Human capital

Strategic goal. Involved, motivated, loyal and competent employees are the key pillar of the Group’s business. EVRAZ aims to reach total standardisation of human resources processes organisation-wide.

Overview. During 2016, EVRAZ’ efforts focused mainly on the “From Foreman to Managing Director” programme, which aims to evaluate and develop operations management to create a management candidate pool at plants. In response to market conditions in the beginning of the year, the Group has undertaken a headcount reduction programme and streamlined administrative functions. The total number of employees has decreased by 6,625 people.

Outlook. Looking into 2017, the Group’s focus will be on employee engagement management, staff assessment and development programmes, as well as continuing ongoing initiatives to centralise HR functions and improve process quality.

Labour productivity steel, Please see Additional information for details US$/t

Labour costs per tonne of steel products decreased once again in 2016, down by 12.4% to US$36.5 per tonne compared with US$41.6 per tonne in 2015, due to the ongoing labour productivity improvement project pipeline.