CSR F safe-final-mail.cdr

Corporate Responsibility Report 2009
India
Safe Sustainable Steel
Contents
01 About ArcelorMittal India
03 CEO’s Overview
04 Corporate Responsibility : Issues & Challenges
Cover photo
The joy & confidence
beaming on the faces of
eighteen young men and women
from our project area at Keonjhar, Orissa
tells the story of the beginning
of change - for life.
They are undergoing a two year
apprentice training at
ArcelorMittal Dhamm Project
in Tamilnadu, India.
08 Strategy Planning & Development
12 Stakeholder Engagement
18 Community Engagement
• Livelihood & Capability Building
• Health
• Education
26 Environment & Climate Change
30 Human Rights
34 Volunteering
36 Looking Forward
About ArcelorMittal India
ArcelorMittal India Limited (AMIL) is a wholly owned subsidiary of ArcelorMittal - the
world's leading steel company, with operations in more than 60 countries. In India,
ArcelorMittal has a proposed investment of over $30 billion for its greenfield projects,
an existing joint venture with Uttam Galva Limited, and significant market presence.
Through its various Indian subsidiaries and joint ventures, the company services
customers in all major product segments. Our strategy is to build a sustainable and stable
business, creating value through scale and diversification. Together with its Indian
partners, ArcelorMittal shares a vision of long term and mutually beneficial success.
ArcelorMittal is the leader in all major global steel markets, including automotive,
construction, household appliances and packaging, with leading Research &
Development (R&D) and technology, as well as sizeable captive supplies of raw
materials and outstanding distribution networks. With an industrial presence in over 20
countries spanning four continents, the Company covers all of the key steel markets,
from emerging to mature.
Through its core values of Sustainability, Quality and Leadership, ArcelorMittal commits
to operating in a responsible way with respect to the health, safety and wellbeing of its
employees, contractors and the communities in which it operates. It is also committed
to the sustainable management of the environment and of finite resources.
ArcelorMittal recognises that it has a significant responsibility to tackle the global
climate change challenge; it takes a leading role in the industry's efforts to develop
breakthrough steelmaking technologies and is actively researching and developing
steel-based technologies and solutions that contribute to combat climate change.
In 2009, ArcelorMittal had revenues of $65.1 billion and crude steel production of 73.2
million tonnes, representing approximately 8 per cent of world steel output.
ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam (MT), Paris
(MT), Brussels (MT), Luxembourg (MT) and on the Spanish stock exchanges of
Barcelona, Bilbao, Madrid and Valencia (MTS).
For more information about ArcelorMittal visit: www.arcelormittal.com
01
"ArcelorMittal is deeply committed to the development of strong and
sustainable local communities. In India, our corporate responsibility
initiatives have been particularly strong in the empowerment of
women”
Vijay Bhatnagar,
CEO - India
02
CEO’s overview
I am delighted to present the first corporate responsibility (CR) report
education initiatives implemented in project villages have modestly
for ArcelorMittal India. The disclosure of our CR activities through this
supplemented the governments’ efforts.
publication is primarily aimed at providing information to all our
stakeholders. This report offers an overview of our current activities
before our industrial operations have commenced.
The CO2: Pick Right Campaign, which involved children from 200,000
schools across the country, was a perfect model of three sector
partnership in combating the challenges of climate change. Kaun
Leadership, quality and sustainability are the critical values which will
Banega Bharat Ka Paryavaran Ambassador - Who will become the
help us stand among the most responsible and admired companies
Environment Ambassador of India - the 1st phase of the project was
of the world. CR is absolutely fundamental to the success of our
launched by the Hon’ble President of India, Smt. Pratibha Devisingh
company and future steel production in India. While planning our CR
Patil. More than 1.4 million children from across the country and also
strategy, we have taken into account the corporate values and the
some from 47 different countries voted for the first time to elect a
local conditions. Although the CR programs implemented during
person who they believed was the right choice for becoming the
2009 in India are a humble beginning to our larger social and
Environment Ambassador of India.
environmental commitments, it clearly demonstrates the core values
Dr. APJ Abdul Kalam, the former President of India, emerged as the
of doing business that reflects our Chairman’s beliefs and overarching corporate philosophy on corporate responsibility.
popular choice who very kindly accepted the children’s mandate,
and has subsequently committed to contribute to the project for the
next three years.
The year 2008 was the beginning of CR activities in India which
featured some entry level activities such as running mobile health
clinics and organizing sports for youths. All our CR activities are
designed to support the future success of our industrial operations
The institutionalization of employee voluntarism across the
organization further reinforces our commitment to society and the
environment.
and the development of sustainable livelihoods in India. In 2009,
based on the findings of the
socio-economic impact assessments and our direct engagement
with communities and non governmental organisations (NGO)s, we
developed a corporate responsibility roadmap for our Indiain
projects, which will be built on the following four pillars with special
focus on youth, women
and tribals:
The positive response, with some minor exceptions, to our CR
programs has educated us to deal with challenges while moving
forward. Our corporate responsibility initiatives are just the
beginning of a journey to fight against poverty, illiteracy, disease and
unemployment. We will continue to partner with the governments
and civil society organizations in order to achieve our country's and
the United Nation's Millennium Development Goals.
1. Capability Building & Livelihood
2. Community Health
Although we are happy with the initial successes while
3. Education
implementing the CR programs, it has taught us to learn from
4. Environment & Climate Change
failures. To conclude,
I promise to keep you updated on our progress.
