Corporate Responsibility
People
Our workforce
Equinox’s people underpin the Company’s operations and are its most important asset. We are an equal opportunity employer and at our Lumwana operations we actively recruit people from the three chiefdoms in which we operate.
Lumwana currently employs 1,347 of which 1,225 were recruited locally. In addition we have a further 1,764 contractors on site many of whom are recruited locally. During the year employees on site reduced as the construction phase was completed and production ramped up.
Developing and retaining a skilled workforce
Equinox recognizes the business need to attract and retain employees with the technical skills and expertise to deliver across all aspects of the Company’s operations. We aim to create a work environment and introduce programs to underpin high performance, foster cultural and gender diversity, and build internal capacity.
To ensure Equinox can attract the right people at all levels, the Company has a range of programs and incentives in place. This includes:
- Competitive salaries and conditions of service
- Incentive schemes related to safety, cost and production results
- Permanent employment to offer job security and support succession planning
- Pensionable contracts with an additional co-contributory pension scheme
- Company housing in a modern town development with power, water and services
- Mortgage facilities at low interest rates to facilitate home-ownership
- Subsidised schooling onsite
- Medical facilities and medical insurance for employees and their families
- Support for education and personal development
During the second half of 2009 the Company commenced negotiations with the Mine Works union of Zambia (MUZ) and National Union of Miners and Allied Workers (NUMAW) for a Collective Bargaining Agreement (CBA). Agreement was reached in January 2010 with the CBA ensuring that Equinox reaffirms its status as an employer of choice, particularly amongst Zambian employees. This negotiation, concluded in record time in the context of Zambian industrial relations, laid the foundation for a strong and collaborative relationship with the two unions going forward.
Training and development
Equinox is committed to developing the skills of its workforce, particularly at Lumwana where the majority of the people employed have previously worked in traditional roles, primarily subsistence agriculture.
Lumwana offers a broad range of employment opportunities with varying skill levels. The skills have generally been new to those employed from the communities surrounding the operations. As a result the Company has invested and continues to invest considerably in training and up-skilling workers.
During the year the Company undertook the following training initiatives:
- General and area specific inductions for all employees contractors and visitors
- Safety training (first aid, fire fighting, working at heights, isolation)
- Environmental and radiation awareness programs
- Intercultural competency training to ensure a harmonious yet diverse workforce
- Mine and Process operations and maintenance training including the use of state-of-the-art equipment simulators, technical, skills and on-the job training
- Supervisory and management skills training
- Industrial relations training and awareness programs
Equinox’s commitment to training is critical to ensure that we can provide a safe working environment where employees can acquire new skills. Development plans for each employee are developed through training needs analysis in support of a structured succession planning program. These skills will bring long-term benefits to the region and Zambia over the many years Lumwana is operating, and into the future.
Sustainability
Equinox is committed to the principles and practices of good corporate and environmental citizenship and a sustainable approach to all its activities.
The Company recognizes that its long-term success is dependent upon best practice environmental performance and strong community relations.
Environment
Equinox is committed to world class environmental management, driven by the Company’s Board of Directors. There are ongoing challenges managing the operations to ensure that Lumwana has limited environmental impact.
Throughout the development of Lumwana, Equinox has focused on maintaining biodiversity and preserving the environment, and remains committed to sustainable environmental practices across all its operating and exploration activities.
With the mine and plant now ramping up to full production the impact on the environment is very much a day to day management activity. Each employee is aware that they have individual responsibility for how they can minimize disturbance of the environment.
To ensure this takes place the Company has implemented a range of programs as part of its Environmental Management Plan (EMP). This plan was developed as a component of the Environmental Impact Assessment (EIA) required for permitting of the project. Major components of the EMP include:
- Collection of meteorological data in support of engineering and design work
- Air and water quality monitoring programs
- Waste management, recycling and bio-remediation facilities
- Land management through the use of clearing permits
- Nursery operations and a progressive rehabilitation program
Stockpiling of uranium ore continued in the period and strict environmental guidelines are in place to manage any impact this may have.
Lumwana operates under the Environmental Protection and Pollution Control Act (Cap 12, 1990). A strict reporting process is in place under this Act and any incidents are fully investigated and remediated. Monitoring programs in 2009 have not indicated any problematic trends and no material instances of non-compliance with permit conditions have occurred.
Community
Equinox seeks to be an integral part of the communities in which it operates. The Company is committed to ensuring that the impacts on these communities are positive and the legacies we leave will be sustainable.
