Important information affecting the HR and payroll situation

Rules for setting and monitoring objectives in the Energa SA Group

The strategic objectives of the Lead Entities of Business Lines and heads of Energa SA departments have been set in a consultation process, using a top-down approach. In line with this approach, the objectives for executive staff covered by the system are underpinned by the strategic objectives of the Group. The objectives for Lead Entities and heads of Energa SA departments have been designed on the basis of the Energa Group’s Strategy, long-term financial plans and budget information. The objec-tives perform a range of functions, including that of a basis for executive incentives within the Energa Group..

Standardisation of HR processes across the Energa Group

In 2018, in the Energa SA Group, the actions aimed at the standardization of personnel processes at Group level were continued.

Employee benefits

In 2018, the system of additional employee benefits at the Energa Group includes, without limitation:

  • The "employee tariff" for electricity offered once an employee reaches 1 year of service in the power industry,
  • The Company Social Benefits Fund, permitting contributions equal to twice the annual basic contribution set out in the Act on the Company Social Benefits Fund (CSFB),
  • Special vouchers given to employees for Easter, the Power Engineers’ Day and Christmas,
  • Employee Pension Plans within the Group companies, funded by employers at the rate of 7% of employee remuneration,
  • The Additional Medical Services Plan,
  • Training provided by all employers within the Energa Group; the forms of employee develop-ment are aimed at preparing staff members to perform their job assignments, improving perfor-mance, building knowledge, motivation and commitment, and bridging competency gaps,
  • Agreement securing employee, social and trade union rights of 18 September 2017.

Within the Energa Group companies covered by the Multi-Employer Collective Bargaining Agreement for Power Industry Employees of 13 May 1993, although the Group companies withdrew from the agree-ment on 31 December 2014, some additional pay components remain in place as acquired rights, in-cluding but not limited to:

  • An annual bonus, equal to 8.5% of the annual salary fund from the previous year, paid in pro-portion to years in service,
  • A supplement to the base salary, depending on years in service,
  • Money equivalent of free coal,
  • The "employee tariff" for electricity offered once an employee reaches 1 year of service in the power industry,
  • Hazard pay,
  • Length of service bonus.

In 2018, grading scales within the Group companies were not modified to a significant extent.

No collective dismissals occurred within the Group companies in 2018.

As at the end of 2018, there were thirty trade union organisations across the Energa Group companies. Almost 5.4 thousand employees were members of trade unions as at 31 December 2018.

Three collective disputes occurred within the Energa Group in 2018.:

  • A collective dispute with Energa Elektrownie Ostrołęka SA initiated by manifests of trade union organisations dated 22 August and 8 September 2017. This collective dispute is at the mediation stage now,
  • The collective dispute at Energa Kogeneracja Sp. z o.o. was initiated by a manifest of Trade Union Organisations of 22 May 2018. The collective dispute ended with an Agreement closing the collective dispute of 29 November 2018,
  • A collective dispute initiated at Energa Serwis Sp. z o.o. by a manifest of the multi-employer trade union organisation Organizacja Międzyzakładowa NSZZ Solidarność Region Mazowsze operating at Energa Serwis Sp. z o.o., concerning the provisions of the Agreement on pay rises for the Energa Group employees in 2018 signed on 21 November 2017. The dispute ended on 10 December 2018, when the trade union organisation withdrew the demands made in the dis-pute.