Occupational safety

The Company’s key priority is the preservation of life and health of its employees, as well as employees of contractor organizations working at LUKOIL facilities. Zero fatalities is one of the main criteria outlined in the “Required HSE Levels” KPI used in the financial incentivization system.

Findings of investigations are communicated to LUKOIL Group entities and business units of PJSC LUKOIL, considered at the meetings of the HSE Committee at the Board of Directors of PJSC LUKOIL, and included as part of Safety Days program with trade unions and key contractor organizations participating in it.

Findings of incident analysis, including at contractor organizations, are incorporated into an annual report to the Management Committee of PJSC LUKOIL on the HSE situation and considered at meetings of the Board of Directors.

We regret to say that in 2019 the injury rate in Russia for LUKOIL employees increased on account of serious road accidents. There were four road traffic accidents that resulted in bodily injury or death, of which two were pile-up accidents. As a result, nine LUKOIL employees were injured and one employee killed in the car crash.

The second incident resulting in the death of our employee was an assault related to robbery at a fueling station in the Voronezh region. To reduce this risk in the future, a briefing for fueling stations personnel on emergency procedures in case of danger to health or life was held; measures to enhance remote monitoring of fueling stations are being considered.

Analysis of causes for other incidents showed they were primarily related to employee exposures to machinery and moving armatures; falling from high elevations and sustaining electrical shocks at electric power plants.

All incidents in 2017–2019 involving LUKOIL regular employees were fully investigated. At the time of this Report the investigation of a pile-up car accident on 3 December 2019 in LLC UralOil (the Perm Territory) was still in progress.

There were two incidents at foreign entities. At LUKOIL Romania S.R.L. a fuel station operator fell victim to third party criminal activity. At an Italian oil refinery, a worker sustained a leg injury. Following the investigation, the refinery service area was analyzed for compliance with safety requirements and appropriate measures were taken.

Indicators related to occupational injuries at LUKOIL Group
2017 2018 2019
Lost time accident frequency rate (LTAFR) 0.20 0.20 0.19
Lost time injury frequency rate (LTIFR) 0.12 0.13
Rate of fatalities 0.01 0.01
Rate of high-consequence injuries (net of fatalities) 0.03 0.05
Rate of registered occupational injuries or damage to health 0.15 0.18

Notes. (1) The lower all indicators are the better. (2) The indicators (other than LTAFR) have been calculated since 2018. (3) The formulae used to calculate the indicators are provided in Appendix 7 "Reference Information: Abbreviations, Definitions and Calculation Formulae."

Number of occupational accidents and employees injured in workplace accidents at LUKOIL Group entities
Indicator 2017 2018 2019
Total number of occupational accidents, including: 20 21 19
  • fatal
4 1 2
  • high-consequence work-related injuries
NA 5 8
  • number of minor injuries
NA 15 9
  • number of microtraumasThe term “microtrauma” is used according to the GRI definition.
NA 3 7
Number of employees injured in workplace accidents (total number of injuries), including: 22 23 25
  • number of fatalities (FA)
4 1 2
  • number of lost time injuries (traumas) (LTI)
18 22 23

Note. If during the reporting period an employee suffered more than one injury, each case is counted as a separate injury.