Please, assess the influence of corporate culture, non-financial motivation, and social guarantees on the employees’ attitude to the Company.
In terms of social guarantees in addition to the ones provided for by the legislation, we can highlight voluntary health insurance, accident insurance, the non-governmental pension programme, and welfare assistance. Besides, a programme of granting interest-free housing loans, psychophysiological examination laboratory services, provision of corporate vehicles, subsidised meals in canteens, and etc. are available for employees of our branches. All these benefits are provided irrespective of an employee’s trade union membership. And we are not planning to cut any benefits of our employees.
We have several special non-financial motivation programmes for employees. They include sport projects like “Corporations Marathon” and various programmes aimed at promoting healthy lifestyle. For the second year in a row, we are holding #ЯЭНЕРГИЯ (“I am energy”) online marathon that allows employees of all plants to use services of a personal online trainer. Besides, large-scale parties for families and children were arranged in all branches and the Representative Office in Moscow in 2018.
The excellence and outstanding performance of Unipro PJSC employees that are traditionally highly valued by the Company management and rewarded by the Ministry of Energy of the Russian Federation speak volumes about the attitude to the Company. 122 employees of the Company received awards in 2018.
Please, describe the mandatory personnel training system. Employees of which trades must undergo it?
Mandatory training includes the following areas:
Training in new professions (sling operators, oxygen cutters, boiler house operators, power unit operators, etc.) should also be mentioned. For example, a new employee in BTS may first train for a position of a lineman, then — of an operator, then — of a senior operator, then — of a shift supervisor, etc.
What is the reason for such a considerable increase in the expenses for labour remuneration (+17%) with preservation of the personnel number?
In accordance with the provisions of the Long-Term Senior Managers Incentive Programme, payment for 2015–2017 was made in 2018. This is a one-off payment. Besides, the indexation and review of salaries of all workers of the Company resulted in a 17% growth of wages in 2018.
What is the role of youth associations in the Company?
Work with the youth is one of the most important tasks for our business. In fact, members of a youth association today are potential future leaders of Unipro PJSC.
Within such associations, young experts hone their personal and professional skills, such as leadership, efficient team-building, and project management. It is also important that these associations constitute an additional tool for development of the programme to ensure succession in the Company’s candidates pool.
Youth associations’ projects selection and implementation thereof are closely related to the Company’s strategy and mission, which has a positive impact on the Company’s image among employees and positioning of Unipro PJSC as an employer in the external labour market in the regions of operation.
Obviously, employees are the Company’s essential asset. Business development fully depends on the professionalism, high responsibility, and good practices of the employees. Unipro PJSC power facilities employ professionals with vast production experience and extensive engineering expertise.
The Company’s management strives to use the entire potential and competences of its employees as much as possible by creating comfortable working conditions, providing them with continuous professional and personal development opportunities, and taking care of their health and safety.
The Company’s staff management system covers a set of HR issues concerning all categories of employees — from workers and specialists to managers. The Company’s activities in this area are governed by a set of bylaws that ensure the transparency and impartiality of HR decisions.
Fair compensation
Employee growth and development opportunities
Effective organisational set-up and processes
Development of a succession pool
Promotion of the corporate culture and social partnerships
In 2018, Unipro PJSC had 4,336 employees.
Yaivinskaya GRES
Surgutskaya GRES-2
Berezovskaya GRES
Shaturskaya GRES
Smolenskaya GRES
One of the Company’s top priorities is to create a balanced team in terms of gender and age. This approach will enable the Company to ensure the continuity of personnel and in-house well-being and preserve and pass professional experience.
Unipro PJSC ensures equal rights for men and women in terms of employment, promotion and social benefits. A larger share of males in the headcount is due to the peculiarities of the Company’s business.
2016 |
2017 |
2018 |
|
Moscow Representative Office |
22.6 |
9.1 |
10.5 |
Berezovskaya GRES |
17.5 |
17.5 |
11.0 |
Smolenskaya GRES |
9.0 |
9.9 |
10.1 |
Surgutskaya GRES-2 |
6.6 |
7.6 |
7.9 |
Shaturskaya GRES |
4.8 |
5.2 |
6.1 |
Yaivinskaya GRES |
7.5 |
11.3 |
9.2 |
Unipro PJSC, total |
10.0 |
10.3 |
8.8 |
In 2018, HR costs amounted to 75% of the Company’s controlled expenses.