Our corporate social responsibilities extend beyond providing sponsorships and community partnerships. We look to making a difference to the lives and livelihoods of the people in the traditional chiefdoms which contain Lumwana’s mining lease.
Since Equinox commenced developing the Lumwana project, the Company has had a direct positive impact which will continue long after the mine is exhausted. In consultation with the local communities, we have developed programs that will make a difference.
The Company’s commitment to these communities has included infrastructure, institutional capacity building, social development and health and education initiatives.
During 2009 the development of Lumwana town continued and by the end of the year 734 houses had been completed. These houses are the cornerstone of a modern and thriving community. Commercial and retail infrastructure to support the town is advancing and now includes a supermarket and several other commercial developments.
These activities are all directed to grow the community, provide employment opportunities and develop a sustainable town which supports, not only the Lumwana operations, but also the wider regional communities.
Enabling the local people through education is also a key platform of the Company’s community programs. Equinox provides 14 scholarships to the University of Zambia and 92 high school scholarships and traineeships.
In addition, through the establishment of the Lumwana Development Trust Fund, twelve community infrastructure projects were completed in 2009 covering the following areas:
- School classroom construction and upgrades
- Rural healthcare centre improvements
- Teacher and health worker housing
- Economic / livelihood improvement infrastructure
These projects were completed with a high level of community engagement, with local people fabricating bricks, providing labor, and supervising the work. Equinox and local government officials provided project management and resource utilization controls and support.
Local economic development is anchored in the pursuit of diversification and introducing new industries. This is a key driver for Equinox, the regional community and the Zambian Government. During the year the Ministry of Commerce Trade and Industry approved the Lumwana Multi Facility Economic Zone (MFEZ) master plan. This paves the way for declaration of the MFEZ through issuance of a Statutory Instrument early in 2010. This is a significant milestone as the MFEZ will underpin the establishment of a broad based economy for the surrounding Lumwana area, and provide opportunities for this previously undeveloped region.
During December, Lumwana joined in the commemoration of World AIDS Day as an information platform to the rapidly developing local communities. With such an economically driven high influx into the area, the Company is committed to mitigating against any potential increase in the rate of infection.
First republican president Dr Kenneth Kaunda was guest of honour at the commemoration, which is one of the most visible opportunities for public and private partners to spread awareness about the status of the pandemic and encourage progress in HIV/AIDS prevention, treatment and care.
Health and Safety
Health and Safety in the workplace has unconditional priority in any business activity and cannot be compromised.
Equinox has a team of dedicated professionals committed to supporting health and safety management throughout all areas of the business. This team, through education and training, ensure everyone including employees, contractors and site visitors are aware of their personal responsibility to their own safety and the safety of others.
The Company is working constantly to eliminate or manage hazards and practices that could cause accident and injury or illness to people.
Performance
In 2009 Equinox’s safety performance was monitored and measured against a Lost Time Injury Frequency Rate (LTIFR) for every 200,000 hours worked. The operation achieved an LTIFR of 0.10 against a target of 0.13, and at one stage during 2009 a total of over 5,000,000 hours were recorded without a lost time injury (LTI). A total of four LTIs were reported in 2009 which is a reduction from nine recorded in 2008, and the fourth consecutive year in which the number of LTIs has been reduced.
Unfortunately however one of the LTIs resulted in a fatality when a contractor was struck by the boom of an excavator. This incident was thoroughly investigated in collaboration with Zambian authorities and remedial action taken to prevent a reoccurrence. This outcome underlines the need to maintain our commitment to achieve a zero harm workplace and Equinox will continue to pursue a range of initiatives to this end.
Emergency response
Lumwana has a fully trained emergency response team. This team is responsible for any emergency response situations that occur at the mine or plant and is available to provide support in the event of an emergency in the community.
The majority of the emergency response team have been recruited locally and have received training in all aspects of effective emergency response on a large open-cut mine, including fire fighting, first aid, vehicle extrication, rope rescue and other specialised skills training.
Employee consultation and training
Health and Safety is the first topic for discussion with each shift change meeting and is the first agenda item at the daily management and planning meetings. Incentive programs have been introduced with safety outcomes as one of the main performance measures.
During the year numerous Health and Safety initiatives have been instigated and almost 8,000 individuals have received some form of Health and Safety training, this includes over 6,000 people who attended either new or refresher induction training.
All statistics mentioned are inclusive of contractor employees, and Equinox makes no distinction between employees and contractors with respect to the application standards and systems for safety management.
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