OUR EMPLOYEES

Key changes and results in the reporting year
A NEW EDITION OF THE HUMAN CAPITAL MANAGEMENT POLICY WAS APPROVED
A REMOTE WORK MODE WAS INTRODUCED FOR EMPLOYEES OF LUKOIL GROUP ENTITIES
Contribution to implementation of SDG

A favorable epidemiological situation at entities is maintained, workers are provided with protection by all available means.

Plans for 2021 and the midterm

Maximum coverage of employees with vaccination against the coronavirus, continuing disease control measures, ensuring sanitary and hygienic practices.

Context

Early estimatesSource: COVID-19 and the World of Work. International Labor Organization (ILO), 2020. suggest that the COVID-19 pandemic had a significant and disproportionate impact on the labor sector, resulting in extensive losses of work hours, higher unemployment rates, and income losses for workers and their families. At the same time, the spread of the coronavirus accelerated (when compared to pre-crisis forecasts) trendsSource: The future of work after COVID-19. McKinsey Global Institute, 2021. which will affect the employment structure across all industries. That may include growing automation and the introduction of new information technologies into work processes, a shift to remote or hybrid work modes, and an increase in the share of the digital economy. These innovations can give a distinct boost to productivity and result in the creation of new jobs.

In the face of rising transformational factors and risksSource: The Global Risks Report 2020. World Economic Forum, 2021., companies will have to rethink their strategies for employment, hiring and retaining employees, as well as find new ways to train and redeploy staff with a focus on highly sought after tasks. The year 2020 has reaffirmed the need to change personnel management processesSource: Win with Empathy. Global Talent Trends 2020–2021. Mercer, 2021 and plan them out thoughtfully. The main focus areas of such changes areSource: ibid. health protection, a responsible approach to labor remuneration, forecasting of highly desirable labor skills, attracting talents, and forming an integrated employee pool based on hybrid employment terms, while ensuring personnel diversity, equality, and involvement.

In 2020 LUKOIL’s main contribution to SDG 3 (Good Health and Well-being) was due to the complex actions of the Company to mitigate deterioration of the current epidemiological situation at the Group’s enterprises and offices.

PRIORITIES IN EMPLOYMENT RELATIONS
Management system in employment relations
ELEMENTS OF THE MANAGEMENT SYSTEM
CORPORATE DOCUMENTS
GOALS, PRINCIPLES

The main task is to create a management system that will give the Company the recognized status of an “employer of choice” in the labor market

Human Capital Management Policy, approved by Minutes of the Board of Directors of PJSC LUKOIL No. 19 dated December 15, 2020

PRIORITIES / CORPORATE STANDARDS

The main principles in the area of employment relations are:

  • Compliance with statutory requirements;
  • Respect for human rights;
  • Equal rights and opportunities for employees;
  • Respect for the culture and customs of countries where we operate;
  • Cooperation with trade unions and employees

The Code of Business Conduct and EthicsThe new edition of the Code of Business Conduct and Ethics. The document approved in 2010 was in effect earlier. No. 17 approved by Minutes of the Board of Directors of PJSC LUKOIL on December 11, 2018 The Corporate Culture Rules No. 31 approved by Minutes of the Management Committee of OJSC LUKOIL No. 31 on December 27, 2010 The Social Code of PJSC LUKOIL No. 16 approved by Minutes of the Board of Directors of PJSC LUKOIL on October 24, 2017

KEY PERFORMANCE INDICATORS

Labor productivity

The KPI Regulations approved by the Management Committee of PJSC LUKOIL on September 16, 2019

TARGETED PROGRAMS, PROJECTS, AND INITIATIVES

The main areas of social policy:

  • The remuneration and incentive system;
  • Social support;
  • Training;
  • Working with young professionals and employees

Programs in all the areas have been approved

EMPLOYEE SATISFACTION SURVEY

Research:

  • Monitoring of the socio-psychological climate at work places;
  • Employee engagement and satisfaction surveys

Held at least once every 2 years

ADDITIONAL INFORMATION

More details are available on our corporate website

The Social Code of PJSC LUKOIL