More than a quarter of female workers at Rio Tinto Group have experienced sexual harassment and almost half of all staff have been victims of bullying, according to a new report that’s set to raise fresh investor questions over the mining giant’s governance.
Coming less than two years after the world’s second-largest miner apologised for the destruction of ancient Aboriginal Australian heritage sites, the latest revelations over the extent of Rio Tinto’s toxic work culture threaten to stoke new investor unrest. The 2020 explosions at an iron-ore site, which buried a record of life dating back more than 40,000 years, prompted demands for sweeping changes and the exit of top executives including Stausholm’s predecessor.
While the study covered Rio workplaces in locations including Canada, the US, Mongolia and Singapore, most attention will be focused on Australia, which is home to iron ore mines that generate the bulk of profits and where almost half of the firm’s 45,000 staff and contractors are based. About 20% of Rio’s workforce is female, according to the firm’s most recent annual report.
Some of the country’s biggest investors, including AustralianSuper and Health Employees Superannuation Trust, are increasingly taking a zero-tolerance approach to poor corporate culture. Both funds were among those that pushed for the resignation of Rio executives after the heritage site destruction.
Respondents to Broderick’s eight-month-long review, which included an online survey, one-to-one meetings and small discussion groups, described an atmosphere where derogatory comments and physical intimidation were commonplace.
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