The period under review was therefore focused to build the
capability of youths by giving them new skills that would help them
become employable. In 2009 alone, 242 youths including aspirant
young women have been enrolled in Industrial Training Institutes
(ITI)s and other technical/professional institutes. Our health and
(Vijay Bhatnagar)
CEO - India & China
03
Issues & challenges
04
Facts about Jharkhand
Facts about Orissa
- A little over 71 million scheduled tribes (STs) of Jharkhand constitutes
- The population of Orissa increased from 31.66 million in 1991 to 36.80
1
million in 2001.
26.3% of the total population of the State.
- There are about 30 tribal groups in Jharkhand; the Santhals, being the
largest tribe has 34% of the total tribal population, followed by the
Oraons (20%), the Mundas (15%) and the Hos (11%).
- According to the latest census, tribal population to the total population
of the state is 22%2.
- Anthropologically, its two main tribes, namely the Juangs and the
- Gumla, Simdega, Lohardaga and West Singhbhum districts have the
largest concentration of tribal population which ranges between 59 69%.
Bhuiyans carry a distinct and primitive past.
- Tribals survive with minimum basics and live below the poverty line.
- The district of Keonjhar is highly rich in mineral resources and has vast
- Our earlier site for the plant largely falls in the district of Gumla and
deposits of Iron, Manganese and Chrome ores. About 30% of its total
partly in Khunti and has more than 70% population dominated by
area is covered with tracts of dense forests. In spite of immense mineral
tribals.
and forest wealth, the district remains economically under-developed.
- The majority of tribals survive with minimum basics and live below
the poverty line.
- Our proposed site for the plant is located in the district of Keonjhar,
which has more than 45% tribal population.
Jharkhand3
Orissa4
India
Total population (Census 2001) (in million)
26.9
36.80
1028.61
Decadal Growth (Census 2001) (%)
NA
16.25
21.54
Crude Birth Rate (SRS 2008)
25.8
21.4
22.8
Crude Death Rate (SRS 2008)
7.1
9.0
7.4
Total Fertility Rate (SRS 2007)
3.2
2.4
2.7
Infant Mortality Rate (SRS 2008) (per 1000 live births)
46
69
53
Maternal Mortality Ratio (SRS 2004 - 2006) (per 100,000 live births)
312
303
254
Sex Ratio (Census 2001) (Female : Male)
941 : 1000
972
933
Population below Poverty Line (%)
-
47.15
26.10
Schedule Caste population (in million)
3.19
6.08
166.64
Schedule Tribe population (in million)
7.09
8.15
84.33
Female Literacy Rate (Census 2001) (%)
38.9
50.5
53.7
1: http://censusindia.gov.in/Tables_Published/SCST/dh_st_jharkhand.pdf
2: http://censusindia.gov.in/Tables_Published/SCST/dh_st_orissa.pdf
3: www.mohfw.nic.in/NRHM/State%20Files/Jharkhand.htm
4: www.mohfw.nic.in/NRHM/State%20Files/Orissa.htm
05
"Despite resistance in my village, I enrolled for the
ArcelorMittal ITI training program as it will help secure my
Piyush Topno
(ITI trainee)
Poverty and illiteracy
the traditional land-based subsistence economy to an
industry-led developed economy has found opposition
The two states of Orissa and Jharkhand in India are quite
from some sections of society.
identical on many social and economical counts. Of the
total population, approx 27% and 23% belong to tribal
communities in Jharkhand and Orissa respectively. The two
bringing development to the underdeveloped states/areas,
states are rich in mineral and natural resources, and
it faces the challenges of prevailing negative and anti-
Jharkhand alone contributes to 40% of the total mineral
industrialization prejudices which have its root causes in
resources of the country. Yet, the states, vis-a-vis human
poverty and illiteracy. We have witnessed and experienced
development indicators, are characterised by their high
this as one of the major challenges while rolling out our CR
poverty and low illiteracy rates. Poverty and illiteracy have a
programs in the project area during 2009.
large impact on people’s approach to life in the two states,
often resulting in a resistance to change or things that are
unfamiliar to them and here lies the communication
challenge. This is one of the reasons why the transition from
06
Although industrialization has a major role to play in
Gaining the trust of people is therefore a major issue.
Acceptability is reciprocal to trust, which is a major
challenge for us in the current socio-political environment.
ArcelorMittal Foundation
The ArcelorMittal Foundation was created in May 2007 as a dedicated vehicle for channeling and managing community investment,
to focus on formalising and developing ArcelorMittal's contribution towards communities.
Within the framework of the Corporate Responsibility strategy defined by the ArcelorMittal Group, the Foundation focuses on the
communities around the group and employee volunteering. We concentrate efforts to better identify specific priority needs in every
place where ArcelorMittal operates. Through the priority areas of activity: Education, Health, Safety and Social Promotion, the
Foundation strives to ensure the economic well being of these communities. It favors projects that become self-sustainable after
initial support, in order to reach a maximum number of beneficiaries.
Our social strategy is to set up projects to maximize the potential of each community, respecting their specific needs and
empowering local resources. We promote entrepreneurship in the communities by helping people to develop their own talents.
This is the surest way to enhance quality of life and to make a sustainable contribution to ongoing development.
The ArcelorMittal Foundation operates in 27 countries, supervising local programes implemented by ArcelorMittal Units. It also
invests in global programes to support humanitarian initiatives aligned with the Foundation's mission.
Vision: The vision of the ArcelorMittal Foundation is to bring about holistic development throughout the Earth.