The professional development of Unipro PJSC employees is based on high-quality and advanced training for employees.
In 2018, the priority areas in employees’ professional potential development were as follows:
Mandatory Training
Mandatory training enables the employees to develop and test their knowledge regarding their job duties, get ready for the staff performance review and upgrade their skills.
“Succession Pool Management” Programme
The programme was launched in 2014 and provides for the evaluation of participants by means of tests, interviews, and evaluation centres involving follow-up feedback and development of personal development plans.
The objective of the programme is to bring up successors for the key positions.
Training in accordance with the requirements of state standards and rules |
Short-term training |
Further training (at least once every 5 years) |
Retraining |
Total (by branch) |
|
Moscow Representative Office |
98 |
177 |
58 |
0 |
333 |
Berezovskaya GRES |
1,060 |
127 |
49 |
28 |
1,264 |
Smolenskaya GRES |
373 |
39 |
47 |
13 |
472 |
Surgutskaya GRES-2 |
571 |
233 |
193 |
1 |
998 |
Shaturskaya GRES |
573 |
174 |
120 |
50 |
917 |
Yaivinskaya GRES |
188 |
102 |
88 |
7 |
385 |
Total (by type of training) |
2,863 |
852 |
555 |
99 |
4,369 |
In 2018, 210 new participants were evaluated. The percentage of programme participants appointed to key positions in the Company is growing: 81% in 2018 (in 2017 — 70% in 2017 and 58% in 2015–2016. The “High Potential” rating was assigned to over 80% of submitted personal development plans.
“Unipro Leader” Programme
“Unipro Leader” is the basic modular training programme for managers at different levels, both for the Moscow Representative Office and for the branches.
In 2018, the following programme modules were used to train:
The Production unit launched the corporate MBA programme “Operational Excellence in the Digital Age”, 16 managers of Unipro PJSC are taking part in the programme.
“360 Degrees Feedback” Programme
The programme is based on the “Unipro Path” concept imperatives and forms part of the Company’s corporate culture (details).
The programme participants receive feedback from their superiors, colleagues and subordinates through an online system, and later on identify the areas for improvement jointly with an HR representative of and the immediate superior.
In 2018, the programme was administered to 145 employees, including 38 managers of the Moscow Representative Office.
Professional Excellence Contests
In the reporting year, composite teams of CCGT operating personnel from Surgutskaya GRES-2, Yaivinskaya GRES and Shaturskaya GRES took part in the contests.
It was the first time that the participants used the computerised simulator and analytical complex of Power Unit 410 MW CCGT Siemens with SPPA-T-3000 DCS. Based on the outcomes of the contest, the staff of Yaivinskaya GRES was included in the quarterly simulator training.
In 2019, the contest organisers are planning to hold joint contests for composite teams of CCGT and STU operating personnel.
Upgrading Skills of the Training Programme Instructors
“Group Management Methodology” programmes were administered to the engineering instructors covering 140 employees. An instructor evaluation form has been developed and is currently used for feedback purposes.
The courses on TOP-5+ special areas were equally incorporated in the engineering training.
Alongside with the programmes mentioned above that have already become traditional for Unipro PJSC, the Company implemented a number of other training projects for its functions in the reporting year:
Branch |
Height/scaffolds |
Electrical installations |
Confined space |
Hoisting devices |
Hot works |
Total |
|
Berezovskaya GRES |
individual |
130 |
52 |
163 |
9 |
99 |
453 |
group participants |
9 |
5 |
12 |
1 |
9 |
36 |
|
Surgutskaya GRES-2 |
individual |
181 |
332 |
255 |
61 |
143 |
972 |
group participants |
6 |
10 |
9 |
3 |
4 |
32 |
|
Yaivinskaya GRES |
individual |
164 |
86 |
66 |
41 |
40 |
397 |
group participants |
22 |
13 |
8 |
4 |
3 |
50 |
|
Shaturskaya GRES |
individual |
226 |
117 |
229 |
242 |
158 |
972 |
group participants |
37 |
18 |
29 |
42 |
23 |
149 |
|
Smolenskaya GRES |
individual |
116 |
35 |
53 |
12 |
60 |
276 |
group participants |
20 |
7 |
9 |
3 |
10 |
49 |
|
Total (by type |
817 |
622 |
766 |
365 |
500 |
3,070 |
Transparent and honest relations with employees lay at the basis of Unipro PJSC HR policy.
