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Contents Contents 2
About this Sustainability Report 3
Measuring our performance 5
Our structure 6
The CIMIC Group’s operations 8
Executive Chairman and CEO message 10
Sustainability at the CIMIC Group 12
Material issues 13
Providing safe communities and workplaces 16
Acting with integrity 21
Developing a performance culture 28
Innovating to deliver projects 38
Using resource efficiently 48
Our awards 60
Summary of performance 62
GRI Index 64
Organisational profile 66
In 2015, CIMIC Group Limited was again recognised
by the industry leading Dow Jones Sustainability
Indices (DJSI) with inclusion in DJSI’s Australia Index.
Structure of this Sustainability Report
This report is structured around our five
sustainability commitments which are to:
• Provide safe communities and safe,
supporting and positive workplaces for
our people;
• Act with integrity ‐ honestly and
respectfully – in all relationships with the
Group’s stakeholders;
• Develop a united and collaborative culture
where engaged employees are aligned to
achieve superior performance and
integrate governance, economic,
environmental and social considerations
into their roles;
• Seek competitive advantage by innovating
to deliver construction, mining and
services projects that satisfy the
governance, economic, environmental
and social needs of clients; and
• Use resources efficiently, minimise waste
and promote the delivery of energy
efficient, environmentally and socially
responsible projects.
These colour coded commitments provide a
navigation framework for this Sustainability
Report.
Our commitments are derived from, and
based on, our Principles – Integrity,
Accountability, Innovation and Delivery –
underpinned by Safety. They provide a
common unifying bond for our people and set
the framework for the behaviour of our
people. The principles and our commitments
uphold our mission which is to maximize long‐
term value for shareholders by sustainably
delivering projects for our clients while
providing safe, rewarding and fulfilling careers
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About this Sustainability Report
Reporting approach
The CIMIC Group, which includes
CIMIC Group Limited (CIMIC) – the
ASX listed parent company – and its
various Operating Companies, is
committed to operating sustainably
and reporting on our environmental,
social and governance (ESG)
performance and progress. This
Sustainability Report marks a new
era in the disclosure of sustainability
information which is increasingly
being sought by our stakeholders.
For the financial year ended 31
December 2015, we have adopted a
Global Reporting Initiative (GRI) G4
framework for the preparation of
this Sustainability Report. By doing
so we aim to generate reliable,
relevant and standardized
information with which our
stakeholders can assess our
opportunities and risks, and enable
more informed decision‐making –
both within the business and
externally. It is our intention over the
next two years to continually
improve our disclosure and
engagement so as to achieve fully
compliant GRI G4 reporting.
This Sustainability Report forms part
of our annual reporting suite of
documents. These documents are all
available online at
www.cimic.com.au
Report boundary and scope
This Report is for the 12 month
period to 31 December 2015, unless
otherwise noted. The scope of this
report covers all of the CIMIC and its
100% controlled operations which
include:
• CPB Contractors Pty Ltd
(formerly Leighton Contractors
Pty Ltd, with the name change
effective from 4 January 2016);
• Thiess Pty Limited;
• EIC Activities Pty Ltd;
• Pacific Partnership Pty Ltd;
• Leighton Asia Limited, including
Leighton India and Leighton
Offshore; and
• Leighton Properties Pty Ltd.
CIMIC Group Limited and its 100%
owned operations are referred to in
this Sustainability Reports as the
CIMIC Group or the Group.
At this stage, the scope does not
extend to include the operations of
the CIMIC Group’s investments,
where the CIMIC Group does not
have 100% ownership, namely:
• Devine Limited: CIMIC owns a
59.1% stake (as at 31 December
2015) in the listed property
development company;
• Ventia: CIMIC holds 50% of an
investment partnership for the
merged services business of CPB
Contractors and Thiess;
• Habtoor Leighton Group: CIMIC
holds a 45% share in the Middle
East‐based construction
company;
• Sedgman Limited: CIMIC owns a
46.4% stake (as at 5 February
2016) in the listed resources
engineering company;
• Nextgen Group: CIMIC holds a
28.9% stake (as of 31 December
2015) in the telecommunications
network, data centre and cloud
services provider; and
• Macmahon Holdings Limited:
CIMIC owns a 19.7% stake (as of
31 December 2015) in the listed
mining contracting company.
In December 2014, the Group sold
100% of its shareholding in the John
Holland Group (JHG) to CCCC
International Holding Limited and
50% of its share of the Thiess
Services and Leighton Contractors
Services businesses (Services) to
funds managed by affiliates of Apollo
Global Management, LLC (Apollo),
and entered into a joint venture with
Apollo. As the Group no longer
controlled JHG or Services (now
called Ventia), the transaction was
recorded as a disposal of controlled
entities during the period to 31
December 2014. The sales of JHG
and Services were completed in April
and March of 2015 respectively and
they are not included in this
Sustainability Report.
Monetary amounts referred to in
this report are reported in Australian
dollars, unless otherwise stated.
Availability of Information
In 2014, the Group commenced a
significant restructure, establishing
dedicated, streamlined and efficient
businesses focused on contract
mining services (Thiess),
construction (CPB Contractors and
Leighton Asia), public private
partnerships (Pacific Partnerships),
and engineering (EIC Activities).
Given this transformation, a number
of comparable operational safety
and environmental performance
measures are not available prior to
the 2015 year on which we are
currently reporting. Where
comparable data is available, it has
been provided. In future reports, the
Group expects to be able to provide
more detailed operational
performance measures by Operating
Company.
External assurance
This report, prepared using the GRI
G4 as a framework, has not been
externally assured. It is our intention
within the next two years to have
our Sustainability Report externally
assured.
