New York City's Economic Future Depends on Business

0:00 Speaker 1 Sunday morning. Well, what the heck is going on in New York? One of the most knowledgeable people I know is Steve Phillip, and he is the CEO of the New York City Partnership, one of the most, I guess, representing the 300 biggest companies in New York City. And, well, Steve, it’s Sunday morning. You drank your coffee already, and give

0:24 us an update. Where the heck are we in New York? Are we going to survive?

0:28 Speaker 2 Well, I think we’re going to survive because, you know, the city’s resilient. I think the best example of that is that we’re approaching, you know, the September 11th, 25th anniversary. There is no place in the country that is more resilient than New York City. But I think there’s legitimate headwinds.

0:44 And I think for the business community, you know, growing frustration is the best way to say it. I mean, you’re not going to be able to solve some of these complicated problems that are a more housing without a better relationship and partnership with the business community. So our hand is out and willing to help, but you know,

1:07 it’s really the mayor’s decision, whether he wants to pursue more of a socialist public agenda or engage the private sector as part of the answers.

1:17 Speaker 1 I mean, a lot of people are leaving California. A lot of people are living, leaving New York, uh, uh, Is Albany or New York City getting a reality check that they can’t keep doing what they’re doing?

1:33 Speaker 2 Well, look, last week Morgan Stanley announced that they’re building a big complex in Texas, and that followed earlier in the year Citadel and Apollo and J.P. Morgan announcing that they have more employees in Texas, Goldman Sachs. So you would be naive and disingenuous to say that the trend is not related to policies and taxes in New York City.

1:57 And so the question then comes in is how do you solve it? And for people that say, I don’t care if those people leave, I’m sure there’s some listeners that would think that The reality is that those companies are the biggest taxpayers by far. And if you want to fund social services and really address the affordability crisis,

2:16 you need those companies paying. You need people to pay taxes to fund that stuff. And when they leave, they’re no longer here. So that’s the challenge, John.

2:25 Speaker 1 I understood. You know, I love New York and a lot of our friends love New York. And we just want New York to be the way we grew up.

2:35 Speaker 2 Yeah, I think, look, like I said, New York City is a special, resilient place. There’s a lot of assets here that are unique to New York City. But you can’t mistake the fact that you have this special story as being entitled to the job. It’s a very competitive landscape.

2:52 States are actually rolling out the welcome mat and pursuing jobs from New York City because They know that New York City has a complicated tax structure and regulatory structure. So if you’re going to fix it, you’ve got to have the public and private worlds working together towards a solution.

3:11 Speaker 1 Understood. What else would you like to tell all New Yorkers that are listening right now? We may have a million people listening.

3:19 Speaker 2 I mean, look, it’s New York City, a lot of reasons to be optimistic. Private sector is key to the success of the city. It always has been since the 70s and the financial crisis. And, you know, we’re thankful that you give the private sector and the public sector, for that matter, a voice to discuss this stuff. But,

3:40 you know, it’s a complicated time. And the best example of the resilience in New York City, though, shouldn’t be lost on anybody as we approach the 25th anniversary of September 11th.

3:49 Speaker 1 Steve and Steve Philip, thank you so much. Chairman, you’re the CEO and president, I think, of the New York City Partnership. Thank you for everything you do. And let’s keep things together.

4:02 Speaker 2 All right. Thank you. Talk to you soon.