Research paper on stakeholder analysis of jaffrey mines in canada

Stakeholder Analysis of Jaffrey Mines in Canada

According to Payton, (2011), the Canadian asbestos Industry is a $90 million industry and therefore there is a high chance of livelihood of many people being taken away if the industry is shut down because of health concerns of Asbestos. The product has been proved to be a serious carcinogen forcing the Federal government to ban its use in the country but not in exporting to poorer nations such as India, Thailand, and Sri Lanka. Jaffrey Mines, the world’s largest Asbestos mine filled for bankruptcy in 2002 and is therefore in need of financing from the government. This paper will provide a stakeholder analysis of major players in the industry who are influential in policies that enhance or limit the operations of Jaffrey Mines.

President/CEO

The CEO being the top administrator of the company pushes for continued operation of the mine. It is for this reason that this stakeholder continues to negotiate with both federal and provincial governments to fund operations in the mine. The CEO has vast influences that range from running the firm to negotiating with both federal and provincial governments on strategies and policies that would promote mining of Chrysotile Asbestos (Jennings, 2008). Furthermore, he has a very high level of interest in funding of mining operations as lack of funds ultimately means that he himself has no job due to collapsing of the mine. Therefore it can be concluded that the CEO belongs to the group that advocates for continued mining and usage of Asbestos. His level of involvement can be categorised as extreme since his main concern is to continue operations despite the health warnings.

Canadian Federal Government

The stakeholder is a moderator in the Asbestos issue since it seems to protect the rights of both pro and anti asbestos groups. Federal government is very influential as it is responsible for formulating policies and programs that would monitor and control mining operations and its commerce. For instance, they banned asbestos usage in Canada but allowed it exportation to developing economies (Jennings, 2008). Therefore, their major concern is to promote selling of the product at the international level. This is seen when they pulled out of an international campaign in 2005 to ban Asbestos usage globally (Jennings, 2008). They are thus seen as protectors of rights of groups involved in the industry through funding for operations of the mine on one hand and limiting the usage of asbestos in Canada on the other hand.

Quebec Provincial Government

It is a major advocator of asbestos mining and its usage hence has no problem if the mine is funded to continue operations. The provincial government is very powerful, operating through a democratic system where the rights of the majority are the ones considered. Since the mine is located in Quebec, the provincial government sees it as a duty to protect the livelihoods of many people. Therefore what better way than to support the industry as it seems to be the major source of income and employment for locals in the area (Castleman, 2005). It is for this reason that the provincial government is seen to be the largest legal group that clearly supports mining and selling of Asbestos. Such promotions by the provincial government included the $57 million fund to Jaffrey Mines to expand its operations in 2003 (Castleman, 2005).

Mine Employees

They support the industry as it is a major source of employment and income for locals in Quebec. They hold influence in the operations of the mine as they vote in the provincial and federal governments who would in turn promote the industry. Furthermore, they form a community that require the industry to grow and flourish economically hence the reason why their interest is very high on conservation of the mine. However, their main concern is in safety efforts by the mine administration which they prefer that they be aimed at protecting them against carcinogenic effects of Asbestos.

Consumer Stakeholder Group in Developing Economy

They are stakeholders who require the product to use it for their benefit. They are very important as they provide the market for the product. The major consumer is India who requires asbestos for making cement and in manufacturing other products cheaply. This stakeholder holds much influence as they control the amount of product to be produced and the returns that the company will get. They belong to the group which advocate for asbestos usage as it is profitable in their processes hence the reason why they would support any efforts to keep the mine in operation. Furthermore, they support the industry by setting operations in the Mine and acting as channels through which the product reaches developing economies (Castleman, 2005).

International Regulatory Group

A major regulatory group is the Canadian Cancer Society that has vastly influenced operations of Jeffrey Mine. They advocate for stoppage of usage of asbestos as it is a cancer forming substance. They have conducted numerous researches and have come up with concrete evidence that indeed the substance is a health risk. They have no commercial interest but act only to protect the health of populations. They have gone to the length of advising the Federal government to withdraw funds to the Chrysotile institute and even advocating for the stoppage of exporting Asbestos (Payton, 2011). Therefore they belong to the numerous groups opposing Asbestos mining and usage.

References

Castleman, B. I. (2005). Asbestos: Legal and Ethical Aspects. New Jersey: Aspen Publishers. Pp. 800-817
Jennings, M. M. (2008). Business Ethics: Case Studies and Selected Readings. Ohio: Cengage Learning. Pp. 405-407
Payton, L. (2011, June 22). Canada blocks move to deem asbestos hazardous. Available at:
http://www. cbc. ca/news/politics/story/2011/06/22/pol-asbestos-objection. html