Occupational health, safety and hygiene

Pirelli’s approach to the responsible management of Occupational Health, Safety and Hygiene at Work is informed by the principles and commitments expressed in the Ethical Code, the Policy on Social Responsibility for Occupational Health, Safety and Rights, and Environment and the Quality Policy, the texts of which are communicated to all Group employees in their own languages, in addition to being published in the Sustainability section of the Pirelli website, to which the reader is referred for the text in full.

Safety management system

Pirelli adopts a Safety Management System structured and certified according to the OHSAS 18001:2007 and ISO 14001:2004 Standards.

All certificates are issued with international accreditation ANAB (ANSI-ASQ National Accreditation Board accrediting body of the United States).

Since 2014, RINA Services S.p.A. has been the new compliance auditor of Pirelli Tyre’s Safety and Environment Management Systems. The choice of a new service provider meets the need for greater transparency of the certification process, which requires periodic replacement both of the entity for conformity evaluation of Management Systems and the accrediting body.

As at the end of 2014 all production facilities of Pirelli Tyre have been certified according to OHSAS 18001:2007 and ISO 14001:2004 standards with the exception of the facility in Rome (United States), where a management system is operative, applied under the local regulations, which is similar to the OHSAS 18001 Standard. For this reason the certification activity is a parallel activity of relative value. Instead, the Environmental Management System is fully operative and certified pursuant to ISO 14001.

As for the Russian settlement of Kirov, which is already certified ISO 14001, in January 2015 the audit process was successfully completed for certification of the safety management system according to OHSAS 18001 Standard and is pending formal receipt of the certificate, which will be issued by the certification company RINA Services.

The Safety Management System and the Environmental Management System implemented at the Pirelli Tyre production sites have been developed on the basis of procedures and guidelines drafted at corporate headquarters. This has made it possible to adopt a “common language” within the Group, in terms of the key elements of operating that guarantee effective, uniform and shared management.

In the course of 2015 the issue of a new policy is also scheduled, exclusively dedicated to Health, Safety and Environment, currently covered in the Group Policy on Social Responsibility for Occupational Health, Safety and Rights, and Environment.    

Safety culture

The Zero Injuries Target is a precise and strong corporate position. 

Pirelli strongly believes that leaders play a strategic role in risk prevention. Their behaviour must therefore be an example for all employees. Management must make a clear, visible commitment to safety culture in order to achieve the ambitious aims that the Group has set itself.

From an industrial point of view, this objective is pursued through a major plan of investments for technical improvement of work conditions, while constantly insisting on the cultural and behavioural aspect of all Company players.

Safety culture is of paramount importance, and it is necessary to pursue it in accordance with the rules, while maintaining a very clear idea of everyone’s responsibilities to themselves, others, and their family. This approach, together with the involvement and continuous internal dialogue between Management and workers, has proved successful, as evidenced by the continued decline of injury indices.

In 2013 the Company signed a global agreement with DuPont Sustainable Solution in support of the Management System outlined above, with a special focus on a standard approach to Behavioural Safety in the Group.

The program began in 2014, initially at the sites in the UK, Venezuela, Argentina, Mexico, Turkey, Romania. In 2015 the program will be extended to all the Group’s production sites.

A specific Steering Committee, presided over by the Operations General Manager, was activated to monitor the progress of the program.

In 2014 the Company continued to reinforce and consolidate the behaviour-related aspects of safety culture. The Company has maintained and developed the focus on Leading Indicators, namely measuring what preventive measures should be implemented and how this should be done, rather than Lagging Indicators, namely reactive indicators such as the number or frequency of injuries.

Communication and sharing information play an important role in internal dissemination of the Safety Culture. This is accomplished with monthly newsletters like the Safety Bulletin, and the periodic publication of significant events through the traditional channels of internal communication.

As part of the collaboration with DuPont Sustainable Solutions, Pirelli is also developing the theme of prevention of psychosocial risks and work-related stress. Some of the most important areas of intervention of the Program "Excellence in Safety" are in fact related to the improvement of the organizational structure, the clarity of the tasks and roles, empowering workers, improving communication in the organization, the sharing of objectives, motivation with respect to a common strategy: all substantial issues for a work environment that is psycho-socially appropriate and challenging for all employees.

The management of work-related stress is also the subject of the campaign of the European Agency for Safety and Health at Work (EU-OSHA) for the two-year period 2014-2015, and of which Pirelli is the usual partner. Adhering to the Campaign, Pirelli confirms its commitment to promoting a healthy work environment, where employees feel valued and psychosocial risks are effectively prevented and countered.    

Safety training

In addition to safety training offered locally at every Pirelli location (which is illustrated in the section of this report dedicated to employee training), special mention has to be made of Group activities and projects, which simultaneously target several countries by allowing an alignment of culture and vision, fully benefiting pursuit of the Company’s own improvement targets.

The Manufacturing Academy merits special mention.This is the Pirelli Professional Academy dedicated to factories, where health, safety and environment issues are discussed in detail. In the course of 2014 the training on risk assessments related to machinery continued. By the first quarter of 2015 all production sites will have received specific training. It should be noted that 16% of the training provided by Pirelli in 2014 involved elements of Health and Safety at work.

The seventh edition of the Pirelli Health, Safety and Environment global meeting is expected in the first quarter of 2015 at Pirelli's Mexican production centre in Silao. The meeting has always had the purpose of sharing the best practices applied by the various Pirelli sites in the world as a common factor.

Monitoring of Performance

Alongside establishing specific guidelines and procedures for implementing management systems, Pirelli uses the web-based Health, Safety and Environment Data Management (HSE-DM) system, elaborated and managed at corporate headquarters by the Health, Safety and Environment Department. This system makes it possible to monitor HSE performance at every production site in the Tyre Business and prepare numerous types of reports as necessary for management or operating purposes.

In particular, the HSE-DM collects all the information on injuries occurred in the factories, fitted Units in Brazil and the UK, European Equities and the logistics units managed directly by Pirelli (accident analysis, corrective action taken, etc.).

If the dynamics of a particular case are significant, all plants are not only provided with the information via a Safety Alert system, but also urged to conduct an internal audit as to whether conditions similar to the ones that caused the injury exist at their plants too and define any corrective measures. By using this system, every site may audit the solutions adopted by other plants in order to share the best choices.

Performance

In 2014 Pirelli reached a Frequency Index of 0.51, or a reduction of 17.7% compared to 2013 and 71% compared to the reference value of 2009. The target established in the Industrial Plan 2013-2017 and 2020 vision, provides for a reduction of the Frequency Index of 90% in 2020 vs. 2009.

It is noted that the value of the Frequency Index of injuries of women is well below the average of the Group, also in view of the fact that the female population is generally engaged in activities with a lower risk than the male population.

INJURIES - FREQUENCY INDEX* (FI)

 201420132012
Frequency Index (FI) 0.51 0.62 0.77
Frequency Index Men 0.57 0.68 0.86
Frequency Index Women 0.12 0.10 0.18

* FI = number of injuries / Hours actually worked x 100,000

The most representative injuries involve events resulting in contusions, cuts and fractures to upper limbs.

Severity Index (SI) of injuries in the Group fell from 0.18 in 2013 to 0.16 in 2014.

INJURIES - SEVERITY INDEX* (SI)

 

 201420132012
Severity Index (SI) 0.16 0.18 0.26

* SI = number of days missed for injuries / hours actually worked x 1000

The Severity Index (SI) was calculated by considering all calendar days (excluding the date of the accident) between the injured person’s work interruption and the employee’s return to the factory as “lost,” i.e. the actual days necessary for complete rehabilitation.

Both in the case of the Frequency Index and the Severity Index, Europe and Latin America have a higher rate than the other geographical areas where Pirelli operates (Africa, Asia, North America and Oceania), although it has been steadily declining for years.

The calculation of the FI and SI indices mentioned above does not include in-itinere accidents and injuries of agency workers, which is separately discussed in the summary table below. In particular, in 2014 there were injuries involving temporary workers at the Group, while there were 133 in-itinere accidents.

 201420132012
In-itinere accidents* 133 107 136
Temporary workers injuries 10 7 14

* In-itinere accidents = accident occurring during the journey from home to work and vice versa.

The Frequency Index of i related to employees of external companies operating at the premises of the Group amounted to 0.52 (equivalent to the average of the Pirelli Group). 

With regard to occupational diseases, its Frequency Index has been falling steadily in the last three years and in 2014 had a value of 0.04.

OCCUPATIONAL DISEASES - FREQUENCY INDEX* (FI)

 201420132012
Frequency Index Occupational Diseases 0.04 0.09 0.10

* FI of Occupational Diseases = number of occupational diseases / hours actually worked x 100,000

As part of the production process, there were no workers with high incidence or high risk of diseases related to their occupation.

Fatalities

  • 2014: there were no fatal accidents at work among the employees of the Group or among employees of external companies operating at the Group's operating units.
  • 2013: there were no fatal accidents at work among the employees of the Group or among employees of external companies operating at the Group's operating units.
  • 2012: on 30 September 2012, one Group employee suffered a fatal accident at the plant in Carlisle, United Kingdom. There were no fatal accidents involving independent contractors working at the Group’s operating sites.

Best Practices 2014

Six tyre manufacturing plants were “sites of excellence” in 2014, since no employees were injured there during the year:

  • Camacari (Brazil)
  • CMP (Italy)
  • Ecosil (Brazil)
  • Sao Jose (Brazil)
  • Sorocaba (Brazil)
  • Yanzhou Cord (China)

These results should be attributed to the constant focus on leading indicators, namely in terms of prevention.

Health and Safety Expenditure

In 2014, investment in health and safety by Pirelli Tyre reached a total amount of more than €15 million, the highest figure in the last three years as follows (in millions of euro):

  • 2012: 14.7
  • 2013: 14.3
  • 2014: 15.2

The expenditure made targeted improvements on machines and plant and, more in general, the workplace environment as a whole (e.g. optimisation of microclimate and lighting conditions, changes in layout for ergonomic improvement of activities, measures to protect the healthfulness of infrastructure, etc.).

Health and Safety Targets

  • 2020: reduction of Frequency Index injuries by 90% compared to 2009 (underway);
  • 2013-2015: ongoing implementation and consolidation of the systems Behaviour Based Safety (BBS), LockOut TagOut (LOTO), and Point of Work Risk Assessment (POWRA); 
  • 2014-2018: global implementation of the "Excellence in Safety" programme with Dupont (underway); 
  • 2015-2017: completion of integration of Health, Safety and Environment KPI for the sales/commercial/equities areas;
  • 2015: issue of a new Health, Safety and Environment Policy.