Industrial safety and labor protection

Labour protection is one of the essential aspects of industry, especially in case of the technologically sophisticated ore mining and smelting. The Company is guided by the OJSC MMC Norilsk Nickel Industrial Safety and Labour Protection Policy. Approved by the Board in 2008, it proclaims the principle of workers’ life and health priority to production targets. Safe and wholesome labour conditions are the Company’s goals. Reciprocally, such conditions depend no less on employees’ responsible attitudes to production and their own safety.

Labour protection in the Company is subordinate directly to the Department of Industrial Safety and Labour Protection. In 2009, Norilsk Nickel also established the Industrial Injury Prevention Committee under the Company First Deputy Director-General. To reduce the on-the-job injury rate is its primary goal.

Alongside planned events, the Committee also arranges video conferences and meetings on industrial sites, where branch and enterprise CEOs report on measures to reduce occupational trauma and improve labour conditions and protection. Such meetings also discuss initiatives on streamlining labour protection and industrial safety management.

Experts of the Department of Industrial Safety and Labour Protection supervise the implementation of Committee decisions to improve the acting safety systems.

During the year, the Group enterprises went through six audits checking occupational safety and labour protection (SUPBiOT). The results were discussed with the relevant enterprise managers. Recommendations to improve the existing standards were made for the managerial staff. Audit protocols are available on the SUPBiOT Documents corporate database.

Cross audits held in 2013 involved Company experts from Moscow, Norilsk and the Kola Peninsula. Representatives from the Zapolyarny Branch and the Kola MMC also took part. Led by Committee members, the auditing commissions analysed conveyor transport safety at the Company enterprises, safety inspections’ work and accident prevention measures. The audits were summarised at Committee meetings and managerial conferences, with the Zapolyarny Branch and the Kola MMC represented.

The Russian-based Group enterprises possess a multi-level system of industrial safety and labour protection monitoring and control.

The primary level concerns workplaces, monitored by foremen with the participation of labour inspectors. The second and higher levels are monitored by shop and enterprise safety and labour protection commissions, representing workers and the managerial staff.

These commissions made over 35,000 checks in 2013, compared to over 30,000 the year before. Emergency and comprehensive checkups of the occupational safety and labour protection system, its state and control were carried out. The CEOs, head experts and enterprise and shop commissions also conducted targeted checks. Employees who violated safety rules were reprimanded and their bonuses cut.

The Russian-based Group enterprises took 670 measures to enhance occupational safety and improve labour conditions, including the maintenance of buildings, equipment, machinery, engineering communication lines, and ventilation and aspiration systems. The measures cost the Group 4.1 billion roubles, MMC Norilsk Nickel accounting for 2.1 billion of this. Per capita expenditures were 51,000 and 79,000 roubles, respectively.

New transport vehicles reduced noises and vibrations and improved the microclimate to upgrade drivers’ labour conditions. Industrial area air pollution was reduced, and the microclimate and ventilation improved. New automatically blocked equipment graphically enhanced safety. Building maintenance was funded generously.

The Zapolyarny Branch continued in 2013 its work to enhance the fire safety of mines, industrial buildings, housing and amenities. The Oktyabrsky, Komsomolsky and Mayak mines received automated methane monitoring systems. Automated fire extinguishers were installed at the Taimyrsky mine, the Copper Factory, the Norilsk Railroad and other projects.

В отчетном году на российских предприятиях Группы было реализовано более 670 мероприятий, направленных на улучшение условий и охрану труда. В их числе работы по поддержанию в исправном состоянии зданий и сооружений, оборудования, машин и механизмов, инженерных коммуникаций, систем вентиляции, и аспирации. Затраты на реализацию данных мероприятий составили по Группе около 4,1 млрд рублей, в том числе по ОАО ГМК «Норильский никель» – более 2,1 млрд рублей. В пересчете на 1 работника затраты на мероприятия по охране труда в 2013 году составили по Группе более 51 тыс. рублей, по ОАО ГМК «Норильский никель» – более 79 тыс. рублей.

В результате приобретения новой транспортной техники за счет снижения уровня вредных производственных факторов (шум, вибрация) и улучшения микроклимата улучшены условия труда водителей. Были проведены мероприятия по снижению выделения вредных веществ в воздух рабочих зон, улучшению воздухообмена, состояния воздушной среды и микроклимата. Новое оборудование по своим характеристикам позволило повысить безопасность за счет наличия автоматических блокирующих устройств. Значительная часть расходов пришлась на поддержание в исправном состоянии зданий и сооружений.

В 2013 году продолжились работы по обеспечению пожарной безопасности объектов минерально-сырьевого комплекса Заполярного филиала, производственных и бытовых объектов. Была внедрена автоматизированная система контроля метана на рудниках «Октябрьский», «Комсомольский» и «Маяк», автоматическими системами пожаротушения оснащены рудник «Таймырский», цеха Медного завода, помещения Норильской железной дороги и др.

The Russian-based Group enterprises began and/or continued workplace assessment according to labour conditions in 2013. Assessments were carried out at the Zapolarny, Zapolarny Transport, Murmansk Transport and Krasnoyarsk Transport branches, at the Kola MMC, Pechengastroi, Norilsk-Taimyr Energy Company and elsewhere.

