Social corporate responsibility PDF

Title Social corporate responsibility
Course Introduction To Public Law
Institution University of Limpopo
Pages 9
File Size 98.9 KB
File Type PDF
Total Downloads 35
Total Views 206

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Corporate social responsibility Corporate social responsibility is the duty of the business for the effect of its choices and exercises on society and nature through straightforward and ethical conduct, it is also the duty regarding organizations to offer back to the general public and environment in which they work. Organizations have an obligation regarding their effect on society and the natural habitat. Corporate social responsibility is also the undertaking of organizations to help uplift the living standards and way of living of their employees and those people who live in the community within which the organization operates. It is the responsibility of the organization for the impacts of their decisions and activities on society and the environment, through transparent and ethical behavior that contributes to sustainable development through housing, health care, education to name a few in the society. In the South African context, the social role of corporate activities is mainly dominated by large enterprises. The historical background of South Africa plays a huge role in the drive of CSR. In particular, to the historical circumstances of South Africa, it not only involves corporate citizenship (the integration of social and development of social and environmental considerations into all aspects of enterprises operations) but also affirmative action and skills development to redress past apartheid ills. That is fundamental change via government activities such as the Black Economic Empowerment. The act in place to dress the racial imbalances brought down by the apartheid government is BEE Act of 2003. Although CSR initiatives are voluntary, some are of efforts of compliance with the BEE legislature. The act in a sense forces SA based organizations to consider all stakeholders when performing their designated operation in an effort to create equality in social and economic issues. BEE is not only directed at addressing social imbalances, but also help strengthen the socio economic development of the country through social rights and the well-being of its citizens. THE IMPACTS OF CORPORATE SOCIAL RESPONSIBILITY ON THE FOLLOWING: -

Social rights These are rights which force a commitment on the state to find a way to give individuals resources and services they need to live a decent and good life. The rights may include the right to education, the right to health, the right to social security, the right to housing. Mining can result in infrastructure improvements in the community by building community shelters, schools and roads. In terms of health the mines can offer medical resources to their employees, including their families, also building and equipping hospitals with proper facilities to conduct medical services in the community. Mines can make education in the nearby community more accessible, by sponsoring the school, providing fully equipped labs with top of the range electronics to make the education better. Mines are situated in isolated areas and mining companies should take it upon themselves to provide adequate housing for their employees and their dependents. Education for the children in such communities is a necessity, as no child should be without education in South Africa. Provision of social security and pension funds are compulsory as the workers work in dangerous and life threatening conditions.

Society’s socio-economic development The mining company has to add value to the community and it will do such by bringing in new business ventures and since it will attract tourists due to its increase in services and recreational activities small businesses with flourish from the income they will be gaining from a bigger population. Creating community foundations which will attract the external donors/investors. It will result in micro-credit finance schemes which will create job opportunities resulting in economic growth, this could also help the disadvantaged groups in the communities.

Human wellbeing The company should always consider the health of the community, meaning that it should always by any means necessary protect the community from pollution, such as the dust from the mining site. The mining dumps should not be dumped in areas where

they would be harmful to humans and animals in that area, some of the waste may be radioactive which may cause cancer. Some of the processes at mines can cause noise pollution, which disturbs the peace, impacting their sleeping/resting patterns.

Legal nature of prospecting right, mining right, exploration right or production right, and rights of holders thereof

A prospecting right, mining right, investigation right or generation right allowed regarding this Act is a limited genuine right in regard of the mineral or oil and the land to which such right relates. The holder of a prospecting right, mining right, investigation right or generation right is qualified for the rights referred to in this segment and such different rights will also be approved, obtained by or conferred upon such holder under this Act or some other law. Subject to this Act, any holder of a prospecting right, a mining right, investigation right or creation right may enter the land to which such right relates together with his or her representatives, and may bring onto that land any plant, hardware or gear and assemble, develop or set out any surface, underground or underneath the ocean framework which might be required for the intention of prospecting, mining, investigation or production, all things considered; prospect, mine, investigate or produce, all things considered, for his or her very own record on or under that land for the mineral or oil for which such right has been approved; expel and discard any such mineral discovered throughout prospecting, mining, investigation or production, all things considered; subject to the National Water Act, 1998 (Act No. 36 of 1998), use water from any normal spring, lake, waterway or stream, arranged on, or moving through, such land or from any exhuming recently made and utilized for prospecting, mining, investigation or production purposes, or sink a well or borehole required for use identifying with prospecting, mining, investigation or production on such land; and complete any other activity coincidental to prospecting, mining, investigation or production tasks, which action does not contradict the arrangements of this Act.

No individual may prospect for or evacuate, mine, direct specialized co-activity tasks, observation tasks, investigate for and produce any mineral or oil or begin with any work related to mining on any region without an endorsed ecological administration program or affirmed natural environment plan, as the case may be; an observation consent, prospecting right, authorization to evacuate, mining right, mining grant, maintenance grant, specialized co-task license, observation grant, investigation right or production right, as the case may be, and notifying and counselling with the land proprietor or legal occupier of the land being referred to. Before mining companies can begin to work the ground, or prospecting it. It’s usually required that they acquire the following permissions from the government. 1. Mining Prosperity Rights. 2. Authorized environmental management program\plan 3. Water use license 4. Environmental authorization. Additional licenses may be required for the disposal of water or the emission of pollution into the air. Before any interaction with the government, all affected parties should be consulted and later report all the concerns of those affected (usually the community) to the government. Although some mining companies are known to mislead the communities affected or bribe those in power so their needs are met in order for them to mine the land. This is the very reason why government intervention is so intense in the mining industry and the laws are so stringent. The stake of those affected is far greater than just the profit aspect. 

