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mining

In 2003 a Western Australian commissioned panel looked at the long working hours in the mining industry. A lot of the focus was on the Fly In Fly Out (FIFO) workforce suggesting they suffered from higher levels of drug abuse, depression and family breakdowns. It didn’t seem to stop the increasing numbers of FIFO workers.

I have written before (and here) on what I see as the destructive impacts on local communities by mining companies not putting into these local communities.

MATTHEW CARNEY: Rather than growing communities, centres like Port Hedland were being gutted and the divide between the haves and the have-nots was as wide as an open cut.

However the mining companies continued to produce reports that purportedly showed that FIFO workers benefited communities. With the economic turn-down mining companies seem to be moving opposite ways. A contractor at the Argyle diamond mine will give preference to local workers over FIFO workers as they start laying off staff. Unfortunately the larger mining companies who are the major employers seem to have other ideas.

Port Hedland still wants a rethink on the use of FIFO workers

The Member for the Pilbara, Tom Stephens, has criticised the mining company over its plans to increase its work force by 20 per cent over the next three years without building new houses in Port Hedland and Newman.

ABC TV recently reported on a Western Australia study that showed the health and social effects supposedly suffered by a FIFO workforce (talked about in the opening paragraph) was not correct and there was no more hardship than local workers. This led to one company to say they would increase the FIFO workforce (supposedly to the detriment of local workers, community infrastructure etc as cost is always the driving factor).

When mines are opened on land owned by indigenous people under Native Title, Native Title Agreements are entered into with the land holders. Sometimes this leads to increased local indigenous employment. However some companies quote the indigenous employment at various mine sites with out disclosing many of them are FIFO workers.

Most importantly, research from Griffith University has shown that these agreements between mining companies and native land owners has NOT led to any benefits for the local people.

results show the Tribunal, which administers the Native Title Act (NTA), seriously disadvantages Indigenous groups when negotiating with mining companies. ……..

“In all 17 cases taken to the Tribunal in the last decade, the Tribunal has granted the mining leases and been unwilling to impose conditions that might prove onerous for the miner…..

“Research shows the Tribunal demands more stringent standards of proof from Indigenous groups than from companies, and tends to accept particular types of evidence when this favours companies but reject the same sort of evidence when it favours Indigenous groups.”

Native Title should provide Indigenous people with the opportunity to benefit from Australia’s resources boom, to reduce their dependence on welfare and increase their presence in the ‘real economy

The Australian Institute of Health and Welfare in an article titled Housing and Infrastructure states:

Housing has been identified as a major factor affecting the health of Aboriginal and Torres Strait Islander people. Adequate housing provides protection from the elements, minimises the risk of disease and injury, and contributes to the physical, mental and social wellbeing of the occupants. Inadequate or poorly maintained housing and the absence of essential infrastructure, such as a supply of safe drinking water and effective sewerage systems, can pose serious health risks.

One hundred and fifty five million dollars is about to be spent in the Northern Territory on indigenous housing as part of a five year, $672 million dollar program. (A list of the involved communities is here). I find it difficult to understand comments made by intelligent men such as those by Gary Johns of The Bennelong Society, who has stated:

“housing should not be provided to remote Aboriginal communities where there are no jobs and people are unable to pay rent or service a mortgage”

and that they should move to where there are jobs.

I have commented here(and over here!) on the health benefits of indigenous people living in small communities on country.

The earlier part of my post talked about the major companies flying in and out workers rather than increasing local infrastructure and employing locally. So where do we build these indigenous houses so they are closer to work? Do we have them move to towns first and live in overcrowded conditions if in a house at all or do we build a house first and try and reduce overcrowding and the diseases that I am sure the members of the Bennelong Society have never suffered from.

Why don’t we look at ensuring the agreements signed between mining companies and native title holders provide real benefits, including jobs, are delivered to the local indigenous population.

Perhaps in their effort to find 50 000 jobs for indigenous Australians rather than fly people from Queensland to Western Australia they could fly remote indigenous Australians from their larger communities to the nearest mine site, provide proper training, assist with schooling and negotiate to improve indigenous communities.

