In order to implement RusHydro’s socially responsible position, the Board of Directors approved the Company’s Social Policy in 2013. The document established the key principles, goals and objectives for RusHydro Group’s social development across the regions of operation.
Objectives and results of the social policy
Objectives of the social policy:
- furthering the Company’s socially responsible agenda;
- promoting shared social responsibility and social partnership practices;
- making RusHydro Group more attractive as an employer to recruit and retain the best talent.
Tasks of the social policy:
- creating an institutional environment for attracting and retaining young talent;
- maximizing employee commitment to RusHydro’s goals and principles;
- improving occupational relations taking into account the interests of the employer, employees, shareholders, and the government.
In its social policy, RusHydro Group follows international standards and best practices in the field of human rights, labor relations, environmental protection, anti-corruption initiatives and stakeholder relations. The Company relies on the Guidance on Social Responsibility (ISO 26000) and the universal principles enshrined in the UNGC Guide to Corporate Sustainability in the field of human rights, labor relations, environmental protection and anti-corruption initiatives, as well as the Social Charter of the Russian Business and the Tariff Agreement for the Electrical Power Industry of the Russian Federation [102-12].
RusHydro Group grants benefits to full-time employees:
- voluntary medical insurance;
- insurance against accidents and diseases;
- disability/temporary disability compensation;
- maternity/paternity leave;
- one-off financial aid in case of death of a close relative;
- other payments and benefits in accordance with collective bargaining agreements and in-house rules and regulations.
To support young families, the Group provides them with one-off payments in connection with the registration of marriage, the birth of a child, childcare allowance for up to three years, compensation of expenses for nursery and kindergarten daycare costs.
RusHydro also contributes to local employment, fiscal sustainability, construction and financing of social infrastructure facilities, urban improvement, supporting education, healthcare, culture and sports, caring for veterans and disabled people, making technical arrangements to reduce environmental footprint and providing assistance to those affected by natural and other disasters.
Private pension plans
In 2018, the private pension coverage for employees at RusHydro’s branches included several pension plans designed to finance the pension savings of different target employee groups.
The private pension plans include:
- the “Individual” option (employees finance their pension savings);
- the “Close People” option (employees finance pension savings for the benefit of third parties).
The parity plan (financed on the basis of equal participation by an employee and the Company or an employee, the Company and the state) consisting of:
- the “5+5” option (an employee and the Company jointly finance his or her pension savings);
- the “Co-financing” option (an employee, the Company and the state jointly finance his or her pension savings).
The corporate plan (financed by the Company) consisting of:
- the “Supporting” option (the Company accumulates pension contributions on registered pension accounts of employees who, as a result of the reform of the state pension system, do not receive or have a limited opportunity to form the funded part of the work pension (for employees born before 1966);
- the “Veterans” option (the Company accumulates pension savings on the pension accounts of its former employees as a supplementary pension for retired employees).
Similar programs are in place at several subsidiaries, including Hydroremont – VCC, Transport Company RusHydro, Kolymaenergo, DGK, Far Eastern distribution company (DRSK), Far Eastern energy company (DEK), Kamchatskenergo, etc.
|Net pension liabilities as at December 31, 2018, RUB mn||7,418|
|Estimated coverage ratio of special assets vs. liabilities under the scheme (fair value of plan assets / current value of plan liabilities), %||12.52|
Improving housing conditions for employees
RusHydro continues implementing a program to improve housing conditions for employees. The priority right to participate in the program is given to young professionals under the age of 30, who do not have their own apartment or house, relocated specialists, key and highly qualified specialists, as well as employees with many children, and single parents.
In 2018, pursuant to Regulations on Improving Employee Housing Conditions at Branches of RusHydro approved by Company’s Order No. 702 dated September 8, 2016, 139 employees received compensation of interest payments on mortgage loans and lease expenses. Furthermore, in 2018 employee housing programs were introduced at Yakutskenergo, Sakhaenergo and Kolymaenergo.