Klaus Schwab Explained

Klaus Schwab
Office:Chairman of the World Economic Forum
Term Start:24 January 1971
Predecessor:Office established
Birth Date:30 March 1938
Birth Place:Ravensburg, Nazi Germany
Nationality:German
Children:2
Education:ETH Zürich (Dr. Sc. Tech)
University of Fribourg (Dr. Rer. Pol)
Harvard University (MPA)

Klaus Martin Schwab (pronounced as /de/; born 30 March 1938) is a German mechanical engineer, economist, and founder of the World Economic Forum (WEF). He has acted as the WEF's chairman since founding the organisation in 1971. In May 2024, WEF announced that Schwab will move from his role as Executive Chairman to Chairman of the Board of Trustees by January 2025. No successor has been named.[1] [2]

Early life and education

Klaus Martin Schwab was born on 30 March 1938, to Eugen Wilhelm Schwab and Erika Epprecht[3] [4] in Ravensburg. His parents had moved from Switzerland to Germany during the Third Reich in order for his father to assume the role of director at Escher Wyss AG, an industrial company and contractor for the Nazi regime.[5] [6] Although his father was baptized Lutheran,[7] Schwab was raised Catholic.[8] Although having three Swiss grandparents and two Swiss brothers, he is a citizen of Germany and has declined multiple offers for naturalization, from both Kurt Furgler and Ueli Maurer.[9]

Schwab attended first and second grades at the primary school in the Wädenswil district of Au, Zürich, in Switzerland. After World War II, his family moved back to Germany where Schwab attended the Spohn-Gymnasium in Ravensburg until his Abitur in 1957.[10] [11] In 1961, he graduated as a mechanical engineer from the Swiss Federal Institute of Technology in Zurich, with a doctorate in engineering, with a dissertation titled (Longer-term export credit as a business problem in mechanical engineering).[12] He also earned a doctorate in economics from the University of Fribourg,[13] [14] and a Master in Public Administration degree from the John F. Kennedy School of Government at Harvard University.[15] While attending Harvard, Schwab found a mentor in future National Security Advisor and Secretary of State Henry Kissinger.[16] [17]

Career

Schwab was professor of business policy at the University of Geneva from 1972 to 2003, and since then has been an honorary professor there.[13] Schwab and his wife Hilde created the Schwab Foundation for Social Entrepreneurship in 1998.[18]

World Economic Forum

In 1971, Schwab founded the European Management Forum, which was renamed as the World Economic Forum in 1987.[19] Also in 1971, he published .[20] In 2003 Schwab appointed José María Figueres CEO of the WEF,[21] as his successor. In October 2004, Figueres resigned[22] over his undeclared receipt of more than US$900,000 in consultancy fees from the French telecommunications firm Alcatel while he was working at the Forum.[23] [24] In 2006, Transparency International highlighted this incident in their Global Corruption Report.[25]

Schwab founded the Global Shapers Community in 2011 within the WEF to work with young people in "shaping local, regional and global agendas."[26] In 2015, the WEF was formally recognised by the Swiss Government as an "international body".[27]

As author

Schwab has authored or co-authored several books. Some consider him to be "an evangelist" for "stakeholder capitalism".[28] The Fourth Industrial Revolution, the subject of a 2016 book he wrote, is an idea he is credited with popularising.[29] In January 2017, Steven Poole in The Guardian criticised Schwab's Fourth Industrial Revolution book,[30] pointing out that "the internet of things" would probably be hackable. He also criticised Schwab for showing that future technologies may be used for good or evil, but not taking a position on the issues, instead offering only vague policy recommendations. The Financial Times innovation editor found "the clunking lifelessness of the prose" led him to "suspect this book really was written by humans—ones who inhabit a strange twilight world of stakeholders, externalities, inflection points and 'developtory sandboxes'."[31] The political scientist Klaus-Gerd Giesen argued that the dominant ideology of the Fourth Industrial Revolution is transhumanism.[32] [33]

