Sustainability definitions - SUSTAINABILITY REPORT 2020

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Sustainability definitions - SUSTAINABILITY REPORT 2020
SUSTAINABILITY REPORT 2020

Sustainability definitions

                             Worley Sustainability definitions 2020   01
Sustainability definitions table
    The following table contains definitions and clarifications for metrics and referenced terminology in the:
    • Worley Annual Report 2020 (Environment, Social and Governance or Sustainability section)
    • Worley Sustainability Report 2020

      A

      B

      Biofuels                      Worley defines biofuels as sustainable fuels produced from biomass feedstocks, capable of delivering
                                    significant lifecycle greenhouse gas emissions reductions compared with fossil fuel alternatives.

      C

      Carbon dioxide                Carbon dioxide emissions equivalent (CO2e) is the universal unit of measurement used to express and
      emissions                     compare emissions from various greenhouse gases based on their global warming potential, converted to
      equivalent                    the equivalent amount of carbon dioxide.
      (CO2e)                        The six key greenhouse gases recognized by the Kyoto Protocol and adopted by Worley are:
                                    • Carbon dioxide (CO2)
                                    • Methane (CH4)
                                    • Nitrous oxide (N2O)
                                    • Hydrofluorocarbons (HFC)
                                    • Perfluorocarbons (PFC)
                                    • Sulphur hexafluoride (SF6)

      CO2e emission                 Worley’s approach to greenhouse gas emissions reporting is consistent with the reporting requirements set
      factors                       out in the Greenhouse Gas Protocol Corporate Standard. The CO2e emissions factors are sourced from the
                                    latest International Energy Agency (IEA) emissions factors.
                                    As per accepted practice, we do not restate previous year emissions based on emission factor updates.

      Catalyst                      A robot designed by Worley to remove catalyst in a vessel, replacing the need for a human to do this activity.
      Removal                       The robot is deployed inside the vessel and vacuums the catalyst material out of it.
      Amphirol
      (CAROL)

      Chief Executive               Officer role accountable to the Board for managing Worley and developing and executing Group strategy.
      Officer

1   Worley Sustainability definitions 2020
Corporate         Corporate financial donations comprise all monetary donations by Worley corporate entities to organizations
financial         whose purpose is to support charitable causes and/or community development. It includes donations made
donations (to     by Worley’s corporate centre via the Worley Foundation, amounts invested in local communities as required
sustainability    by law In South Africa under the Broad-Based Black Economic Empowerment legislation requirements, and
and corporate     India under section 135 of the Companies Act, 2013, Companies (Corporate Social Responsibility Policy)
responsibility    Rules, 2014) as well as contributions by our regional operations.
related           Contributions by operations include direct monetary donations by Worley offices and business lines towards
activities)       our local communities. These contributions support the communities where Worley operates, including
                  activities aligned to our sustainability and corporate responsibility commitments.
                  Memberships, some scholarships and marketing spend are generally not included within this definition.
                  Monetary and time contributions by our people, from payroll deductions or direct giving, volunteering, and
                  value of paid hours are not included within this definition.
                  The contributions (donations) are captured in the company’s finance systems at the time of payment, using
                  the following codes / category, or equivalent:
                  Expenditure category = contributions
                  Resource type = charitable donations
                  Total contributions are measured in Australian Dollars for the reporting period in which the financial
                  transaction is made. Contributions by offices outside of Australia are converted to Australian Dollars using
                  the average exchange rate during the month that the financial transaction occurred.

D

Diversity &       At Worley, the diversity of our people includes factors such as race, ethnicity, gender, sexual orientation,
Inclusion (D&I)   socio-economic status, culture, age, physical ability, education, language, skill levels, family status, religious,
                  political and other beliefs and work styles. We value and harness diversity to build an environment where
                  people are connected and belong.
                  Inclusion is defined as the outcome to ensure that those that are different and underrepresented feel
                  welcome and valued.

E

Energy            Energy is consumed predominantly to run our office spaces and fabrication yards. Electricity, natural gas and
consumption       other fuel consumption are compiled from metering and building data, and in some instances is estimated
and conversion    using historical data. Our total energy consumption is measured in megawatt hours (MWh) for the reporting
factors           period.
                  Where fuel use is not recorded in terms of a unit of energy (i.e. gaseous or liquid fuels), conversion factors to
                  establish energy use are used to convert volume of fuel to energy.

