Assessing the scope and nature of corporate social responsibility within the Zimbabwe gold mining sector

Abstract

The study aims to assess the scope and nature of corporate social responsibility as practised by the gold mining sector in Zimbabwe. In addition, the study aims to determine which of the five governance systems (namely local private limited companies, government-owned companies, companies listed on the Zimbabwe Stock Exchange, multinational companies with parent companies abroad but not listed, and companies listed on the foreign stock exchanges) leads the industry in corporate social responsibility. The mining industry was selected because of its importance to Zimbabwe as a pillar after the agricultural industry collapsed because of fasttracking the country's land reform program. The study used the theory of the firm and its three perspectives which are the shareholder, stakeholder and societal, as lenses to investigate the extent to which mining companies practice corporate social responsibility that is friendly to the physical environment, business ethics and socially responsible human resources management using the large-scale gold mining sector of Zimbabwe. The study used a mixed-methods methodology and a case study descriptive research design. There were four key research components: (1) In-depth interviews with representatives of eight known organisations working with the gold mining sector selected based on direct involvement with issues about the study objectives, (2) A population-based knowledge, attitudes and practices survey of employees of selected gold mining companies, (3) Additional In-depth interviews were held with other stakeholders and key informants based on the emergent issues that required further explanation, and (4) Post data collection formal seminar. The target population was large-scale gold mining companies, the sample of members of the Chamber of Mines in Zimbabwe and the Mine Industry Pension Fund. Data were collected using a survey tool administered to employees, managers, leaders of workers' unions of mine companies. In-depth personal interviews with different key informants from relevant stakeholder groups were conducted. Non-parametric tests, specifically the Kruskal-Wallis test, were used to test the differences among the data responses from the named governance structures. The statistical analysis results indicate that the mining companies listed on foreign stock exchanges and the Zimbabwe Stock Exchange have the highest and second-highest corporate social responsibility indices signifying better performance. In addition, the results indicate that although they differ in degree of performance, all gold mining companies practise corporate social responsibility.