CSR in Ghana’s gold-mining sector: Assessing expectations and perceptions of performance with institutional and stakeholder lenses

Abstract

PurposeThis article examines community expectations and perceptions of the corporate social responsibility (CSR) performance of a multinational mining company following a unique incident of cyanide spillage from a tailings (processed ore effluents) storage facility. CSR remains a critical component of stakeholder management in developing countries due to the continuous environmental and social impacts of mining development. The article employs the stakeholder and institutional theories to assess the CSR manifestations of a large-scale mining company in the context of pressures at the plant level.Design/methodology/approachWe employ a mixed method design using survey and stakeholder interviews to collect, analyse, and present findings within legal, ethical, and discretionary CSR categories. The survey data were statistically analysed by calculating the standard deviations of the three CSR dimensions to compare and understand the data variations in respect of the perception ratings of respondents on a four-point Likert scale, while interview data was evaluated using an inductive approach based on thematic networks.FindingsThe findings suggest that unfulfilled expectations for employment generate wider consensus towards demands to share in mining benefits based on rising perceptions of inequity and social exclusion. Additionally, host communities within farming areas engage in speculative development in anticipation of CSR-related compensation resulting in a homogenised expectation. Further, this study reveals that reactive CSR practices are interpreted as both insincere and patronising, contributing to a negative perception of mining activities in affected communities.Research limitations/implicationsAs a single-case study, the findings may be inadequate for theoretical generalisations and therefore limited to the context of the study.ImplicationsRethinking stakeholder and institutional theories, and exploring new assumptions in the context of the mining industry in Ghana, may expand the current discourse within the academic, corporate, and statutory communities.ContributionThis study adds to and expands the assumptions of stakeholder and institutional theories in a mining context within local communities. It may also improve the knowledge of managers of large-scale mining companies on effective stakeholder management.