The White House is gearing up for what could be President Joe Biden’s last chance to put his stamp on the judiciary, as progressive advocates fret that he may fall short of appointing as many judges as former president Donald Trump did over his four-year term. 

With a November 2024 election rematch between Biden and his Republican predecessor looking increasingly likely, Senate Democrats are pledging to remain focused on confirming Biden’s judicial nominees in 2024 and adding to the 166 already approved to sit on the bench. 

After two years of matching or exceeding Trump’s pace of judicial appointments, Biden’s rate compared with his predecessor’s slowed in 2023, as Senate Republicans wielded their influence and forced the White House to bargain with them over potential nominees. 

Russ Feingold, a Democratic former US senator and leader of the liberal American Constitution Society, said that slower pace has put Biden’s ability to continue to appoint diverse judges to the bench at risk as an election looms that will decide whether he gets a second term and Democrats retain control of the Senate. 

“Now we’re looking at a situation where if either the presidency switches or the Senate switches, most of this progress probably will be stopped or greatly stifled,” he said. 

 WHY IT MATTERS 

Biden throughout his tenure has sought to fulfil a 2020 campaign pledge to bring greater diversity to the judiciary, whose judges have disproportionately been White men and have usually been ex-prosecutors or former law firm partners. 

Two thirds of Biden’s confirmed nominees are people of colour, and 108 have been women, according to the Leadership Conference on Civil and Human Rights. 

He has frequently nominated civil rights lawyers and public defenders to the bench, as Democrats aim to counterbalance the conservative influence of Trump’s 234 judicial appointees. 

Prominent confirmed judges in 2023 included Julie Rikelman, a former abortion rights attorney now on the Boston-based 1st US Circuit Court of Appeals, and Dale Ho, a voting-rights advocate now serving as a federal judge in Manhattan. 

“All year long, this Senate majority has prioritised confirming judges who add to the bench’s personal and professional diversity, and we’re going to continue going into the new year,” Senate Majority Leader Chuck Schumer said on the Senate floor on December 11. 

But while the Senate confirmed 69 judges in 2023, that number fell below the pace of confirmations during Trump’s third year, when 102 were confirmed. 

For several months, the Senate Judiciary Committee struggled to process nominees amid the absence of an ailing panel member, Democratic senator Dianne Feinstein, who died in September. 

 WHAT IT MEANS FOR 2024 

Biden could make up for that slowdown in 2024. He has announced 30 other nominees who have yet to be confirmed. There are 53 vacancies at present on the federal bench awaiting a nominee, and more vacancies are expected. 

So, he could, in theory at least, still match Trump’s four-year total. 

But 22 of the vacancies are in states with one or two Republican senators, who thanks to a Senate custom known as the “blue slip” have the ability to effectively veto nominees from their states they do not approve of and hold seats open for a potential Republican president. 

“There’s plenty of vacancies, but will he be able to nominate in red states?” said Russell Wheeler, a visiting fellow at the Brookings Institution, who tracks judicial nominations. “That’s the big question.” 

Progressive groups have urged senator Dick Durbin, the Judiciary Committee’s Democratic chairman from Illinois, to abandon the “blue slip” custom, which they say has hindered Biden’s ability to appoint judges in conservative-leaning states and much of the South. 

Leah Litman, a University of Michigan Law School professor who co-hosts the liberal legal podcast Strict Scrutiny, said Biden’s inability to nominate judges in those states will ensure Republican lawmakers can “do whatever it is they want” without concern courts will block laws they enact. 

“We have seen the effect that Republican blockades for district courts has had,” she said. 

She pointed to Texas, where Trump was able to fill multiple vacancies with conservative judges who have often been sympathetic to challenges to Biden policies. One, US District Judge Matthew Kacsmaryk in Amarillo, suspended approval of the abortion pill mifepristone. It remains available pending US Supreme Court review. 

Durbin has acknowledged “some judicial vacancies in states with Republican senators have languished for months on end”, but he has stood by the tradition and encouraged Republicans to demonstrate they can compromise with the White House. 

The White House in recent months has pointed to successes on that front, with district court judges confirmed in 2023 from Indiana, Idaho and Louisiana, and recent nominees pending from Florida, South Carolina and Texas. 

Biden closed out 2023 with an announcement that he intended to soon nominate five new judges in states with Republican senators, including two in Texas who have the support of senators John Cornyn and Ted Cruz. 

The post US Politics 2023: Biden struggles to match Trump’s judicial appointments appeared first on RG Magazines.

Landlords are offering incentives such as rental holidays as they grapple with a glut of vacant office space in Hamilton.
Penny MacIntyre, of Rego Sotheby’s International Realty, said upgrades are also being made on non-prime properties which have been overlooked while business tenants opt for glamorous waterfront locations.
Brian Madeiros, of Coldwell Banker Bermuda Realty, meanwhile, said some vacant properties are ripe to be converted into homes for overseas workers – as long as the Government’s policies line up with such a move.