Fair remuneration, growth and development opportunities, and social partnership require mutual respect and consideration of each other’s interests between the Company employees and management, as well as compliance with the laws and other regulations by the parties.
Financial Incentives
The principal regulatory instruments of Unipro PJSC governing the relations between the employer and the employees are the Collective Bargaining Agreements of the Company branches (renewed for 2018–2020) and Compensation and Benefits Regulations. These documents have been developed based on the Labour Code of the Russian Federation subject to the principles of social and labour relationship regulation and regional peculiarities of the Company branches.
Unipro PJSC employees’ salary comprises a fixed and a variable part. The fixed part is set depending on the employee’s qualification and position, while bonuses and incentives are paid depending on specific performance.
The Company’s reward system is shaped around the “performance-based payment” principle. Employees’ bonuses are directly dependent on the accomplishment of specific tasks in securing the predetermined key performance indicators (KPI). These indicators are set for all employees at all levels, including the Chief Executive Officer, and depend on the position.
Payroll expenses account for 80% of the total HR costs.
Payroll expenses include all expenses associated with the payment of salaries, with due regard to estimated liabilities. At year-end 2018, the Company’s expenses associated with the payment of salaries increased by 16% as compared to 2017 and amounted to RUB 5,717 mln (60% of the Company’s controlled expenses).
share of payroll expenses in the total HR costs
Individual indicators/targets are set for Headquarters' employees and for the management and directors of the branches on an annual basis and fixed in the performance management forms. The forms are used to evaluate the employees’ performance during the reporting year and the outcomes of this evaluation determine the bonus amount to be paid and revision of the salary for the current year subject to achievement of the key financial indicators.
SMART principles are used to set the KPI. This approach makes the system transparent and comprehensible, as it enables the employee and his/her superior to set priority tasks, outline evaluation criteria and timeframe, and therefore, rule out the risk of partiality in evaluating targets in the future. When the employee realises that there is a direct correlation between his/her performance and the amount of the bonus payable thereto, this serves as a powerful incentive ensuring the precision and transparency of the system, and ultimately a fair remuneration.
The Company monitors the regional labour markets on an ongoing basis, including by taking part in the salary overviews conducted by major global independent companies (including E&Y, PWC, Hay Group, etc.).
Overall, the employees’ average salary is similar to salaries paid by companies of the same sector in respective regions of the branches.
Employees’ official salaries are subject to indexation and may also be increased depending on the employee’s KPI in the relevant period within the limits of the payroll budget. The higher the scores of the performance evaluation secured by the employee in the past year, the higher his/her salary in the next (following) year.
The salary revision principles are as follows:
This approach to measuring salaries provides each individual employee with a clear idea of the matters within his/her responsibility area and of the things he/she needs to do to secure a high evaluation of his/her performance and, consequently, a higher salary and enables the Company recruit and retain top-end professionals.
Thus, in 2018, 12 executive-level employees of Unipro PJSC got promotions.
Function |
Number of transfers |
Moscow Representative Office |
4 |
Berezovskaya GRES |
3 |
Smolenskaya GRES |
0 |
Surgutskaya GRES-2 |
2 |
Shaturskaya GRES |
2 |
Yaivinskaya GRES |
1 |
Total, Unipro PJSC |
12 |
Non-Financial Incentives
Unipro PJSC gives a lot of attention to non-financial motivation of its employees. The Company has a friendly corporate culture and an atmosphere of appreciation, care and recognition of everyone’s achievements.
