The system of social partnership, developed by the Company right after its establishment, provides tools to successfully address social, labor and operational issues in the best interests of the employer and employees.
LUKOIL is committed to principles and standards, established by conventions of the International Labor Organization. The company respects the right of employees to be represented by a trade union organization of their choice, as well as all other basic rights, related to freedom of association, self-organization in trade unions and collective bargaining.
The Company's obligations to its workforce, set forth in the Social Code of PJSC LUKOIL, are particularized in the course of collective negotiations with trade union organizations and enshrined in agreements between the Company and a trade union association, as well as in corporate regulations. According to these agreements, the Company shall guarantee freedom of collective negotiations in Russia and
provide an opportunity to representatives of trade union organizations to be engaged in the management activities of LUKOIL Group companies;
to consider opinions of trade union organizations, as required by the Labor Code of the Russian Federation, the Industry Agreement, the agreement between the employer and the trade union association and collective bargain agreements of LUKOIL Group companies.
The International Association of Trade Union Organizations of PJSC LUKOIL (IATUO) is a nonprofit organization that protects labor, occupational, social and economic interests of LUKOIL Group's employees and unites efforts of the workforce to meet operational challenges.
IATUO works with national trade unions in countries where LUKOIL companies operate, its foreign trade union affiliates functioning as part of national industrial trade unions.
IATUO's Focal Areas:
Protection of social, economic rights, labor and occupational interests;
Social partnership;
Human rights advocacy and control over labor legislation compliance
Health, safety and environment protection;
Communication, promotion, analytics;
Administration
Global operations
Trade union organizations and IATUO act as authorized representatives of employees. Being in regular negotiations and consultations with the Company's management, they represent and communicate opinion of employees on issues, related to their rights and actions taken by the management.
Voluntary collective bargaining agreements and contracts between the management of the LUKOIL Group organizations and trade unions in Russia and abroad mainly set out standards additional to those required by labor law, such as employment, observance of working hours and leisure time, occupational safety and health measures, levels of pay and provision of agreed social benefits and guarantees. The Company does not hinder the activities of trade unions and maintains an ongoing constructive dialogue with trade union representatives.
Each new agreement on the level of obligations is the next step in improving the package of social benefits, and the level of social protection for employees increases compared to mandatory legal norms.
The agreements are the basis for collective bargaining agreements at the Group's organizations. All rights and guarantees specified in the collective bargaining agreements apply equally to all employees of LUKOIL Group organizations regardless of their trade union membership.
LUKOIL's IATUO and IATUO member trade union organizations control compliance of LUKOIL Group companies with labor laws to avoid any infringement of rights of the employees and preserve healthy mental and psychological environment. The human rights advocacy by the trade union association is based on the core principles of the Company's social responsibility and provides for a scope of consistent measures, envisaging that trade unions:
participate in lawmaking together with state and local authorities;
participate in agreement-based regulation of social and labor relations as part of social partnership;
consult on observance and protection of employee's rights;
give pre-trial and judicial protection to employees;
provide informational and methodological support on legal issues;
support social and labor relations bilateral commissions, involving representatives both of the employer and employees and supervising compliance with collective bargain and labor agreements;
LUKOIL and IATUO have always been consistent in their joint efforts to protect the best health and safety interests and rights of employees.
Working closely with HSE teams of LUKOIL Group companies, IATUO trade union organizations pay special attention to the quality of occupational safety drills, prevention of accidents and occupational diseases, medical services, availability of personal and collective protection equipment, HSE awareness and promotion.
A valuable contribution to better HSE performance is made by a technical inspectorate and authorized representatives of trade unions, who efficiently control all operations, take preventive measures, oversee HSE compliance and deliver trainings and drills. IATUO is also a body to control compliance of contractors, operating on the Company's sites, with corporate safety standards.
LUKOIL and IATUO cooperate with IndustriALL Global Union, the world's largest global federation of trade unions with the membership of over fifty million workers of 140 countries. The cooperation is regulated by the Global Framework Agreement, concluded between IndustriALL Global Union, Russian Oil, Gas and Construction Workers' Union, PJSC LUKOIL and LUKOIL IATUO. Intended to ensure compliance with best practices, applied to guarantee rights of trade unions, occupational safety and health, environmental protection and quality working conditions across LUKOIL Group companies in various locations, this agreement serves as a platform for social dialogue and a tool to improve labor relations.