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Measuring our performance At the CIMIC Group, our people are project‐focused, committed to the achievement of high quality standards, and gain satisfaction
from meeting or beating targets. We believe that people perform best when they have clearly defined goals and when they are
empowered to operate and are held accountable for delivering. This philosophy assists us to foster a culture of high performance.
The table below summarise some of our key sustainability targets and performance across a range of metrics as per our
commitments.
Target FY2015 Performance
Result Commentary Target date
Providing safe communities and workplaces
Zero work‐related fatalities ○ One fatality in Thiess’ Queensland mining services operations
Annual
Reduce TRIFR1 ● Reduced Group TRIFR from 3.8 in 2014 to 3.2 in 2015 Annual
Reduce number of Class 1 injuries ● Reduced from 5 in 2014 to 2 in 2015 Annual
Safety management systems in place ● 100% of operations certified to ISO 18001 and/or AS/NZ4801
Annual
Acting with integrity
Refreshed and re‐issued Code of Conduct ● Education program rolled out across Group End 2015
No serious breaches of Code ● On‐going
Developing a performance culture
Promote gender equity ● Addressed gender pay gaps in fixed remuneration reviews and bonus awards
Annual
Promote diversity ● Developed new Diversity & Inclusion strategy to achieve key objectives
End 2015
Promote diversity ● Communicated revised Diversity and Inclusion Policy and Workplace Behaviour Procedure
On‐going
Foster female participation ● Total (staff and workforce) female participation at 17% – higher than the Australian construction and mining industry averages
On‐going
Innovating to deliver projects
Increase number of ISCA2 rated projects ● 12 ISCA rated projects delivered to‐date On‐going
Deliver sustainable return for shareholders ● Total 1‐year shareholder return (TSR) of 13.1% and rolling 3‐year TSR of 58.2%
Annual
Utilising technology in the delivery of projects ● 454 people trained in the use of Building Information Modelling (BIM) and Geographic Information Systems (GIS) during the year
On‐going
Using resources efficiently
No significant environmental incidents ◑ No Level 1 incidents across the Group. Significant reduction in Level 2 incidents at CPB Contractors and none recorded at Thiess
Annual
Reduce number of legal breaches ● 2 minor legal breaches resulting in fines Annual
Environmental management systems in place ● 100% of operations certified to ISO 14001 Annual
● Achieved ◑ Partly achieved ○ Not achieved
1 Total Recordable Injury Frequency Rate
2 Infrastructure Sustainability Council of Australia
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Geographic scope of operations …
Full page spread being
updated by Corporate
Comm’s
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For CIMIC, sustainability is the
integration of environmental, social
and governance factors into our
decision‐making to maximize long
term shareholder value, and
contribute to safe and healthy
employees, communities and
ecosystems.
Sustainability is embedded in our
business. It is not a new concept; it is one
that our people have been practicing for
years. While many of our initiatives were
not labelled as ‘sustainable’, the
outcomes certainly were. The actions of
our people have been, and continue to
be, built on our Principles of Integrity,
Accountability, Innovation and Delivery,
and are underpinned, in everything that
we do, by Safety.
The CIMIC Principles are integral to
sustainability. Acting with integrity means
being honest about, and accountable for,
the performance of our business. It means
innovating in terms of the disclosure of
sustainability information, hence this
Sustainability Report, and delivering
useful information on which stakeholders
can make informed decisions.
We operate in an increasingly globalised
world, one where the creation of shared
wealth is more important. A world where
our stakeholders expectations continue to
rise and there is a greater understanding
of the impact of our actions on the
environmental and society. We
understand and respect the demands for
greater disclosure regarding our actions
and that our stakeholder’s need to be
able to evaluate the current and potential
impacts of our business.
An enhanced focus on sustainability this
year has seen us refresh our strategy,
undertake a materiality assessment in
consultation with our stakeholders,
appointed a senior executive to manage
the function and produce this Report, all
within a 6‐month period.
Our refreshed sustainability strategy aims,
over the next 3‐5 years, to further
develop a culture where CIMIC Group
employees understand the important role
of sustainability and fully integrate the
strategy into business decisions to meet
the needs of our clients. In doing so, we
aim for CIMIC to be recognised as an
industry leader in delivering sustainable
projects which, in turn, helps develop
client loyalty and facilitates the winning of
new or repeat work. At the same time, we
constantly strive to improve our efficiency
and reduce waste, thereby lowering our
costs, improving our value proposition
and growing the loyalty of our clients. In
doing so, we aspire to be recognised as an
employer of choice which will help to
attract, engage, motivate and retain
employees who share our commitment to
operating sustainably.
The CIMIC Group is building a systematic
approach to sustainability governance,
capabilities, business integration and
engagement. This will allow our Board to
effectively oversee the sustainability of
our business at a Group‐wide level. It will
also enable our Operating Companies to
better share their knowledge and
experience within a common decision‐
making framework.
Responsibility for sustainability resides
with the Board of CIMIC Group Limited
who delegate authority to our Ethics and
Compliance Committee. This year,
reflecting the importance of sustainability
to the Group, that Committee was
renamed the Ethics, Compliance and
Sustainability Committee.
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In preparing this Sustainability Report, we
undertook a Material Aspects assessment
to help identify, refine, and assess the
numerous potential environmental, social
and governance issues that could affect
our stakeholders and/or our business in
the future. We have condensed these into
a short‐list of topics that helps to inform
the Group’s strategy, targets, and
reporting. The process and results are set
out on pages 13‐15 of this Report.
