The 96-year-old magazine, known for its revered writers and sophisticated audience, is being consumed by a labor dispute.
Writers for The New Yorker have been known to refer to the editor, David Remnick, as “Dad,” so there was something a little illicit about their decision to gather without him back in 2018 at a Windsor Terrace apartment.
Some 20 of the writers, many of them marquee names, were getting together to decide how to react to the surprise announcement that their less heralded colleagues — fact checkers, copy editors, web producers, social media editors — were forming a union and demanding raises.
The writers discussed whether they should follow their junior colleagues into the NewsGuild, and whether the magazine treated writers fairly.
George Packer broke with the magazine’s tight-lipped traditions by sharing details of his own deal with Condé Nast. He told his colleagues that after years of reporting from Iraq, he had requested and received health insurance before the birth of his first child. Other writers were shocked, according to several people who were there. Under The New Yorker’s structure, even some of the best-known writers are considered “contractors,” and their bosses had given them the impression that health insurance was not a possibility.
An organizer for the NewsGuild who was present, Nastaran Mohit, told the writers she had avoided involving them in the original organizing drive because she knew how close many of them were to management, and she was worried they’d snitch.
But she also said the NewsGuild believed the writers were misclassified as contractors, when they were really akin to full-time employees, and she laid out a path for them to join the union. She told them, two people in the room said, that the guild could protect them from being fired and could even defend them against misguided editorial choices, if, for example, an editor — she cited Arianna Huffington — suddenly wanted everyone to write about sleep.
What happened next was not exactly a scene out of “Norma Rae.” Emily Nussbaum, a television critic, said she would expect to be fired if she wasn’t doing a good job, according to two people there. Nobody was interested in a union rep coming between them and Mr. Remnick on editorial decisions.
Then Ben Taub, an investigative reporter, asked her why Ms. Mohit had told their unionizing colleagues that the NewsGuild was also organizing the writers. When she denied it, he theatrically produced a printed-out screenshot of a WhatsApp message that Ms. Mohit had sent to some 80 of the unionizing employees. In the message, a copy of which I obtained, Ms. Mohit said the union was “in communication” with the writers but could not “be open and public with the fact that we are organizing the staff writers.”
The writers in the room had been invited merely to a meeting to understand what the existing union drive meant for them, Mr. Taub said, and had no sense that they were secretly being organized. He said it was misleading.
“Bluntly, re: NewsGuild, what it comes down to for me is that I would never hire an agent who had lied to or about me,” Mr. Taub wrote to a WhatsApp group for staff writers after the incident. (The NewsGuild’s president, Susan DeCarava, said in response to questions about the exchange that it “does not comment on confidential organizing conversations.”)
Unionized employees from Condé Nast marched from New York University to the home of Anna Wintour, Condé Nast’s global chief content officer, last Tuesday.Credit…John Taggart for The New York Times
The meeting’s host, Adam Davidson, had already been among the writers talking to Mr. Remnick about setting up a health care plan for writers. He summarized what he saw as the “consensus view” in another WhatsApp message to colleagues. (The contents of the writers’ group messages were shared with me on the condition I only quote people by name with their permission. Some of the material in this article is also drawn from reporting on this topic by my colleagues Noam Scheiber and Marc Tracy.)
“None of us want to do anything that could jeopardize the magazine we love. We don’t want so strong a union that mediocrity reigns and it’s impossible to get rid of poor performers. We actually kind of like the feeling that we need to continue to earn our place,” wrote Mr. Davidson, who is no longer a staff writer but still contributes to The New Yorker. “BUT, most of us would like to be able to get health insurance.”
The unionization effort has created an uncomfortable moment for the writers at The New Yorker, who have the kind of jobs and influence every journalist wants but few attain. It has set off reflections on their status and revealed the rare bond and unusual deference many of them feel toward Mr. Remnick.
