The Social License to Operate as a Tool to Promote Sustainability …
421
community and industry45 and despite ‘criticisms of the industrial impacts, (citizens) found
themselves entangled in an asymmetric relationship of power with the local ventures’. Focus
group interviews with long-time community leaders reiterated that the town was largely
beholden to the acts of Vale (…)” (Hoelscher and Rustad 2019; pp. 104–105).
History seems to be repeating itself in Parauapebas and Canaã dos Carajás. Such
ineffective practices from the past must be identified, collectively discussed and
properly managed. Then, new approaches to CSR and SLO can be successful and
effectively benefit communities, companies and other stakeholders. Reaching higher
SLO levels demands actively engaging and empowering the local communities, by
generating long-term benefits and economic independence from mining industry.
Even rural communities are increasingly growing more dependent on mining, as
one rural worker spontaneously declared that mining is the only feasible economic
activity in town, as agriculture becomes less profitable each day.
The responsibility of promoting economic diversification was also attributed to
local government. One of the participants reported that mining companies provide
more benefits in social and urban infrastructure than the local government. In fact,
mistrust in government was a very common complaint during data collection. Some
respondents trusted the companies paid the mandatory taxes and obeyed laws, but
the government misused the mining taxation. It suggests that governance and trust
in political institutions may play an important role in social perceptions of mining
activities.
Hoelscher and Rustad (2019) emphasize the importance of industries and government to engage enthusiastically with all social groups and discuss important issues.
Facing and managing social past and current grievances is essential to transform
them, in order to properly design in tandem a shared vision of a common future.
Nonetheless, delivering short-term benefits should not be the main strategy, but
rather a complement to commit the population with new sustainability paradigms,
empowering them to change their present and future.
5 Conclusion
This paper aimed at understanding what drives the SLO and what triggers social
dissatisfaction towards mining companies in the state of Pará (Brazil), based on CSR
literature and analytical tools. Historically, this license has been used as a tool for
promoting social resignation and minimizing social opposition, but it can promote
sustainability and social responsibility if well managed. SLO studies can give voice
to marginalized social groups in local communities and identify their perceptions
and feelings.
The SLO in Parauapebas and Canaã dos Carajás is low, on Acceptance level
(2.6, likert scale). Stakeholders tolerate the companies and allow they operations,
but satisfaction and goodwill are weak. Rural workers, for instance, do not grant an
SLO. Poor social engagement, environmental hazards and lack of transparency were
the main factors that harmed the SLO in both cities.
421
community and industry45 and despite ‘criticisms of the industrial impacts, (citizens) found
themselves entangled in an asymmetric relationship of power with the local ventures’. Focus
group interviews with long-time community leaders reiterated that the town was largely
beholden to the acts of Vale (…)” (Hoelscher and Rustad 2019; pp. 104–105).
History seems to be repeating itself in Parauapebas and Canaã dos Carajás. Such
ineffective practices from the past must be identified, collectively discussed and
properly managed. Then, new approaches to CSR and SLO can be successful and
effectively benefit communities, companies and other stakeholders. Reaching higher
SLO levels demands actively engaging and empowering the local communities, by
generating long-term benefits and economic independence from mining industry.
Even rural communities are increasingly growing more dependent on mining, as
one rural worker spontaneously declared that mining is the only feasible economic
activity in town, as agriculture becomes less profitable each day.
The responsibility of promoting economic diversification was also attributed to
local government. One of the participants reported that mining companies provide
more benefits in social and urban infrastructure than the local government. In fact,
mistrust in government was a very common complaint during data collection. Some
respondents trusted the companies paid the mandatory taxes and obeyed laws, but
the government misused the mining taxation. It suggests that governance and trust
in political institutions may play an important role in social perceptions of mining
activities.
Hoelscher and Rustad (2019) emphasize the importance of industries and government to engage enthusiastically with all social groups and discuss important issues.
Facing and managing social past and current grievances is essential to transform
them, in order to properly design in tandem a shared vision of a common future.
Nonetheless, delivering short-term benefits should not be the main strategy, but
rather a complement to commit the population with new sustainability paradigms,
empowering them to change their present and future.
5 Conclusion
This paper aimed at understanding what drives the SLO and what triggers social
dissatisfaction towards mining companies in the state of Pará (Brazil), based on CSR
literature and analytical tools. Historically, this license has been used as a tool for
promoting social resignation and minimizing social opposition, but it can promote
sustainability and social responsibility if well managed. SLO studies can give voice
to marginalized social groups in local communities and identify their perceptions
and feelings.
The SLO in Parauapebas and Canaã dos Carajás is low, on Acceptance level
(2.6, likert scale). Stakeholders tolerate the companies and allow they operations,
but satisfaction and goodwill are weak. Rural workers, for instance, do not grant an
SLO. Poor social engagement, environmental hazards and lack of transparency were
the main factors that harmed the SLO in both cities.