Gina Rinehart criticised ‘virtue signalling’ netballers. What happened with the Diamonds, and does it matter?

Gina Rinehart says sports organisations should not be used for social or political causes, after her mining company’s decision to withdraw from a proposed $15 million sponsor partnership with Netball Australia. Players from the Australian Diamonds netball team had expressed concerns about the partnership, because of Hancock Prospecting’s track record with Indigenous people. Hancock Prospecting issued two separate statements on Saturday — the first announcing the withdrawal of sponsorship and the second addressing media attention and athlete activism. “Hancock and its Executive Chairman Mrs Rinehart, consider that it is unnecessary for sports organisations to be used for social or political causes,” the statement said. “Firstly, because sport is at its best when it is focussed on good and fair competition with dedicated athletes striving for excellence to achieve their sporting dreams and to represent our country at their very best.”

The statement criticised athletes of “virtue signalling” when speaking out on issues, and cited its own initiative as a more genuine way to make progress.

“There are more targeted and genuine ways to progress social or political causes without virtue signalling or for self-publicity. For example, the meaningful engagement with local indigenous communities undertaken by Hancock’s Roy Hill Community Foundation in West Australia to support their actual needs. “Thirdly, because there are more impactful means to make a beneficial difference.”

So what happened between Hancock Prospecting and Netball Australia, why is the company talking about social and political causes, and what happens now?

Why did Hancock Prospecting withdraw funding?

The mining company’s $15 million sponsorship commitment, which was to continue for four years, had attracted media attention and public scrutiny after players reportedly expressed concern over wearing the Hancock logo on their uniforms.

Diamonds player and Noongar woman Donnell Wallam was reportedly uncomfortable with historic racist comments made by the company’s former owner, Mrs Rinehart’s father Lang Hancock.

In 1984, Mr Hancock proposed the sterilisation of Aboriginal people through the poisoning of waterways as a “solution” to the “Aboriginal problem”. There were also reports of environmental concerns, a split within the playing group, and communication issues between Netball Australia and the Players’ Association. Netball Australia (NA) captain Liz Watson continued to publicly support the deal. In the midst of the controversy and media attention, then-NA chair Marina Go stepped down, and was replaced by former NA director Wendy Archer.

On Saturday afternoon, Hancock Prospecting announced it was withdrawing from the proposed sponsorship.

In a statement, the company said it was not aware of “the complexity of preexisting issues between Netball Australia and the Players Association”. “Hancock, and similarly Roy Hill, embarked on these proposed partnerships in good faith and on the basis of representations and its resulting understanding that Netball Australia and the sport’s key stakeholder groups including the Australian Diamonds, were united in their support of one of West Australia’s preeminent mining companies becoming their principal sponsor,” the statement said. In the second statement, Hancock implied media scrutiny had been part of the reason for scrapping the sponsorship offer. “The reality is that sponsorship is integral to sports organisations — for full-time professionals right through to young children at the grassroots level who rely on the corporations investing the funds that enable all sports to not only survive, but thrive.”

“Sadly, recent media does not help encourage sporting sponsorships.”

What did Netball Australia and the Diamonds say?

On Saturday, Mrs Archer said while the decision was a disappointing outcome for the sport, Netball Australia understood Hancock Prospecting’s decision.

“We are grateful that Hancock Prospecting continued to stand by our sport throughout the recent turbulence and we regret the impact this has had on the company,” Mrs Archer said.

Hancock Prospecting has announced it is withdrawing its proposed netball sponsorship. Source: AAP / James Ross

“This has been a challenging period for all involved and while every effort has been made from all parties to resolve the issues surrounding the sensitivities of the partnership, unfortunately, we have not been able to achieve a mutually satisfactory outcome.” Players later issued a statement expressing disappointment in Hancock withdrawing its offer of sponsorship. “As Netball Australia has emphasised, these funds go towards the Diamonds high performance and underpinning programs, something that is of critical importance to us all,” the statement said.

“The players acknowledge that the support of our commercial partners is critical to the financial sustainability of the sport. We are incredibly grateful to our existing sponsors for their ongoing backing of netball at all levels.”

Why does this matter, and what happens now?

Financially, the cancellation of the sponsorship is a significant loss for netball in Australia.

The deal appeared to be a lifeline after NA suffered losses of more than $7 million in two COVID-impacted years, with players also requesting higher wages.

In Western Australia, Roy Hill, which is majority-owned by Hancock Prospecting, will also be discontinuing its sponsorship arrangement with Netball WA. Hancock Prospecting and NA confirmed the company will four-month funding to support the organisation in the immediate short-term as it seeks to acquire another sponsor. The controversy could also spill over into other sports.

Mrs Rinehart and Hancock sponsor the Australian Olympic Committee, Volleyball Australia, Rowing Australia, Synchronised Swimming Australia and Swimming Western Australia.