All work in the Group related to CSR is based on the CSR Policy. Below is an overview of the principles, as well as a description of how the Company reports issues relates to CSR, and measures taken under each of the main CSR principles.
In 2016, the general objectives for Quality, Health, Security, Safety and Environment (QHSSE) were met, but some areas of improvement were identified. The same applies for the QHSSE Key Performance Indicators (KPI). The Company is continuing a positive QHSSE trend from previous years. The 5 year statistics are showing a positive trend and are in line with its peers.
EMGS complies with the highest standards from IOGP, the International Association of Oil and Gas Producers, as well as with specific QHSSE requirements from customers and authorities.
QHSSE performances are reviewed on a regular basis with the Board and management team.
Principles for labour rights:
• Freedom of association and right to collective bargaining;
• No forced and compulsory labour;
• No child labour; and
• No discrimination
The working environment and the employees
As of 31 December 2016, the EMGS Group had 143 employees, of which 59 work in Trondheim, Norway, 6 at its regional office in Houston, USA, 9 at the regional office in Kuala Lumpur, Malaysia, 20 at the regional office in Oslo, Norway. In addition, 42 employees work offshore and the remaining 7 work in other locations. The Board has received reports on the development of the working environment during 2016. The Board is aware that the restructuring and organisational changes over the previous year have been challenging to the psychosocial working environment. It is a prioritised goal for EMGS to maintain a good working environment, even through challenging times of restructuring. Management has been taken measures to improve the communication in certain departments where the restructuring has caused particular concerns. The management team had close contact with employee representatives throughout the year.
As many employees are involved in offshore operations, a dedicated HSE training program has been implemented to ensure the safest possible working environment.
The percentage of absences due to illness in 2016 was 1.9%, a decrease from the 2.0% reported in 2015. During 2016, the Company did not record any lost time injuries.
Equal opportunities and discrimination statement
EMGS 143 employees represent more than 24 different nations with different cultures.
EMGS has defined and implemented guidelines to protect against gender discrimination. At the end of 2016, 20% of the Group’s 143 employees were female, compared to 21% in 2015. The Group will continue to prioritise its goal of improving the current imbalance by actively following a recruiting strategy to this effect. EMGS recognises that the average compensation for its female employees is lower than the average workforce figure. This can be explained by a high degree of representation of males at management level and among the technical professionals. As per 31 December 2016, EMGS management team had 8 members, of which 2 females.
The Discrimination Act’s objective is to promote gender equality, ensure equal opportunities and rights, and to prevent discrimination due to ethnicity, national origin, descent, skin colour, language, religion and faith. The Group is actively and systematically working to encourage the Act’s purpose within its business. The activities include recruiting, remuneration, working conditions, promotion, development opportunities and protection against harassment. These are issues of importance for EMGS’ working environment, as the Group has employees from more than 24 nations with a multitude of languages, cultures, ethnicities, religions and faiths. The Group uses English as the company language so that all employees can take part in communication.
The Group’s aim is to have a workplace with no discrimination due to reduced functional ability. Therefore, EMGS is actively working to design and implement the physical conditions of its workplaces so that as many people as possible can utilize the various functions. For employees or new applicants with reduced functional ability, individual arrangements are made concerning workplace and responsibilities. For offshore work, the Group has limited possibilities for offering work to employees with reduced functional ability.
The Working Environment Committee shall participate in planning safety and environmental work and follow up developments on issues relating to the safety, health and welfare of the employees. The Working Environment Committee has quarterly meetings, in addition topic based meetings.
The Forum for Employee Representatives meets with the CEO, the VP HR and the Chief Legal Counsel. The forum is regulated by the Norwegian Working Environment Act. The goal for this forum is to facilitate cooperation between the employee representatives and management related to the working environment and the general terms and conditions of all employees and conflicts. The forum for Employee Representatives including representative of management met 8 times in 2016, in addition to several informal meetings.
