Former ministers Conservative MPs Chris Grayling (L) and Theresa Villiers (R), members of the British parliament's intelligence and security committee, leave the committees offices in central London on July 16. AFP
Former ministers Conservative MPs Chris Grayling (L) and Theresa Villiers (R), members of the British parliament's intelligence and security committee, leave the committees offices in central London on July 16. AFP
Former ministers Conservative MPs Chris Grayling (L) and Theresa Villiers (R), members of the British parliament's intelligence and security committee, leave the committees offices in central London on July 16. AFP
Former ministers Conservative MPs Chris Grayling (L) and Theresa Villiers (R), members of the British parliament's intelligence and security committee, leave the committees offices in central London o

How do Mr Bean-like politicians thrive despite repeated failures?


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The two best known British spies – in popular fiction at least – are James Bond and Johnny English. Bond is the dashing patriotic hero who risks all for Queen and country and gets the job done. Johnny English is the good-hearted but bumbling idiot played for laughs by Rowan Atkinson, the actor who is also famous as Mr Bean. Unfortunately in the real world of oversight of British intelligence services, in the past few days Mr Bean came perilously close to overseeing Mr Bond.

It is a strange story, which sheds light on why party politics means democracies across the world sometimes end up with unqualified and unskilled people in important positions.

The real life Mr Bean is Chris Grayling. He is a Conservative former government minister who achieved notoriety in Europe and the US as Britain’s transport secretary, after botching preparations for Brexit.

The New York Times reported his reputation as "Failing Grayling" after a litany of costly errors.

Mr Bean-like, Mr Grayling actually awarded an expensive ferry contract to a company that had no ferries. Taxpayers ended up paying millions in compensation to another company as part of the scandal. Then, Mr Grayling’s transport department tried to organise a traffic jam of lorries near the key English port of Dover to practise coping with Brexit traffic chaos. It wasn’t a success. Comedians joked Chris Grayling wasn’t even capable of organising a traffic jam.

As justice minister his “reform” of the British probation service was a fiasco, as was his decision to stop books being sent to prisoners in jail. Mr Grayling – said to be a decent bloke – was, just like Mr Bean, also a bit of a joke. His reputation meant that over the past year when I have been speaking at literary festivals and public meetings about why so many people are disenchanted with politics, his name often came up.

For some leaders, usually the weaker ones, unquestioning loyalty matters above everything – above ability, imagination and expertise

“How does Grayling survive?” people would ask. The answer to that has relevance to governments all over the world, from Japan, India and Australia to north America, South Africa and all over Europe. We’ll get an answer in a moment, but first we need to note that Mr Grayling has hit the headlines once more. British Prime Minister Boris Johnson pushed hard for him to chair Britain’s secretive Intelligence and Security Committee.

These are the trusted people who function as the independent oversight body for British intelligence, MI6, GCHQ, the whole James Bond crowd. The idea of putting Mr Bean in charge of Mr Bond led to plenty of amusing newspaper commentary but there is a twist to the tale, which turned into a very British coup.

Another Conservative MP, the well regarded Julian Lewis, secretly secured support from members of the Intelligence and Security Committee and snatched the top job of committee chairman from Mr Grayling’s grasp. MPs clearly had enough of the prime minister rewarding unqualified people for loyalty rather than competence. Privately many Conservative MPs were angry and dismayed.

As if to emphasise Mr Grayling’s unsuitability for a post supervising British intelligence, according to one source, when he failed to get the votes he needed, he “didn’t see it coming.”

This semi-comic saga has a serious point. Some politicians survive and even thrive after repeated failures. The reason goes to the heart of party politics. For some leaders, usually the weaker ones, unquestioning loyalty matters above everything – above ability, imagination and expertise. Chris Grayling has spent years being loyal to whomever happens to be leader of the Conservative party and was repeatedly rewarded with important jobs, even if the British public had to pay the cost.

In 2005 the eminent American historian Doris Kearns Goodwin wrote the Pulitzer prize-winning “Team of Rivals”, which showed how the statesman and former US president Abraham Lincoln filled his government during the US Civil War with the best brains in America, even if it meant there were frequent disagreements.

The British government of Boris Johnson and the Trump administration are among those governments which have done the opposite. In their administrations dissent is not tolerated, loyalty is all. But superficial unity, as a British commentator put it, can turn into a government of “nodding dogs,” unwilling or scared to disagree with the leader.