About a month after the meeting at Mr. Davidson’s apartment, about 40 of the writers met in the community room at a West Village apartment building. The gathering was, many noted, probably the first time that so many of the magazine’s scattered staff members had ever been in one room, and someone invited the Magnum photographer Peter van Agtmael to document it. Jane Mayer came from Washington, and Lawrence Wright flew in from Austin, Texas. They sat in a big circle and, like the millennials only a few of them are, shared details of their own compensation arrangements.
The conversation made clear how inconsistent benefits and pay were among writers, and many left angry at Condé Nast over the opaque and uneven system. But they were also suspicious of the NewsGuild, and began a parallel set of meetings with its rival, the Writers Guild of America, East.
Neither effort has gained traction.
Many of the writers, it seemed, valued their independent contractor status. Some, led by Tad Friend and Jia Tolentino, used the threat of a union — and the suggestion that Condé Nast had illegally classified many of them as contractors, which the company disputes — to set up a process by which some writers could become employees with health benefits. A deal was finalized late last month.
And that has left the most prominent writers mainly watching from the sidelines in recent weeks as a bitter labor dispute has consumed their beloved magazine. The New Yorker is now working out the final details of a contract, and people on both sides appeared optimistic they would reach an agreement this week. They’ve agreed on a $55,000 starting salary and are hashing out issues like caps on potential health care cost increases, people familiar with the talks said — even as the Guild threatens a strike.
Many writers have tweeted in support. But no writers turned up at a protest outside Condé Nast headquarters on May Day, and none appeared to be present at a march outside the home of Condé Nast’s global chief content officer, Anna Wintour, on June 8.
The conflict has seized the attention of the industry not just because of the employees’ glee at holding the brand hostage in public, but also because it highlights big questions facing contemporary media. How much power can employers exercise over their employees? Are junior employees apprentices or a permanent creative underclass? And as the labor movement seeks to level the playing field, will the stars go along?
It’s all particularly personal at The New Yorker, where the campaign has pitted a culture built on personal relationships and deep trust against a group of employees who reject the idea that they should be subject to the whims of any boss, no matter how benign.
The easiest-to-understand element of the dispute involves the wages of the production employees, the group that includes everyone from fact checkers to social media editors. Some salaries start as low as $42,000 a year, and remain under $60,000 after 20 years on the job.
But other tensions revolve around the sense that the junior jobs only rarely offer promotions into the ranks of writers, and no clear career path.
Neither of these issues is new. In 1976, a group of employees got fed up with flat wages and, among other things, a 50 percent cut to the magazine’s annual psychiatric benefit, and brought in the union (then the Newspaper Guild) to set things right. The editor, William Shawn, responded with pained, elegant letters, warning that collective bargaining would undermine the “friendly, gentle, free, informal, democratic atmosphere” that made The New Yorker special. The employees ultimately backed down, rejecting the notion of unionism for what seemed in part to be cultural reasons.
An editor there, Daniel Menaker, wrote years later that he was “embarrassed about the ineffectuality and yes, ordinariness of the Guild people we’d come in contact with,” but also that Mr. Shawn’s conduct had been revealing — a classic case of liberals “turning to the right when the capitalist chips were down — just as I had been told, from my childhood on, liberals usually do.”
The New Yorker writer Janet Malcolm was asked during a libel case how compensation was set. “By the whim of the editor,” she replied.
Some salaries at The New Yorker start at $42,000 a year and remain under $60,000 after 20 years on the job.Credit…John Taggart for The New York Times
These days, however, the NewsGuild has the cultural wind at its back. A labor movement revival began when Gawker employees joined the W.G.A. in 2015 and has continued apace. There’s been nothing like it since the 1930s. (I’ve had a front-row seat to that and continue to at The New York Times, and wrote about the trend last year.)
And unlike organizers in the 1930s, the NewsGuild has social media. It never rains on a Twitter picket line. Writers who are skeptical of the union’s tactics — some told me they object to its confrontational social media style — have bitten their tongues or deleted critical tweets. In one recent Zoom call, writers even complained to Mr. Remnick of their fears of being bullied on Twitter if they diverge from union talking points.
