Sustainable Development

Personnel and Social Programme

Our core asset is highly qualified personnel motivated to work effectively and achieve the goals. In 2019, the average headcount of Rosneft Group Subsidiaries was 315.4 thousand employees, which is up 7.4 thousand compared to 2018 (308.0 thousand employees).

The increase was primarily due to a higher average headcount in Group Subsidiaries driven by business expansion and the acquisition or inclusion of new assets in the perimeter of the Company’s business planNizhnevartovskNIPIneft, Bashgiproneftekhim, Petersburg Fuel Company, PTK-Terminal, Trans-Time, Samaraneftegeofizika, Alaniyanefteprodukt (ca. 2 thousand employees)..

The average employee age remained mostly unchanged at 40.3 years vs 40.2 years as at the end of 2018. 40.8 thousand employees held managerial positions vs 38.1 thousand as at the end of 2018. Employees categorised as managers made up 12.2% of the headcount as at 31 December 2019 (vs 12.4% as at the end of 2018).

Average headcount as at 31 December 2019 (as per the business plan)
Average headcount as at 31 December 2019(as per the business plan)
Average headcount in 2019 (as per the business plan)
Average headcount in 2019(as per the business plan)
Workforce Productivity and Organisational Effectiveness

Improvement of workforce productivity remains a key priority for the Company. As at the end of 2019, the Company achieved its overall productivity target on a comparable basis. We developed a list of relevant improvement initiatives, which we update annually as part of our Long-Term Development Programme. Workforce productivity metrics are used as an individual KPI to assess the performance of some of the Company’s top executives, including the CEO and senior management of the Group Subsidiaries within Rosneft's major businesses.

In 2019, we designed five standard organisational structures for functional areas and communicated them to the Group Subsidiaries. Their phased implementation is planned until the end of 2022. Also, we had the organisational structure of the Chief Engineer and Prospective Development units at our oil and gas producing assets aligned with the standard.

To capitalise on the automation of methodologically streamlined HR business processes, we continued to roll out uniform corporate HR, compensation and social development standards based on SAP and 1C. The latter was in use at 129 Group Subsidiaries as at 1 January 2020.

To take advantage of streamlined and automated HR business processes, we started to phase out the personnel accounting function from the Group Subsidiaries. The project piloted at the Angarsk site proved to be efficient from the economic and organisational perspective, and will continue in 2020 and beyond.

Talent Pool Management

As part of the talent pool management plan for 2019, HR committees across business segments held meetings chaired by the Company's senior managers. Work is ongoing to strengthen the talent pool for target first- and second-level management positions in the Company’s Head Office and first-level positions in the Group Subsidiaries.

To ensure HR security, we continuously develop our management talent pool, which includes a multi-tier competency assessment to select candidates, identify their priority growth areas and design related individual plans.

As part of individual development planning, we evaluated successor candidates for the first- and second-level management positions using the assessment and development centre method. The evaluation covered 214 and 1,010 candidates, respectively.

Personnel Training and Development

The corporate training system covers all business areas and staff categories, and serves to provide information on the Government requirements, corporate policies, procedures and best Russian and international practices. Training also helps build the skills needed to perform effectively.

We engage experts from leading educational and consulting companies and universities, both Russian and international, to train our people in line with our business needs.

  • In 2019, we provided 635.9 thousand man-courses as part of the mandatory vocational and management training, overachieving the 2019 target by 33%. On top of that, we significantly expanded the range of management courses to include MBA programmes for managers, talent pool and high-potentialemployees of the Head Office and Group Subsidiaries, with 75 employees enrolled in 2016–2019 completing their training and 98 employees enrolled in 2019–2021 embarking on three corporate programmes;
  • a series of Director Club workshops attended by 34 top managers from the Head Office's structural units;
  • The University of CEO and the School of Management attended by 190 CEOs of the Group Subsidiaries and their deputies;
  • Leader of the Future (Strategic Level, Operational Level, Young Talents), a programme designed for 91 high-potential employees, including the winners and participants of the Leaders of Russia nationwide competition. The initiative runs as part of talent pool development under the Rosneft–2022 Strategy.

