Safety and health
GRI 103-2, 103-3 SDG 16.1
16 The target “Safe Behavior Index (SBI) greater than 90% for all units and subsidiaries Base Year: 2014” was withdrawn and excluded. GRI 102-48
Safety is our greatest asset. That is why we spare no effort to guarantee the safety of our employees, whether our own or outsourced. We aspire to strengthen a safety culture each and every day, one that does not tolerate non-compliance, is not silent in correcting risk behaviors, is in step with the planning of activities, ensures the implementation of risk controls, encourages the reporting of unsafe conditions and assures that they are corrected, and also deliberates in advance about the dangers and risks that the activities represent. SDG 8.8
The safety targets in 2018 were designed to eliminate fatalities, reduce the severity and number of accidents and raise the safety culture standards at all of our units, especially Peru’s operations.
We have a strong leadership team engaged in all aspects of safety, with weekly scheduled encounters to deal with issues related to the subject and meetings on Mondays with the CEO. The meetings of the Board of Directors also set aside time slots for discussions of safety-related matters, with a quarterly evaluation of the indicators and planning options developed for the following quarter.
The leaders assist in maintaining employees’ perceptions of the hazards of their work environment through the Daily Safety Dialogues (DSD) and managerial inspections (processes reviewed in 2018) in operational areas and through other management safety tools.
The risks of the activities are surveyed and control measures are implemented, which may be engineering (such as the need to install physical barriers), procedural (written standards, work rules that guarantee safety) or related to personal or collective protection equipment. For outsourced workers, the survey is conducted in conjunction with the outsourced companies’ managers and safety teams. GRI 403-2
As a result of the actions undertaken, no fatalities were registered, we stabilized both our accident frequency rates (with and without lost time) and enhanced our performance vis-à-vis the atypical year of 2017.
Our Accident Frequency Rate (AFR) was 2.23, covering accidents with and without lost time involving our own and outsourced employees, compared to 2.46 in 2017. The Accident Severity Rate (ASR) was 77, a significant improvement over the mark of 1,384 recorded in the previous year.
Accident Frequency Rate
In 2018, we adopted the Nexa Internal Rate indicator, which combines the results of the Accident Frequency Rate (AFR) and the Severity Rate (ASR). This indicator offers a complete snapshot of our safety performance. The indicator makes it possible to recognize the units and businesses that are aligned with our safety objectives as we work to improve results in terms of the frequency and severity of accidents.
This safety indicator also is one of the items that make up the variable compensation calculation for operational managers and professionals, the CEO and all executive directors, general managers and corporate area managers. In addition, in case of fatalities, sanctions are applied to the executives in the form of reduction of points to reach the annual goal.
Safety initiatives GRI 403-5 SDG 16.1
To extend everyone’s commitment to a safer operation, the Occupational Health and Safety and Communications and Institutional Relations areas launched a special program: “Do it for yourself; do it for your colleagues; do it for those who are waiting for you at home.” The project is aimed at both our own and outsourced employees. It seeks to stimulate a sense of pro-activism by each employee as a change agent for doing what is right, pursuant to the necessary controls and recommended procedures (do it for you); to generate a culture for collective accident prevention and mutual protection of colleagues (do it for your colleagues); and to make employees aware of the importance of those with whom you live (do it for the ones who are waiting for you at home).
One of the actions was a photo contest, to amusingly reinforce the importance of family, a motivational activity for putting safe behavior into practice in our organization.
Over the past few years, we have continued to implement and enforce the Golden Rules, which consist of 12 safety maxims that must never be broken, such as seatbelt use, restrictions on cell phone use and prohibition of working under the influence of alcohol and drugs. These standards are key components of our safety processes.
Golden rules SDG 3.5, 3.9, 8.8
We have adopted 12 golden rules to ensure the safety of our own and outsourced employees, which are based on critical risk standards and other company safety management tools. Failure to comply with any rule may lead to a warning, suspension or even dismissal. The identification of non-compliance with a rule goes through a structured process, with evidence gathering, evaluation and penalty, if applicable.
