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Women in Mining Network (WIMNet)

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1 Women in Mining Network (WIMNet)
WIMNet – Underground Operators April 14th [slide number] [1]Good morning and I would to thank the organisers for the opportunity for the Women in Mining Network to speak to you for 10 minutes on some key issues that may give you some ideas for improving the participation and productivity of your workforce. I would also like to acknowledge Peter McCarthy, President of the AusIMM and the WIMNet committee for the input into this speech today. Presentation to Underground Operators Conference, April 2008 By Kate Sommerville on behalf of Women in Mining Network

2 The value of an engaged workforce
Talk outline - WIMNet The value of an engaged workforce Revealing barriers to the participation of women in mining Recommending some ideas for your organisation Highlighting some great examples already out there in the mining industry [2]Today’s talk will cover four things: The value of an engaged workforce Revealing barriers to the participation of women in mining Recommending some ideas for your organisation Highlighting some great examples already out there in the mining industry

3 Engaged Not engaged Actively disengaged Types of employees:
[4] Engaged employees give the extra discretionary effort, the not engaged are checked out doing the time but without energy and the actively disengaged undermine what engaged workers are doing. According to Gallup's 2006 Australian Engagement Study of 1000 people across a broad range of industry sectors, actively disengaged employees are more likely to have higher levels of absenteeism and safety incidents; they take less pride in their workplace and are less likely to be advocates for their workplace or the products and services they represent. Gallup's 2006 Australian Engagement Study

4 Results – Australia all industries: Engaged 21% Not engaged 61%
Types of employees: Results – Australia all industries: Engaged 21% Not engaged 61% Actively disengaged 18% => $32 Billion/year [5] The survey results show that 21 per cent of employees are engaged, 61 per cent are not engaged, and 18 per cent of Australian employees are actively disengaged, costing businesses around $32 billion each year. If employees perceive that they are not valued and are not given the same opportunities as their colleagues, they become disengaged. The non-traditional employees have a higher risk of employee disengagement and employers, most probably without knowing it, chose the more traditional employee for development and promotion. We can explain away departures from mining as normal turnover, not fitting in, wanting different experiences, but that doesn’t really help us address the expected shortfall of 70,000 skilled workers in the mining industry by 2015. Gallup's 2006 Australian Engagement Study

5 WIMNet - Vision “A mineral resources industry where all participants are treated fairly and equitably and which is admired for its people and its leadership.” [6] The AusIMM’s WIMNet committee has a vision: “A mineral resources industry where all participants are treated fairly and equitably and which is admired for its people and its leadership.” Many of the improvements the committee is advocating for will be of benefit for all. One of the issues for women in mining is the gender pay gap. Analysis of this situation summarises nicely many of the issues preventing full participation of women in mining. So please let me give you the background on this before leading into the barriers to participation.

6 AusIMM Survey – Gender Pay Gap
Table 1 AusIMM Remuneration survey ‘07 Females on significantly less- table 1 Females work on average less hours than men, but it is still less when adjusted and put into hourly rates- table 2 No significance site, city or FIFO Table 2 [7] The most recent Employment & Remuneration Survey of The AusIMM revealed a significant gender pay gap in the mining professions. At management level (Level 4) males are earning 21% more than their female counterparts, with an annual average base salary of $145K, compared with $115K. Further analysis showed that the discrepancy was not due to differences in working hours. Males still earn more per hour than women at almost every level. The only exception is found at graduate level, however once junior professionals advance to any other level, an escalating pay gap emerges, ranging from 5% difference per hour for a young professional at Level 2 to 20% per hour for a senior manager at Level 5. Level 1=graduate, Level 5= Snr Manager with dept reporting

7 WIMNet Workshop – November 2007
Present Richard Johns (Facilitator) Peter McCarthy Sue Border Kate Sommerville Donna Frater Monika Sarder Helen Drousas Stephanie Omizzolo Alison Keogh Sandra Close Karin Baxter Miriam Lyons-Stanborough Sabina Shugg Deming Whitman Jackie Waters Sponsors: Oxiana BMA Coal AMC Consultants Artemis Search Richard Johns [8] During the November WIMNet strategy meeting an exercise was done to examine possible contributors to the pay gap and how easy it would be to change them. Let me share with you some of the results on the pay gap matrix.

8 Gender Pay Gap x [9] This is a matrix of the causes of the pay-gap. These causes are plotted on a matrix of how difficult it is to alter them against the impact they will have in reducing the pay gap. Factors that have contributed to the pay gap and full participation relate to a number of themes: history, transparency, confidence, processes and being a primary carer. Historically it was acceptable to overtly discriminate against women both at the recruitment stages and in pay packets and in 1969 legislation was introduced to rectify this. However confidentiality of employment contracts means little opportunity for transparency and to ensure equality. Women have less confidence than men in asking for pay rises and promotions. A recent study carried out in the US has shown that this behaviour is not entirely unreasonable. The study showed that where women carried out the same assertiveness tactics in salary negotiations as their male counterparts not only were they frequently unsuccessful, but they were perceived as ‘angry’. This coupled with lack of process in promotions, unconsciously promoting the traditional person, and not really addressing diversity issues means that they are not getting ahead. Some women have children but assumptions are made about most female employee’s commitment and promotion suitability. Women trade pay for flexibility, part time work and sometimes cannot work at all due to lack of suitable childcare. There appear to be more women in consulting where there is more flexibility and this usually pays less than the equivalent role in corporate. So today we are communicating the problem, highlighting some practices you may like to think about.

