EMPLOYEE HEALTH AND SAFETY

EMPLOYEE HEALTH
AND SAFETY

From discussions with external and internal stakeholders we observed a shared interest in how we address employee health and safety in the workplace. As a result, we have continued to place great emphasis on these issues in the workplace, because the success of our business depends fundamentally on our employees. So we focus on the wellbeing and health of every employee, ensuring a safe working environment and minimizing any potential risks.

The Occupational Health & Safety (H&S) team is the primary responsible for managing these issues in accordance with applicable legal requirements and voluntary initiatives implemented by the organization, including group guidelines and standards of OHS and International Standardization Organization (ISO). The overall aim is to achieve zero accidents at work, and our principles and rules apply to our own sites and to partner companies with whom we collaborate for various production services.

Since 2005, we have been continuously implementing the H&S management system as per OHSAS 18001 (Occupational Health and Safety Assessment Series) criteria, undertaking the series of recertification and surveillance audits for conformity. Our H&S management system meets the ISO 45001:2018 requirements. This certification is valid until 2024 for the following locations of operation: the breweries in Buzău, Brașov, Timișoara and the four distribution centers in Timișoara, Buzău, Brașov and Cluj-Napoca.

The H&S management system covers actions, people and processes involved in production, packaging and storage of beer, meaning all activities carried and controlled in our locations. The management system is coordinated by Ursus Breweries internal H&S professionals. Additionally, we work along an external business partner specialized in H&S services that provides relevant support to our offices across the country, especially our commercial offices.

Apart from the above-mentioned H&S approach, the following ones are being implemented within Ursus Breweries:

the 5S methodology (a 5 rules Japanese space organization system for efficiency and effectiveness: Sort - Set in order – Shine – Standardize - Sustain)

behavior-based safety program

compliance with the safety rules

risk management

strengthening of training and support

effective execution of the Plan-Do-Check-Act (PDCA) cycle.

In 2021-2022 we continued to strengthen safety awareness among our workforce and incorporate Behavior-Based Safety (BBS) for every employee. We have focused on key programs and initiatives that have contributed to significant improvements in our safety performance in recent years.

We still face challenges in achieving our vision of ‘zero accidents’ in operations, which requires sustained employee engagement and initiatives to achieve these results. These initiatives and efforts to improve capabilities, technology, accountability, communication are common to all employees. Here are only a few examples:

‘I Care’, the program under which Ursus Breweries' safety, health and security initiatives take place

‘Safety Week’, an intensive awareness-raising program on relevant health and safety issues

The Lock-out/Tag-out safety program on maintenance machines

Programs to improve working conditions for the storage and handling of chemicals

For drivers, level 1 and level 2 defensive driving courses (Titi Aur Academy as partner), practical blind spot awareness workshops for forklift and truck drivers, demonstrations using glasses simulating alcohol or drug use

Stress management courses and practical courses on office ergonomics (Regina Maria medical network as partner)

I CARE CULTURE

At Ursus Breweries we care about all our employees. ‘I care’ is a conversation, a time to connect with employees on their health and safety journey, with the goal of taking care of themselves and others, at work and beyond. ‘I Care’ is a new cultural stage that Ursus Breweries is developing together with its employees.

SAFETY WEEK

In November 2022, in breweries and distribution centers, employees were able to participate in various awareness workshops on:

• hazards related to working at height and confined spaces • emergency situations and fire fighting • first aid • safety during maintenance interventions • behavioral safety • risks related to internal traffic and forklift handling • choice and selection of protective equipment according to the activity performed

In addition to practical workshops, online sessions on:
• mental health • ergonomic principles • preventive driving principles

A key role in managing H&S risks from workplace hazards is played by the risk management process. Ursus Breweries has developed a risk assessment methodology that allows for:

identifying hazards

identifying people and how they may be harmed

assessment of the risk and the measures to control it

recording findings

reviewing and implementing new checks

Risk assessments are conducted considering normal operational situations as well as non-standard events such as maintenance, shutdowns, maintenance activities and emergency situations.

