Social Investment - ESG
Social Investment
Vale makes socioeconomic investments in the regions where it operates, and also in initiatives that contribute to the development of society. Below are definitions of the types of investments:
Mandatory investments:
Actions to meet social and environmental programs that are directly related to the compliance with conditions (defined in a licensing process), court judgments (or equivalents) or by force of law.
Mitigating investments:
Actions to address non-formalized impacts in a licensing process or legal obligations.
Voluntary investments:
Social, environmental, cultural and institutional actions which are unrelated to the impacts of Vale’s operation, carried out with the company’s own resources or from fiscal incentive mechanisms.
Social Expenditures
In 2022, US$1,609 billion was spent on social actions, of which US$1,344 billion was on reparation for Brumadinho city, as well as investments in traditional communities and indigenous people, culture, infrastructure and mobility; social protection; health, and others.
| Resources applied by theme/type (US$ million) |
|---|
Company's own resources
2020
Mitigating: 7.15
Mandatory: 30.35
Voluntary: 55.52
Total: 93.02
2021
Mitigating: 19.86
Mandatory: 34.34
Voluntary: 95.88
Total: 150.08
2022
Mitigating: 37.61
Mandatory: 31.22
Voluntary: 154.46
Total: 223.30
Tax incentive mechanisms / Tax benefit
2020
50.89
2021
126.28
2022
40.37
Brumadinho reparation
2020
137.35
2021
152.82
2022
1.344.40
137.35
2021
152.82
2022
1.344.40
Humanitarian Aid (COVID, Rains)
2020
108.78
2021
44.36
2022
1.27
108.78
2021
44.36
2022
1.27
Total
2020
390.05
2021
473.53
2022
1.609.34
390.05
2021
473.53
2022
1.609.34
|
Resources applied by theme/type (US$ million)
|
2020
|
2021
|
2022
|
|---|---|---|---|
|
Company's own resources
|
93.02
|
150.08
|
169.34
|
|
Mitigating
|
7.15
|
19.86
|
37.61
|
|
Mandatory
|
30.35
|
34.34
|
31.22
|
|
Voluntary
|
55.52
|
95.88
|
100.50
|
|
Tax incentive mechanisms / Tax benefit
|
50.89
|
126.28
|
94.33
|
|
Brumadinho reparation
|
137.35
|
152.82
|
1,344.40
|
|
Humanitarian Aid (COVID, Rains)
|
108.78
|
44.36
|
1.27
|
|
Total
|
390.05
|
473.53
|
1,609.34
|
Last update in June, 2023
In 2022, US$1.562 billions were spent in cash contributions and US$48 milions in In-kind giving: product or services donations, projects/partnerships or similar (Dow Jones classification).
Funds applied (in US$ million)
Support to Entities
2020
6.58
2021
10.53
2022
11.34
6.58
2021
10.53
2022
11.34
Traditional Communities and Indigenous Peoples
2020
24.81
2021
29.73
2022
42.61
24.81
2021
29.73
2022
42.61
Culture
2020
33.29
2021
73.26
2022
61.08
33.29
2021
73.26
2022
61.08
Education
2020
10.93
2021
15.62
2022
23.18
10.93
2021
15.62
2022
23.18
Studies and Monitoring
2020
1.84
2021
0.78
2022
5.77
1.84
2021
0.78
2022
5.77
Work and income generation
2020
7.92
2021
8.00
2022
8.01
7.92
2021
8.00
2022
8.01
Infrastructure and mobility
2020
11.00
2021
28.84
2022
14.92
11.00
2021
28.84
2022
14.92
Social Protection
2020
-
2021
39.78
2022
28.36
-
2021
39.78
2022
28.36
Resettlements
2020
3.03
2021
4.00
2022
0.24
3.03
2021
4.00
2022
0.24
Health
2020
116.68
2021
52.52
2022
25.42
116.68
2021
52.52
2022
25.42
Safety
2020
7.80
2021
21.14
2022
10.91
7.80
2021
21.14
2022
10.91
Other
2020
28.81
2021
36.50
2022
33.09
28.81
2021
36.50
2022
33.09
Brumadinho reparation
2020
137.35
2021
152.82
2022
1.344.40
137.35
2021
152.82
2022
1.344.40
Total
2020
390.05
2021
473.53
2022
1.609.34
390.05
2021
473.53
2022
1.609.34
|
Funds applied (in US$ million)
|
2020
|
2021
|
2022
|
|---|---|---|---|
|
Support to Entities
|
6.58
|
10.53
|
11.34
|
|
Traditional Communities and Indigenous Peoples
|
24.81
|
29.73
|
42.61
|
|
Culture
|
33.29
|
73.26
|
61.08
|
|
Education
|
10.93
|
15.62
|
23.18
|
|
Studies and Monitoring
|
1.84
|
0.78
|
5.77
|
|
Work and income generation
|
7.92
|
8.00
|
8.01
|
|
Infrastructure and mobility
|
11.00
|
28.84
|
14.92
|
|
Social Protection
|
-
|
39.78
|
28.36
|
|
Resettlements
|
3.03
|
4.00
|
0.24
|
|
Health
|
116.68
|
52.52
|
25.42
|
|
Safety
|
7.80
|
21.14
|
10.91
|
|
Other
|
28.81
|
36.50
|
33.09
|
|
Brumadinho reparation
|
137.35
|
152.82
|
1,344.40
|
|
Total
|
390.05
|
473.53
|
1,609.34
|
Last update in April, 2023
¹The resources applied per area of action consider the initiatives grouped by themes and the consolidation of the resources for the Brumadinho Reparation.
Management of Social Investments
Seeking to optimize and strengthen our social agenda, we created the Social Investment Board, integrated with the Sustainability and Institutional Relations Executive Board. The board brings together the company's social, cultural, and environmental projects and programs of a Mandatory and Voluntary nature.
