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The information gathered through the PLAN phase will allow Social Performance teams to complete an assessment of potential social and human rights impacts and risks, including identification of Priority Unwanted Events (PUEs).

Task 3 – Conduct SHIRA as part of the Operational Risk Management process

Part of the ORM process

The assessment of Social and Human Rights Impacts and Risks (SHIRA) forms part of the annual Operational Risk Management (ORM) process. Potential and actual social and human rights impacts and risks should be recorded in the Baseline WRAC. This process should be co-ordinated and facilitated by the Risk Manager and include the Social Performance team, as well as other Functions as relevant, depending on the topic.

Cross-functional responsibility

Departments should be involved in helping to identify potential adverse impacts on external stakeholders related to their Function and should contribute to the design and implementation of prevention and mitigation measures according to their areas of competence and expertise.

Table 3C.1 provides an indicative overview of the Functions potentially involved in identifying and managing impacts within that category. This provides a basis on which to ensure that consideration is given to all potential adverse impacts, to clarify roles and responsibilities, co-ordinate responses and direct the appropriate resources towards mitigation efforts.

TABLE 3C.1 Examples of potential adverse impacts by SHIRA category

Category Definition Examples of potential adverse impacts Typical cross-Functional responsibility
Economic Impacts on economic livelihoods, which include the following elements: sources of livelihood (e.g. land, subsistence production, rivers/marine, forests, pasture, minerals/subsoil, etc.); income; access to work; diversity of livelihoods; productivity and legality of livelihoods; adequate levels of income generation; loans, credit, savings or other financial support.
  • Fishermen unable to sustain livelihoods, owing to contamination of water sources impacting on fish
  • Resettled community unable to sustain livelihoods, due to lack of land available for farming
  • Human resources
  • Social Performance
  • S&SD
  • Supply Chain
Personal and Political security Impacts on personal and political security, which include the following elements: access to justice; access to labour rights; freedom from slavery and forced and child labour; freedom from persecution or discrimination or harassment; freedom from violence and conflict; ability to participate in political, economic and social systems; ability to participate in community/public decision-making; ability to participate in company engagement and consultation; fair policing and public security; freedom from corruption and bribery.
  • Discrimination of certain groups of people in site recruitment practices
  • Increase in gender-based violence, as a result of Site-Induced Migration
  • Community members excluded from site stakeholder activities
  • Excessive overtime by contractor workers
  • Human Resources
  • Security
  • Social Performance
  • S&SD
Socio-Cultural Networks Impacts on Socio-Cultural Networks, which includes the following elements: social networks and connectedness, community groups, ability to provide leadership, community trust, social cohesion, anti-social behaviour, social ills, access to knowledge and skills.
  • Increase in alcohol abuse, drug use, gambling, as a result of Site-Induced Migration
  • Decrease in social cohesion, due to presence of foreign site workers
  • Social Performance
  • Human Resources
  • Security
Infrastructure and Services Impacts on Infrastructure and Services, which include the following elements: access to, functionality and affordability of: housing; education; healthcare; transport; recreation; power; sanitation; water supply; emergency services; places of worship; telecommunications; and household goods and equipment.
  • Lack of affordability of public services, due to increase in inflation caused by a large mining investment.
  • Lack of access to public services and infrastructure due to lack of capacity of these services and infrastructure to absorb increase in population caused by Site-Induced Migration
  • S&SD
  • Social Performance
Cultural Heritage

Impacts on Cultural Heritage, which include the following elements:

  1. Tangible forms of Cultural Heritage, such as:

    • Archaeological resources: concentrated and patterned physical remains of past human activity. A resource may include artefacts, human, animal, plant or structural remains, and soil features. This definition includes prehistoric and historic terrestrial and marine archaeological sites)
    • Built Heritage resources: Above-ground, standing structures (buildings, monuments, infrastructure, etc.) or groups of structures with historical, cultural, religious, and/or artistic value to stakeholders. This includes graves.
    • Living Heritage resources: A structure or natural landscape feature that is a part of a living cultural tradition and/or where stakeholders enact, perform, and/or practice cultural traditions and activities, including sacred groves, rocks, lakes, and waterfalls.

    And / or

  2. Intangible Cultural Heritage; i.e. traditions or living expressions inherited and passed on, such as: oral traditions; performing arts; social practices; rituals; festive events; knowledge and practices concerning nature and the universe; and the knowledge and skills to produce traditional crafts. The importance of Intangible Cultural Heritage is not the cultural manifestation itself, but rather the wealth of knowledge and skills that is transmitted through it from one generation to the next.
  • Loss of historic building, due to site expansion
  • Damage to graves, caused by site construction activities
  • Disturbance of sacred forest, caused by site traffic
  • Loss of local customs and rituals, caused by Site-Induced Migration
  • Social Performance
  • Security
  • S&SD
  • Project and Operations teams
Community Health and Safety

Impacts on the physical and/or mental health or safety of individuals, including illness, disease and injuries, and well-being.

Illness or injury may not present itself immediately. Health impacts may be related to changes in air quality, water quality, noise and vibration, etc. Mental health is defined as a state of well-being in which every individual realises his or her own potential, can cope with the normal stresses of life, can work productively and fruitfully, and is able to make a contribution to her or his community. Mental health impacts may be related to feelings of discomfort, nuisance and/or stress.

  • Community fatalities, as a result of accidents involving site traffic on public roads
  • Long-term illness, from dust or other air pollution
  • Illness, from drinking from contaminated water sources
  • Increase in stress levels of community members, due to fear of failure of new tailings dam facility or perceived environmental impacts
  • S&SDSocial Performance
  • Social Performance

Application of the Social Consequence Matrix

The Anglo American ORM Risk Matrix includes a row called ‘social/community’. To get to the consequence rating in this row, sites must use the Social Consequence Matrix to assess Scale, Vulnerability, and Remediability as these relate to potential social and human rights impacts, and then consult the Scenario Guidance to determine the Social Consequence rating. The sections below describe how the Social Consequence Matrix should be used. The Social Consequence Matrix can be found in Tools.

3C.2 Guidance | Do
3.Engagement and analysis  |  3C Social and human rights impact and risk analysis (SHIRA)  |  3C.2 Guidance  |  Do