Traditionally, the Company management highly values the excellence and outstanding performance of Unipro PJSC employees who are also rewarded by the Ministry of Energy of the Russian Federation for their achievements. In 2018, 9 employees of Unipro PJSC earned the relevant awards.
In addition, 113 employees earned Unipro PJSC awards: 50 Certificates of Excellence and 63 Letters of Appreciation.
In the reporting year, the promotion of the “Unipro Path” value imperatives was attested by a number of activities and dedicated incentive programmes for the Company employees.
“Power of Success” Contest
The “Power of Success” contest forms part of the comprehensive incentive programme for employees. The contest is intended to reward and encourage the achievements associated with improvement of performance indicators and strengthening of social and environmental responsibility. In 2018, the contest received 122 applications and featured 89 projects in four categories: “Improvement and Innovations”, “Safety First”, “Business and the Environment”, “Our Place in the Society. Social Responsibility”.
“Agents of Change” Project
Fostering a healthy lifestyle culture is continuously among the Company’s staff management priorities. The “Agents of Change” project launched in 2017 is aimed at bringing up leaders of sports projects.
In 2018, everyone interested sent their ideas about organising and promoting the Company’s recreational activities. The authors of the best proposals were invited to take part in the “Change Life by Doing Sports” transformation programme in Moscow sponsored by Adidas Academy. This is an unparalleled programme that provides people with an opportunity to take a new look at their lives, get inspiration for the new victories, and build successful relations with other people.
Olga Kornelzen,
Head of Legal Affairs and the Property Management Division, Yaivinskaya GRES
I enjoy working in a team of people who devote a significant part of their lives to sports, are not afraid to pursue ambitious goals, and prove their words with deeds.
The Perm international marathon was held for the second time and it was the second time that my colleagues and I took part together. The race offers different distances for different age and fitness groups: 42.2 km, 21.1 km, as well as 10.5 km and 3 km. Over 8 thousand people from 13 countries took part in the race!
It is an incredible feeling to stand at the starting line shoulder to shoulder with renowned athletes, world champions and world cup series winners. But this is not the most important thing: it is absolutely incredible to see a person over 80 years old crossing the finishing line who has completed the marathon.
This year, we chose a 10 km distance and did a pretty good job. Compared to last year, I improved my time by 2 minutes, which I was very happy with. However, I want to keep improving and I hope I will be able to run a half-marathon one day. My track and field colleagues and I have another important goal: increase the number of participants representing Yaivinskaya GRES and get more people to sign up for the marathon with the Unipro team in the future. We are already working on this.
“Corporations’ Race” Event
In August 2018, the newly created Unipro PJSC team took part in the “Corporations’ Race” family sporting event which is the world’s best live corporate activity in the open air according to Eventex award.
The Company’s team demonstrated a decent performance and one of the employees earned a bronze medal in the adult 2 km race.
Employees’ kids took part in the “pre-walker races”, “child races” and fitness workouts.
“Vigorous Morning” Programme
In 2018, the employees of the Headquarters on Presnenskaya Embankment were provided with an opportunity to do yoga and weight training before the beginning of the working day. Thus, Unipro PJSC is helping the employees who are already trying to live a healthy lifestyle, and yet unable to do sports during the workweek due to a high workload and distance from home to work.
#ЯЭНЕРГИЯ Online Marathon
In 2018, the Company held the second season of #ЯЭНЕРГИЯ Online Marathon. This is the key project for building the healthy lifestyle culture implemented under the thematic programmes of employee involvement.
#ЯЭНЕРГИЯ comprises 28 days of fitness activities and healthy eating under the supervision of experienced coaches and nutrition specialists. In 2017, 516 employees of power plants took part in the marathon and by late 2018, their number reached 839.
In the reporting year, the “Joyful Family” programmes for the whole family and the “Power of Yoga” activities for the fans of static loads were added to the online marathon.
Family and Children Parties
The traditions of family recreation are particularly valued by Unipro PJSC. Thanks to the opportunity to take part in joint parties and activities, the Company employees can both demonstrate their creative and athletic talents and socialise with colleagues in an informal setting on the one hand, and have some extra time with their families on the other.