Ms MacIntyre said Class A+ and A properties such as Point House on Front Street and Waterloo House on Pitts Bay Road are in high demand because of their waterfront views, modern interiors and top-class amenities.
There is less interest, however, in the city’s older buildings, including those on Reid Street, Church Street, Victoria Street and side streets, which have mainly cityscape views, dated interiors and a shortage of natural light.
“Prospective tenants include both new-to-Bermuda and businesses with existing local offices looking to relocate, resize or upgrade their offices,” Ms MacIntyre said.
“These prospects tend to look for newer interiors and spaces that require less reconfiguration or easy to adjust layouts for today’s ‘right-to-light’ seating plan where international companies especially seek to place meeting rooms to the interior and employee seating and meeting rooms on the periphery to have access to more direct natural light.”
She added that some tenants of older buildings have terminated their leases since the Covid-19 pandemic, as firms have amalgamated or closed operations, while employees have switched to remote working.
Ms MacIntyre said: “The growing vacancy and the lengthening times non-prime properties sit on the market are resulting in landlords’ willingness to consider either free rent periods, potentially reduce rent during renovation periods or contribute to or install interior improvements such as new carpeting, LED lights, fresh paint and some cosmetic updates such as bathrooms or kitchenettes.”
Mr Madeiros noted the “flight to quality” in recent years means Class A office space is now practically fully let.
He said: “In Bermuda, because a lot of our office space is actually dated, we find that when there is a new development, purely because of the nature of our international business, it attracts a lot of attention. We have excess demand of this lovely, high-quality space.”

But he said there are challenges finding tenants for an estimated 300,000 square feet of vacant secondary office in Hamilton.
“One might say, what do landlords need to do in order to fill that accommodation?” Mr Madeiros asked.
“No landlord is going to invest money into an older building if they don’t feel there’s demand for refurbished secondary. Landlords need to understand who their end user is if there is one.
“So that speaks to the Government’s strategy to increase our working population. If we do, then we might see landlords with a risk mitigation strategy around refurbishment feel more comfortable refurbishing or redeveloping these buildings.”
Mr Madeiros said there may be interest in creating developments comprising retail, office space and residential accommodation.
“With this hybrid, the developer needs to have some form of comfort that they can either rent or sell pieces of this development as residential or commercial condominiums in order to make their financial model work,” he said.
“The problem is if we are going to be increasing our working population with work permit holders, we’ve had a number of instances where they’ve said we can’t find rental accommodation, we would like to commit and buy a condo, high-end, and we want to be in the city.”
Mr Madeiros noted work permit holders cannot purchase high-end condos in the city.
“This is a risk to any developer who flies into Bermuda,” he said.
“These individuals would love to live in the city but they can’t, so you don’t have that market to sell to.
“I think the policy makers have some further exploration to do around this area.”
Ms MacIntyre said that developers have been considering the merits of changing a handful of office buildings into residential or mixed use with office, residential and retail occupants.
Such moves are subject to planning approval – but could potentially help rejuvenate Hamilton.
“Bermuda is certainly in need of more residential rental inventory,” she said. Residential construction in Hamilton could help to bring more people to restaurants and bars that have suffered from the impact of remote work, she added.

The post Developers search for solution to Hamilton’s vacant offices appeared first on RG Magazines.

Speaking with Jonathan Kent were:

Liz Ebbs-Brewer, manager, recruitment services, Expertise Group

Shaun Penny, senior recruitment consultant, Acumen Group

Sylvia Jones, director — Bermuda, Elevate Executive Selection

Comments were edited down for brevity.

Navigate: How is the war for talent playing out in Bermuda?

Liz: We’re in an employee-driven market — before Covid, it was more employer-driven. It’s especially competitive in technical roles where designations are required, such as actuaries and accountants. We’ve definitely seen an overall increase in base salaries for technical skill sets. We’ve seen broader implementation of work-from-home options, a critical benefit for many people whose lifestyles have evolved around it.

Sylvia: Many of the startups who got their licences approved 12 to 18 months ago have reached that point where they’re ready to expand their teams and they’re all coming into the market at the same time. Candidates often have multiple conversations on the go at the same time. They’re going to choose a company that’s not only a good fit with a very competitive compensation package, but they’re ready to act now. That makes a huge difference.

Shaun: Covid really dented the market. A lot of professional talent left the island and hasn’t come back. Those roles did not go away —the need is still there. Almost daily I’m having conversations with people who say ‘keep me in mind if anything comes in’. They are seeing that salaries have gone through the roof in the last year. But companies can’t keep throwing out more and more money for salary – it’s not sustainable. Salary offers have gone up 10 to 15 per cent, I would say. Employers are also getting more creative with total comp, for example with housing allowance if the talent is coming from off island. Their need to fill these positions is not six or nine months away, it’s now. Employees who may not be quite ready for a promotion are now getting a chance.

Navigate: Many companies are talking enthusiastically about diversity, equity and inclusion. Are you seeing changes in hiring practices or or talent management that would reflect this?

Sylvia: When it comes to executive search, we’ve not witnessed any changes that take DEI into account. There may be internal protocols, but they’re not necessarily communicated to us. There’s always a traditional desire for Bermudians at the executive level, and that’s always stipulated from the outset. But beyond that to be honest, we really don’t encounter specific instructions in relation to DEI.

Liz: I have seen companies who have implemented processes to minimise bias in the recruitment process. More are using online portals that can hide information that could cause bias, such as names and universities. Also, some have asked us not to provide compensation expectations at the initial phase, as this could cause bias, particularly with gender imbalance. A number of clients ask us to identify a talent pool that reflects the island’s population. During the past six months, a few clients have asked about necessary adjustments to interview processes to accommodate candidates who have different needs so that they can perform to the best of their ability in the interview.

Shaun: I have seen a desire to hire Bermudians or spouses of Bermudians. Outside of that, everybody I’ve worked with says they’re just looking to hire the right person.

Navigate: The major challenge with diversity seems to be at the higher levels.

Shaun: One factor in that may be that about ten years ago, there was a shift that many highly qualified, professional women put their careers on hold to take care of the family. I’m seeing more individuals coming back into the workforce. Without the gap in their profile, they would probably be in a senior role now, but it was a decision that they made for family.