Working environment measures
EMGS management encourages the dialogue between management and employees, and between the different departments within EMGS. Some of the actions to facilitate dialogue are through management visits to vessels and office meetings. The regular offshore seminars were replaced by management visit to the vessels in 2016 to contribute to the cost reductions.
In 2016, management made 6 visits to vessels in the Company’s fleet. The CEO and other members of the management team have visited all business units within the Group.
Office inspections are carried out on a regular basis to capture working environment potential hazards.
The Martitime Labour Convention, MLC 2006 was implemented in August 2013 and the Norwegian law implementing this convention, the Shipworker Act, was implemented on the same day. As of February 2017, the MLC 2006 had been ratified by 81 countries and implemented on 91% of the world’s gross tonnage of ships. EMGS’ working environment and terms were already in line with the MLC 2006 and the Shipworker Act requirements before its implementation.
The conclusion of the review is that EMGS has not experienced any reported breach of the four principles related to Labour in 2016.
Principle for anti-corruption:
• Businesses should work against corruption in all its forms, including extortion and bribery
EMGS has zero tolerance for corruption in all its forms, including extortion and bribery. EMGS commits to follow the regulations given by FCPA, UK Bribery Act and the Norwegian penal code in this respect.
The Company has over the years given significant attention to actively prevent corruption and bribery.
EMGS has several policies and standards related to its anti-corruption compliance program, including but not limited to the Ethics Policy and Code of Conduct as well as an anti-corruption compliance training program. The training is a combination of web based and more in depth training in meetings. In 2016, the training program was related to code of conduct and was conducted as a classroom training. This course was completed by approximately 80% of the employees with exposure to clients and/or subcontractors and vendors. Management attended anti-corruption and code of conduct training in 2016. The Company has a strategy to hold anti-corruption training for all employees at least every two years. In 2017, the training will be expanded to cover all employees.
The Group has a training program and a compliance program with a hot-line for reporting, in addition to the Ethics committee to which employees can report concerns. EMGS encourages and supports employees who report dilemmas and incidents in relation to attempted and/or actual corruption, bribery and/or fraud to management (“whistle blowers”). The Company has not received any reports from employees during 2016.
EMGS continues to have a high priority on the Company’s compliance work.
EMGS is of the opinion that a more systematic use of its EM data in oil exploration will reduce the environmental footprint of oil exploration by among other things reducing the number of well spudding required to find and appraise hydrocarbon reservoirs.
EMGS is committed to act responsibly and in full transparency to monitor and reduce its environmental impact and continually improve the overall environmental performance of its services. This is an integral and fundamental part of EMGS business strategy, operating methods and technology development implemented through EMGS’ QHSSE Policy, Environmental Standard and Environmental Management Plan.
EMGS is tracking its environmental footprint on each survey and identifying and monitoring the main waste streams including hazardous waste.
The technology EMGS uses supports the Company’s environmental ambitions. The anchors used to keep receivers in place are made from an eco-friendly compound which dissolves in the months after the receivers are released, thus the anchors do not harm the environment. This means that the anchors are reduced to disaggregated sand after a survey, leaving no discernible survey footprint and no hazard to sub-sea operations or fishing.
Principles related to Human Rights:
• Support and respect the protection of human rights; and
• Make sure not to be complicit in human rights abuses.
Human rights abuses shall not occur at EMGS. It is the intention of EMGS that the working environment effort, including safety measures, the anti-corruption procedures and training as well as the attitude encouraged from the Company’s employees shall contribute to improved understanding for human rights, working ethics and a cleaner environment in the areas of the world where the Group operates.
The reputation of the Company is created by the collective conduct of each individual employee. The employees are obligated to study the EMGS policies, including but not limited to Ethics Policy and Code of Conduct and perform their duties accordingly.
On an operating level, EMGS seeks to ensure that there is a good working environment without discrimination of any kind in the Group. The managers handle all minor issues related to human rights. If/when there are issues of broader magnitude, HR, legal and the Ethics Committee are involved.
No claim regarding Human Rights has been reported to the HR, QHSE or legal or in 2016.