In May 2020 Rio Tinto destroyed the Juukan Gorge rock shelters in Western Australia's Pilbara — caves containing evidence of human habitation stretching back 46,000 years — to reach high-grade iron ore needed for its trademark Pilbara blend. The company was authorised under West Australian law and proceeded despite the Puutu Kunti Kurrama and Pinikura people's opposition. The blowback forced the board to act: CEO Jean-Sebastien Jacques, iron ore chief Chris Salisbury and corporate relations executive Simone Niven all departed after investors forced the issue.

The post-mortem found structural causes. Rio's four product divisions operate as autonomous units with little control from the corporate centre — profitable when things go well, but leaving the group exposed to any single division's poor decisions. Indigenous relations, the function that should have flagged the destruction, sat inside a 'corporate relations' grouping below the executive committee, with no independent senior seat — its chain of command ended at executive Simone Niven, who has since left.

Excavation of one shelter had in 2014 uncovered evidence of more than 40,000 years of continuous human occupation — the kind of find that would normally trigger reconsideration. The division proceeded anyway, and the consequences landed on the whole corporation: protests outside the Perth office, a federal parliamentary inquiry, and the first CEO exit forced by investors over the destruction of cultural heritage rather than financial failure.

CEO Jacques and two senior executives departed after a shareholder revolt; a parliamentary inquiry and lasting damage to the group's social licence.

The iron ore division prioritised ore-blend reliability and legal entitlement over the heritage find its own excavation had confirmed.

A segmented structure let one division make a decision with group-wide reputational consequences and no centre veto.

Indigenous relations lacked independent senior representation, so its warnings had no direct route to the CEO.

Management treated the WA legal authorisation as the end of the question rather than the start of the social-licence one.

Legal permission is not a social licence — a siloed division can spend the whole group's reputation for one mine's ore blend.

Jacques, Salisbury and Niven left the company after the investor revolt, and the destruction became the reference case in Australia's overhaul of heritage legislation and mining-sector consent practices. Rio Tinto's chairman pledged systemic reform of how communities functions engage with operations, and the Puutu Kunti Kurrama and Pinikura Aboriginal Corporation's account of the loss became central to the parliamentary inquiry's findings.

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  1. Has Rio Tinto learnt its lesson from the destruction of the Juukan Gorge caves? abc.net.au