Average of the best scores achieved collectively by all companies for each one of the indicators under the thematic area
Average of the scores achieved by each one of the companies under this thematic area
Summary of results
Community wellbeing shows the lowest overall average of all thematic areas, at only 18%. Nonetheless, collectively the companies have demonstrated that significant improvement in this thematic area is well within their reach. The best scores seen across all indicators show that the companies could already achieve a score of 66% by adopting the good practices demonstrated by their peers (as shown by the Collective Best Score on the chart – the sum of all best scores seen across all Community Wellbeing indicators).
Leading practices in Community Wellbeing include, for example, a set of management standards on assessing and addressing impacts on land use and land access, which require operations to develop post-mining land-use objectives in consultation with affected communities and government authorities.
D.01 Human Rights
The company commits to respect human rights, in accordance with the UN Guiding Principles on Business and Human Rights.
All companies make some level of commitment to respect human rights. More than half of the companies have a formal, endorsed commitment explicitly referring to the UN Guiding Principles (UNGPs). The vast majority of companies assign responsibilities and resources to operationalise these human rights commitments.
The company has systems in place, in accordance with the UN Guiding Principles on Business and Human Rights, to carry out regular human rights due diligence across all its operations, to assess and address human rights risks.
Most companies show some evidence of identifying and assessing impacts of their activities on human rights, and, in about half the cases, developing strategies or plans to address these impacts. However, most evidence relates to ad hoc actions and case studies, and only about one-quarter of the companies demonstrate having company-wide systems in place. Only a handful of companies provide data on the implementation status of these human rights due diligence processes. While some companies can demonstrate that they conduct human rights due diligence on their business partners and supply chains, they generally do not implement the same due diligence for their own operations (see B.08.1).
Related Leading Practices
- Company-wide identification of salient human rights risks
Company-wide identification of salient human rights risks
In 2015 Newmont conducted a review to identify the company's most salient human rights issues. The review involved company staff as well as external human rights experts and key external stakeholders. Newmont held a cross-functional corporate workshop to identify an initial set of potential human rights issues, followed by sessions with regional and site teams to determine the severity and likelihood of each issue. Out of the 26 potential human rights issues initially identified, all were found to be important and seven were considered the company's most salient human rights risks. Newmont reports on its management of each of these risks in its annual sustainability report.
The company tracks, reviews and acts to improve its performance on preventing and remedying adverse impacts on human rights associated with its areas of operations.
More than half of the companies provide at least some data on their performance in preventing and remedying adverse impacts on human-rights associated with their operations, tracking and publicly disclosing either the number or nature of cases and/or actions taken in response. However, hardly any company discloses such data over time or against targets. Only a handful of companies can demonstrate they review or audit the effectiveness of their measures to prevent and remedy adverse human rights impacts. A similarly small number of companies show any evidence of corrective measures taken in response to these audits.
The company commits to respect the rights and protections accorded to human rights, land, environmental, and labour rights defenders in its areas of operations.
While about one-quarter of the companies have made some level of commitment to respect the rights of human rights defenders in their areas of operation, only four have made a formal commitment on this issue. These four companies have also assigned responsibilities and resources to operationalise their commitments.
Related Leading Practices
- Commitment to respect human rights defenders
Commitment to respect human rights defenders
TeckAnglo American, Glencore, Newmont and Teck have established formal commitments to respect the rights of human and land defenders. Newmont for example acknowledges in its human rights policy that human rights defenders are a potentially vulnerable group and states that it does not condone any form of attack against human rights defenders or anyone who opposes its activities, and it expects its business partners to do the same. Anglo American has also reported plans to develop a protocol for the protection of human rights defenders, following engagement with relevant NGOs.
D.02 Security and Conflict-Affected and High-Risk Areas (CAHRAs)
The company has systems in place to ensure its operations integrate human rights into their management of security personnel and private security forces, in line with the Voluntary Principles on Security and Human Rights.
