:00:19. > :00:23.Ireland's coalition government meets today to try to resolve a split over
:00:24. > :00:27.a European Commission ruling that it is owed billions
:00:28. > :00:29.of dollars in back taxes by the US technology giant,
:00:30. > :00:35.Also in the programme, over a million workers
:00:36. > :00:44.as part of a nationwide protest by unions.
:00:45. > :00:47.Things trading higher at the moment. But weak volumes ahead of a key jobs
:00:48. > :00:55.report from the US later. And we'll be getting the inside
:00:56. > :00:57.track on the all-important US jobs data and what's at stake
:00:58. > :00:59.with the upcoming G20 summit with our economics
:01:00. > :01:04.editor, Kamal Ahmed. Today we want to know,
:01:05. > :01:07.is brown in town ever acceptable? If you have no idea what I'm talking
:01:08. > :01:12.about - according to Investment bankers and lawyers and the like -
:01:13. > :01:16.the dress code in the city of London Let us know using the hashtag
:01:17. > :01:30.BBCBizLive. We start in Ireland where
:01:31. > :01:37.Cabinet Ministers meet shortly to decide their next move in the tax
:01:38. > :01:41.row with Brussels over Apple. The European Commission has
:01:42. > :01:43.of course ruled this week that Ireland's preferential
:01:44. > :01:45.tax arrangements with Let's just remind you of the numbers
:01:46. > :01:57.here: The Commission says in 2014 Apple paid the equivalent of this,
:01:58. > :02:02.a tax rate of just 0.005%. It's demanding Apple pays 13 billion
:02:03. > :02:05.euros in back taxes. But Ireland's leaders are split over
:02:06. > :02:09.whether to take the windfall and jeopardise relations with other
:02:10. > :02:12.multinationals also based there The affair has resonated
:02:13. > :02:19.through the corporate world because Apple is just one
:02:20. > :02:23.of the huge companies attracting the attention of this
:02:24. > :02:30.lady, EU competition Starbucks, Fiat, BP,
:02:31. > :02:33.and brewing giant AB Inbev are among those ordered to pay tens
:02:34. > :02:39.of millions of euros in back taxes after their deals
:02:40. > :02:41.were ruled illegal. But those rulings could be dwarfed
:02:42. > :02:47.by an EU investigation into Amazon's tax deal with Luxembourg
:02:48. > :02:55.dating back to 2003? It claims most of Amazon's European
:02:56. > :02:58.profits came through a subsidiary there whose structure meant
:02:59. > :03:03.it avoided paying tax. There's a similar investigation
:03:04. > :03:05.into McDonald's and its channelling The Commission claims the fast-food
:03:06. > :03:14.chain hasn't paid corporate taxes on franchise royalties in Europe
:03:15. > :03:17.and Russia since 2009. Meanwhile, Luxembourg denies giving
:03:18. > :03:22.either firm special treatment. Amazon and McDonalds say
:03:23. > :03:39.they believe they've been paying It's becoming a much bigger issue.
:03:40. > :03:42.Simon jack joins me now. The Irish Cabinet is meeting today. Irish
:03:43. > :03:45.leaders, including the Prime Minister, they're in a tricky
:03:46. > :03:54.position. They're split over whether or not to accept this windfall.
:03:55. > :03:57.Yeah, the ruling minority ministers are resolute they want to appeal
:03:58. > :04:00.this and say Ireland's done nothing wrong. We are going to appeal the
:04:01. > :04:05.European Commission. The European Commission is overreaching it self
:04:06. > :04:08.and getting into matters which are naturally national Sovereign
:04:09. > :04:11.matters. However, they have a coalition with the independent
:04:12. > :04:16.alliance MPs and they're not so sure they want to be sending a message
:04:17. > :04:22.that they are complicit in this tax avoidance. It's a lot of money. How
:04:23. > :04:25.often does a Government get told it has a windfall of 13 billion and are
:04:26. > :04:29.going not sure we want it. They're going to have another meeting. It's
:04:30. > :04:31.not certain they will resolve it. They've two-and-a-half months to
:04:32. > :04:37.appeal this to the European Commission. Apple is saying it will
:04:38. > :04:42.appeal. Tim Cook yesterday put out a striking statement, he tried to
:04:43. > :04:47.circle his wagon saying Apple has done nothing wrong, Ireland has done
:04:48. > :04:50.nothing wrong, let's stick together. Let's stop the European Commission
:04:51. > :04:55.from meddling in this way. A meeting today but lots of issues to discuss.