Criticism

Salary level and lack of financial transparency

While Schwab declared that excessively high management salaries were "no longer socially acceptable",[34] his own annual salary of about one million Swiss francs (a little more than $1 million USD) has been repeatedly questioned by the media. The Swiss radio and television corporation SRF mentioned this salary level in the context of ongoing public contributions to the WEF and the fact that the Forum does not pay any federal taxes.[35] Moreover, the former journalist Jürgen Dunsch made the criticism that the WEF's financial reports were not very transparent since neither income nor expenditures were broken down.[36] Schwab has also drawn ire for mixing the finances of the not-for-profit WEF and other for-profit business ventures. For example, the WEF awarded a multimillion dollar contract to USWeb in 1998. Yet shortly after the deal went through, Schwab took a board seat at the same company, reaping valuable stock options.[37] [38]

Controversy with Davos municipality

In June 2021, Schwab sharply criticised the "profiteering", "complacency" and "lack of commitment" of the municipality of Davos in relation to the WEF annual meeting. He mentioned that the preparation of the COVID-related meeting in Singapore in 2021/2022[39] had created an alternative to its Swiss host and sees the chance that the annual meeting will stay in Davos at between 40 and 70 per cent.[40] [41]

Allegations of employer misconduct and harassment

On June 29, 2024, The Wall Street Journal published an article, authored by staff reporters Shalini Ramachandran and Khadeeja Safdar, stating that Schwab is accused by former WEF employees of having engaged in two instances of sexual harassment. Furthermore, a former employee alleges that she was "pushed out" from her role as leader of an initiative for startups, following a brief trial period, after telling Schwab she was pregnant. Schwab grew upset that she wouldn’t be able to continue working at the same pace, people familiar with the incident said, and told her she wasn’t suited for her new leadership role. A fourth allegation was that Schwab ordered the firing of all individuals over 50 years of age at the WEF, which then HR-chief Paolo Gallo refused to do. After this, Schwab allegedly fired Gallo. The article then went on to discuss alleged misconduct by other high-ranking WEF officials, which was not directly related to Schwab. The WSJ article quoted the WEF's response to the specific allegations against Schwab, which the authors had gathered before publishing the article, as: "Schwab has never made sexual advances toward an employee and the women's' allegations were vague and false" and that “Mr. Schwab does not and has never engaged in the vulgar behaviors you describe”. [42] Three days later, the WSJ article was reported on, separately and respectively, in Swiss daily newspapers Tages-Anzeiger and Neue Zürcher Zeitung, where WEF further commented that "it is deeply disappointing that the WSJ made provably false allegations" and that there existed a zero-tolerance policy for this sort of misconduct. [43] [44]

In the aftermath of these revelations, some commentators pondered the future of the WEF.[45]

Awards and honours

Among other awards, Schwab has been conferred with the French Legion of Honour (knight distinction), the Grand Cross with Star of the National Order of Germany, and the Japanese Grand Cordon of the Order of the Rising Sun.[46] He also was awarded the Dan David Prize,[47] and was recognized by Queen Elizabeth as an honorary Knight Commander of the Order of St Michael and St George.[46] Schwab has also received honorary degrees from various universities,[48] [49] including the National University of Singapore[50] and Kaunas University of Technology in Lithuania.[51]

Publications

Articles

Books

Personal life

Schwab married Hilde Schwab, his former assistant, in 1971.[52] The wedding took place in Sertig Valley at a Reformed church.[53] The couple live in Cologny in Switzerland.[54] The Schwabs have two adult children, Nicole (born 1975/1976) and Olivier. Nicole Schwab co-founded the Gender Equality Project.[55]