The issues identified in our Material
Aspects assessment are addressed in
more detail in this Report in five colour‐
coded sections which correspond with our
Sustainability Commitments (as per the
framework on the page above). In each of
these sections we address our key focus
areas and our performance across a range
of related metrics, as per the GRI G4
reporting framework.
Tragically, it is with great sadness I report
the death of one of our colleagues due to
a work‐related incident during 2015. On
behalf of the Board, I extend my deepest
sympathies to the families and friends of
our colleague who passed away and
confirm our ongoing commitment to
ensuring safety is paramount and
underpins all we do at CIMIC Group.
The Group’s performance on a number of other key measures this year has been positive:
• our key safety lag indicators were
stable or showed improvements
across the business;
• no material environmental
compliance matters were reported for
the period; and
• we delivered a number of projects
that were externally recognised for
their sustainability.
Reflecting our sustainability efforts, I’m
pleased to report that the Group was
again recognised in 2015 by the industry
leading Dow Jones Sustainability Indices
(DJSI) which tracks the performance of
the companies that lead their industries in
terms of corporate sustainability. CIMIC
was again included in DJSI’s Australia
Index, one of only two construction and
engineering companies to be recognised.
We achieved a Total DJSI Sustainability
Score of 81 in 2015 compared with 76 in
both 2014 and 2013. Our performance
across all three major dimensions ‐
economic, environment and social ‐ also
improved. A highlight was CIMIC’s
recognition as the construction and
engineering global leader in four
categories including: 1) Risk & Crisis
Management; 2) Building Materials; 3)
Environmental Policy/Management
System; and 4) Resource Conservation
and Resource Efficiency. Only 13 other
engineering and construction companies
globally were selected for inclusion in the
DJSI which reflects well on the CIMIC
Group.
CIMIC’s sustainability performance was
also recognised by inclusion in
RobecoSAM’s 2016 “The Sustainability
Yearbook”. The Yearbook also
acknowledged CIMIC as the construction
& engineering ‘Industry Mover’ for
achieving the largest proportional
improvement in its sustainability
performance within the top 15% of the
industry compared to the previous year.
We were also recognised by CDP
(formerly the ‘Carbon Disclosure Project’)
which works with institutional investors
to drive sustainable economies. For our
Climate Change submission, we received
99 out of 100 for Disclosure and a ‘C’
rating for our performance, in line with
other respondents. We received a ‘B’
rating for our Water submission.
This year’s Sustainability Report and the
other changes we have made
demonstrate our increased focus on
sustainability. We are committed to
operating sustainably and reporting on
our performance and progress.
We recognise that we are on a journey to
further integrate environmental, social,
governance and economic factors in to
our decision making. I trust that our
stakeholders will appreciate the enhanced
disclosure of our sustainability practices
and we look forward to receiving
feedback on how we can continue to
improve our performance and disclosure
in the future.
Marcelino Fernández Verdes Executive Chairman and Chief Executive
Officer
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Sustainability at the CIMIC Group
The Group applies a holistic
approach to sustainability,
integrating the concept into our
core business strategy, so we can
better identify new growth
opportunities while reducing our
exposure to legal, resource, and
socio‐political risk.
Sustainability is not a new concept
for CIMIC and the Group has long
embraced a sustainable approach to
doing business. What is new is our
enhanced focus, a new strategy, the
dedication of resources to manage
the function and our commitment,
both internally and externally, to
operating sustainably.
The transformation of the Group,
establishing dedicated, streamlined
and efficient market focused
businesses, has led to Group‐wide
policies to ensure consistent
governance and delivery. Further
embracing sustainability also helps
us sharpen our strategies and
strengthens our ability to execute –
leading to improvements in the
value chain and value creation for all
of our stakeholders.
Governance and sustainability
Our commitment to sustainability
starts at the Board level. The Board
is responsible to shareholders for the
long‐term performance of the CIMIC
Group and for overseeing the
implementation of appropriate
corporate governance with respect
to the Group’s affairs. The Board
delegates authority to our standing
committees and, in the case of
sustainability, this has been the
Ethics and Compliance Committee.
This year, reflecting the importance
of sustainability to the Group, that
Committee was renamed the Ethics,
Compliance and Sustainability
Committee (ECSC).
The ECSC has adopted a formal,
Board‐approved Charter that details
its role, authority, responsibilities,
membership and operations. Our
Committee Charters are reviewed
annually and are available on our
website.
The ECSC regularly reports to the
Board on matters relevant to the
Committee’s role and
responsibilities. The ECSC’s
members, and details on how often
it meets, are set out in CIMIC’s 2015
Annual Report.
The Executive Chairman and CEO
further delegates authority within
the business to our senior executives
as judged appropriate to achieve
CIMIC’s sustainability objectives.
These delegations are outlined in our
annual business plan, in senior
executive position descriptions and
letters of appointment, and through
formal performance reviews
conducted by the Executive
Chairman and CEO, and other
executives. We are seeking to
develop a culture where our
employees understand the
important role of sustainability and
integrate these factors into business
decisions to meet the needs of
clients.
In 2015, an Executive General
Manager, Sustainability (EGM,
Sustainability) was appointed,
reporting to the Executive Chairman
and CEO, to lead the development
and execution of a broad‐based,
Group‐wide strategic sustainability
initiative integrating and reporting
on sustainability throughout the
company, and to ensure that the
Group’s sustainability effort
enhances business performance and
supports the long‐term interests of
the Group. The EGM, Sustainability
regularly reports to the ECSC on
consultation with stakeholders
relating to economic, environment,
social and governance issues.