Liz: I agree — I’ve seen a few exactly like that. There is also a glass ceiling issue. At Expertise, we recently presented diversity data to IB CEOs. One finding was a significant underrepresentation of black women beyond middle management despite their significant years of experience and education. This is something that needs to be addressed urgently.

Navigate: The Bermuda Government has expressed its desire to grow the working population by 25 per cent, or 8,400 people, over the next five years. What do you think about this idea?

Shaun: It’s only going to be good for the economy, for employers and for agencies like all of us on this call. I don’t think that number is unreachable, but we will maybe need to build some more houses. Having more people on island would lower costs for everything, because there would be more more availability. I only see it being a plus for for everybody involved.

Sylvia: The working population number is severely inadequate to fund the ongoing and surely increasing costs of running the government. I think the government needs a clear roadmap and to communicate that Bermuda is open and receptive to companies and individuals. The roadmap needs to specify those we want to attract. I see great potential in the private family office sector. These individuals are small in number, but they contribute a huge amount to the economy. Their top four criteria are safety, scenery, a business-friendly timezone, and easy access on and off island. Bermuda exudes all of these. So why not capitalise on it? I think that if we hit the right chord and get them here, the knock-on effects will be will be positive for everybody.

Liz: An increase in the working population will benefit all businesses here. But challenges that we’re seeing for people relocating now would need to be overcome — housing is one, in particular a shortage of rental accommodation for professionals relocating with a family. With regard to work permits, the Department of Immigration does great work — the swift processing time they’ve implemented for qualified actuaries has been positive. But we have also seen challenges for businesses facing long processing delays. That could be challenging if we have more people coming in.

Shaun: Overall, I also think Immigration does a good job, but maybe some more hands on deck would help. Mostly, our permits get done on time, generally within eight to ten weeks. From a housing standpoint, I find there is much more Airbnb available for rent than there is long-term rental property.

Sylvia: I agree about the need for more hands on deck. Work permit delays can push companies to consider: Does the role have to be fulfilled in Bermuda? What about taking it overseas? What about remote working from overseas? It brings all that into play. The housing crunch has really become a challenge from mid-2020 to now.

Navigate: Can you share any examples of the housing shortage’s impact on individuals?

Sylvia: We’ve had two situations where an executive came and rented a one-bedroom apartment and left his family overseas, because they couldn’t find a family home. The hiring company then runs the risk of potentially losing that individual if this remote family life doesn’t work out for them. We used to be able to show our relocation clients ten or 12 homes, five or more years ago. It’s not a tenable situation if you’re asking someone to take a job, but you only have two houses to choose from. There are many homes tied up in family trust scenarios that have been allowed to fall into dilapidation and if those could be somehow renovated and reinserted into the inventory, it would help. The real needs in Bermuda now are for three- and four-bedroom executive homes and for two-bedroom city living and for these projects to be started today. I’ve said to potential property developers, we will pre-fill the properties for you, but you have to start construction now — it’s really urgent.

Shaun: Bermuda is often compared with Cayman. If I take a drive in Cayman, I’m seeing ten different developments and they’re all saying 80-90 per cent sold. I know Bermuda has less land, but I don’t see any such developments here. There’s a lack of homes now — if you want to grow the working population by 8,000, where are they going to live? If you want to be a leader in attracting talent, other things matter too. In Cayman, you can own a property at the end of the day you walk on island and become a citizen in eight or nine years. Maybe there need to be programmes for families with dilapidated homes to renovate and get that rental return. The need for housing is not going away.

Navigate: Is the rise of remote working having any impact on the Bermuda jobs market?

Liz: The cost of living and of doing business in Bermuda is just ever increasing, so many companies are reviewing which roles need to be based here. The argument for outsourcing has become especially pertinent for roles where the individual is working from home successfully. If you don’t need to be in the office here, you can be doing this role from a lower-cost jurisdiction. This trend of outsourcing back-office jobs is not new. It’s been happening slowly over the past eight to 10 years and, given the current economic climate, it’s probably going to accelerate.

Navigate: Are any candidates asking to work remotely from the country where they are located?

Sylvia: Yes, we’ve had candidates looking to work from Canada, the British Virgin Islands and California for companies based in Bermuda. They were very upfront about it and fully expected to find a role. Two did and one is still looking. This is quite a recent trend. With regard to senior roles, they’re mandated by the BMA to be located in Bermuda, so that takes the remote option out of the equation. I agree, this trend has been going on for several years. Companies have changed their business models to operate this way, so we shouldn’t be trying to bring those jobs back, we should be looking at attracting new industries and more companies.

Shaun: More candidates now are talking about working from home two or three days a week, for example. Companies have adjusted and are more flexible on where the work is done. But growing companies still want their people to still be in the office. They want the energy and synergy of everybody working together. Certainly, however, remote work is not going away.

The post On the frontline of the war for talent appeared first on RG Magazines.

Devastated by the loss of their son, Kijani Burgess’s family did the only thing they could do: they turned their pain into purpose. They established a scholarship in Kijani’s honour at Bermuda Institute, a pre-kindergarten to Grade 12 co-educational Christian school in Southampton. 

“As a gesture, to honour the memory of our beloved Kijani Burgess and the impact that his life and accomplishments had on his family and friends at Bermuda Institute, we created The Kijani Burgess Dream Award,” said his mother, Antoinette Burgess. 

She established the award with her husband Kevin Burgess and their daughter, Khaeljah, after 16-year-old Kijani passed away following a bike accident in January 2020. 

“Nothing is more important to our family than keeping Kijani’s memory alive and knowing that his life continues to have purpose and meaning,” Mrs Burgess said. “The Kijani Burgess Dream Award is a way to celebrate and remember Kijani’s life, hopes, dreams and ambitions – by financially helping other young people realise theirs.” 