In 2018, this kind of parties for employees and their children were held in all the branches and in Unipro PJSC Representative Office in Moscow.
In the fall, Moscow hosted family sports days, flash mobs and team races on handmade race cars. The New Year for the Headquarters employees’ children was very exciting: the kids were able to come to their mom's and dad's job, get a bird’s eye view of Moscow (Floor 43), make presents for their dear ones with their own hands, have fun and get lots of positive emotions.
The representatives of Yaivinskaya GRES had an opportunity to celebrate a traditional Russian holiday, namely the Day of Family, Love and Fidelity. They took part in a variety of contests and activities held on the square in the very heart of the village, including "Stroller Parade”, “Baking Duel”, a doll-making master class, a well-thought concert programme and other entertainments for children. In November, the most proactive and sporting families took part in the traditional family sports days.
Shaturskaya GRES organised the “Power of Family” sporting competitions in the premises of the local sports palace and the “Myth Busters” family event in the municipal park.
The organisers and heroes of the sporting event held by Berezovskaya GRES were the employees who represented the branch in a variety of athletic competitions in ping-pong, track and field, volleyball, indoor soccer, swimming and cross-country skiing throughout the year.
In May, Surgutskaya GRES-2 held the traditional “Mom, Dad and I Are a Sporting Family” relay race, in September – the “Uniproshka and Traffic Rules” sessions intended to teach traffic rules to children while playing, and in November – the “Unipro Path” contest of children’s drawings.
Unipro PJSC continuously prioritises interaction with young specialists. In 2018, the Company proceeded with the implementation of its project intended to promote youth associations.
The key objectives of developing the youth associations in 2018 were as follows:
In June 2018, Smolensk hosted the second annual forum of youth associations that included the following activities:
young specialists from 5 branches took part in the “Personal Performance Improvement Tools” training programme
Furthermore, the Company particularly prioritises recruitment of the best young specialists who may be appointed to the key executive positions and manage the Company’s business in the future.
In 2018, as part of the comprehensive youth, students and young specialists management programme, Unipro PJSC secured the following results:
On 20 November 2018, the Kutafin Moscow State Law University (MSAL) held a practical lecture for students involving Unipro PJSC (Uniper International Energy Group) and White & Case (law firm).
Competent lawyers under the supervision of Elena Gabdulkhaeva, Director for Corporate Management, Legal and Property Affairs at Unipro PJSC, and Anton Vasin, Attorney-at-Law, Senior Counsel at White & Case, shared their personal experience and practical insights concerning the approaches to the study of mandatory and optional subjects, internships and employment with the students.
The speakers advised the students on the choice of a specialisation area. Among multiple other things, the discussion was devoted to communications in the academic and professional environment, ways to combine studies and work and development of soft skills.
Unipro PJSC provides its employees with a full social package stipulated by the law, but not limited thereto.
The benefits, including voluntary health insurance (VHI) and personal accident and sickness insurance, the sickness benefit and financial aid are granted to all employees at the primary working place.
The Company strives both to provide its employees with stability and development at present, and to ensure a comparable quality of life in the future after they retire. The Company's non-state pension system (NPS) was implemented in 2005 and comprises two basic pension schemes: corporate and parity.
The corporate scheme represents a variation of the non-state pension scheme when the employee retiring due to old age receives money transferred by the Company to such employee’s account with a non-state pension fund (NPF) from this NPF. The amount transferred to the NPF depends on the employee’s official salary and length of service with the Company.
Participation in the parity scheme enables the employees to have a major influence on their future pension amount. The programme is based on the joint involvement of the Company and its employees (co-financing in equal shares on a monthly basis) in the savings for the payment of a supplementary non-state pension benefit.
In 2019, Unipro PJSC will continue to engage its employees in the parity pension scheme.
Unipro PJSC employees participated in the parity scheme in 2018
In 2018, with a view to contributing to housing improvements, Unipro PJSC Management Board approved the lists of 50 employees who were offered to make agreements for the provision of an interest-free target loan for the purchase (construction) of housing accommodations and for the repayment of the principal on the mortgage loan.
The categories of employees enjoying the priority right are as follows: