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Rio Tinto

"We are conscious that some people hold deep and strong beliefs that our activities are in themselves damaging."
RTZ chair Sir Anthony Tuke, 1984 Annual Report

Photo Courtesy ICEM

Rio Tinto is the world's largest private mining corporation. The company focuses on large, long-term, low cost mining operations in aluminium, copper, coal, uranium, gold, industrial minerals (such as borates, titanium dioxide feedstock, talc, diamonds) and iron ore. Rio Tinto is most active in North America, Australia, South Africa and Indonesia with additional major assets in South America, Asia, and Europe. There are more than 60 operations in around 40 countries.

Labour and Human Rights
Rio Tinto workers produce tremendous income for the company - 35,000 workers produced income in 1999 of US$9,310 million - US $266,000 per worker.1

In recent years the company has perfected the art of increasing production while shrinking the workforce and cutting wages. Rio Tinto, along with many other multinational corporations, holds the view that the 'free market' means trade unfettered by regulations, be they environmental, labour or human rights regulations.

"Mining, by its very nature, constitutes an assault on the physical, social and cultural environment. When this assault is organised by one of the most powerful, arrogant and racist corporations in the international mining industry, the results can be devastating."
Al Gedicks, from the foreword to 'Plunder' by Roger Moody and PARTiZANS

Within Australia it is a leading member of the Business Council of Australia and of the Minerals Council of Australia.

In 1997 alone, workers in Australia, Brazil, Indonesia, Norway and Portugal took industrial action over Rio Tinto's "de-unionisation" policy. Over the years the company and its many subsidiaries has also faced protests from indigenous peoples in Brazil, New Zealand, the United States, Canada, Indonesia and Australia.

Uranium Mining
Following a hostile takeover of North Limited, ownership of the Ranger and Jabiluka uranium deposits passed to Rio Tinto, putting their future in doubt. Amid rumours that the barely profitable uranium holdings (which were not the primary target of the takeover bid), would be sold off, Rio Tinto unexpectedly replaced half the ERA board with it's own people, which suggests a longer term strategy for development is being pursued. Rio Tinto must now become the focal point of the campaign to get uranium mining out of Kakadu.

Rio Tinto also holds the Kintyre uranium lease in Rudall River National Park in Western Australia, on 'Care and Maintenance' owing to the uncertain political and economic circumstances in the industry. The company is pressuring the Martu people of the region into negotiations on a mine which most of them do not want. The Martu have been strong to date in stating that until their Native Title status is made clear under State and Federal law, they will not finalise any negotiations with Rio Tinto.

In the late 1970's Rio Tinto attracted international condemnation for its active role it supporting apartheid in Southern Africa. Rio Tinto was found to be illegally mining Namibian uranium at Rossing, in breach of United Nations Resolutions.

"Mined by virtual slave labour under brutal conditions, transported in secrecy to foreign countries, processed in unpublicized locations, marked with false labels and shipping orders, owned by a tangle of multinational corporations whose activities are only partially disclosed and used in part to build the nuclear power of an outlaw nation....

The commodity is uranium. It comes from Namibia. It is mined, shipped, processed and sold in direct violation of United Nations resolutions, of a Decree enacted by the United Nations Council for Namibia, the legal administering authority of the Territory, and of an advisory opinion of the International Court of Justice." 2

Rio Tinto survives and prospers because it is a corporation with financial and political influence. Through its trade in uranium it has gained powerful allies in the key western nuclear weapons states - France, the UK and the US.

Environment and Indigenous Rights
At the Freeport/Rio Tinto copper and gold mine in Grasberg, West Papua (Irian Jaya), the military have harassed, tortured and killed villagers. The company estimated that 40 million tons of toxic tailings were dumped in the Otomona-Ajkaw river system in 1996 alone. So far the operation has blasted 400 meters off the top of Grasberg mountain, a place considered sacred to the indigenous Amungme people. The local people have seen few benefits from the mine- only 4% of those employed at the mine come from the local area.3

Labour Rights
In Australia, where Rio Tinto has massive iron ore, coal, aluminium, diamond, salt and gold operations, Rio Tinto appears to be attempting to eliminate unions from its workplaces. Within a period of six years, Rio Tinto has reduced the workforce in their coal operations by 28% and cut real wages by 20%, causing tremendous harm to surrounding local communities.4

At the Escondida mine in Chile, the majority of workers are afraid to become involved in the union and have therefore requested help and support from the Rio Tinto Global Union Network. In the United States, the majority of Rio Tinto's work sites are non-union due to aggressive tactics by the company to keep unions out.

Capper Pass is a major tin smelter in the United Kingdom that was closed down by Rio Tinto in 1991. After first denying any wrong doing, Rio Tinto has finally admitted that it has persistently violated health & safety and environmental laws at the smelter. Rio Tinto is now facing major legal liability from ex-workers, their families and their communities for cancer risk exposure and other major health and environmental problems.4

"The arrogance of corporate power entails a certain blindness to the changing political climate for the mining industry. This was evident in RTZ's admission that they were "astonished" at the opposition to the Cerro Colorado copper project in Panama. As the structures and modes of corporate power become better known, there will be more opportunities to astonish and bewilder this vulnerable corporate giant."
Al Gedicks, from the foreword to 'Plunder' by Roger Moody and PARTiZANS

References

1. CFMEU Rio Tinto Global Campaign Fact Sheet http://www.cfmeu.asn.au/mining-energy/fact2000.htm

2. 'Plunder of Namibian Uranium'. United Nations, New York, 1982 Quoted in CFMEU Briefing Paper No. 6 http://www.cfmeu.asn.au/mining-energy/rtback6.htm

3. Corporate Watch: Rio Tinto's Global Exploitation http://www.igc.org/trac/japan/intl/internatl/riotinto.html

4. CFMEU Rio Tinto Global Campaign Fact Sheet http://www.cfmeu.asn.au/mining-energy/fact2000.htm

Contacts

Rio Tinto PLC - United Kingdom
6 St James's Square, London SW1Y 4LD
Ph 0171 930 2399 - Fax 0171 930 3249
http://www.riotinto.com/

Rio Tinto Ltd - Australia
55 Collins St Melbourne, VIC 3001
Ph (03) 9283 3333 - Fax (03) 9283 3707

Rio Tinto Exploration P/L
37 Belmont Avenue, Belmont
Ph (08) 9270 9222 - Fax (08) 9270 9223

Rio Tinto Limited
152 St Georges Terrace, Perth
Ph (08) 9327 2327

Websites


the Anti-Nuclear Alliance of Western Australia
email robin@anawa.org.au