Only a handful of companies can demonstrate that they have a management system in place to review the background of security personnel to prevent the company from employing individuals credibly implicated in human rights abuses. Fewer companies show evidence they require security personnel, including through contractual provisions, to investigate and report all cases where physical force is used. A similarly small number of companies include in their systems requirements to conduct investigations of unlawful or abusive behaviour by security personnel towards workers or affected communities and to take appropriate disciplinary action.
The company tracks, reviews and acts to improve its performance on supporting education and training of its security personnel, private, and public security forces, to prevent human rights abuses, in line with the Voluntary Principles on Security and Human Rights.
About one-third of companies track and publicly disclose some data on the education and training of their security personnel and private and public security forces to prevent human rights abuses. While a minority of companies show evidence of having undertaken audits or reviews of the security performance and/or implementation of the Voluntary Principles on Security and Human Rights, there is no evidence that these have covered the effectiveness of training and education of personnel on human rights issues. There is even less evidence of responsive actions taken by companies based on the findings of these rare audits or reviews.
Where applicable, the company has systems in place to ensure its operations carry out enhanced due diligence to identify, assess, avoid, and mitigate risks for workers and communities specifically associated with the operations’ presence in any conflict-affected and high-risk areas (CAHRAs), in line with the Voluntary Principles on Security and Human Rights.
Only a handful of companies show any evidence that they identify and assess risks for workers and communities specifically associated with their presence in any conflict-affected and high-risk areas (CAHRAs). And virtually no company can demonstrate having requirements for their operations to develop strategies and plans to address these identified risks. Although a number of companies have claimed this indicator was not relevant to their businesses, only five companies can demonstrate that they have conducted recent comprehensive risk assessments that confirm none of their operations is located in any CAHRAs.
D.03 Community and Stakeholder Engagement
The company has systems in place to ensure its operations take specific measures to enable the participation of women, youth and persons with disabilities in discussions and decision-making on matters that may impact them.
More than half of the companies provide no evidence of measures to enable the participation of vulnerable groups in discussions and decision-making on matters that may impact them. Only a handful of companies demonstrate that they have a company-wide approach or system to ensure their operations take specific measures to do so. Fewer companies specifically mention the need to enable the participation of women or youth, and even fewer make explicit mention of the need to enable the participation of persons with disabilities.
Related Leading Practices
- Promoting railway safety in impacted communities
Promoting railway safety in impacted communities
Vale has implemented specific actions to reduce community accidents on the railway lines operated by the company. These actions include: undertaking a risk assessment in each community along the railways; tracking accidents and the specific impacts on key vulnerable groups (e.g. mentally ill, disabled people, and children); employing community-based social monitors who regularly visit families along the railways to inform them of the risks and safety procedures; railway safety campaigns ('Caravan in the Tracks') in these communities, involving quizzes, games and other awareness-raising measures.
The company tracks, reviews and acts to improve the quality of its relationships with affected communities.
While about half of the companies publicly disclose some information on the quality of their relationships with affected communities, only three companies share detailed tracking data. Very few companies show evidence of having conducted reviews or audits of the effectiveness of their measures to build and maintain trust-based relationships with those communities, and even fewer disclose information on actions taken in response to those reviews or audits.
Related Leading Practices
- Real-time monitoring of community perceptions
- Tracking and disclosing stakeholder satisfaction on community projects
Real-time monitoring of community perceptions
In 2015, Anglo American piloted a project to monitor in 'real time' community perceptions of impacts, through text messages on mobile phones. The pilot included participation from communities around Mogalakwena mine in South Africa. The process aims to gauge levels of trust and acceptance of the company's presence and detect shifts in community sentiment. The pilot concluded in 2016 and the project is now being rolled out, with a plan to register between 750 and 1000 participants at each site. In 2017 and 2018 the company also conducted pilots in Brazil, Peru and Chile.