This one-time educational award is given annually to a graduating senior who best emulates Kijani’s inspiring love of life, perseverance in the face of learning obstacles, love of God and faithfulness, love of friendship and kindness to others and who has shown promise or passion in a chosen field of interest. Funding comes from fundraisers put on by the Kijani Burgess Dream Award Committee and donations from family, friends and the community. The first recipient of the Award in 2021 was Malaysia Burt who described Kijani as “a true friend”. 

Known for performing random acts of kindness, his larger-than-life smile and his upbeat attitude, Kijani dreamed of exploring the world, helping his community by building houses and redeveloping Bermuda and working as a movie director and producer. He loved photography, creating short films and videos and writing film scripts. A visual learner, Kijani excelled in these areas until his life was cut short by tragedy. 

“On the day of the accident, January 13, 2020, Kijani wrote a final assignment that read, ‘Someday my life will become so great people will remember me,’” said Mrs Burgess. It gave Kijani’s family another idea. 

In addition to the scholarship, the family joined with his friends in his Grade 11 class at Bermuda Institute and launched Pain Into Purpose Bermuda, a campaign to raise awareness of road safety issues and to encourage others to perform random acts of kindness. As part of the concept, the community is asked to wear blue, Kijani’s favourite colour, to remember those who lost their lives on Bermuda’s roads. The inaugural Blue Day was held on January 17, 2020. 

The pandemic pushed the organisers to use social media as well as traditional media to get the word out about the Blue Day Campaign. The campaign was expanded this year to highlight not only road fatalities, but also people who suffered a loss of limb or other traumas. From January 2016 to the end of March 2021, 8,380 people visited King Edward VII Memorial Hospital because of a road traffic accident. 

“Families and individuals deal with many elements of grief that people don’t always talk about on this diverse journey of overcoming adversity and the different ways people grieve inclusive of mental health, including anger and loneliness,” Mrs Burgess said. 

The entire community can participate each year, on the second Friday of January, by wearing the colour blue and taking part in random acts of kindness in remembrance of people who have died or been injured in accidents. Sadly, it’s an issue many people are all too aware of – 23 people lost their lives on Bermuda’s roads in 2020 and 2021. According to Mrs Burgess, that’s 23 too many. 

“The message we would like everyone to take away from the campaign is that road safety is a ‘we’ problem, involving pedestrians, cyclists, motorists and car/ bus/truck drivers,” she said. “Wellness is for all, including learning healthy grieving processes, prioritising mental health and navigating injury and rehabilitation. We are all on diverse journeys when it comes to road safety and wellness awareness.” 

The PainIntoPurpose team’s goal is to assist people who cannot afford grief counselling with counselling sessions and to provide cards or flowers to families in the wake of a road traffic fatality. 

“Our ultimate goal is to raise funds to create a grief resource book for families written by the loved ones of persons who have been lost on Bermuda’s roads,” Mrs Burgess said. “We would like to also organise a monthly grief counselling programme with the assistance of counsellors. This would include 30 minutes per person with a counsellor to provide people with an expert to guide them in the right direction during their grieving process for free.” 

Going forward, her vision is to create a better Bermuda through action, by empowering the island and its community to turn their pain into purpose. The PainIntoPurpose Bermuda campaign was this year embraced by the University of California, Berkeley, which observed its first Blue Day on January 24 with a video tribute to Kijani and other Bermudians who died tragically.

For more information: kijanisdream.com; [email protected]; [email protected]. Donations to the Kijani Burgess Dream Award can be made through Clarien account #6000250603. 

The post Family, school and community come together to turn pain into purpose appeared first on RG Magazines.

After many people delayed cancer screening due to the pandemic, experts now fear that missed screenings, such as mammograms and colonoscopies, may mean cancer diagnoses have been missed or delayed, according to the Wall Street Journal.

To help increase your chances of detecting cancer early, seek guidance from your health care providers and follow these five steps:

1) Show up for your annual physical
Your annual check-up is a valuable opportunity to discuss with your primary care provider any physical or emotional challenges you’re experiencing. It also may play a pivotal role in helping to catch cancer early.
For some cancer patients, regular physicals and check-ups are critical to:

• Determining how much, if any, evidence of disease remains
• Checking on the progress of indolent or slow-growing cancers
• Checking for symptoms of a cancer recurrence or current cancer
• Discussing side effects associated with cancer treatment

2) See your dentist
If you’re about to start chemotherapy, tell your dentist so he or she can check for signs of a gum infection, cavities that require fillings, ill-fitting dentures or mouth sores. In addition, radiation therapy for head or neck cancer may impact your dental health since it may reduce calcium in your tooth enamel.

3) Show up for your colonoscopy
Colonoscopies remain the gold standard for colorectal cancer detection. These procedures allow doctors to spot abnormalities and remove growths that may develop into cancer.
During the pandemic, thousands of colonoscopies were postponed or canceled. Check with your doctor to know at what age you should get screened (the American Cancer Society recommends people begin colorectal cancer screenings at age 45).

4) Women should get an annual gynecologic exam
Watch out for symptoms of gynecologic cancer, especially since early diagnosis and treatment may result in a better outcome.

Seven common symptoms of gynecologic cancer include:

• Abnormal vaginal bleeding or discharge
• Pelvic pain or pressure
• Abdominal or back pain
• Bloating
• Changes in bathroom habits
• Itching or burning in the vulva
• Changes in vulva color or skin

Women often rely on a gynecologist to receive a Pap test to detect precancerous cells, screening for infections and conversations about birth control. If they’re diagnosed with a gynecological cancer, women should see a gynecologist oncologist, a doctor trained to diagnose and treat female reproductive cancers, such as cervical, ovarian, uterine, vaginal and vulvar cancers.