The assessment involved 10,000 workplaces and 14,700 employees, and cost the Group 15.7 million roubles. Of this, MMC Norilsk Nickel spent 5.4 million roubles.

Personnel instruction and assessment involved about 19,000 Russian Group employees in 2013, including 11,900 managers and experts and over 500 labour protection inspectors. 4,500 employees, including 198 inspectors, underwent instruction at MMC Norilsk Nickel. The Group increased instruction funding to 30 million roubles – 380 roubles per capita for the Group and 270 roubles for Norilsk Nickel. 1,645 overseas enterprise employees, including 202 managers and experts, also underwent occupational safety and labour protection instruction.

Every Zapolyarny Branch subdivision, the Zapolyarny transport branch, and many Norilsk Nickel enterprises have joint labour protection commissions, committees or councils with equal employer/employee representation. The Russian-based Group enterprises have elected 1,600 labour protection commissioners, including 795 at Norilsk Nickel. They made over 25,000 checks in 2013, compared to over 23,000 in 2012, and filed over 9,000 proposals to improve occupational safety and labour protection. The commissions reprimanded over 7,500 employees violating safety rules.

The Company actively practices labour protection incentives. Lump sum 42 million rouble bonuses were paid to 7,400 employees for the greatest decrease in industrial trauma in 2013. A part of the sum came from bonuses of which safety rule breakers were deprived.

Norilsk has a harsh climate adding to adverse production conditions, which demand carefully selected personal protective equipment. All Group employees receive a protective suit, safety shoes, a set of other PPE, disinfectants and decontaminating agents complying with the world quality and safety standards and with industrial norms.

The Russian-based Group enterprises spent 1.2 billion roubles on PPE in 2013. Norilsk Nickel accounted for 534.7 million. Per capita PPE expenditures were 16,100 roubles for the Group and 21,000 for Norilsk Nickel.

Leading Russian and foreign PPE manufacturers presented innovative items, the latest knowhow and sophisticated technology at the 17th Safety and Labour Protection international specialised exhibition in Moscow. The exhibition was accompanied by the Health and Safety 2013 contest for the best innovative concept of labour safety. The jury noted Russian-manufactured PPE made on Kola MMC order – a gas mask, a miner’s belt with an accumulator pouch and a cable attached, and a modernised escape apparatus. The equipment has gone through tests with honor and will be used by miners in 2014.

Regular health screening of workers employed on hazardous jobs, in heavy manual operations, underground works and in heavy traffic areas allows detect occupational diseases at an early stage. A worker undergoes a preliminary examination when hired. Workers below 21 years of age undergo screening every year.

The Russian-based Group enterprises increased health screening expenditures in 2013 to 291 million roubles, the Norilsk Nickel share being 102 million. Per capita expenditures were 3,600 roubles for the Group and 3,800 for MMC Norilsk Nickel.

The Russian-based Group enterprises’ expenditures to supply the staff with medicines, vitamins and first aid kits were 18 million roubles in 2013, of which Norilsk Nickel accounted for 5 million.

The staff of the African-based Group branches (in Botswana and South Africa) is entitled to social consultations concerning their physical and mental health, with a focus on detecting HIV/AIDS and TB cases. They also receive psychological assistance and consultations concerning injuries, termination on health grounds, and other issues. 400-450 consultations are provided every month. TatiNickel personnel accounts for two-thirds of these, with the rest going to subcontractor companies.

Nkomati Co has also implemented initiatives to reduce the HIV/AIDS rate and monitor its effects. The newly launched Personnel Welfare Strategy includes programmes to combat HIV/AIDS, the support of company workers, and the organisation of their catering. All personnel take part in healthcare programmes on a mandatory basis, and HIV/AIDS are entitled to free anti-retroviral treatment at local medical centres. Treatment after possible exposure to HIV can be obtained within 72 hours. The labour protection and occupational safety service at industrial sites offers workers consultations and voluntary medical testing. Consulting experts and educationists attend monthly meetings of the Healthcare and Welfare Committee, of which Company managers and trade union activists are members.

The industrial accident rate steadily reduced throughout 2013 at the principal Russian-based production sites. There is major improvement in the Zapolyarny Branch – a 40% decrease within five years, and in Norilsk Nickel – a 30% decrease from 2009 to 2013, from 50 instances to 34. Conversely, there was only a slight reduction at the Kola Ore MIning Company. Overall, the number of injuries went down from 117 to 106 at the Russian-based Group enterprises.

The number of serious injuries for the same period of time went down slightly at Norilsk Nickel, decreased in the Zapolyarny Branch from 10 to 7, stayed unchanged (4) in the Kola MCC, and saw a token reduction (23 to 22) across the entire Group. The number of fatal injuries went up in the Group from 8 to 12.

Injury and occupational disease compensation at MMC Norilsk Nickel and the Group enterprises totalled to 42.7 million roubles.

The accident occurrence factor (number of injuries per 1,000 workers) has been steadily decreasing over the past five years at the basic Russian enterprises and remains much lower than the national and industrial average. The number of sick days due to injuries decreased by 20% at Kola MMC, while increasing at other enterprises – particularly, by 13% at the Norilsk Nickel Group. The Group has set itself a goal for 2014 to prevent all fatal accidents and reduce general trauma by 20%.