Can CEOs Stay Silent on Minneapolis?
The killing of Alex Pretti puts leaders in an uncomfortable space between power and principle
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A tragic news story this weekend also became a business story when major Minneapolis-area corporations called for a de-escalation of the tensions and conflict that led to the killing of Alex Pretti, a U.S. citizen and nurse with no criminal record who immigration officers gunned down in the street on January 24.
Federal officials claimed in public statements that Pretti has threatened officers with a gun, but multiple videos from people on the scene contradict that assertion. The videos show that while Pretti was initially carrying a holstered weapon, he never reached for it. Videos show him holding only his phone, and show that one officer took his gun from him before another appeared to shoot him from behind.
The incident poses a major question for CEOs who are disturbed by these events: Do they take a stand against the Trump administration’s approach to immigration enforcement, and risk backlash from a president who openly uses economic leverage to punish his detractors? Or do they stay silent and risk backlash from customers and partners who see CEOs as one of few constituencies that could sway policy?
Why Silence is Harder than Before
This challenge for leadership is particularly intense this time because, one year into President Trump’s four-year term, he is making it difficult for CEOs and their companies to keep a distance from his policies.
When Apple CEO Tim Cook did not join the president’s entourage on a trip to the Middle East in May, Trump threatened Apple with a 25% tariff on iPhones. Cook joined a presidential trip to the United Kingdom in September. The president has similarly flexed his power with semiconductor businesses to push them to embrace his economic policies, or risk economic pain.
The Trump administration’s presence at the World Economic Forum in Davos last week was another example. While the president has questioned the relevance of forums like the United Nations and alliances like the North Atlantic Treaty Organization, he has leaned into Davos, where economic power is front and center. The U.S. delegation was a record size, and included a “USA House,” as opposed to the typical U.S. pavilions.
Parallels to Another Tragedy
Taken all together, with this backdrop, the killing of Alex Pretti puts CEOs in a position with some echoes of the one they faced five and a half years ago when George Floyd was killed just three miles away. But there are also some key differences.
Like with the George Floyd killing, smartphone video of the incident is proving to be a pivotal factor shaping public opinion, more than the official statements. Like with the George Floyd killing, the dead man was not brandishing a weapon. Also similar: Public outrage is pivoting toward the corporations that have developed such influence over the flow of our daily lives.
Unlike with the George Floyd killing though, the country is not in the throes of a COVID lockdown and CEOs today are less inclined to bend to public opinion.
It leaves them without easy options.
More than 60 CEOs of Minnesota-based companies on Sunday did sign a letter released by the Minnesota Chamber of Commerce calling for an “immediate deescalation of tensions and for state, local and federal officials to work together to find real solutions.”
It’s not clear whom the chamber thinks has the most influence over that deescalation, and what the members will do if it doesn’t happen.
If you’d like to join me – and peers – for deeper conversations on innovation and leadership, get on this list for Fortt Knox Executive Communities, launching soon: mba.fortt.com.