5) Men should self-screen for testicular cancer
Testicular cancer is the most common cancer detected in men under 45. Common signs of testicular cancer include:

• Hard lumps or nodules on either testicle
• A change in how the testicle looks or feels
• Swelling in the scrotum
• A dull ache in the abdomen or scrotum
• A feeling of heaviness in the scrotum
• Enlarged or swollen breasts

The coronavirus pandemic has transformed our work and personal lives over the last year. But best practices in cancer screening and detection haven’t changed during that time. The earlier a cancer is diagnosed, the earlier a patient may be able to receive treatment, which may result in better outcomes.

The post CTCA: Five steps that may help catch cancer early appeared first on RG Magazines.

The world has changed. A major pandemic will do that. Covid has altered not just what we do but also how we all think about what we do. It has been one of the biggest, if not the biggest, forced experiments the world has ever seen. The repercussions of which will undoubtedly alter much of how we do things but also where and why we do them. Bermuda will, of course, be part of this change. The post-Covid world will also affect the island and how work and the economy functions. Here are a few ways in which we think the island will change after the pandemic.

Work From Home will massively affect working in Bermuda

“A lot of people have found they don’t need to be [in an office]. I think all kinds of things are going to happen that we don’t go back to what we did before.” – Charlie Munger, CNBC Interview, June 29, 2021
Part of the forced experiment from Covid was the requirement to stay home. If you were fortunate enough to have a job that was amendable to a shelter-in-place order, the side effects of this were not so dire. Many companies were able to use technology to adapt to a new environment. In doing so, many employees realised that a different work environment was potentially as efficient, if not more so, than the pre-Covid environment. This experiment is almost assuredly to lead to persistent change for many jobs and workers. Various studies and surveys have propagated the discussion surrounding this.

Here are some findings:
•      The Federal Reserve Bank of Atlanta estimates that the share of working days spent at home by full-time workers is likely to triple after the pandemic relative to pre-pandemic levels.
•.     A University of Chicago research paper found that 37 per cent of jobs in the United States can be done entirely at home.
•      A recent survey of 2,033 office workers worldwide by the commercial real estate firm JLL found that roughly one-quarter of office workers hope to return to the office full-time after the health risks of the virus subside, while about half hope their employer supports a hybrid model of being remote part-time (on average twice a week, per survey results) and in the office for the remainder of the work week. The remaining one in four workers hope to make their work-from-home arrangement a full-time and permanent adjustment.
•      A couple of surveys from Harvard found “about 40 per cent of both large and small firms expect that 40 percent or more of their workers who switched to remote work during the crisis will stay doing remote work after the crisis. These estimates suggest that at least 16 per cent of American workers will switch from professional offices to working at home at least two days per week as a result of Covid-19.”
•      According to GlobalWorkplaceAnalytics.com a typical employer can save an average of $11,000 per half-time telecommuter per year.
•     “A Gartner, Inc survey of 317 CFOs and finance leaders on March 30, 2020, revealed that 74 per cent will move at least 5 per cent of their previously on-site workforce to permanently remote positions post-Covid 19.”
•      97.6 per cent of remote workers would like to work remotely at least some of the time for the rest of their careers.

Obviously if these various findings are correct there will be a dramatic and persistent shift in workplace norms around remote work, and this will have implications for companies, employees, and policymakers alike within Bermuda. In fact, this could alter the allocation of labour resources domiciled in Bermuda, which could negatively affect taxes, real estate, and the overall level of the economy. If you do not need to be in Hamilton to do your job, then you can likely do your job in Halifax. Sadly, this has been the case for some time in certain industries in Bermuda like the fund administration sector.

A few international businesses are considering moving entire finance departments off island to cheaper domiciles noting the success of remote working. Other companies continue to allow relocation of expat workers to their countries of origin onshore as well. The high cost of living has always been a challenge for the island, and it is important that Bermuda continues to attract high-paying jobs that are located domestically.

It could be noted that some of this is being offset by digital nomads who have come to work in Bermuda. Figures suggest there could be more than 400 digital nomads in Bermuda. Although they contribute to the local economy from spending on things like rent and food, they are, however, not a viable substitute for a full time equivalent (FTE) worker in Bermuda. An FTE is more likely to contribute to our health care system and pay taxes locally – two rather large factors that Bermuda desperately needs. They may also be causing problems in the rental market where some Bermudians and local expat workers are finding it difficult to find rental accommodation.

Work from Home (WFH) will shift work outside of Bermuda, and even within Bermuda. In turn this will affect the city of Hamilton and Bermuda’s major urban corridors. The fewer people who come into the city, the less overall activity will be generated by foot traffic. This is likely to dramatically impact the overall level of lunch traffic in restaurants, coffee bars and even retail.

A vibrant office environment lends itself to a vibrant commercial ancillary service sector. The Chamber of Commerce recent foot survey, for example, exemplifies what can happen when city activity contracts and mobility collapses. The latest survey noted 57 businesses of Bermuda are now permanently closed (8 per cent surveyed), while 27 per cent were temporarily closed or at reduced hours.

In general, WFH does not really work for Bermuda. If its uptake is extensive, we are likely to see a falling working population, a stagnant urban corridor, and a much lower level of economic activity. Although the ability to work remotely has saved many businesses in Bermuda, it ultimately has uncovered the reality that lots of work has no geographic permanence. Bermuda will need to continue to emphasise its centre of excellence for the reinsurance industry, its large intellectual capital base and high standard of living.