We provide the following professional education opportunities:

  • training for young engineers from exploration and production facilities in the following jobs: drilling supervisor and engineer, oilfield chemist, offshore drilling supervisor, offshore drilling specialist, seismic surveyor, petrophysicist and project manager (198 people trained);
  • training of shop managers from the exploration and production facilities under the professional retraining programme to improve performance and production methods (40 people trained);
  • professional retraining in oil refining and petrochemicals for 23 managers and specialists in Refining, Commerce and Logistics;
  • training of specialists involved in coaching line personnel at oil depots and filling stations of R&D and manufacturing facilities (51 in-house coaches);
  • in HSE: training in corporate approaches to carbon management for vice presidents and heads of departments; courses in leadership, internal incident investigation, risk assessment and management for heads of the Group Subsidiaries (1,474 people trained).

The reporting year saw us stage for the first time the following corporate events on request from relevant businesses:

  • an RN-StroyForum for 232 heads of capital construction functions;
  • a workshop for 119 internal audit heads;
  • training of 88 employees of the combined Legal Support and Government Relations unit.
  • We run a range of corporate training programmes in partnership with Lomonosov Moscow State University, Moscow State Institute of International Relations (MGIMO), Graduate School of Management of St Petersburg University, and Gubkin Russian State University of Oil and Gas. We also cooperate with some of foreign universities, including Polytechnic University of Turin (Italy), NOVA University Lisbon (Portugal), Qatar branch of HEC Paris (France, Qatar).

Over 18,000 Rosneft employees completed anti-corruption, anti-fraud and compliance training, both in classroom and online.

Personnel Training and Development
Development of In-House Training

We leverage our in-house training centres, coaches, experts and workplace mentors to provide 63% of training (395.8 thousand man-courses).

All in all, there are 63 training centres operating as part of the Group Subsidiaries or local educational institutions across our footprint. They have testing sites and offer hands-on vocational training, including mandatory courses, to help blue-collar employees and specialists develop professionally.

In 2019, we set up corporate training centres in RN-Tuapse Refinery (Tuapse), RN-Uchet (Samara) and Rosneft-Termneft (Krasnodar).

Additionally, we are working to create the following facilities:

  • an electrical engineering and testing site at the Samaraneftegaz training centre;
  • a Bashneft corporate training centre at Bashneft-PROFI;
  • a training centre at Zvezda Shipbuilding Complex.

We are also developing an internal training system to preserve and transfer knowledge within the Company.

In 2019, the Head Office's coaches conducted 688 training sessions (15,570 man-courses).

We launched a targeted training programme for in-house coaches made of 15 modules. In 2019, the programme covered 163 groups (2,126 man-courses).

On top of that, over 71 thousand man-courses were available in the distance learning format.

As a result of the corporate mentoring programme, we compiled an integral rating to assess the efficiency of relevant initiatives implemented by the Group Subsidiaries in 2019. The assessment covered 74 Group Subsidiaries in Exploration and Production, Oil Refining, Gas Processing and Petrochemicals, In-house Services, Corporate Services (research and design institutes), with winners named for each businesses.

We also staged the Best Mentor 2019 competition in the Group Subsidiaries (the first round) and across Exploration and Production, Oil Refining, Gas Processing and Petrochemicals, In-House Services and Corporate Services segments (the second round).

The first round welcomed 5,226 mentors of blue-collar employees and 649 mentors of young specialist from 74 Group Subsidiaries, with 53 and 47 mentors from the above groups as well as 40 HR managers in charge of mentoring making it to the second round.

The third company-wide round to be held in 2020 will see 33 competitors.

Worldskills movement

Rosneft has joined Worldskills, a global movement promoting vocational skills.