Tracking and disclosing stakeholder satisfaction on community projects
Since 2015 Banpu has conducted stakeholder satisfaction surveys with community members and local government staff on community development projects at some of its mine sites. In 2018, at its Indominco mine site in East Kalimantan, Indonesia, stakeholder satisfaction surveys were conducted on 18 community development projects, showing an average satisfaction level of 68%, which is higher than the initial target of 62.5%. In 2019, the company set stakeholder satisfaction targets for all its mine sites to ensure community development projects meet local stakeholders’ needs and contribute to viable local communities.
D.04 Economic and Social Viability
The company has systems in place to ensure its operations encourage local entrepreneurship and support local business development, including for women.
Most companies show some evidence of developing strategies and plans to support local entrepreneurship and local business development, although much of the evidence comes from isolated cases rather than company-wide approaches to ensure these activities are implemented across all operations. A few companies show evidence of requiring their mine sites to actively include women in these strategies and plans, though only one provides details on its system. One company clearly demonstrates it tracks the implementation of these activities across its sites.
Related Leading Practices
- Planned process to switch to local suppliers
- Supporting youth-led business development and local procurement
- Supporting women farmers
Planned process to switch to local suppliers
Since 2010, Bumi Resources' subsidiary KPC has developed a 'procurement migration programme' to transition where possible from foreign to local and national suppliers, and from national to local suppliers. In 2015, the company migrated the supply of eight commodities (ranging from mining equipment to stationery) and one service. Items migrated from national to local suppliers include, for example, uniforms, chalk, traffic signs, flags and stationery.
Supporting youth-led business development and local procurement
Coal India's subsidiary MCL has put in place an entrepreneurship development program targeting young project-affected people. To participate in the program, a group of usually seven to nine youth first needs to register as a co-operative society and can then apply for contracts (e.g. coal loading or transportation) through a tendering process. The program offers alternative livelihoods to these young community members who have lost their land due to mining activities.
Supporting women farmers
OCP Group runs support activities for women farmers in Morocco, providing technical support and training for individual farmers as well as professional women working in agricultural cooperatives. Capacity building covers technical, business, and soft skills development. These agricultural support activities are part of the company’s broader community development programme, Act4Community, under which each employee can dedicate four paid weeks per year to volunteering for community-based entrepreneurship and sociocultural initiatives.
The company has systems in place to ensure its operations develop local procurement opportunities, including for women.
The vast majority of companies show at least some evidence of developing strategies and plans to support local procurement, including four companies that clearly demonstrate dedicated, company-wide management systems and implementation of programmes to support and develop local procurement opportunities across their operations. However, only two companies’ standards refer to taking special measures to ensure the inclusion of women in these strategies or plans, though some other companies do show limited evidence, usually isolated examples or case studies, of developing capacity and procurement opportunities for women suppliers. Very few companies provide any implementation tracking data on these strategies and plans.
Related Leading Practices
- Detailed disclosure of local procurement at mine-site level
Detailed disclosure of local procurement at mine-site level
Rio Tinto’s Oyu Tolgoi operation tracks its procurement and reports comprehensive data by actual spend against targets set to promote suppliers within Mongolia. The recent data shows the performance of financial year 2017, with local procurement disaggregated by types of goods and services procured, and total spend for national suppliers and suppliers from the South Gobi region.
The company has systems in place to ensure its operations conduct and disclose regular assessments of the impacts of their activities on women, youth and children.
No company can demonstrate it has systems in place to ensure its operations assess and disclose any impacts of their activities on women, youth or children. Only three companies show any evidence (ad hoc case studies) that their operations conducting assessments of the impacts of their activities on women. Similarly, only two companies refer to some instances of assessments of impacts on children. And no company shows any such evidence relating to the impacts of their activities on youth.
D.05 Land Use
The company has systems in place to ensure its operations identify, assess, avoid, and mitigate their adverse impacts on land use and access to land by affected communities.
About half the companies show some evidence of identifying the adverse impacts of their operations on land use and access to land by affected communities. The evidence is usually limited to case studies, although some companies show evidence of management systems relating to land acquisition, resettlement, or closure. Two companies go further, with detailed systems for identifying and assessing a full range of land-use related impacts. There is less evidence of systems to develop strategies or plans to address these impacts, and hardly any evidence that companies track their implementation of these strategies or plans.
