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Creating Value with the Future in Mind - Anglo American South Africa

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creat<strong>in</strong>g value for society creat<strong>in</strong>g value for host communities<br />

creat<strong>in</strong>g value for<br />

host communities<br />

<strong>the</strong> issue<br />

The legitimacy of <strong>the</strong><br />

m<strong>in</strong><strong>in</strong>g <strong>in</strong>dustry, <strong>in</strong><br />

develop<strong>in</strong>g countries<br />

<strong>in</strong> particular, h<strong>in</strong>ges on<br />

its ability to contribute<br />

to <strong>the</strong> well-be<strong>in</strong>g and<br />

prosperity of host<br />

communities.<br />

Expenditure WITH suppliers<br />

based <strong>in</strong> <strong>the</strong> communities<br />

close to our operations<br />

$1.54 bn<br />

Corporate social<br />

<strong>in</strong>vestment expenditure<br />

<strong>in</strong> 2012<br />

$154 m<br />

Social performance<br />

been agreed, <strong>with</strong> a positive impact<br />

and human rights<br />

on approximately 39,000 supplier<br />

employees.<br />

Our commitment to respect<strong>in</strong>g<br />

human rights forms <strong>the</strong> foundation A risk-based approach is followed<br />

of our approach to community<br />

to identify suppliers to be audited.<br />

engagement and development.<br />

Of <strong>the</strong> suppliers audited dur<strong>in</strong>g 2012,<br />

<strong>Anglo</strong> <strong>American</strong> is committed to<br />

<strong>the</strong> most common non-compliances<br />

implement<strong>in</strong>g <strong>the</strong> ‘Protect, Respect <strong>with</strong> <strong>Anglo</strong> <strong>American</strong>’s human rights<br />

and Remedy’ Framework provided standards related to exceed<strong>in</strong>g<br />

<strong>in</strong> <strong>the</strong> UN Guid<strong>in</strong>g Pr<strong>in</strong>ciples on<br />

legal work<strong>in</strong>g hour limits and not<br />

Bus<strong>in</strong>ess and Human Rights.<br />

pay<strong>in</strong>g workers accord<strong>in</strong>g to legal<br />

requirements – especially related<br />

Our first duty is to behave <strong>in</strong> a way<br />

to overtime pay. To address <strong>the</strong>se<br />

that respects <strong>the</strong> human rights of<br />

non-compliances improvement<br />

employees, host communities and<br />

plans have been requested from <strong>the</strong><br />

bus<strong>in</strong>ess partners. Human rights<br />

suppliers. To date, 15 improvement<br />

best-practice requirements are<br />

<strong>in</strong>tegrated <strong>Anglo</strong> <strong>American</strong> <strong>in</strong>to <strong>the</strong> <strong>Anglo</strong> Social <strong>American</strong> Way annual compliance plans have been results received and <strong>the</strong><br />

%<br />

rema<strong>in</strong>der will be f<strong>in</strong>alised <strong>in</strong> 2013.<br />

Social Way and all o<strong>the</strong>r relevant<br />

policies, 50<br />

No child labour was found <strong>in</strong> <strong>the</strong><br />

systems and tools throughout<br />

suppliers audited, although five<br />

<strong>the</strong> bus<strong>in</strong>ess to ensure that we adhere<br />

suppliers did not have proper systems<br />

to this commitment across all our<br />

<strong>in</strong> place to verify <strong>the</strong> age of workers.<br />

activities. 40 <strong>Anglo</strong> <strong>American</strong> is a<br />

A rema<strong>in</strong><strong>in</strong>g risk <strong>in</strong> this regard is <strong>the</strong><br />

longstand<strong>in</strong>g supporter of <strong>the</strong><br />

extent to which suppliers fur<strong>the</strong>r<br />

Voluntary Pr<strong>in</strong>ciples on Bus<strong>in</strong>ess and<br />

downstream meet <strong>the</strong> standards set<br />

Human 30 rights. Dur<strong>in</strong>g 2012, nearly<br />

out <strong>in</strong> our Code.<br />

4,000 employees and contractors took<br />

part <strong>in</strong> human rights tra<strong>in</strong><strong>in</strong>g – this Our bus<strong>in</strong>esses measure compliance<br />

<strong>in</strong>cluded 20 nearly 100% of all security aga<strong>in</strong>st <strong>the</strong> requirements of <strong>the</strong> Social<br />

personnel at our Plat<strong>in</strong>um bus<strong>in</strong>ess. Way through annual self-assessment.<br />

‘Serious non-compliances’ aga<strong>in</strong>st <strong>the</strong><br />

We conduct thorough risk<br />

10<br />

requirements of <strong>the</strong> Social Way have<br />

assessments, <strong>in</strong>clud<strong>in</strong>g on issues<br />

almost been elim<strong>in</strong>ated: <strong>in</strong> 2012,<br />

related to human rights, for all<br />

<strong>the</strong>re was only one reported <strong>in</strong>stance<br />

significant <strong>in</strong>vestments. S<strong>in</strong>ce <strong>the</strong><br />

0<br />

throughout <strong>the</strong> Group, across<br />

Supply Cha<strong>in</strong> Susta<strong>in</strong>able<br />

24 assessment po<strong>in</strong>ts (less than 1%).<br />

Development 2009 (SD) programme 2010 2011 2012<br />

There was also a drop <strong>in</strong> ‘moderate<br />

commenced Serious non-compliance <strong>in</strong> 2009, we have<br />

non-compliances’ (2%). The rema<strong>in</strong><strong>in</strong>g<br />

conducted Moderate 195 non-compliance audits of 179 high-risk<br />

Compliant<br />

97% of sites comply <strong>with</strong>, or exceed,<br />

suppliers across <strong>the</strong> world; 65 SD<br />

Good practice<br />

<strong>Anglo</strong> <strong>American</strong> standards.<br />

audits Best were practice completed <strong>in</strong> 2012. To<br />

date, 45 improvement plans have<br />

Our first duty<br />

is to behave<br />

<strong>in</strong> a way<br />

that respects<br />

<strong>the</strong> human<br />

rights of<br />

employees,<br />

host<br />

communities<br />

and bus<strong>in</strong>ess<br />

partners.<br />

<strong>Anglo</strong> <strong>American</strong> Social Way annual compliance results<br />

%<br />

50<br />

Good practice 45%<br />

40<br />

Best practice 37%<br />

30<br />

20<br />

Compliant 15%<br />

10<br />

0<br />

Moderate<br />

non-compliance 2%<br />

Serious non-compliance 1%<br />

32 <strong>Anglo</strong> <strong>American</strong> plc Susta<strong>in</strong>able Development Report 2012<br />

2009 2010 2011 2012

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