Employees

Kazakhmys is one of Kazakhstan’s largest employers, with our 61,629-strong workforce representing around 0.8% of employed people in the country. We aim to provide good working conditions, to treat employees with respect and uphold their human rights at all times.

Each division has employment policies appropriate to the cultural and legal requirements of its country of operation. These policies cover all aspects of employment and are designed to recruit and retain talented and motivated employees across the company.

Pay and benefits

Competitive remuneration is essential for recruiting and retaining a talented workforce. An internal benchmark carried out in October 2009 shows that the wages our Copper Division pays are higher than both average wages in Kazakhstan and the salaries paid by other large mining companies in the country.

Kazakhmys contributes to defined contribution pension schemes in Kazakhstan, Germany and the UK. These contributions are a legal requirement in Kazakhstan. The Company has share plans for senior executives, which are described in the Director’s remuneration report PDF.

Employee headcount by business

Employee headcount by business

  • Copper 57,279
  • MKM 1,061
  • Power 1,945
  • Gold 1,036
  • Petroleum 91
  • Head Office 217

Our Copper Division in Kazakhstan provides medical and dental services at no cost to current employees, and at less than half price for their families and retired employees. In 2009, medical facilities across the Copper Division treated 15,657 people, of whom 6,380 were employees, 937 were retired employees and 2,213 employee family members.

The Copper Division also provides leisure facilities to employees and their families. It owns two health resorts, a holiday facility and six children’s summer camps. In 2009, 4,395 employees and 637 retired employees visited health and holiday facilities paid for by Kazakhmys. Over 4,000 of our employees’ children spent their holidays at our summer camps.

Training and development

Training is essential for employees to do the best job they can. We invest in training and education for employees of all levels. We provide formal education at colleges and universities, as well as courses in mining specialities at our own training facilities. Our purpose-built technical college in Satpayev offers classroom training as well as operational and safety training both above and below ground.

At the end of 2009, we completed construction of a second technical college at Balkhash, where we will open a similar training centre for employees in 2010. We require all employees to pass periodic operational, health and safety refresher courses and tests, and help many employees to retrain in a new speciality to help them develop their careers with us.

In 2009, 25,808 employees received professional training at our technical college, universities and mining schools in Kazakhstan and abroad. There are currently 388 continuing their training at our technical college, 33 at Kazakhstani universities and 31 abroad. In 2009, the Copper and Power Divisions spent over $900,000 on external training, although this does not include the cost of running our own training centres.

Committed to responsibility

Nurturing talent

In 2005, we selected two talented young engineers to study for a Masters degree at Beijing Science and Technology University.

After interviewing 10 applicants, we chose two engineers, Sabira Makhambetova and Natalya Mutayeva, who worked at the Zhezkazgan and Satpayev facilities respectively. These applicants displayed a high level of professional qualification, good knowledge of economics and production management, and excellent communication skills. Both chose to study for a Masters degree in enterprise management, from a list of relevant courses offered by the Company.

In 2009, both engineers completed their studies and returned to higher-level, better paid positions at Kazakhmys. Sabira now works as an economist in our capital construction investments department, and Natalya has become an equipment engineer in the procurement team.

Says Sabira, “I am able to exploit all the skills I have acquired – understanding of economics and knowledge of Chinese – as our department closely works with Chinese partners. I am grateful to Kazakhmys for providing me with such an opportunity to acquire a new speciality and to experience living in an exciting and completely culturally different environment.”

Nurturing talent

Equality and diversity

We want to provide a fair and diverse workplace free from discrimination. This benefits employees, and ensures we profit from a workforce that reflects the local population and the variety of skills and experience within it. We are committed to recruiting, developing, training and rewarding employees based on merit. We employ disabled people with relevant skills, provided they can work safely.

Recruiting women is a challenge throughout the mining industry. In our Copper Division, around 35% of all employees, including many of our engineers, and 22% of managers are women.

Within Kazakhstan the Group employs a small number of non-Kazakh nationals, generally where there is a skill shortage or where those individuals bring particular experience or abilities which is unavailable. A key aim is to ensure a transfer of skills and knowledge to existing employees, in order to benefit the local workforce and reduce dependence on ‘expat’ labour.

Consultation and communication

Keeping employees informed about our business strategy and matters that affect their work is critical to maintaining a loyal and motivated workforce. We communicate with employees in a variety of ways, primarily through face-to-face conversations between managers and their teams, email, and also through a company-wide internal newspaper and intranet site, both established in the past year.

Most employees are represented by trade unions, which negotiate collective employment agreements with our divisions. In Germany, employees are represented by a works council and approximately 55% of employees are members of the IG Metall union.

In 2009, the trade union representing employees in Kazakhstan engaged with management on issues including living and working conditions, food provision, and health and safety. We also negotiated on measures implemented in response to the global recession and resulting collapse in copper prices. These include the suspension of several social benefits such as preferential prices at health centres, and a shortened working week for certain employees. The union held almost 100 meetings during the year.

Our Youth Union boasts almost 18,000 members and supports younger employees joining the Company. All copper staff under the age of 35 are free to join. The Youth Union runs work-related competitions plus cultural and sporting events, as well as organising charitable and volunteering projects.

2010 commitment

  • Open our second employee training centre at the new Balkhash technical college.