Mission:
Our mission is to promote ArcelorMittal's commitment to the local communities where the Group operates and to
contribute to their development in a sustainable manner.
For details, please visit www.arcelormittal.com
07
Strategy planning
and development
08
The road to success is an amalgamation of aspirations and
g
in
knowledge. This has led us to structure the CR program in 2009 to
ty
li
bi
interests of the local communities. At the current stage of our
development in India, our CR program falls largely within the
pa
&
Responsibility strategy, and focuses mainly on four broad
interventions that provide a good foundation for inclusive and
n
Capability Building & Livelihood
Community Health
Education
Environment & Climate Change
tio
i.
ii.
iii.
iv.
ca
The four pillars are -
u
Ed
sustainable growth.
Inclusive
and
Sustainable
Growth
th
al
“community area” of the ArcelorMittal Group Corporate
ve
Li
d
oo
lih
He
Ca
B
ity
un
m
m
Co
reflect the objectives of the company, and to address the best
ld
ui
t
en ge
an
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En ma
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ArcelorMittal India held workshops to formally engage
with the key stakeholder groups – govt, NGOs,
academics, people and their elected representatives
(members of parliament and legislative assemblies) – in
order to develop CR roadmaps for Jharkhand and Orissa.
The then Member of Parliament offering
suggestions and recommendations at the
CR workshop held in Keonjhar, Orissa .
09
Livelihood/Employability
Pledge
Goal
Target
Activities
We shall create opportunities of
Achieve Millennium Development
- To build the income generating
- Arrange technical training for
livelihood, and provide enabling
Goal (MDGs) 1 in our spheres of
capacity of 2-3 members of each
youths in Industrial Training
support to build the capability of
the community living in our
influence
- To reduce poverty by
affected family by 2015.
- To generate diverse opportunities of
Institutes (ITIs)
- Non-formal technical training for
immediate periphery to avail those
supplementing/replacing the present
livelihood including enhanced
opportunities so that they lead a
means of livelihood with better &
employability for 500 youths by 2015
youths with a focus on women
- Promotion of non-farm based
better life than before.
improved ways of livelihood.
- To reduce the migration of any form
activities for farmers, landless
among the tribal community, and
workers and women members.
- Promotion of entrepreneurism
trafficking of girl child.
among youths for taking
independent economical activities
through SHG route
- Build the capability of youths with
vocations, which are based on the
Health
market needs.
We shall make health care
Achieve Millennium Development
- Awareness among 75% of the
- Immunization of mother & child
services available and
Goals (MDGs) 4,5 and 6 in our spheres
population to access & availability to
through integrating or
accessible to all affected
the institutional health services - by
strengthening Government's
families in the project area and
of influence
- To improve health status of the
to all influenced families who
community of the project area vis-a-
2015
- 50% Reduction in maternal and child
Immunization efforts.
- Institutional Deliveries for the
live in the immediate periphery
vis the national health index
mortality by 2015
- 75% Reduction in morbidity by 2015
- 50 % reduction in malaria cases and
pregnant women
- Diagnostic care through Mobile
zero incidence of diarrhoea including
control of vector & water borne
diseases 50% by 2015
- 50% Reduction in anemia among
women & adolescents and improve
their health status by 2015
Health Clinics for the communities
- Control of vector borne diseases
(malaria prevention)
- Control of water borne diseases
- Reduction in Iodine deficiency
disorders
- Tuberculosis treatment and
control
- Addressing water & sanitation
needs
We shall promote and strengthen
Achieve Millennium Development Goal
- To supplement & strengthen the
* Strengthening of the existing
the formal and functional
(MDGs) 2 and 3 in our spheres of
Government's primary education
education in order to make it a
influence
- A Reading society is the Winning
program
- At least every hamlet has one Primary
primary schools
* Conduct an awareness campaign,
society Achieve it by enhancing the
school by 2015.
- To achieve 80% enrolment by 2012.
- At least 50% Reduction in Dropouts (by
education.
* Promoting enrollment and
2015
- To ensure 100% teachers take up regular
involvement of parents and PRI
'foundation' for development.
literacy level under Sarva Shiksha
Abhiyan of GoI.
- To make education more functional
(basic education + vocational
education)
classes by 2015
- At least 75% of boys and girls pursue
Education
middle and high school education by
2015.
- At least 50% of students pass out 10th
Std by 2015
- At least 50% of 10th passed students
pursue technical or higher education in
college.
- To ensure computer education in all
high schools by 2015.
- 1000 youths attain/acquire some or the
other technical or vocational
education/skills by 2015
and promote the importance of
discouraging dropouts, with the
(Panchayati Raj Institutions a self
governance institution) members.
* Conduct coaching classes for weak
students and to encourage other
students to fair well in studies
* Establish merit scholarship schemes
as incentives to continue education.
* Establish and/or support technical
education such as ITI, Polytechnic
and vocational institutions
* Run Net School in order to
rehabilitate and support 'girls at risk'
* Promote computer education in
High schools
* Establish awards for teachers in
order to motivate them
* Arrange training for teachers to
improve the quality of education
10
# Targets in percentage (%) are with reference to the present level of index/statistics of the respective operational areas that are recorded with the government
MILLENIUM DEVELOPMENT GOALS
End Poverty
and Hunger
Universal
Education
Gender
Equality
Child
Health
Maternal
Health
Combat
HIV/AIDS
Environmental
Sustainability
Global
Partnership
The eight Millennium Development Goals (MDGs)
2015 form a blueprint agreed to by all the world's
which range from halving extreme poverty to
countries and all the world's leading development
halting the spread of HIV/AIDS and providing
institutions. They have galvanized unprecedented
universal primary education, all by the target date of
efforts to meet the needs of the world's poorest.