And underlying much of the 2021 labor tensions are political tensions. The younger generation of employees is to the left of its elders on issues of substance. The New Yorker’s union, for instance, tweeted and then deleted its “solidarity with Palestinians from the river to the sea,” a phrase that some interpret as threatening violence.
Virtually all of The New Yorker writers I spoke to said they supported the union’s core economic goals, and believed the junior staff members deserve pay increases. The union includes 120 people and there are about the same number of staff and contributing writers. Many, including Ms. Nussbaum and Ms. Mayer, have spoken out in favor of the union’s current posture. But some also shun its blunt and adversarial language.
Some of the writers are also worried about the impact of a strike. On one recent Zoom call with union leaders, Mr. Wright, a former Teamster and longtime W.G.A. member, warned that a strike could last months and do immense damage.
But many writers also see what The New Yorker offers as a good deal: a prestigious place to publish that allows them to retain the rights to their work. It’s also a gateway into the real money — books, movies, speaking gigs or other opportunities in the broadening economic landscape for brand-name writers. Those opportunities now also include newsletter platforms like Substack, and a new start-up called Puck, a digital magazine in which star writers get a cut of the subscription business and a share of the company.
That dynamic poses a threat to both traditional, top-down media institutions and organized labor.
David Remnick at the American Society of Magazine Editors’ Ellie Awards ceremony in Brooklyn in 2019.Credit…Rebecca Smeyne for The New York Times
While the union won headlines by marching to Ms. Wintour’s house, which was guarded, disappointingly, by two low-key men in shapeless cotton shirts, Ms. Wintour has no real involvement in The New Yorker. Mr. Remnick reports directly to Condé Nast’s chief executive. He’s in a strong position. The magazine was once a charity case among flush glossies, but its subscription business, which boomed in the Trump years, has given its editor unique leverage: The New Yorker avoided companywide layoffs last year, and has also been left out of the rest of Condé Nast’s painful drive toward centralization.
Mr. Remnick declined to be interviewed, but said in an email that his two goals were “that we achieve our highest editorial ambitions and that we work together with fairness,” adding, “I’ll be glad to see us sign a foundational contract that memorializes our commitment to both.”
Many of the writers I spoke to said they saw Mr. Remnick as caught between an uncompromising union and an ailing parent company. Union activists tend to be less charitable, and feel he’s trying to have it both ways. Gili Ostfield, a production employee and union member, pointedly told HuffPost last week that if The New Yorker tries to print a diminished magazine without striking employees, it will be “a stain on David Remnick’s reputation.”
But the support Mr. Remnick retains among the signature writers is deep. Many talk of him as an adored, slightly feared and somewhat distant father whose approval they always seek. They also have deep confidence in his ability to make their work better.
The moment, of course, seems all the stranger, in that much of the conflict is playing out virtually, while everyone is working remotely.
Mr. Remnick has told some writers that he is simply eager for the conflict to be resolved. The editor, who is 62, has also said he doesn’t plan to follow the example of William Shawn, who ran the magazine until he was nearly 80 and the institution had become a kind of museum of itself.
He has tried to be reassuring, even as the prospect of putting out the print magazine without editorial staff members looms. No matter what happens, Mr. Remnick told writers on one recent Zoom call, he would not ask them to cross virtual picket lines.
Correction:
An earlier version of this article misidentified a New Yorker writer who attended a meeting to discuss union issues, and who has spoken in favor of the union’s posture. She is Jane Mayer, not Jane Kramer.
Thomas Frank rejoins the show to talk about the past, present, and future of the Democratic party. Hosts Matt Taibbi and Katie Halper look into the Trump rallies planned for this weekend.
