'Common Security' is good for business and global stability. Here's why

By any measure, the world is at a crossroads. Geopolitical conflicts are escalating, climate breakdown is accelerating, economic inequality is deepening, erosion of democracy is growing.

The compounding effect of these crises is shaking the very foundations of global stability as trust in institutions wanes and the social contract that underpins prosperity frays. The consequences for business are immediate and profound: disrupted supply chains, volatile markets, unpredictable labour conditions, and escalating political and social risk.

In this context, it is time to re-embrace a proven framework for global cooperation. True security cannot be achieved by military strength and regional strategic competition: we need so-called Common Security built on the reality that no nation, business or worker can prosper unless all are secure.

First articulated in the 1982 Palme Commission report, Common Security called for a cooperative approach to peace and disarmament, grounded in mutual interest and respect. It was instrumental in de-escalating tensions between blocs at a time of grave international instability. Today, that idea has evolved into a broader, more urgent agenda that speaks directly to the interconnected crises of our time.

Security today is not just about military capability. It is also about addressing the root causes of instability: poverty, inequality, environmental degradation, exclusion, and erosion of trust in institutions. It is about investing in people and planet as the foundation for lasting peace and prosperity, not about investment in weapons and the threat of destruction and rising insecurity.

Common Security offers a pragmatic framework for global economic stability and sustainable growth. It is not a utopian ideal, but a roadmap for reducing risk and building resilience in an increasingly volatile world. It benefits business in concrete ways:

When workers have access to secure jobs, living wages and social protection, they are more skilled, resilient and productive.

Inclusive and sustainable development expands markets by lifting people out of poverty and narrowing inequality, which boosts consumer demand and strengthens investment environments.

Finally, collective action on climate and energy security ensures access to the resources and stability essential for innovation and continuity. In short, Common Security is the cornerstone of sustainable, predictable and profitable global business.

Common Security also calls for a reformed, democratic, rules-based multilateral system capable of responding to the complex realities of the 21st century: a world of global supply chains, digital transformation and interlinked crises. It is about restoring mutual trust and rebuilding the global social contract so that prosperity can be shared.

Global military expenditure reached an all-time high of $2.72 trillion in 2024, according to the Stockholm International Peace Research Institute. These resources, if redirected, could fund enormous progress in sustainable development and crisis prevention:

This is not just about ethics, it’s about economics. Preventing crisis is vastly more cost-effective than responding to it.

Companies are not bystanders in this agenda – they are key stakeholders. The business community can contribute meaningfully by:

Social dialogue, in particular, is a proven tool for resilience. When employers engage with unions and governments, transitions – whether digital, ecological or economic – can be managed in ways that are fair, stable and socially acceptable. Where freedom of association and collective bargaining are respected:

Social dialogue and negotiation with social partners provide mechanisms that reduce division, find shared solutions, prevent conflict and strengthen democratic institutions. These are the conditions that allow markets to function and societies to thrive.

To operationalize Common Security, we need to build a New Social Contract, grounded in:

Only by addressing inequality and injustice at their root can we create a stable and secure global system that benefits all – including business.

In today’s interdependent world, no business can thrive in isolation. Supply chains stretch across borders. Markets are global. Crises are contagious. The only sustainable foundation for prosperity is a world that is peaceful, inclusive and just.

Common Security is not an abstract vision – it is a necessary strategy for our collective future. The business community must be part of the solution, by supporting peace, decent work and global cooperation. That’s how we build the resilience and stability on which future growth depends.

As we enter a new era of geopolitical tension and climate disruption, the message is clear: the best investment business can make is in a safer, fairer world.