Industry puts its head together to solve the talent issue

Information in PwC'S 2023 Mine report, meanwhile, showed that 70% of young (Canadian) people polled would definitely/probably not consider a career in mining, with 67% answering the same for oil and gas. The data was taken from a survey by the Mining Industry Human Resources Council of Canada.The mining workforce also exhibits wide gender gaps: according to the International Labour Organization (ILO), approximately 14% of mining jobs are held by women.The talent problem is complex, and there are no straightforward solutions. Nevertheless, miners must act quickly to avoid the long-term consequences of a growing shortfall in skills.According to PwC's 26th Annual Global CEO Survey, almost two-thirds of mining chief executives believe that skill shortages will have a "large or very large impact on profitability over the next 10 years".The claxon was sounded last year but has been picked up by mining companies since. In January, speakers at the Future Minerals Forum in Riyadh warned that poor public perceptions of mining are leading to a shortage of new recruits entering the industry. "We have a shortage of talent globally," Dominic Barton, chair of Rio Tinto, told the conference."In the UK, we're seeing university after university close mining programs," Barton said.Since Exeter University stopped courses for undergraduates at the Camborne School of Mines in 2020 there have been no undergraduates enrolled in mining. A month later, in February this year, a report by management consultancy McKinsey revealed that 71% of mining leaders were finding that a talent shortage was holding them back from delivering production and strategic objectives.Australiain Australia, mining job vacancies have more than doubled since February 2020. Studies show that, at the current pace of expansion, Australia will need 24,400 new workers by 2026, but only 16,000 will be available.This was highlighted in the Australian Geoscience Council's Australian Tertiary Geoscience Education Profile report, released late January, which tracks changes in key metrics including enrolments and academic staffing levels since 2003.Those quoted in the report pointed to different reasons."While universities have endeavoured to maintain geoscience programs, financial pressures have resulted in the loss of geoscience programs at two institutions in the last three years," president of the UNSW Academic Board Professor David Cohen said.Chair of the Australian academy of sciences national committee of the earth sciences, professor Ian Jackson, said the publication of the report provided a timely warning concerning geoscience training in Australia. "The decline in graduates is partly attributable to the boom-bust cycle of the mineral exploration industry and continues to threaten the viability of university geoscience departments," Jackson said."The enrolment trends suggest that governments and the broader public are insufficiently aware of the vital role of geoscience in understanding the broad interface between humans and our planet, including pressing concerns about changing climate, scarce sub-surface water resources, and the emerging need for critical metals for our decarbonised future," he added.Hastings DeeringThis year, Hastings Deering, one of the larger Caterpillar dealers in Australia, took on 50 apprentices for their 2024 apprenticeship program. This was a relief. Last year the company managed to attract 32 apprentices, down from the 2021 intake of 40.Apprenticeships are available across six disciplines, including: engine reconditioning, auto electricians, electrical fitter mechanics, boilermakers, diesel fitters and mechanical fitters. And workers can be placed anywhere. Particular regions with available positions include Alice Springs, Brisbane, Cairns, Darwin, Mackay, Mt Isa, Rockhampton, Toowoomba and Townsville. More than 600 apprentices have successfully completed their training with Hastings Deering in the past 10 years. Of that figure, 90% completed the program and have been placed as permanent tradespeople. Figures from Hastings show that while submissions from ATSI (Aboriginal and Torres Strait Islander people) have risen year on year, making up 18% of the submissions in 2023 (compared with just 3% in 2022), female submissions have fallen to 10% of intakes (from 21% in 2022). Mature-age intakes have risen to 36% of submissions, from 28% the previous year, and internal applicants are up to 32% of total submissions, from 25% the previous year. Women (not) in mining It's not just the young who have turned their back on the mining sector. A report released last week by White & Case, ARCH Emerging Markets Partners and Women in Mining UK, titled 'Changing the face of mining', shows that just 42% of the top-listed 100 mining companies worldwide still do not have any female representation in executive management positions, and in the top-100 listed mining companies just six women hold the position of chief executive. Further, across the top-100 listed mining companies worldwide, 16% had no women on their boards, while 66% had two or more women on their boards. "The industry is facing one of its biggest challenges ever - how to change the face of mining to attract more people into the sector and how to encourage them to stay. We are acutely aware of the poor perception the public has of mining, and a part of that perception is the lack of diversity from the top all the way to the mine site," the foreword of the report read. The report was put together 10 years after the first research report by Women in Mining UK to determine just how many women were participating in the mining industry at senior levels, and to determine what, if any, effect those women had on the performance of those companies. "This 2023 research found that there remains a positive correlation between a higher EBITDA margin, a higher return on capital invested, higher ESG scores with the percentage of women on boards," the report stated. "The top-500 listed mining companies have made good progress over the decade, albeit from a low base, increasing the number of women on boards by 13%, and for the top-100 listed miners, the rate of increase was 15% over the period," it added. "For decades, mining has been perceived as an "old boys club", with gender inclusivity and equality only recently gaining traction," Mana Cloette, president, Ivanhoe Mines, said."Diversity in leadership can drive innovation and facilitate better decision-making, and today, it's widely accepted that having more women at the top can contribute to greater financial performance and improved ESG rating," she added. There are also lessons from those who have enacted change. Cynthia Carroll, board member of Glencore and a former CEO of Anglo American, outlined her own journey: "Women face myriad challenges going into mining, whether it be bias, discrimination, lack of representation in leadership positions or lack of opportunity. With the right support and initiatives, these barriers can be overcome. Mining companies can change. My own experience with Anglo American attests to that." ICMM announces collective commitment Also last week, mining body ICMM signed a commitment with its members to improve diversity, equity and inclusion (DEI) in the mining and metals industry and positively influence the communities that mining companies are a part of. The agreement was announced during the World Mining Congress, during which chief executive Rohitesh Dhawan urged miners to "be the change you want to see"."Whilst we have seen good progress by individual companies, this collective commitment aims to prioritise and accelerate collaborative efforts to eliminate discrimination, harassment, and assault," Dhawan said."This is so we can build psychologically safe and truly diverse, equitable and inclusive workplaces in the mining industry. It is not only our solemn duty to do so, but the only way to attract and retain the talent essential to grow responsible mining at the huge scale that is required. This is why I am calling on the wider industry, alongside our members, to join us in this collective effort to drive the progress needed," he added. Members of the ICMM will sign the agreement to make mining more inclusive via the principles set out in the document.

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