Energy            Average ratio of energy consumption relative to the aggregated revenue generated by the company over the
intensity         reporting period. This is expressed as a ratio of energy consumption per aggregated revenue raised (MWh/$
per dollar of     million).
revenue

                                                                                                        Worley Sustainability definitions 2020   2
Energy                        Average ratio of energy consumption relative to number of personnel as at the end of the reporting period.
      intensity per                 This is expressed as a ratio of energy consumption per person (MWh/person).
      person                        The personnel number is reduced from our employee number for the reporting period to exclude our large
                                    field-based workforce in North America, as these personnel do not work on our sites and do not contribute
                                    to our Scope 1 and 2 emissions.

      Enterprise                    Enterprise development is a target area of investment by the Worley Foundation aimed at providing
      development                   contributions to assist in the operation, financial performance and development of local small businesses
                                    towards long term sustainability.

      Employee                      This includes both the Group’s employees and contractors.

      Employment                    There are two employment contract categories at Worley:
      contract                      • Permanent contract: Permanent employee contract for full-time or part-time work for an indeterminate
                                      period.
                                    • Fixed term or temporary contract: Fixed term employment contract that ends when a specific time period
                                      expires.

      Employment                    There are two employment types at Worley:
      types                         • Full time: A ‘full-time employee’ is defined according to local national legislation and practice regarding
                                      working time (e.g. minimum of 30 hours per week)
                                    • Part time: A ‘part-time employee’ is defined as an employee whose working hours per week, month or
                                      year is less than a ‘full-time employee’.

3   Worley Sustainability definitions 2020
F

First Aid Case   Non-recordable cases such as visits to a physician or licensed health care professional solely for observation
(FAC)            or counselling; the conduct of diagnostic procedures as defined in OSHA CFR 1904.7 (b) (5) (i) (B); and first
                 aid as defined in OSHA CFR 1904.7 (b) (5) (ii). If the injury or illness required only the following types of
                 treatment, consider it first aid:
                 • Using a non-prescription medication at non-prescription strength (for medications available in both
                   prescription and non-prescription form, a recommendation by a physician or other licensed health
                   care professional to use a non-prescription medication at prescription strength is considered medical
                   treatment for recordkeeping purposes);
                 • Administering tetanus immunizations (other immunizations, such as Hepatitis B vaccine or rabies vaccine,
                   are considered medical treatment);
                 • Cleaning, flushing or soaking wounds on the surface of the skin;
                 • Using wound coverings such as bandages, Band-Aids™, gauze pads, etc.; or using butterfly bandages
                   or Steri-Strips™ (other wound closing devices such as sutures, staples, etc., are considered medical
                   treatment);
                 • Using hot or cold therapy;
                 • Using any non-rigid means of support, such as elastic bandages, wraps, non-rigid back belts, etc. (devices
                   with rigid stays or other systems designed to immobilize parts of the body are considered medical
                   treatment for recordkeeping purposes);
                 • Using temporary immobilization devices while transporting an accident victim (e.g., splints, slings, neck
                   collars, back boards, etc.).
                 • Drilling of a fingernail or toenail to relieve pressure, or draining fluid from a blister;
                 • Using eye patches;
                 • Removing foreign bodies from the eye using only irrigation or a cotton swab;
                 • Removing splinters or foreign material from areas other than the eye by irrigation, tweezers, cotton swabs
                   or other simple means;
                 • Using finger guards;
                 • Using massages (physical therapy or chiropractic treatment are considered medical treatment for
                   recordkeeping purposes);
                 • Drinking fluids for relief of heat stress;
                 • Visits to a physician or other licensed health care professional solely for observation or counselling; or
                 • The conduct of diagnostic procedures, such as x-rays and blood tests, including the administration of
                   prescription medications used solely for diagnostic purposes; e.g. eye drops to dilate pupils.

                                                                                                         Worley Sustainability definitions 2020   4
G

      Graduate                      Anyone who is on a formal Worley Group graduate program or hired direct from university.

      Greenhouse                    Aggregate total greenhouse gas emissions (Scope 1 and 2) generated by Worley activities, expressed in
      gas emissions                 carbon dioxide emissions equivalent (CO2e).

      Greenhouse                    Average ratio of greenhouse gas emissions relative to the aggregated revenue generated by the company
      gas emissions                 for the reporting period. This is expressed as a ratio of tonnes of carbon dioxide equivalent per aggregated
      intensity per                 revenue raised (tCO2e/$ million).
      dollar revenue

      Greenhouse                    Average ratio of greenhouse gas emissions per person member (tCO2e /person). This is calculated using our
      gas emissions                 Scope 1 and 2 emissions.
      intensity per                 The personnel number is reduced from the total employee number for the reporting period to exclude
      person                        our large field-based workforce in North America, as these personnel do not work on our sites and do not
                                    contribute to our Scope 1 and 2 emissions.

