Collapse of the Fuando Dam

Question: Discuss about the Collapse of the Fuando Dam. Answer: Introduction: The link relates to the collapse of the Fuando dam which took place in November, 2015. The dam has been constructed by Samarco, a mining company in Brazil. 50% of the stocks of Samarco Company is owned by BHP Billiton (Hatje 2016). Lots of lives have been affected due to the collapse of the Fundao dam in Bento Rodrigues. It has resulted in the loss of various lives (approximately 17) and many people got injured as well. Two villages have been disastrously affected and 200 homes have been destroyed. Around 20,000 people lost their jobs due to the collapse of the dam (Morgan 2016). Therefore, the effect of Samarco disaster has been many. The requirement under this assignment is to give recommendations to the Board of BHP Billiton about the actions it should take for mitigating the losses which have occurred by the disaster and for enhancing the business activity of the Company (Miranda and Marques 2016). Following are the recommendations to the Board of BHP Billiton: Rebuilding the community: First of all, it is important to address the losses which have been suffered by each and every individual due to the disaster. Steps should be taken for compensating those who have lost their near and dear ones in the disaster. Adequate arrangements should be made for accommodating those who have lost their homes. This should be the top priority of BHP Billiton as of now. Compensation should also be provided to the woman who has lost her unborn baby in the Samarco disaster. For doing effective business, responsibilities have to be taken by a company towards the community in which it operates. Protection of environment The collapse of the Fuando dam had a huge impact on the environment. The mining waste has reached the coast of Atlantic Ocean making it fully muddy and unsuitable for human use. Doce River has also been contaminated with mud and iron ore, making the use of water detrimental to the health of human beings (Mac 2015). Therefore, it is recommended to the Board of BHP Billiton to take immediate steps to filter the water and make it ready and hygienic for use to the people living in that vicinity. Protection of environment is inevitable for a Company to carry on its effective business activities. Other areas: Among the other areas where BHP Billiton should emphasize to mitigate the losses caused by Samarco disaster are as follows: Protection and recovery of the living standards of the indigenous community; Protection and recovery of the living standards of other tribal communities; Reconstruction of the villages affected by the disaster; Protection and assistance of the animals affected by the disaster Steps for recovering the schools so that education does not too much get hampered Steps for stabilising the mental and physical health of the population affected by the disaster Providing financial assistance to the people for helping them to run their families All these steps are important to be taken in the light of disaster that took place and the BHP Billiton has to address the above mentioned issues immediately so as to regain the faith in the community and start business activities in the affected area. Reference List Hatje, V., 2016. On Top of a Mining Disaster, Coping with Ethical Issues. Journal of the Brazilian Chemical Society, 27(7), pp.1137-1138. Mac, P., 2015. Did BHP Billiton know their dams would collapse?. Guardian (Sydney), (1712), p.5. Miranda, L.S. and Marques, A.C., 2016. Hidden impacts of the Samarco mining waste dam collapse to Brazilian marine fauna-an example from the staurozoans (Cnidaria). Biota Neotropica, 16(2). Morgan, G., 2016. Regimes de governana transnacional no sul global: multinacionais, estados e ONGs como atores polticos. RAE-Revista de Administrao de Empresas, 56(4), pp.374-379.