Usually, the person who manages the operational process with the support of an H&S professional handles the risk assessment process, which is performed every time one of the following situations occurs:

Before new processes or activities are introduced

Before certain changes are made to existing processes or activities, including when products, machinery, tools, equipment change or new information concerning harm becomes available

In the initial and regular identification of hazards

Upon completion of such processes, when work-related hazards are identified, then specific control methods occur, which frequently fall into one of the following categories:

The risk assessment outcomes follow the PDCA cycle. Action plans are developed to implement control/ mitigation measures and are reviewed regularly. Audits are conducted annually for progress monitoring. All safety incidents are reported according to the internal policy and regulations.

The procedure, which applies to all incidents occurring in the workplace, describes the activities deployed, the responsibilities for internal and external reporting of work-related incidents, and the responsibilities for registration and reporting of incidents in order to identify the causes that contributed to their occurrence and to set out appropriate preventive and corrective actions..

The following principles are observed in the internal reporting:

Any H&S incident is reported to the direct supervisor by employees involved and/or witnesses

Incident reporting shall be done immediately, without unjustified delays, at the latest by the end of the shift in which the incident occurred

Internal notification of an incident must be made in any form, email or phone. After the occurrence of the event, its status quo shall not be changed

In case of an accident/ incident involving a contractor, the supervisor of the working site and/ or the witness shall report to the contracting company’s responsible manager and also to the responsible person from Ursus Breweries

All incidents reported are recorded in the incident database and are followed up with specific action plans. Depending on the severity of the incident, the procedure describes precise flows of communication for major to minor incidents. In case of disabling injuries, an official report of investigation is prepared and submitted to the Local Labor Inspectorate in due legal term.

Each Ursus Breweries employee must immediately inform the head of workplace and stop the work upon occurrence of a work accident imminent hazard. All Ursus Breweries employees have to behave in full accordance with the mentioned procedure, including providing support to the event investigation team, as needed. The investigation team is appointed by the decision of the site official representative.

H&S event investigation is conducted according to the legal requirements in force at the time of the incident occurrence. Based on three levels of investigation depending on the severity of the event (i.e. from major to minor incidents), the process is described by internal regulation. All incidents are communicated thorough safety alerts to the employees for shared learnings and further actions, if needed. Action plans are monitored regularly.

Employees are encouraged to report all minor incidents and hazardous events using a specific reporting form. These types of incidents are recorded and discussed with the management team on a quarterly basis to find appropriate solutions for improvement and prevention of serious events. A scheme of reward and recognition is applied for reporting of dangerous situations.

The Behavior-Based Safety program provides management and employees with an additional opportunity for reporting on unsafe behavior and workplace conditions. Employees have access to a reporting tool (BBS e-tool) designed for such purpose. These reports are monthly monitored along with the action plans and targets set to complete the actions.

As per internal regulations and the legal requirements, all employees have the general obligation to conduct their work in accordance with their professional background, training, and instructions provided by employer, so as not to expose themselves to risk of injury or occupational disease, and others who may be affected by their actions or omissions during the work process. Such general obligations are stated in the employee's job description form. They are also presented to each employee during the induction training on employment and furthermore during regular H&S training courses at workplace.

Ursus Breweries collaborates with a qualified occupational health service provider to conduct health care program for employees. Part of the prevention program for the workforce, these initiatives are related to the identified risks for each workplace and role of our employees. Data is collected and processed by the health care service contractor in line with the GDPR (General Data Protection Regulation) and other regulations regarding data privacy. Employees have access to the medical provider in all our locations across the country.

The communication (internal and external) procedure describes the means of employees’ involvement in H&S communication. All necessary information related to H&S is delivered through internal communication campaigns. Among other functions, our intranet serves as library of all relevant communications, policies, procedures, guidelines and work instructions that cover H&S area. This ensures free access to such information for our employees.

The Safety Steering Committee (SSC) comprises another means of employees’ involvement in the development and implementation of H&S decisions. The main responsibilities of the Committee cover the following aspects:

Compliance with legal and internal rules

Information about H&S incidents

Follow-up on H&S action plans

Selection and maintenance of personal protective equipment (PPE)

Employees’ complaints and requests

Analysis of activities conducted by internal and external H&S providers

Contribution to working conditions improvements

Raising awareness on H&S rules and importance of compliance

Support to the risk assessment team

As legally required, such committees are constituted in each business unit having at least 50 workers and with the following mandatory management and non-management membership:

employer

employer’s representative

employees’ representatives (equal number with the employer’s representatives)

representatives of workers with specific H&S responsibilities for workers

occupational medicine representative.

