Julianne Malveaux Column

 

SHAKEUP, NOT SHAKEDOWN

BY JULIANNE MALVEAUX

 

            Go along to get along is the great American way.  Most of us get into a groove, and do the same things the same ways until something comes along to rock our world.  Maybe it's the bacon and eggs for breakfast until the cholesterol patrol lets us know that oatmeal or fruit is a wiser choice. Maybe it's AT&T until we find a greater, cheaper deal with another carrier.

 

            Until we get that push, though, we're happy to stay in a comfort zone.  We do business with the same people, drive to work the same way, go to the same machines at the gym, until something nudges us to do better. Corporate America is no different than the rest of us.  They contract work out to the same lawyers and accountants they've been working with for decades unless someone is indicted or they are nudged to make a better deal.  They go to the same schools to recruit staff because they are happy with those they've hired from that school.  From the inside it seems understandable.

 

            From the outside it can be rather frustrating, especially if one is trying to get a foot in the door.  It can be especially frustrating when one understands that comfort frequently trumps the economic theory that says a corporation will shop for the cheapest, the best, and the most efficient. And it can be more than frustrating, bordering on discrimination, when people of color, who came late to the corporate table, find doors constantly slammed in our faces.

 

            Who shakes corporate America up?  The Rev. Jesse Jackson, founder of the Rainbow PUSH Coalition, is among the best.  He does it both with a carrot and with a stick, on one hand creating synergy and dynamic opportunities for young African Americans to network with those corporations who used to hire and contract only through the "good old boy" system.   And he does it with a stick that rarely comes out, that stick being called the boycott.  Jackson learned at the feet of the best, the Rev. Martin Luther King, who said, "If you will respect my person, you must respect my dollars".  The Montgomery Bus Boycott was an example of an effective boycott that had profound economic consequences, but King's Operation Breadbasket also targeted supermarkets and others who did business in the African American community without hiring African Americans.  Jackson has pretty much done the same thing, with the boycott threat lurking behind his negotiation attempts.

 

            Is there anything wrong with Jackson's efforts?  I don't think so, but Kenneth Timmerman, author of Shakedown:  Exposing the Real Jesse Jackson (Regnery Publications) has all kinds of issues with Jackson.  Mostly, he says that Jackson's corporate negotiation amount to little more than a shakedown.  He takes great pains to "prove" that Jackson is less a change agent than a con artist.  Unfortunately his "proof" relies on shoddy research and innuendo.  Still, it is easy to see why Timmerman's book has sold enough copies to earn a place on the Los Angeles times Best Seller list.

 

            Someone as effective and controversial as Rev. Jesse Jackson can't help but attract critics. Would that this critic were accurate.  Something got stuck in my craw when Timmerman described African American Melody Hobson, President of Ariel Capital Management, as a white assistant to Ariel CEO John Rodgers.  I suppose that error hit me hard because I've been so proud of Hobson's success.  African American women are so underrepresented in the financial services arena that I think folk like Hobson need to be celebrated, not maligned by a shoddy researcher like Timmerman.  Further, Hobson is so frequently on CNBC as a financial commentator that one wonders where Timmerman has been.

 

            That's a minor error, but a telling one.  I could spend this whole column detailing others.  The bottom line, though, is that Timmerman doesn't like Jackson's way of doing business and he goes to great pains to say so.  He does not admit that African Americans are so underrepresented in corporate life that the intervention of Jackson is necessary.  Instead, he suggests that there is sufficient African American success and Jackson just gets in the way.  But if he queried some of the people who attend Jackson's conferences, he'd find success stories that suggest that Jackson's intervention has been important in developing deals and providing access to folks who might otherwise be locked out of corporate boardrooms.  To be sure, a handful of black men now lead Fortune 500 companies, but African Americans still represent fewer than one percent of corporate directors, and two percent of senior corporate management.  If a few more get opportunities because of Jackson, that's a good thing.  It's a shakeup, not a shakedown.

 

            The fact is that our nation has been re-examining "business as usual" for at least two decades.  More African Americans and women are players, but these players would be the first to say the playing field isn't level.  They would share that corporate American is in the middle of a shakeup, and that Rev. Jackson work has been an important part of the quest to make Wall Street more representative and more diverse.  For people like me, that's a good thing. For Timmerman, it's a shakedown.


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