Management Approach

The Company ensures long-term employee development by seeking out the right employees, making the most of their talents, developing potential and ensuring employability. The Company strives to unlock the potential of human resources management and resultantly, add value to its business. A corporate culture guided by the principles of the Atlas Way (as described in Sustainability Strategy) forms the basis of the Company’s efforts in this area.

The Company has policies in place covering all aspects of employment, including employee relations, training, equal opportunity and health & safety of its workforce. The Company fully complies with applicable labour and health & safety laws and regulations that prohibit forced, compulsory and child labour. The Company is committed to the observance of fair working conditions and human rights. Gender equality and respect for diversity is deep rooted in the Company’s culture to encourage talented individuals with diverse backgrounds to demonstrate their full potential and evolve into leaders. The Company is continuously working to upgrade its human resources expertise, practices, systems, and service quality. As part of the Company’s talent management, performance appraisals are carried out which help in identification of career development and training needs. This also helps the Company in ensuring a fair reward system. Further, the Company’s performance is constantly evaluated through surveys and awards.

Recruitment and Retention

To sustain its market leadership, the Company aims to attract, recruit and retain the best talent. The Company’s ability to offer unique opportunities, such as a diverse and supportive work environment, helps differentiate Atlas Honda from other employers and attracts high-performing professionals who are competent and highly skilled. Recruitment and retention of appropriate workforce becomes more crucial as the Company has been undergoing a phase wise capacity expansion plan. A uniform policy for hiring, job placement and human resource development is followed. A comprehensive “Employee Orientation Training Program / Onboarding Program” has been designed to provide an overview of the Company’s culture and processes to all new joiners.

Employee Composition

The Company’s employees’ composition is as follows. No major variations have been reported. Further, the data has compiled by the Company’s human resource department as per actual and no assumptions have been made. During the year, the hiring rate was 1.65% while the turnover rate was 1.91%.

Diversity and Inclusion

The Company values equality, diversity and inclusion. Gender equality and empowering women lies at the heart of the agenda for sustainable development, which asserts gender equality as both a fundamental human right and a necessary foundation for a peaceful, prosperous and sustainable world. In this regard the Company has been pursuing a non-discriminative hiring mechanism. During the year, 13% of the new hires were females. Merit-based recruitment practices have been adopted and equal employment opportunities for all regardless of race, religion, gender, marital status and age or disability are being made available by the Company. During the year, no incidents of discrimination were reported. For hiring workers, equal weightage is given to candidates from across the country. The Company also focuses on recruitment and qualification of local personnel as a way of developing the local communities and regions in which it operates. No senior management employee at locations of significant operation is hired based on location or domicile and no specific quotas for women, specific nationalities, ethnic minorities, or special age groups exist for senior management and Executive Committee.

The Company hires males and females with vast experiences, from different industry backgrounds, cultures, beliefs and ethnicities. This ensures that the Company is able to adapt to the changing needs of business. However, it is currently a challenge for the entire auto industry in Pakistan to attract sufficient number of female employees. Various initiatives are being undertaken to enhance the participation of women. During the year, 05 female executives were hired. Female and male staff are entitled to three-months and five days parental leaves respectively. During the year under review, 3 female associates availed maternal leaves while 222 male staff availed parental leaves.

The Company also supports creation of job opportunities for persons with disabilities through provision of additional facilities and appropriate training. Currently, 22 individuals, who are differently-abled, are working for the Company.

Career Development and Training

The Company believes in the principle of “Organization Development through Self-Development” and places great emphasis on capacity and skill building. Life-long learning is promoted through the 70:20:10 formula, where 70% learning comes from an individual’s performance at their current job, 20% from coaching and 10% from formal training. Accordingly, the Company provides a broad range of opportunities to its employees in form of on-the-job learning, mentoring programs, trainings and courses. Such programs include various in-house, national and international programs. We support development at all levels – starting from career training through to further development of top management. The Company also provides support to its employees for higher education and management courses at renowned business schools such as Harvard Business School and INSEAD. A number of rotational programs are strategically and systematically implemented to give employees the experience needed to serve at management positions. The Company’s efforts, during the year under review, for training and development of its employees are presented in the following table:

Performance Appraisal and Reward System

The Company adheres to all laws and regulations with regard to employee benefits, including minimum wages and separation benefits. Basic salaries and packages are set on the basis of education and experience of the employees and are not based upon gender discrimination. The ratio of basic salary and remuneration of women to men is one to one at the Company. Compensation packages offered are competitive and equitable and are in line with the industry benchmarks. These include salaries, bonus, health care benefits, transportation allowances, company provided vehicles, fuel allowances and retirement benefits. An employee’s salary is adjusted based on the results of performance evaluations. The Company only provides full time employment and does not offer part time jobs.

All employees undergo performance appraisals twice a year. Annual Performance Appraisal is used as a basis for positioning of personnel within the Company and determination of annual increment. High performing individuals are promoted to higher grades and are awarded higher increments. The Company’s performance management policy, under the Individual Development Program for management cadre employees, requires determination of areas of focus for internal and external trainings necessary for creation of future leaders.

Employee Engagement and Connectivity

The Company supports the creation of a high performing work environment by ensuring a balance between personal and professional lives of its employees. The Company believes in a culture of inclusion and well-being that inspires employee engagement for better productivity. For this, the Company organizes various activities such as family day, picnics, sports and other activities which provide employees an opportunity for leisure.

Human Rights and Relations with CBA

The Company is responsible for creation of an environment free of discrimination and harassment, in which all individuals are treated with respect, equality and dignity and have equal opportunities. Human rights violations of any sort are not tolerated.

Key management practices including: a guarantee of voluntary labour, observance of working hours, respect for diversity and workplace health and safety are continuously reinforced at the Company. Company carries out regular reviews of all its operations for violation of human rights. For this company has also established efficient grievances reporting system. During the year, no such violation of human rights policies and procedures has been identified or reported, resultantly no formal training for human rights policies and procedures was carried out. The Company makes every effort to engage in sincere discussions with its employees about any issues that exist or might arise. This helps in maintaining a relationship of mutual trust. Moreover, the Company complies with all local statutory and operational requirements with regard to the provision of information to employee representatives and employees.

Investment agreements include human rights clauses and undergo human rights screening. The Board of Directors approves all major investments and decision of the board is based upon financial, strategic and sustainability criteria, the last of which also includes human rights aspects. During the year, all the major investment agreements and contracts were subject to human rights screening.

An appropriate notification period is allowed before implementation of any change that can have an impact on employees. The Company recognizes the rights of employees to set up their representation and carry out collective bargaining to regulate working conditions. Constructive dialogue, negotiations and consultations are carried out with labour unions, when needed, at both plants of the Company. All non-management employees are covered under CBA, which cover more than 8% of total permanent employees.