The SSC operates on the basis of appointment decision and follows its own rules. The employer or its legal representative (local director) acts as the president, while the secretariat is covered by the H&S specialist (H&S Manager).

The employees’ representatives are members of the trade union, selected according to the law as well as internal regulations of the union. The trade union is also involved in the annual negotiation process for the establishment of the collective labor agreement at the company level.

The Committee meets quarterly and whenever necessary. The SSC secretary convenes the meetings by written informing the SSC members at least 5 days prior the date of the meeting. The SSC meeting is considered to be legally constituted when at least half plus one of its members are present. Each meeting ends with a formal minute taken by the SSC secretary and signed by all members who are present. The SSC’s decisions are considered valid with the vote of at least two-thirds of the members present. Copies of the minutes are displayed in visible places for all employees and are circulated to the local Territorial Labor Inspectorate within 10 days from the date of the meeting.

To ensure continuous training of the employees on H&S topics, a series of specific Occupational Health & Safety (H&S) and Emergency Situations (ES) training courses were elaborated and are carried out during working hours (by law, their duration counts as working time).

H&S & ES training includes four main modules:

General induction training

Training at the workplace

Recurrent training

Additional recurrent training
(only for specific cases according to the procedure)

At branches and registered office level of Ursus Breweries there are responsible persons mandated to elaborate the training program for all above-mentioned training modules, which is later approved by the head of workplace.

The training program document contains:
(a) period of time when training is planned,
(b) title of training materials,
(c) list of training materials,
(d) specification of the job for which the training is addressed.

The finalized document is also signed by the person who designed it and stays with the trainer/ person entitled to deliver the training. The trainers/persons entitled to deliver the training in all modules and for all working places must be also nominated by decision at level of branches and registered offices of Ursus Breweries.

The training result is recorded in each employee’s H&S personal training record, indicating the training content, duration and date. This procedure is done immediately after the course and the record is signed by the trainee, the trainer and the person who checked the training.

To test the employees’ level of knowledge on H&S, a questionnaire is distributed among employees. The test results are also included in the personal training record. The personal training record is kept by the head of the workplace, accompanied by the latest capability record issued by the occupational therapist. The document is kept in the company from the employment until termination of services.

Types of H&S & ES training courses conducted within the organization:

INDUCTION TRAINING, AT MOMENT OF EMPLOYMENT

The purpose of this training is to provide general information about specific activities on Ursus Breweries sites, risks to safety and health at work, fire prevention procedures as well as measures and activities for prevention and protection at the site level.

The training is conducted either by the SHE officer (for the employees who activate mainly at branch level or within other departments), or by a representative of the external prevention and protection service contractor (for the registered offices where valid contracts between company and contractor are available).

TRAINING AT THE WORKPLACE

H&S and ES training at the workplace is carried out to present health and safety risks at work, preventive and protective measures and activities for each job, workstation and/ or function performed. The duration of OHS &ES training at the workplace is minimum 8 hours.

All new employees, no matter the type of contract (permanent, temporary), participate in H&S & ES training courses, as well as those employees who change their working place. The head of the workplace, appointed by decision, is responsible for conducting this type of training. 100% of the permanent contractors working on sites which are under ISO certification are mandatory to observe the same guidelines as Ursus Breweries employees.

No employee is allowed to start working unless their knowledge on H&S & ES topics was verified by the superior of the person who delivered the training.

RECCURENT TRAINING

H&S & ES recurrent training courses are delivered to all employees and permanent contractors with the aim to refresh information and knowledge about health, safety and emergency situations at the workplace. Recurrent training must be delivered by the head of the workplace who is appointed in this regard by decision.

