A Category Test is…

September 17th, 2010

going to tell me whether checking “user home page” puts this definition on the SGG home page or not.

Prudential Turns Veterans’ Death Benefits Into Benefit For Prudential

September 15th, 2010

Large companies have an obligation to their shareholders, but what happens when that puts them at odds with their obligation to the families of fallen soldiers?

  • Records obtained through the Freedom of Information Act show that for the past 10 years, Prudential Financial has been withholding lump-sum death benefits from the families of fallen U.S. soldiers.
  • In a verbal agreement with a Veterans Administration director in 1999, Prudential was given permission to issue “retained-asset accounts” to survivors rather than pay out the full amount due to them. According to original contract terms set with the company in 1965, verbal agreements aren’t enough to stand up in court.
  • Prudential keeps those “retained assets” in its corporate general account, where they have earned the company as much as $500 million in interest. These funds are not insured by the FDIC, meaning that if the company went bankrupt, all of the money due to surviving families would disappear.

Facts & Figures

  • Prudential pays survivors an interest rate of 0.5% on money held in retained-asset accounts
  • These retained-asset accounts have earned Prudential a profit of 4.2%
  • 90% of survivors request lump sum benefits from Prudential
  • In June 2010, Prudential had $662 million in money due to survivors in its general account

Best Quote

“Until today I actually believed that the families of our fallen heroes got a check for the full amount of their benefits. This came as news to me.” – U.S. Secretary of Defense Robert Gates

Ending Extreme Poverty In Our Lifetimes: John McArthur, CEO of Millennium Promise

September 14th, 2010

john-w-mcarthur.jpg Dr. John W. McArthur is the CEO of Millennium Promise, one of TILE’s biggest partner charities. Millennium Promise is entirely devoted to eradicating extreme poverty – specifically, they’re *the* organization that’s focused on making the UN’s Millennium Development Goals a reality by 2015. A big part of that work includes the Millennium Villages project, which supports integrated social and business development services in rural areas in 10 African countries, serving a half-million  people. Dr. McArthur is a Research Associate at the Earth Institute at Columbia University, and he also teaches at Columbia’s School of International and Public Affairs.

TILE: How do issues relating to poverty in Africa affect young people?
John: The burdens of extreme poverty are pervasive, and hit young people especially hard. Well over a billion people still live on less than $1 a day. Roughly 8 million children won’t survive until their fifth birthday this year. Hundreds of millions of young people cannot even begin to pursue their dreams or get a job because their basic needs are not even met: they lack access to food, education, clean water and basic sanitation, and are at-risk for preventable diseases like malaria and polio.

But in the connected global society of the 21st century, the challenges in any part of the world are the challenges of every part of the world. For many reasons, the unjust outcomes of extreme poverty threaten our global stability, our natural environment, and of course our conscience. That is why it is so encouraging that young people around the world are mobilizing in such great numbers and refusing to accept that the needless and preventable suffering of others far away from our borders does not affect us.  And technology is only making these efforts easier every day, with websites like Kiva, Charity:water, Facebook, Twitter and others all helping to connect people and solutions in real time around the globe.

If we can eliminate the obstacles that prevent impoverished communities from capturing their potential, we will help strengthen not only those communities, but also the global community. Young people around the world have an excellent opportunity to help end extreme poverty in their lifetime and create an incredible legacy for their generation.

TILE: What’s the most important thing we can do to end poverty?
John: I think there are three things. The first is actually to make a decision in our own minds that we are committed to seeing the end extreme poverty. A sports coach once taught me that a commitment is just the one big decision you make so that you don’t have to make all the little decisions any more. Of course it doesn’t need to be a decision that takes over your entire life, but it can be a decision that helps guide thinking within one part of your life. So if we can all make that commitment and find ways to integrate it into our lives, whether we are going to school, working, or doing something else as our day-to-day priority, then I really do think we can be the generation to see the end of poverty.

Second, it is crucial to understand that, for the first time in history, we have the tools and know-how to end poverty in our lifetime. In pursuit of this critical goal, everyone has a role to play: students, faith-based groups, corporations, individuals, organizations and governments alike can all play hugely important roles in the fight to end poverty. For example, students can raise both awareness and funds on behalf of efforts to promote campaigns against malaria or for clean drinking water.

Third, it is important to learn about the Millennium Development Goals and the facts of extreme poverty in our world today, as well as the ways we can work together to end poverty.  Then, make it clear to your friends, family, social networks, and government representatives that achieving the Goals is important to you. You can amplify your voice through letters, campaigns and social media. Organizations dedicated to ending extreme poverty, such as Millennium Promise, have the tools to get you started.