The Company strongly discourages any form of child labour and firmly complies with local regulations concerning legal minimum age requirement for work permits. During the year the ratio of standard entry level wages to local minimum wages across all the major significant operations of the Company was 1:1. The Company has a mechanism of periodical evaluation of its vendors for any possible violation of human rights. The Company does not have any child labour within its operations nor is it aware of any such cases at its suppliers. There were no complaints reported during the year related to violation of human rights.

Health and Safety

The Company is committed to ensure the health and safety of its employees, contractors and visitors. The risks of injury, death or ill-health of Company’s employees and those who work with the Company is a fundamental concern and have a significant impact on its operations. The Company is striving to create a dynamic working environment that is conducive to the mental and physical well-being of its employees. Issues relating to employee safety and health are managed in accordance with the Health, Safety & Environment policy of the Company at all its sites.

In this regard, health and safety management system has been implemented. Aspects related to this area are documented in contracts and agreements with the trade union. All workers are represented by the health and safety committee, Workers Council Committee established under Industrial Relationship Act and operates at facility level. Workers have appropriate representation in the committee. The committee is involved in development, implementation and evaluation of the health system. Monthly meetings of committees are conducted for monitoring and evaluation purposes. Health and safety committees are operational at each plant as per applicable laws and best available practices. Health and safety committees are responsible for identification and evaluation of Work-related hazards and the risks of ill health on a regular periodic basis and take counter measures adopted to minimize the risk and promote safe working environment. The meetings of the committee are conducted on monthly basis.

The formal agreements with the CBA cover health and safety related provisions and all the employees of the company come under the umbrella of extensive medical policy that has been formulated in the light of health and safety requirements of the Factories Act, 1934.

The responsibility for health and safety impacts rests with the General Manager Human Resource. Quality of health services is ensured through competent staff providing the services and regular periodic monitoring and evaluation of the services provided. The management approach comprises of health and safety policy, procedures and guidance which are established under the guidelines of ISO-14001:2015 and ISO-45001:2018. These health and safety management system cover all the employees of the Company working at its premises. Incident reporting mechanism is defined in the work procedures of HSE and is followed rigorously. Workers are encouraged to report any risks and safety incidents and no reprisal action is taken against workers reporting any such incidents. The Company carefully tracks incidents and complaints received from stakeholders and take prompt actions for resolution. During the year, no work-related ill health fatalities, or any other cases of significant injuries have been reported.

Company has established Job Hazard Analysis (JHA) which is essentially the assessment of routine or specific work activities and the workplace to establish whether adequate precautions are in place. In other words, it is the systematic identification of potential hazards in the workplace as a step to controlling the possible risks involved.

Job Hazard Analysis is an ongoing process. Based on the analysis of job processes carried out during the current year, employees of the Company do not face any major risk of occupational diseases nor did any such diseases occur related to the manufacturing processes of the Company.

Important guidelines derived from the HSE policy have been displayed at prominent places within the Company’s premises to manage safe working environment. Workers’ training on occupational health & safety has been the key factor in promoting safe working environment. Generic safety trainings, various fire training, basic first aid and specific work related hazards trainings are provided to workers on regular basis by competent and trained staff in local language which is easily understood by all the workers. Trainings are provided free of charge and during paid working hours. Effectiveness of training sessions is evaluated through post sessions feedback and mock exercises. Further, the Company undertook following steps to promote healthy mindset and evaluate the risks to health and safety of its safety amongst employees

• To address various health, safety and environment related issues regular, HSE Flyers are disseminated. To date, topics covered include updates on COVID-19 prevention, rain emergency, earthquake emergency and road safety.
• During the year 1-month Medical Examination activity performed to ensure good health of associates and prevent them from disease in which 1,587 associates were tested through 6-step verifications which are blood test, eye test, urine test, physical, chest and heart ECG.

• During the year, 24 training sessions on firefighting training and emergency evacuation were conducted in which 1,524 associates participated.

• External training sessions were conducted by HSE department through Standard Global Services (SGS) to create awareness. During the year, 24 training sessions were conducted by HSE department creating awareness about first aid, fork lifter safety, Scaffolding inspection, IS0 45001 Lead Auditor, risk assessment, electrical & chemical safety, in which 98 associates participated.
• Trainings for the use of protective equipment, forklift safety and confined space safety were conducted and 1,440 associates participated in these training sessions.

Management Approach

The Company ensures long-term employee development by seeking out the right employees, making the most of their talents, developing potential and ensuring employability. The Company strives to unlock the potential of human resources management and resultantly, add value to its business. A corporate culture guided by the principles of the Atlas Way (as described in Sustainability Strategy) forms the basis of the Company’s efforts in this area.

The Company has policies in place covering all aspects of employment, including employee relations, training, equal opportunity and health & safety of its workforce. The Company fully complies with applicable labour and health & safety laws and regulations that prohibit forced, compulsory and child labour. The Company is committed to the observance of fair working conditions and human rights. Gender equality and respect for diversity is deep rooted in the Company’s culture to encourage talented individuals with diverse backgrounds to demonstrate their full potential and evolve into leaders. The Company is continuously working to upgrade its human resources expertise, practices, systems, and service quality. As part of the Company’s talent management, performance appraisals are carried out which help in identification of career development and training needs. This also helps the Company in ensuring a fair reward system. Further, the Company’s performance is constantly evaluated through surveys and awards.

Recruitment and Retention

To sustain its market leadership, the Company aims to attract, recruit and retain the best talent. The Company’s ability to offer unique opportunities, such as a diverse and supportive work environment, helps differentiate Atlas Honda from other employers and attracts high-performing professionals who are competent and highly skilled. Recruitment and retention of appropriate workforce becomes more crucial as the Company has been undergoing a phase wise capacity expansion plan. A uniform policy for hiring, job placement and human resource development is followed. A comprehensive “Employee Orientation Training Program / Onboarding Program” has been designed to provide an overview of the Company’s culture and processes to all new joiners.

Employee Composition

The Company’s employees’ composition is as follows. No major variations have been reported. Further, the data has compiled by the Company’s Human Resource department as per actual and no assumptions have been made. During the year, the hiring rate was 2% while the turnover rate was 1%.

Diversity and Inclusion

The Company values equality, diversity and inclusion. Gender equality and empowering women lies at the heart of the agenda for sustainable development, which asserts gender equality as both a fundamental human right and a necessary foundation for a peaceful, prosperous and sustainable world. In this regard the Company has been pursuing a non-discriminative hiring mechanism. During the year, 23% of the new hires were females. Merit-based recruitment practices have been adopted and equal employment opportunities for all regardless of race, religion, gender, marital status, age or disability are being made available by the Company. During the year, no incidents of discrimination were reported. For hiring workers, equal weightage is given to candidates from across the country. The Company also focuses on recruitment and qualification of local personnel as a way of developing the local communities and regions in which it operates.