External links

Notes and References

  1. Web site: 2024-05-21 . World Economic Forum founder Klaus Schwab steps back from executive post . 2024-05-22 . Semafor . en.
  2. Web site: Gilchrist . Karen . 2024-05-21 . World Economic Forum founder Klaus Schwab to step back from executive role . 2024-05-22 . CNBC . en.
  3. Web site: Norton . Tom . 25 January 2022 . Klaus Schwab is not related to the Rothschild family . 2 April 2022 . Full Fact . en . Mr Schwab also dedicated his book “Stakeholder Capitalism”, published in 2021, to his parents Eugen Wilhelm Schwab and Erika Epprecht. . 19 April 2022 . https://web.archive.org/web/20220419060635/https://fullfact.org/online/klaus-schwab-rothschild-false/ . live .
  4. Book: Schwab . Klaus . Stakeholder Capitalism: A Global Economy that Works for Progress, People and Planet . Vanham . Peter . Wiley . 2021 . 978-1119756132.
  5. News: Norwegian Industrial Workers Museum World Heritage Site – ERIH . www.erih.net . de . 26 January 2023 . 26 January 2023 . https://web.archive.org/web/20230126005509/https://www.erih.net/i-want-to-go-there/site/norwegian-industrial-workers-museum-world-heritage-site . live .
  6. News: Gründer Klaus Schwab zur Geschichte des WEF und zum 50. Treffen in Davos: "Ich will mich von Greta nicht instrumentalisieren lassen". Neue Zürcher Zeitung. 20 January 2020. 1 February 2022. 27 February 2020. https://web.archive.org/web/20200227162637/https://www.nzz.ch/wirtschaft/klaus-schwab-zur-geschichte-des-wef-greta-thunberg-und-trump-ld.1534540. live . Fischer . Peter A. .
  7. Book: Deutschland, ausgewählte evangelische Kirchenbücher 1500-1971 . Evangelische Landeskirche Baden . 1971 . Karlsruhe, Germany . 215 . de . 865595685.
  8. Web site: Pfarrer in Davos über das Weltwirtschaftsforum . 10 October 2022 . domradio.de . 22 January 2020 . de . 10 October 2022 . https://web.archive.org/web/20221010214956/https://www.domradio.de/artikel/das-katholische-element-kommt-auch-zum-tragen-pfarrer-davos-ueber-das-weltwirtschaftsforum . live .
  9. Web site: swissinfo.ch/mga . 2019-08-18 . Switzerland mulls honorary citizenship for WEF founder Schwab . 2023-12-18 . SWI swissinfo.ch . en.
  10. Patrik Müller, Andreas Maurer. An impossible gift: Why the naturalisation of WEF founder Klaus Schwab will fail. Aargauer Zeitung, 20 August 2019.
  11. Jürgen Dunsch: Host of the Mighty: Klaus Schwab and the World Economic Forum in Davos. FinanzBuch Verlag 2016. p. 26f.
  12. Der längerfristige Exportkredit als betriebswirtschaftliches Problem des Maschinenbaues . 26 November 2020 . Research Collection . 1965 . ETH Zürich . 10.3929/ethz-a-000105052 . de . Schwab . Klaus Martin . 20.500.11850/135413 . Doctoral Thesis . 17 December 2020 . https://web.archive.org/web/20201217192620/https://www.research-collection.ethz.ch/handle/20.500.11850/135413 . live .
  13. Web site: Professor Klaus Schwab . World Economic Forum . en . 17 June 2021 . 14 May 2021 . https://web.archive.org/web/20210514170342/https://www3.weforum.org/docs/WEF_ProfessorKlausSchwab_Factsheet.pdf . live .
  14. Web site: Some of our Graduates . 26 November 2020 . Faculty of Management, Economics and Social Sciences, University of Fribourg . en . 29 October 2020 . https://web.archive.org/web/20201029171230/https://www3.unifr.ch/ses/en/fac/alumni/careers.html . live .