11
Operating in a multi-cultural and multi-dimensional
society is a big challenge in itself. Initial interaction with
various stakeholders allowed us to develop a multistakeholder approach to our CR objectives. This
Stakeholder
engagement
included forming partnerships with NGOs and civil
society that gave us the experience to understand the
social dimensions to development. Local communities
emerged as our primary partners and most of the
interventions have been identified and developed
around their needs and priorities.
12
Our key stakeholders
• Community • Panchayati Raj institution (local self governance
institution) in Orissa • NGOs • Social and Human Rights activists
• Governments • Media • Politicians • Opinion makers such as
academics and ethnic ideologues, etc
Meetings/Focussed Group Discussions (FGDs)
to discuss the plans for development. This direct engagement
with the communities provides the company with an
As a process of engaging with key stakeholders,
opportunity to learn about their concerns, aspirations and
ArcelorMittal in Jharkhand and Orissa holds regular
expectations. This helps us to develop a needs-based
meetings with the community and other key stakeholders
development strategy accordingly.
Number of meetings with Stakeholder groups in 2009
Jharkhand
Orissa
Panchayati Raj Institution (local self governance)
N/A*
16
Government officials
12
12
Opinion makers
35
26
Self help groups
20
14
NGOs
40
26
* Panchayati Raj doesn't exist in Jharkhand
13
Engaging with communities at large through the radio
Project Radio is a unique mass communication initiative that has been running
since October 2008 on a local FM radio station in Jharkhand. This project was
primarily developed to reach the project affected villages directly and to
engage with the villagers proactively. Under the project, teasers, spots and a
one hour weekly programme ‘Saath Chalenge Sab’ (will walk together) is used
to educate people about industrialisation and what it could mean for their
children and their future. In December 2009, the programme completed 56
episodes. To date, ‘Saath Chalenge Sab’ has aired people’s views on a number
of topics including the importance of industrialization for overall progress and
in mitigating migration. Through the programme, people have also been
encouraged to voice their support for Panchayati Raj Institutions (local self
governance) in Jharkhand.
14
Reaching out to the community through a local
Pukar’ (Call of Jharkhand) since 2008. It has left positive impacts
newsletter
especially in the minds of opinion makers and has helped clear
some of the myths against industrialization. By January 2009, 24
The dissemination of information on the positive impacts of
issues were published which were mainly focussed to highlight
industrialization and how any possible negative impacts would
benefits of various industrial projects, importance of technical
be mitigated is being regularly done by posting articles,
education and status of primary education in Jharkhand.
discussion arguments etc. in a local fortnightly, ‘Jharkhand Ki
15
Studies and surveys as engagement tools
A detailed socio-economic study of the project affected villages in
Gram Sabha (Public Hearing) - a mandatory
engagement process
Jharkhand was commissioned by ArcelorMittal in 2008, in order to
Gram Sabhas in 8 out of 15 project villages in Keonjhar, Orissa have
do the assessment of impacts of the proposed project. It was
been successfully accomplished. This is a considerable achievement
conducted by an external independent agency called SHAPE. After
for ArcelorMittal as the forum is a major platform for direct and
interacting with the community of the project area, SHAPE
formal engagement with the communities on seeking the social
presented an analysis of the possible effects, and also suggested
license for the project. The success of holding Gram Sabhas in Orissa
measures to reduce those impacts.
has set the ground for land acquisition.
Another study was instituted to do the mapping of NGOs,
a critical stakeholder group, which are active in and around our
Project area of Jharkhand and Orissa. The mapping is helping us to
identify and
engage with NGOs for the implementation of development
initiatives in our project areas.
In order to keep on improving the health services in local
communities through the ArcelorMittal’s Mobile Health Units
(MHUs), an external agency was hired to undertake an independent
assessment of the MHU services in Orissa. The report has suggested
some areas of improvements which were addressed accordingly.
Gram Sabha in progress
16
What is Gram Sabha?
(A) approve the plans, programmes and projects for social and
economic development before they are taken up for
Gram Sabha is a very important and critical process for the land
acquisition anywhere in India which has been declared under
implementation by the village Panchayat.
(B) identify beneficiaries of poverty alleviation programmes.
scheduled ‘V’ under Panchayats (Extension to the Scheduled
Areas) Act 1996. Gram Sabha (Village Assembly or Public
(C) give certification of utilization of funds by the panchayats for
hearing) is an administrative but democratic process in which
the above programmes. These powers make the gram sabha a
people from the villages or the Panchayat assemble and hold
powerful body in implementation of projects for social and
meetings to:
economic development of tribal communities.
Villagers signing their
consent for the project
17
Community
engagement
18
Security guard training for girls
Computer training for girls
Security guard trainees in action
Capability building and livelihood
ITI training for the youth
the ITI training at Don Bosco, Ranchi and Rourkela in
Jharkhand and Orissa respectively and at Technical Institute,
Losing livelihood on account of land acquisition for the
construction of a steel plant has been the major concern of
Fudi in Jharkhand.
• 18 youths from the project affected villages of Keonjhar in
the project-affected people. ArcelorMittal is fully aware of
Orissa were selected for apprentice training for DHAMM
this fact and is very much sensitive to their concerns.
project.
Therefore, the company has been consistently working
towards finding solutions that can provide better options of
livelihood to the people than ever before.
