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2013 Sustainability Report
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glossary
GRI
indicators

Community Engagement

Community Contributions | Direct and Indirect Contributions | Sustainable Funds

SO1

Goldcorp undertakes community engagement at 100% of its mining operations, though the format may vary by site. Goldcorp’s Corporate Social Responsibility (CSR) Framework provides a series of tools, policies and guidelines that are to be used by the community relations teams at each site. The Framework details the programs that are in place to assess and manage the impacts of our operations on communities throughout the mining life cycle: from before we enter a community, through the operating period, and when we exit a community. Goldcorp has developed accompanying guidelines, which include how to implement such aspects of community relations as:

  • Socio-economic baseline studies
  • Stakeholder identification and mapping
  • Human rights training
  • Land acquisition and compensation
  • Grievance mechanisms
  • Sustainable community development
  • Local inclusion (training, hiring, procurement and influx management)
  • Socio-economic closure plans

The diagram below shows the programs included in the CSR Framework. Although they are presented linearly, many of these activities run parallel to each other. Certain aspects also depend on the point in the mine life cycle. For example, every site goes through an environmental impact assessment during the feasibility stage, which generally includes an assessment of potential community impacts and ways to mitigate negative ones and support positive ones. Once sites are in the construction and operations stages, they will carry out a baseline study related to environmental and social impacts and periodically update the study to monitor our effect on local communities and the physical surroundings. Four sites completed and disclosed a Social and Environmental Impact Study (SEIA) or a socio-economic baseline study during 2013:

  • Marigold: produced an updated SEIA for permitting requirements.
  • El Sauzal: completed a community needs assessment with a third party, which will form the basis of our social closure plan.
  • Cerro Negro: updated its baseline study for Perito Moreno in order to formulate a multi-year plan for social, economic and cultural activities in the local community.
  • El Morro: Updated its Indigenous Social Baseline in 2013 in the Alto del Carmen commune.

CSR at Goldcorp Across The Life of a Mine: Responsible, Respected and Welcomed

mineCycle-diagram

Each of these programs has a monitoring aspect, which requires measuring key performance indicators. All of our mines have dedicated personnel whose roles are to ensure that host communities benefit directly from our operations. Some of our operations also have formal consultation committees. For example:

  • Porcupine consults with the Porcupine Watchful Eye Committee and the Hollinger Project Advisory Committee.
  • Red Lake works with the Community Stakeholder Engagement Committee.
  • Marigold sits on the Lander County Sustainable Development Committee and works with the Battle Mountain Advisory Board.
  • Éléonore works with two community representative groups: the four Collaboration Agreement Implementation Committees (each focused on different areas, such as environment and employment) and COMAX, a committee made up of local administration members, social and economic development organizations and site management.
  • Musselwhite implements its agreement with local First Nations through three committees that comprise First Nations community members and site staff.
EC1, EC8

Community Contributions

Goldcorp’s contributions to local communities through wages, donations, investments, royalties and other payments amounted to $1.33 billion in 20131.

Direct and Indirect Contributions

Direct Contributions

Goldcorp contributes directly to our communities through donations and community investments. We define a donation as a cash or physical gift made to the larger community where the target beneficiaries are external to the company and Goldcorp is not involved in the administration or delivery of that gift. An example is donating money to a school to purchase books or supplies. A community investment is an investment of employee time, resources and a monetary contribution, the target beneficiaries of which are external to the company. Goldcorp is involved in some capacity in the design, implementation or administration of the resources (e.g., a community relations person sits on the project steering committee).

At the end of 2013, Goldcorp reassessed how we classify and track our community investments and donations, in order to strengthen our investment-making decisions as well as how we are measuring and communicating our impact. Direct contributions in 2013 amounted to more than $23 million. Direct contributions consisted of money or in-kind benefits provided directly to community organizations or community representatives for specified purposes, which generally fell into four core categories:

  • Health
  • Education
  • Community Development
  • Arts & Culture

Health

Goldcorp continued to contribute to the health and well-being of the communities around us by supporting local sports and recreation programs, medical research and infrastructure, local hospital foundations, health and sanitation awareness campaigns and other such programs. Some notable health initiatives in 2013 included sponsoring a breast cancer screening clinic in Chile near our El Morro project and a donation of orthopedic supports at our Peñasquito mine in Mexico. We also donated $1 million to St. Paul’s Hospital in Vancouver, British Columbia, to create the Addiction Medicine Fellowship.

Education

Education is a key focus area for Goldcorp because it lays the foundation for a brighter future. We endeavour to support all levels of education. We contribute to community investment programs, such as literacy and education programs at our El Sauzal site, as well as donate to local schools and universities. In 2013, we continued supporting the Mining Matters camps, which introduce kids to geology and mining processes in northern Ontario, along with the very successful CONALEP scholarship program in Mazapil, Mexico, which provides college-level training in skilled trades to local youth.