:04:56. > :05:02.He was quite emotional saying this was to do with politics. He also
:05:03. > :05:05.raised this issue of potentially repatriating some of Apple's money
:05:06. > :05:09.offshore back to the States. That's interesting. That was interesting
:05:10. > :05:15.for me about what he said. In the past they've had enormous cash pile
:05:16. > :05:20.outside the US, they say we can't take this 200 billion back to the
:05:21. > :05:25.United States because we would get sued by our own shareholders for
:05:26. > :05:29.wasting money. 35%? Because the taxes there, thank you for pointing
:05:30. > :05:32.that out, 35%. What they're saying is we are going to repatriate
:05:33. > :05:39.several billion dollars of that. How much we don't know. But it's a
:05:40. > :05:49.definite change and will please, in a way it's a political bone they're
:05:50. > :05:52.throwing to the US law-makers. So a big change in tack there. It's
:05:53. > :05:56.interesting when this comes to Europe. The European Commission is a
:05:57. > :06:00.deeply unpopular institution. Most people associate it with austerity
:06:01. > :06:05.across Europe. They must have thought cracking down on tax and tax
:06:06. > :06:08.loopholes was an easy win for them. Do you think they've misjudged the
:06:09. > :06:13.mood or whether or not they've the timing just right ahead of the G20
:06:14. > :06:17.and the US presidential elections this year, it's jumped up the
:06:18. > :06:22.agenda. Definitely the G20 coming up. We have put - this has put tax
:06:23. > :06:26.right at the top of the agenda. The commission are unpopular, when it
:06:27. > :06:31.comes to things like competition, if you ask most consumers they've done
:06:32. > :06:33.good, if you remember roaming charges and different cartels, there
:06:34. > :06:37.were construction cartels they got involved in. I don't think they've
:06:38. > :06:41.misjudged the public mood. They've in a way embarrassed US law-makers
:06:42. > :06:47.saying they've stolen a bit of their thunder, saying if you can't sort
:06:48. > :06:54.this out we will go in. They say, the US would say we had a
:06:55. > :06:58.collaborative bit by bit approach with the OECD, we made small
:06:59. > :07:03.progress. The UK is doing diverted profits, we were getting there. You
:07:04. > :07:06.jumping in with both feet is not helpful to that international
:07:07. > :07:11.effort. And if anyone is owed back taxes, it's us, not Ireland. It's a
:07:12. > :07:15.great row! As you say, it's implications, lots
:07:16. > :07:20.of big companies. There is no doubt that it seems that the landscape is
:07:21. > :07:27.changing around this thorny issue. Thank you so much.
:07:28. > :07:32.Let's look at some other news. World leaders are gathering in China
:07:33. > :07:36.where the G20 summit is kicking off on Sunday. The US President is
:07:37. > :07:40.expected to address the issue of controlling corporate tax avoidance.
:07:41. > :07:43.Other challenges such as the slowing world economy, refugees and
:07:44. > :07:47.terrorism is also likely to be at the forefront. Quite a list.
:07:48. > :07:52.Exactly and more on that in a bit. Facebook founder Mark Zuckerberg
:07:53. > :07:55.says he is "deeply disappointed" at the loss of the company's first
:07:56. > :07:58.satellite - that was due to deliver broadband internet coverage
:07:59. > :08:00.for large parts of sub-Saharan The Amos-6 satellite was destroyed
:08:01. > :08:06.when a SpaceX rocket exploded on the launch pad at Cape Canaveral
:08:07. > :08:09.where it was being test-fired ahead US supermarket chain Walmart
:08:10. > :08:15.plans to cut 7,000 back office and accounting jobs
:08:16. > :08:21.in its US stores. The move comes after a pilot
:08:22. > :08:23.programme in 500 stores this summer A Walmart official said
:08:24. > :08:27.the employees affected by the changes would have the option
:08:28. > :08:40.of moving into jobs serving We want to take you through a few
:08:41. > :08:46.stories that caught our eye on the business live tablet today.
