Rio Tinto CEO Jakob Stausholm breaks silence on shock resignation

Jakob Stausholm has broken his silence on his shock resignation as Rio Tinto’s chief, while Mr Stausholm’s potential successor has claimed a victory after giving WA workers a $25,000 pay rise to avert union action.

Mr Stausholm fronted media at the official opening of Rio’s $3.1 billion Western Range iron ore mine in the Pilbara on Friday, two weeks after his resignation from the top job was abruptly announced.

In the wake of the bombshell announcement, speculation has mounted that Mr Stausholm was pushed from the role due to a difference of opinion with Rio’s chair Dominic Barton over the future direction of the diversified mining giant.

Mr Stausholm said there was no “dis-alignment” with Mr Barton.

“We are absolutely aligned. It’s very important to say we in the management team and the whole board is absolutely aligned around the values of Rio Tinto about pursuing . . . our strategy,” he said on Friday.

But when prodded further, Mr Stausholm declined to hose down suggestions he was pushed from the top job.

“I‘m not commenting on anything. We have completely agreed between ourselves that it is the right time to look for succession, and I will be stepping down.”

Rio’s chief commercial officer Bold Bataar and the company’s iron ore chief Simon Trott are seen as the two leading candidates to replace Mr Stausholm.

Mr Trott skirted around the question when asked whether he would throw his hat in the ring on Friday.

“We’re here today opening Western Range that positions our business for the future. And that future is certainly my focus, my team’s focus, and I’m not going to comment on on board processes,” he said.

Mr Trott has been battling the threat of unionisation at Rio’s crown jewel Pilbara iron ore operations after decades of dormancy.

Unions have been emboldened by the Albanese Government’s industrial relations reforms and have lobbed aggressive campaigns across multiple Rio sites targeting an array of project teams.

Rio this week averted a union agreement with its rail signal technicians after dangling pay bumps averaging $25,000.

“We always need to focus on making sure our business is as strong and as efficient as we possibly can, and that continues to be my focus, and my team’s focus, the model of direct engagement between all levels of our workforce has delivered,” Mr Trott said on Friday.

“It’s delivered for our business, it’s delivered for our stakeholders, it’s delivered for the community in which we are, and that continues to be what we’re focused on.”