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Article

27 Oct 2008

Author:
Juliet Hepker & Daniel Litvin, Critical Resource

ArcelorMittal’s African gamble [Liberia]

...ArcelorMittal anticipates creating a total of 3,500 direct and 20,000 indirect jobs as a result of its investment [in Liberia]. It has also committed to invest $3m each year in a community development fund. In the words of the global firm’s CSR report, “as the first major company to enter Liberia since the end of the war, we understand we have a particular responsibility to the country and its people.”...It is judged against this overall standard that ArcelorMittal’s efforts, though laudable in many of their details, appear insufficient. At the global level, the company is only just developing a full suite of CSR policies and procedures (on issues such as human rights, for example) that established miners such Anglo American and BHP Billiton have had for years now...Managed well, the project has the potential to make a hugely positive contribution to the country. But ArcelorMittal’s approach to managing its stakeholder relations and potential negative impacts, real or perceived, appear insufficient given the risks. [Also refers to De Beers, Rio Tinto]