1. Work at heights requires a fall prevention system and anchoring point
2. Blocking and isolation of power supply for maintenance and cleaning of machines
3. Confined space work performed only by trained and authorized professionals
4. Obligation to use a safety belt for the operation of light vehicles and mobile equipment. Prohibition of cell phone use while driving and respect of speed limits
5. Prohibiting the use of alcohol and drugs on the premises or when working
6. Necessary formal inspection that proves the absence of loose rocks for entry into mining and development work fronts
7. Suspended loads must be inspected, in compliance and released in accordance with the indicated procedures, and the operating area must be isolated or alarm sounded
8. Machine protection can be removed only when equipment is blocked and in a zero energized state
9. Dangerous chemical substances may be handled only with the use of PPEs
10. Every accident must be reported irrespective of its severity
11. Work authorization is required for activities involving critical safety hazards
12. A prior formal risk assessment must be conducted prior to performing any activity
Peru Safety Plan
Throughout 2018, we advanced and improved the Peru Safety Plan, which is 80% implemented. It consists of eight pillars, 30 projects, 244 initiatives and directly involved 86 persons. The pillars are as follows: Leadership training and awareness; Strengthening of the occupational health and safety team structure; Implementation of the Outsourcing Management Program (Programa Gestão de Terceiros); Improvement of wellness and work regime conditions in the units; Standardization of processes and procedures and improvements in Peru’s mining units contingency plans. Team training and awareness; Synergy with Digital Mining’s actions measures, focusing on Safety; Industrial Automation Master Plan (PDAI), to support risk mitigation. For 2019, actions are planned related to infrastructure and technology.
of the plan implemented
Safe Behavior Program (Programa Comportamento Seguro)
Employees help each other through a network for observation and feedback meetings regarding group behavior. All of them also receive training focused on safety awareness in the workplace environment.
Strengthening Alliances (Fortalecendo Alianças)
The program is designed to establish a clear commitment to what is expected of each individual regarding safety, creating a cycle of evaluation from the established agreements. It calls for the eradication of permissiveness, a change of posture, greater team knowledge, closer proximity between leaders and the led, enhanced monitoring of field activities.
Through individual approaches, the behaviors observed and addressed by leaders are registered, formalizing information for the future evaluation cycle and consequences management. The Daily Safety Dialogues are used to develop leadership and share knowledge.
Each unit has set up a committee to oversee the program, chaired by the general manager. It is responsible for providing strategic direction and promoting visible engagement at all managing levels, assigning fatality prevention responsibilities, discussing the indicators in its meetings with leaders and providing resources needed to resolve situations identified in the program.
The general manager is assisted by the program’s guardian, who is responsible for overall coordination and keeping records up to date and available for the team; leadership involvement in nominating representatives and promoting training in the area; and support from the HSE team for classification and systematization of the identified fatality risks. By the end of the year, the booklets produced on the theme had been distributed to both employees and outsourced workers.
HSE More Talent (Mais Talento SSMA)
The program was created to select and develop people with the potential to make the succession process stronger in the company’s main areas. Implementing the More Talent program, which mainly involves our health, safety and environment professionals, demonstrates its importance to us.
It is Corporate HSE’s responsibility to define the technical training agenda as well as certify its implementation over the course of the program. The unit’s HSE area is responsible for assuring its professional management and for monitoring its execution, engaging and ensuring that the strategy is actually put into practice. The local HR is in charge of the selection, admission and monitoring of the professionals, and also is the focal point for doubts, career conversations and overall alignment. The design and structuring of the program is by HR Corporate A&D (Attraction and Development).
Each member has an individual project to develop, defined by the HSE team and related to improvements in the area or in the unit. Each professional involved will be monitored on a regular basis by a local or corporate mentor to support him or her in the development process. Furthermore, there is a project for a broader topic related to area’s strategy and business to be fulfilled collectively.
Outsourced employees’ safety GRI 403-7
We make every effort so ensure that outsourced companies implement the same safety culture as practiced by our own employees. Hence, we introduce actions in this regard for the selection and hiring of the strategic partners through to the training of operating professionals and the leadership group for these companies, their activities risk and consequences management programs and the recognition process for companies and professionals that best meet our standards.
In the Peruvian units, 75% of the workforce is comprised of outsourced workers. One of the strengths of safety management in Peru is the strong sense of hierarchy and respect for the managers, which has contributed to the success of leadership training conducted in mining units. In 2018, two training sessions were conducted toward this end, which already have delivered good results: one focused on the leader’s role and the other on risk management in the operation.
We also implement more stringent consequences management actions, which consist of regular inspections and constant observations from the field managers. Upon identifying inappropriate and unsafe behavior, we impose fines and may even suspend outsourced companies that do not meet the safety standards.
There are more than 20 safety initiatives underway as part of the Outsourcing Management Program, such as control of access to our facilities and the plant integration process, with training that aims to standardize individual and collective procedures.
To align consequences management expectations, we organized a meeting in Lima with the owners and managers of outsourced companies for a frank dialogue about how to make operations safer. It was an important time both to learn about these companies’ problems and to understand their realities, and to share our concerns about safety.