Working responsibly

Occupational safety

Our Senior Leadership Team (SLT) is responsible for embedding the CR approach and procedures across the Group.

Applying them to our operating environment falls to the Management Team. We have set in place a safe system of work that employees and contractors must take responsibility for following closely.

Regional directors are responsible, at an operational level, for ensuring that operations adhere to our health, safety and environment (HSE) standards and procedures; that all risks are managed to As Low As Reasonably Practicable (ALARP) levels; and that plans are in place to manage risks. We have a robust incident management process that ensures incidents are recorded and investigated as required, and lessons are learnt. Assurance of the implementation of these standards is overseen by the most senior Company personnel and performance updates are reported to the Board.

The importance given to CR performance is also recognised in Cairn’s Remuneration Policy. The remuneration committee assigned a 15% weighting in the Group’s 2016 key performance indicators (KPIs). In 2017, the CR element of the KPIs has been increased to 17% to include further emphasis on the People theme. Performance against the Group’s KPIs is an important criterion for assessing the annual discretionary bonus and individual performance (see CR objectives and KPIs).

Management of occupational safety, which refers to the management of day-to-day safety hazards, uses a number of mechanisms to promote the implementation and effectiveness of working procedures. This includes management visits, audits, permit to work, toolbox talks, safety drills and training, all of which are monitored through our leading safety indicators. The lagging data below shows a Lost Time Injury* during April in which a member of our Senegal supply base contract crew suffered damage to three fingers as a result of entrapment during pipe handling.

A thorough investigation was completed and findings were discussed by the Board in May, alongside incidents suffered in non-operated assets and in the industry as a whole. Our new supply base operations have been designed to reduce occupational safety risks (e.g. lifting) based on industry good practice and lessons learnt from our operations at our previous supply base locations.

In 2017, we are focusing on ensuring the safety systems continue to work effectively, with emphasis on implementing International Association of Oil & Gas Producers (IOGP) Life-Saving Rules, both within our CRMS and in practical field operations.

See also our Culture pages

* An LTI is a fatal injury or any work-related injury that results in a person being unfit for work on any day after the day of occurrence of the occupational injury. ‘Any day’ includes rest days, weekend days, leave days, public holidays, or days after ceasing employment (International Association of Oil & Gas Producers).

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