Professional Documents
Culture Documents
5-20, 2003
2004 Canadian Institute of Mining, Metallurgy and Petroleum.
All rights reserved. Printed in Canada.
0964-1823/00 $17.00 + .00
Abstract In many mining areas, potentially profitable mineral projects can be at risk because
local people do not trust their governments and mining companies on many issues, including human
rights. Projects will continue to be vulnerable to potential failure, delays, and higher costs. This
paper suggests that geoscientists need to be aware of the global challenges they face from issues of
corporate social responsibility, sustainable development, and human rights. These are not areas in
which geoscience education has traditionally focused.
This paper examines the types of conflict concerning human rights that are encountered by geoscientists involved in mineral exploration and development. It provides a background to human
rights issues and presents a classification of the types of issue encountered. It reports on a survey of
case studies that provide examples of the breadth, complexities, and consequences of such issues.
The paper then concludes by outlining the development of codes and standards to improve performance, and suggests approaches for positive, practical engagement. 2004 Canadian Institute of
Mining, Metallurgy and Petroleum. All rights reserved.
Introduction
A decade ago, if you asked a geologist or mining engineer what would be necessary to establish and operate a
mine successfully, you would undoubtedly hear about
proven reserves, ore grade, and myriad engineering necessities. Today if you asked that same question, the answer
would also emphasize such topics as sustainable development, environmental protection, and human rights. Many
potentially economic mining operations falter because of
social issues as much as geological or engineering challenges. There appear to be two principal reasons. First, local
communities are much more aware of their rights to determine their future, to enjoy their land, and to live without fear
of violence and degradation. Second, technology now makes
information available to local communities and connects
even the most remote settlement to the wider world through
television and the Internet. In our world today, mining ventures are not hidden but clearly visible to society. Even small
operations can, and often do, appear prominently on the
world wide web and on global television broadcasts.
Because many geoscientists (those professionals
involved in minerals exploration and development) have little formal grounding in human rights, this paper attempts to
review the nature and evolution of the basic issues of this
important topic. It then focuses on case studies of mineral
developments that have dealt with human rights challenges
and issues. Finally, suggestions are made to set out practical
connotations and implications for different countries, international organizations, NGOs, and corporations.
Mining companies themselves have some specific
rights: for example, they require the right of freedom of
association to function as a corporation, and property rights
that allow them to develop their projects and accumulate
wealth. They also deserve the rights to non-discriminatory
treatment, physical security, free speech, and participation in
the political process, especially where fiscal and regulatory
issues are concerned. On the other hand, they are challenged
in the field by the rights of unions to associate and engage in
collective bargaining, ethnic and other forms of discrimination, conflict between local communities and regions with
the central government, entitlements to benefits, freedom of
expression, security, and property.
Confederation of Norwegian
Business and Industry (NHO, 1998)
Fundamental Rights
(Donaldson, 1989)
Freedom of physical
movement.
Non-discrimination.
Basic education.
Ban on slavery.
Ban on torture.
Physical security.
Right to work.
Right to rest and leisure.
Right to adequate standard of living.
Subsistence.
Fair trial.
Property ownership.
Points of Conflict
There are, as mentioned above, five main focal points of
conflict between mineral exploration and development
activities and human rights issues.
Indonesia, for example, under the COW system, the ownership of mineral resources rests with the state, as does any
equipment brought in by the mining company for the operation. Freeports Indonesian mine, for example, is further categorized as a strategic project whereby the government
asserts its rights to protect the project (a state asset) using the
police or military in whatever way it deems appropriate
(regardless even of what the company is doing or wishes), as
it did in the example discussed later.
In many countries, mining companies are allowed to
use private security forces (in some countries armed, in others not), and in some circumstances companies may invite
state security forces to assist. Companies bear obvious
responsibility for the behavior of their own or contracted
private security forces, but they are also held responsible for
complicity in any abusive behavior by public security forces
that they have asked for protection. Although they do not
have control over how police or military forces behave, it is
essential that geoscientists are aware of the local culture and
history of security force behavior.
One reason mining companies have had to focus on
human rights is because of security issues and associated
abuses of human rights caused by the use of police and security forces, private security companies, and mercenaries in
countries as geographically diverse as Colombia, Indonesia,
Papua New Guinea, Democratic Republic of Congo, Senegal, and Angola. Because these abuses are believed to occur
in direct consequence of the presence of the mining company, the company is held accountable for preventing such
abuses. The use of natural resources to fund conflicts has also
drawn adverse public attention to the mining industry, as in
the case of conflict diamonds in Angola, Sierra Leone, etc.