The Company hires associates with vast experiences, from different industry backgrounds, cultures, beliefs and ethnicities. This ensures that the Company is able to adapt to the changing needs of business. However, it is currently a challenge for the entire auto industry in Pakistan to attract sufficient number of female employees. Various initiatives are being undertaken to enhance the participation of women. During the year, 12 female executives were hired. Female and male staff is entitled to three-month and five day maternal leaves respectively. During the year under review, 3 female associates availed maternal leave while 12 male staff availed parental leaves. The Company also supports creation of job opportunities for persons with disabilities through provision of additional facilities and appropriate training. Currently, 22 individuals, who are differently-abled, are working for the Company

Career Development and Training

The Company believes in the principle of “Organization Development through Self-Development” and places great emphasis on capacity and skill building. Life-long learning is promoted through the 70:20:10 formula, where 70% learning comes from an individual’s performance at their current job, 20% from coaching and 10% from formal training. Accordingly, the Company provides a broad range of opportunities to its employees in form of on-the-job learning, mentoring programs trainings and courses. Such programs include various in-house, national and international programs. We support development at all levels – starting from career training through to further development of top management. The Company also provides support to its employees for higher education and management courses at renowned business schools such as Harvard Business School and INSEAD. A number of rotational programs are strategically and systematically implemented to give employees the experience needed to serve at management positions. The Company’s efforts, during the year under review, for training and development of its employees are presented in the following table:

Performance Appraisal and Reward System

The Company adheres to all laws and regulations with regard to employee benefits, including minimum wages and separation benefits. Basic salaries and packages are set on the basis of education and experience of the employees. Compensation packages offered are competitive and equitable and are in line with the industry benchmarks. These include salaries, bonus, health care benefits, transportation allowances, Company provided vehicles, fuel allowances and retirement benefits. An employee’s salary is adjusted based on the results of performance evaluations. The Company only provides full time employment and does not offer part time jobs.

All employees undergo performance appraisals twice a year. Annual Performance Appraisal is used as a basis for positioning of personnel within the Company and determination of annual increment. High performing individuals are promoted to higher grades and are awarded higher increments. The Company’s performance management policy, under the Individual Development Program for management cadre employees, requires determination of areas of focus for internal and external trainings necessary for creation of future leaders.

Long serving employees are recognized through award of gold medals for their association with the Company for 15 years or more.

Employee Engagement and Connectivity

The Company supports the creation of a high performing work environment by ensuring a balance between personal and professional lives of its employees. The Company believes in a culture of inclusion and well-being that inspires employee engagement for better productivity. For this, the Company organizes various activities such as family day, picnics, sports and other activities which provide employees an opportunity for leisure.

Human Rights and Relations with CBA

The Company is responsible for creation of an environment free of discrimination and harassment, in which all individuals are treated with respect, equality and dignity and have equal opportunities. Human rights violations of any sort are not tolerated. Key management practices including, a guarantee of voluntary labour, observance of working hours, respect for diversity and workplace health and safety are continuously reinforced at the Company. The Company makes every effort to engage in sincere discussions with its employees about any issues that exist or might arise. This helps in maintaining a relationship of mutual trust. Moreover, the Company complies with all local statutory and operational requirements with regard to the provision of information to employee representatives and employees. An appropriate notification period is allowed before implementation of any change that can have an impact on employees. The Company recognizes the rights of employees to set up their representation and carry out collective bargaining to regulate working conditions. Constructive dialogue, negotiations and consultations are carried out with labour unions, when needed, at both our plants. All non-management employees are covered under CBA, which cover more than 8% of total permanent employees.

The Company strongly discourages any form of child labour and firmly complies with local regulations concerning legal minimum age requirement for work permits. The Company has a mechanism of periodical evaluation of its vendors for any possible violation of human rights. The Company does not have any child labour within its operations nor is it aware of any such cases at its suppliers. There were no complaints reported during the year related to violation of human rights.

Health and Safety

The Company is committed to ensure the health and safety of its employees, contractors and visitors. In this regard, health and safety management system has been implemented. Aspects related to this area are documented in contracts and agreements with the trade union. All workers are represented by the health and safety committee who is involved in development, implementation and evaluation of the health system. Monthly meetings of committees are conducted for monitoring and evaluation purposes. The risks of injury, death or ill-health of our employees and those who work with the Company is a fundamental concern and have a significant impact on our operations. The Company is striving to create a dynamic working environment that is conducive to the mental and physical well-being of its employees. Issues relating to employee safety and health are managed in accordance with the Health, Safety & Environment policy of the Company at all its sites.

The responsibility for health and safety impacts rests with the General Manager Human Resource. Quality of health services is ensured through competent staff providing the services and regular periodic monitoring and evaluation of the services provided. The management approach comprises of health and safety policy, procedures and guidance documents. Health and safety committees are operational at each plant as per applicable laws and best available practices. The meetings of these committees are held on a regular basis to monitor health and safety issues and recommend improvements. Work-related hazards that pose a risk of ill health are evaluated on a regular periodic basis and counter measures are timely adopted to minimize the risk and promote safe working environment. During the year, no work-related ill health fatalities or other cases have been reported.

With the relaxation in lockdown, the Company resumed its plant operations and offices from May 20, 2020 with all precautionary measures and social distancing SOPs, aimed at prevention of pandemic’s spread. The Company has taken various steps including:

• Installation of disinfection tunnels on each entrance gate along with thermal scanning;
• Periodic disinfection sprays on the production floor, office halls, lockers room etc.;
• Installation of acrylic divider in the canteen to prevent the human contact;
• Installation of sanitizers dispensers at various location inside business premises;
• Strict compliance of personal protective equipment;
• Controlled travelling in accordance with Company’s updated policy;
• Production split in different shifts to minimize attendance;
• Body temperature screening of associates and visitors at business premises;
• Display of pandemic prevention flyers at prominent places to avoid handshakes, hand washing with soap, hand sanitization, maintaining 3 feet distancing while in queues of taking lunch, punching attendance cards, etc.;
• Awareness sessions and briefings to associates;
• Promoting remote working environment and virtual meetings;
• Work from home initiative to ensure minimum interactions of human capital at work place and maintaining social distancing as advised by World Health Organization; and
• Health counter for suspected cases.

Important guidelines derived from the HSE policy have been displayed at prominent places within the Company premises to manage safe working environment. Workers’ training on occupational health & safety has been the key factor in promoting safe working environment. Generic safety trainings and specific work related hazards trainings are provided to workers on regular basis by competent and trained staff in local language easily understood by workers. Trainings are provided free of charge and during paid working hours. Effectiveness of training sessions is evaluated through post sessions feedback and mock exercises. Further, the Company undertook following steps to promote healthy mindset and safety amongst employees:

• To address various health, safety and environment related issues regular HSE Flyers are disseminated. To date, topics covered include updates on COVID-19 prevention, rain emergency, earthquake and road safety.
• During the year, 9 training sessions on basic first aid and fire-fighting training were conducted in which 431 associates participated. 9 evacuation drills were also carried out in which 431 associates participated.
• “Stop for Safety Talk Program” was conducted by HSE department to create awareness. During the year, 25 training sessions were conducted by HSE department creating awareness about chemical safety, HSE policy, lock out / tag out, general electric safety, fire prevention & emergency response planning, use of personal protective equipment and forklift safety. 1,094 associates participated in the training sessions.