Asthis was unfolding, most of Big Tech, including Amazon, sent white-collar workers home to “flatten the curve” and fight the pandemic. Tim saw company leadership go to great lengths to make sure this new system was working and actively seek feedback from the remote workers. Christy heard from a warehouse employee who said productivity targets made it difficult for workers to take a break even for hand washing without a mark on their record. Pay for warehouse workers starts at $15 an hour with minimal access to time off; in May Amazon ended the unpaid leave policy that for a few weeks allowed them to stay home if they had Covid-19 symptoms.The contrast in the treatment of knowledge and warehouse workers couldn’t be starker. Equally clear is the cause: One group has power, the other doesn’t.
Amazon’s decision to fire the activists was easy to make in the United States, where Amazon workers have no union and are left to fend for themselves. With no right to paid sick leave or protection from unfair dismissal, American workers are among the most vulnerable in the world to pressure from any employer, not just Amazon.
Union-represented Amazon workers in Spain, Italy, France and Germany initially failed to resolve their concerns through negotiation, but with court action, regulatory intervention and strikes, they got their needs addressed.
Let’s look at France: Unions there brought a civil case arguing that Amazon had taken inadequate steps to protect workers from infection risk and that it had sidestepped the unions’ statutory role. The court ordered Amazon to limit its sales to only “essential” items, or face harsh penalties until it could reach a safety agreement with the unions. Rather than negotiate, Amazon closed its French operations and appealed. But the appellate court also sided with the workers, who ultimately negotiated a settlement including mandatory union consultation over safety measures, union hiring of external experts to assess the measures’ effectiveness and a continued increase in workers’ hourly pay. The news from Europe shows that Amazon can work with unions and get good results.
Both of us want Amazon to share the wealth with workers and stop putting the relentless pursuit of revenue growth ahead of all other concerns. One way or another, this requires putting more power in the hands of workers. Regulation and legislation are part of the solution. But there’s no need to wait; power can be taken, not just given. That’s what unions are for.
Amazon is a data-driven company. It should recognize the evidence showing that countries with more collective bargaining have a stronger social fabric and better growth, and are more able to weather economic ups and downs. Businesses with collective bargaining relationships, including Auchan Retail and Carrefour, navigated the Covid-19 crisis with less disruption to their businesses and emerged with their reputations intact and even enhanced.
For its own future and the future of the global economy, Amazon should become more responsive to the women and men who’ve enriched shareholders and be willing to recognize and bargain with their representatives. When it comes to the rights of its workers, it should be a leader, not a laggard.
It’s not just Amazon: The need for more unionization is urgent across Big Tech. Amazon stands out because it combines the extraordinary profit margins of these companies with employing hundreds of thousands of front-line workers. There are fewer of these workers at the other iconic tech companies, but nevertheless their employees also deserve a voice over the issues that matter to them.
The question for Mr. Bezos and the billionaires of the world is: Are they ready to rise to the occasion? Will Big Tech listen to and work with its employees to help the world overcome the worst economic and social crisis in recent history?
Sir James Michael “Jimmy” Goldsmith (26 February 1933 18 July 1997) was an Anglo-French financier. Towards the end of his life, he became a magazine publisher and a politician. In 1994, he was elected to represent France as a Member of the European Parliament and he subsequently founded the short-lived eurosceptic Referendum Party in Britain.
In this interview, Sir Goldsmith discusses the ramifications of free-trade agreements that were about to take place in 1994 (GATT), as you can retrospectively see, he correctly predicted many of the things that happened after that.
Among the hoops that candidates for plum consulting jobs at McKinsey & Company had to jump through in late 2006 was a bit of play acting: They were given a scenario involving a hypothetical client, “a business under siege,” and told they would be meeting with its chief executive the next day. How would they structure the conversation?
One contender stood out that year: a 24-year-old Rhodes scholar named Pete Buttigieg.
“He was the only one who put all the pieces together,” recalled Jeff Helbling, a McKinsey partner at the time who was involved in recruiting. Mr. Buttigieg soon won the other candidates over to his approach.