During the reporting year, we provided methodological support for the fourth Worldskills corporate championship held in September, at the Novokuibyshevsk Refinery (Laboratory Chemical Analysis and Occupational Safety categories).

The participants were 40 technicians and 44 experts in chemical analysis from 44 Group Subsidiaries, along with 11 specialists and 11 senior experts in occupational safety from 11 Group Subsidiaries.

Rosneft supported the training and participation of its team in the 6th WorldSkills Competition of High-Tech Cross-Industry Blue-Collar Professionals in Yekaterinburg.

The Rosneft team represented by 21 contestants and 17 experts from 16 Group Subsidiaries and the Head Office competed in eight categories and won prizes in six of them.

Worldskills movement
Cooperation with Foreign Partners

As a global company, Rosneft is fostering partnerships with foreign oil and gas producers and the world’s best educational institutions to provide comprehensive training to its employees and enable them to perform well in any international project.

In 2019, Rosneft carried on with educational projects run jointly with international educational providers. We also helped our partner universities to arrange for Master's programmes for 86 professionals from other countries.

Our foreign partners, such as BP, ExxonMobil, Equinor, ONGC Videsh Ltd., Nayara Energy, China National Petroleum Corporation (CNPC) and Beijing Gas Group Company Limited, took part in the International Day held on 10 April 2019 as part of Rosneft's HR Conference in Moscow. The event saw the participants share their experience and discuss challenges in the field of personnel management.

Cooperation with Foreign Partners

Under the educational cooperation agreement between Rosneft and ONGC Videsh Ltd., employees of the Head Office and Group Subsidiaries received training in India, which covered the following domains:

  • Health, Safety and Environment (February–March 2019, Goa, 20 people);
  • Offshore Production and Technology Management (November 2019, Mumbai, 21 people).

We also arranged for a number of training sessions in line with the educational and training cooperation agreement between Rosneft and CNPC and in accordance with the 2019 action plan / roadmap issued by the educational working group under the Joint Coordination Committee:

  • on 21 October – 1 November 2019, 20 CNPC employees participated in an internship course to study practices in development and production management, integrated field management, and oil recovery enhancement technologies at Group Subsidiaries in Samara;
  • on 2–6 December 2019, 20 Rosneft employees took internship in China to learn about ways to boost efficiency in energy management.

Under the agreement on the scientific and educational cooperation between Rosneft and the Qatar Foundation, 49 employees of the Company took training on the use, construction, completion, performance monitoring and productivity of horizontal wells in October 2019. The training was given by an expert from the Qatar National Research Fund (part of Qatar Foundation) at Gubkin Russian State University of Oil and Gas.

In 2019, Rosneft and BP took the following steps to strengthen their ties:

  • signed an agreement on cooperation in the field of HR management and social responsibility;
  • created a joint working group in this area;
  • developed and approved a road map of initiatives for 2019-2020.

In December 2019, BP and Rosneft staged events to exchange experience in personnel assessment and HR e-workflow management.

Professional Standards

In 2019, the Company continued to implement professional standards.

In pursuance of the Directive of the Russian Government No. 5119p-P13 dated 14 July 2016, Rosneft’s Board of Directors held two meetings in the reporting year to discuss the roll-out of professional standards across Rosneft and the Group Subsidiaries. According to the latest monitoring, more than a fourth of almost 1,300 approved professional standards can be implemented in the Company, with 54 of them classified as mandatory qualification requirements (depending on the subsidiary's type of operations). The qualification standards apply to over 44 thousand employees, of whom over 95% have an educational background meeting the requirements.

In 2015, Rosneft and other oil and gas producers joined the National Council for Professional Qualifications in the Oil and Gas Industry. Pursuant to the Council’s action plan, the Nefteyugansk Corporate Institute, Rosneft's Professional Expertise Centre, drafted four industry standards and submitted them for approval by the Ministry of Labour and Social Protection. In 2019, the Ministry approved three industry standards developed earlier by Rosneft.