:08:47. > :08:59.Including this one, I thought it was interesting. It's about this is from
:09:00. > :09:05.Samsung. They may issue a recall. It's because of faulty batteries
:09:06. > :09:09.catching fire. It sounds hazardous. Yesterday we believe Samsung
:09:10. > :09:13.suspended shipments of this note seven for additional tests. The
:09:14. > :09:19.timing is not great for the tech giant. It's struggling with its new
:09:20. > :09:26.premium device and happening at a time with a week off from the latest
:09:27. > :09:30.iPhone launch from Apple. That could be overshadowed. And they're all
:09:31. > :09:35.meeting at this conference in Berlin. Might be an unwelcome
:09:36. > :09:45.talking point. Now to India. More than one million
:09:46. > :09:46.workers are expected to be on strike today in a nationwide protest by
:09:47. > :09:53.unions. Shilpa has been following unions. Shilpa has been following
:09:54. > :09:57.this from Delhi. A million workers, that's pretty extraordinary. It is.
:09:58. > :10:02.Actually the trade unions are claiming even higher numbers. The
:10:03. > :10:07.head of the central trade union has told us just before this and he said
:10:08. > :10:11.there are over 150 million members out on the streets. We have to wait
:10:12. > :10:17.and see how many of these actual workers are on the streets and how
:10:18. > :10:22.much of this protest has taken on. The southern states have been
:10:23. > :10:27.affected, they have been wider protests there, compared to the rest
:10:28. > :10:34.of India. But public sector banks shut so many can't access bank
:10:35. > :10:38.accounts. Crucially, things like power supplies are not affected,
:10:39. > :10:42.essential supplies not affected. Public transport has more or less
:10:43. > :10:46.been running and railway staff are not part of the strike which means
:10:47. > :10:53.the key transport lines are working. Many thanks for that.
:10:54. > :10:56.Let's check in with the equity markets and see about their
:10:57. > :11:03.progress. Asian markets have been drifting ahead of the US jobs data
:11:04. > :11:06.for August. Stocks are subdued. The dollar and gold flat ahead of those
:11:07. > :11:12.key figures. That's what was going on with the markets in Asia.
:11:13. > :11:17.This is the picture opening up across Europe. I want to mention
:11:18. > :11:21.oil, because the price is rising. Russia says it's confident that
:11:22. > :11:26.major producers will agree a deal to freeze output. One could say they
:11:27. > :11:30.would say that, wouldn't they! One could definitely say that, I think.
:11:31. > :11:34.Let's talk through the market numbers now with Richard Dunbar. Is
:11:35. > :11:38.it fair to say markets are in something of a wait and see mode at
:11:39. > :11:42.the moment ahead of these key US jobs numbers we are expecting? We
:11:43. > :11:45.are back to this position on a Friday afternoon waiting for the
:11:46. > :11:49.monthly jobs data. This is an interesting set of data. The August
:11:50. > :11:53.data is often poorly forecast by investors so investors are looking
:11:54. > :11:57.for 180,000 jobs to have been added in the US, further confirmation that
:11:58. > :12:00.the US economy is growing. And probably will follow further
:12:01. > :12:04.affirmation that US interest rates may rise on the back of that. The
:12:05. > :12:09.August data can be dodgy, can't it? It is a bit, it's poorly forecast by
:12:10. > :12:13.markets. It's a difficult time. It's a different time with the summer
:12:14. > :12:18.holidays, etc. I think the data is poor, the forecasting of that data
:12:19. > :12:21.is poor. We will see what comes out at lunchtime but I suspect we will
:12:22. > :12:24.see further confirmation of a US economy that's in better health than
:12:25. > :12:29.perhaps we thought it would have been a year ago. Looking back over
:12:30. > :12:34.what's happened over the course of the week, a mixed one when it comes
:12:35. > :12:39.to Mergers and acquisitions activity. Arms holdings, a great
:12:40. > :12:49.British company taken over by a Japanese company. We have also seen
:12:50. > :12:55.the bid for - mixed messages. Last year was the best year since 2007
:12:56. > :12:58.for Mergers and acquisitions with cheap money, confident boardrooms
:12:59. > :13:03.and not a lot of growth around. I suspect we will see that activity
:13:04. > :13:10.pick up again. Mixed messages over the week. We also had more data this
:13:11. > :13:19.week about the state of the UK economy post that June referendum
:13:20. > :13:23.vote. Good manufacturing PMI. Things were pretty good, perhaps not
:13:24. > :13:28.surprising given sterling has fallen 10%. No news on Brexit and sterling
:13:29. > :13:36.is 10% cheaper making it easier for them to export. Good news. Further
:13:37. > :13:43.good news on various aspects of the UK economy the last few weeks. Thank
:13:44. > :13:48.you. You will stick around, for now, thanks.
