Impact to Communities

Performance

In 2018, 63% of our operations carried out social impact assessments and 78% carried out environmental impact assessments. Approximately 38% of the operations publicly disclosed the results of social impact assessments, while 50% of operations publicly disclosed the results of their environmental impact assessments. In the same year, 72% of our operations implemented local development programs based on the local communities’ needs, and 75% of them encouraged the creation of committees or social dialogue groups.

We developed more than 350 Relationship and Investment Plans with local communities during 2018, linked to impact management or local development. In one year, between 2017 and 2018, we recorded a 33% reduction in the average response time to communities and a 46% increase in handling of issues , as well as a 69% decrease in the number of interdictions of Vale’s operations.

Relationship with Communities

The relationship with communities is guided by Vale's Social Action model, built and implemented through the management of human rights processes, social and environmental risks and impacts, community health and safety, involuntary removal, relationships with local communities, relationships with indigenous peoples and traditional communities, actions to support local development, social and environmental investments and conflicts with communities. Guidelines and documents are established and disseminated for each of these processes.

As one of our community engagement strategies, we have adopted the design and implementation of the Community Relationship Plans (PRC). The PRC principle is the mobilization and social participation in the definition and prioritization of the social actions to be implemented in the communities.

Performance Goals

According to data consolidated in June 2019, Vale has relationships with 1,149 communities, distributed among 105 municipalities in Brazil. Of these, 443 are priority communities for engagement. The goal is for all priority communities to have a PRC developed. Currently approximately 25% of these communities have plans in place.

Listening and Response Mechanisms

To meet the demands for information and facilitate claims and complaints related to our activities, we provide structured channels, such as the Ombudsman, Contact Us and 0800 telephone lines. Relationship teams communicate directly with their publics, allowing greater speed and efficiency in the processes of mitigating and resolving potential conflicts.

The Stakeholders, Demands and Issues System (SDI) is Vale’s tool for managing relationships with local communities, indigenous peoples and traditional communities. It supports the management of communities’ demands, as well as of other Vale’s processes for social actions.

1. Quantitative study conducted by the Human Resources area for Vale employees.

2. The Vale Supplier Portal (Nimbi platform) is a virtual space for the sale of products and services that provides the interface between the between the company and its suppliers, increasing the integration of purchasing processes, from quotation to payment.

3. Vale Procurement Global Services is a virtual environment created to address problems related to Vale's purchasing chain. It is divided in three areas: contracts, payment of invoices and electronic invoices for services

Communities Health and Safety

Community Health and Safety actions contribute to the construction of risk perception by communities and, consequently, to the consolidation of a safety culture in the territories. These initiatives, mostly education and social mobilization, are preventive in nature and are associated with risk management controls and / or operational impacts that directly or indirectly affect neighboring communities.

Risk management

Vale's risk management model ensures that the health and safety of communities are taken into account in risk assessment processes at operational and strategic levels (business risks). In addition, existing procedures and controls are implemented to prevent and mitigate impacts and risks to the health and safety of communities, assessing their suitability and taking corrective action whenever necessary. The actions, whether operational and / or strategic (relationship), are aligned so that the implementation and results are legitimized and recognized by the communities.

Performance Goals

Vale monitors and records all occurrences and/or accidents involving neighboring communities, and annually sets targets and indicators for conducting education campaigns and relationship actions in locations that interact with our operations.

Perspective

Based on the principles of Vale's Social Action Guide, the Communities Health and Safety Plan is in process to be standardized, which aims to define guidelines and standards throughout Brazil for actions aiming to prevent accidents and implement a culture of safety in neighboring communities.

Resettlements

The involuntary removal process aims to manage physical and/or economic displacement, people, families, communities and/or social groups in a situation of socioeconomic vulnerability, due to our activities.​
For Vale, the Involuntary Removal process must ensure the restitution of life conditions and productive and economic living standards at equivalent or better levels compared to those verified before the start of the process, as well as the respect for human rights.