Related Leading Practices
- Managing land-use impacts
Managing land-use impacts
AngloGold Ashanti has developed management standards to assess and address its impacts on land use and land access. The standards require operations to regularly identify areas that are no longer required for operational activities, which can be made available for progressive (concurrent) rehabilitation. Operations are also required to develop post-mining land-use objectives in consultation with affected communities and government authorities.
D.06 Community Health
The company has systems in place to ensure its operations identify, assess, avoid, and mitigate their impacts on community health.
A handful of companies show evidence that they assess their impacts on community health. This mostly consists of brief mentions of such impacts within Human Rights Impact Assessments or Environmental and Social Impact Assessments. A handful of companies have systems in place to address the health impacts identified. No company provides evidence of tracking the implementation of plans to address these impacts.
Related Leading Practices
- Assessing impacts on community health
Assessing impacts on community health
Anglo American’s Social Way Toolkit (updated in 2020) requires all operations to conduct Health Impact Assessments (HIA). It defines a HIA as a combination of procedures, methods and tools that systematically assess the (potential) impacts of site activities on the health of a population, the distribution of impacts within the population, and appropriate actions to manage such impacts. Where potential and/or actual mining-related impacts and risks are significant, it requires sites to develop a Management Plan to continuously manage and monitor impacts.
D.07 Gender Equity
The company tracks, reviews and acts to improve its performance on managing any impacts of its activities on women.
Data and evidence on gender impact assessment processes is consistently lacking across the companies assessed. Only one company discloses minimal information on managing the impacts of its activities on women. No other company demonstrates any action on this issue.
D.08 Indigenous Peoples
Where applicable, the company has systems in place to ensure its operations design and implement, through inclusive participation, strategies and plans to respect the rights, interests, and needs of Indigenous Peoples potentially affected by its operations, in line with the UN Declaration on the Rights of Indigenous Peoples.
About two-thirds of companies demonstrate that they have some activities or systems in place to identify the rights, interests, needs and perspectives of affected Indigenous Peoples groups. However, only a handful of companies show evidence of systematic approaches to identifying potentially affected Indigenous Peoples groups through a process of inclusive participation. A similarly small number of companies demonstrate that they systematically develop plans to ensure these rights, interests, needs, and perspectives are respected.
Where applicable, the company tracks, reviews and acts to improve its performance on respecting the rights and aspirations of Indigenous Peoples and avoiding adverse impacts on their livelihoods and heritage.
Most companies show some degree of tracking and reporting of their performance on respecting the rights and aspirations of Indigenous Peoples and avoiding adverse impacts their livelihoods and heritage. A few companies disclose the full agreements they have signed with Indigenous Peoples. There is much less evidence that companies audit or review the effectiveness of measures taken, and even less evidence of companies taking responsive action on the findings of these audits/reviews to improve their performance.
D.09 Free, Prior and Informed Consent
The company commits to respect the right of Indigenous Peoples to Free, Prior and Informed Consent (FPIC), and to support the extension of the principle of FPIC to other project-affected groups.
While most companies make mention of their position on FPIC, only a few companies have made formal commitments to respect the rights of Indigenous Peoples to FPIC. Virtually no company’s commitment on FPIC extends the principle to other project-affected groups.
D.10 Displacement and Resettlement
Where applicable, the company has systems in place to ensure its operations identify, assess, avoid, and mitigate the potential impacts of the involuntary physical and/or economic displacement of project-affected people.
Two-thirds of companies show some evidence of assessing the potential impacts of involuntary physical and/or economic displacement of project-affected people. However, only a handful of companies demonstrate they have company-wide systems in place for resettlement-related impact assessment. Only one-quarter of companies also have systems (generally management standards) for developing strategies or plans to address these impacts, and a similar number of companies show some evidence of systems to involve project-affected people in the impact assessment and in developing the strategies to manage those impacts.
