Tools for improving the safety culture

Examples of good leadership are promoted as part of systematic work to improve the safety culture.

1. Leadership visits

Leadership safety visits are conducted at production facilities by the heads of organizations and PJSC LUKOIL. The participants of leadership visits give priority to issues related to workplace safety and demonstrate by example a commitment to safety.

2. Safety Days

An effective tool is Safety Days, which are held in each LUKOIL Group entity at least once every six months. Attendance is mandatory for key contractors.

The Company’s two-year experience of holding Safety Days has demonstrated that this event is an efective tool for exchanging experience and best practice in the feld of safety gained by the Company and its strategic contractors.

LUKOIL Group entities are constantly working with employees to improve safety in the workplace.

1. Notifying employees

Employees are promptly informed about the rules of safe behavior, as well as potential hazards and dangerous situations associated with production processes. Notification procedures are governed by the local regulations of LUKOIL Group entities.

Information about occupational health and safety is posted on the internal portal of the Company and is available to all employees. The Company has developed “Key Rules of Safety” when staying at facilities of LUKOIL Group entities, which are based on the analysis of LUKOIL Group’s long-term experience and industry experience in managing risks related to industrial, occupational and environmental safety, accident statistics, and the operational results of LUKOIL Group’s HSE Management System.

Failure by employees of LUKOIL Group entities (as well as other people staying at the Company’s facilities) to comply with the Key Rules of Safety constitutes a gross violation of workplace and shop-floor discipline.

2. Giving employees the right to refuse life-threatening work

Employees can report to their immediate superior or the head of the organization situations that pose a potential safety hazard.

Employees have the right to refuse to perform their duties if they consider it impossible to perform the work without endangering their lives or health. This right is enshrined in Clause 6.1.9 of the Agreement between the employer and the Trade Union of Public Joint-Stock Company “Oil company ‘LUKOIL’” for 2015–2020.

3. Familiarization of employees with the results of investigations into accidents

We thoroughly investigateInvestigations into HSE accidents at LUKOIL Group are performed in accordance with the following regulatory documents: STO LUKOIL 1.6.13 and STO LUKOIL 1.6.14. every accident, identify the causes, and analyze all circumstances in order to prevent the recurrence of similar accidents in the future. The circumstances and causes of each accident are communicated on a quarterly basis to LUKOIL Group entities in information letters.

Analyzing the causes of accidents and recording the lessons learned forms an important element within HSE risk management and forms part of improving the integrated management system. The results of investigations are used to plan and implement necessary incident prevention measures and/or to minimize potential damage in the event of similar accidents occurring.

4. Employee participation in improving the safety management system

Employees can take partThis issue is regulated by Section 6 "Health, Safety, and Environment" of the Agreement between the employer and the Trade Union of Public Joint-Stock Company “Oil company ‘LUKOIL’” for 2015–2020. in improving the HSE Management System through their authorized representatives for occupational health and safety, as well as through the activities of trade unions and joint committees (commissions) for occupational health and safety, and participation in Safety Days events.

The IATUO has an institute of technical labor inspectors which monitors the fulfillment of the Company's obligations set forth in the collective agreements of LUKOIL Group entities.

The Trade Union Organizations of IATUO of PJSC LUKOIL pay special attention to monitoring the quality of employee training in safe practices and working methods, compliance with safety requirements, the prevention of occupational injuries and illness, conditions of medical care, the provision of individual and collective protection, and other areas in order to strengthen the occupational safety culture.

The number of authorized occupational health and safety representatives who are members of the International Association of Trade Union Organizations of PJSC LUKOIL, people

Notes. 1) An authorized (designated) occupational health and safety representative is a person charged with representing the interests of employees. An authorized occupational health and safety representative may be a representative of a trade union or a labor collective. Authorized occupational health and safety representatives are members of the occupational health and safety committee (commission) of the Company. 2) In view of improvements in the production process at foreign entities and the development of the system for the public monitoring of employees’ labor conditions and safety, it was decided at employee meetings to reduce the number of authorized occupational health and safety representatives.