UC RUSAL Sustainability report 2016

Operating results

Performance results HKEx Appendix 27 KPI В2.3

Continuous work on the implementation of activities aimed at optimising the activities of the Company in the HSE area makes it possible to achieve positive results.

As a guideline for the collection, preparation and provision of the relevant information, UC RUSAL applies the Regulation on the unified HSE reporting. In accordance with this Regulation, accidents and dangerous situations are classified into categories where all incidents are divided into six groups, from dangerous situations to fatal accidents. Micro traumas and the medical treatment of the workers are also recorded. Statistics for the reporting period to date is automatically consolidated within the production facility, then within the divisions and the Company as a whole.

Among the key performance indicators in the area of HSE, the Company highlights:


       lost time accident frequency rate (LTAFR);

       lost time incident severity rate (LTISR);

       accidents due to the violation of industrial safety requirements.

In order to achieve the best HSE results, UC RUSAL is actively working with government authorities and expert organisations, and the professionals and managers of the Company participate in the legislative process.

The expenditures for health & safety measures in 2016 exceeded USD 53 mln.  About 60% of this amount is used for the acquisition of personal protective equipment (PPE). The average value of the PPE set for one worker is of about USD 850,UC RUSAL purchases only certified means. All employees of the production facilities are fully equipped with the necessary PPE.

Despite the measures taken, in 2016 there was no improvement in the key HSE indicators. The total number of fatalities at work has increased from 5 to 10 in comparison with the previous year. The rate of fatalities increased both among employees (from 4 to 8 cases) and among contractors (from 1 to 2 cases). The number of fatal injuries among third parties has remained null for two years.

The main causes of fatalities in the workplace continue to be the violation by the workers of work safety requirements in performing works and personal negligence.

Number of fatal accidents

The Company continuously conducts performance monitoring in accordance with indicators:

          lost time accident frequency rate;

          lost time incident severity rate. G4-LA6, HKEx Appendix 27 KPI В2.1

In 2016, the Lost Time Accident Frequency Rate increased compared to the previous period from 0.17 to 0.18, but did not exceed the target value of 0.21 and continues to be at the level of the best indicators in the aluminium industry. The lost time incident severity rate also increased slightly from 14.26 to 15.05 and surpassed the target of 14.50 for 2016.

Lost time accident frequency rate among employees G4-LA7

Lost time incident severity rate among employees G4-LA7


According to the data of the International Aluminium Institute, UC RUSAL shows the lowest rate of injury among the largest companies in the industry.

As in the previous period, there were no accidents and fires at the production facilities, the effects of which could significantly affect the production of finished products (10% and more of the annual production plan), confirming high degree of efficiency of the industrial and fire safety system.

The qualitative and quantitative evaluation of the results of HSE activities is conducted each semester at the meeting of the specialised committee of the Board of Directors. The injuries are analysed not only by the employees of the Company, but also by Contractors who provide services to the Company and third parties.

Causes of accidents

The Company keeps mandatory records of fatal accidents, conducts internal investigations of incidents and analyses the reasons for each.

The process of identifying, investigating, recording and detecting the causes of accidents in the Company is carried out in accordance with the regulation on internal investigation and analysis of accidents in the area of occupational health, industrial and fire safety. After each incident, the employees of the Company are notified by the corporate information system, investigation is conducted, root causes are identified, a corrective action plan is prepared for their elimination and a report on lessons learned is drafted. The regulation is a universal instrument in the investigation of accidents in the countries, where local law is not sufficiently consistent with best world practice. However, a mandatory requirement within the HSE management system is the implementation of the legislation of the regions and countries, where the production capacities of UC RUSAL are located.

During the reporting year, the main efforts in the planning of injury minimisation were applied in the areas of production, where the highest number of accidents was reported. In 2016, personal negligence continued to be the main cause of injuries (26% compared to 28% in 2015). The number of accidents in the process of quarrying and alumina production decreased (from 21% to 13%), and the injury rate of works at heights reduced fourfold. Nevertheless, the rate of injury in the melting and repair and installation of equipment increased.