Personnel Skill Assessment

Our comprehensive personnel assessment framework establishes uniform knowledge and skill requirements for employees across all business segments, including the Head Office and Group Subsidiaries.

We assess employees when planning competencу training, creating a talent pool and expert communities, recruiting or changing job descriptions. The assessments helps check managerial, corporate, professional and technical skills across all personnel categories: managers, specialists and blue-collar employees.

Its aim is to identify knowledge gaps, determine priority development areas, optimise training costs, and improve qualifications and performance.

In 2019, we launched a corporate training and development portal to collect personnel assessment results and integrate them into the shared HR database of Rosneft Group Subsidiaries, Head Office, and training resources.

The corporate and managerial skills assessment relies on the dedicated model approved by the Chief Executive Officer. The model takes into account the Company’s culture, values and the description of managerial competencies. In 2019, the Company applied the model to evaluate 23.65 thousand employees.

The assessment of professional skills uses materials drafted in the course of the target innovative project (TIP) to introduce a skills-based approach to personnel development across all business segments.

The TIP participants include Gubkin Russian State University of Oil and Gas (oil refining and procurement projects) and Tomsk Polytechnic University (oil and gas production and offshore projects) along with leading Russian and foreign consulting firms.

As part of the initiative, we developed and introduced professional competencies along with employee assessment and development tools in the following areas: offshore projects, oil refining, oil and gas production, marketing and distribution, logistics and transport, capital construction, economics and finance, procurement, energy efficiency, gas, design and survey at research institutes, oil refining, gas processing, petrochemicals and energy at corporate research and design institutes. In 2019, Rosneft started implementing relevant projects across some functions (internal audit, HR management and social programmes) and in the Oil Refining, Gas Processing and Petrochemicals business.

In 2019, we assessed over 20.83 thousand people based on the TIP materials as well as those used to evaluate the professional competencies of the key blue-collar staff in Oil Refining and Petrochemicals, Exploration and Production, and In-House Services.

Youth Policy

Rosneft’s youth policy aims to ensure a steady influx of young, qualified specialists from among the top graduates of educational institutions, and their fast and effective onboarding at the Company's facilities. To this end, Rosneft is working hard to build an external talent pool comprised of students of local educational institutions.

The youth training system targets three groups: attendees of Rosneft engineering classes (grade 10 and 11), students of industry-specific universities, and young Company specialists. In accordance with its Youth Policy, Rosneft consistently implements a school-to-workplace approach to training in all domains.

In 2019, the Policy focused on pre-university training (Rosneft classes) and work with young talents, in line with the Rosneft–2022 Strategy.

Pre-University Training

We organise Rosneft classes at top-ranking schools, colleges, and gymnasiums in regions where we operate. The initiative is supported by the Group Subsidiaries that have a strong need for qualified labour to implement contemplated growth plans and capacity ramp-ups.

Rosneft classes offer school students a high-quality secondary education with a strong focus on technology and natural sciences to enable them to continue engineering studies at universities. After graduation, young talents are employed at the Company.

The project has a significant positive impact on the Company's reputation, promoting the image of Rosneft as a socially responsible partner of the national education system. Rosneft classes help digitalise education at partner schools, upgrade facilities and equipment, boost the efficiency of training and career guidance activities, and enhance qualifications required to teach the core subjects.

In 2019, the Company supported 122 classes in partnership with 64 secondary schools in 57 towns and settlements located in 27 Russian regions. The classes saw some 2,839 attendees.

We keep expanding the project geography and launching new classes each year. In 2019, Rosneft classes opened in Moscow and in Oktyabrsky (Republic of Bashkortostan). The Moscow class aims to supply talent for the projects related to the Arctic and offshore exploration and development, while the one in Oktyabrsky focuses on training personnel for producing facilities in Bashkortostan.

Pre-University Training

First and foremost, the project seeks to identify, support and provide education to the gifted youth. The attendees of Rosneft classes take an active part in various academic contests. In the school year 2018–2019, 939 student became winners and runners-up in a widerange of olympiads, with 480 winning the top awards and other prizes at various stages of the National Olympiad of Schoolchildren.