  15. Web site: Improving the State of the World: a Conversation with Klaus Schwab . 26 November 2020 . The Institute of Politics at Harvard University . 17 December 2020 . https://web.archive.org/web/20201217193538/https://iop.harvard.edu/calendar/events/improving-state-world-conversation-klaus-schwab . live .
  16. Web site: 2010 . A Partner in Shaping History: The First 40 Years . live . https://web.archive.org/web/20230821064210/https://www3.weforum.org/docs/WEF_First40Years_Book_2010.pdf . 2023-08-21 . 2023-08-31 . World Economic Forum.
  17. Web site: 1980 – Change, Celebration and Competitiveness – Building an International Organization for Public-Private Cooperation . 24 March 2022 . weforum.org . 15 March 2022 . https://web.archive.org/web/20220315012125/https://widgets.weforum.org/history/1980.html . live .
  18. Web site: Home . usurped . https://web.archive.org/web/20130414033510/http://www.schwabfound.org:80/sf/index.htm . 2013-04-14 . 2023-08-29 . Schwab Foundation for Social Entrepreneurship.
  19. Book: Pigman . Geoffrey Allen . The World Economic Forum: a multi-stakeholder approach to global governance . 2007 . Routledge . London . 978-0-415-70204-1 . 6–22.
  20. Book: Schwab, Klaus . Moderne Unternehmensführung im Maschinenbau . 2014 . 30 September 2019 . 30 September 2019 . https://web.archive.org/web/20190930075800/http://www3.weforum.org/docs/WEF_KSC_CompanyStrategy_Presentation_2014_DE.pdf . live .
  21. News: José Mariá Figueres Olsen President, Carbon War Room . eatforum.org . n.d. . 14 April 2022 . 13 August 2022 . https://web.archive.org/web/20220813173049/https://eatforum.org/person/jose-maria-figueres-olsen/ . live .
  22. Web site: CEO resigns. World Economic Forum. 29 October 2004 . 25 November 2021. 6 August 2020. https://web.archive.org/web/20200806194259/https://www.weforum.org/agenda/2004/10/ceo_resigns/. live.
  23. Web site: WEF director resigns over undeclared fees . SWI swissinfo.ch . 29 October 2004 . 25 November 2021 . 15 August 2020 . https://web.archive.org/web/20200815180653/https://www.swissinfo.ch/eng/wef-director-resigns-over-undeclared-fees/4171240 . live .
  24. Web site: Statement from the World Economic Forum . 29 October 2004 . 4 April 2022 . 4 April 2022 . https://web.archive.org/web/20220404110043/http://web.worldbank.org/archive/website00818/WEB/OTHER/STATEMEN.HTM . live .
  25. Web site: Global Corruption Report 2006 – Transparency International, Page 147. live. Global Corruption Report 2006 – Transparency International. 25 November 2021. 19 July 2021. https://web.archive.org/web/20210719090720/https://images.transparencycdn.org/images/2006_GCR_HealthSector_EN.pdf.
  26. Web site: Building a movement . live . https://web.archive.org/web/20230829183855/https://www.globalshapers.org/story . 2023-08-29 . 2023-08-29 . . en.
  27. Web site: Agreement signed with the WEF . 5 June 2020 . The portal of the Swiss government . 5 June 2020 . https://web.archive.org/web/20200605104241/https://www.admin.ch/gov/en/start/dokumentation/medienmitteilungen.msg-id-55987.html . live .
  28. News: Ramaswamy . Vivek . Vivek Ramaswamy . 25 January 2021 . 'Stakeholder Capitalism' Review: The Global, Olympian 'We' . Dow Jones & Company, Inc . Wall Street Journal . live . 14 April 2022 . https://web.archive.org/web/20220414135110/https://www.wsj.com/articles/stakeholder-capitalism-review-the-global-olympian-we-11611614435 . 14 April 2022.