In 2014, we reviewed our corporate
governance and reporting practices
to enable us to early‐adopt the third
edition of the ASX Corporate
Governance Principles and
Recommendations. Our corporate
governance statement has been
made available on our website again
this year, in the section titled Board
and Governance. We have also made
this Sustainability Report available
online so as to avoid the printing
costs and the impact on the
environment of publishing a hard‐
copy report.
Assessing our HSEC/ESG
performance
CIMIC has an oversight role in the
management of health, safety,
environmental and community
(HSEC) matters for each of the
Operating Companies who manage
the operational aspects of these
matters. In assessing the Group’s
performance, and ensuring
compliance with all legal obligations
and regulatory expectation, the
Operating Companies regularly
report to the ECSC on ethical
matters, and environmental and
safety performance and issues. The
processes for the reporting of any
ethical matters or transgression
which may breach the Group’s Code
of Conduct are set out in more detail
on page 24.
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Our Material issues Defining material issues
Principle 7.4 of the 3rd edition of the ASX
Corporate Governance Principles and
Recommendations requires that a “listed
entity should disclose whether it has any
material exposure to economic,
environmental and social sustainability risks
and, if it does, how it manages or intends to
manage those risks.” A ‘material exposure’
in this context means a real possibility that
the risk in question could substantively
impact the listed entity’s ability to create or
preserve value for security holders over the
short, medium or long term.3
The materiality assessment process
In November 2015, CIMIC undertook a
materiality assessment to seek to identify
and confirm the important potential
economic, environmental, social and
governance issues that could affect the
business, both positively and negatively.
The process initially involved a series of
interviews with senior management from
across the Group and ESG analysts at
broking firms, an assessment of media
reports about the Group, reviews of client
sustainability reports, and reference to
recent sustainability reporting submissions
such as DJSI and CDP.
The topics and themes identified by these
sources were then used to develop a
shortlist of 32 potential material issues
which formed the basis of a web‐facilitated
survey, as per the Material Issues below.
The colour coding of these potential
materials issues shows were they are
addressed in this report.
● Proving safe communities and workplaces (pages 16‐21)
● Acting with integrity (pages 22‐27) ● Developing a performance culture
(pages 28‐37) ● Innovating to deliver projects (pages
38‐47) ● Using resources efficiently (pages 48‐
59)
Our Materials Issues
4 and our Sustainability commitments
3 ASX Corporate Governance Principles and Recommendations, 3rd Edition, 27 March 2014.
4 Diagram shows the Group’s 32 Material Issues categorised by our Sustainability Commitment and ranked by Importance and Impact, the top 22 of which are plotted on the following page.
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Surveying stakeholders
The survey was then sent to a selection
of stakeholders identified through our
strategic plans and in consultation with
our Operating Companies. These
included:
• Senior managers from across the
Group and employees with
operational responsibility for
sustainability related functions;
• ESG and equity analysts providing
broking coverage of the Group; and
• Managers representing the Group’s
major equity investors and
financiers.
A desktop review of our major client’s
sustainability issues was also
undertaken and cross‐checked against
the results.
Certain stakeholders, including clients
and suppliers, were identified but not
surveyed. It is our intention to extend
our engagement to other stakeholders
as we progress on the sustainability
journey.
Respondents were asked to prioritise
the 32 identified potential material
issues which were structured using GRI
Guidelines (Economic, Governance,
Environmental and Social ‐ labour
practices, human rights, society,
product responsibility) to rank, on a 5
point scale, their:
• importance in their assessment of,
and decision regarding, the CIMIC
Group; and
• current or potential impact in
terms of revenue, costs,
investments or risk, on the medium
and long‐term success of the CIMIC
Group.
142 responses were received from
those surveyed. The results of this
survey are summarised in the chart
below with the top 22 responses (of
the 32 identified material issues)
plotted based on their ratings.
The remaining 10 material issues are
still addressed in this report because of
their importance to rating bodies such
as DJSI or they are key topics identified
in the GRI reporting framework, and
they are still relevant to some
stakeholders.
An explanation of our approach to
dealing with each individual Material
Issue is set out in more detail in this
Sustainability Report under the colour‐
coded chapter headings of our
sustainability commitments.
Importance and impact map
Bribery and corruptionPublic safety
Ensuring compliance in overseas markets
Managing risk
Workplace safety
Child labour
Funding future infrastructure
Overseas compliance
Employee attraction & retention
Regulatory certainty
Workforce availabilityEncouraging competition
Labour standards
Culture of innovation
Protect local communities
Decline in coal demand
Transparent disclosureGlobalization and
competition
Energy efficiency
Aligning remuneration
Tax policy
Protecting biodiversity
Importan
ce
Impact HighLow
Low
High
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Integrating material issues with risk
Management
Effective risk management is an
integral element of good management
practice and is essential to good
corporate governance. As a listed
company on the Australian Securities
Exchange, risk management is
fundamental to our ongoing
compliance with all applicable legal
and regulatory compliance
requirements and obligations,
including those arising from the
Corporations Act 2011 (Cth) and the
ASX Corporate Governance Principles
and Recommendations.
To be most effective, risk management
must be embedded into the Group’s
operating philosophy, practices,
business processes and culture, rather
than be viewed or practiced as a
separate activity. CIMIC defines risk
management as the identification,
assessment and treatment of risks that
have the potential to materially
impact: the Group’s operations,
employees, and reputation; the
environment and communities in
which the Group works; and the
financial prospects of the Group. Our
risk management framework is tailored
to our business, embedded largely
within existing processes and aligned
to the Group’s objectives, both short
and longer term.