Where applicable, the company tracks, reviews and acts to improve its performance on ensuring that livelihoods are improved or restored following any involuntary resettlement.
While some companies provide information relating to the number of resettlement processes underway, the amounts of compensation paid, or the number of individuals affected by resettlement, very few companies track and publicly disclose the extent to which livelihoods have been successfully improved or restored following such resettlement. Only a few companies show evidence of having conducted recent reviews or audits of the effectiveness of their measures taken to manage involuntary resettlement.
Related Leading Practices
- Using Multidimensional Poverty Index to assess impact of resettlement
- Disclosure of site-level audit report on resettlement
Using Multidimensional Poverty Index to assess impact of resettlement
Following the 2014 resettlement of approximately 100 families from the Plan Bonito community near a mine operated by Glencore's subsidiary Prodeco in Colombia, studies using the Multidimensional Poverty Index methodology were undertaken to assess the livelihood impacts of this resettlement. Comparisons between a 2012 baseline and a follow-up study at the end of 2018 showed that the number of families doing well increased following resettlement, rising from 66 to 97, while the number of families at risk of falling into poverty dropped from 11 to 9, and families in poverty fell from 19 to 9.
Disclosure of site-level audit report on resettlement
Newmont has made publicly available on the internet the full report of an independent audit of the resettlement and livelihood replacement of households displaced by the company's Ahafo South mine in Ghana. The report, published in 2015, details the audit's findings, recommendations to the company on their continued work with affected people at this site, and recommendations for any future resettlement projects.
D.11 Artisanal and Small-Scale Mining
Where applicable, the company has systems in place to ensure its operations facilitate engagement with artisanal and small-scale mining (ASM) communities and activities in and around their operations.
A handful of companies show evidence of having systems in place for identifying any ASM communities and activities in and around their operations. More than half of companies with ASM activities present near their operations also show some evidence of developing plans to engage with those communities, but only a few companies provide information on the progress in implementing these plans. Eight companies demonstrate that they have conducted recent comprehensive risk assessments that confirm no ASM operations take place in or around their areas of operation.
Where applicable, the company has systems in place to ensure its operations develop opportunities to support technical assistance programmes and/or alternative livelihood programmes for ASM miners in and around their operations.
Only a few companies provide (very limited) evidence of assessing the need for, and feasibility of, providing technical and/or livelihood support to ASM miners. A similar number of companies show evidence their operations engage to some extent with ASM miners in these assessments or in the development of strategies or plans in response to these assessments. However, most evidence is limited to ad hoc examples or case studies, with only one company showing evidence of a detailed company-wide standard for developing such plans to support ASM activities.
D.12 Grievance and Remedy
The company tracks, reviews and acts to improve the effectiveness of its grievance mechanisms for communities.
Almost three-quarters of companies show at least some evidence of tracking the functioning and uptake of their community grievance mechanisms, but there is generally little or no detail on the actions taken in response to the grievances received. The data is almost never disclosed over time or against targets. Only a handful of companies demonstrate they have undertaken recent reviews or audits of the effectiveness of their community grievance mechanisms. There is almost no evidence of companies acting on the results of these reviews or audits to improve the effectiveness of these mechanisms.
Related Leading Practices
- Independent review of community grievance mechanism
- Disclosure of detailed data on community grievances
Independent review of community grievance mechanism
In its standard on managing conflicts, Gold Fields requires all complaints received via community grievance mechanisms to be logged, and specifies that a monitoring process/audit must be undertaken annually by an independent party to determine the success of the resolution process.
Disclosure of detailed data on community grievances
Newcrest Mining’s Cadia Valley operation has a formalised process to register and report the number and nature of the community complaints. In its annual environmental management report, the company itemises the complaints received, including the date and location and detailed nature of the complaint, as well as the actions taken to resolve them. Furthermore, the Cadia Valley website provides access to see the community complaints register, which is updated on a monthly basis.