It is therefore essential to make sure the company has in
place as many positive programs and safeguards as possible
to avoid human rights abuses, because it may have little or
no control over the local public security forces (Lilly, 2000).
Indigenous People
Some countries, such as Bolivia, Colombia, Peru, and
Venezuela, acknowledge that indigenous people should be
engaged in prior consultations about whether resources
should be developed. However, there are concerns whether
the constitutional provisions that established collective
rights of indigenous people for consultation about developments of non-renewable resources are effective, or merely a
courtesy (Amnesty International, 2002). Only in industrial
nations with indigenous populations (Australia, Canada,
Norway, and the United States) can it be asserted that
indigenous people enjoy an effective right to prior consultation about natural resource developments on their traditional
lands (ICME, 1999).
The rights of indigenous people in the areas of mining
operations raise issues concerning ownership of land, power
to make decisions about their future, the entitlement to ben-
Labor Rights
The degree of respect for labor rights within the mining
corporation itself is an important test of its overall respect for
human rights. Labor rights are human rights that encompass
the freedom of association and the right to collective bargaining, in connection with all other rights. ILO conventions
define such rights as those relating to forced labor, child labor,
health and safety, etc. Labor rights can generate specific
points of conflict: for example, six trade unionists per month
are killed in Colombia, and the right to collective bargaining
is weak in China (Kovalik, 2001; ICFTU, 2003). Trade unions
have occasionally negotiated clauses in their labor contracts
involving employee monitoring of human rights abuses.
The mining industry has a reputation in some quarters
for using workers only for hard labor. A perception is that
they are not paid to think, and if they do, they are punished.
With an average of eighteen years of service per worker in
the United States coal mining industry, labor believes that it
has a lot of good ideas to offer, but believes that it is blocked
because if management accepts this then it would in effect
have to give up some of its powers to the worker. Although
the potential benefits are huge, the conflict culture often held
by front line managers may be hard to change because they
feel threatened.
Abuses by contractors, suppliers, and partners of mining companies (including governments and their agencies,
communities, inter-generation rights, and the right to determine whether resources should be developed.
10
ration and development shows that they may be broadly characterized according to the type of conflict. The most serious
abuses of human rights arise from public and private security
activities around mining exploration and development sites.
Other cases involve the rights of indigenous peoples, child
labor and other labor issues, health and safety, property ownership, access to justice, life and liberty, or cruel and unusual
punishment. Conflicts also arise that encompass local community input, land issues, benefits, and revenue allocation
stemming from corruption. The following summaries, covering some of the more prominent characteristics, illustrate the
breadth of issues that need to be confronted.
Forced Labor
Exploration Stage Issues
Lack of human relationship skills and sensitivity to the
concerns of others can lead to confrontation, such as that
experienced by CRA Exploration on Bougainville Island in
1964 when villagers told the company We dont want any
prospectors in this area (Denoon, 2000, p. 62). There was
opposition to mining on Bougainville from the very beginning. Bougainvilleans felt that their permission had not been
sought Negotiations had been made according to the principles of Australian law, whereby anything below the surface,
such as minerals, belonged to the government rather than the
land titleholders. This ruling was at odds with traditional
ownership laws (Australia, 1999, p.18). The Bougainvilleans were not thought seriously to threaten the Panguna
mine until a bloody rebellion resulted in the destruction of
both the islands infrastructure and its administration and
closed the mine in 1989 (Sillitoe, 2000, p. 133).
Child Labor
Children comprised as much as 25% of the coal mining
labor force in Nova Scotia, Canada, until 1923, when legislation ended the practice (McIntosh, 2000). The large number of women and children currently working in small-scale
mining operations in developing countries results in workplace fatality rates up to 90 times higher than in industrialized countries (ILO, 1999). Artisinal mining, particularly
alluvial sluice mining, provides examples of social degradation involving children and their families.
Labor
The mining industry in the United States experienced
labor and capital conflicts with the Molly Maguires in the
1860s and 1870s, and in the United Kingdom the army was
used against coal miners in the early 20th century. Labor
unrest continues to be an issue in the industry. The Australian Council of Trade Unions complained about Rio
Tintos violation of fundamental workers rights in Australia, specifically the right to collective bargaining
(Maitland, 1999). Other countries continue to experience
strikes and labor disputes. Union officials are being killed at
an unprecedented rate in Colombia; for example, two leaders of the mineworkers union were shot dead after leaving
negotiations with Drummond Coal Company (Kovalik,
2001). When a Colombian labor union went on strike
against a coal mine, the president of the country called in the
11
military to crush the workers rights to freedom of association. Eventually, however, the workers achieved what they
wanted because of external support and pressure brought to
bear on the government, a co-owner of the mine.