The Group’s risk framework
The CIMIC Group Risk Framework is
based on International Standard ISO
31000:2009 ‘Risk management –
Principles and guidelines’, and forms
the basis for CIMIC’s risk management
activities. Our approach to risk is
approved by the Board through the
CIMIC Group Risk Management Policy
and is supported by associated policies
and minimum requirements, with
which our Operating Companies are
required to comply.
Given the diversity of the Group’s
operations and the breadth of its
geographies and markets of
operations, a wide range of risk factors
have the potential to affect the
achievement of business objectives.
Key risks, including those arising from
economic, environmental, social and
governance issues, together with the
Group’s approach to managing those
risks, are set out in CIMIC’s 2015
Annual Report.
Application of Group work
procurement standards and approval
processes maximises the likelihood of
securing quality work with
commensurate returns for the risks
taken. Pre‐contracts assurance teams
manage and assure the work
procurement process. Our EIC
Activities business undertakes early
reviews of prospects to identify risks
and mitigations, and provides
engineering solutions to complex
technical problems. In doing so, EIC
Activities enhances our ability to
mitigate and manage risk.
Significant resources are devoted to
the avoidance, management and
resolution of work delivery challenges.
Operating Companies provide project
teams with guidance and support to
achieve project and business
objectives. Project oversight is
maintained by regular performance
reviews that involve Operating
Company and CIMIC Group
management, commensurate with the
scale, complexity and status of the
project.
The Material Issues identified in the
stakeholder consultation process are
communicated to the Group’s senior
management team, as well as the
Strategy and Risk teams for
incorporation into the development of
strategic and business plans.
Areas of material business risk for the
Group are highlighted in the Business
Plan that is presented to the Board by
the CEO each year. The Board then
reviews and approves the parameters
within which significant business risks
that have been identified will be
managed before it adopts the Business
Plan.
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Graphic to be inserted across page
Our approach
Within the Group’s Principles framework, safety
underpins everything that we do. It is fundamental to
our business: to our integrity and respecting our
people; to being accountable and responsible for our
performance, and the welfare of our workmates; to
innovating, so that we continually improve and learn
from our mistakes; and to delivery, because if we
don’t deliver projects safety, we jeopardise our
reputation, our financial performance and our ability
to secure repeat work.
Actions during 2015 ‐ Integrated best elements of CPB Contractors’ and Thiess’ safety programs for their respective businesses
‐ Commenced development of global health and safety systems for mining
‐ Developed Thiess Safety Essentials and implemented globally
Measures in place ‐ All systems compliant with Australian and international standards
‐ Comprehensive audit program conducted within Mining with HSEQT systems audited at all sites
Performance ‐ Improvement in safety performance metrics across all Operating Companies
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Our focus areas and performance
Creating safer and healthier workplaces
The environments that our people work in are inherently
hazardous. These risks, such as working with moving
vehicles and equipment, lifting of heavy construction
materials, and working at heights, makes safety a challenge.
Our people, and their families, should rightly expect that
their workmates, their sons and daughters, their fathers and
mothers, their husbands and wives, will return home safely
at the end of a day’s work. We believe that committed
leadership and an uncompromising emphasis on hazard
identification, risk assessment and risk management
provides the cornerstone for health and safety. This is
expressed and encouraged through our Policies, our health
and safety expectations, and the Group’s health and safety
culture.
Health and safety hazards are identified and the risks
eliminated as a first priority and, where not possible,
minimised so far as is reasonably practicable via the highest
order of control/s possible. The risks and hazards can vary
between construction and mining. In construction, the
critical risk areas we are focusing on to create safer and
healthier workplaces are:
• working at heights and falling objects;
• lifting operations;
• working with utilities and live services;
• mobile plant interaction and live traffic; and
• working with temporary structures.
In mining, the critical risk areas for potential injuries are:
• falls from height;
• tyres;
• traffic management;
• explosives;
• isolation of energy; and
• lifting operations.
Each of our Operating Companies is required to: develop
and implement management systems and practices to
manage safe, sustainable and efficient operations, reflecting
their unique operating environments. Any change with
health and safety implications is identified and the health
and safety risks managed through an effective change
management process.
The next phase of creating workplaces free from fatalities
and serious injuries is to maintain the focus on managing
critical risks and establish a culture of ownership of safety.
We are undertaking a cultural change transformation to
drive greater ownership of safety accountability at all levels.
Significant inroads for this journey were made in 2015.
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Fatalities and Class 1 injuries
The Group’s occupational health and safety performance
improved during 2015 despite a fatality in Thiess’ mining
operations.
The Group is deeply saddened to report that, in February
2015, in an incident at the Dawson South coal mine in
Queensland, an experienced fitter died and a 22‐year‐old
apprentice was seriously injured while they were fitting an
assembled tyre and rim to a water cart.
Thiess has undertaken an investigation of the incident, one
element of which focussed on a detailed engineering and
metallurgical analysis of the rim components which are
widely used across the industry. Learnings from this review
were communicated across Thiess’ Australian and
international business units, and the wider Group. To date,
three global actions have been raised externally targeting
the effective application of existing systems and processes.
An investigation by the Department of Mines is ongoing.
We are also saddened that, in March 2015, in Leighton Asia ,
the appointed banksman directing the operation of a crane,
sustained serious injuries to both legs as a result of being
struck and run over by the rear of a forklift which was
reversing down a ramp at the time of the incident. The
banksman subsequently required the surgical amputation of
the left leg above the knee as a result of the injuries
sustained.