Guidelines for investments:
Alignment with the Vale’s Sustainability Strategy
Implementation in territories impacted by Vale businesses or of interest to Vale
Priority for communities in situations of vulnerability
Respect and strengthening of public policies – forbidden defrayal to public services
Integration and synergy with other actions and partners, especially in the territories
Structuring actions, with measurable results and a defined conclusion period
Contribution to the exercise and promotion of Human Rights
Economic, environmental and socially sustainable actions
Vale does not undertake actions that are constitutional obligations of the government. However, it may act, in partnership with the public authorities, the third sector, or other private entities, in projects to strengthen public policies to guarantee compliance with these obligations. Neither does it invest in actions of a religious nature, except when they also have cultural significance for society.
Private Social Investment
Vale Foundation
The Vale Foundation has a major purpose in social development. Present in Espírito Santo, Maranhão, Mato Grosso do Sul, Minas Gerais, Pará and Rio de Janeiro, the Vale Foundation seeks to strengthen public policies and contribute to the promotion of structural social transformations in the territories in which Vale operates. In a collaborative way, it develops and supports initiatives that seek to improve the population's access to their essential rights, contributing to the integral development of the human being and to the construction of a more just society.
Vale Fund
It is a promotion and investment fund to boost businesses with a positive socioenvironmental impact. It acts with the objective of strengthening a sustainable, fair and inclusive economy, especially in the Amazon. Based on the premise that it will only be possible to guarantee environmental sustainability through an economy that values standing forests and environmental regeneration, it invests in more sustainable production chains that offer alternatives for generating income and for reducing pressure on natural resources.
Strategically, it supports from innovative business models, to financial arrangements and instruments that allow a more sustainable economy to scale. Objective analyzes, hard data and the experience of those who experience problems in their day-to-day lives accompany the decisions. In addition, the Vale Fund collaborates to achieve the company's sustainability goals.
For more information, visit the Vale Fund website.
Vale Cultural Institute
For Vale, experiencing culture enables people to broaden their knowledge, their view of the world, and to create new perspectives for the future. In this sense, for almost two decades the company has been investing in and seeking to encourage the many manifestations of Brazilian culture, in all its diversity.
The Vale Cultural Institute was created in 2020 with the aim of strengthening Vale's role in culture, valuing cultural heritage, democratizing access to culture, and promoting artistic expression.
The Institute supports and sponsors projects all over Brazil, and consolidates the management of four museums and cultural centers in the states of Minas Gerais, Maranhão, Espírito Santo and Pará. Its core activities are: heritage, museums and cultural centers, music, and festivities. Learn more about it at the Home.
Vale Volunteer's Network
Vale's corporate volunteering program was created in 2004, with the purpose of bringing people together through the desire to contribute to the improvement of society, through voluntary action.
In 2020, during the Covid-19 pandemic, a digital platform was created to securely ensure greater scope and agility in the mobilization of initiatives. The program is now called Rede Voluntária Vale and counts on the participation of Vale employees and also other people outside the company, such as family and friends. Currently, the Network is organized into Regional Committees, in 7 states.
Policies and Standards
Business Case
Vale Music
For more than 20 years, Vale has been supporting musical education projects for children and young people. The first was in 2000 and since then several have taken place. More than just adding up, the projects are now partners of the Vale Music Program!
The Vale Music Program is a Vale initiative that aims to encourage and strengthen the education of children, adolescents and young people towards concert music in Brazil. With a collaborative network among the sponsored music projects of Vale, the program seeks to increase the teaching and learning of participants, by performing:
Exchanges: educational moments with different modalities, such as workshops, practical classes in group classes and/or by instruments, and master classes, when the students have the opportunity to learn directly with a well-known expert
Musical residences: an opportunity for the most outstanding students in exchanges to experience for a week the professional daily life of one of the partner orchestras, the Brazilian Symphony Orchestra and the Ouro Preto Orchestra, and the cultural program of the city where it is based
Integrated events: participation of the students in official performances of the professional orchestras, with the opportunity to go on stage or perform with internationally recognized professionals
New Hubs: creation of new areas of musical education, respecting the vocation of the locality, training local teachers, seeking the improvement of the quality of life and access to the culture in the locality
+ 400
students participate in the exchanges+ 60
students participate in the residencies+ 100
professional musicians11
integrated performances in renowned national stages: the Theatro Municipal Rio de Janeiro, SESC Palladium, Teatro Riachuelo), Teatro Cecília Meireles, and Inhotim, among othersPartner Projects of the Vale Music Program
The Vale Music Program takes place in the states of Minas Gerais, Espírito Santo, Mato Grosso do Sul, Pará and Rio de Janeiro.
Vale Música Belém has been in existence for 15 years. It is for public school students in the capital of Pará and has trained over 1.000 professional musicians.
Moinho Cultural Sul-Americano is a non-governmental organization and provides free lessons to 360 children and adolescents from Corumbá and Ladário, MS, and from the Bolivian cities of Puerto Suarez and Puerto Quijarro.
Vale Música Serra has been active since 2012 at the Knowledge Station in the municipality of Serra, Espírito Santo. It has 200 students from the public school network and residents from the city or from Grande Vitória.
The Orquestra Ouro Preto was founded in 2000 and promotes art by spreading concert music, in all its diversity, with a focus on the education of new audiences.
The Orquestra Sinfônica Brasileira is one of the oldest orchestras in Brazil and has been developing projects and partnerships to contribute to the teaching of music in the country.
The Polo Vale Música Brumadinho was inaugurated in September 2019 and is an area of the Knowledge Station of Brumadinho, where lessons take place with shared instruments and much playfulness.