• 12 students have successfully completed the one year course
of technical training who were sponsored in 2009 at Don
Bosco, Ranchi, Jharkhand. Four of them, who performed very
After several rounds of consultations with the relevant
well, have been promoted to complete a two-year formal
stakeholders, a three-pronged strategy was developed:
course of technical training.
• Skills enhancement through technical training to build the
Computer education for girls in Jharkhand
capability of literate and semi-literate youths in order to
enhance their employability.
Young women in the project area in Jharkhand expressed their
dream to acquire computer skills and work as computer
• Entrepreneur Development programs by identifying needs
professionals as their male counterparts in towns and cities do.
and arranging training for men and women of the affected
Their dreams came true when ArcelorMittal arranged
families, forming self help groups (SHGs) and providing
computer training for girls at the George Telegraph, a technical
financial support for economical activities with market
institute. Fourteen young girls from the project villages are
linkage.
currently undergoing computer training and several others are
waiting for the next session.
• Farm and non-farm based income generation programs by
making knowledge, infrastructure and financial support
Security guard training in Jharkhand
available.
The first batch of nine men and 25 women, mostly from tribal
Industrial technical training
backgrounds, was identified from the affected villages in
Jharkhand and they successfully completed security guard
• 156 youths (78 from each location) have been enrolled for
training. These graduates have guaranteed jobs after their
19
“My younger sister died of kidney failure some time back. Had
there been healthcare facilities in my village and her disease
detected early, she would still be alive. I am grateful to
ArcelorMittal for providing us with ANM training, because through
this, we will be able to detect diseases early and save many lives.”
Dayamani Topno
(aged 20)
Auxiliary nurse midwife (ANM) training for girls in
Jharkhand
Women self help groups
In order to promote entrepreneurism among the women of
Taking forward the mission to build capabilities of youths,
project affected families, programs to train and build capacity of
especially young women, ANM training was arranged at
at least one woman from each family through self help groups
Mahadevi Birla Institute in Ranchi. The first batch of 19 girls is
have been initiated. A series of meetings with women’s groups
undergoing 18 months of training, and will be absorbed into
were conducted in villages in Jharkhand and Orissa in order to
local hospitals and Nursing homes after the course completion.
form the self help groups (SHGs). Also, to make it a success, a
possible partnership with PRADAN, an NGO, is under discussion.
Improving the agricultural practices: Maize
cultivation in Orissa
Under the commitment to improve people's livelihood,
ArcelorMittal has been innovatively looking into developing
sustainable agricultural practices. Farming in Orissa is generally
rain-fed and is dependent on the monsoon. Furthermore, the
land holding size in the project villages is also very low at less
than one hectare per family, which is often inadequate to support
the family income.
In partnership with the Department of Agriculture, Government
of Orissa, maize cultivation was promoted. Under the project,
hybrid seeds, fertilizers and agricultural training were made
available to farmers. Sixty farmers from project affected villages in
Orissa were supported.
“We had grown maize earlier, but we did not know the
difference between traditional and scientific practice of
cultivation. Through ArcelorMittal’s support, we learnt what
quantity of seed should be used per acre, the right dose
and time to add fertilizers and pesticides. Because of the
learning, our returns from the crop have been much better.”
Kanhu Naik
20
Health and hygiene
The timely interventions of MHU services have helped bring
down the morbidity rates, and in some case the mortality rates
Our community program focuses primarily on health issues.
Mobile Health Units (MHUs) in Jharkhand and Orissa, with
more penetrative interventions of curative care, continue to
deliver medical services to the people on their doorstep. These
often supplement the health care services delivered by the
Government.
In 2009, around 192 and 319 camps were held in Jharkhand
and Orissa respectively, and about 31,494 patients benefitted
too.
More importantly, the services have an impact on the economy
since some income of people was saved which would have been
otherwise, spent on seeking the services from elsewhere such as
witch doctors and quacks. It is estimated that one such health
treatment in a tribal village costs about Rs. 200. This apart, the
loss of work for at least 10 man-days would have pushed many of
these families further into poverty.
from these camps during the period.
21
Health awareness
The analysis of a study done for mobile health units (MHU)
services reveals that people suffer largely from preventable
diseases. Therefore, awareness camps on health problems
such as malaria, diarrhoea and pre & postnatal care are
organized regularly by our medical teams in order to curb
the mortality and morbidity trends. Some of the significant
interventions are mentioned below a. Safe drinking water: 32 talks were conducted on the
chlorination of drinking water
in Orissa .
b. Maternal child health care:
counselling to pregnant and
lactating mothers was
organised through 84 camps in
Jharkhand and Orissa.
c. Counselling on malaria
control: 64 community based
informed discussions were
organized in Jharkhand and
Orissa.
Malaria control in Orissa
which people were informed and educated on means and
measures to be undertaken to prevent malaria. For instance,
by removing collected water in broken utensils, objects etc;
treating the stagnant water bodies; use of mosquito nets and
general cleanliness and hygiene. In 2009, 100% of families in
Raikala and Bhrungrajposhi villages were covered fully
through ArcelorMittal's donation of four medicated mosquito
nets to each family.
Street plays on health in Jharkhand
Health Profile of Orissa and Jharkhand
1.Over 60% women and more than 70% children
(between 6-35 months) suffer some degree
of anaemia.
2.Nutritional deficiencies cause anaemia among
women and children
3.Maternal mortality rate (SRS 2004-2006) is also
high at 312 & 303 per 1,00,000 live births in
Jharkhand and Orissa respectively.