:13:49. > :13:54.Still to come why the jobs numbers in the US matter and what we can
:13:55. > :13:56.expect from the G20 summit. That's coming your way. You are with
:13:57. > :14:00.Business Live from BBC News. It could be a tough time
:14:01. > :14:03.for graduates this year - the number of job vacancies has
:14:04. > :14:06.fallen for the first time in four years, with the sharpest falls
:14:07. > :14:08.in retail, engineering The number of jobs available is down
:14:09. > :14:13.8% since last year which means there are just under
:14:14. > :14:17.20,000 positions to fill. Stephen Isherwood is
:14:18. > :14:19.the Chief Executive of the Association of
:14:20. > :14:24.Graduate Recruiters. Stephen, what's going on,
:14:25. > :14:36.how much has the vote to leave It's a mixture of the vote to leave
:14:37. > :14:40.the EU and also general uncertainty in the global economy so we find
:14:41. > :14:44.graduate vacancies very much track what's happening with the economy,
:14:45. > :14:49.so our sense is employers are being a bit more cautious than they were
:14:50. > :14:52.last year, when we had double-digit growth, so there is a slight
:14:53. > :14:55.contraction in the market but we are seeing that counterbalanced by an
:14:56. > :14:58.increase in the number of apprentice level vacancies so it's a mixed
:14:59. > :15:02.picture at the moment. I wanted to talk to your about that because I
:15:03. > :15:05.wonder how many firms are repackaging what were effectively
:15:06. > :15:11.graduate roles as high apprentice ship jobs in order to make up the
:15:12. > :15:15.numbers and look good in terms of the company perspective, but
:15:16. > :15:19.actually the graduates are missing out? It's been a long-term trend of
:15:20. > :15:22.employers looking at broader talent pools, so much focused on graduate
:15:23. > :15:27.and also the school leave entry routes, are there particular
:15:28. > :15:31.training platforms that work better to get that broader talent pool? The
:15:32. > :15:35.apprentice level is adding fuel to that fire which has already been
:15:36. > :15:40.smouldering away for the last few years. The levy isn't in place yet.
:15:41. > :15:44.It's not until next April when the funding structure changes in effect.
:15:45. > :15:48.I think we are seeing some organisations pre-empting that to a
:15:49. > :15:52.certain extent. How scary is the job situation for young people coming
:15:53. > :15:56.out of school or university or college these days? I don't want to
:15:57. > :15:59.be doom and gloom because there was a danger that people get the message
:16:00. > :16:03.that there is no vacancies out there. There are thousands of
:16:04. > :16:07.vacancies out there and school leave a vacancies. We have employers which
:16:08. > :16:12.don't fulfil all of their vacancies all year, even 2009, the last
:16:13. > :16:16.session, they couldn't find enough people but the right level of
:16:17. > :16:19.skills, so it's a tough market. Young people need to prepare for
:16:20. > :16:24.that market, make themselves employable, build their CV is, do
:16:25. > :16:28.research, I'm not saying it's not tough, but there are positions out
:16:29. > :16:32.there. There is a viable jobs market out there and some employers have
:16:33. > :16:37.increased their vacancies. Good advice. Thank you, Stephen.
:16:38. > :16:44.Ireland's coalition government meets today to try to resolve a split over
:16:45. > :16:47.a European Commission ruling that it is owed billions of dollars
:16:48. > :16:57.in back taxes by the US technology giant, Apple.
:16:58. > :17:03.In one case there is a situation for do we jeopardise the relationship we
:17:04. > :17:08.have with this company and all multinationals or do we just take
:17:09. > :17:12.the money and run? 13 billion euros sounds nice. It's a lot of money.
:17:13. > :17:14.It's bizarre they are spread over this decision in some ways.
:17:15. > :17:18.A quick look at how markets are faring.
