HR policy

Put into effect by Order dated 28 November 2017 No. 199.

Transneft, being a key element of the energy industry of the Russian Federation and securing final results of its activities, declares employees’ life and health, securing completing the entities of Transneft system with the staff of required number and quality, oriented to long-term labour relations and development of labour productivity, as its higher and permanent priority in personnel management.

Transneft, being fully aware of the scale and technological complexity of its activities, will conduct the works in such a way as to secure high level of the employees’ social security, at the same time achieving stable efficiency indices upon performing the tasks related to engaging and keeping qualified personnel.

Transneft’s obligations regarding personnel management are applied to all the business units of Transneft, the entities of Transneft system, and are included into Transneft’s system of business relations with state authorities, partners and other interested parties.

The principles of Transneft in personnel management:

• priority of the employee’s life and health against the result of industrial activities;
• securing safe functioning of Transneft’s trunk pipelines system by means of effective use of human resources;
• securing worthy living standards of the employees, their family members and pensioners;
• absolute compliance with the requirements of the Russian laws as regards personnel management;
• disclosure of significant information on the activities as regards personnel management.

The tasks of Transneft in personnel management:

• securing completing the entities of Transneft system with the qualified staff, taking into account long-term and medium-term plans of the trunk pipelines system development and maintenance of their stability;
• improving and increasing quality of training, retraining and further training of personnel in accordance with the RF (Russian Federation) laws, directions of the company’s strategic and innovative development;
• increasing elasticity of the financial and non-financial encouragement taking into account regional factors and the position of certain professional and qualification groups at labour market, securing competitive system of payment for labour;
• improving the system of labour efficiency management, including by means of implementing innovations, modern equipment and new technologies oriented to reducing work efforts.

Transneft intends to perform the tasks set in personnel management by means of implementation of the following activities:

1. In the sphere of securing completing the entities of Transneft system with the highly qualified staff and maintaining their stability:

• creating stable status of the “preferable employer” for both people working with the Company and those the Company wants to employ;
• developing corporate solidarity, strengthening psychologically comfortable atmosphere in the teams;
• planning personnel requirements for short-term, medium-term and long-term periods in accordance with the Company’s development plans;
• forming personnel reserve, performing vertical and horizontal staff turnover;
• timely making necessary corrections into the system of efficiency management, actively using moral encouragement of employees and teams for achievement of outstanding results;
• increasing mobility of human resources for quick transfer between the entities of Transneft system and projects in different regions;
• involving human resources of the presence regions of the entities of Transneft system.

2. In the sphere of improving quality of training, retraining and further training of personnel in accordance with the directions of the company’s strategic and innovative development:

• specifying the needs in training on the basis of promising dynamics of staff recruitment, taking into account territorial planning of training and implementation of investment projects;
• using unified programmes of additional professional education for the personnel in specialized educational organizations;
• improving relations with the specialized group of leading educational organizations at all the levels of professional education (secondary and higher), as well as forming the mechanisms of mutually beneficial cooperation with educational organizations of secondary general education (schools, lyceums etc.);
• forming corporate components of educational standards and requirements to educational programmes based on Transneft’s strategic and innovative development programmes;
• planning and conducting systemic training of top-qualification personnel (candidates of sciences) taking into account Transneft’s innovation and investment activities.

3. In the sphere of increasing elasticity of the financial and non-financial encouragement taking into account regional factors and the position of certain professional and qualification groups at labour market, securing competitive system of payment for labour:

• improving the system of payment for labour using differentiation of basic tariff rates (salaries) by labour complexity degree (tariff categories) and professional qualification groups depending on the degree of importance of the performed job functions and activities;
• creating for the employees of the entities of Transneft system conditions for residing at the places of their work activities, paying special attention to improvement of social infrastructure, including in areas with extreme natural climatic conditions;
• improving the system of non-state pension provision to the employees taking into account internal and external economic situation;
• improving the system of health protection, medical support and personal insurance of the employees;
• forming and developing corporate culture, strengthening relations between the teams of the entities of Transneft system, strengthening the institution of family.

4. In the sphere of improvement of the labour efficiency management system:

• optimizing production assets and technological processes;
• utomation of industrial business processes;
• securing bringing the personnel number standards into compliance with the changing organizational and technical conditions of the activities;

Transneft declares compliance with the provisions hereof as the guarantee for securing effectiveness of the Company’s activities, maintenance of high level of welfare of the Company’s employees, stable functioning and development of oil and petroleum products transportation in the Russian Federation.