Management Approach

The Company ensures long-term employee development by seeking out the right employees, making the most of their talents, developing potential and ensuring employability. The Company strives to unlock the potential of human resources management and resultantly, add value to its business. A corporate culture guided by the principles of the Atlas Way (as described in Sustainability Strategy) forms the basis of the Company’s efforts in this area.

The Company has policies in place covering all aspects of employment, including employee relations, training, equal opportunity and health & safety of its workforce. The Company fully complies with applicable labour and health & safety laws and regulations that prohibit forced, compulsory and child labour. The Company is committed to the observance of fair working conditions and human rights. Gender equality and respect for diversity is deep rooted in the Company’s culture to encourage talented individuals with diverse backgrounds to demonstrate their full potential and evolve into leaders. The Company is continuously working to upgrade its human resources expertise, practices, systems, and service quality. As part of the Company’s talent management, performance appraisals are carried out which help in identification of career development and training needs. This also helps the Company in ensuring a fair reward system. Further, the Company’s performance is constantly evaluated through surveys and awards.

Recruitment and Retention

To sustain its market leadership, the Company aims to attract, recruit and retain the best talent. The Company’s ability to offer unique opportunities, such as a diverse and supportive work environment, helps differentiate Atlas Honda from other employers and attracts high-performing professionals who are competent and highly skilled. Recruitment and retention of appropriate workforce becomes more crucial as the Company has been undergoing a phase wise capacity expansion plan. A uniform policy for hiring, job placement and human resource development is followed. A comprehensive “Employee Orientation Training Program / Onboarding Program” has been designed to provide an overview of the Company’s culture and processes to all new joiners.

Employee Composition

The Company’s employees’ composition is as follows. No major variations have been reported. Further, the data has been compiled by the Company’s human resource department as per actual and no assumptions have been made. During the year, the hiring rate was 1% while the turnover rate was 2%.

Diversity and Inclusion

The Company values equality, diversity and inclusion. Gender equality and empowering women lies at the heart of the agenda for sustainable development, which asserts gender equality as both a fundamental human right and a necessary foundation for a peaceful, prosperous and sustainable world. In this regard the Company has been pursuing a non-descriminative hiring mechanism. During the year, 33% of the new hires were females. Merit-based recruitment practices have been adopted and equal employment opportunities for all regardless of race, religion, gender, marital status and age or disability are being made available by the Company. During the year, no incidents of discrimination were reported. For hiring workers, equal weightage is given to candidates from across the country. The Company also focuses on recruitment and qualification of local personnel as a way of developing the local communities and regions in which it operates.

The Company hires males and female with vast experiences, from different industry backgrounds, cultures, beliefs and ethnicities. This ensures that the Company is able to adapt to the changing needs of business. However, it is currently a challenge for the entire auto industry in Pakistan to attract sufficient number of female employees. Various initiatives are being undertaken to enhance the participation of women. During the year, 6 female executives were hired. Female and male staff is entitled to three-month and five day maternal leaves respectively. During the year under review, three female associates availed maternal leave.

The Company also supports creation of job opportunities for persons with disabilities through provision of additional facilities and appropriate training. Currently, 22 individuals, who are differently-abled, are working for the Company.

Career Development and Training

The Company believes in the principle of “Organization Development through Self-Development” and places great emphasis on capacity and skill building. Life-long learning is promoted through the 70:20:10 formula, where 70% learning comes from an individual’s performance at their current job, 20% from coaching and 10% from formal training. Accordingly, the Company provides a broad range of opportunities to its employees in form of on-the-job learning, mentoring programs, trainings and courses. Such programs include various in-house, national and international programs. We support development at all levels – starting from career training through to further development of top management. The Company also provides support to its employees for higher education and management courses at renowned business schools such as Harvard Business School and INSEAD. A number of rotational programs are strategically and systematically implemented to give employees the experience needed to serve at management positions. The Company’s efforts, during the year under review, for training and development of its employees are presented in the following table:

Performance Appraisal and Reward System

The Company adheres to all laws and regulations with regard to employee benefits, including minimum wages and separation benefits. Basic salaries and packages are set on the basis of education and experience of the employees. Compensation packages offered are competitive and equitable and are in line with the industry benchmarks. These include salaries, bonus, health care benefits, transportation allowances, company provided vehicles, fuel allowances and retirement benefits. An employee’s salary is adjusted based on the results of performance evaluations. The Company only provides full time employment and does not offer part time jobs.

All employees undergo performance appraisals twice a year. Annual Performance Appraisal is used as a basis for positioning of personnel within the Company and determination of annual increment. High performing individuals are promoted to higher grades and are awarded higher increments. The Company’s performance management policy, under the Individual Development Program for management cadre employees, requires determination of areas of focus for internal and external trainings necessary for creation of future leaders.

Long serving employees are recognized through award of gold
medals for their association with the company for 15 years or more.

Employee Engagement and Connectivity

The Company supports the creation of a high performing work environment by ensuring a balance between personal and professional lives of its employees. The Company believes in a culture of inclusion and well-being that inspires employee engagement for better productivity. For this, the Company organizes various activities such as family day, picnics, sports and other activities which provide employees an opportunity for leisure.

Human Rights and Relations with CBA

The Company is responsible for creation of an environment free of discrimination and harassment, in which all individuals are treated with respect, equality and dignity and have equal opportunities. Human rights violations of any sort are not tolerated. Key management practices including: a guarantee of voluntary labour, observance of working hours, respect for diversity and workplace health and safety are continuously reinforced at the Company. The Company makes every effort to engage in sincere discussions with its employees about any issues that exist or might arise. This helps in maintaining a relationship of mutual trust. Moreover, the Company complies with all local statutory and operational requirements with regard to the provision of information to employee representatives and employees. An appropriate notification period is allowed before implementation of any change that can have an impact on employees. The Company recognizes the rights of employees to set up their representation and carry out collective bargaining to regulate working conditions. Constructive dialogue, negotiations and consultations are carried out with labour unions, when needed, at both our plants. All non-management employees are covered under CBA, which cover more than 11% of total permanent employees.

The Company strongly discourages any form of child labour and firmly complies with local regulations concerning legal minimum age requirement for work permits. The Company has a mechanism of periodical evaluation of its vendors for any possible violation of human rights. The Company does not have any child labour within its operations nor is it aware of any such cases at its suppliers. There were no complaints reported during the year related to violation of human rights.

Health and Safety

The Company is committed to ensure the health and safety of its employees, contractors and visitors. Aspects related to this area are documented in contracts and agreements with the trade union. All workers are represented by the health and safety committee. The risks of injury, death or ill-health of our employees and those who work with the Company is a fundamental concern and have a significant impact on our operations. The Company is striving to create a dynamic working environment that is conducive to the mental and physical well-being of its employees. Issues relating to employee safety and health are managed in accordance with the Health, Safety & Environment policy of the Company at all its sites.

The responsibility for health and safety impacts rests with the General Manager Human Resource. The management approach comprises of health and safety policy, procedures and guidance documents. Health and safety committees are operational at each plant as per applicable laws and best available practices. The meetings of these committees are held on a regular basis to monitor health and safety issues and recommend improvements.

During the year 2019-20 no major fatalities and injuries were reported. Important guidelines derived from the HSE policy have been displayed at prominent places within the Company premises to manage safe working environment. Further, the Company undertook following steps to promote healthy mindset and safety amongst employees:

• To address various health, safety and environment related issues regular, HSE Flyers are disseminated. To date, topics covered include updates on rain emergency, earthquake, and road safety.
• During the year, 5 training sessions on basic first aid and firefighting training were conducted in which 187 associates participated. 6 evacuation drills were also carried out in which 583 associates participated.
• “Stop for Safety Talk Program” was conducted by HSE department to create awareness. During the year, 40 training sessions were conducted by HSE department creating awareness about general electric safety, office ergonomics, fire prevention & emergency response planning, use of personal protective equipment, chemical safety, first aid, slip, trip & fall prevention and forklift safety. 231 associates participated in the training sessions.

In relation to the COVID-19 spread throughout the world, the Company’s management has taken various steps including:

• installation of sanitizers dispensers at various location inside business premises;
• distribution of masks to associates to ensure their health safety at work place;
• body temperature screening of associates and visitors at business premises; and
• work from home initiative to ensure minimum interactions of human capital at work place and maintaining social distancing as advised by World Health Organization.

Management Approach

The Company ensures long-term employee development by seeking out the right employees, making the most of their talents, developing potential and ensuring employability. The Company strives to unlock the potential of human resources management and resultantly, add value to its business. A corporate culture guided by the principles of the Atlas Way (as described in Sustainability Strategy) forms the basis of the Company’s efforts in this area.

The Company has policies in place covering all aspects of employment, including employee relations, training, equal opportunity and health & safety of its workforce. The Company fully complies with applicable labor and health & safety laws and regulations that prohibit forced, compulsory and child labor. The Company is committed to the observance of fair working conditions and human rights. Gender equality and respect for diversity is deep rooted in the Company’s culture to encourage talented individuals with diverse backgrounds to demonstrate their full potential and evolve into leaders. The Company is continuously working to upgrade its human resources expertise, practices, systems, and service quality. As part of the Company’s talent management, performance appraisals are carried out which help in identification of career development and training needs. This also helps the Company in ensuring a fair reward system. Further, the Company’s performance is constantly evaluated through surveys and awards.

Recruitment and Retention

To sustain its market leadership, the Company aims to attract, recruit and retain the best talent. The Company’s ability to offer unique opportunities, such as a diverse and supportive work environment, helps differentiate Atlas Honda from other employers and attracts high-performing professionals who are competent and highly skilled. Recruitment and retention of appropriate workforce becomes more crucial as the Company has been undergoing a phase wise capacity expansion plan. A uniform policy for hiring, job placement and human resource development is followed. A comprehensive “Employee Orientation Training Program / Onboarding Program” has been designed to provide an overview of the Company’s culture and processes to all new joiners.

Employee Composition

The Company’s employees’ composition is as follows. No major variations have been reported. Futher, the data has been compiled by the Company’s human resource department as per actual and no assumptions have been made.

Diversity and Inclusion

The Company values equality, diversity and inclusion. Merit-based recruitment practices have been adopted and equal employment opportunities for all regardless of race, religion, gender, marital status and age or disability are being made available by the Company. During the year, no incidents of discrimination were reported. For hiring workers, equal weightage is given to candidates from across the country. The Company also focuses on recruitment and qualification of local personnel as a way of developing the local communities and regions in which it operates.

The Company hires men and women with vast experiences, from different industry backgrounds, cultures, beliefs and ethnicities. This ensures that the Company is able to adapt to the changing needs of business. However, it is currently a challenge for the entire auto industry in Pakistan to attract sufficient number of female employees. Various initiatives are being undertaken to enhance the participation of women. During the year, 7 female executives were hired. Female staff is entitled to three-month maternal leave. During the year under review, three female associates availed maternal leave Women’s day was celebrated at all the offices and the female staff was given an opportunity to discuss and share their views and expectations.

The Company also supports creation of job opportunities for persons with disabilities through provision of additional facilities and appropriate training. Currently, 21 individuals, who are differently-abled, are working for the Company.

Career Development and Training

The Company believes in the principle of “Organization Development through Self-Development” and places great emphasis on capacity and skill building. Life-long learning is promoted through the 70:20:10 formula, where 70% learning comes from an individual’s performance at their current job, 20% from coaching and 10% from formal training. Accordingly, the Company provides a broad range of opportunities to its employees in form of on-the-job learning, mentoring programs, trainings and courses. Such programs include various in-house, national and international programs. The Company also provides support to its employees for higher education and management courses at renowned business schools such as Harvard Business School and INSEAD. A number of rotational programs are strategically and systematically implemented to give employees the experience needed to serve at management positions.

The Company’s efforts, during the year under review, for training and development of its employees are presented in the following table:

Performance Appraisal and Reward System

The Company adheres to all laws and regulations with regard to employee benefits, including minimum wages and separation benefits. Basic salaries and packages are set on the basis of education and experience of the employees. Compensation packages offered are competitive and equitable and are in line with the industry benchmarks. These include salaries, bonus, health care benefits, transportation allowances, company provided vehicles, fuel allowances and retirement benefits. An employee’s salary is adjusted based on the results of performance evaluations. The Company only provides full time employment and does not offer part time jobs.

All employees undergo performance appraisals twice a year. Annual Performance Appraisal is used as a basis for positioning of personnel within the Company and determination of annual increment. High performing individuals are promoted to higher grades and are awarded higher increments. The Company’s performance management policy, under the Individual Development Program for management cadre employees, requires determination of areas of focus for internal and external trainings necessary for creation of future leaders.

Long serving employees are recognized through award of gold medals for their association with the company for 15 years or more.

Employees’ Engagement and Connectivity

The Company supports the creation of a high performing work environment by ensuring a balance between personal and professional lives of its employees. The Company believes in a culture of inclusion and well-being that inspires employee engagement for better productivity. For this, the Company organizes various activities such as family day, picnics, sports and other activities which provide employees an opportunity for leisure.

