Are today’s workplaces too soft? Rio Tinto’s CEO argues for psychological safety over toughness

Fostering ‘human connections’

The debate over workplace culture has gained international traction, with AT&T chief John Stankey recently advocating for a “market-based culture” in the United States.

Stausholm, however, maintains that fostering “human connections” and trust among colleagues is the foundation for constructive teamwork and ambitious goal-setting—a perspective he reiterated in his interview with the AFR.

Stausholm is set to retire from Rio Tinto on August 25, handing over leadership to Simon Trott, the company’s iron ore chief. As he steps away, Stausholm has not yet determined his next move, stating he will take time to reflect.

Rio Tinto’s progress on culture

Recently, Rio Tinto released the findings of an independent Progress Review on its workplace culture, two years into a comprehensive transformation program. According to a company statement, the review—conducted by former Australian Sex Discrimination Commissioner Elizabeth Broderick—found that while Rio Tinto had made “promising” advances in culture, innovation, and performance, problematic behaviors remain in some areas and require sustained attention.

Broderick, who led the original Everyday Respect review in 2022, praised Rio Tinto’s transparency and commitment to change, noting that “progress is evident and there is an ongoing commitment to this work.” She added, “With sustained focus from Rio Tinto, we should expect to see the positive change spread over time.”