Travel and tourism

“We will go to the office somewhat, we’ll do some business travel, but dramatically less…My prediction would be that over 50 per cent of business travel and over 30 per cent of days in the office will go away” – Microsoft (MSFT) Co-Founder Bill Gates

The WFH phenomenon and the alteration of how work is conducted will likely lead to less business travel. Bill Gates comment above echoes with the analysis conducted by McKinsey. They note that after the financial crisis it took business travel five years to recover, versus two years for leisure travel. They also reference a survey that notes travel managers expect business travel spending in 2021 will be only half of 2019 and may “never recover to the 2019 level”. Business travel is important. One study notes that business passengers represent 75 per cent of an airline’s profits despite only being 12 per cent of their total passengers. For Bermuda, it is roughly 20 per cent of air arrivals. So, a 50 per cent reduction in business travel effectively lowers overall air arrivals by 10 per cent, not an insignificant amount considering it is likely to account for a disproportionately higher level of spending.

On the tourism side, we are not constructive on the near and medium term based on the Government’s current Covid restrictions, which look overly punitive compared to competing destinations and in relation to our largest trading partner, the United States. See the attached PDF to view a table that compares and contrasts travel policies of various competing jurisdictions current protocols.

Bermuda’s aggressive testing regime is likely to act as a deterrent to near-term tourism and thus we believe this tourism season will not be productive and is likely to fall dramatically short in terms of air arrivals, hotel stays and ultimately overall contribution to the island economy. Until the Covid protocols are relaxed, we do not envision much of a successful tourism industry on the island. In fact, it is unlikely the cruise industry will resume in any material fashion this season due to the current restrictions. Longer term, we do not see Bermuda’s tourism industry hitting pre-Covid numbers until 2025, a few years later than that projected in the Government’s economic recovery plan and more in line with the IMF projections for Caribbean economy recoveries.

The two Bermudas – widening inequality

Inequality in Bermuda has persisted and grown over the last few decades. The pandemic has only helped to accelerate this and widened the gap. This can be seen in several ways. The international business sector could conduct operations digitally and has fared well and, in some cases, excelled over the past year. Blue-collar and customer-facing jobs were most affected by the “shelter-in-place” restrictions. Many domestic industries, like restaurants and tourism have suffered immensely and rely to large degree on businesses returning to normal.

The growing divide is also evident from the recent Labour Force Survey, dated November 2020, which notes the disparity amongst different parts of our population. While the unemployment rate jumped from 3.8 per cent in 2019 to 7.9 per cent in 2020, this was disproportionately driven by those with less education and by those under the age of 24.

For instance, unemployment among those with no formal qualifications rose from 7.4 per cent to 21.3 per cent, and those with just a high school certificate increased from 5.2 per cent to 15.5 per cent. On the other hand, unemployment for those educated with a degree fell from 2.5 per cent to 2.4 per cent. By age cohort, Covid and related lockdown measures had the largest impact on younger workers with the unemployment rate for those aged 16-24, who typically work in the retail and restaurant sectors, rose from 18.1 per cent in 2019 to 32.1 per cent in 2020. Many training and internships have had to be discontinued due to the Covid restrictions, because these types of positions typically require more face-to-face and in-person management.

Governments globally have been faced with increasing pressure to rectify expanding inequality and Bermuda is no different. Covid has introduced a sense of urgency and ignited the feeling that this is the time and opportunity for change. The result of all this is likely to translate into further policy actions by government. We have already seen it in the restriction of certain job categories to essentially force local employers to hire Bermudians.

The belief that we cannot go back to the way things were before, and that the world must evolve is becoming a majority opinion. This will lead policy makers to also favour more progressive tax policies, labour-friendly regulation and further assessment of taxing capital earnings, such as real estate. We see increased likelihood of this affecting the tax reform initiatives which are being considered in Bermuda.

We also would not be surprised to see a more comprehensive and progressive healthcare initiative that pushes funding towards those of greater means. Unfortunately, this will not offer a great deal of relief for businesses trying to crawl back out of the Covid abyss and may increase the overall cost of business and the competitiveness of Bermuda even further.

The post-Covid world, as noted, does not play overly favourably for Bermuda. Although many companies will adapt and adopt more digital business models and operations, doing so will not necessarily increase domestic demand. The adoption of working from home, tourism/travel struggles and policies surrounding the correction of inequalities are not positive economic factors that will drive enhanced growth opportunities in Bermuda. Sadly, they will make the uphill climb only steeper.

The post Bermuda, post-Covid appeared first on RG Magazines.

Navigate Bermuda sought the perspective of Arthur Wightman, PwC Bermuda insurance and territory leader, on the root causes and significance of the influx of new companies and capital into the Bermuda re/insurance market, known as the Class of 2020-21. Below are our questions and his responses.

Why has it happened?

Businesses are seizing compelling opportunities in a market that has long needed to harden to better reflect the impact of climate change and the overall global risk environment including future pandemics and cyber-crime.

A more favourable interest rate environment also plays a significant role.

Covid-19 has upended lives, businesses, and societies worldwide. The pandemic also accelerated shifts in societal attitudes and commercial realities, while making it much clearer what really counts, and what doesn’t. As an insurer or reinsurer, the immediate impact includes tens of billions of dollars in claims losses. A crisis that has left no countries untouched has also raised questions about conventional risk assumptions and the boundaries of insurability.

The shift in societal attitudes is reflected in the heightened focus on sustainability, social inclusion and other environmental, social and governance (ESG) issues. Society will be looking to reinsurers to take the lead in areas ranging from bridging the protection gap to tackling climate change.