“He was very good at taking this ambiguous thing that he literally had no background on and making sense of it,” Mr. Helbling said. “That is rare for anyone at any level.”
The preternatural poise that got Mr. Buttigieg hired at McKinsey has helped him rise from obscurity to the top tier of the 2020 Democratic primary presidential contest.
On the way there, he ticked all the boxes. Harvard. Rhodes scholar. War veteran. Elected mayor of a midsize city before age 30.
Mr. Buttigieg sells his candidacy, in large part, on his mayoralty of South Bend, Ind., and a civic revitalization there rooted in the kind of data-driven techniques espoused by McKinsey. His nearly three years at “the firm” set him apart from many of his campaign rivals, underpinning his position as a more centrist alternative to progressive front-runners like Senators Bernie Sanders and Elizabeth Warren.
Yet Mr. Buttigieg’s time at the world’s most prestigious management-consulting company is one piece of his meticulously programmed biography that he mentions barely, if at all, on the campaign trail.
As Mr. Buttigieg explains it, that is not a matter of choice. For all of his efforts to run an open, accessible campaign — marked by frequent on-the-record conversations with reporters on his blue-and-yellow barnstorming bus — McKinsey is a famously secretive employer, and Mr. Buttigieg says he signed a nondisclosure agreement that keeps him from going into detail about his work there.
But as he gains ground in polls, his reticence about McKinsey is being tested, including by his rivals for the Democratic presidential nomination. Senator Warren, responding last month to needling by Mr. Buttigieg that she release more than the 11 years of tax returns she already had to account for her private-sector work, retorted, “There are some candidates who want to distract from the fact that they have not released the names of their clients and have not released the names of their bundlers.”
Beyond Mr. Buttigieg’s agreement with McKinsey, this is something of an awkward moment to be associated with the consultancy, especially if you happen to be a Democratic politician in an election year shadowed by questions of corporate power and growing wealth inequality. The firm has long advocated business strategies like
raising executive compensation,
moving labor offshore and
laying off workers to cut costs.
And over the last couple of years, reporting in The New York Times and other publications has revealed episodes tarnishing McKinsey’s once-sterling reputation: its work advising Purdue Pharma on how to “turbocharge” opioid sales, its consulting for authoritarian governments in places like China and Saudi Arabia, and its role in a wide-ranging corruption scandal in South Africa. (All of these came after Mr. Buttigieg left the firm.)
Just this week, ProPublica, copublishing with The Times, revealed that McKinsey consultants had recommended in 2017 that Immigration and Customs Enforcement cut its spending on food for migrants and medical care for detainees.
After a campaign event on Wednesday in Birmingham, Ala., Mr. Buttigieg remarked on the latest revelations. “The decision to do what was reported yesterday in The Times is disgusting,” he said. “And as somebody who left the firm a decade ago, seeing what certain people in that firm have decided to do is extremely frustrating and extremely disappointing.”
The Buttigieg campaign says he has asked to be let out of his nondisclosure agreement so he can be more forthcoming about that formative time in his life. A McKinsey spokesman said Mr. Buttigieg “worked with several different clients” during his time with the firm, but “beyond that, we have no comment on specific client work.”
But interviews with six people who were involved in projects that Mr. Buttigieg worked on at McKinsey, along with gleanings from his autobiography, fill in some of the blanks.
New Recruit
Mr. Buttigieg was recruited by McKinsey at Oxford. The company seeks out Rhodes scholars like him, banking that their intellects will make up for their lack of M.B.A.s from traditional recruiting grounds like Harvard Business School.
Yet even during the recruitment process, Mr. Helbling recalled, Mr. Buttigieg made it known that, like many applicants, he saw the business experience on offer at McKinsey as a good job “in the near term,” in his case an asset on the way to a career in public service.