TILE: What’s the biggest challenge you face in your work?
John: The biggest challenge is typically a blend of people feeling that extreme poverty is too big a problem to solve, and that because a problem and approach to tackling it exists today, those dynamics will be similar in the future. We constantly need to “unpack” problems to see why they exist and what can be done about them. The past decade has seen huge numbers of individuals and organizations make major breakthroughs that change the conventional thinking about how extreme poverty can be solved. Staying on top of all these success stories is a lot of work, but very important!

TILE: What’s the best advice you would give to your teenage self?
John: I am a big believer in a line by the poet Wallace Stevens, who wrote that “After the final no there comes a yes. And on that yes the future world depends.” I wish I had learned it earlier, since it reminds me that there will always be naysayers, but a commitment to persistence, hard work, and integrity can provide the energy that helps shape the real breakthroughs for better tomorrows.

TILE: How do you think young people can play an important role in the changing landscape of philanthropy?
John: Philanthropy is becoming a bigger and bigger part of our society, and people are starting to practice philanthropy at younger and younger ages. I think the biggest way young people can change the landscape is by working together to support innovative approaches to still-unsolved global issues, especially approaches that leverage social networks, new technologies, quick sharing of information, and a real focus on results. The more we work together to get smart on the key issues and bring everyone together to solve them, the faster we will see the multipliers grow on each philanthropic dollar. Ending extreme poverty will likely be just one of the big problems today’s young generation solves in the coming years!

>> TILE brings you exclusive opinions, explanations, and interviews from experts in every industry. To read more, click on Ask the Experts in the TILE Library.

Have a burning question or an expert you’d like to see interviewed? Just Ask TILE!

Today at TILE… Credit Cards and College: A Thing of the Past?

September 14th, 2010

Today at TILE we talked about heading back to school and about the banks that were lurking around the student center last semester. As we mentioned earlier, there are a whole bunch of new rules governing the way banks are allowed to operate, and this includes credit card companies. But how will these new rules impact your ability to get a card? Or the banks’ ability to give you one? Are back-to-school credit card offers a thing of the past? And is it good or bad that credit may be harder to come by for many young adults?

This year, there are new rules – specifically, the Credit CARD Act – which may put an end to banks soliciting you for new business. Card companies are no longer allowed to market credit cards within 1,000 feet of a college campus (kind of like a restraining order), are prohibited from hosting tables at events, and can’t give away “gifts” (you know, size XL t-shirts and teddy bears branded with the bank logo) to entice you to sign up. Maybe most importantly, if you are under 21, you can’t get a card at all unless you have a co-signer.

Read the rest of this entry »

Taking Drivers To Task For Destroying Wildlife

September 13th, 2010

Roadkill is finally acknowledged as a serious environmental and human safety issue.

  • Individuals and state-sponsored research groups are increasingly using GPS technology and the Internet to pinpoint where critters are being mowed down on America’s roads.
  • The California Roadkill Mapping System has created the first website that involves volunteers combing the roads to collect roadkill information.
  • Researchers hope to use the information for two primary purposes: to accurately assess the impact of cars on wildlife and to highlight “hot spots” that would benefit from additional signage or other preventative strategies.

Facts & Figures

  • The Humane Society estimates that 1 million animals are killed on roads each day; the Federal Highway Administration says that 1-2 million large animals are killed every year.
  • Roughly 200 people die each year as a result of hitting animals while driving.
  • There are 4 million miles of public road in the U.S., and about 258 million vehicles using those roads.

Best Quote

“For some people the only contact they have with wild animals is when they run them over,” said Fraser M. Shilling, the lead researcher on the project. “This is the first time people have been able to record roadkill online and I think it will change our understanding of what our road system is really doing to wildlife.” – Fraser M. Shilling, Lead Researcher, California Roadkill Observation System (a research project by the University of California, Davis)

‘Made In Italy’ By Chinese Workers, With Chinese Materials

September 13th, 2010

Times are changing in Europe, and Italy is struggling to maintain the integrity and marketability of its high-end fashion brand while dealing with an influx of legal and illegal immigrants from China.

  • The city of Prato in Tuscany has always been known for its quality textile production, but recently the industry has been taken over by Chinese companies known to use illegal labor and imported materials to feed a new low-end, “fast fashion” industry.
  • Part of the immigrants’ success in exploiting the local economy involves clever maneuvering around Italian laws and regulations. Companies operating in a “gray market” are not technically breaking any laws – they comply with most regulations – but neither are thy upholding the spirit of the laws. For example, a textile producer may refuse to inquire into whether his subcontractors use illegal labor.
  • The issue is sensitive in Italy, where immigration is a controversial and emotional subject. Some believe the situation in Prato is an intentional attempt at economic colonization by the Chinese government.

