Mr. Guterres was delivering the 2020 Nelson Mandela Annual Lecture, held online for the first time, in light of the ongoing COVID-19 pandemic. The lecture series, held annually by the Nelson Mandela Foundation, on the birthday of the first democratically-elected President of South Africa, aims to encourage dialogue by inviting prominent personalities to discuss major international challenges.
The COVID-19 spotlight
Mr. Guterres began by noting that the COVID-19 pandemic has played an important role in highlighting growing inequalities, and exposing the myth that everyone is in the same boat, because “while we are all floating on the same sea, it’s clear that some are in superyachts, while others are clinging to the floating debris.”
Global risks ignored for decades – notably inadequate health systems, gaps in social protection, structural inequalities, environmental degradation, and the climate crisis – have been laid bare, he said. The vulnerable are suffering the most: those living in poverty, older people, and people with disabilities and pre-existing conditions.
Mr. Guterres pointed out that inequality take many forms. Whilst income disparity is stark, with the 26 richest people in the world holding as much wealth as half the global population, it is also the case that life-chances depend on factors such as gender, family and ethnic background, race and whether or not a person has a disability.
However, he noted that everyone suffers the consequences, because high levels of inequality are associated with “economic instability, corruption, financial crises, increased crime and poor physical and mental health.”
The legacy of colonialism and patriarchy
Colonialism, a historic aspect of inequality, was evoked by the Secretary-General. Today’s anti-racist movement, he said, points to this historic source of inequality: “The Global North, specifically my own continent of Europe, imposed colonial rule on much of the Global South for centuries, through violence and coercion.”
This led to huge inequalities within and between countries, including the transatlantic slave trade and the apartheid regime in South Africa, argued Mr. Guterres, and left a legacy of economic and social injustice, hate crimes and xenophobia, the persistence of institutionalized racism, and white supremacy.
Mr. Guterres also referred to patriarchy, another historic inequality which still resonates: women everywhere are worse off than men, and violence against women is, he said, at epidemic levels.
The UN chief, who described himself as a proud feminist, said he was committed to gender equality, and has made gender parity a reality across senior UN posts. He also announced his appointment of South African international rugby captain, Siya Kolisa, as a global champion for the Spotlight Initiative, which aims to engage men in fighting violence against women and girls.
‘Everyone must pay their fair share’ of tax
Turning to contemporary inequality, Mr. Guterres said that the expansion of trade, and technological progress, have contributed to “an unprecedented shift in income distribution”. Low-skilled workers are bearing the brunt, he warned, and face an “onslaught” from new technologies, automation, the offshoring of manufacturing and the demise of labour organizations.
Meanwhile, he continued, widespread tax concessions, tax avoidance and tax evasion, as well as low corporate tax rates, mean that there are reduced resources for social protection, education, and healthcare – services that play an important part in reducing inequality.
Some countries have allowed the wealthy and well-connected to benefit from tax systems, but “everyone must pay their fair share”, said Mr. Guterres, and governments need to tackle the “vicious cycle” of corruption, which weakens social norms and the rule of law, and shift the tax burden from payrolls to carbon, which would help to address the climate crisis.