Further, every year an “Employee Vitality Level Survey” is conducted wherein the management and middle management associates participate to rate the Company on 5 Engagement Factors. The mean score of the survey conducted this year was 4.9 out of 6. Area of focus identified through the survey was performance management. Accordingly, our human resource department is working to improve the policies so as to meet employee expectations in a timely manner.

Human Rights and Relations with CBA

The Company is responsible for creation of an environment free of discrimination and harassment, in which all individuals are treated with respect, equality and dignity and have equal opportunities. Human rights violations of any sort is not tolerated. Key management practices including: a guarantee of voluntary labor, observance of working hours, respect for diversity and workplace health and safety are continuously reinforced at the Company. The Company makes every effort to engage in sincere discussions with its employees about any issues that exist or might arise. This helps in maintaining a relationship of mutual trust. Moreover, an appropriate notification period is allowed before implementation of any change that can have an impact on employees. The Company recognizes the rights of employees to set up their representation and carry out collective bargaining to regulate working conditions. Constructive dialogue, negotiations and consultations are carried out with labor unions, when needed, at both our plants. All non-management employees are covered under CBA, which cover more than 11% of total permanent employees.

The Company strongly discourages any form of child labor and firmly complies with local regulations concerning legal minimum age requirement for work permits. The Company has a mechanism of periodical evaluation of its vendors for any possible violation of human rights. The Company does not have any child labor within its operations nor is it aware of any such cases at its suppliers. There were no complaints reported during the year related to violation of human rights.

Health and Safety

The Company is committed to ensure the health and safety of its employees, contractors and visitors. Aspects related to this area are documented in contracts and agreements with the trade union. The risks of injury, death or ill-health of our employees and those who work with the Company is a fundamental concern and have a significant impact on our operations. The Company is striving to create a dynamic working environment that is conducive to the mental and physical well-being of its employees. Issues relating to employee safety and health are managed in accordance with the Health, Safety & Environment policy of the Company at all its sites.

The responsibility for health and safety impacts rests with the General Manager Human Resource. The management approach comprises of health and safety policy, procedures and guidance documents. Health and safety committees are operational at each plant as per applicable laws and best available practices. The meetings of these committees are held on a regular basis to monitor health and safety issues and recommend improvements.

During the year 2018-19, no major fatalities and injuries were reported. Important guidelines derived from the HSE policy have been displayed at prominent places within the Company premises to manage safe working environment. Further, the Company undertook following steps to promote healthy mindset and safety amongst employees:

• To address various health, safety and environment related issues regular, HSE flyers are disseminated. To date, topics covered include updates on rain emergency, earthquake and road safety.
• During the year, 41 training sessions on basic first aid and steps in case of emergency due to fire have been conducted. 1,415 associates from various departments actively participated and were imparted with knowledge of an emergency action plan. Hands on training on handling fire extinguishers, fire blankets and fire hydrants was part of the training sessions.
• A safety program was initiated by HSE department under which shop in-charges were trained on various HSE related matters and were made responsible to train their subordinates. During the year, 242 trainings sessions were conducted creating awareness about general electric safety, fire prevention & emergency response planning, use of personal protective equipment, chemical safety, first aid, slip, trip & fall prevention and forklift safety.

Our Management Approach

Atlas Honda strives to create a workplace where employees are motivated to raise to the toughest of challenges and are able to bring efficiencies and
innovation. Our main goal is to advance our strategic approach to talent management while taking into account the challenges arising from economic and industrial environment. We aim to unlock the potential of human resource management and resultantly add value to our business. A corporate culture guided by the principles of the Atlas Way forms the basis of our efforts in this area.

Policies are in place covering all aspects of employment, including employment and labour relations, training, human rights and health & safety. They are periodically reviewed and adjusted accordingly. We fully comply with applicable labour and health & safety laws and regulations that prohibit forced, compulsory and child labour. The notice period about operational changes is communicated to employees well in time. However,
the notice period is not mentioned in the collective bargaining agreement. We are committed to the observance of fair working conditions and human
rights. Gender equality and respect for diversity is deep rooted in our culture to encourage talented individuals with diverse backgrounds to demonstrate their full potential and evolve into leaders. As part of our talent management, performance appraisals are carried out which help in identification of career development and training needs of our workforce. This also allows us to ensure that the reward system remains fair. Further, our performance is constantly evaluated through surveys and awards. We are also continuously working to upgrade our human resources
expertise, practices, systems, and service quality.

Recruitment and Retention

To maintain our status as the leading premium two-wheeler brand and to keep up with changing environment, our goal is to attract, recruit and retain the best talent. Our ability to provide unique opportunities, such as a diverse and supportive work environment, helps differentiate Atlas Honda from other employers and attract high-performing professionals who are competent, highly skilled and agile. As we are undertaking
our capacity expansion plans, recruitment and retention of appropriate workforce becomes more crucial. We follow a uniform policy for hiring, job placement and human resource development. A thorough “Employee Orientation Training Program / Onboarding Program” has been designed to provide an overview of our culture and processes to all new hires.

Diversity and Inclusion

We value equality, diversity and inclusion. We adopt merit-based recruitment practices and strive for equal employment opportunities for all regardless of race, religion, gender, marital status, age or disability. We do not discriminate basics salary or remuneration on the basis of gender. During the year, no incidents of discrimination were reported. For hiring workers, equal weightage is given to candidates from across the
country. We also support the recruitment and qualification of local personnel as a way of developing the local communities and regions in which we operate.

We hire men and women with vast experiences, from different industry backgrounds, cultures, beliefs and ethnicities. This ensures that we are able to adapt to the changing needs of our business. However, it is currently a challenge for the entire auto industry in Pakistan to attract sufficient number of female employees. Various initiatives are being undertaken to enhance the participation of women. During the year, 13 female executives were hired which improved the ratio of female executives to 2% from 1% of last year. Women’s day was celebrated at all the offices
and the female staff was given an opportunity to discuss and share their views and expectations. All female employees are entitled to three-month maternal leave. During the year under review, the leaves were not availed by any female associate.

We also support creation of job opportunities for persons with disabilities through provision of additional facilities and appropriate training. Currently, we have 23 persons who are differently-abled and are working for us.

Career Development and Training

We believe and act on the principle of “Organization development through self-development” and place great emphasis on capacity and skill building. We promote life-long learning by following the 70:20:10 formula, where 70% learning comes from an individual’s performance at their current job, 20% from coaching and 10% from formal training. Accordingly, we provide a broad range of opportunities to our employees from
on-the-job learning and mentoring programs to trainings and courses. Such programs include various in-house, national and international programs. We also provide support for higher education and management courses at renowned business schools such as Harvard Business School and INSEAD (European Institute of Business Administration). A number of rotational programs are strategically and systematically implemented to give employees the experience required to serve at management positions. Our efforts for employee training and development during the year under review
are reflected in the following table:

Performance Appraisal and Reward System

We adhere to all laws and regulations with regard to employee benefits, including minimum wages and separation benefits. Basic salaries and packages are set on the basis of education and experience of the employees. Compensation packages offered are competitive and equitable and are in line with the industry benchmarks. These include salaries, bonus, health care benefits, transportation allowances, company provided vehicles, fuel allowances and retirement benefits.

An employee’s salary is adjusted based on the results of performance evaluations. We only provide full time employment and do not offer part time jobs. During the year, standard entry level wage was more than local minimum wage across all significant locations of operations.

All employees undergo performance appraisals twice a year. Annual Performance Appraisal is used as a basis for positioning of personnel within the Company and determination of annual increment. High performing individuals are promoted to higher grades and are awarded higher increments. Our performance management policy, under the Individual Development Program for management cadre employees, requires determination of areas of focus for internal and external trainings necessary for creation of future leaders.

We recognize the long serving employees by awarding them gold medals for their association with the Company for 15 years or more.

We are working on a variety of programs to enable our employees to find a healthy balance between their work and personal lives. We have created a culture of well-being to inspire employees’ engagement for better workforce productivity. In this regard, we plan events such as family day, picnic and sports and other recreational activities. During the year, following events were organized:

• Bachelors’ day celebrations at SKP plant oncNovember 19, 2017
• Annual Family Day celebrations at SKP plant oncNovember 25, 2017
• Annual Cricket Tournament “Atlas Premier League” on February 20th and 21st 2018 at KCCA Stadium, Karachi
• Annual Picnic 2017, organized at Kalhri Jheel oncAugust 5, 2017.

These events help us improve our communication with our employees. Further, every year an “Employee Vitality Level Survey” is conducted wherein the management and middle management associates participate to rate the company on 5 Engagement Factors. The mean score of the survey conducted this year was 4.88 out of 6. Areas of focus identified through the survey were work environment and recognition of performance. Accordingly, our human resource department is working to improve the policies so as to meet employee expectations in a timely manner.

Human Rights and Relations with CBA

We are committed to create an environment free of discrimination and harassment, in where all individuals are treated with respect, equality and dignity and have equal opportunities. We do not tolerate human rights violations of any kind. We are continuously reinforcing key management practices including: a guarantee of voluntary labour, observance of working hours, respect for diversity and workplace health and safety.

We strongly discourage any form of child labour and firmly comply with local regulations concerning legal minimum age requirements for work permits. We have a mechanism of periodical evaluation of our vendors for any possible violation of human rights including child labour. We do not have any child labour within our company nor are we aware of any such cases at our suppliers. There were no complaints reported during the year related to violation of human rights.

To maintain a relationship of mutual trust, we make every effort to engage in sincere discussions with our employees about any issues that exist or might arise. Moreover, an appropriate notification period is allowed before implementation of any change that can have an impact on the employees. We recognize and respect the freedom of our employees to associate with labour unions under local laws. Constructive dialogue, negotiations and consultations are carried out with labour unions, when needed, at both our plants. All non-management employees are covered under CBA, which cover 7% of total permanent employees .

Health and Safety

We are Company is committed to safeguard the health and safety of our employees, contractors and visitors. The health and safety aspects are
documented in contracts and agreements with the trade union. The risks of injury, death or ill-health of employees and those who work with the Company is a fundamental concern for us and have a significant consideration on our operations. We are striving to create a dynamic working environment that is conducive to the mental and physical well-being of its employees.

The responsibility for health and safety impacts rests with the General Manager Human Resource. The management approach comprises of health and safety policy, procedures and guidance documents. The health and safety committees are operational at each plant as per applicable laws and best available practices. The meetings of these committees are held on a regular basis to monitor health and safety issues and recommend improvements.

During the year, no major fatalities and injuries were reported. Major guidelines from the HSE policy have been displayed at prominent places within the company premises to manage safe working environment. Further, various fire trainings, evacuation drills, safety riding and basic first aid training sessions were conducted to familiarize associates with emergency action plan. Associates from various departments actively participated in these activities. Training on handling fire extinguisher, fire blanket and fire hydrant were also organized.

The Company took the following measures during the year to improve employees’ “health mindsets” and encourage employees to manage their own health:

• To address various health, safety and environment related issues regular HSE flyers mails were disseminated. To date, topics covered include
  updates on rain emergency, earthquake, road safety rules, etc.
• During the year, 25 fire training, safety riding and basic first aid training sessions were conducted to familiarize associates with an emergency action plan. 481 associates from various departments actively participated in these activities. The training on handling fire extinguisher, fire blanket and fire hydrants were also organized.
• Various informal sessions of TBT (Tool Box Talk) were organized. The HSE issues including general electric safety, slip trip, use of PPE’s, fire fighting, first aid, safe work practices, rain emergency, harmful aspects of pan, gutka & chalia, and mobile phone hazards were discussed. A total of 1,108 associates attended the TBT sessions.

Management Approach

Adhering to the Group Chairman’s vision “Organization development through Self Development” and the “Atlas Culture”, Atlas Honda Limited invests significant resources to develop and retain the talent needed to keep the Company at the forefront. Through a robust Human Resource Management Strategy, the Company focuses on human resource development by providing safe and productive work environment, harnessing employee capabilities and nurturing team building. AHL’s strategy seeks to align HR needs with business objectives through a fair reward system, periodic performance management, strategic employee resourcing, compliance with human rights laws and the provision of equal opportunity to its employees. The Company’s approach for managing human capital is based on nurturing leadership among employees by encouraging employee engagement at all levels, identifying talent for succession and investing in employee development. The Company’s performance is constantly evaluated through employee surveys and participation in awards. In recognition of its employment practices, the Company has been awarded as “Best Employer” by the Employees Federation of Pakistan on August 2, 2016.

Recruitment & Selection

AHL envisions its people as strategic partners in success and affirms its vision of long term development of human resources. Recently, we have announced expansion plans which require recruiting diversified talent and retaining existing human resources to meet the desired objectives. In this context, the human resource management practices become more crucial as support is required for strategic expansion plans while managing existing operations. Further, the Company aims to increase the proportion of women in management and executive positions to a suitably prominent extent by near future. However, it is a challenge for the entire auto industry to attract women in sufficient numbers. AHL also encourages job opportunities for persons with disabilities. At present, AHL has employed 23 persons with disabilities. During the year, no incident of discrimination was reported.

Diversity and Inclusion

Honoring and embracing diversity & inclusion drives broad employee engagement, innovation and business success. AHL has created an inclusive environment where employees are empowered to achieve their highest potential and contribute to the Company’s success. Its efforts foster an environment of openness and inclusion where employees can contribute according to their skills and capabilities.

The Company views diversity as the collective makeup of a variety of attributes, backgrounds, cultures, identities and ideas that people bring with them – to the workplace and everywhere else. These may be informed by but are not limited to race, color, religion, gender, age, national origin, disability, veteran status, gender identity, or any other characteristic protected by applicable law.