The duration of recurrent H&S & ES training is minimum 2 hours per session, the timing of recurrent sessions is decided by the employer, yet has to comply with the minimum requirements listed below:
• for breweries – on a monthly basis
• for distribution centers – on a monthly basis
• for activities carried out by draught technicians – on a quarterly basis
• for office activities – on a bi-annual basis
• for activities carried out by the sales force – on a bi-annual basis

ADDITIONAL RECCURENT TRAINING

This type of training, with a duration of minimum 8 hours per session, is conducted for specific cases detailed as follows:
• in case of absence from work for more than 30 working days;
• whenever H&S & ES changes occur with regard to specific working places/ positions/ functions or to the working instructions caused by evolution of risks or emergence of new ones
• upon resuming work after a disabling injury;
• on performing special works;
• when introducing a new work equipment/ making changes to an existing one
• when changing existing technologies or work procedures;
• when introducing new technology or new work procedures.

VALIDATION OF TRAINING

Verification of knowledge is conducted in writing, based on questionnaires and is performed in the following situations:
• Upon completion of induction training in case of new employees, to validate knowledge about the training performed;
• At the end of each calendar year (during December) to validate knowledge acquired during regular trainings;
• On the occasion of verifications during internal audit related to H&S.

Verification of knowledge conducted through discussions and/ or practical tests between trainee and trainer is performed in the following conditions:
• Upon completion of training at the workplace in case of new employees;
• Upon completion of regular employee training.

The training needs matrix is developed on an annual basis, updated monthly, and describes the training needs of the staff for each function and department. It represents the annual training planning related to the quality and H&S management system.

The training needs matrix related to H&S, environment, food safety and quality is developed by the head of Food Safety team and SHE (Safety Health Environment) coordinator, at the beginning of each calendar year, and is communicated to department managers and HR Business Partners.

The on-site training responsible delivers the monthly/quarterly/annual training depending on the type of training and the frequency established, according to the training matrix needs. The training must be recorded in the H&S records and/or the specific training courses participation form.

Ursus Breweries collaborates with qualified occupational health services to provide health care programs for its employees. Thus, all employees have access to:
• medical prevention subscription • detailed brochure about current medical plan(s), which details a specific package offer • two additional medical plans dedicated to prevention at a preferential cost for both the employees and their family

Reports in this section have been calculated based on 200.000 hours worked.

During the reporting period we did not register any fatalities as a result of work-related ill health or cases of recordable work-related ill health nor among our employees, nor the workers who are not employees but whose work and/ or workplace is controlled by our organization.

Following the hazard identification processes carried out during the reporting period, situations posing a risk of illness in the workplace were identified and managed.

HUMAN RESOURCES DEVELOPMENT & WORKFORCE TRAINING

HUMAN RESOURCES DEVELOPMENT & WORKFORCE TRAINING

To maintain high levels of productivity and innovation in the company it is essential to have an educated and skilled workforce, and providing adult learning opportunities plays a crucial role. A well-trained workforce ensures business continuity and growth, so the way we develop employee learning and evaluation programs can have a major impact on business performance.

Through our training programs and education initiatives we are committed to developing the skills and knowledge of our employees to reach their full potential. Education and training is central to our strategy, impacting the entire organization, from full-time and part-time employees to management and even our outsourced employees.

Continuous development, both personally and professionally, is a priority for us, and the flow of learning and development is crucial to achieving our business goals and strategies. We are committed to maintaining a healthy work-life balance for our employees and helping them discover and develop their strengths by providing lifelong learning opportunities. This way, we offer our colleagues a development framework to help them grow and develop in their careers.

The training activities are managed by the Learning & Development (L&D) team within Human Resources department and the plans are developed annually, based on development and training needs identified within the organization.

To identify the most relevant and needed topics for these programs, we conduct training needs assessments throughout the organization, which then are aligned with our regional, local and business goals. Thus, the programs cover a wide range of topics that address the variety of our colleagues’ professional and personal development needs, whether they are new employees, non-managers or senior and executive managers.

These include: onboarding aspects, managerial and leadership skills, digital and functional abilities, and wellbeing topics.

The programs are delivered through face-to-face or virtual interactions, e-learning platforms, self-study or short videos. In order to monitor and keep up to date the skills of our employees, starting in 2021, all learning and development opportunities in digital/e-learning format have been integrated in a dedicated module within the HOPS human resources platform. This platform includes, among other things, a goal setting system, performance management and evaluation, continuous feedback, career opportunities, employee information etc.

Depending on the type of program, employees are either invited to participate in trainings specifically designed for them, or they can opt in for certain programs with general access. The majority of our initiatives – wellbeing sessions, professional upskilling, certain workshops related to leadership – are open to all employees who are free to register and participate without prior approval from their manager.

