Corporate Social Guarantees for Employees and Pensioners

Social Benefits And Guarantees

PJSC TATNEFT takes care of the welfare and social security of its employees and their families. The Company provides a package of the social benefits and guarantees to its employees. The commitments on their provision are envisaged in the Collective Agreement, which is annually concluded between PJSC TATNEFT and the workforce and covers all the employees and non-working pensioners of the Company.

The Collective Agreement provides for:

  • Incentives and guarantees to workers;
  • Social protection for young workers;
  • Support for veterans and pensioners.

The structure of the social benefits and guarantees is defined by Standard Collective Agreement of the TATNEFT Group of Companies, which is advisory rather than mandatory for all the Group’s entities.

In 2015 amendments were introduced and the amounts of payment were increased under the following items:

  • amount of pecuniary aid to workers retiring from employment;
  • a lump sum payment for the annual leave;
  • calculated rates of a one-time pecuniary aid to each parent-employee for each newborn or adopted child;
  • calculated rates of a one-time pecuniary aid to employees and pensioners, who reached the jubilee age;
  • pecuniary aid for funeral expenses to the worker’s (retired person’s) family;
  • amount of pecuniary aid to employees who are on leave for care of children between the ages of one and a half to three years old.


Occupational Safety And Health

The key criterion of the Company’s social responsibility is fulfillment of obligations on creation of safe working conditions.

Recognizing the priority of workers' lives and health over the results of production activities, the Company strives to reduce risks at the workplace, preventing accidents at work, achieving a high level of industrial safety and labor protection. These tasks are ensured by an integrated management system of industrial safety, occupational health and the environment, certified for compliance with the international standards ISO 14001: 2004 and OHSAS 18001:2007.

In accordance with the international standard OHSAS 18001 the Company implemented the "Program (action plan) of PJSC TATNEFT in the area of industrial and occupational safety to prevent injuries, reduce the risk of accidents and unplanned losses for 2013-2015", which aims at preservation of life and health, as well as improvement of working conditions, reduction of accidents, major industrial risks, improvement of the equipment operation safety, as well as improvement of the facilities’ fire protection condition. The amount of RUB 1.6 billion was spent for the purpose in 2015. A similar program was elaborated for the 2016-2018 period.

One of the priorities of the Company's management to create healthy and safe working conditions is to ensure that the workers are provided with protective clothing and other personal protection equipment. In the event of work in harmful or dangerous working conditions, as well as in case of the work carried out in special temperature conditions or the polluted environment the employees shall be provided with specialized clothes, footwear and other personal protection equipment, as well as required disinfectants in accordance with specified model rules.

The Company spent RUB 80.5 million in 2015 to provide the employees with personal protection equipment, while the amount of RUB 246 million was spent to provide required working clothes and footwear.



Traning And Development

The Company has unique conditions for training and development of all the personnel categories. Currently the Company has developed and successfully operates a system of vocational education in the Company, including training and retraining of workers, professionals, as well as senior and mid-level managers.

Training of workers is carried out at the non-governmental educational institution "TATNEFT’s Personnel Training Center” and its eight branches, possessing a modern material and technical base and vast learning experience. The Centre provides training in 307 professions from drilling to the stations’ servicing, including 140 professions supervised by Rostekhnadzor of Russia. Training and advance training of the professionals are carried out by specialized educational institutions of the region and in the Russian Federation.

The priority in the Company’s work is versatile and consistent training of the senior and middle level managers. Improvement of their skills is carried out in educational institutions with a high rating in the training sector of the oil and gas industry.

18,713 employees of the Company attended training and professional development courses in 2015. This number included 10,825 workers, 4,364 managers and 3,524 professionals and employees. The amount of RUB 160 million was spent for the purpose.



Improvment Of Living Conditions

Supporting the employees in improvement of living conditions is one of the most important areas of the PJSC TATNEFT’s social policy. In 2015, there were five residential houses commissioned in the cities of Almetyevsk, Leninogorsk, Bugulma, Aznakayevo, Nizhnekamsk and Nurlat for the workers of the TATNEFT Group of Companies under the social mortgage program. There were 1,118 apartments with the total area of ​​79.1 thousand square meters allocated for the employees of the Company. In order to support the employees participating in the mortgage program, the Company provides them with a one-time interest-free loan for 10 years to make an initial payment for the housing. Its amount ranges from 15 to 30% of the housing cost. The Company shall repay the loan allocated to the employee from the Company’s profit provided that the person continues working at PJSC TATNEFT. In 2015, the loan amount allocated to the employees of the structural divisions totaled RUB 130 million.

For the purpose of social support for young people 30% of apartments commissioned under the mortgage program are provided for young families. At the request of the young families the apartments are equipped with furniture, which cost is included in the cost of the housing



Improvment Of Living Cinditions

Rendering support to the employees to improve their living conditions is one of the most important areas of the PJSC TATNEFT’s social policy. In 2015, there were nine residential houses commissioned in Almetyevsk, Leninogorsk, Bugulma, Aznakayevo, Nizhnekamsk and Nurat for the employees of the TATNEFT Group Companies in the framework of the social mortgage program. There were 1,118 apartments with a total area of ​​79.1 thousand square meters allocated for the employees of the Company.

In order to support the employees participating in the mortgage program, the Company provides them with a one-time interest-free loan for 10 years to make an initial payment for housing. The amount of the money allocated ranges from 15 to 30% of the housing cost. There is a provision for repayment of the loan allocated to the employee from the profit of the Company, provided that the employee works at PJSC TATNEFT. In 2015, the total amount of loans allocated to the employees of the structural divisions amounted to RUB 130 million.

For the purpose of social support of the young workers, 30% of the apartments commissioned under the mortgage program were allocated to young families. At the request of the young families, the apartments are equipped with furniture, the cost of which is included in the cost of housing.



Non-State Pension Provision

Pursuing the purpose of social support for the retirees, the Company started implementation of a non-state pension provision program in 1997. The program provides an opportunity to the employees on an equal basis to form a pension capital, providing them with guarantees of a decent living standard in old age. The Regulation "On non-state pension provision" has set the rules, criteria and procedure for assignment of non-state pensions, as well as three main pension schemes.

The number of PJSC TATNEFT’s employees involved in the non-state pension provision program amounted to 39 thousand people in 2015 and more than 57 thousand people (including PJSC TATNEFT) at the Group of Companies. There are more than 19 thousand pensioners, who receive additional non-state pension.

The main partner of PJSC TATNEFT for implementation of the corporate pension program is the National Non-Governmental Pension Fund (NNPF).