Accident analysis shows that most of the accidents occur because of a conscious lack of compliance or direct violation by the workers of work safety requirements, misunderstanding of the situation, and inadequate risk assessment. This is true for both new workers and experienced professionals. Occupational injuries are most common for workers with up to 5 years of work experience and those who have worked for more than 10 years.

Areas of production and hazardous conditions, in which accidents have occurred


Occupational medicine

The main focus of occupational medicine is the prevention of occupational and production-related diseases and the implementation of measures to maintain and improve the health of the workers.

The prevention of occupational diseases is carried out through the introduction of progressive technologies for the protection of the environment and the use of high quality personal protection equipment that has been certified.

Rusal Medical Centre (RMC) plays a leading role in the prevention of non-industrial accidents. The main task of RMC is to provide highly qualified medical, preventive and emergency care and to conduct periodic medical examinations in accordance with the legislation of the Russian Federation.

RMC manages a network of thirteen medical institutions located in the 12 regions of the Company's operation. In 2016, a new branch was opened at the Boguchany aluminium smelter in the Krasnoyarsk territory. The attached workforce comprises over 45 thousand people. Treatment facilities of RMC have 558 employees. The Company's health costs in 2016 were of RUR 753.7 mln., and most of these funds have traditionally been used for the maintenance of health care facilities. The Company's health care services also operate in Guinea, Guyana and Nigeria.

Company's health expenditures, RUR mln.

The main activity of RMC includes curative and preventive measures to reduce the risk of sudden death in the workplace for somatic reasons, the prevention of heat strokes, as well as the pre-shift medical examinations of staff included in risk groups for health reasons. Employees of production facilities are also treated by third-party medical specialists to prevent diseases.

In recent years, the Siberian Federal District, including the Irkutsk region, registered a growth in the number of cases of HIV infection. Therefore, an action plan for the prevention of HIV/AIDS was approved at UC RUSAL. One way to prevent the spreading of HIV is by conducting mass testing.

In November 2016, at the UC RUSAL industrial site in Shelekhov, the professionals of Irkutsk AIDS Centre conducted an anonymous express HIV test. Those wishing to know their HIV status were given the opportunity to undergo testing in the medical centres of the production facility. On April 28, on the World Day for Safety and Health at Work, the Company had a single day of briefing on the HIV/AIDS problems.

At the Krasnoyarsk industrial site of UC RUSAL, in the framework of the charity programme 'Women's Health', launched with the help of the Volnoe Delo Fund, the female workers of the Krasnoyarsk aluminium smelter had the opportunity to make a mammogram and to get doctor's advice.

Viral hepatitis became the theme of one of the lessons in the Health School during the November informing day.

Not only the employees of the Company but also the residents of the regions of its operation with a VMS policy can get assistance at the RMC.

The Company pays great attention to the timely equipment of medical facilities with modern devices. In 2016, new ultrasound equipment was received in Krasnoturyinsk and Achinsk, Krasnoyarsk received a densitometer to determine the density of bone tissue.

In 2016, the Company continued together with Rospotrebnadzor, the Social Security Fund and the regional centres of occupational pathology to implement a Comprehensive Interdepartmental Programme for the Management of Occupational Hazards, including the following measures: G4-LA2

          drafting of the summary production characteristic;

          industrial hygiene and health risk assessment in each workplace;

          special assessment of working conditions;

          medical examinations at the the workplace (with the participation of RMC, municipal clinics and occupational pathology centres);

          preventive health care (vaccinations, etc.) and emergency medical assistance;

          health and social programmes and programmes of healthy lifestyle;

          scientific and methodological work to examine the impact of hazardous and harmful production factors on workers' health and effective prevention;

          analysis of employees’ health condition and the relevant adjustment of the Programme.

Annual vaccinations of employees are carried out at the Company's production facilities in order to prevent respiratory diseases. Flu vaccines were given to 29 thousand workers, 650 employees were vaccined against pneumococcal infection, which is also a significant cause of acute respiratory infections in labour collectives. The peak of respiratory diseases falls on the epidemic season, which usually lasts from January to May. The analysis of days away from work during this period showed a decrease in the incidence of respiratory diseases in general, as well as a reduction in the number of days away from work.