(HRW, 1994), and even after the area was declared off limits to outsiders, thousands of illegal gold miners still entered
the area leading to the deaths of more Yanomami in 1998
(United Nations, 1999).
Freeport McMoRan1
Freeport McMoRan operates the giant Grasberg mine,
one of the largest and lowest cost copper and gold mines in
the world, in West Papua province, Indonesia. In this region,
the Amungume and other indigenous people are Melanesians, and are ethnically and culturally distinct from other
people in Indonesia. There have been periodic and widely
spaced clashes between Indonesian security forces and freedom fighters representing these indigenous groups (OPM
the Free Papua Movement).
In 1994 and 1995, a series of human rights abuses in the
area of Timika, Irian Jaya, included summary executions,
arbitrary arrest and detention, torture, disappearances,
aggressive surveillance, and destruction of property
(Munninghoff, 1995). There were several incidents where
unarmed civilians (including women and children) who
1
This section is a summary from Handelsman, S.D., 2003. Mining in
Conflict Zones. In Business and Human Rights: Dilemmas and Solutions. Edited by R. Sullivan. Greenleaf Publishing Ltd., Sheffield,
United Kingdom.
12
13
Home Governments
Host Governments
Challenges to host governments include the impact
of globalization and trade, a new criticism of national
sovereignty, the balance of power between nation states
and non-state entities, the privatization of functions formerly the exclusive domain of governments, deregulation
to attract investment, and competition between countries
to attract mineral exploration and development
(Danailov, 1998).
Government policies tend to respond to public concern,
but the rapid pace of change of public expectations, especially relating to demands for local community input, challenge government capacity to be responsive. Local, regional,
and national governments are involved in conflicts about the
benefits from projects and how revenues are allocated. There
is a risk that corporate philanthropy will decapacitize the
14
Role of Geoscientists
Professional and technical associations have recognized
that their members need to understand the increased public
attention since the 1990s to issues of the environment,
human rights, food security, poverty alleviation, and development. For example, in March 2003, the Prospectors and
Developers Association of Canada (PDAC) released an online reference, Environmental Excellence in Exploration
(E3), which was developed to support environmental stewardship at the exploration stage of global mineral development (PDAC, 2003). PDAC encourages sound environmental management practices by the exploration community, its
contractors, and subcontractors, and promotes an awareness
of all stakeholders. Engaging with the community to make
conditions better is more likely to reduce the propensity for
conflict and avoid human rights abuses.
Professional engineers and geoscientists are regulated
to ensure public safety, health, and welfare (e.g., APEGBC,
2002), and several associations have issued human rights
guidelines for their members that reflect societys expectations, principally in employer/employee and workplace situations (Professional Engineers of Ontario, 2000). Such
guidelines are written to ensure that engineers are meeting
their ethical obligations.
Today, geoscientists working for mining companies are
making more effort to inform and consult local communities
(Denoon, 2000). However, the desirability of disclosure and
consultation may conflict with the need for secrecy and confidentiality. It is also often difficult to determine who really
speaks for the community.
Remote areas that have not experienced any prior development have different issues to those experienced in areas
that have previously been exposed to mining. Geologists and
engineers need to examine non-technical issues including
human rights and indigenous concerns. They may face situa-
Approaches to Solutions
Responding to Expectations
The hierarchy of options for responding to civil societys expectations is as follows:
voluntary initiatives;
engaging in dialog;
existing guidelines;
codes of conduct; and
regulatory requirements.
The wide variety of codes causes difficulties for companies in determining which to adopt. Some codes only have
general principles, whereas others have detailed implementation procedures. Some are intended to provide a general
toolbox that can be adapted to deal with the specific conditions encountered in different countries. Although many of
these codes are not legally binding, there is pressure from
many NGOs to make corporations directly responsible for
human rights abuses. In any event, the codes and principles
are considered ineffective unless there is provision for effective independent monitoring and verification of compliance.
Industry initiatives include guidelines and codes of conduct for human rights that define the ethical behavior
expected of professionals. Sectors other than mining have
already developed comprehensive codes of conduct, and
have established standards and implementation methods,
although some NGOs are critical of progress. For example,
after the World Tourism Organization (WTO) held consultations with representatives of the industry, workers, and various NGOs interested in the process, it approved a Global
Code of Ethics for Tourism that includes principles promoting human rights (particularly those of vulnerable groups,
such as children, the elderly, ethnic minorities, and indigenous peoples). This code defines stakeholders obligations,
the need for cultural awareness and sensitivity, and sustainable development, and addresses the rights of workers and
entrepreneurs in the industry (WTO, 1999a). The inclusion
of an article concerning redress of grievances marked the
first time that a code of this type included a mechanism for
enforcement based on conciliation, through the creation of a
World Committee on Tourism Ethics. This committee
includes representatives of each region of the world and representatives of each group of stakeholders in the tourism
sector governments, the private sector, labor, and nongovernmental organizations (WTO, 1999b).
