Annual Report 2011


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Grupa LOTOS S.A. - Integrated Annual Report 2011
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Practices in relations with employees

Creating safe working environment and conditions conducive to employee developement are the objectives of the Company's HRM policy.

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The mission of the LOTOS Group highlights the importance of continuous development of employees and efficient use of their potential, as prerequisites for innovative and sustainable growth. Employees are regarded as the LOTOS Group’s main asset, which is why developing their competences and creating conditions conducive to their increased identification with the fundamental values underlying the LOTOS Group’s organisational culture determine our practices in employment relations.

Thanks to high standards of work and safety, as well as attractive terms of employment combined with multi-directional communication with employees and retired employees, the LOTOS Group enjoys the reputation of a reliable and appreciated employer.

Particular attention is paid to eliminating threats to health and safety at work. Communication, considered one of the key tools to achieving assumed objectives, is also of great significance, as reflected in the mechanisms for involving employees in the process of shaping best practice in many areas of our operations.

As a member of United Nations Global Compact – an organisation promoting corporate social responsibility around the world – Grupa LOTOS has committed to comply with certain principles relating to basic spheres of social life, for instance to effectively counteract discrimination at the workplace. This commitment underscores the importance we attach to the quality of human resources management.

The main objectives of the LOTOS Group’s HR policy are to:

  • ensure optimum deployment and utilisation of human resources across the LOTOS Group,
  • create a work environment conducive to delivering expected results – improvements in corporate culture through changing employee conduct, increased motivation and dedication, promoting team work, enhanced communication and ensuring a greater sense of job security through developing extensive social benefit package for employees,
  • fully harness the potential of employee skills and expertise,
  • enhance the Periodic Employee Evaluation System by adding a goal setting and development-oriented task assigning mechanism,
  • create conditions conducive to effective development and practical application of acquired skills and competencies (the extensive LOTOS Academy training and development system),
  • enhance the existing incentive tools – linking financial and non-financial incentives to employee performance, and
  • conduct employee surveys.
Joanna Tyszka - comment

The global quality, technical and social challenges faced by businesses today contribute to growing importance of human resources management. In order to achieve its business objectives, the LOTOS Group seeks to attract and retain employees, as well as motivate them to perform at their best. HR management is linked closely to the pursued corporate strategy. Striving for a corporate culture marked by responsibility, innovation, openness and cleanliness, we place much emphasis on such qualities as loyalty, commitment, cooperation and transparency. When recruiting personnel, we have long-term employment as well as their professional and individual development in mind.

The LOTOS Group observes the principles of corporate social responsibility in every area of its activities. This is also true about its comprehensive, strategy-driven HR policy. The strategy – which aims to transform the available human resources into intellectual capital – addresses the need to adjust the qualitative and quantitative employee structure to the fast-changing market environment, modify the internal labour market, and reward excellent employee performance with a variety of incentives.

In 2011, Grupa LOTOS won the 12th edition of the Human Resources Management Leader awards, receiving the Amber Statuette. For the fifth consecutive time we were awarded by the Institute of Labour and Social Studies – this time for human resources development under our internally developed programme named “The Master”. It has been designed to select, prepare and train candidates for the position of supervisors at production plants, in connection with the increased number and complexity of crude oil processing facilities following the completion of the 10+ Programme and retirement of senior personnel. The fact that our best practice has gained recognition and become a source of inspiration to external HR experts and managers serves as confirmation that the Company’s HR management is developing in the right direction.

Joanna Tyszka
– Director of Human Resources Office of Grupa LOTOS

The LOTOS Group is seeking to implement procedures enabling efficient monitoring and implementation of remedial measures, if needed, to meet the adopted LOTOS Group-wide HR policy objectives. Steps are being taken aimed at determining uniform communication and evaluation rules with respect to human resources management. 

As part of the ongoing cooperation, subsidiaries are obliged to provide the most important information to Grupa LOTOS. Such information (in the form of periodic reports, plans and procedures) is mainly related to personnel, remuneration budget, employment, training plans and stage of their completion, as well as the periodic employee evaluation system. At least 14 days before the adoption of the Board’s resolution, subsidiaries are also required to submit for approval proposals of changes to internal regulations, such as the organisational rules, work regulations, remuneration policy or other HR management solutions. These communication requirements, specified in the Board’s resolutions, are applicable to 13 subsidiaries.