Diversity: A Business Imperative
The research underscores the importance of DEI in business performance. Companies ranking high in racial diversity are 36% more likely to outperform those in the lower quartile. Gender-diverse leadership also correlates with a 25% likelihood of outperforming less diverse peers. BHP, a mining giant, found a 67% lower injury rate in diverse crews.
Progress and Challenges
The report highlights modest improvements since 2017, with companies like BHP, Teck, and Anglo American increasing their female workforce. However, diverse talent remains underrepresented at all levels, especially in leadership positions. Based on responses from approximately 500 professionals across 44 countries, the study indicates that while the industry attracts women through competitive compensation and growth opportunities, it struggles to retain and promote them effectively.
Diverse Talent Attraction and Retention
Diverse respondents value travel opportunities and flexibility, alongside traditional incentives like growth opportunities and competitive compensation. Additionally, 30% of diverse talent cited a positive contribution to environmental, social, and governance (ESG) issues as a key attraction factor. The willingness of diverse employees to remain in the industry has increased to 75% in 2023, up from 66% in 2019 and 2020.
Addressing Career Advancement Barriers
The report finds that diverse employees often encounter higher barriers to promotion. The data shows inconsistencies in support received for promotions among different ethnic groups. Companies are encouraged to address structural issues, promote inclusive cultures, and ensure safety from discrimination and harassment.
Direct Impact in Australia
In the Australian context, the mining industry has witnessed a concerted push towards greater diversity. Firms like Rio Tinto and Fortescue Metals Group have initiated targeted programs to boost female participation and leadership. Despite these efforts, Australia’s mining sector still confronts unique challenges, such as geographic isolation and the legacy of gender imbalance. According to the report, Australian companies have seen an increase in female representation in entry-level positions, yet the advancement to senior roles remains sluggish. Industry leaders are encouraged to cultivate more inclusive workplace cultures and implement strategies that specifically address the barriers faced by diverse talent in Australia’s unique mining landscape. This localised approach is crucial for sustaining the industry’s growth and maintaining its global competitiveness.
Implications for the Gold Industry
The gold sector, a significant component of the broader mining industry in Australia, is particularly impacted by these diversity initiatives. Historically male-dominated, gold mining companies are now recognising the value of diverse perspectives in fostering innovation and resilience. The report indicates that diversity in leadership within gold mining not only enhances decision-making but also appeals to a broader range of stakeholders, including investors increasingly focused on ESG (Environmental, Social, and Governance) criteria. As gold mining companies in Australia and globally adapt to the evolving market demands and environmental challenges, the integration of diverse talent could be a key driver in achieving sustainable and ethical mining practices. This shift is expected to bring a new era of operational efficiency and social responsibility in the gold mining sector, reshaping its future in the global market.
The Gold Industry Group (GIG) has been proactive in this area, implementing monthly ESG meetings with key mining leaders from each member to address relevant ESG topics, known as GIG ESG Gold Leaders meetings. Furthermore over the last two years at the Diggers and Dealers Mining Forum, GIG hosted their Leadership Breakfast focussing on key ESG topics that include safer more diverse workplaces, featuring key industry leaders who shared their perspectives on workplace inclusivity and the sector’s evolution over the coming years. The panellists discussed the gold industry’s opportunity to establish a competitive advantage through creating the safest and most inclusive workplaces in the resources sector. This event was part of a larger gathering that emphasised sustainability and collaboration within the industry.
Moving Forward
To bridge the diversity gap, the report recommends an enterprise-wide approach encompassing cultural transformation and comprehensive employee lifecycle management. It emphasises the importance of continuous improvement to foster a safe, diverse, and inclusive environment, which is crucial for the industry’s future talent competitiveness and innovation.