Communities
Good community relations are as necessary for our business success as the effective management of our operations. This belief is at the heart of our overall approach to communities and is why we build good quality relationships with the people in the areas where we operate.
Wherever we operate, we seek to understand the social, environmental and economic implications of our activities so we can optimise benefits and reduce negative impacts, both for the local community and for the overall economy. We discuss mutual benefits and obligations with local governments and community representatives, and agree on the objectives that will secure long term results.
Our Communities work is guided by The way we work, Rio Tinto's global code of business conduct. Our Communities policy and standard provide the framework for the work, while guidance notes provide specific requirements in areas such as baseline communities assessment, consultation, social impact assessment, communities plans and compensation. We also refer to external policies such as the International Finance Corporation's standard and guidance on land acquisition and involuntary resettlement.
- Knowledge
- Engage
- Programmes
- Elements
- Results
There are a number of elements that intersect with our communities framework of building knowledge, engaging with community partners and developing programmes to respond to business and communities' priorities. These vary according to the local context; however, some elements common to our businesses are:
Heritage
We recognise and respect the cultural heritage of all communities in which we operate, particularly that of indigenous traditional owners who have customary connections to land. We closely consult with local people to ensure the protection of their cultural heritage sites as we manage our businesses.
From the earliest stages of exploration we conduct cultural heritage assessments with communities to understand the location and significance of heritage sites. We design our activities to avoid to the greatest extent any damage to these sites. If disturbance is unavoidable, we seek approval from those to whom the site or feature has significance, and we work with them to mitigate the disturbance. All relevant government approvals are also obtained.
All our operations must have a cultural heritage management system in place, appropriate to their context. These heritage processes are agreed between our businesses and the relevant community groups, and do not compromise the ability of indigenous groups to manage their own cultural heritage.
Gender
Women in communities often disproportionately bear the burden of change brought about by mining and other developments, as well as the inevitable changes occurring anyway. Recognising the importance of understanding the social dynamics of relationships between men and women, we developed in 2009 a comprehensive gender guide, Why gender matters, for all our people to better consider the gender considerations of communities work. The guide is available on Rio Tinto's website.
The Oyu Tolgoi copper-gold complex in Mongolia's South Gobi region will introduce a number of changes and impacts to the social, economic and physical environment of Umnugovi Aimag (province). In order to plan for these changes, it is important to understand the current context so that changes can be tracked over time. The Oyu Tolgoi project designed and implemented an innovative province-wide social, economic and environmental baseline study to establish a set of reference points at the national, province and sub-province level. Gender issues were incorporated into the study and focus groups were designed to represent all sections of society, with gender being one of the main selection criteria. Following from the baseline work, a socio-economic impact assessment was conducted, also using participatory methods, and also including a range of gender-related indicators for analysis.
Migration, resettlement and inflation
Increased cash availability and wealth in areas where there was previously little can have an adverse effect on price inflation of goods and services. Rio Tinto actively manages such scenarios to avoid these negative outcomes. For example, together with the local community, we developed and implemented influx and inflation mitigation strategies at our QMM mineral sands mining project in Madagascar.
The Shashe resettlement associated with Murowa diamond mine in Zimbabwe continues to flourish, despite government directed and spontaneous influx adding additional families into the area.
Local content
Rio Tinto is committed to providing employment and career development opportunities to local communities. Local employment contributes directly to growing local economies while providing a stable workforce for our operations. Our commitment to local employment is reflected in Rio Tinto's Australian businesses achieving eight per cent of employees being Indigenous Australians. Our recent agreement to develop the non managed copper project in Mongolia includes our commitment to 90 per cent Mongolian employment.
Equally, we recognise that without a systemic approach to cultivating local enterprise development, local and sustainable supply chain opportunities can be eroded by a global approach to procurement. Accordingly, Rio Tinto Procurement developed in 2009 a strategy to specifically nurture local business linkages. Similarly, Rio Tinto Alcan's Regional Economic Development (RED) programme seeks to engender downstream and multiplier economy development.
Rio Tinto Alcan's RED programme supported the employment of an economic development officer in Masteuiatsh (First Nation Reserve) to develop an economic development plan which has been adopted by the local First Nation Authority as their official economic growth strategy. The RED programme has also collaborated with the Centre de recherche et développement d'Arvida, local research and development centres and the Université du Québec à Chicoutimi to support three downstream businesses operating in Saguenay revolving around the Dubuc processing plant. Alloys and applications for potential new markets were developed and 75 new jobs were created.
Land management and access
Rio Tinto involves local communities in decision making, planning, monitoring and rehabilitation of the affected environment. This involvement occurs throughout the life of the operations and extends into closure. Community involvement in land management is an important consideration when participation agreements are negotiated with local communities.
At QIT Madagascar Minerals (QMM), for example, joint management agreements have been implemented with local communities for resource use. Income generating activities for conservation and development are being promoted, such as ecotourism, bee keeping, crafts, plant nurseries and market gardening. An ecotourism project has been running since 2000 in what is now the Mandena conservation zone. All profit goes to community projects and most of the employees are local people. The site is co-managed by local communities, the Malagasy Government's Environment, Water and Forest departments and QMM. A series of trails lead visitors through outstanding biodiversity, much of which is endemic, and to Mandena's ecological research centre, which is open to the public.
Rio Tinto also engages with local communities regarding access to the mine lease. Communities may need to access areas on the mine lease for livelihood, cultural, recreational or educational purposes. Establishing protocols for access to the mine lease ensures the safety of community members and minimises disruptions to the mine's operations.
Community induction
Rio Tinto aims to have all non local all staff complete a local induction in order to develop understanding and respect for local communities. The inductions can include cultural protocols, community norms and language considerations. Rio Tinto is working towards all contract workers undertaking a local induction as a condition of employment. Community inductions are often included in agreements negotiated with local communities. For example, under the Argyle Diamond Mine Participation Agreement, all new employees must complete a cultural awareness programme delivered by local Traditional Owners.