The incidence of occupational diseases has improved during the reporting period. The number of newly discovered occupational diseases has decreased by 17% compared with the previous period, and the number of occupational diseases per 10,000 employees dropped by 17.4%. In 2016, these figures amounted to 192 and 40.2 cases, respectively.


Dynamics of the number of occupational diseases G4-LA6

Structure of occupational diseases, % G4-LA7

The structure of occupational diseases continues to be the dominated by chronic intoxication by fluorine compounds (31%) and a vibration syndrome (27%).


The structure of overall diseases remains almost unchanged. The main reasons for the temporary disability are: respiratory illnesses (36%), diseases of the locomotor apparatus (25%), injuries (16%), digestive diseases (7%).

Fight against Ebola in the Republic of Guinea

The research and clinical diagnostic centre for epidemiology and microbiology, which has been opened in Guinea with the support of UC RUSAL, is one of the most modern healthcare institutions to deal with acute viral diseases in West Africa.The Centre’s premises include an infection hospital, a provisional hospital, a mobile laboratory and a blood and plasma transfusion department with a laboratory. Throughout 2016, the Centre continued its work to address the impact of the Ebola virus in Guinea. In cooperation with the Federal Service on Surveillance for Consumer rights protection and human well-being of the Russian Federation on the premises of the Centre, staff of the Company converted some of the premises into a high-tech microbiology laboratory of the agency, which monitors and oversees the health and epidemiological well-being of the population. The Company's efforts are directed not only at the staff of UC RUSAL but also at local residents.

The Company is actively cooperating with Russian and overseas scientists in the development of a vaccine against the Ebola virus. The Russian-Guinean scientific centre built by UC RUSAL is used as a clinical base for the testing of the Russian vaccine.

In addition to participating in the thematic scientific conferences, UC RUSAL organizes visits by specialists to the Russian-Guinean science centre, which is equipped by the Company. This gives scientists the opportunity to conduct medical research based on actual aspect of the disease and to gain access to the virologic material.

In the reporting year, the employees and business units staff of UC RUSAL have received a number of acknowledgments and certificates for achievements in the area occupational health, industrial and fire safety.

Plans for 2017 and medium term

The Company plans to develop its proactive work to improve the Health & Safety management system. Work in this area will continue next year with an emphasis on the following areas:




        Complete standardisation of jobs in the production system, including working conditions and safety of performed operations


        The volume planned for 2016 was 100% completed

        Universal behavioural safety audit


        Conducted on an ongoing basis

        Forming and developing the culture of leadership and personal commitment to job safety


        Conducted on an ongoing basis

        Implementation of preventive approach to the protection and promotion of workers’ health


        Conducted on an ongoing basis

        Finding out system (root) causes in the course of internal investigation of injuries


        In 2016, 100% of cases were completed

        Enhancement of responsibility (and motivation) of managers, specialists and clerks for monitoring high-risk work


        Conducted on an ongoing basis

        Increased control of the safe performance of the works by contractors


        Conducted on an ongoing basis

        Special assessment of the working conditions of the main workers until December 31, 2016


        The volume planned for 2016 was 100% completed

        Review of personnel motivation mechanisms in favour of OHS


        The volume planned for 2016 was 100% completed

        Promotion of Company's image in the area of HSE in the mass media


        In 2016, 4 articles were published in the magazine 'Work Safety and Social insurance'


The Company's safety benchmarks are defined annually. After a detailed qualitative and quantitative analysis of the injury rate, pursuant to the internal order of the Company targets for the following year are generated and approved. Also as part of the monthly report, the work safety service of the production facilities monitor and analyse so-called 'leading' indicators (number of hazardous situations, hazardous activities, potential damage).

Among the Company's long-term work safety objectives is the reduction of the injury rate to 0.16.

UC RUSAL objectives in the area of health and safety


Business Plan 2016

Fact 2016

Business Plan 2017

Number of workers who died in the occupational accidents




Lost Time Accident Frequency Rate (LTAFR)




Lost Time Incident Severity Rate (LTISR)




Number of accidents/fires whose effects will significantly affect the production of finished products