The WTO model could be used by the mining industry.
NGOs have proposed principles for codes of conduct for mining companies (Boas et al., 1998), and the industry should follow the example of some mining companies in engaging with
human rights NGOs to develop effective codes of conduct for
human rights with independent monitoring and verification of
performance. Draft norms for corporations in the area of
human rights, approved by the UN Commission on Human
Rights, are being considered by the UN despite significant
opposition from business interests (United Nations, 2003).
A recent development that may make options for
responding to civil societys expectations more effective is
the establishment of private-public partnerships involving
governments, multilateral organizations, corporations, and
NGOs. In any case, there is a need to build trust and credibility with the various stakeholders groups.
A major question is where should mining companies
and NGOs be going? Some NGOs only want to become
involved if it leads to legislation and stricter government
regulation of corporations, whereas corporations want partnerships to achieve better human rights results through the
voluntary exercise of corporate responsibility. There is a
view that if the NGOs and corporations could agree on the
dimensions of the problem, then they could constructively
explore ways to solve it (Fund for Peace, 2000). Corporations and NGOs are now participating in a number of initiatives together, such as the US-UK Voluntary Principles on
Security and Human Rights, and the UN Global Compact
(Annan, 1999; US/UK, 2000). Some mining companies,
15
inter alia Freeport McMoRan and Rio Tinto, have developed their own human rights policies.
16
seen from case studies that poor performance by not engaging positively with stakeholders can be very costly for the
company and lead to abuses of vulnerable people. In order to
ensure the effectiveness of voluntary, non-binding
approaches, geoscientists also need to receive training and
guidance in management practices to implement these codes.
Some companies are offering training to their own security forces and local military units in how to deal with security problems without causing human rights abuses
(Freeport McMoRan, 2001).
Training Requirements
Conclusions
Abuse of human rights in its broadest sense (covering
political, economic, social, cultural, and other facets of
human existence) is the major external, non-technical problem facing the mineral exploration and development industry today. Mineral exploration companies often operate in
remote locations where there may be weak and corrupt institutions, and where the rule of law is not well established.
Interest groups may resist the replacement of authoritarianism, and the countries themselves may lack a tradition of
public participation. Governmental bodies and the judiciary
may be distrusted and there may be widespread corruption,
leading to further abuses. Although the rule of law has
begun in many countries, local conditions vary significantly,
providing genuine issues for activist groups to campaign
against continuing human rights abuses.
Protection of human rights involves not abusing people
working for the corporation, not abusing contractors, not
employing contractors who use slavery or child workers,
and not abusing the rights of the local community.
Examples of abuse have been found to include poor
working conditions, the employment of children (although
usually not as direct employees of the mineral exploration
and development companies), excessive military intervention to quell disturbances and protests, disruption or
destruction of local livelihoods, pollution (including damage to land or water creating shortages of land for subsistence farming, damage to fisheries, and adverse health
effects), and corrupt or inappropriate use of mining revenues by governments.
In order to ensure that mineral exploration and development projects contribute to improving economic, social, and
environmental conditions for the local community and other
stakeholders, there is a pressing need for corporate leadership, guidelines, benchmarks, monitoring, and verification
of human rights performance. The cases discussed above
have shown that it is imperative to understand and respect
these rights, and to determine their boundaries. This is an
essential precondition in order to understand what is
required to avoid conflicts that can result in halting projects.
17
Acknowledgments
Acknowledgment is due to all those interviewed and
providing feedback in developing the ideas and providing
examples included in this paper. The perspective of some of
those actively concerned with the issues of human rights in
NGOs, corporations, and multilateral agencies was essential. Particular thanks are expressed to Prof. Richards for his
encouragement and guidance in preparing this paper and to
others who took time to read the manuscript and make helpful suggestions during its preparation. The views expressed
in this paper represent solely those of the authors, and any
errors or omissions remain with the authors.
18
References
AMNESTY INTERNATIONAL, 1998. Human rights principles for
companies. Amnesty International, London. Available from
http://web.amnesty.org/library/Index/engACT700011998
AMNESTY INTERNATIONAL, 2002. Business and Human
Rights: A Geography of Corporate Risk. Amnesty International/Prince of Wales International Business Leaders
Forum, London.