To reach out to more young talents in the country’s regions, we continued to organise Rosneft classes in cooperation with the Sirius Educational Centre in Sochi. The programme runs under the cooperation agreement between Rosneft and the Talent and Success Educational Foundation. The selection stage and online competition brought together 604 school students, with 108 students of Rosneft classes from 35 Russian towns and settlements taking part in the face-to-face round at the Sirius Educational Centre. The programme aimed to provide career guidance and training as part of projects run jointly by young scientists and engineers from Rosneft's corporate research and design institutes.

To improve the efficiency of pre-university education provided to students of Rosneft classes, we make consistent efforts to develop the qualifications of school principals and teachers of core subjects.

In 2019, the Company trained heads of partner secondary educational organisations on how to manage systemic changes in specialised schools, and developed roadmaps to introduce early career guidance. The workshop was attended by 54 school principals from 46 towns located in 22 Russian regions.

To integrate modern digital technology in the educational process, Rosneft and Lomonosov Moscow State University launched a project providing distance learning opportunities for teachers. The project leveraged the digital education platform of the University Gymnasium to stage four online development courses for teachers of chemistry, mathematics, physics and the Russian language. All in all, the courses saw 96 participants from 42 schools located in 41 Russian towns (21 regions).

To provide better career guidance to Rosneft-class students, the HR Department's personnel development function updated and reissued the brochure titled “I want to work in the oil industry”. The document lists the industry's most valued skills.

The project proved to be a success as evidenced by the number of Rosneft-class graduates who received relevant higher education and signed employment contracts with the Company. In 2019, 107 graduates started work at 32 Group Subsidiaries, with a total of 786 employed in 60 Group Subsidiaries.

Pre-University Training
Work with Young Talent

In 2019, a total of 4,001 young specialists worked in 105 Group Subsidiaries, with 1,360 of them hired during the year.

The programmes for young specialists are based on the Company's Regulations on Organising Work with Young Specialists, which covers the following areas:

  • onboarding;
  • training and development;
  • identifying and development of potential leaders;
  • progress assessment;
  • financial support and social protection of young specialists.

To fast-track the onboarding of the young talent, we have put in place dedicated courses, set up 71 young specialist councils and introduced mentorship programmes across the Group Subsidiaries. As part of the Three Steps programme, Rosneft offers the young talent training and professional growth opportunities aligned with their individual development plans.

In the reporting year, we took the following steps to develop the professional, corporate and managerial competencies of young specialists:

  • organised 3,964 man-courses as part of professional and managerial skills development programmes;
  • arranged for 2,607 young specialists to take part in regional and cluster R&D conferences. The Inter-Regional Research and Development Conference was attended by 359 young specialists, with 105 of them winning prizes. The conference also saw 102 projects recommended for implementation.

In an effort to build up a strategic talent pool, we staged assessment business games for prospective young leaders in their third year of employment. The games took place from June to September 2019 and brought together 374 employees from 74 Group Subsidiaries. Based on the results, we selected 189 participants from 58 Group Subsidiaries who had demonstrated strong corporate and managerial skills, and recommended including them in the strategic pipeline of young talent. As game winners, these employees will receive further training under the Three Steps programme. In 2019, we trained 114 young specialists who had topped in the 2018 assessment games.

In December 2019, we held an annual conference for chairs of young professionals’ councils to help boost the efficiency of their work. The event saw some 58 participants.