Another driver of change includes the surge in digital capacity and connectivity, which is opening up new frontiers in data-driven decision making and business growth. As the pandemic-led’ shake-up gathers pace, the need to upgrade capabilities, refocus resources and ensure that products and services remain relevant is becoming ever more pressing. These pressures are adding further impetus to deal activity within the insurance industry.

Beyond consolidation, this includes targeted acquisition to boost innovation and divestment of non-core operations as part of a deals-led recovery.

What comes through strongly from both our market observations is that industry leaders should be prepared to steer their businesses differently from how they would have done before the pandemic. Bermuda’s Class of 2020-21 is leading the way.

Why is it happening in Bermuda and what’s the significance of this for the island’s re/insurance market?

Bermuda is the world’s reinsurance marketplace. It has shown that it is the place to deploy capital in a manner that is fast, effective and efficient. A major attraction includes the speed and flexibility that capital can be put to work in Bermuda.

The fact Bermuda is at the forefront of the global market growth, highlights its continued appeal as a centre of expertise and innovation. The island’s insurers and reinsurers are also leading innovation in risk prevention and risk transfer (e.g., parametric cover and insurance-linked security solutions), which are likely to be even more important in a pandemic-impacted market. Bermuda expertise in modelling natural catastrophe exposures is another key factor as is its geographic position between Europe and the United States.

The bulk of the investment is coming from established groups with an existing presence in Bermuda. Bermuda has become the go-to domicile for run-off, and the market is also seeing new ventures including sidecars and further expansion of the life reinsurance sector. The life reinsurance sector in recent months has experienced an unprecedented level of mergers and acquisitions (M&A) activity, as Covid-19 has accelerated an industry restructuring brought on by prolonged low interest rates and the emergence of private equity investor interest.

As the recent Bermuda:Re+ILS article on the Class of 2020-21 noted, the period will be looked back on, not only as the year(s) of Covid-19, but also as “the genesis of an impressive cohort of new re/insurance companies in Bermuda … arguably the strongest group of new company formations for a generation”.

It should also be noted that the class of 2020-21 is very significant for Bermuda, not least because the continued success of the reinsurance market has supported the Bermuda economy as it deals with the devastating impact of Covid-19. Bermuda Monetary Authority figures show a total of 72 new re/insurance entities established themselves in Bermuda last year, including five intermediaries, underscoring the market’s resilience and continued global importance.

How is the new breed of re/insurer different from incumbent competitors?

Significantly, the new starts do not have the legacy issues of the incumbents. The advantage of being legacy-free is they are able to invest in and use data and technology to move faster and be client-focused organisations.

• Five defining trends we see for reinsurers include:
• The race is on to digitise and deliver more for less
• Capital injection and data-enabled innovation drive renewed growth
• Stakeholders expect you to be part of the solution
• Strengthening deal momentum accelerates transformation
• ESG (Environmental, Societal, Governance) is now a central part of strategy and performance.

The post Wightman: re/insurers seizing compelling opportunities appeared first on RG Magazines.

Bermuda’s re/insurance market is going through a growth spurt. Close to $20 billion has poured into the sector, creating new companies and bolstering the capacity of many incumbents. Bermuda has seen nothing like it since the aftermath of hurricanes Katrina, Rita and Wilma 15 years ago.

The arrival of the Class of 2020-21 could not come at a better time for the island, with many parts of the local economy having been hit hard by the pandemic and the island facing the prospect of its tax advantage being all but eliminated by G20-backed plans for a global minimum tax rate for corporations.

The start-ups are bringing jobs, growing the market and expressing a vote of confidence in Bermuda as the “world’s risk capital”. They have also invigorated Bermuda, sharpening competition and bringing new business models with innovative technology at their core, not to mention pristine balance sheets unencumbered by legacy issues.Behind the influx is a combination of factors that has driven up prices of property and casualty insurance in a world where risk exposures are growing and new risks are emerging.

John Huff, chief executive officer of the Association of Bermuda Insurers and Reinsurers, said: “The unfolding world of uncertainties, brought on by the existential threats of the day including future pandemic, increased frequency and severity of natural disasters driven by climate change, growing cyber-risk from the technological necessities of the pandemic, and signs of social inflation, is real.

“Additionally, as societies struggle with the issues of equity and economic disparities, these challenges have created a new appreciation for the global re/insurance industry.”At the same time, interest rates remain at historically low levels, limiting the income insurers can make from their huge investment portfolios and increasing the emphasis on profitable underwriting. Ever since Ace and XL were launched in the mid-1980s in response to the liability insurance crisis, periodic waves of new companies have set up on the island after market dislocations caused by events such as major catastrophe years and the 9/11 terrorist attacks in 2001.

Mr Huff welcomes the influx of start-ups. He said the island’s continuing attractiveness to investors “confirms that Bermuda is still a great place to start and grow a well-regulated global re/insurance company”.

Three of the Class of 2020-21 – Conduit Re, Canopius Re and Mosaic – joined Abir in March, taking the body’s membership to 29 companies, the highest level in its 28-year history.

“Bermuda has shown once again that it is the place to deploy capital against risk in a manner that is effective and efficient, with speed-to-market motivation and innovation while meeting the future needs for next-generation risk transfer products,” Mr Huff said. The international recognition of the BMA, the financial-services regulator, is also an attraction. In particular, Mr Huff cited EU Solvency II equivalence, first achieved in 2016 and maintained since, and its Reciprocal Jurisdiction status from the US National Association of Insurance Commissioners in the US.

Mr Huff added that Bermuda’s cluster of industry talent and expertise added to the island’s appeal. He said: “Over the past several months, the global re/insurance sector has seen a renewed capital infusion not seen since 2005/2006. Bermuda talent — in the form of new start-up firms and legacy powerhouses — has caught the eye of global investors.”