  29. Philbeck . Thomas . Davis . Nicholas . 2018 . The Fourth Industrial Revolution . live . Journal of International Affairs . 72 . 1 . 17–22 . 0022-197X . 26588339 . https://web.archive.org/web/20221020003835/https://www.jstor.org/stable/26588339 . 20 October 2022 . 7 September 2022.
  30. Web site: Poole . Steven . 6 January 2017 . The Fourth Industrial Revolution review – adapt to new technology or perish . live . https://web.archive.org/web/20220514020937/https://www.theguardian.com/books/2017/jan/06/the-fourth-industrial-revolution-by-klaus-schwab-review . 14 May 2022 . 14 May 2022 . the Guardian.
  31. News: Thornhill . John . 19 November 2018 . Shaping the Future of the Fourth Industrial Revolution, by Klaus Schwab with Nicholas Davis . . live . 14 April 2022 . https://web.archive.org/web/20220414161402/https://www.ft.com/content/40797098-e991-11e8-885c-e64da4c0f981 . 14 April 2022.
  32. Giesen . Klaus-Gerd . 2018 . Le transhumanisme comme idéologie dominante de la quatrième révolution industrielle . Journal International de Bioéthique et d'Éthique des Sciences . 29 . 3 . 189–203 . 10.3917/jibes.293.0189 . 30767456.
  33. Book: Giesen . Klaus-Gerd . Ideologies in World Politics . 2020 . 978-3-658-30511-6 . Staat – Souveränität – Nation . 143–156 . The Transhumanist Ideology and the International Political Economy of the Fourth Industrial Revolution . 10.1007/978-3-658-30512-3_9 . 226609515.
  34. News: Meck . Georg . Zu hohe Managergehälter sind nicht mehr sozial verträglich . 7 December 2021 . Frankfurter Allgemeine Zeitung . Carsten Knop Berthold Kohler Jürgen Kaube Gerald Braunberger . 20 January 2013 . 13 November 2021 . https://web.archive.org/web/20211113004859/https://www.faz.net/aktuell/wirtschaft/weltwirtschaftsforum/wef-gruender-schwab-zu-hohe-managergehaelter-sind-nicht-mehr-sozial-vertraeglich-12031146.html . live .
  35. News: Knurrende Zustimmung vom Ständerat zu WEF-Geldern . 7 December 2021 . Schweizer Radio und Fernsehen . SRG SSR . 11 June 2021 . 13 July 2021 . https://web.archive.org/web/20210713084558/https://www.srf.ch/news/schweiz/geld-fuer-sicherheit-am-wef-knurrende-zustimmung-vom-staenderat-zu-wef-geldern . live .
  36. News: Busse . Caspar . Das Weltwirtschaftsforum ist zu einer Geldmaschine geworden . The World Economic Forum has become a money machine . . 17 January 2017 . de . 28 July 2021 . 5 August 2020 . https://web.archive.org/web/20200805111333/https://www.sueddeutsche.de/wirtschaft/davos-das-weltwirtschaftsforum-ist-zu-einer-geldmaschine-geworden-1.3334817 . live .
  37. News: Flynn . Julia . Stecklow . Steve . 27 January 2000 . Davos Chief Dabbles in For-Profit Firms, Raising Questions About Forum's Priorities . . 5 March 2022 . 5 March 2022 . https://web.archive.org/web/20220305045144/https://www.wsj.com/articles/SB948928430620817752 . live .
  38. Web site: Goodman . Peter . 18 January 2022 . How Klaus Schwab Built a Billionaire Circus at Davos . 4 March 2022 . . 26 February 2022 . https://web.archive.org/web/20220226031528/https://www.vanityfair.com/news/2022/01/how-klaus-schwab-built-a-billionaire-circus-at-davos . live .
  39. News: WEF Cancels Singapore Meeting as Pandemic Haunts Global Event . Catherine . Bosley . 17 May 2021 . Bloomberg . 16 August 2021 . 30 July 2021 . https://web.archive.org/web/20210730163733/https://www.bloomberg.com/news/articles/2021-05-17/world-economic-forum-to-cancel-annual-meeting-in-singapore . live .