Facts & Figures

  • Since 2001, half of Italian-owned textile businesses in Prato have been replaced by Chinese-owned textile businesses.
  • Prato represents 27% of all Italian fabric imports from China.
  • Approximately $1.5 million a day is directed from immigrants in Prato back to China, though it seems that much of that money is not being claimed on tax forms.
  • Prato is home to about 25,000 mostly Chinese illegal immigrants.

Best Quote

“The Chinese are very clever. They’re not like other immigrants, who can be pretty thick. The difficulty is in finding a shared understanding of the rules of the game.” – Riccardo Marini, Head of the Prato branch of Confindustria, the organization of Italian industrialists

Become an expert in philanthropy in 3 minutes, 39 seconds

September 10th, 2010

Did you know that 1 out of every 10 American workers is a nonprofit employee?

No? That’s because you haven’t watched this video… yet. Teacher and nonprofit director Ben Klasky put together this brief history of everything nonprofit, and we think it’s an awesome and extremely lazy way for TILE philanthropists to understand the world they’re giving in.

(via philanthropy.com)

Nonprofits Added Jobs During The Recession

September 8th, 2010

What?? But yes, it’s true

  • The Johns Hopkins University Center for Civil Society released a study showing that nonprofit job openings actually grew from mid-2007 to mid-2009, while employers in the for-profit sector were shedding jobs left and right.
  • One explanation for this surprising trend is stimulus funding, which pumped more money into public programs in response to the economic crisis. But not every area of the nonprofit world grew equally. Social-service nonprofits did relatively well, but that is likely because the whole social-service sector (including for-profits) did well.
  • There is concern that when stimulus funding runs out, the job situation in the nonprofit sector will reverse.

Facts & Figures

  • Nonprofit jobs in the 21 states studied grew by an average of 2.5% each year
  • In the same time frame, those states lost jobs at a rate of about 3.3% each year
  • Job growth in the nonprofit sector actually grew more between 2007-2009 than it had between 2001-2007

Best Quote

“The service area has been growing, historically, pretty fast, much more so than manufacturing.” – Lester M. Salamon, Director of the Center for Civil Society Studies

Flipping Positions, Dividends Paying Out More Than Bonds

September 8th, 2010

For the first time in 15 years, a usually-small bonus payout is earning investors more money than long-term corporate bonds!

  • Dividend-paying stocks are handing a higher return percentage to investors than corporate bonds issued by the same companies, in part because in the short-term, companies are pretty flush with cash, but nobody knows what the long term holds.
  • The recession drove down the prices of most S&P 500 companies, but at the same time their profits have soared. This means their stock prices are relatively cheap, considering the health of the companies.
  • Bond yields have been low since the start of the recession for many reasons, including the Fed’s rock-bottom interest rate and uncertainty about the future of the economy.

Facts & Figures

  • Interest on 10-year Treasury bonds was 2.42% last month
  • Kraft dividends are up to 3.82% – that’s 0.18% higher than their bonds expiring in 2018

Best Quote

“The economy is slowing down, but productivity has been so great in this country and companies have been able to make good profits,” said Duessel, the Pittsburgh-based equity market strategist at Federated. “Companies that would have cut their dividends already did so. It’s an unusual time where, yes, their profits are good, their cash is good, they can afford to pay more in dividends.” – Linda Duessel, Equity Market Strategist for Federated Investors

Frankenstein Fish About To Be Approved For Human Consumption

September 8th, 2010

A company called “AquAdvantage Salmon” wants people to believe its product is safe. So does the burgeoning genetically-modified food industry.

  • On September 19th, staff from the U.S. Food and Drug Administration are expected to deliver a report that says AquAdvantage – a genetically-modified salmon – is as safe as regular Atlantic salmon and should be approved for human consumption in the U.S.
  • The AquAdvantage fish was created with DNA from another, eel-like fish, and added growth hormones from a different species of salmon. The resulting creature grows twice as fast as a normal Atlantic salmon.
  • Critics say the approval process doesn’t allow the public (including independent scientists) to fully understand the implications of allowing this genetically-modified fish into the U.S. food supply. They are also concerned about the potential ecological risks posed by a fish created in a lab.

Facts & Figures

  • The University of Guelph in Canada wants the FDA to approve their genetically-engineered “Enviropig,” which is purported to produce “environmentally friendly manure.”
  • The United States has already approved the cultivation of genetically-modified corn and soybean crops.

Best Quote

“If these genetically engineered salmon are approved, it will be setting worldwide precedent because salmon is a global commodity. It will be the first genetically engineered animal approved for human consumption and for wide-scale farming.” – Anne Kapuscinski, Professor at Dartmouth College and international expert on the safety of genetically modified organisms