Work with Young Talent
Cooperation with Universities

In 2019, Rosneft worked together with 61 universities from the majority of regions where it operates (including 57 Russian and four foreign institutions). Of these, 26 universities are partners of Rosneft. Cooperation agreements with higher education institutions allow the Company to actively engage in joint efforts focused on employee training and retraining, and research and innovation, as well as help develop the research and education capabilities of universities so that their graduates are qualified enough to meet our current business needs. Below are some of the highlights in 2019:

  • 24 university departments continued to operate and one new specialised department was established, with 74 employees of the Company involved in their activities in 2019;
  • work continued on projects aimed at enhancing curriculum via more sophisticated university infrastructure (the Marine Engineering Scientific and Educational Centre at St Petersburg State Marine Technical University, a Rosneft drilling laboratory at Tyumen Industrial University, the Rosneft – Ufa State Oil Technical University research and education centre, etc.);
  • more financial support was provided to establish an interdisciplinary and convergent education research cluster under the Russian Academy of Education development programme for 2017–2020;
  • Rosneft Days were held to provide carrier guidance to, and improve the Company’s image among more than 20 thousand students;
  • 7,088 students and 47 university academics completed internships at the Company’s assets;
  • In 2019, the Head Office arranged a long-term internship for 179 Master's students of Rosneft's partner universities.

Double-degree Master's programme in Oil Engineering

In 2019, Rosneft partnered with BP Russia, Kazan (Volga) Federal University and Imperial College London to create a double-degree Master's programme in Oil Engineering.

The course was targeting graduates of Russian universities and young talent with experience in the oil and gas industry seeking to acquire new knowledge and skills.

The Master's programme allows enrollees to gain advanced knowledge of oil production, development system streamlining, and well and oilfield management. The Company's relevant units contributed to it.

In October 2019, 10 students enrolled on this Master’s programme, having passed a complex selection procedure that included testing and interviewing to assess their professional competencies, and confirmed their English proficiency by submitting an international certificate.

This course was commissioned by eight Group Subsidiaries that will give the students work experience in summer 2020 and hire them upon completing the programme in 2021.

Support for Educational Institutions

Rosneft and the Group Subsidiaries provide charitable assistance to educational institutions of various levels offering courses relevant to the Company's needs and taking part in projects and programmes of the corporate School–University–Company framework for continuing education.

Some of this aid is devoted to class programmes supported by Rosneft Group Subsidiaries. The funding targets include:

  • additional education in relevant subjects involving lecturers from partner universities;
  • class programmes supported by Rosneft Group Subsidiaries, including materials and equipment for dedicated classrooms and distance learning equipment for teachers and schoolchildren;
  • training for teachers;
  • career-guidance and team-building events for schoolchildren.

In 2019, RUB 237.9 mln was given to partner schools.

Vocational and higher education institutions receive financial support for the following:

  • improving and developing their hard and soft capabilities;
  • to maintain their specialised departments and Master’s courses as required by the Company’s strategic projects;
  • to help finance large-scale infrastructure projects;
  • to provide corporate scholarships and grants to talented students looking for professional development within the Company's perimeter, Master’s students doing internships at Rosneft's Standalone Business Units, as well as promising educators.
  • 792 corporate scholarships and 161 corporate grants were provided in 2019.

In 2019, Rosneft issued its first-ever grants for relevant exploratory research by academics at its partner universities.

The aid provided to vocational and higher education institutions for the said purposes totalled RUB 1,126.8 mln.

Support for Educational Institutions
Social Partnership and Social Benefits

Rosneft pays special attention to its social partnership programme with two focus areas.

  • Corporate social partnership – strengthening our meaningful cooperation with the Interregional Trade Union Organisation of Rosneft (ITUO Rosneft), which represents most of the trade unions of Group Subsidiaries. In 2019, the Company carried on with its traditional activities in this domain:
    • discussion and decision-making on the improvement of the Standard Collective Agreement of Rosneft Group Subsidiaries. In 2019, more than 30 amendments and additions were made to the Agreement to enhance social security for employees;
    • annual meetings between a wide range of Company managers, its HR and social service representatives, and leaders of trade union organisations affiliated with ITUO Rosneft. A meeting held in Moscow in November 2019 discussed pressing matters that worried people employed by Group Subsidiaries, including those related to key goals and projects along with issues of immediate concern, such as wage indexation and increases, incentive programmes, and workwear availability, as well as specific questions of some trade union leaders requiring the Company’s attention.
  • Industrial social partnership – liaising with the Russian Association of Oil and Gas Employers. In 2019, 33 Rosneft Group Subsidiaries joined the Industry Agreement on the Companies of the Oil and Gas Industry and the Construction of the Oil and Gas Industry Facilities, effectively gaining certain advantages in implementing the Russian Labour Code. In the reporting year, the Company's active involvement resulted in a new industry agreement incorporating most of its suggestions.
Social Programmes