ANNAN, K.A., 1999. The nine principles, the U.N. global
compact. Paper presented at the World Economic Forum,
Davos, Switzerland.
APEGBC, 2002. Code of Ethics. Association of Professional
Engineers and Geoscientists of BC, Vancouver, p. 14.
AUSTRALIA, 1999. Parliament. Joint Standing Committee on
Foreign Affairs, Defense and Trade. History of the
Bougainville conflict. In Bougainville: The Peace Process
and Beyond, Chapter 2, Canberra, p. 13-39.
BANGKOK POST, 2001. Mine search ends. Bangkok Post,
July 30, 2001, p. 6.
BBC, 2001. Hundreds Feared Dead in China Mine [TV]. BBC
News, July 30, 2001 [cited 2003]. Available from http://
news.bbc.co.uk/1/hi/world/asia-pacific/1464846.stm
BLACKMON, D.A., 2001. Hard time: From Alabamas past,
capitalism and racism in a cruel partnership - til 1928,
companies leased convicts, most of them black and many
doomed - sent to the mines for gaming. The Wall Street
Journal, July 16, 2001, p. A1.
BOAS, G., ATKINSON, J., STRINGER, R., GILMORE, K.,
REID, M., EVANS, G. and HARRIS, C., 1998. Principles
for the conduct of company operations within the minerals
industry. Australian Non-Governmental Organizations,
Bondi Junction.
BSR, 2003. Minera El Desquite Report Esquel, Argentina.
Business for Social Responsibility, San Francisco, 29 p.
CAO, 2000. An investigation into the mercury spill of June 2,
2000 in the vicinity of San Juan, Choropampa and Magdalena, Peru. Report of the Independent Commission.
Washington, DC: Office of Compliance Advisor/Ombudsman of the International Financial Corporation and the
Multilateral Investment Guarantee Agency, 58 p.
COONEY, J.P., 2001. NGOs Your new partner in mining,
friend or foe. Paper presented at the 12th Symposium of
the Mineral Economics Society, Toronto, CIM.
CORREY, S., 1996. The diamond mercenaries of Africa. In Background Briefing. Australian Broadcasting Corporation.
CORREY, S., 1997. Robert Friedland: The king of the Canadian juniors. In Background Briefing. Australian Broadcasting Corporation.
CVRD, 2000. Companhia Vale do Rio Doce Social Report
2000, Rio do Janeiro, 53 p.
DANAILOV, S., 1998. The accountability of non-state actors
for human rights violations: The special case of transnational corporations. Institut Universitaire des Hautes
Etudes Internationales, Geneva [cited 2003 at http://heiwww.unige.ch/sections/dr/memoires%20DEA.html].
Available from http://www.humanrights.ch/bildungarbeit/seminare/pdf/000303_danailov_studie.pdf
19
20
UNITED NATIONS, 2001. Convention on Access to Information, Public Participation in Decision-Making, and Access
to Justice in Environmental Matters (Aarhus Convention).
UN Doc. ECE/CEP/43 (1998). Economic Commission for
Europe, entered into force October 30, 2001. Available
from www.unece.org/env/pp/treatytext.htm
UNITED NATIONS, 2003. Norms on the Responsibilities of
Transnational Corporations and Other Business Enterprises with Regard to Human Rights, U.N. Doc.
E/CN.4/Sub.2/2003/12/Rev.2, Sub-Commission on the
Promotion and Protection of Human Rights, approved
August 13, 2003.
UK FOREIGN & COMMONWEALTH OFFICE, 2001.
Human Rights Annual Report 2000. HMSO, London.
US, 1789. Alien Tort Claims Act adopted as part of the US Judiciary Act, sec 9.
US/UK, 2000. Voluntary Principles on Security and Human
Rights. U.S. Department of State/U.K. Foreign & Commonwealth Office, London and Washington.
VEIGA, M.M., SCOBLE, M. and McALLISTER, M.L., 2001.
Mining with Communities. Natural Resources Forum 25,
p. 192-202.
WARHURST, A., 1998. Corporate social responsibility and
human rights: A pro-active approach. Paper presented at
the Multinational Investment and Human Rights Forging
Consensus Conference. Royal Institute of International
Affairs, Chatham House, London.
WTO, 1999a. Global Code of Ethics for Tourism. World
Tourism Organization, Santiago, Chile.
WTO, 1999b. Global Code of Ethics for Tourism, Draft Protocol of Implementation. World Tourism Organization, Santiago, Chile.