Better Health for All
-20
The company's core business of mining and refining non-ferrous metals is unrelated to the development of medical treatments, healthcare provision, or public health initiatives, making its impact on this value neutral. Southern Copper Corporation (SCC) is primarily a mining entity (ISIC 0729), meaning its core products (copper, molybdenum, zinc, silver) are health-neutral in their primary form, resulting in a score of 0 for health_impact_core and harmful_revenue_share. Regarding health_externalities, the company faces moderate health-harming externalities typical of large-scale mining, such as air and water emissions. Evidence from the Copper Mark assessment indicates the company has implemented substantial remediation and monitoring efforts, including a management system to minimize adverse impacts on community health and safety, and participatory environmental monitoring with local authorities.
1
This aligns with a tier of -70, representing moderate externalities with substantial remediation. For health_equity_programs, the company reports allocating approximately US$379.9 million to social and philanthropic projects since 2019, which averages 3.5% of its net earnings.
2
These programs are designed to support UN Sustainable Development Goals in communities near its operations, including promoting well-being.
3
This level of funding (3-4% of earnings/revenue equivalent) and the scope of community health monitoring systems justify a tier of -60 (substantial programs with significant funding). While the company maintains ISO 45001 certification and provides community facilities like schools and stores at its Cuajone site, these are largely internal workforce or infrastructure benefits rather than broad public health initiatives.
4
No evidence was found regarding specific healthcare workforce support, preventative health expenditure percentages, or global health crisis response metrics.
5
Fair Pay & Worker Respect
0
As a large-scale industrial mining operation, the company is inherently subject to significant labor risks and safety requirements, making Fair Pay & Worker Respect a critical and applicable metric for its operations, though the core business model itself is neutral regarding these practices. Based on the provided evidence, there is insufficient data to score the majority of the 'Fair Pay & Worker Respect' KPIs for Southern Copper Corporation (SCCO). The only relevant information pertains to an allegation of a violent eviction and illegal detention of 20 community members by 60 security workers at the Cuajone mine in Peru.
1
While this incident involves security personnel employed by the company, the victims were community members protesting water contamination and production expansion, rather than employees or workers within a labor-rights context.
2
According to the rubric for 'labor_violation_incidents', the article describes an allegation but does not cite formal labor law violations, regulatory fines, or substantiated findings by a legal or governing body.
3
As the rubric requires 'substantiated' violations or 'documented' legal cases for negative scoring, and the company has no other public record of labor-law breaches mentioned in the text, this KPI is tiered at 0 (N/A). All other KPIs, including living wage coverage, CEO pay ratios, collective bargaining, and safety incident rates, are omitted as the provided article contains no mention of these internal workforce metrics.
4
Fair Trade & Ethical Sourcing
-10
As a large-scale mining operator, the company faces inherent risks regarding supply chain transparency, potential human rights abuses in mineral extraction, and the complex social impacts of mining on local and indigenous communities. Southern Copper Corporation (SCC), specifically through its Southern Peru Copper Corporation (SPCC) operations, demonstrates strong performance in ethical sourcing and labor risk management based on the provided evidence. For 'forced_child_labour_incidents', the company is scored at -10. Evidence from the Copper Mark assessment confirms a strict corporate commitment against child and forced labor, with a minimum age requirement of 18 and rigorous verification of government identification.
1
No incidents were reported in the provided documentation, and the company enforces a supplier code of conduct that prohibits these practices.
2
Regarding 'ethical_clause_coverage', the company is tiered at 10.
3
4
state that SCC’s sustainable development policy and OECD-aligned Supply Chain Policy extend to all suppliers, contractors, and business partners.
5
6
This is integrated into their 'Code of Conduct for Suppliers, Contractors and Relevant Business Partners', representing a high level of contractual coverage (estimated at ~90% given the corporate-wide application mentioned).
7
For 'materials_risk_index', the company achieves a score of 90.
8
explicitly states that the site reports zero external sourcing of mineral material, as all material is extracted from its own mines (Toquepala and Cuajone).
9
Furthermore, the company’s risk analysis determined that its operations are not located in Conflict-Affected and High-Risk Areas (CAHRAs).
10
This effectively eliminates the risk of conflict minerals in its primary production chain.
11
Other KPIs like audit frequency and supplier diversity spend were not mentioned with sufficient quantitative detail to be tiered.