The development strategy has three lines of action:

Leadership
Our leadership skills development program, consisting of various courses tailored to the training and education needs of different categories of employees:

  • ‘Leadership Fundamentals’ – available to all newly appointed managers
  • The graduate trainee development program – especially designed to foster the progress of our trainees and of those with high potential into the organization's future leaders
  • ‘Grow the Leader Within’– a program dedicated to our senior leaders, which mixes several topics of leadership, personal growth and emotional intelligence.

Business skills
Sessions through which we developed interpersonal skills related to working in a business context, topics related to change, relationship management, efficient communication, time management, presentation skills etc.

Wellbeing
Wellbeing sessions for all colleagues, thus providing them with tools to increase mental, physical and social wellbeing.

All our employees have free access to a mentoring program. They also benefit from English classed to strengthen their foreign language skills. The course is available to all employees as long as the request is grounded by a business reasoning.

In terms of personal wellbeing and growth we have a well-designed program which is ongoing in the organization since 2017. It has continuously developed over time and it has been adapted to fit the evolving wellbeing needs of our colleagues. Starting with 2021, we went a step further and developed a regional wellbeing strategy which started to be implemented locally in 2022.

Another long-term program refers to our community of internal trainers. Initiated in 2017, the community kept expanding, proving to be an important resource in delivering training within the organization. The internal trainer role is voluntarily covered by colleagues from various departments that have the required skills gained through participation in train the trainers programs.

Feedback is collected at the end of each training session. Overall feedback regarding our employees’ learning and training experiences is collected annually through the employee surveys conducted locally as well as globally. The feedback is also a way to collect comments and suggestions from employees regarding the adjustments of our initiatives.

Other ways to register comments are through the managers and HR Business Partners or via the specific training email address. All opinions are reviewed and the training initiatives are adjusted accordingly. Internal trainers are fully involved in the review and revise process.

Professional and personal development is deeply embedded within the organization through the yearly career development discussions. These are another way to monitor and maintain up-to-date skills of our employees. All employees and their managers follow this process to identify future career and development aspirations, and the steps required to achieve that objective.

In 2021-2022 we continue to give importance to mental and emotional health of our colleagues. We have supported them to work remotely/ online during the pandemic, we increased the number of learning initiatives, and our e-learning curricula on Learning Management System (LMS) was extended, the integrated online platform being live as of mid-2021.

These initiatives were possible due to the partnership started in 2020 with a local e-learning provider that supports our progress towards a more digitalized approach and development of the appropriate e-learning materials. The training and development module in our HR platform (HOPS) is a great resource for managing the training processes, making materials available for our employees and also for monitoring, follow-up and reporting.

No matter the context, the health and safety of our employees is of outmost importance. During the reporting period we organized defensive driving trainings for all our colleagues driving company cars, both online as well as face-to-face, regular health and safety sessions and Alcohol Behavior and Communication (AB&C) training courses. For more information on these topics go to the Employee Health and Safety chapter and Responsible alcohol drinking and healthy lifestyle.

We also address specific individual development needs expressed by our employees, such as coaching or other types of requests that reach our learning and development team through the HRBPs and managers. In managing these needs, we have a flexible and open approach, permanently trying to find ways to accommodate them.

The time for employee goal setting is flexible to allow alignment with business dynamics and/or type of work. Our learning and development framework has been designed to meet the needs of different job roles and levels. Our leadership team supports an inclusive working environment in which all our employees are treated equally, enjoying equal development opportunities and fair performance management.

Leaders are trained to act as role models and inspire others to take individual responsibility in our diversity and inclusion initiatives. Inclusive leadership is part of our core competency model and of our required competencies, such behavior is a part of advertised job descriptions, assessed during performance reviews, supported by learning and development, role-modelled by management.

Transparent goal setting is part of our standard performance management approach. This includes sharing individual performance goals with peers, as well as individuals' direct reports.

Senior managers drive the change towards a performance development culture (e.g. continuous alignment on performance expectations and goals, ongoing informal performance conversations/ feedback). Moreover, to encourage performance and increase motivation, we have developed a recognition program, through which any employee has the opportunity to propose for awarding team colleagues they admire, who proved exemplary behavior and whose involvement has led to exceptional achievement of objectives. Through this program, every month, colleagues are rewarded both individually and as a team.