Among the new re/insurers to set up in the past year are Conduit Re, Vantage Risk and Mosaic. Others, such as Canopius Re and Ark, have upgraded existing operations – both transitioned from Class 3 to Class 4 reinsurers, giving them a greater scope for writing third-party business. The market has also seen one new $3 billion reinsurer, SiriusPoint, created from the merger of two existing companies, Third Point Re and Sirius International.

The capital the newcomers have brought in has been more than matched by existing companies, who have ramped up their capacity to capitalise on favourable market conditions. For example, RenaissanceRe, Arch Capital and Fidelis have each raised at least $1 billion in either equity or debt. Ariel Re, Hiscox and Lancashire, among others, have brought in hundreds of millions of dollars more. Another, Convex Group, the 2019 $1.7 billion start-up led by Stephen Catlin and Paul Brand, has raised an additional $1.5 billion in recent months.

The arrival of new managing general agents, notably Helix Underwriting Partners and Arcadian Risk, is adding extra dynamism and reach to the market. In April, Helix launched an excess casualty platform in a long-term agency agreement with Watford Re, to add to the middle market property insurance platform it launched in 2020. Arcadian is targeting general and professional liability lines of business, writing on the paper of its investor Third Point Re.

The market is undergoing not only growth, but also disruptive innovation. New entrants are leading the long overdue modernisation of the industry. Vantage and Convex are designed to be lean operations, utilising technology to streamline back-office operations and harness data to an extent that incumbents using legacy technology may struggle to match.

Mosaic, a new global specialty insurer that operates Lloyd’s Syndicate 1609, is starting up with a hi-tech platform developed in partnership with an insurtech firm. Its hybrid model involves taking a lead line of the business it writes through its Lloyd’s operation and syndicating the remaining risk globally.

At the same time, the island’s life reinsurance industry has continued to expand, both through mergers and acquisition activity and large investments of private-equity capital. In terms of total assets, the long-term sector’s roughly half-trillion-dollar base makes it the largest segment of the Bermuda re/insurance market.

As demand grows from an ageing global population for products that guarantee retirement income in a low-interest-rate environment, Bermudian-based companies like Athene have undergone a rapid expansion.

In L&G Re, the island can also boast a world-leading innovator in pension risk transfer (PRT), a market that involves the transfer of pension funds and obligations from corporations to a re/insurer. L&G Re’s “estua-re”, launched in 2019, is the first PRT platform driven by blockchain technology.

The legacy, or run-off business is also growing steadily and, as with life reinsurance, experts within its ranks speak of great scope for further expansion. Companies like Enstar Group, Catalina Holdings and Randall & Quilter Investment are giving Bermuda a slice of that pie.

Even the captive insurance industry, the decades-old foundation of the island’s re/insurance sector, sees opportunities, as corporations faced with the hardening commercial insurance market explore opportunities to self-insure on a greater scope and scale.

For Bermuda’s re/insurance market, one could argue that the prospects have rarely looked better.

The post Class of 2020 rejuvenates re/insurance market appeared first on RG Magazines.

BY Tia Smith

Ah, spring. The season of rebirth, renewal… and really not having any clue what weather to dress for on any given day (or hour, for that matter). This is the time that the world suddenly remembers who it used to be before the dreariness of winter, and starts flexing her groove thang. Its that time where we start to realize that summer and all of its unending heat will be soon upon us again. It’s the dichotomy of crisp, cool days alternating with torrential rain that comes out of nowhere on a random Tuesday.

So, of course, what is the best thing to do in this kind of schizophrenic weather? Why, go outside and roll around in the dirt… or garden.
Like any other socially and environmentally conscious person of this age, I fully ascribe to the need for reaping the benefits of sustainable living. I love the various farmers markets and there is nothing better than fresh produce. Sooo, what could be better than my very own fresh produce. Tomatoes I lovingly coaxed from seedling to juicy morsel. Sweet potatoes I tilled all on my own. Salad on my family’s table plucked from our own garden, so fresh that the caterpillars now have a bone… or a leaf… to pick with me over. Living the dream and perhaps even saving a dollar or two. Sounds lovely, right? Unfortunately, I have a small problem with this utopian landscape. I, ladies and gentlemen, have what is sometimes called a “black thumb”.
I’m not talking, the “normal, not so great at gardening” thumb which could be helped with better knowledge. My black thumb is WAYYYY beyond that. If I touch the plant or even look at it for too long, said plant will basically commit suicide. Death by wither. I mean, I can kill parsley. I even managed to kill rosemary. These are literally the equivalent of weeds that will grow through concrete and they died under my watch. I water plants, they die. I ignore the plants, they die. Basically, I have a radius of a ten-foot no-grow zone.
I don’t come by this naturally. My mom and dad are both amazing at gardening, as is my husband and his parents. My kids are even great at it. For some reason, the buck (or perhaps, the spade?) stops with me. And unfortunately for the souls of the carrots of Bermuda, I haven’t let that discourage me.
Don’t get me wrong, I’m not spreading my death cooties onto our family garden plot (except in the occasional sideways glance). No, I have my own “kitchen garden” which I shall be tilling shortly for another year of Russian roulette, herb style. This year, I will again plant parsley, cilantro, basil and all the other fun plants that any discerning Food Network aficionado and Ina Garten envying foodie needs to have freshly cut on their counter. And at the end of this year, I will again look morosely upon a patch of land with more weeds than useful plants, I will again hold my tearful in memoriam and I will again wonder, hmm, what plants shall I let die next year?

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