12
Honest & Fair Business
-10
The core business of mining is neutral regarding the inherent honesty of business practices; while the extractive industry faces significant regulatory and transparency challenges, the business model itself does not inherently mandate fraud or transparency. Southern Copper Corporation (SCC) demonstrates a structured approach to governance, though its status as a 'Controlled Company' by Grupo México impacts its independence metrics. Regarding the Anti-Corruption Policy, the company explicitly references the Foreign Corrupt Practices Act (FCPA)
1
and maintains a 'Code of Ethics and Business Conduct.'
2
While the evidence confirms the existence of these policies and their integration into committee oversight, it lacks specific data on third-party monitoring or automated risk assessments, placing it at a tier reflecting a comprehensive policy with regular training and risk assessments (-20). In terms of Board Independence, the company is classified as a 'Controlled Company' under NYSE rules.
3
It explicitly states that the Corporate Governance and Communications Committee is not comprised exclusively of independent directors.
4
Furthermore, the number of 'Special Independent Directors' is tied to the percentage of stock held by minority shareholders rather than a fixed majority-independent mandate.
5
This structure suggests a conflict-free percentage likely around 50%, as committee overlaps and insider influence persist due to the parent company's control (-60). For Third-Party Verification, the Audit Committee is responsible for engaging independent accountants to verify financial and compliance claims.
6
The company adheres to SEC and NYSE disclosure standards, which typically involve standardized verification of approximately 50% of ethical and financial claims through annual audits and regulatory filings (-40).
7
No evidence was found regarding regulatory fines, financial restatements, or specific whistleblower resolution metrics in the provided text.
8
Kind to Animals
-30
Large-scale open-pit mining operations inherently involve significant land clearing and habitat destruction, which directly displaces wildlife and disrupts local ecosystems, negatively impacting animal welfare. Southern Copper Corporation (SCC) is scored based on evidence of significant environmental impacts affecting wildlife habitats in its areas of operation. Regarding 'wildlife_conservation_impact', the company is tiered at -100 due to documented large-scale habitat destruction and wildlife mortality risks. Evidence indicates the company discharged approximately 785 million metric tons of mining waste into Ite Bay over 35 years, damaging an islet and three beaches.
1
While the company created artificial wetlands on top of these tailings (claiming 93% remediation progress), independent researchers report that SCC has restricted studies into heavy metal concentrations (copper, arsenic, cadmium) in birds inhabiting these wetlands.
2
Furthermore, researchers have been denied access to investigate increased whale strandings in Ite Bay, which local communities link to the company's pollution.
3
A 2023 study found the Locumba River contained contaminants up to 43 times the permissible limit, posing ongoing risks to the food chain (microorganisms to fish to birds).
4
For all other KPIs, including animal testing, cruelty-free certifications, and animal agriculture, the company is tiered at 0 (N/A).
5
6
As a mining and metallurgical firm (ISIC 0729), SCC does not engage in animal testing, husbandry, or the use of animal-derived ingredients in its core industrial products (copper, molybdenum, zinc).
7
There is no evidence of the company operating in sectors where these welfare metrics would apply.
8
9
10
No War, No Weapons
0
While copper is a critical raw material used in various industries, including defense, the company's core business is the extraction and refining of base metals for general industrial and manufacturing use, rather than the manufacturing of weapons or military systems. (No news evidence available; score reflects business-type baseline only.)
Planet-Friendly Business
-40
As a large-scale mining and smelting operation, the company's core business involves significant land disturbance, high energy consumption, and potential for environmental degradation, which inherently conflicts with proactive environmental stewardship. Based on the provided evidence for Southern Copper Corporation (SCC), the company demonstrates foundational steps toward climate-related governance and investment, though granular performance data is largely absent from the provided articles. Regarding TCFD alignment, the company explicitly stated that in 2020 it updated its analysis of risks and opportunities arising from climate change in line with the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD).
1
This includes a strategic framework based on four axes, including increasing the resilience of operations and communities, which aligns with the rubric's tier for partial alignment including scenario analysis (-70).
2
In terms of climate-positive initiatives, the company reports an average annual contribution of 3.5% of net earnings (EBIT equivalent in this context) toward social and philanthropic projects supporting the UN Sustainable Development Goals (SDGs).
