Crisis incidents in Europe grow at rapid pace, as region accounts for a third of incidents globally.

Rhea-AI Summary

WTW's Crisis Management Review highlights a significant rise in crisis incidents in Europe, driven by repatriations due to the Ukraine war, making up 30% of global incidents in 2022, up from 4% in 2021. Political repatriations accounted for 24% of all reported incidents. In contrast, the Asia-Pacific region saw a decrease in incidents, dropping to 12% from 30%. Threats were the most common incident type at 28%, with kidnaps increasing to 25% of incidents. WTW anticipates further volatility in 2023, urging businesses to prepare for emerging crises.

Positive

• Significant insights provided in the Crisis Management Review can help businesses better prepare for future incidents.
• Increased focus on crisis management may open new revenue opportunities for WTW's advisory services.

Negative

• The rising number of crisis incidents may indicate a more volatile operating environment for clients, potentially affecting their financial stability.
• Increased threats and kidnappings could lead to higher costs for businesses in crisis management responses.

Russia/ Ukraine war drives crisis incidents in Europe to global high

LONDON, March 08, 2023 (GLOBE NEWSWIRE) -- Europe accounted for the highest number of crisis incidents across the globe in 2022, largely driven by political repatriations arising from the war in Ukraine. The figure stands at 30% in 2022, up from only 4% in the previous year. That’s according to a 2023 Crisis Management Review released by WTW, a leading global advisory, broking, and solutions company. (NASDAQ:WTW).

Political repatriations were responsible for nearly a quarter (24%) of all incidents reported to WTW’s Crisis Management team last year.

While Europe saw the steepest rise in crisis incidents, the Asia-Pacific region saw the largest fall, down from 30% of incidents in 2021 to 12% in 2022. This is attributed to a spike in incidents due to the Taliban takeover in Afghanistan in 2021, which returned to more stable levels in 2022.

Despite political repatriations driving the growth in regional incidents, threats were the most frequent incident type (28%). Threats can include those made to kill, injure or kidnap someone, to damage company property or to reveal confidential company information and were reported by organisations across the globe, however more than half of reported threats took place in the U.S, the U.K and Mexico.

Additionally, kidnap incidents (both traditional and express*) made up one in four of all incidents in 2022. This is a significant rise from the previous year, where kidnaps represented just 14% of incidents. Africa and Latin America continue to be global kidnapping hotspots and account for the majority of these incidents.

The report found that deeper tensions and wider volatility can be expected to impact more territories in 2023. However, it’s anticipated that talent, supply chain partners and investors will expect organisations to make preparations to stay agile against potential crises.

Jo Holliday, Global Head of Crisis Management at WTW says: “Events in 2022 served to illustrate the advantages of spotting early warning signs on crises and calling on specialist capabilities to protect human and physical assets against them. And unfortunately, we’re likely to see even greater volatility in 2023, meaning businesses will need to take greater preparatory measures against crises to remain secured.

“Our newly established Crisis Management business segment advises businesses to stay informed, prepared and agile to cope with the potential challenges that are playing out across the globe.”

About the Review

WTW’s Crisis Management Review draws data from its global client base across a wide variety of incident types. It is collated through WTW’s 24/7 global operations centre put in place specifically to support clients throughout an incident timeline.

*Express Kidnap is a face-to-face kidnap/hijack situation between victim and assailant only and in which there is a financial demand to secure the release. It differs from a 'traditional' kidnap insofar that the latter requires the victim to be abducted and then held captive in one location with an accompanying financial demand made to a third party (employer/family member) at another location.

About WTW

At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.

Working shoulder to shoulder with our clients, we uncover opportunities for sustainable success—and provide perspective that moves you.

Learn more at wtwco.com.

Media contact

Sarah Booker: +44 7917 722040

sarah.booker@willistowerswatson.com

FAQ

What were the main findings of WTW's Crisis Management Review in 2023?

The review indicated that Europe accounted for 30% of global crisis incidents in 2022, primarily due to the Ukraine war.

How did political repatriations impact crisis incidents reported by WTW?

Political repatriations were responsible for 24% of all incidents reported to WTW's Crisis Management team in 2022.

What trends in crisis incidents were observed in the Asia-Pacific region?

The Asia-Pacific region saw a decline in crisis incidents, falling from 30% in 2021 to 12% in 2022 due to stabilization after the Taliban takeover.

What percentage of incidents involved threats in WTW's report?

Threats constituted 28% of all reported incidents in 2022, with most incidents occurring in the U.S., U.K., and Mexico.

What does WTW predict for crisis incidents in 2023?

WTW expects deeper tensions and volatility to continue impacting crisis incidents globally in 2023.