4.Only 36% of pregnant women received three
antenatal care in the last 3 year period, while only
19% of pregnant women delivered their babies in
some kind of health institution in Jharkhand.
5.Female life expectancy at birth is 60 years in Orissa.
6.Infant mortality rate is high in Orissa at 65/1000
live births; Jharkhand- 69/1000 live births
7.Malaria is the foremost public health problem; in
rural areas, skin disease & respiratory problem are
common.
8.Services: Public health services and infrastructure
are inadequate.
Street plays have proven to be
an effective communication
tool to propagate
developmental messages in
villages. This tool has been used
by our CR team to make people
aware on health and improved
hygienic practices in 12 project
affected villages in Jharkhand.
This activity was supported
with wall writing and
distribution of pamphlets and
posters carrying educational
messages in all affected
villages.
Keonjhar in Orissa is an
endemic zone for malaria, with
School Health Check up
the highest mortality rate in
Camps in Orissa
India. The MHUs in association
with the District Malaria
Twenty four camps for health
Department run regular
check ups for tribal students
awareness campaigns on
studying in residential schools
Source: National Family Health Survey (NFHS-3) India 2005-06
malaria prevention. It is worth
in Chilida and Nuakhaman
noting that the early curative
village in Keonjhar were held.
interventions such as taking samples of blood and giving
They have helped to significantly reduce the common
medicines to positive cases have considerably helped
disease of skin infection among students. 396 tribal students
reduce impact of this disease in project villages.
have benefitted from the program.
Twenty four such camps were held during the year in
22
Emergency health care in Orissa
The outbreak of gastro-enteritis is very common in remote villages which can
cause death if not treated timely. Ten serious cases of gastro-enteritis from
Barudiposhi village of Keonjhar were immediately referred by our CR team to
the District Hospital. This timely response and treatment is likely to have saved
the patients' lives. Dureshwar Mohanta, aged 14 years, is from the village
Bhrungrajposhi and suffered from a sudden serious respiratory problem. Senior
doctors at the district hospital in Keonjhar advised to immediately shift him as
an emergency to the Medical College at Cuttack which was 200 kilometers
away. The CR team, without delay, transported Dureshwar to Cuttack Medical
College and Hospital. Timely intervention and treatment saved his life, as any
delay could have proved fatal.
No. of health camps held
Patients covered
Total
Male
Female
Male Child
Female Child
Tribal
(from total)
(from total)
(from total)
Dalit/Under Privileged
(from total)
Jharkhand
192
8231
3920
4311
1105
1206
3188
5043
Orissa
319
23263
11,174
12,089
2667
2766
8368
14895
23
Education
ArcelorMittal India is committed to promote the concept of
In order to reinforce the education program further, a scheme
'Functional Education'. Functional Education aims at
of awarding scholarships to disadvantaged students has been
enhancing the level of literacy among children and others
developed so that they are not deprived from pursuing higher
along with increasing the ability of all to be employed or
education due to poverty. The scheme has been implemented
become successful entrepreneurs.
in partnership with the community and schools, and has
In order to achieve this objective, ArcelorMittal India has
benefited 25 students from the project villages.
adopted a 3-tier strategy:
Strategy 1: Strengthen, promote and facilitate formal
education.
Strategy 2: Improve technical and vocational skills/capability
in young men and women through technical and vocational
education.
Strategy 3: Run, partner or sponsor special education
programs on soft skills and sensitization of children on social
and environmental issues.
Coaching centres
The dropout rate in schools of rural Jharkhand and Orissa is
very high. Although there are several reasons for it, one of
the major factors found was the inability of students to cope
with the advanced syllabus of subjects like maths, english
and science. With an objective to improve the level of
education, special tutorial classes were setup for students of
Std VIII, IX and X to assist them to do better in subjects they
find difficult.
192 students from 10 villages in Jharkhand and 139 from five
villages in Orissa are currently benefitting from the tutorial
classes.
24
Merit Scholarship in Jharkhand
Transition management
Women at the project site in Jharkhand desired to undergo a
These women were trained on several dimensions of
training which prepares them to manage the change that is
relocation. The objective of this training is to minimize the
likely to take place after their families are relocated in a
uncertainty that one may feel at the time of moving. The
completely new environment.
training will help a family take proactive actions and
54 women from eight affected villages and 38 from six
precautionary measures which will ensure that possible
villages participated in phase 2 & 3 of the trainings which
impacts on the family will be minimal and prepared for.
were held in January and February respectively.
Women who underwent training have prepared an indicative
list of community facilities they would prefer to have in the
Resettlement and Rehabilitation (R&R) colony.
Bridge school for the vulnerable girls
cooking, card marking and stitching are also provided.
Teachers are also encouraged to develop their own Teaching
ArcelorMittal India in partnership with the NGO, Bhartiya
Kisan Sangh, is running a residential ‘Bridge School’ campus (a
Learning Material from locally available resources such as
pictures for story-telling and pebbles for counting.
non formal education centre) at Village Marcha of Torpa Block
in Khunti district of Jharkhand. In 2009, 85 girls in the age
group of 9-14 years from the socio-economically
disadvantaged families who are at a high risk of being
trafficked enrolled for the programme.