We also supported a number of tertiary institutions in North America. We were pleased to support the University of British Columbia’s Earth Sciences Building, to which we have made a five-year $5 million commitment. A separate gift of $125,000 to UBC will help establish a mining-focused executive MBA program. We also supported the Gustavson School of Business at the University of Victoria, funding their Corporate Social Responsibility program.

COMMUNITY DEVELOPMENT

Community development donations and investments allow us to contribute to a vibrant local economy and culture. We aim to promote and sustain increased social and economic benefits for a wide range of stakeholders. The majority of our support in this area comes in the form of annual contributions to communities over multiple years during operations, or initial seed funding for projects that address locally identified needs and priorities. The long-term vision is that these communities can build a strong economic foundation to be sustainable beyond the life of mine. In 2013, we gave $1.25 million to the Street to Home Foundation, which is dedicated to finding solutions to homelessness in Vancouver, BC, and $316,000 to the United Way Campaign. We also contributed $575,000 to conservation initiatives in our communities, through organizations such as the World Wildlife Fund, Nature Trust BC, the Pacific Salmon Foundation and the Vancouver Aquarium.

ARTS & CULTURE

Whether it is a local music festival or a theatre piece that explores the history of the community neighbouring our site or a world-renowned symphony, supporting the arts and culture around us is always a rewarding experience. In 2013, we supported the restoration of the historic Homestake Opera House in Lead, South Dakota, and were proud sponsors of the Vancouver Symphony Orchestra and the Vancouver Opera.

INFRASTRUCTURE

Goldcorp often supports local development through infrastructure projects, which either provide a shared benefit to the operation and the community or are entirely for the community benefit. The Wataynikanenap Power partnership is an example of an infrastructure investment that is a shared benefit, for local First Nations communities and our Musselwhite mine.

Sustainable Funds

Goldcorp has established sustainable funds in the United States, Guatemala and Honduras to provide long-term community assistance. In 2012, Goldcorp made an initial $1 million contribution to start the Wharf Sustainable Prosperity Fund, in order to support future generations in Lead, South Dakota, after the Wharf mine closes. It is administered by the South Dakota Community Foundation, a public non-profit organization. Local Goldcorp management participates in the Wharf Sustainable Prosperity Committee, which will ensure that Wharf leaves a positive legacy even after operations are complete.

Fundación Sierra Madre (the Sierra Madre Foundation) in Guatemala was founded in 2003 by the Marlin mine. The mission of this fund is to implement sustainable, community-based development and capacity-building programs in the municipalities of San Miguel Ixtahuacán and Sipacapa. It is managed and staffed by Guatemalans, and has become an important part of the local community throughout the municipality of San Miguel and in villages in the municipality of Sipacapa. The foundation plays an integral role in building local capacity and promoting economic and community sustainability.

Fundación San Martin (the San Martin Foundation) is a non-profit organization founded in 2000 by the San Martin mine to promote sustainable development in the Honduran region known as Valle de Siria. It is a key example of our closure plans at work after operations. The foundation’s purpose is to secure benefits for the community on a permanent basis by creating employment opportunities and economic development in the area during and after mine operations.

Our corporate Donations Policy establishes a target for donations of 1% of pre-tax earnings from operations, in line with Imagine Canada’s guidelines. Our foundations disburse some, though not all of our community investments and donation funds.

20132 Direct contributions ($)
Community investments Donations Total
Health 211,000 1,914,000 2,125,000
Education 508,000 3,959,000 4,467,000
Community development 604,000 4,069,000 4,673,000
Arts and culture 602,000 705,000 1,307,000
Infrastructure 4,381,000 947,000 5,327,000
Community development or legacy funds 611,000 419,000 1,030,000
Other 1,788,000 2,544,000 4,332,000
Sub-total 8,705,000 14,556,000 23,261,000
Sponsorships 65,000 739,000 804,000

Indirect Contributions

Indirect contributions in 2013 amounted to $1.31 billion, compared to $970 million in 2012. Indirect contributions relate to money or in-kind benefits provided to community organizations, local governments or individuals for unspecified purposes, or relate to the purchase of goods and services from the local area, including:

  • Local royalties and taxes: taxes of all kinds paid to local authorities
  • Compensation agreements: monies paid as part of formal compensation agreements
  • Local goods: goods purchased from the local area
  • Local services: services supplied from the local area

In 2013, we spent $973 million on local and regional suppliers and an additional $2 million on national suppliers. This meant that only 5.5% of our supply was sourced outside the country of site operations.

1 This data follows the reporting procedures utilized in our 2013 Annual Report. Some measures, where noted, are non-GAAP measures on an attributable basis, which include discontinued operations and projects and the company’s share of Alumbrera and Pueblo Viejo.

2 Data covers donations and investments from sites and the corporate office. It does not include donations and investments made at the regional level, as this information was not available at the time of writing.