The work he did in his first year and a half at the firm — nearly a 10th of his adult life — is effectively a blank slate, though tax records give some hints. In 2007, his first year with the company, he filed tax returns in Illinois, where he worked out of the Chicago office, as well as in his home state of Indiana. But he also filed in Michigan, and in the city of Detroit, where he worked on a McKinsey project. In 2008, he filed a return in Connecticut (McKinsey has an office in Stamford). The next year, he filed in Connecticut and in California.
In early 2009 Mr. Buttigieg was spending his days, and many nights, in a glass-walled conference room in suburban Toronto. He was analyzing Canadian grocery prices, plugging the numbers into a database running on a souped-up laptop his colleagues nicknamed “Bertha.” PowerPoint slides and spreadsheets crept into his dreams.
He knew this wasn’t his calling.
“And so it may have been inevitable that one afternoon, as I set Bertha to sleep mode to go out to the hallway for a cup of coffee, I realized with overwhelming clarity the reason this could not be a career for very long: I didn’t care,” Mr. Buttigieg wrote in his autobiography, “Shortest Way Home.”
It was the only experience at McKinsey that Mr. Buttigieg wrote about in any detail. His next act at the firm didn’t merit a single complete sentence in the book. But it was a radically different, and for him far more interesting, public-spirited project: More than four years before he would be deployed as a Navy Reserve officer, he was heading to Iraq and Afghanistan.
McKinsey’s focus in Iraq during the latter part of George W. Bush’s presidency and the early years of Barack Obama’s was to help the defense department identify Iraqi state-owned enterprises that could be revived. The idea was to provide employment for men who might otherwise join the insurgency against the American-led occupation.
The McKinsey consultants on the ground in 2006 and 2007 were almost exclusively military veterans like Alan Armstrong, who flew fighters for the Navy and had an M.B.A. from the Wharton School at the University of Pennsylvania. Mr. Armstrong, in an interview, said that while the reasoning behind the program was sound, the ongoing insurgency and a crippled infrastructure — electricity, for example, was spotty or nonexistent — made execution very difficult.
But the program was popular among the top brass at the Pentagon. In 2006, the defense secretary, Donald H. Rumsfeld, met with the team in Iraq and asked about the “whiz kids” from McKinsey, which struck Mr. Armstrong as an obvious parallel to the Vietnam War era, when whiz kids of an earlier generation had worked for another defense secretary: Robert S. McNamara.
“McKinsey was more than willing to play along — they were being paid extraordinary rates to keep playing,” Mr. Armstrong said.
Another former McKinsey consultant who worked in Iraq recalled a surreal moment preparing a PowerPoint presentation while on a convoy to a shuttered food-processing factory, under the watchful eye of a burly private security guard. “It felt like we were completely half-assing everything — it wasn’t particularly effective,” he said.
Other former McKinsey consultants who worked on the Iraq project, Task Force for Business and Stability Operations, have a more positive recollection of the firm’s work.
“Over all I’m very proud of it,” said one consultant, who had met Mr. Buttigieg in Washington, where most of the McKinsey consultants assigned to the project worked when not visiting Iraq. Four of the six former McKinsey employees spoke on the condition that their names not be used, citing confidentiality agreements or the press policies of their current employers.
Image
Pete Buttigieg’s living quarters in Baghdad, where he recalls spending two nights in 2009.Credit…Buttigieg campaign
By 2009, the security situation in Baghdad was stable enough that McKinsey allowed in some nonveterans like Mr. Buttigieg, who had studied Arabic at Harvard. He went to Iraq aware of the stark similarities between the American experiences there and in Vietnam decades earlier.
At Harvard, his senior thesis had drawn parallels between the United States’ seeking to “save” Vietnam from “godless Communism,” and the 17th-century Puritan ministers who had come to America to civilize “savage lands.” In his autobiography and in an interview that has drawn charges of out-of-touch elitism from some quarters, he reflected on that history by quoting a passage from “The Quiet American” by Graham Greene: “Innocence is like a dumb leper who has lost his bell, wandering the world, meaning no harm.”