The Bridge School programme is an innovative
model wherein the Skill Targeted Academic Growth
(STAG) method is used to educate the girls. Intensive
Course curriculum based on Minimum Level of
Learning as approved by the National Council of
Education Research and Training (NCERT) is used
along with life skills and personal development
inputs to inculcate leadership and self confidence
among the girls. Vocational training, gardening,
25
Environment & climate change
26
The Kaun Banega Bharat ka Paryavarn Ambassador (Who will
Dr A PJ Abdul Kalam, former president of India emerged as the
become environment ambassador of India) campaign initiated by
popular choice of children of India who was elected through the Pick
Centre for Environment Education (CEE) for the Ministry of
Right/
Environment & Forests was implemented in partnership with
“Kaun Banega Bharat Ka Paryavaran Ambassador” (KBPA) campaign
ArcelorMittal. The programme in India originated from United
conducted in 2,00,000 schools of India. Dr Kalam was felicitated by
Nations Environment Programme worldwide campaign in 2008
Shri Jairam Ramesh, Minister of State (independent charge) for the
which was known as “CO2: Kick the Habit towards a low carbon
Environment and Forests as “Bharat Ka Paryavaran Ambassador” on 9
economy”. In India, the campaign was named as “CO2: Pick Right
December, 2009 in New Delhi.
towards growth and sustainability” and was launched by the
Hon’ble President of India Smt Pratibha Devisingh Patil on 5th
The CO2: Pick Right campaign in its first phase adopted a unique
June 2008.
methodology which involved the dissemination of a campaign kit
The pick right campaign has two phases to it:
communicating the program to schools. The campaign kit was
followed by training of teachers and others responsible for
1. To choose an Environment Ambassador of India in which
published in 14 official languages. More than 1.1 million votes were
students from 200,000 schools from across the country would
received from 70,000 schools.
send their vote for a person who they think should become
environmental ambassador.
2. Spread the awareness further by sensitizing 20 million children
from 200,000 schools and prepare them as Green Leaders in 3
years from 2010 to 2012.
ArcelorMittal parnters with CEE
Launch of the campaign
Ambassador
Voting
School visits
Development of campaign kit
Training of master trainers
Campaign in 15 languages
27
Glimpses
of the
Campaign
28
Dr. APJ Abdul Kalam, former President of India (second from left) and
Mr. Jairam Ramesh, Union Minister for Environment & Forests (center)
Delhi Sustainable
Development Summit, 2009
We participated at the Delhi
Sustainable Development Summit
(DSDS), a global annual event on
Climate Change and Environment,
organised by The Energy and
Research Institute (TERI) and held in
New Delhi in February, 2009. At the
summit, ArcelorMittal was enrolled as
a new member to the TERI-Business
Council for Sustainable Development.
Tree plantation by children
In Jharkhand
As part of the commitment to protect and
conserve the environment, ArcelorMittal in
Jharkhand has initiated a plantation
campaign involving children in schools.
2200 plants have been planted in 18
schools and in three Primary Health Centres
(PHCs) during monsoons in 2009.
“I am very thankful to ArcelorMittal for taking the
initiative to plant mango trees in our school. While
planting the sapling, I learnt that trees are
important because they maintain ecological
balance.
Since then, I even dissuade my brother from
chopping trees for wood. “
Prabhu Dayal Munda
29
Human Rights
- our initial response
30
Human Rights is an important and cross cutting issue for
Integrating human rights at ArcelorMittal
ArcelorMittal. The company has expressed willingness to
advance the agenda on business and human rights by
The company is committed to integrate a respect for human
becoming a signatory to the United Nations Global Compact
rights into its business operations and work with others to
and by signing the United Nations Global Compact CEO
ensure that the rights of our stakeholders are not abused. In
statement in 2008 to mark the 60th anniversary of Universal
this endeavour, we are being guided by the United Nations
Declaration of Human Rights. We abide by the laws and
policy framework which rests on three pillars: the state duty
regulations in the states and countries where we operate
to protect human rights, the corporate responsibility to
which we see as a central starting point for respecting
respect human rights and access to remedies. We also
human rights. Our statement on human rights outlines our
recognize that we must integrate this into our policies, impact
commitment to respect and uphold human rights across our
assessments, business processes and reporting– following the
operations. We are guided by the Universal Declaration of
framework of human rights due diligence now widely
Human Rights and the rights set out in the Constitution of
accepted by governments, business and civil society.
India.
We recognize that our commitment and journey to
understand our stakeholders from a human rights perspective
is at an early stage. Nonetheless, we believe this is a
sustainable approach to business and one key to inclusive
development.
31
Right to freedom of opinion
and expression (Article 12
of International Covenant
Every person at the plant sites has freedom to express their concerns, expectations and aspirations of the
business in whatsoever lawful manner. Although, we witnessed opposition at the project sites by a section
of the community in 2009, we ensured that they be fully heard and they may express their concerns
on Civil and Political Rights, without any hindrance.
ICCPR)
Http://en.wikipedia.org/wiki/International_Covenant_on_Civil_and_Political_Rights
The general health condition in and around the proposed plant sites is poor which is mainly due
to poor access to health services. The project areas lack the facilities and infrastructure to provide
even basic health care services to people. Only improved health conditions and equal access to
health services will ensure people’s right to health and it remains ArcelorMittal’s key objectives to
make the above available to them. During 2009, under CR commitments, ArcelorMittal
Right to Health (Article 12 of
International Covenant
on Economic, Social and
Cultural Rights, ICESCR)
proactively undertook several initiatives in association with government to make health services
available to ‘all’ in its project area as has been detailed out in the report.
