27 August 2024
BHP is pleased to share the results of its inaugural Indigenous partners relationship health assessment conducted in FY2024. This is a commitment we made under our social value framework and it provides a new measure of our performance, as assessed by Indigenous partners. This builds on other measures of progress in our social value framework, such as Indigenous procurement and employment.
We engaged global research firm, Ipsos, to independently gather feedback on a confidential basis from a number of BHP’s Indigenous partners in Australia, Canada and Chile where we operate our assets. In total, representatives from 17 of 26 Indigenous partner organisations who were contacted to take part in the inaugural assessment agreed to participate. All organisations that were contacted for the inaugural assessment have current agreements with BHP or are located on or near our operations.1
The feedback indicated that relationships had been strained in the past. While BHP is making some progress in its relationships with Indigenous partners, there is still more to do to achieve our goal of delivering respectful relationships that hear and act upon the distinct perspectives, aspirations and rights of Indigenous peoples and support the delivery of mutually beneficial and jointly defined outcomes.
Each interview was structured around one theme: How would you rate the overall health of the organistion/entity’s relationship with BHP over three time periods in considering the past, present and future of the relationship? Responses were recorded as a rating from zero to 10.
Recommendations for improvement include more resourcing and empowerment of BHP’s Indigenous Engagement teams, and greater involvement for Indigenous partners in BHP decision-making around employment, procurement and community initiatives to ensure opportunities are available to Indigenous peoples at the community level. The feedback also indicated that some Indigenous partners desire a greater level of involvement from BHP in community engagements, such as in cultural events and informal meetings.
The relationship health results varied across the different countries covered in the assessment and is broadly summarised as:
Australia: The six Australian Indigenous organisations that participated indicated there had been an improvement in relationship health from the past to the present.
Many of the improvements in overall relationship health were attributed to key personnel at BHP who advocate strongly for Indigenous partners and who conduct their engagements respectfully with long-term goals of Indigenous advancement in mind. The establishment of Indigenous Engagement and Cultural Heritage teams and greater direct engagement from BHP senior leaders in Australia were seen as improvements.
However, the feedback also indicates only marginal improvement from the present to the future for our relationships in Australia. Some Indigenous partners reported that relationships can still feel transactional and lacked continuity. In some instances, there was a view expressed that BHP could provide more commercial and employment opportunities to Indigenous partners and improve the accessibility of its systems and processes. These factors contributed to a less optimistic outlook about the future state of the relationship compared to the other jurisdictions.
There was a desire expressed by Australian Indigenous partners to see more Indigenous peoples advancing to more senior roles in BHP. Partners also expressed a desire to see more social investment initiatives that benefit more groups.
These changes, along with more frequent engagement with decision-makers, were seen as necessary steps to build trust and to help move towards more respectful relationships based on mutual benefit in the future.
Canada: The five Canadian Indigenous organisations that participated reported a positive trajectory in their relationship health with BHP and expressed the most optimism in their feedback on the future potential of relationships.
Key personnel at BHP were seen to instigate respectful, meaningful and genuine engagements with Indigenous communities. This has helped create trust in BHP’s commitment to deliver positive outcomes through community investments and initiatives.
Some areas of concern included past instances of cultural disrespect and that proactive steps to understand Indigenous history and culture were not always consistently applied. In some instances, there was frustration expressed about communications and transparency, as well as present levels of Indigenous employment representation.
The feedback indicates desire to see more two-way dialogue with decision-makers established. Looking to the future, Canadian Indigenous partners expressed a high degree of optimism at the economic opportunities at the Jansen Potash Project. To maintain this optimism, partners in Canada seek increased Indigenous representation in decision-making processes and positions and expect a stronger focus on training and upskilling so that Indigenous peoples may increase their employability to work for BHP.
Chile: The six Chilean Indigenous organisations that participated indicated they had seen modest improvement in relationship health from the past to the present and were more optimistic in their view on the future.
Indigenous partners in Chile perceive inadequacies in the opportunities and operational and environmental protections offered by the national legal system and they expect BHP to set a higher standard.
There was a perception that BHP had prioritised commercial outcomes in the past and there had, in some cases, been inadequate recognition and understanding of Chilean culture and values. Some partners continue to perceive protections as inadequate in managing environmental impacts and want to see BHP enhance cultural protections, improve access to areas that hold cultural meaning and implement measures to minimise the health impacts of mining on communities.
More generally, partners expressed a desire to see BHP be more proactive in engagement with a broader range of the community, including those that are not recognised by Chilean legal structures. Partners believe employment and training opportunities could be better geared to Indigenous staff and skillsets in the community to improve levels of Indigenous employment.
There appears to be an openness from Indigenous partners to continue engaging to improve relationships with BHP in Chile.
The way forward on relationship health
We recognise we have more to do to realise our 2030 social value goal of hearing and acting upon the distinct perspectives, aspirations and rights of Indigenous peoples and supporting the delivery of mutually beneficial and jointly defined outcomes. The feedback we have received through this work - and the actions we take in response - will play an important part in our continued progress toward this ambition. We thank our partners for the feedback and the generosity of spirit in which they provided it.
Participation in the inaugural relationship health assessment and all feedback received by BHP through Ipsos has been anonymised to maintain confidentiality for participants. BHP representatives in Australia, Canada and Chile will offer to engage with the Indigenous partners who were contacted to share our intended next steps. Our regional Indigenous Peoples Plans will be considered in light of the partner feedback received and to identify areas of focus within the actions set under those plans.
1 For more information about the methodology for the Indigenous partners’ relationship health assessment, refer to the BHP ESG Standards and Databook 2024, available at bhp.com/sustainability.
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