:17:19. > :17:25.A fairly muted picture as we said earlier. A lot of markets are
:17:26. > :17:32.holding back bed of these key US jobs numbers due out later in the
:17:33. > :17:36.day. The FTSE 100 is up 25 points higher but the house-builders are
:17:37. > :17:40.the big losers of the moment on the FTSE 100. All four of the players
:17:41. > :17:52.are down. Barclays is down by 3% at the moment. The FTSE 250 is also
:17:53. > :17:55.down. Go ahead, transport company, those shares are going up on the
:17:56. > :17:56.back of higher annual profits. More on the website.
:17:57. > :17:59.And now let's get the inside track on this week's news with our
:18:00. > :18:12.Many thanks for coming into the studio. We were talking about it
:18:13. > :18:17.earlier, the fact US jobs is on the mind of traders this week, but let's
:18:18. > :18:20.begin by talking about what's coming up, the G20's. Remind us what it
:18:21. > :18:29.really is, why it's important. It's the world's richest nations,
:18:30. > :18:34.America, Britain, France, Germany, Brazil, Mexico, India, the most
:18:35. > :18:41.important economic nations, China, of course, and it's almost like a
:18:42. > :18:44.Christmas dinner after a series of family rows. It can all be a bit
:18:45. > :18:49.uncomfortable. Of course we have the imminent divorce, Britain planning
:18:50. > :18:53.to leave the European Union. We have tensions between China and the UK,
:18:54. > :18:58.written and postponed the final decision on the big new Hinkley
:18:59. > :19:04.nuclear power station jointly funded by Russia and China in the UK.
:19:05. > :19:08.Tensions over tax, as you have been discussing. America and the European
:19:09. > :19:15.Commission at loggerheads over this tax bill for Apple. And the warning
:19:16. > :19:19.from the IMF saying growth is low across the world and countries need
:19:20. > :19:22.to think much more carefully about their fiscal policies, not just
:19:23. > :19:26.relying on central banks and monetary policy, to re-spark that
:19:27. > :19:31.growth, so there's a lot of tensions. Russia over Ukraine and
:19:32. > :19:34.its own economic problems because of a commodity prices. Brazil in
:19:35. > :19:42.teaching former Presidents. There is a lot to go out. This is Barack
:19:43. > :19:47.Obama last 20. Theresa May, her first. I think there will be a lot
:19:48. > :19:52.of robust discussion. A real change in mood, the you, Barack Obama
:19:53. > :19:55.leaving, who will be the next president? There are some big
:19:56. > :20:00.tectonic plates shifting in the economy. It's an important G20. One
:20:01. > :20:04.of those tectonic plate is around trade and the changes in attitude.
:20:05. > :20:09.The IMF talk about globalisation at watching it up the agenda, but do
:20:10. > :20:12.you think we are fighting a losing battle across the world when it
:20:13. > :20:19.comes to protectionism? Trade deals have collapsed. Certainly the World
:20:20. > :20:22.Trade Organisation brought out a report saying protectionism is
:20:23. > :20:28.growing. Politicians are very aware that lots of people in countries
:20:29. > :20:32.feel that they have missed out on global growth. If you are a medium
:20:33. > :20:36.or low income person or family, you haven't enjoyed the riches of the
:20:37. > :20:42.last 20 years, where we have seen a lot of growth up until the 2008
:20:43. > :20:45.financial crisis. It's been growth focused on the rich, and that is led
:20:46. > :20:52.to politicians bringing in place trade barriers. Could the UK leaving
:20:53. > :20:56.the EU add to that? At the same time, you have these big issues
:20:57. > :20:59.around how central banks are operating, and what they are given
:21:00. > :21:04.with interest rates. You have got pressure upwards on interest rates
:21:05. > :21:08.in America. At the same time, in the UK, in the European Union, Japan,
:21:09. > :21:12.you've got downward pressure on interest rates, a great divergences
:21:13. > :21:18.which means there are these big tensions on whether we are still
:21:19. > :21:22.going to be open in terms of trade, versus protectionism, and also on
:21:23. > :21:26.interest rate policy more generally. That Segway is nicely into my next
:21:27. > :21:32.question. I could see what you were doing there. I always want to help
:21:33. > :21:36.you. Job numbers are coming out later today. The reason they matter
:21:37. > :21:40.is what it could mean for the US Federal reserve, their central bank,
:21:41. > :21:44.in terms of raising interest rates and that matters for the rest of the
:21:45. > :21:49.world, doesn't it? The American economy is the most important
:21:50. > :21:53.globally, it drives a huge amount, not only exports and trade, but also
:21:54. > :21:59.sentiment. If the American economy is seen as strong, it sends a signal
:22:00. > :22:03.to all the other major economies, but mixed views about which way it
:22:04. > :22:08.might go. Of course, there has been strong jobs data over the last two
:22:09. > :22:11.months, but manufacturing data less strong in America and inflation
:22:12. > :22:16.pretty flat, so we will know later today what they do for the cut
:22:17. > :22:22.interest rates go up in America this year? Most markets think maybe not
:22:23. > :22:26.in September but maybe in November. Fantastic to talk to you.
