET (11:06 GMT)
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