Trust and the social licence to operate in the Guatemalan mining sector: Escobal Mine case study

Abstract

This paper builds on the literature that trust and ongoing relationship development is needed for a social licence to operate. While trust and the SLO has been analyzed, there is little exploring what trust is, the types of trust that exist, contextual factors that can facilitate or erode trust, and the concept of trust itself has not been defined. By analyzing historical, political, economic, and social factors at the Escobal mine site, the need to address power imbalances and inequities in a population to establish generalized trust emerges as a key antecedent for increasing the opportunity for earning a SLO. Generalized trust is earned through honest relationship development, which is characterized by limiting inequities and power imbalances, and ensuring those relationships are contextualized for the area and its stakeholders – there is no ‘one-size-fits-all’ solution. This paper explores the concept of trust with an emphasis on generalized trust and proposes a definition of trust that embraces the proposed intention of SLO: establishing trusting relationships. Trust in the SLO is the willingness to be vulnerable to a project proponent's proposed activities.