For many years, Rosneft has been one of the most socially responsible employers in Russia. In 2019, the Company continued to implement the Rosneft–2022 Strategy to ensure better motivation and social security for its employees and retirees.

In 2019, the Company allocated RUB 35.4 bln for creating optimal working conditions, promoting healthy lifestyles, and providing healthcare and social guarantees for its employees. Rosneft’s management has always been committed to maintaining high social security standards for our employees.

Key Social Policy Costs in 2019, RUB mln, %
Key Social Policy Costs in 2019, RUB mln, %
Corporate Pensions and Social Support for Veterans

The corporate pension programme is an integral part of the Company’s HR and social policy, as it is aimed at improving the social protection of retired employees. Pension contributions made by Rosneft and Group Subsidiaries under private pension schemes totalled RUB 11.4 bln in 2019.

The corporate pension programme includes the following elements:

Private Pension Schemes for Employees

The programme covers more than 280 thousand employees of Rosneft and Group Subsidiaries who entered into a pension agreement with Non-State Pension Fund (NPF) EvolutionFormerly known as NPF NEFTEGARANT.. In 2019, the programme funding amounted to RUB 8.4 bln. Based on the 2019 results, Rosneft approved dedicated spending, while Group Subsidiaries concluded pension agreements with the fund which will remain effective until the end of 2024 and determine mid-term strategies under the programme.

Social Support for Veterans

The Company has been running a veteran support programme for over 15 years. As at the end of 2019, the number of people benefiting from monthly pension payments under the programme totalled 25.3 thousand. In 2019, NPF Evolution received RUB 461.6 mln in funding, which it used to raise pensions by more than 5% as part of annual indexation adjustments.

Active Longevity Programme
  • As part of the Rosneft–2022 Strategy, in 2019 we launched the Active Longevity Programme designed to improve the social security of retirees. In 2019, the programme received RUB 2.5 bln in funding, making it possible to:
  • apply one-time indexation to ca. 18 thousand pensions awarded in or before 2010, with the average pension amount increasing by 17.5%;
  • top up personal pension accounts of ca. 41 thousand retirees to ensure annual indexation of pensions financed through the investment income of NPF Evolution starting from 2020.

The above programmes help enhance social security not only for the employees of Rosneft and Group Subsidiaries, but also for pensioners who retired earlier.

Corporate Pensions and Social Support for Veterans
Corporate Housing Programme

For over 14 years, the Company has been successfully running a comprehensive housing programme, a crucial incentive included in the corporate social policy. The initiative enables the Company to attract and retain highly qualified and ensure long-term engagement of valuable professionals by providing housing through the following arrangements:

  • mortgage lending;
  • provision of corporate housing.

The living conditions of 1,112 families were improved through mortgages provided by Rosneft in 2019.

In addition, relocated professionals are provided with corporate housing, with the total number of apartments available in the Company’s regions of operation exceeding 1.5 thousand.

With its corporate housing programme, Rosneft also contributes to the implementation of the national Housing and Mortgage programmes.

1,112 families of the Company’s employees
improved their living conditions
Working Conditions and Recreation

In the reporting year, Rosneft continued implementing an integrated programme to create favourable working conditions for its employees. The programme’s key focus is the development and fit-up of 349 shift camps (including 119 shift and trailer camps, and 230 trailer camps for the drilling crews of RN-Bureniye), which in 2019 accommodated close to 52 thousand employees of the Company and its contractors.