  40. News: Pöschl . Fabian . WEF-Chef Klaus Schwab droht Davos wegen überrissener Preise . 25 June 2021 . 20 Minuten . de . 16 August 2021 . 30 July 2021 . https://web.archive.org/web/20210730163735/https://www.20min.ch/story/wef-chef-droht-davos-wegen-ueberrissener-preise-917744096507 . live .
  41. News: WEF-Gründer Klaus Schwab kritisiert Davos scharf . 24 June 2021 . Blick . de . 16 August 2021 . 30 July 2021 . https://web.archive.org/web/20210730163734/https://www.blick.ch/wirtschaft/geschaeftemacherei-selbstzufriedenheit-wef-gruender-klaus-schwab-kritisiert-davos-scharf-id16627148.html . live .
  42. News: Ramachandran . Shalini . Safdar . Khadeeja . June 29, 2024 . Behind Davos, Claims of a Toxic Workplace . 5 July 2024 . The Wall Street Journal.
  43. News: Schuler . Edgar . 2 July 2024 . Berichte über Belästigung und Diskriminierung unter Klaus Schwab . 5 July 2024 . Tages-Anzeiger online.
  44. News: Weder . Janique . 2024-07-03 . Schwere Vorwürfe gegen Klaus Schwab: Das WEF weist Bericht zurück . 2024-07-05 . Neue Zürcher Zeitung . de-CH . 0376-6829.
  45. Web site: MSN . 2024-07-05 . www.msn.com.
  46. Web site: NUS confers highest honour on World Economic Forum Founder and Executive Chairman Prof Klaus Schwab and social service champion Gerard Ee . 26 November 2020 . nus.edu.sg . 17 December 2020 . https://web.archive.org/web/20201217193632/https://news.nus.edu.sg/nus-confers-highest-honour-on-world-economic-forum-founder-and-executive-chairman-prof-klaus-schwab-and-social-service-champion-gerard-ee/ . live .
  47. Web site: 25 November 2021. Klaus Schwab. 25 November 2021. Dan David Prize. en-US. 25 November 2021. https://web.archive.org/web/20211125125031/https://dandavidprize.org/laureates/klaus-schwab/. live.
  48. News: No Swiss citizenship for WEF founder Schwab, reports say . 24 May 2023 . Swissinfo.ch . 12 November 2019.
  49. News: Professor Klaus Schwab . 24 May 2023 . United Nations.
  50. News: Sin . Yuen . Charity Council chairman Gerard Ee, World Economic Forum founder Klaus Schwab get honorary doctorates from NUS . 24 May 2023 . Straits Times . 6 July 2017.
  51. News: Prof K. Schwab, founder of WEF to become the 45th Honorary Doctor of KTU . 24 May 2023 . The Lithuania Tribune . 5 October 2017.
  52. News: Whitney . Craig . 28 January 1997 . Political and Corporate Elite Soak Up Big Ideas at Davos . The New York Times.
  53. Web site: SI_2010_05 by Schweizer Illustrierte – Issuu. 9 February 2010 . 15 April 2022. 15 April 2022. https://web.archive.org/web/20220415003419/https://issuu.com/schweizer-illustrierte.ch/docs/si_2010_5. live.
  54. Edwards . Haley . 4 February 2019 . The Optimist's Playbook . 193 . 62–65 . Time.
  55. News: Bernaudon . Sylvie . Les 20 femmes qui font la Suisse . 28 November 2021 . Bilan – B Economie . Tamedia Publications . 31 May 2012 . 29 November 2021 . https://web.archive.org/web/20211129141518/https://www.bilan.ch/economie/les_20_femmes_qui_font_la_suisse . live .

This article is licensed under the GNU Free Documentation License. It uses material from the Wikipedia article "Klaus Schwab".

Except where otherwise indicated, Everything.Explained.Today is © Copyright 2009-2024, A B Cryer, All Rights Reserved. Cookie policy.