Http://en.wikipedia.org/wiki/International_Covenant_on_Economic,_Social_and_Cultural_Rights
The denial of access to education due to stark poverty is taken into account while planning and
Right to education
(Article 13 of
International Covenant
on Economic, Social and
Cultural Rights, ICESCR)
implementing the CR initiatives at ArcelorMittal. The company’s CR strategy is to work with the
government in order to achieve one of it’s development goals - “education for all” in our spheres
of influence. During the period under review, the education drive under CR undertook several
initiatives that ensured the improvement in the quality of education in the project area. Girls’
education remained one of the priorities as women’s literacy is found to be extremely poor in the
area. The Bridge School for girls of high risk (of trafficking), coaching classes for poor students and
merit scholarships are some of the initiatives that were taken up in 2009 which enable the
children on their right to education, that they earlier were being deprived of.
ArcelorMittal upholds its commitment to provide better standard of living to all those
families/individuals who are likely to be impacted due to the implementation of the
project. Therefore, improved standard of living for the people will be priority for the
company which will be achieved by the execution of Resettlement and Rehabilitation
(R&R) policy of the respective state governments.
32
Right to an adequate
standard of living (Article 11
of International Covenant on
Economic, Social and Cultural
Rights, ICESCR)
We believe that every person, regardless of caste, creed, gender, religion, class, ability and
race has equal right to work. Many people near our proposed plant sites expect that the
Right to work (Article 6 of
International Covenant on
Economic, Social and
Cultural Rights, ICESCR)
company will create opportunities of employment and will not deprive them of work and
livelihood wherever possible. The company under its Human Rights policy provides equal
opportunities to all. ArcelorMittal has initiated a program to build the skills and capability
of people. As a result, a total of 242 youths including women have been enrolled in various
ITIs (Industrial Training Institutes) and vocational institutes in 2009. They are undergoing a
variety of technical & vocational training which would enhance their capability to become
employable.
During the year, ArcelorMittal India actively participated in
various forums promoting the cause of Human Rights. With
an objective to enrich our knowledge-base on human rights,
we participated in various events and forums such as:
• India Business Initiative on Human Rights
• Regional Stakeholder Consultation convened by the Special
Representative of the Secretary General on Human Rights and
Transnational Corporations and other Business Enterprises.
• Interdisciplinary National Seminar on Human Rights and
Duties and Values in Education, sponsored by University
Grants Commission, New Delhi and organized by Jamshedpur
Women's College, Jharkhand.
• "Land and Human Rights" organized by Institute for Human
Rights and Business.
• “Business Roundtable on Human Rights and Business"
organized by CII ITC Centre of Excellence for Social
Development.
33
Volunteering
34
• Take an oath on planting trees and reducing personal carbon
Goal 2009:
footprint. Over 90% employees signed the oath paper.
ArcelorMittal India committed to institutionalize 'volunteering'
• A symposium on “Social Responsibility and I” was held in which
into the organization's mainstream corporate responsibility
employees participated in an open discussion on their
agenda.
understanding of social responsibility and why they should
Strategic Objective: “Promote, support and undertake activities
discharge responsibility as socially and environmentally responsible
that will help/facilitate an individual (employee) become sensitive
volunteers, more than 90% employees participated.
and more responsible towards society and the environment;
• Initiating “Payroll Giving” program an agreement was reached by
thereby making a lifelong commitment to voluntarily contribute
signing a commitment paper for payroll giving by making monthly
to one or more social and/or environmental cause.”
deduction of an amount from their salaries which will go to an NGO
What we did this year on International Volunteering Day:
2. External (Outdoor) Activities: at some locations, employees went
for a cause. Over 50% of all employees signed up to payroll giving.
out to some NGOs and spent time with vulnerable communities
1. Internal (indoor) Activities: Across all locations in India, a half a
such as disabled children and abandoned senior citizens.
day program was scheduled for the following activities:
Orissa
Jharkhand
Kolkata
Ranipet
New Delhi
Total
No. of employees involved
17
11
45
50
17
140
No. of activities
4
5
3
3
3
3-5
No. of people benefitted
17
64
45
50
30
206
No. of working hours
51
60
90
50
102
353
35
Looking forward
36
ArcelorMittal believes that business should play an important
challenges is of equal importance. Therefore, the following will
role in supporting and benefitting the communities in which
be undertaken:
they operate. Though the beginning has been modest, the road
Appropriate Monitoring and Evaluation systems will be put in
ahead is long. To uphold our commitment to people and
place.
community that is partnering with us for a greater cause, our
This will enable the company to assess the effectiveness of its
effort will increase with time.
present initiatives; and also identify opportunities and develop
programmes for future.
Whilst the government must carry responsibility, it is also in the
interests of business to be part of the solution and contribute
External social audit will be conducted. This will help measure
towards sustainable development and poverty reduction.
the programme impacts and enable effective implementation
of our proposed initiatives.
In 2010, ArcelorMittal will be up-scaling its commitment by
strengthening and further refining its engagements with
ArcelorMittal being a member of the United Nations Global
stakeholders, especially the communities. The company will
Compact (UNGC) reasserts its commitment to respect human
strive to increase support to build the resilience of the
rights, ensure safe workplace conditions, environmental
community to the changing environment.
standards and to practice good corporate governance. This
commitment in itself is a crucial component and is vital in
While we keep pace with the local community’s priorities, we
shaping our company's future engagements.
believe that strengthening our in- house capacity to meet these
37
ArcelorMittal India Ltd.,
Plaza M - 6, Jasola District Centre,
New Delhi - 110 025, India
Phone: +91 11 46759400
Fax: +91 11 46759491
Email: [email protected]
Naveen Printers 9910002576
www.arcelormittal.com