All other injuries
We record the number of lost time injuries (LTI’s)5 which are
an industry recognised metric. The Group measures Lost
Time Injury Frequency Rate (LTIFR)6 as a lag indicator of
injury prevention performance.
5 An occurrence that resulted in a fatality, permanent disability or time lost from work of one day/shift or more. While the criteria for LTIs vary across industries, essentially any injury that results in the injured employee losing one shift is generally regarded as an LTI. 6 Accidents per million hours worked (MhW).
7
On this measure, our performance in CPB Contractors was
ahead of target while Leighton Asia was behind target. At
Thiess, the LTIFR continues on its downward trend, dropping
to 0.4 in December 2015 from 0.7, 12 months earlier.
At CIMIC, our preferred measure of injuries is Total
Recordable Injuries (TRI)8. We use the Total Recordable
Injury Frequency Rate (TRIFR) as the key lag metric. TRIFR,
which captures LTIs and medically treated injuries, provides
a different lens on workplace injury. With the separate
category of LTIs removed, all TRIs are treated equally in the
first instance, with severity assessed on the injury itself and
the circumstances surrounding the incident.
Total Recordable Injury Frequency Rate 9 (TRIFR)
2015
CPB Contractors TRIs/MhW 4.0
Leighton Asia TRIs/MhW 3.7
Thiess TRIs/MhW 2.0
Other TRIs/MhW 0
Group TRIs/MhW 3.2
The TRIFR has been trending down over the 2015 year
across CPB Contractors and Thiess, and is below our target
in both companies. At Leighton Asia, the TRIFR was slightly
above target at the year end, the first time in more than 2
years that the target had not been achieved. The Group
TRIFR has reduced from 3.8 in 2014 to 3.2 in 2015.
7 CPB Contractors (CPB), Thiess and Leighton Asia (LAL)
8 All fatalities, lost time injuries, cases restricted for work, cases of substitute work due to injury, and medical treatment cases by medical professionals (doctors, nurses, etc.). It does not include any first aid injury. 9 TRIFR ‐ includes all fatalities, lost time injuries, cases restricted for work, cases of substitute work due to injury, and medical treatment cases by medical professionals per million hours worked.
0
1
2
CPB Thiess LAL
Lost time injury freqency rate (LTIFR) (accidents/MhW)
LTIFR
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Lead indicators
The Group uses lead indicators as a measure of safety
performance to identify and help prioritise where effort is
needed in order to reduce the potential for injury to people.
Lead indicators used in this way become important tools for
risk avoidance and minimisation across any business.
The Group tracks Potential Class 1 incidents which comprise
fatalities and permanent disabling injuries.
Potential Class 1 incidents 2015
CPB Contractors # 93
Leighton Asia # 55
Thiess # 44
Other # 0
Total # 192
By focusing on identifying the causes of Potential Class 1
incidents we are able to address key safety risks and reduce
injuries in the future.
An important lead indicator for Leighton Asia is the
Significant Near‐Miss (SNM)10. The Significant Near Miss
Reporting Frequency Rate (SNMFR) is measured per million
man hours worked. Leighton Asia’s SMNFR was 0.71 in 2015.
The challenge in improving the SNMFR is largely cultural as
the reporting of near misses is still seen as a negative by
many local supervisors and workforces in the regions in
which Leighton Asia operates. During 2015, Leighton Asia
relaunched its ‘Near Miss’ reporting campaign along with
including Near Miss reporting as part of ongoing Leighton
Asia Project Safety Reviews.
The Group strives to improve safety outcomes by also
focusing on and tracking other leading safety indicators
including:
• Compliance – measuring the percentage close out of
incident alerts;
• Leadership – measuring the percentage of management
safety walks conducted versus the planned schedule;
• Governance – measuring the percentage of health and
safety system compliance audits conducted versus
schedule; and
• Training ‐ percentage of staff completing safety
leadership training.
These indicators provide an insight into how our Operating
Companies are managing the safety systems that prevent
injuries at work. For example, scheduled audits confirm that
safety processes are being followed. Similarly, timely
10 An unplanned event at a workplace, which had the potential to
result in serious injury, illness or damage but may not have resulted in a Class 1 incident at the time of the event. A SNM may have the potential to result in an LTI, restricted work injury (RWI) or medical treatment injury (MTI).
management of corrective actions confirm that our
Operating Companies are taking appropriate action to
control workplace safety risk and prevent injuries.
Managing safety in construction
At CPB Contractors, a Safety Essentials program has been
designed to give teams the highest level of confidence that
they are identifying, eliminating and/or controlling critical
risks in accordance with the requirements specified in each
of the divisional Safety Essentials modules.
The Safety Essentials program was developed from lessons
people have learned on the job, and has now been rolled
out across all sites. Part of the day‐to‐day working culture,
the Safety Essentials program continues to be embedded
across CPB Contractors’ business. We are integrating the
best elements of the former Thiess construction business
into our new, focused construction business, CPB
Contractors.
Leighton Asia continues to utilise their successful ‘Strive for
LIFE’ safety program which was born out of a vision to effect
genuine positive change and a cultural shift towards the
elimination of Class 1 incidents. LIFE stands for ‘Leighton
Incident Free Environment’, the aspiration of this
construction business.
Started in 2009 in Hong Kong and Macau, the program was
subsequently rolled out across Asia. It includes a site safety
inspection process called the Strive for LIFE safety walk. A
Safety Leadership Program has been developed to educate
managers and supervisors, and to put the workforce through
Health, Safety and Environment Induction Programs.
