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Communications in Business 100
Semester Two 2012
Sydney Campus

Written Submission

Student: Anqi DENG
ID:16602081
Tutor: Sunaina Gowan
Word counts:1195

Ms. D. Anqi
Director of Corporate Communications
BHP Billiton Limited
GPO Box 2012
180 Lonsdale Street
Melbourne Victoria 3000

September 1, 2012

Ms. Sunaina Gowan
Executive of the Australasian Local Network
PO Box 111
Sydney NSW 2000

Dear Ms. Sunaina Gowan,

BHP Billiton is world’s largest producers of major metals, including copper, iron ore, manganese and so on. We were established on Australia and provide employment positions for 60,000 Australian employees (BHP Billiton 2012). In July 2003, BHP Billiton participated in Global Compact and will continue to progressively implement with the compact (Global Compact 2012). This letter is going to introduce you the recommendations of our company to Local Networks to encourage closely compliance with the following two Global Compact Principles: Principle 3: "Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining." (The Ten Principles/ Principle 3 2012). Principle 8: "Businesses should undertake initiatives to promote greater environmental responsibility." (The Ten Principles/ Principle 8 2012). Our practices

We have been accused of breaching Principle 3 of the Global Compact. In 2011, our subsidiary company called Illawarra Coal ineffectively bargain with employees for providing collectively agreement instead of individual agreement. This cause United Nation and the union called APESMA doubted that we did not comply with the Compact, which the similar issue also happened in 2003. In regard of this perspective, Rio Tinto could be a role model of us (APESMA 2012). “The way we work” is an employment policy that Rio Tinto proposed to ensure that all of the employees could choose whether or not t to join any type of union consistent with Australian labour laws. Besides, they have closely comply with Principle 3 that employees have right to work under an individual contract or collective contract (Global Compact 2012). However, we are one of the leading energy and mining company that promote greater environmental responsibility. Health, Safety, Environment and Community Policy includes policy to perform and promote environmental responsibility through lifecycle of production. For example, they achieved that 8% improvement of water recycled than 2006 (BHP Billiton 2011). Dust Management Program and Environmental Noise Reduction Management Program introduced by BHP Billiton Iron Ore’s management. The emissions intensity is 18% lower than 2006 in 2011 (BHP Billiton 2011).We also aim to reduce 6% greenhouse gas emissions for every unit of production by June 2012. We also advocate using natural gas resource for lower emission of CO2 and fossil fuels. Newmont Mining Corporation is a mining company which similar to BHP Billiton. They recently operate a gold mine in Peru. They didn't closely comply with global compact and dispose 151 kilograms of the toxic metal in to local lake, which caused heavy pollution on water and negatively affect organism that rely on the water. They ignored the environmental effect of waste disposal and their environmental responsibility, which we will never imitate (BHP Billiton 2011). Our recommendations and benefits

According to our practice in regards of Principle 3, we have two recommendations to fix the shortage in labour collective bargain right. 1. Company should support employees, trade unions and employee associations, and interact with these associations in good faith. To support employees, trade unions and employee associations, we will adopt policies that allow freely join trade union and bargain collectively. This policy should include clearly define that BHP Billiton allow workers to have collective agreement. We also allow them to meet on company premises. In this case, Rio Tinto could be a good...
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