:22:27. > :22:28.In a moment we'll take a look through the Business Pages,
:22:29. > :22:32.but first here's a quick reminder of how to get in touch with us.
:22:33. > :22:37.Here is where you can stay ahead with all the days breaking news. We
:22:38. > :22:43.will keep you up-to-date with the latest details, insight and analysis
:22:44. > :22:47.from the BBC's team of editors right around the world and we want to hear
:22:48. > :22:55.from you, too. Get involved on the BBC business live web page. And on
:22:56. > :23:05.Twitter. And you can find us on Facebook. On TV and online, whenever
:23:06. > :23:08.you need to know. We have been asking you what you think about
:23:09. > :23:12.dress codes in the office and whether or not Brown in town is ever
:23:13. > :23:19.acceptable, brown shoes, of course in the City of London. We've had
:23:20. > :23:24.some messages for the Henry Pryor said, on Friday, where Tweed. James
:23:25. > :23:28.Hughes, a regular on the show, said, when I first started in the city at
:23:29. > :23:33.18, I was once sent home to change my shoes. No. I'm an Eastern
:23:34. > :23:37.European immigrant and I would never wear brown shoes with a suit for
:23:38. > :23:43.that nothing to do with going to eat, but reading up on the basics.
:23:44. > :23:46.Would you wear brown in town? I probably wouldn't for that I'm
:23:47. > :23:50.properly where the standard uniform they are talking about here. A tie
:23:51. > :23:53.and black shoes full it doesn't mean I wouldn't hire someone who wore
:23:54. > :24:00.round shoes and that's a different thing. My aim is to hire diversity,
:24:01. > :24:03.hire the best talent we can get, and that may be wearing a different
:24:04. > :24:10.outfit to me, so that's a secret. The whole industry is accused of
:24:11. > :24:16.monocultural as but reports like this do not help the case at all or
:24:17. > :24:20.cover the industry. People are missing out on jobs because someone
:24:21. > :24:24.doesn't like their footwear. Exactly. All the evidence suggests
:24:25. > :24:29.diversity of background, experience, gender, clothing, produces a better
:24:30. > :24:33.team, better outcomes, better investments, better decisions, so
:24:34. > :24:39.everyone should be fishing around in as big a pool as one can. Let's hope
:24:40. > :24:45.that trickles down. I want to flag up the story from the Times, buy to
:24:46. > :24:48.let landlords moving increasingly into the air B sector, which is
:24:49. > :24:56.interesting because that was not the original idea behind the location
:24:57. > :25:01.sharing website. It is meant to be for short-term. Firstly, it shows
:25:02. > :25:06.the power of disruptive technology. If you want to do B previously,
:25:07. > :25:09.you would wait for someone to phone you, but no just download the app,
:25:10. > :25:14.take a picture of your flat and you are off, so it's changed the market
:25:15. > :25:18.for bed-and-breakfast, but also, I suspect, you look at how money
:25:19. > :25:23.houses to be to build in the UK when the forecast was done two years ago,
:25:24. > :25:27.to try to think about that, they were properly not thinking of air
:25:28. > :25:30.B, and that product taking that stocks off the market. Interesting
:25:31. > :25:33.how it's changed. Many thanks, Richard.
:25:34. > :25:37.There will be more business news throughout the day on the BBC Live
:25:38. > :25:39.webpage and on World Business Report.
:25:40. > :25:51.Have a fabulous weekend in the meantime. See you soon. Bye-bye.
:25:52. > :25:52.Some damp and breezy weather in prospect for