3
Additionally, it is developing the 'Fenicias Wind Farm' (168 MW) to reduce its carbon footprint.
4
These actions correspond to the reinvestment of 3–4% of earnings into carbon-reduction or climate-related pilots (-60).
5
While the company reported meeting a 5% greenhouse gas emissions intensity reduction goal in 2020, the articles do not provide the absolute total Scope 1, 2, or 3 emissions (tCO2e) required to score the emissions KPI.
6
Similarly, while the company mentions renewable energy development, it does not specify the current percentage of operational energy sourced from renewables.
7
Other KPIs, such as water use, waste diversion, and biodiversity efforts, were mentioned as being part of general policies but lacked the specific quantitative outcomes or verified implementation percentages required for tiering.
8
Respect for Cultures & Communities
-40
As a large-scale open-pit mining operator, the company's core business inherently involves significant land use and potential displacement of local and indigenous communities, frequently leading to documented conflicts over water rights, environmental pollution, and land access in Peru and Mexico. Southern Copper Corporation (SCC) faces significant challenges regarding community relations, particularly in Peru. The Tía María project has been stalled for over 14 years, with violent clashes in 2011 and 2015 resulting in deaths and injuries.
1
In 2022, the Cuajone mine was shut down for 54 days due to blockades by the Tumilaca-Pocata-Coscore-Tala communities, requiring government intervention and the deployment of the army.
2
3
Documented harm to water access is a primary driver of conflict.
4
Protesters at Cuajone cut off the mine's water supply in response to the company's attempt to replace a 50-year-old pipe.
5
Farmers in the Tambo Valley oppose Tía María due to fears of water contamination and scarcity affecting agriculture.
6
There are also allegations of violent evictions of community members from water installations.
7
While SCC has established a "Service to Attention of the Community" (SAC) hotline, its effectiveness is questioned.
8
External assessments found gaps in worker awareness, and the company failed to respond to inquiries from the Business & Human Rights Resource Centre regarding allegations of illegal detentions and injuries during community evictions.
9
10
The company reports spending $379.9 million (3.5% of net earnings) on social projects since 2019.
11
However, this is categorized as basic CSR spend rather than a formal revenue-sharing agreement. Communities have demanded significantly higher compensation ($5 billion and 5% of annual profits), which the government dismissed as irrational.
12
Independent assessments for the Copper Mark at the Cuajone site concluded that indigenous rights and resettlement criteria were "not applicable" as no original settlements were identified in the immediate operational footprint.
13
Safe & Smart Tech
0
As a mining and metallurgical company, Southern Copper's core business does not involve the development of software, AI, or consumer data processing, making the value of 'Safe & Smart Tech' neutral to its primary operations. (No news evidence available; score reflects business-type baseline only.)
Zero Waste & Sustainable Products
-40
As an extractive mining company, the core business model is inherently linear and resource-intensive, generating massive volumes of tailings and waste rock that are difficult to manage sustainably, which stands in direct opposition to circular economy and zero-waste principles. Based on the evidence provided for Southern Copper Corporation (specifically the Toquepala site), the company demonstrates a structured approach to waste management through its ISO 14001:2015 certification and a management system that follows the hierarchy of controls.
1
Regarding 'waste_disposal_violations', the company is scored at -40 (exemplary compliance) because evidence shows that for historical environmental claims (2011, 2015, 2016), final resolutions by authorities concluded that no violations of environmental law occurred and no fines were issued.
2
This indicates a clean regulatory record over a period exceeding three years.
3
For 'waste_reduction_targets', the company scores -60. While the parent company (Grupo México) has established quantitative targets for GHG emissions (15% reduction by 2027), the evidence for waste specifically mentions the implementation of a management system and monitoring for tailings and general waste streams, but does not detail specific, ambitious company-wide waste reduction percentage targets with timelines beyond general compliance and monitoring protocols.
4
In 'hazardous_waste_management', the company scores -70. It maintains a compliant management system, including a legal register and environmental impact assessments that cover waste generation and pollution.
5
However, the evidence notes that the Global Industry Standard on Tailings Management (GISTM)—a critical framework for hazardous mining waste—has not yet been fully implemented, with the company receiving an extension due to the complexity of the requirements.
6
This indicates a compliant but reactive or developing approach to the highest industry standards for hazardous tailings.
7