      Greenhouse                    Average ratio of greenhouse gas emissions per unit energy used (tCO2e/MWh) during the reporting period.
      gas emissions                 This is a new metric for FY2020 and will be used to measure how we are moving to lower carbon forms of
      intensity per                 energy as we work towards net zero greenhouse gas emissions.
      unit of energy

      Group                         Direct reports to the Chief Executive Officer who have executive accountabilities for managing major regional
      Executive                     business units (profit and loss) and significant functions, as well as developing and executing Group strategy.
                                    Participation may be extended to other senior leaders by exception and for specific purposes.

5   Worley Sustainability definitions 2020
H

Heritage         Refers to both:
WorleyParsons    • The WorleyParsons Group of companies as it existed prior to acquisition of the Jacobs Energy, Chemicals
                   and Resources division on 29 April 2019
                 • That part of Worley which was historically part of the WorleyParsons Group of companies prior to the
                   acquisition of the Jacobs Energy, Chemicals and Resources division on 29 April 2019.

Heritage         Refers to both:
Jacobs Energy    • The Energy, Chemicals and Resources division of Jacobs Engineering Group as it existed prior to being
Chemicals and      acquired by the WorleyParsons Group on 29 April 2019
Resources
(ECR)            • That part of Worley which was historically part of the Jacobs Energy, Chemicals and Resources division
                   prior to its acquisition by the WorleyParsons Group on 29 April 2019.

I

J

K

L

Lost Workday     A recordable injury/illness that results in one or more days away from work at the direction of a medical
Case (LWC)       professional. Worley shall begin counting days away on the day after the injury occurred or the illness began
                 and each calendar day until released to return to work in some capacity by a medical professional as defined
                 in OSHA 1904.7(b)(3)(ii). A LWC is a recordable case.
                 You must count the number of calendar days the employee was unable to work as a result of the injury or
                 illness, regardless of whether or not the employee was scheduled to work on those day(s). Weekend days,
                 holidays, vacation days or other days off are included in the total number of days recorded if the employee
                 would not have been able to work on those days because of a work-related injury or illness (OSHA 1904.7(b)
                 (3)(iv)). These cases are recordable only if information is received from a physician or other licensed health
                 care professional indicating that the employee should not have worked, or should have performed only
                 restricted work, on these days (OSHA 1904.7(b)(3)(v).

Lost Workday     Lost Workday Case Frequency Rate (LWCFR) is calculated by:
Case
                                      (Total number of days away resulting from LWC) x 200,000
Frequency       LWC Severity Rate =
Rate (LWCFR)                                      Hours worked (for the period)

                                                                                                   Worley Sustainability definitions 2020   6
M

      Medical                       The management and care of a patient to combat disease or disorder as defined in OSHA CFR 1904.7(b) (5).
      Treatment                     Treatment beyond first aid is Medical Treatment.
      Case (MTC)                    A Medical Treatment Case is a Recordable Case.

      N

      Non-executive                 Members of the Worley Board.
      directors

      Non-profit                    Organizations that are not operating for the profit or gain of its individual members. Surplus revenue, direct
      organization                  or indirect goes back into the operation of the organization to carry out its community objectives and goals.
                                    Non-profit organizations are often established by and for the community with minimal or no intervention
                                    from local or federal government.

      O

      Operational                   Operational control describes the boundary for reporting our environmental performance information.
      control                       Worley reports its energy use and greenhouse gas emissions with respect to the operational control model
                                    as set out by the Greenhouse Gas Protocol, i.e. our sites where we have full authority to introduce and
                                    implement our operating policies.

      P

      Paris                         An agreement within the United Nations Framework Convention on Climate Change. The aim of the
      Agreement                     Paris Agreement is to strengthen the global response to the threat of climate change by keeping a global
                                    temperature rise this century well below 2°C above pre-industrial levels, and to pursue efforts to limit the
                                    temperature increase further to 1.5°C.

      People                        Our People network groups bring employees with shared characteristics or life experiences - such as gender,
      network                       race, cultural heritage, sexual orientation and/or gender identity, disability - together in a safe space and
      groups                        offer varying opportunities for members. These include social and development opportunities, mentoring,
                                    volunteering, sharing best practice and a chance to gain skills and experience in areas they may not get the
                                    opportunity to do in their ‘day job’.