In 2010, Leighton Asia opened a state‐of‐the‐art Strive for
LIFE Knowledge and Skills Training Centre in Hong Kong,
where workers undergo classroom instruction and practical
training on the safety standards. By embracing safety as an
underpinning Principle, Leighton Asia actively encourages a
safety culture on site.
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Managing safety in mining
Thiess’ award‐winning ‘lag‐to‐lead’ safety transformation
program was further integrated into the business
throughout 2015. The program has included:
• implementing business‐specific lead indicators;
• increasing the functionality and accessibility of the
Synergy reporting system;
• implementing the collaborative ALFA (Ask, Listen, Find
out, Act) safety initiative; and
• delivering the Thiess executive mentoring program.
In addition to the focus on lead initiatives, in 2015, Thiess
has developed and implemented Thiess Safety Essentials
(TSEs) to address the six most critical risks in the business.
Each TSE suite comprises a Critical Controls document, a
mandatory Core Procedure, and a range of supporting
documentation.
Ask, Listen, Find out, Act at Thiess
After being introduced in 2014, the innovative ALFA
method was rolled out across Thiess mines in 2015. The
process involves a storytelling component that allows
Thiess employees to share their experiences regarding
what work can be like and the difficulties they face on a
day‐to‐day basis.
When the process was introduced at the Curragh North
coal project, 172 people shared more than 300 examples
from their personal work experiences. Once their feedback
was analysed, the project initiated a wide range of local
solutions to improve delivery.
Health and wellbeing of employees
We recognise that our responsibility to our people extends
beyond making our workplaces safe. All of our Operating
Companies are seeking to encourage the broader health and
wellbeing of employees.
We are aware that certain members of our workforce, such
as ‘fly‐in fly‐out’ workers, may be more vulnerable to a
heightened risk of mental health issues. Work has
commenced on the development of a broad health and
wellbeing program at Thiess and CPB Contractors, with a
particular focus on mental health. The program is being
developed in consultation with CIMIC, with initial meetings
held with the CEO from Mates in Construction and other
mental health support organisations such as Beyond Blue.
Public safety
The Group continues to take every precaution to protect the
health and safety of its clients and the public. A critical
consideration, particularly when constructing infrastructure
projects, is ensuring the safety of the general public. We are
constantly assessing the workplace for health and safety
risks that can place our people or the public in danger. Once
the risks are identified, we work to find innovative ways to
eliminate or control those risks.
Tailored safety measures may include speed restrictions
when working with live traffic and the use of large crash
barriers to isolate pedestrians from moving vehicles.
Traffic management at the Gateway WA project
Safe and efficient management of the traffic network is a
key priority of the Gateway WA project. The CPB
Contractors led alliance manages the traffic network with
safety as the number one priority while aiming to minimise
disruption to traffic during construction.
Through the use of technology, including the real‐time
traffic map and variable message signs (VMS), traffic is
monitored so that the project network can operate as
efficiently as possible. Other measures utilised throughout
the project road network include variable speed signs, auto
flaggers, barrier guards and truck mounted attenuators.
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Emergency plans and resources are prepared and
maintained, which allow for effective responses to health
and safety emergencies and crises on projects. The Group
maintains a Group Crisis Management Plan which
coordinates any Group crisis response, and ensures
appropriate Group capabilities are in place to respond if
required.
Passenger safety on the Epping to Thornleigh Third Track
An alliance including CPB Contractors is constructing 6km
of new and upgraded track within the existing rail corridor
between the Epping and Thornleigh stations in Western
Sydney in a contract worth $280 million.
Due to limited access to the track, construction has to be
achieved in a live rail corridor. This challenge includes
significant earthworks (widening the sandstone and shale
cuttings up to 14m in height), the need to maintain access
to all stations and adjoining roads, and the need to
minimise environmental and community impacts.
To enable construction while the track is live and
operational, a 3m rock fall safety barrier was installed
adjacent to the track between Cheltenham and Pennant
Hills in specific high risk areas when CPB Contractors had
access to undertake work.
To enable the station works to be undertaken while
minimising any impact on customers and commuters, the
following measures were carried out:
• careful planning with the Station Construction Liaison
Group to consider passenger safety and awareness;
• an advanced public awareness strategy through clear,
concise signage at stations and the use of leaflet
distribution notice boards;
• hoarding‐off of worksites and access routes wherever
possible to create defined boundaries; and
• temporary relocation of covered waiting rooms where
possible.
Outlook and Future Plans
We are committed to our people returning home safely at
the end of a day’s work. In 2016, we plan to:
• maintain our commitment to, and measurement of,
Leadership Walks to provide senior management focus
on safety inspections;
• addressing mental health within our workforce,
particularly amongst ‘fly‐in‐fly‐out’ workers;
• roll out a ‘Working at Heights’ campaign in CPB
Contractors;
• further develop our ‘Significant Near‐Miss’ reporting in
Leighton Asia;
• issue Class One Risk Management Processes and
Standards in Leighton Asia for Temporary Works, Fitness
for Work, Tunneling and Excavation, Confined Spaces,
and Tools and Equipment, and train all project staff on
their contents and requirements;
• continue to embed the application of the current Thiess
Safety Essentials and commence development of the
seventh Essential covering Ground Stability; and
• complete the development of the Thiess Global Health &
Safety management system.
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Our approach
At the CIMIC Group, integrity is one of our
fundamental principles. People often define integrity
as doing the right thing even when no one else is
around. At CIMIC, we also believe it means being
respectful and honest with ourselves, our colleagues,
our clients, our suppliers, our shareholders and our
other stakeholders.