DIVERSITY

DIVERSITY

We face a diversity challenge in our industry because it is less attractive to women. For this reason, one of our sustainability goals at company and group level is to promote gender diversity.

Thus, by 2030, we aim to have an equal share of women and men in the management team.

Diversity is important at Ursus Breweries because when we bring together people with different backgrounds and perspectives we stimulate creativity and innovation in the company.

A diverse workforce brings with it different perspectives on business issues and situations, improves decision-making and therefore leads to better performance, including reputational.

The way our HR team operates is based on our principles of diversity and inclusion, which aim to attract and retain talented employees within Ursus Breweries. We strive to develop our entire workforce without any kind of discrimination, support gender balance and equal treatment at all levels and functions in the organization.

We have an internal diversity policy that is based on our company's core values and promotes non-discrimination. The purpose of this policy is to raise awareness of the equal and fair treatment of all our employees and to prevent discrimination of gender, race, disability, religion or belief, sexual orientation or age.

We have zero tolerance to harassment or bullying of any kind, as well as to all forms of unlawful and unfair discrimination, either inside or outside the workplace.

We regularly reinforce transparent communication to all employee groups about the organizational strategy through face-to-face meetings and various media channels. We inform employees well in advance of implementation about organizational and/or high-impact changes. We have defined our desired performance development culture (including required behavior of employees and managers).

Thanks to the attention we pay to our employees, we have managed to get the Top Employer Romania certification for three years (2021, 2022, 2023).

We were the first Romanian brewer to obtain this certification offered by the independent organization ‘Top Employers Institute’ in the Netherlands, which has developed a complex process of auditing companies to identify the opportunities and experience they offer to their employees.

Our continuous efforts are focused on ensuring a safe and inclusive work environment, so that each employee feels that is treated with respect and care. We listen to the voice of our employees through specific surveys.

At Asahi Group level, every two years, we conduct a Global Employee Satisfaction Survey and in the years without this survey, we have a Global Pulse Survey. There are also various focus groups with brewery employees and the sales force or discussions during the collective labor contract negotiations.

In 2021, the Global Employee Satisfaction survey was dedicated to all members of Asahi Europe and International group and implied consultation on 18 topics (e.g. leadership, communication and collaboration, talent and performance management, health and wellbeing, innovation, sustainable involvement, operational efficiency, ethics and integrity, strategic approach etc.).

In Ursus Breweries, the survey had a response rate of 69%.

The 2022 Pulse Global survey contained 16 questions, was anonymous and provided valuable insights into how employees perceive company progress in four priority areas: sustainability, diversity and inclusion, health and wellbeing, and operational efficiency. The response rate in Ursus Breweries was 77%.

The biggest improvement since 2021 is in the area of health and wellbeing, where employees feel their personal wellbeing (both mental and physical) is supported and where 72% of responses were favorable.

Following the responses received, various working groups have been set up within the departments to identify suggestions for action in areas that have been identified for improvement.

Another way to ensure that our people work in a non-discriminating and equitable environment is our whistleblowing policy, which represents a nonstop tool for employees to report any complaint on non-ethical behavior in complete anonymity. We take immediate follow-up actions, making sure their grievances are listened to and addressed. This way, we assure that dialogue is always opened and any issue is identified and resolved.

As of 2020, a Diversity & Inclusion agenda was included in our mid-term integrated business planning at the group as well as local levels.

We have been the first beer producer in Romania to sign the LEAD Network (Leading Executives Advancing Diversity) commitment for building an inclusive work environment and organizational culture based on diversity and gender equality.

The LEAD organization aims to facilitate attracting, keeping and promoting women in the retail and consumer goods industry, through education, leadership and professional development.
Also, in 2022, we signed the Romanian Diversity Charter, a collaborative platform for action, debate and exchange of best practices related to diversity management.

A Diversity, Equity and Inclusion Committee has also been set-up, a multi-disciplinary working group dedicated to best practices and exploring initiatives to raise awareness of diversity, equity and inclusion issues within the company.
As active advocates of gender balance, our target is to have 50-50% men and women in top management at local and group level by 2030.