All appointments across all levels are made on the basis of the Company’s need, vacancies and merit, without any discrimination. For hiring workers, equal weightage is given to candidates from across the country. We also support the recruitment and qualification of local personnel as a way of developing the local communities and regions in which we operate. This applies at Sheikhupura plant and regional offices of Atlas Honda where local personnel are employed by the Company.

Talent & Career Development

AHL paves the path to a distinguished career of its employees by focusing on their training and development as a crucial part of its philosophy. It provides a broad range of opportunities for its employees from on-the-job learning and mentoring programs to trainings and courses. It follows 70/20/10 principle, which states that the most impactful development and 70 percent growth occurs in the context of an individual’s performance in their current job, while 20 percent impact is achieved through coaching and 10 percent impact is achieved through formal training. Moreover, succession planning is an inevitable part of the Company’s strategy and practices. Our talent and career development programs are designed to produce performers, organization builders, strategists and leaders.

In response to nurturing potential talent for succession, the Company supports its employees to participate in various in-house, national and international training programs including training under HIDA, SIQP, SQM and CATIA programs. We also provide support for higher education and management courses at renowned business schools such as Harvard Business School and INSEAD. The Company’s endeavors for employee trainings and development during the current year are as follows:

Performance Appraisal & Reward System

AHL performance appraisal and reward system recognizes high achievers with higher benefits. The performance appraisal is carried out through one on one career meetings twice a year between supervisors and their staff. The evaluation results are used as a reference for effective company-wide positioning of personnel. The process integrates on the job performance of an individual and professional development with financial rewards. During the year, all employees went through performance appraisal.

The employees are provided with a comprehensive total reward package including compensation, retirement benefits, health care benefits, transportation allowances, company provided vehicles, fuel allowances and much more. Compensation plans are aligned with local markets and are competitive and equitable. These include a common bonus plan for all management and non-management employees. An employee remuneration survey was also carried out where packages offered to its employees were benchmarked against packages offered in similar positions across the automotive industry. The survey also took into account individual performance and experience as well as the relative performance of the Company.

The Company also recognizes the value of retaining long serving employees by awarding long service award gold medals to employees reaching 15 years of service and beyond. A gold medal of a weightage equal to years of employee’s service is provided to the employee as a gesture of appreciation of his long term association with AHL.

The Company only provides full-time employment and does not offer part-time employment. The terms and conditions offered to regular and contractual staff is almost same except provident fund membership. AHL strictly complies with minimum wages regulation as per applicable laws at all locations. No distinction is made in remuneration and benefits paid to male and female employees.

Employee Engagement & Connectivity

AHL supports creation of a high performing work environment by ensuring a balance between personal and professional lives of its employees. At AHL, we believe in creating a culture of inclusion and well-being to inspire employees’ engagement for better workforce productivity. AHL organizes various activities such as family day, picnic, sports and other recreational activities, which provide employees an opportunity for leisure. During the year, the following events were organized to create employee engagement and team building:

Atlas Premier League (Cricket Tournament)

Sports not only refresh the individuals but are an effective source of team binding and building. During the year, a cricket tournament “Atlas Premier League” was organized in Karachi and Sheikhupura in the month of February 2017.

Annual Picnic

The Company organized an annual picnic event in the month of June 2016 to add up to the employees’ satisfaction through extracurricular activities.

Atlas Sports Festival

The Company also organized an annual sports festival in the last quarter of 2017 in which different departments of the Company compete against each other in various games such as Tug of War, Bag Race, Badminton, Table Tennis and Volley Ball etc.

Health & Safety Management System

Health & Safety Management System AHL is committed to safeguard the health & safety of the employees, contractors and visitors. The health and safety aspects are documented in contracts and agreements with the trade union. The risks of injury, death or ill-health of employees and those who work with the AHL is a fundamental concern for us and have a significant consideration on our operations. AHL is striving to create a dynamic working environment that is conducive to the mental and physical well-being of its employees.

The responsibility for health and safety impacts rests with General Manager Human Resource. The management approach comprises of health and safety policy, procedures and guidance documents. The health and safety committees are operational at each plant as per applicable laws and best available practices. The meetings of these committees held on regular basis to monitor health and safety issues and recommend improvements.

The Company took following measures during the year to improve employees’ “health mindsets” and encourage employees to manage their own health:

• To address various health, safety and environment related issues regular HSE flyers mails were disseminated. To date, topics covered include updates on rain emergency and earthquake, road safety rules, etc.
• During the year, 63 fire training, safety riding and basic first aid training sessions were conducted to familiarize associates with an emergency action plan. 1,031 associates from various departments actively participated in these activities. Training on handling fire extinguisher, fire blanket and fire hydrant were also organized.

• 57 informal sessions of TBT (Tool Box Talk) were organized. The HSE issues including general electric safety, slip trip, use of PPE’s, firefighting, first aid, safe work practices, rain emergency, harmful aspects of pan, gutka & chalia, and mobile phone hazards were discussed. Total 1,446 associates attended the TBT sessions.

Human Rights & CBA Relations

AHL is aware of its role and responsibilities with regard to human rights and doing its utmost to mitigate any negative human rights impacts. To this end, AHL has continuously reinforced key management practices including: a guarantee of voluntary labor, observance of working hours, respect for diversity and workplace health and safety. These key areas are defined and incorporated in the “Atlas Way” and the “Atlas Culture” which define the Company’s commitment to abide by internationally recognized fundamental principle of human rights and working standards of the International Labor Organization (ILO).

AHL human rights policies reinforce freedom of employment, prohibition of discrimination, freedom of association and the right to collective bargaining, prohibition of child labor, right to appropriate remuneration, regulated working times, and compliance with work and safety regulations.

In line with our HR Policies, our employees and the Company respect each other’s views and endeavor to promote mutual understanding. Maintaining a relationship of mutual trust, employees and the Company make every effort to engage in sincere discussions about any issues that might arise or exist. Moreover, an appropriate notification period is set in advance in the case of implementation of important corporate measures that have a marked impact on employees.

The Company does not endorse any form of child labor and strictly complies with local regulations concerning legal minimum age requirements for work permits. The Company has a mechanism of periodical evaluation of its vendors for any possible violation of human rights. The Company has no child labor in the Company nor is aware of any cases with its suppliers. No complaints concerning violation of human rights reported during the year.

The Company also recognizes and respects the freedom of its employees to associate with labor unions under local law. It establishes a constructive dialogue and engages in negotiations or consultation as required with labor unions at its both plants.

Moreover, in line with our labor laws, all remuneration and benefits for a normal working week should be at least in line with the enforceable statutory minimum with no distinction between male and female employees. When setting collectively agreed pay, the employer and the trade union ensure that starting pay is in line with minimum rates of pay.

Employee Composition