In Brazil and Mozambique, this process has been standardized since 2012, in compliance with international standards and guidelines, such as those established by the United Nations (UN) regarding the right to adequate housing, and performance standards from the International Finance Corporation (IFC). In Mozambique the resettlement is governed by a specific law since 2012.

Social Legacy

In our Sustainability Policy, we are committed to working in an integrated manner with stakeholders in order to contribute to the building of a positive legacy for future generations, considering social, cultural, environmental and economic aspects. In addition to monitoring and anticipating trends in global sustainability issues developing, adopting, and sharing best practices, we aim to continuously improve our social and environmental performance.

Support for local development consists of planning, executing, monitoring social investment actions, seeking continuous process improvement, resource use enhancement results leveraging and maximization of the positive impacts of mining by stimulating local content and shared value. Vale’s areas, together with Vale Foundation and other entities, contribute to the promotion of partnerships between sectors with the purpose of enhancing the opportunities for territorial development, supporting the construction of the legacy that Vale intends to leave to the communities.

For us, obtaining and maintaining the Operating License is closely related to the generation of a positive legacy for the territories, to an effective management of risks and impacts as well as to a structured relationship with stakeholders.

The guidelines that regulate our activities are:

Policies and Procedures

• Code of Ethical Conduct
• Human Rights Policy
• Sustainability Policy
• Socioenvironmental Investments Policy

Business Case

Na Trilha dos Valores Project

The project proposal is a guidance for students and teachers of elementary schools neighboring the railroad about how to live safely with the railway, and thus, make them aware of the precautions needed when approaching the railroad, especially when a train is passing by.

The main focus is to work the school community knowledge and involvement in issues related to railway safety through a playful methodology, involving dynamics such as storytelling railway games and guided visits to the Vale Museum, among other actions.

The aim is, through dialogue and raising of awareness, to seek to reduce the number of railway incidents in these locations, which can range from incorrectly disposing of garbage to stoning and movement of people on or near the railroad. The project so far has had 3,203 participants in the municipalities of Cariacica, Fundão and Serra.

“This project has represented a lot in the life of the Maria Magdalena Pisa school, as it aims to provide our students with this wonderful tour. The activities carried out at the school teach us how to value the environment and the railway safety, since our school is adjacent to Vale’s railway line”, said Sérgio Ricardo Barbosa Wetler, teacher.

Vale Cuidar Project

It is an initiative that invests in empowering adults to enhance the development of children from 0 to 5 years. Workshops, seminars and training activities are carried out so that adults that interact directly with a child may increase their knowledge in matters related to early childhood and in the repertoire of interventions and children’s plays, in their professional or living space.

After 5 years of project:

In 2019, the project had the Metropolitan region of Vitória, Resplendor and Tumiritinga as participant municipalities. About 750 people were involved in the formation process, while over 5,000 kids will benefit from the playing spaces. The project is related to the SDG Health and Wellfare.

Maria Ortiz Community Relationship Plan – Colatina/ES

In 2019, among the Relationship Plans carried out, we highlight the Maria Ortiz, a community of Colatina/ES, plan. This fishing community has about 60 families living between the railway and the Doce River. The participative methodology was held in 3 community meetings, where residents mapped out the main demands and opportunities of the community. Since then, the group identified possibilities for social initiatives that Vale could develop together with the community to improve the residents' quality of life. The actions were prioritized in a 3-year plan, starting with leisure activities for children and gymnastics for the elderly, a sports court and popular gym. As a first action in 2019, prior to the the equipment construction works, we held two leisure mornings. About 50 residents attended the meeting cycle.

"Vale interacted with the residents in a meeting, where they were taught how to demand improvements for the neighborhood through collective opinion. On September 1st, the first results arose: the residents collaborated and we had 5 hours of joy and fun for groups of all ages of the Ortiz community", said Claudio Marques dos Santos, president of the Maria Ortiz Residents Association – AMMOR.