Critical Analysis of de Beers Social Responsibility (Id: 15005126)

Topics: Diamond, Blood diamond, De Beers Pages: 6 (1895 words) Published: April 10, 2011
De Beers SA, the world's largest diamond miner and marketer, was established by Cecil Rhodes and Charles Rudd when diamond was unearthed in Africa in the year 1886. Through the year of business changes and tabulation which makes today, De Beers is the leader in the diamond industry with an approximately US1.4 million of revenues. However, behind every success come with a price. Apart from the successful business practices, it was accompanied with positive and negative approaches. Shown below are the review and analysis.

What are Human Rights?
Human rights are rights inherent to all human beings, whatever nationality, place of residence, sex, national or ethnic origin, colour, religion, language, or any other status. We are all equally entitled to our human rights without discrimination. These rights are all interrelated, interdependent and indivisible. Universal human rights are often expressed and guaranteed by law, in the forms of treaties, customary international law, general principles and other sources of international law. International human rights law lays down obligations of Governments to act in certain ways or to refrain from certain acts, in order to promote and protect human rights and fundamental freedoms of individuals or groups.

Human Rights Violations
Involvment with blood diamonds
Conflict diamonds (also known as blood diamonds) are illegally mined to provide financial support for a regime or invading army. These conflict diamond mines are located all over the world, including but not limited to the Democratic Republic of the Congo (DRC), Angola, Sierra Leone and Liberia. Since it's inception in 1888, the De Beers strategy was to monopolize the diamond industry as best as they could. De Beers purchased the vast majority of the gems produced outside their own mines, allowing them to create a false scarcety and to fix diamond prices (see Anti-trust indictments by the U.S and E.U.). The diamonds purchased from the external mines often came from war torn countries who were selling illegal conflict diamonds. Through De Beers' support, the insurgents were able to purchase weapons and support their militaries, feeding violent conflict even further. When the U.N. began to look into De Beers' business endeavors with rebels in the Democratic Republic of the Congo in 2002, De Beers quickly agreed to sanctions, barring themselves from purchasing any blood diamonds in the DRC, Angola and Guinea. Although all their offices were closed, De Beers still owned shares of mining companies in the three countries, such as The Société minière de Bakwanga (MIBA) in the DRC. Many guards protecting MIBA, which is controlled directly by the Congolese governement, accept bribes from people who intend to illegally remove diamonds from the mine. These illegal miners are often caught by other guards and shot dead. According to Amnesty International estimates, several dozen miners were murdered each day. Others were reprehended and placed in an unsanitary cell with no toilet. Since pleading guilty to breaking U.S. antitrust laws in 2004, De Beers has focused on harvesting diamonds from their own mines instead of trying to control the entire world market. They have created policies protecting their workers and no longer do business directly with conflict diamond mines. De Beers has also worked with the E.U. to create a diamond certification program called the Kimberley Process Certification Scheme. It has causes trading diamonds illicitly on the world market in exchange for money and arms that, in turn, prolong conflicts and result in human rights violations.

Labour Standards (The elimination of forced Labours)
3.3 Forced Labour
• Employees will not be subjected to forced labour
• Overtime will be voluntary and restricted to the national permitted...
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