ArelorMittal's policy in relation to dealing with cultural and social Essay

ArelorMittal's policy in relation to dealing with cultural and social environments - Essay Example Last year the company shipped more than quarter of million tons to the region. Renault has announced to set up a factory in Morocco to serve the customers of Europe and North Africa. The company has mills in Spain and France and supplies steel to Casablanca. ArcelorMittal has extended their footprints in Morocco which was identified as the potential country of the Maghreb region. In order to meet the requirements of Renaults, ArcelorMittal made serial deliveries to Melloussa from December, 2011. The company entered into agreements with leading appliance producing corporations and ensured supply of steel for the production process. To offer steel to the oil and gas industry the company is refining the products as well as identifying the existing steels which are suited for the energy sector. New markets are opening up for the company on the edges of Europe. Turkey is one such country. France and Canada are some of the countries where ArcelorMittal has entered. The company also has ope rations in Brazil and Mexico. Altogether the presence of the company is in 60 countries worldwide. Problems in integrating business The company needs to shift beyond the good intensions on social issues and turn the words into deeds. Although the company plays its part in corporate social responsibility it continues to pollute the environment. According to the new report of Global Action on ArcelorMittal the company risks the lives and displaces local communities. The resettlement plans for the local people were unclear while the company started iron ore mining operations in Nimba County, Liberia (ArcelorMittal Group-a, 2012, pp. 21-24). The people were deprived from permanent employment in the mine and posed a threat o the Mount Nimba Nature Reserve. According to the authorities of the Friends of the Earth Liberia the lack of transparency in the management is a concern when one studies the track records of the company on other countries. The residents of Eastern Europe and South Af rica complain that the company has done little in reducing the high levels of air pollution. The approach of the company towards reduction of air pollution has not been effective although several meetings were conducted with the local communities (ArcelorMittal Group, 2010, pp. 14-15). The European steel plants of ArcelorMittal benefited from huge amount of loans directed to them from the International Finance Corporation but the area of reducing pollution still remains ignored. The safety investments of ArcelorMittal have remained unchanged for Kazakhstan for quite a long time. In spite of the health and safety projects 35 miners lost their lives in the mines of the company in 2008 in two separate incidents. The city of Temirtau is chocked with pollution even now. Questions can be raised regarding the ethics of the company. The company established a mechanism for the employees with which they can raise their concerns against an issue in the working environment (ArcelorMittal-a, 201 2). The procedures are confidential and whistle blowing. The trade unions also work for the purpose of upgrading the safety requirements. The company grievance mechanisms were developed to be in line with the principles of human rights and business of United States. Exit from the market In order to cut down the debt problems, ArcelorMittal took the initiative in scaling down the investments