I am sure we as a country and the members of The Bennelong Society if they could bury their ideology for a while) can come up with innovative and workable proposals that benefits as well as respects indigenous Australians and their culture.

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A couple of days ago I wrote about When Remote Australia and Mining Australia Meet.

Four Corners, an Australian ABC current affairs show ran a program looking at the mining and gas/oil companies and their impact on remote Australia. A reading of the transcript states:

Tonight on “Four Corners” – the virgin coast, gas giants out to plunder the deep and the Indigenous deal-maker looking to make the development pay off like never before.

VOX POP: Rents will go up higher, we’ll have more fly-in-fly-out people that are very disconnected from the community come here to spend money on alcohol, on drugs. I think a lot of those problems will get worse.

PPP: A month ago Four Corners reported on boom times in the Pilbara – the West Australian money pit driving the national economy. On the ground, there was more pain than prosperity.

RAY SKENDER, SKENDER CONTRACTING (Excerpt from “The Money Pit”, “Four Corners” – August, 2008): Everyone comes up here hoping to make a big dollar, then they find out they can’t get accommodation. The infrastructure up here’s just ridiculous.

MATTHEW CARNEY: Rather than growing communities, centres like Port Hedland were being gutted and the divide between the haves and the have-nots was as wide as an open cut.

(Excerpt continued):

LINDA DOOGIEBEE, BUNARA MAYA HOSTEL: Now, mining boom-town has come, it just blew everything out, blew our people away from each other.

REAL ESTATE AGENT: Port Hedland, we’ve got a three-bedroom, one-bathroom, for $1400 and a five-bedroom, two bathroom for $1500 a week.

The program can be seen in full here


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Most living costs are more expensive in remote areas. Houses cost more to build, food and fuel are far more expensive for starters. When mining companies move in and bring no money for community infrastructure with them then life really gets tough for the non-mine workers.

From The Australian today: THE cost of renting a house in the Pilbara now exceeds the income of a $40,000-a-year social worker, forcing non-government agencies to resort to fly-in, fly-out welfare services or slash welfare programs by a third.

What about those workers on lower incomes who might work at the bar or newsagents or the local shire. They can’t afford to live in decent accommodation on the wages they earn and so either move to mine work or move away and the community suffers. We rightly condemn mining companies for fly-in and fly-out operations which bring nothing to the local communities. But the mining companies only other option seems to be to pump money into renting houses without any community infrastructure.

Lets compare a couple of examples in South Australia.

Roxby Downs

Roxby Downs

Places like Roxby Downs which started life as a company mining town and now has privately owned housing and a thriving community seem to be in the minority. It still suffers from high prices.

Leigh Creek South

Leigh Creek South

And then you get places like Leigh Creek South built by the mining company. It has a few shops, pub, police, bitumen roads, good services. Oh – and it is six kilometres south of Copley a small community which has been around since 1881. The pub is the “Leigh Creek Hotel”. Funny enough, the original mining community of Leigh Creek was moved south in 1982 to make way for the expansion of the coal mine. Rather than build in and expand Copley they decided to build a brand new mining town of Leigh Creek South (now usually called Leigh Creek). You only have to visit the two to see the extremes in infrastructure.

Copley

Copley


The substantial drop in population in Leigh Creek from about 2500 to 700 with a change in mining practices only reinforces in my mind that an expanded Copley would have been the better option. Copley has a population of close to 100 people, most of whom are indigenous. 15 are on CDEP programs. One wonders what real work has gone on to to train them for working in the mine. The Copley Development Plan identifies the lack of a health service and training amongst others as hindering the development of Copley.

The National Party of Western Australia has found themselves as king-maker and have allowed the Liberal Party to form a minority government. They won most rural seats with a promise to “The Nationals WA will use the balance of power in State Parliament to ensure the equivalent of 25 per cent of all royalty payments to the State over and above current budgeted expenditure are reinvested in regional projects.”

Without commenting on the politics – I think this shows how pissed off those from the bush really are after being continually neglected for basic infrastructure upgrades.

An update on the topic can be found here


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