Application of mining rights in terms of Mineral and Petroleum Resources Development act 28 of 2002



In order for the application to be granted, the applicant has to lodge an application for environmental authorization.



Consult with interested and affected parties, including landowners.

The minister of mineral resources must grant the right if the mineral can be



mined optimally. 

The applicant has access to financial resources and technical ability.



The mining should not result in unacceptable pollution, ecological degradation or damage to the environment. Furthermore, the applicant has to lodge a mining work program and a detailed



social and labor plan. Below are the steps that can guide you to getting a permit: 

Applying online



Prescribed non-refundable fee



Requirements must be met if not, the system will reject the application



Once the application has been accepted, the regional manager will request for a submitted environmental management plan and consult the landowner together with a legal occupier as well as affected parties



Submission of a written outcome after consulting with the regional manager after 30 days

When all requirements are met the Minister of Resources will issue a permit. The community has full ownership to the land, and that gives them power and authority to decide what happens with their land. This means that before attaining mining rights the minister of mineral resources must first get the full and formal consent from the community. The activities happening on their land should be beneficial to the community, it must bring wealth and developments In the case of: Minister of mineral resources vs the Xolobeni community. The decision was taken by an authority not authorized to grant mining rights and was accordingly ultra vires the MPRDA and void. The mining right could not in fact be lawfully granted because:



The Xolobeni area is part of a Marine Protected Area where commercial prospecting and mining cannot take place at all (s 9(c) read with s 48(1) of the Protected Areas Act 57 of 2003). Specifically, the area fell within the Pondoland Marine Protected Area in terms of s 43 of the Marine Living Resources Act 18 of 1998.



The Xolobeni area had also been declared a protected area in terms of Transkei Decree 9 (Environmental Conservation) of 1982. Accordingly, in terms of s 48(1) of the Protected Areas Act commercial mining or prospecting could only take place with the written permission of the Minister of Environmental Affairs and the Minister responsible for Minerals and Energy.



The Xolobeni area lay on land that is being used for public purposes or is reserved in terms of another law (under s 48(1)(c) of the MPRDA



No Community Resolution had been passed authorizing mining on the land. In this regard the Department of Land Affairs had advised the community that mining could only take place if the AmaDiba community had passed such a resolution that also set out the compensation payable to the community.



The public consultation process mandated by the MPRDA was fatally flawed in that there was insufficient notice of the public meetings, members of the Xolobeni traditional authority and community were not properly consulted, inaccurate or incomplete information was provided to the community (in particular the true number of people who would need to be relocated was not disclosed, nor the literacy requirement for obtaining a job at TEM), the issue of compensation for violation of a number of the community’s rights was not addressed, and that XolCo did not represent the interests of the community.

Challenges faced by mine workers. 

Miners stand a high risk of physical injuries from handling heavy equipment.



The respiratory systems of the miners may be negatively affected by the dust inside the mine



The possibility of the mine caving in may result in mental stress on the miners, even with the chances being low the fear of being trapped prevails.



The mine spoils dumped from the mine will negatively affect the quality of life of the miners in terms of the water being affected by viruses which may lead to diseases

Challenges faced by surrounding communities where the mining take place. 

Mining operations requires large parts of land to be cleared which results in deforestation



The new roads that will be built to transport mining equipment will affect the natural environment negatively



Due to some of the extreme processes in the mine there will be noise pollution.



The dust from the mining site will cause air pollution which will also affect the quality of water including the vegetation



The mining activities can also cause soil erosion, loss of precious soil.



Land degradation results in the land having no life at all.



When mining is over the land is left in a barren state, with no life due to vegetation being wiped out completely

In the case of Puseletso Khamisi and the other employees the mine is obliged to provide them with medical care as their diseases were a result of them working in the mine, and firing them without compensation is unethical and immoral considering the fact that they are going to need financial assistance to take care of themselves and their families. The families of the late workers should be compensated, as some were breadwinners of their families, a business that practices CSR would always consider the wellbeing of their workers and their community.

Bibliography

Broad-Based Black Economic Empowerment Act 53 of 2003 Chris Skinner, Gary Mersham(2008) " corporate social responsibility in South Africa: emerging trends" society and business review, Vol.3 pp. 239 - 255 Emeraldinsight.com. (2019). Corporate social responsibility in South Africa: emerging trends | Society and Business Review | Vol 3, No 3. [online] Available at: https://www.emeraldinsight.com/doi/abs/10.1108/17465680810907314

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Apr. 2019]. Gov.za. (2019). Apply for a mining right | South African Government . [online] Available at: https://www.gov.za/services/mining-and-water/apply-mining-right [Accessed 14 Apr. 2019]. https://www.call2care.org.za/news/why-corporate-social-responsibility-is-a-must-forsouth-african-businesses (2019). [online] Available at: https://www.call2care.org.za/ [Accessed 14 Apr. 2019]. Mining Africa. (2019). Social Responsibility in Mining in Africa . [online] Available at: https://www.miningafrica.net/mining-news/social-responsibility-in-mining-in-africa/ [Accessed 5 Apr. 2019]. Mineral and petroleum resources Act 28 of 2002 Mitchley, A. (2019). High Court rules in favour of Xolobeni community in historic mining rights case. [online] The M&G Online. Available at: https://mg.co.za/article/2018-11-22high-court-rules-in-favour-of-xolobeni-community-in-historic-mining-rights-case [Accessed 14 Apr. 2019]. Quora. (2019). [online] Available at: https://www.quora.com/What-are-the-impacts-ofmining-on-the-health-of-miners-and-environment [Accessed 5 Apr. 2019]. TRANSWORLD ENERGY AND MINERALS RESOURCES - XOLOBENI. (2019). [ebook]

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