"Nodding dog" syndrome has contributed to the British government's poor record on handling coronavirus, the Johnson government being forced into a humiliating U-turn on working with the Chinese telecommunications company Huawei, and the likelihood that Britain is blundering towards a nasty version of a no-deal exit from the EU. In this saga it is not Mr Grayling himself who comes out looking worst. It is the Prime Minister himself.

Boris Johnson has become the hapless Mr Bean, bluffing his way on major policy decisions without listening to the views of experts and inevitably not getting things right and being forced to change course. Mr Bean is definitely fun on television, it is just a shame that Mr Bond is unavailable in real life.

Gavin Esler is a journalist, author and presenter

How the UAE gratuity payment is calculated now

Employees leaving an organisation are entitled to an end-of-service gratuity after completing at least one year of service.

The tenure is calculated on the number of days worked and does not include lengthy leave periods, such as a sabbatical. If you have worked for a company between one and five years, you are paid 21 days of pay based on your final basic salary. After five years, however, you are entitled to 30 days of pay. The total lump sum you receive is based on the duration of your employment.

1. For those who have worked between one and five years, on a basic salary of Dh10,000 (calculation based on 30 days):

a. Dh10,000 ÷ 30 = Dh333.33. Your daily wage is Dh333.33

b. Dh333.33 x 21 = Dh7,000. So 21 days salary equates to Dh7,000 in gratuity entitlement for each year of service. Multiply this figure for every year of service up to five years.

2. For those who have worked more than five years

c. 333.33 x 30 = Dh10,000. So 30 days’ salary is Dh10,000 in gratuity entitlement for each year of service.

Note: The maximum figure cannot exceed two years total salary figure.

How Tesla’s price correction has hit fund managers

Investing in disruptive technology can be a bumpy ride, as investors in Tesla were reminded on Friday, when its stock dropped 7.5 per cent in early trading to $575.

It recovered slightly but still ended the week 15 per cent lower and is down a third from its all-time high of $883 on January 26. The electric car maker’s market cap fell from $834 billion to about $567bn in that time, a drop of an astonishing $267bn, and a blow for those who bought Tesla stock late.

The collapse also hit fund managers that have gone big on Tesla, notably the UK-based Scottish Mortgage Investment Trust and Cathie Wood’s ARK Innovation ETF.

Tesla is the top holding in both funds, making up a hefty 10 per cent of total assets under management. Both funds have fallen by a quarter in the past month.

Matt Weller, global head of market research at GAIN Capital, recently warned that Tesla founder Elon Musk had “flown a bit too close to the sun”, after getting carried away by investing $1.5bn of the company’s money in Bitcoin.

He also predicted Tesla’s sales could struggle as traditional auto manufacturers ramp up electric car production, destroying its first mover advantage.

AJ Bell’s Russ Mould warns that many investors buy tech stocks when earnings forecasts are rising, almost regardless of valuation. “When it works, it really works. But when it goes wrong, elevated valuations leave little or no downside protection.”

A Tesla correction was probably baked in after last year’s astonishing share price surge, and many investors will see this as an opportunity to load up at a reduced price.

Dramatic swings are to be expected when investing in disruptive technology, as Ms Wood at ARK makes clear.

Every week, she sends subscribers a commentary listing “stocks in our strategies that have appreciated or dropped more than 15 per cent in a day” during the week.

Her latest commentary, issued on Friday, showed seven stocks displaying extreme volatility, led by ExOne, a leader in binder jetting 3D printing technology. It jumped 24 per cent, boosted by news that fellow 3D printing specialist Stratasys had beaten fourth-quarter revenues and earnings expectations, seen as good news for the sector.

By contrast, computational drug and material discovery company Schrödinger fell 27 per cent after quarterly and full-year results showed its core software sales and drug development pipeline slowing.

Despite that setback, Ms Wood remains positive, arguing that its “medicinal chemistry platform offers a powerful and unique view into chemical space”.

In her weekly video view, she remains bullish, stating that: “We are on the right side of change, and disruptive innovation is going to deliver exponential growth trajectories for many of our companies, in fact, most of them.”

Ms Wood remains committed to Tesla as she expects global electric car sales to compound at an average annual rate of 82 per cent for the next five years.

She said these are so “enormous that some people find them unbelievable”, and argues that this scepticism, especially among institutional investors, “festers” and creates a great opportunity for ARK.

Only you can decide whether you are a believer or a festering sceptic. If it’s the former, then buckle up.

Ordinary Virtues: Moral Order in a Divided World by Michael Ignatieff
Harvard University Press