Training and Development

Corporate training is a long-term priority area of our HR management policy. Our investments in employee training and development not only secure the Company’s strategic needs for staff with the right qualifications and expertise but also keep employees’ professional skills up to date, keeping them in high demand in the labor market. This approach prevents unemployment in the regions where we operate and strengthens the well-being of families.

Our actions

The Human Capital Management Policy sets out the principle of advanced development of employees’ competencies and their continuous improvement.

Job descriptions, employee performance evaluations, and individual training plans determine the need for professional development. A supervisor may recommend or assign an employee to complete a specific training program depending on the need for skills that need to be improved to fulfill the tasks at hand. Employees are encouraged to be proactive and submit a training request to their supervisor. After approval under established procedures, the request is incorporated into the Personnel Training Plan. The effectiveness of every completed training is evaluated during the year-end employee performance assessment.

Training programs

In Russia, employee training sessions are held at least once every three years for all target groups and personnel categories, considering their specialization, work experience, and role in the Company’s development.

The following types of training are used:

  • Mandatory training (additional professional education) is provided for the purpose of vocational training or advanced training. It is the employer’s responsibility to organize this type of training. Employees are sent for training to various educational organizations. Mandatory programs also include training and certification of employees in occupational health and safety and are conducted both remotely and in person.
  • Corporate training is conducted as necessary in specialized educational organizations of higher education or in the Corporate Training Center (Astrakhan). The main purposes of this type of training are to improve employees’ qualifications or professional retraining, and to expand specialization in related areas. Training is conducted in different formats: seminars, practical courses, lectures, round tables, business games and others.
  • Trades. The vocational education of workers is provided on a permanent basis throughout an employee’s entire working life. Employees may be seconded to educational institutions, undergo training directly at the workplace, as well as through self-education. The purpose of professional training of employees at the workplace is to constantly keep their skill level up to date with changing industrial and social conditions.
  • Program for project teams. Basic and specialized courses are held for project teams as part of the Integrated Project Management System. In 2020, 400 employees received an opportunity to complete this type of training.
  • Internal trainers and mentors. The Institute of Corporate Trainers and the Institute of Mentoring are also elements of the overall training system. Internal business trainers actively work with filling station line personnel (operators and managers of filling stations) in Russia, based on the programs of the Corporate Competency Center.

Training is available for all target groups and personnel categories in Russia: managers, specialists, office clerks, workers, corporate employee pool, Group entities’ employee pool, “Mobile personnel”, young employees.

Employee training at LUKOIL Group entities
2018 2019 2020
Number of trained employees, people 74,684 78,026 80,119
Share of trained employees by position, %
• managers n/a n/a 15%
• specialists n/a n/a 27%
• workers and other employees n/a n/a 58%
Amount of training, person-courses, 243,467 258,728 584,621
including share of employee category, %
• managers n/a n/a 14%
• specialists n/a n/a 14%
• workers and other employees n/a n/a 72%
Average number of training hours per one trained employee, hours n/a 84 141
Average annual training costs per one trained employee, RUB n/a 12,548 9,266
Note.
Average number of training hours per one trained employee = Total number of hours of training events held at Russian and foreign entities divided by Total number of employees that received training in the reporting year. Average annual training costs per one trained employee = Total costs to train employees that received training in the reporting year divided by Total number of employees that received training in the reporting year.

Distance learning

In 2020, the total number of training hours using distance learning programs was about 7 million hours (in 2019: 2 million hours).

The largest part of training, including courses and programs on mastering new areas of knowledge and types of activity, as well as on acquiring modern competencies, is held in the Distance Learning System (DLS).

The main goal of the DLS is to ensure that employees have the level of knowledge required by the Company. This goal is achieved through training and communication, assessment, and testing. The DLS helps to effectively achieve large-scale training objectives, to test employee knowledge for compliance with corporate and statutory requirements, and to develop professional and managerial competencies, as well as to enhance the personal effectiveness skills of employees.

Employee training at LUKOIL Group entities in distance learning
2020
Scope of training, hours 6,963,587
Russian entities 6,886,936
Foreign entities 76,651
Scope of training, person-courses 470,355
Russian entities 461,644
Foreign entities 8,711
By employee category
managers 53,242
specialists 60,231
workers and other employees 356,882