“I had protested the Iraq war,” Mr. Buttigieg said in an interview with The Times. “But I also believed that it was important to try to do my part to help have good outcomes there.” He found echoes, he said, of “the stories I had studied about well-intentioned Americans sometimes causing as many problems as they addressed.”
Mr. Buttigieg recalled spending only two nights in Baghdad, where McKinsey consultants were quartered in a building near the Tigris River, and “going to a ministry.” He never left the city during his time there, he said.
“Remember I’m like the junior guy, kind of new,” Mr. Buttigieg said. “It’s not like I was the one whose expertise was needed to sort out what was going on in the provinces.
“Eventually I knew what I was doing a little more and was more useful by the time I got to the Afghan side.”
Mission in Afghanistan
Mr. Buttigieg spent more time in Afghanistan. While Iraq had a fairly well-educated populace, a modern road system and large oil revenues, Afghanistan was far less developed. But the mission was similar: identify small and medium-size businesses to nurture so that they could employ Afghans, providing an attractive alternative to joining the Taliban while fueling economic growth.
Citing his nondisclosure agreement, Mr. Buttigieg declined to specify in the interview what he had worked on, though he mentioned having looked at opportunities in the agricultural industry — onions, tomatoes, olive oil — as well as paint manufacturing.
“They had some things to work with,” he said, “but would have benefited from support on things like business planning, more resources on how to plug in and eventually connections to markets too.”
In the years after Mr. Buttigieg left McKinsey, that program came under criticism from the Special Inspector General for Afghanistan Reconstruction. McKinsey had been awarded $18.6 million for the project, but the watchdog wrote in an April 2018 report that it had been able to find just one piece of related work product: a 50-page report on the economic potential of the city of Herat.
A former McKinsey consultant who worked in Afghanistan described a more extensive McKinsey presence there, involving work in the mining industry and a government transparency project, along with the Herat study.
“One of those sounds just exactly like what I was doing,” Mr. Buttigieg said. When asked which one, he said, “I can’t think of a way to answer that without getting in trouble with the N.D.A.”
Mr. Buttigieg’s work on the Afghanistan project ended in late 2009, close to the time he was commissioned as an officer in the Navy Reserve. And that October, when he was still several months from leaving McKinsey, he set in motion the next phase of his life: He registered as a candidate for office with the State of Indiana.
The next year, he lost a bid for state treasurer, after emphasizing his McKinsey experience during the campaign. (He recounted at one campaign event that after his Rhodes scholarship, “I came back and went into business, and I worked for a company where my job was to do math. I’m a card-carrying nerd.”) In 2011, at age 29, he was elected mayor of South Bend.
Mr. Buttigieg at a campaign event in Iowa last month.Credit…Tamir Kalifa for The New York Times
The full range of Mr. Buttigieg’s work at McKinsey isn’t clear, though in his autobiography he says that he worked on other projects, including “energy efficiency research” to help curb greenhouse-gas emissions for a client he didn’t name. He also found time in the summer of 2008 to travel to Somaliland, the autonomous region in the Horn of Africa. He went as a tourist, but while there talked to local officials and wrote an account of his experience for The International Herald Tribune.
Mr. Buttigieg has been asked on the presidential campaign trail about his time at McKinsey and, in several interviews this year, has sought to reconcile the company’s recent troubles with his own work there.
For Mr. Buttigieg, the solution to McKinsey’s ethical pitfalls may come in a rethinking of the rules that business abides by. Maximizing shareholder value, the North Star of modern American capitalism, has a downside when the rules of the game leave many people worse off, he said.
“The challenge is that’s not good enough at a time when we are seeing how the economy continues to become more and more unequal, and we are seeing the ways in which a lot of corporate behavior that is technically legal is also not acceptable in terms of its impact,” he said. “There has got to be a higher standard.”
