How has demand been for The Bedford Group TRANSEARCH’s services in the mining sector? 

FG: The Bedford Group TRANSEARCH’s (Bedford) business has been fairly consistent year over year, but the number of participants in the sector has shrunk. Our annual compensation study demonstrates that out of 320 client companies in 2023, 60 have been consolidated, and due to a lack of capital, we have seen many juniors being acquired by intermediates and majors. 

MM: Although there has been an uptick in consolidations and M&A activity, Bedford has continued to see an increase in business year over year, and in 2024, we saw a rise in demand for our compensation advisory services. Juniors are still having challenges raising funds, and we have had a few clients that engage us and have started searches, but then postponed till next year as they may want to allocate more capital or want to focus their current capital in other areas and wait for hires until next year. However, the mining industry continues to experience a talent shortage and there is still a push for inclusion and diversity in the industry.  We sponsor the annual CIM–Bedford Canadian Young Mining Leaders Awards, which recognize the outstanding achievements and potential of young mining leaders and accelerate the development of the next generation of mining professionals. 

Can you elaborate on Bedford’s annual compensation reports?

FG: For two decades, Bedford has routinely conducted industry-specific surveys of compensation awards and practices to provide insights into executive and management compensation for the global mining sector. These studies generally look at approximately 350 companies and 4,000 executives and directors and have become a critical piece of decision-making around governance and compensation for mining companies. Bedford’s compensation practice is currently the fastest-growing area of our business. 

Mining seems to be a highly compensated area in Canada, but a big piece of compensation within public mining companies is through equity - two-thirds of the average mining executive’s compensation is based on their bonus – so when the equity markets are down, everyone is making less money.

What measures can mining companies take to attract talent to their operations?

FG: Younger generations often perceive mining as dirty and harmful to the environment, so educating young people about the necessity of responsible mining for a greener future is critical. Offering a proper work-life balance where people have a decent workplace with decent facilities and also sufficient time off can assist in making a career within the mining industry more appealing. The more technology and innovation you can introduce into mining, the more attractive it will become to young people. 

What are the most challenging aspects of finding a good mining executive to join a company?

FG: The mining sector is particularly volatile, and many things happening in the sector are beyond executives’ control. For example, some countries are politically unstable and are revoking licenses, and commodity prices are volatile so one quarter may be profitable and the next one not. Having so many uncontrollable factors can sometimes make it hard to show that they have a good track record. 

In terms of diversity and inclusion, how does the mining sector compare to other sectors? 

FG: Pressures are being put on mining companies by different forces, but gender diversity is still an issue with underrepresentation at the board and senior levels, but much of it has to do with not enough diversity entering the sector. Gender diversity remains a challenge in all STEM-related fields, but it seems that the issue is still the largest within the mining industry, and industries like oil and gas have made significantly more progress.  

MM: In a recent executive search by Bedford for a Canadian mining client, only 7% of 200 candidates were women. Organizations like the International Council on Mining and Metals (ICMM) and Women in Mining (WIM) are advancing initiatives to attract and retain diverse talent, with many companies setting ambitious goals for female representation in leadership and technical roles.

Compared to sectors like technology and finance, mining lags in implementing diversity frameworks, but its unique challenges demand systemic changes, including revamped recruitment strategies and investment in education and training.