7   Worley Sustainability definitions 2020
Q

R

Reporting      Reporting period highlights our efforts from 1 July 2019 to 30 June 2020, unless otherwise stated.
period

Restricted     Restricted work occurs when, as the result of a work-related injury or illness:
Workday Case   You keep the employee from performing one or more of the routine functions of his or her job, or from
(RWC)          working the full workday that he or she would otherwise have been scheduled to work OSHA 1904.7(b)(4)(i)
               (A); or
               A physician or other licensed health care professional recommends that the employee not perform one or
               more of the routine functions of his or her job, or not work the full workday that he or she would otherwise
               have been scheduled to work. OSHA 1904.7(b)(4)(i)(B).
               Worley shall begin counting restricted work days on the day after the injury occurred or the illness began and
               each calendar day until released to return to full routine duties.
               A RWC is a Recordable Case.

S

SaltGrid       A cloud-based platform which applies artificial intelligence to health, safety and environmental data to
               predict the number and types of incidents likely to occur.

Scope 1        Direct greenhouse gas emissions from sources that The Group owns or controls. Our Scope 1 emissions
emissions      come from burning liquefied petroleum gas (LPG), natural gas and liquid fuels in heaters and generators,
               particularly at our fabrication yards.

Scope 2        Indirect greenhouse gas emissions that come from purchased energy – including heat and steam, by
emissions      The Group. Our Scope 2 emissions come from the energy used to power our fabrication yards and office
               buildings.

Scope 3        All other indirect emissions in the value chain of The Group. We do not presently estimate our Scope 3
emissions      emissions. These include (but are not limited to) emissions from transportation of our products from our
               fabrication yards, business travel, data centres and waste disposal.

Senior         Leadership roles at Worley up to the end of FY2020 were called senior executives. They comprised all
executives     employees and contractors at the CEO-1, CEO-2, CEO-3 levels.

                                                                                                 Worley Sustainability definitions 2020   8
Senior leaders                From FY2021 senior leader roles will be defined using our Organizational Role Framework (Tiers) rather than
                                    based on positioning of roles in relation to our CEO. Tiers are more indicative of the leadership component
                                    of our roles, with Tier 1 roles being the highest level of leadership competency, typically demonstrated by
                                    Group Executive members.
                                    Senior leaders are managers below Group Executive who have leadership accountabilities for business
                                    units (profit and loss) and functions (and sub-functions). This can be defined using organisation tiers,
                                    which represent the size and impact of the role. Typically, this would be tiers one, two and possibly three,
                                    depending on the area.

      Serious Case                  Any fatality or permanent disabling injury / illness or HSE Event with a potential consequence to result in a
                                    fatality or a permanent disabling injury or illness.

      Serious Case                  The sum of; Fatalities + Disabilities + High Potential Events multiplied by 200,000 and divided by the hours
      Frequency                     worked; i.e.
      Rate (SCFR)
                                             The sum of (Permanent Disabling Injury or Illness (Actual + Potential) + Fatalities (Actual + Potential) x 200,000
                                  SCFR =
                                                                                     Hours worked (for the period)

                                    Frequency rates are a normalized measure of performance; they are a Worley reporting requirement.

      Skilled                       At Worley, the term skilled volunteering is used when our people provide skilled services to community-
      volunteering                  based organizations in their time outside of paid working hours on a no fee basis.

      Sustainability                Sustainability encompasses those elements of our environmental, social and governance (ESG) performance.
                                    It also refers to our activities supporting our customers to meet ESG objectives on their projects.

      T

      The Group                     At Worley, the Group is defined as Worley and its subsidiaries, associates and alliances.

      Total                         The sum of; Fatalities + Disability/Permanent Illness + LWC + RWC + MTC
      recordable
      cases

      Total                         The sum of; Fatalities + Disability/Permanent Illness + LWC + RWC + MTC multiplied by 200,000 and divided
      recordable                    by the number of hours worked; i.e.
      case frequency
      rate (TRCFR)                           (Fatalities + Disability / Permanent Illness + LWC + RWC + MTC) x 200,000
                                  TRCFR =
                                                                   Hours worked (for the period)
                                    Frequency rates are a normalized measure of performance; they are a Worley reporting requirement.

      TRACE                         Worley’s tool used for conducting anti-bribery and corruption, modern slavery and ethical business due
                                    diligence research.

9   Worley Sustainability definitions 2020
U

V

W

Women        This includes both the Group’s employees and contractors.
employees    There can be difficulties in the quality of gender data due to voluntary self-reporting in some jurisdictions
             (notably the United States where we have a sizable footprint). The percentage women employees metric is
             provided on this basis.

Worley       The Worley Foundation was established in 2013 with objectives to support the execution of high
Foundation   impact strategic community projects; become a vehicle for direct corporate investment, fundraising and
             volunteering; and expand opportunities for our people to be directly or indirectly involved in foundation
             activities.

X

Y

Z

                                                                                               Worley Sustainability definitions 2020   10
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