5 Common CSR Questions Answered
Fortunately, in recent years there has been an interest amidst mining companies worldwide to undertake their social and environmental responsibilities. This was an essential step to ensure not only the safety of the workers but also the sustainability of the industry as well.
In order to make sure mining companies implement proper regulations and monitor the impacts they have on a social or environmental level, Corporate Social Responsibility or CSR programs have been introduced.
The Corporate Social Responsibility (CSR) programs of mining companies emphasize on initiatives taken by the community to keep tabs on the kind of impact the company is having on all aspects of a society, including economic, social and environmental.
The more successful and recognized a corporation is, the greater its responsibility to set benchmarks of ethical and principled behaviour for fellow peers and competitors alike.
5 Common CSR Questions Answered
For any form of regulation that oversees a body, questions will be asked. Below we mention 5 common CSR questions with their answers.
1) Does the company hold benefit economically for the locality it is operating in?
Among the three types of factors that come under CSR, the economics behind them is one of the main ones (the other two are social and environmental). Other than an employment opportunity, the company must be investing generated revenue to guarantee the future development as well as long-term employment of the communities it operates within.
Companies such as Abitibi Royalties Inc., Blue Thunder Mining Corp, Benton Resources, Copper Mountain Mining Corporation, Diamcor Mining Inc. and many other companies have served as huge economic boosters to their local region.
investment of generated revenues to ensure the future development
and long-term livelihood of the communities
2) Does the company take into account social impacts?
After the economic factor, comes the social aspect. The company needs to make sure they are not operating very close to residential areas, in order to avoid any nuisances whether medically or otherwise.
The company also needs to take into account the safety and security of its workers. The workers need to be given proper medical care as and when required. All the while, there needs to be social cohesion, no disruption to social or cultural settings.
The mining company Anglo American operates all over the world and has made substantial social impacts all across each continent it operates in, setting high standards for their workers to encourage a healthy and progressive environment.
3) Does the company take into account the environmental responsibilities?
One of the most concerning factors is environmental responsibility. The location and setup of the mining company must be such that the environmental effect of natural resource exploitation is minimized and land rehabilitation is allowed for continued use of the land.
American Lithium ensures that their mining companies operate away from residential areas, as the states tend to have a lot of open lands, it is easier to find space to be environmentally considerate.
4) What are some areas companies must address in order to embrace CSR?
Other than the three factors mentioned above, in order to embrace CSR, companies must identify the objectives, concerns and interests of the different stakeholders, whether national, local authorities, the government, local communities, etc. They need to try to meet as many needs as possible. This is to ensure disruption does not happen not only on a company level but societal level as well.
Discovery Group is a partnership of similar-minded companies that keeps CSR at the forefront of their philosophy. Unity is maintained through their mutual understanding.
5) Other than economic, social and environmental, how else does CSR monitor impacts?
Other than the three main areas of concern, CSR is great for Public Relations or PR. Maintaining a good reputation is imperative for any mining company to stay in the race. Having a CSR program helps to not only keep employees happy, increasing the motivational drive among employees, it can also help companies stay clear from negative external perceptions.
China Gold International Resources Corp. Ltd. has two separate operating mines in China. The company’s CEO stresses the importance of their employees in the success they have attained thus far. This is definitely important to maintain a positive image both internally and externally.
CSR Moving Forward
Mining companies hold a huge responsibility not only towards their employees but also to the wider community. Among the positive impacts that mining companies hold, creation of new jobs, income coming in from export revenue and improvement in infrastructure are just a few.
The concern now remains not in whether CSR is developmental but whether the strategies and policies in place can help the efficiency of CSR in relation to mining companies.
Grace is a writer at Neumarkets. She's a single mother and spends most of her time travelling with her daughter and her laptop. Travel opens up a new world to her and she embraces knowledge from every corner.