The maintenance costs for the social facilities at production sites totalled RUB 8.7 bln in 2019.

Capital investment in the construction, reconstruction, development and fit-up of shift camps, field support bases, sites and workshops amounted to RUB 8.1 bln in 2019.

Healthcare and Personal Insurance

The healthcare and personal insurance initiatives implemented by the Company help achieve several important goals such as maintaining long-term professional engagement, strengthening health and promoting a healthy lifestyle among employees.

The key initiatives include:

  • provision of emergency and routine medical services for employees, including those stationed at remote and hard-to-access production facilities of the Company;
  • introduction of a brand new programme for preventive medical examination of employees aimed at early detection of life-threatening conditions;
  • voluntary health insurance for the Company's employees providing access to the necessary healthcare services at the finest Russian medical institutions as an add-on to the mandatory government healthcare scheme;
  • provision of resort and rehabilitation treatment opportunities for employees;
  • implementation of disease prevention and mitigation programmes, promotion of a healthy lifestyle and arrangement of sports and health activities;
  • reimbursement of membership fees at therapeutic and sports groups.

The Company has adopted uniform standards for on-site medical treatment and emergency aid, while also putting in place uniform guidelines for the evacuation of injured or sick employees from its remote production facilities by medical aircraft.

All of Rosneft’s healthcare facilities are now provided with modern medical equipment, with a special emphasis laid on improving the skills of medical personnel and conducting large-scale medical drills to develop practical skills of tackling healthcare emergencies, including those involving the use of medical aircraft and telemedicine devices.

As part of the Rosneft–2022 Strategy approved by the Board of Directors, the Company continued to run a number of designated programmes aiming to:

  • supply industrial healthcare facilities with modern training equipment for the development of emergency medical care skills;
  • establish a corporate telemedicine network that will bring together 90 healthcare facilities from remote production sites of 18 Group Subsidiaries and large regional consultation centres to improve the availability and quality of medical care in the hard-to-reach regions of the Company’s operation;
  • perform preventive medical examination of the Company's employees focusing on early detection of cardiovascular and oncological diseases (in 2019, 31 thousand employees of Rosneft underwent such examination).

Since 2017, the Company has been successfully implementing its corporate programme for the prevention of cardiovascular diseases aimed at boosting professional longevity and reducing the risks of lost-time injuries, permanent disability and early death. In 2019, more than 110 thousand employees from 140 Group Subsidiaries participated in the programme.

The Company keeps running its Live Longer! programme, which promotes healthy living by offering medical screening to expose disease risk factors, supporting sports initiatives and helping the Company’s employees develop healthy lifestyle habits.

Resort treatment and rehabilitation opportunities aimed at preserving employees' health, extending their careers and preventing diseases are an integral part of the social security net offered to the Company’s employees, their families and retirees (veterans of labour).

In 2019, Rosneft offered resort treatment services to over 78 thousand employees, members of their families and retirees both in the Company’s own health resorts and wellness centres and third party organisations.

The Company continued to implement a wellness and recreation programme for its employees in the Republic of Cuba. Over the past year, more than 2.5 thousand people underwent medical treatment in Cuba. Since the start of cooperation in December 2013, more than 13 thousand employees and their family members have visited the resorts in Cuba.

In the reporting year, personal insurance programmes (voluntary health and accident insurance) covered more than 330 thousand employees of the Company.

Accessibility of medical assistance for employees at their place of residence or workplace, inclusion of high-tech multidisciplinary clinics into the insurance programmes, and high quality of medical care provided to employees remain the Company's key priorities in the realm of voluntary health insurance.

Group Subsidiaries continued to execute voluntary insurance agreements which cover employee accidents both during and outside working hours and provide an additional source of support for employees or their families in case of a materialised insured event.

Corporate healthcare and personal insurance programmes help support and build on the Healthcare national project.

Healthcare and Personal Insurance