9 WIMNet Future Activity Efforts
Change to influence companies more Work more with kindred bodies Work more with branches [10] The WIMNet committee’s priorities are around influence and support. Through research, surveys and communication WIMNet aims to remove barriers to resolving the pay gap and influence government on childcare. Through very successful networking events, media, virtual services and mentoring WIMNet aims to link women so they can be more confident, see successful role models and seek support. The WIMNet committee is now getting many enquires from business leaders asking “How can I attract and retain more women?” Here are some ideas.

10 What your organisation can do to retain more women – Ideas 1 of 3
[11] Ask for input through Exit interviews Focus groups to come up with solutions (In the recent QRC Resource Awards for Women one category winner Ernest Henry introduced a very successful flexible work program whereas another winner BMA Blackwater’s mine women indicated the priority was childcare support to enable full shifts so in this case the company did more work around childcare to suit rostered hours) Do the business case A US Study found for every $1 a company spends on flexible work or family benefits, there is a return of $2 through to $6 through reduced absenteeism, increased motivation and higher rates of retention. Do the numbers, you may be surprised. Culture Value all employees – it does not cost anything to be positive, polite and inclusive of all employees Consciously monitor participation, promotion and pay gaps Ask questions about demographics Have people KPIs Ensure your processes are not biased Analyse pay gaps Robust Performance measurement Robust Succession planning with built in diversity checks

11 What your organisation can do to retain more women – Ideas 2 of 3
[12] Maternity leave 6-14 weeks paid leave >1 yr Increased paid leave for >5yr Extended paid leave at half pay Incentives to return to work early Maintain contact with employees on career breaks Childcare Support advocacy around removing Fringe Benefits Tax on off-site, employer sponsored child care Support advocacy around tax deductibility for in-home care Support employees being able to access quality childcare to suit mining rosters and vacation periods. Flexibility It’s just one way people can work (flexible can be full hours) Be open about arrangements, remove stigmas, encourage trust Allow it before maternity leave Allow it for employees participating in other activities (study, sport, community committees, health reasons etc)

12 What your organisation can do to retain more women – Ideas 3 of 3
[13]Support Assist women to network and gain confidence through development and mentoring Whenever possible sponsor, support and attend WIMNet networking events and support committee members (Yes that’s a plug for WIMNet event sponsorship!) Promote your company’s success If you have no pay gap – tell everyone about it Tell everyone about great initiatives and benefits Walk the talk – leaders need to demonstrate their support to positively impact culture

13 What your organisation can do to retain more engaged employees
Ask for input Do the business case Culture - value all employees Consciously monitor participation, promotion and pay gaps Maternity leave Childcare Flexibility Support Promote success [14] If we return to the engaged workforce debate we see that most of these suggestions benefit all employees.

14 Organisations that are doing great stuff
[15] There are mining companies who have been achieving in these areas already. I would like to show you four winners of the Queensland’s Resources Council’s 2008 Resources Awards for Women (RAW) awarded in March 2008. Cement Australia has a tick in all the boxes, in particular in its approach to objective proceedures for performance reviews and promotion, reducing gender pay gap and providing flexible and supportive policies. They have seen a doubling of women in management and can report no pay gaps across most levels. Xtrata has 27% women working at their Ernest Henry mine, has reported an improved culture and loyalty. They also report more women returning to work after maternity leave, cohesive ability to merge part and full time work and report benefits to the magnitude they didn’t expect. BMA Blackwater mine’s childcare, after hours and vacation care has enabled women to be able to work full equal hours and participate fully. It has aided female recruitment and families report they are calmer. Santos has reported increased promotion of women to leadership, return of previously resigned employees and a more positive branding. The flexibility has also allowed important community groups to be supported. QRC 2008 Resources Awards for Women (RAW) March 2008

15 Growth = employees that are engaged
Key Messages Growth = employees that are engaged There is still plenty that can be done to engage women and the workforce as a whole. Some mining companies are already doing this and seeing positive results Promote your good practices [16] So the key messages I would like you to walk away with today are Growth: it is important to ensure it’s more than head count. For great productivity employees need to be engaged. This means all employees, which includes migrant, mature age, part time and women, need to feel they are valued and have an equal shot at development and promotion. There is still plenty that can be done to engage women and the workforce as a whole. It’s not OK that there is still a pay gap. Ask your employees, work on culture, monitor performance, do the business case on flexibility, maternity leave and childcare. Some mining companies are already doing this and seeing positive results, how do you fare against others in the recruiting game? Promote your good practices – it will give you an edge in recruitment and retention

16 We all want the same thing…
Let’s make it happen! [18] We all want the same thing – lets make it happen!


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