Actions during 2015 ‐ Refreshed and re‐issued Code of Conduct ‐ Education program rolled out including town hall meetings by Executive Chairman and CEO
Measures in place ‐ Code of Conduct available to all employees ‐ Group‐wide independent Ethics Line available for reporting
Performance ‐ Employees across the Group undertook formal training in the Code of Conduct
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Our focus areas and performance
Avoiding bribery and corruption
At CIMIC, our approach to acting with integrity is explicitly
set out in our Code of Conduct (the Code) which is available
on our website. The Code sets the foundation for everyone
in the Company and outlines the standards of behaviour we
expect regardless of Operating Company, role or country.
The Code is built on our Principles of Integrity,
Accountability, Innovation and Delivery, and within our
Principles framework – Safety – which underpins everything
we do. It is fundamental to our business.
In 2015, the Code was refreshed and relaunched. Among
other things, the Code sets out the Group’s commitment to:
• the health and safety of our workforce and those under
our care;
• rejection of child and forced labour;
• providing a supportive and positive working
environment;
• zero tolerance for all forms of bribery and corruption
including facilitation payments;
• dealing with gifts and hospitality;
• avoiding conflicts of interest and insider trading;
• having effective business relationships with
subcontractors and other third parties;
• the fair and lawful treatment of personal information;
• respecting the environment;
• building relationships and working collaboratively with
communities;
• committing to the principles of free and fair competition,
and complying with all applicable national and
international laws;
• using the assets of the Group appropriately and
complying with all applicable rules, laws and regulations
governing business reporting; and
• meeting all continuous disclosure obligations.
The Code is supported by Procedures, training modules and,
a Group‐wide Ethics Line (to provide an independent and
safe avenue for reporting).
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Communication and training
The refreshed Code was communicated to staff via emails,
intranet announcements and video messages from the
Executive Chairman and CEO. All employees are provided with
a copy of the Code and supporting documents upon induction
to the Group. The Code is accessible in each office and project
site, and is available on the CIMIC, and each Operating
Company’s intranet. Any updates to the Code are promptly
communicated to all employees.
The Group monitors the volume and type of disclosures
received through the CIMIC Group Ethics Line.
Any complaints that are received are dealt with as per the
Management, Monitoring and Reporting Procedure which
details the related processes for:
• reporting a concern about a possible, potential breach of
the Code;
• protecting any employee (‘Whistleblower’) who reports a
genuinely held concern; and
• how any concerns reported will be investigated.
The Procedure also outlines the roles and responsibilities of
leadership and employee groups, and the training requirements
that are necessary.
The Board monitors and reviews the ethical standards and
practices generally within the Group, compliance with the
Code, and compliance with applicable legal and regulatory
requirements. The ECSC receives quarterly reporting at a high
level on the nature of all calls to the Ethics Line. Any serious
matters are also reported to the ECSC.
The Group has a number of roles, including senior managers,
where exposure to external parties seeking to breach our Code
is increased. These roles11 received additional, more focused
training in the Code during the year which will be repeated bi‐
annually. This training is delivered by Counsel of each Operating
Company, with the support of senior managers, reflecting the
importance that we place on this training.
All other salaried employees are to complete the bi‐annual
online training module. Where online training is not available,
alternative delivery is provided. In addition, all employees were
required to complete the Code of Conduct ‘acknowledgment’
online when the refreshed Code was released.
11 May include the following roles: Senior corporate management;
Senior project management; Finance and Administration; Procurement and contract administration / management; Business development; Government relations; and Plant Managers.
12
CIMIC is continuing to cooperate with the relevant authorities
regarding an alleged breach of the Code by employees within
the Leighton International business that, if substantiated, may
have contravened Australian laws. This matter was self‐
reported in 2012 and CIMIC does not know when the
investigations will be concluded.
Encouraging fair and open competition
As per the Code, the Group is committed to the principles of
free and fair competition. The Group will always compete
vigorously but fairly, and comply with all applicable competition
laws. The Group will also comply with all applicable national
and international laws, regulations and restrictions relating to
the movement of materials and services.
Senior salaried employees are required to complete SALT (self‐
administered legal training) Competition and Consumer
Protection training every two years to ensure the knowledge of
employees is current. In 2015, the module was refreshed and
93 employees completed the training in areas including:
Introducing Competition and Consumer Law; Advertising; Anti‐
Competitive Behaviour; and Product liability.
In keeping with the Code, the Group did not make any
donations, either in kind or directly, to political organisations,
political parties, politicians, or trade unions in 2015.
No legal actions were commenced or are outstanding with
respect to anti‐competitive, anti‐trust or monopoly behaviour.
There were no instances of significant fines or sanctions for
non‐compliance with Australian and international laws and
regulations during the year.
The Group does not sell banned or disputed products.
12 EIC Activities (EIC) shows number of employees who undertook an
Acknowledgment course. For Leighton Asia (LAL), the figure reflects Senior Manger training undertaken in May 2014. 3,405 (95%) of Leighton Asia’s people undertook Acknowledgment training in 2015.
0
1,000
2,000
3,000
CIMIC CPB Thiess LAL EIC Pacific
Formal Code of Conduct training in 2015 (#)
No. of people trained
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Transparent disclosure of information
The CIMIC Group is committed to providing information to
shareholders and to the market in a manner which is consistent
with the meaning and intention of the ASX Listing Rules. The
Group’s Market Disclosure and Communications Framework is
published on our website.
CIMIC has an established set of principles, policies and
procedures to ensure the continuous disclosure of information
concerning CIMIC that a reasonable person would expect to
have a material effect on the price or value of CIMIC’s
securities. This includes the establishment of a Continuous
Disclosure Committee to oversee the day‐to‐day disclosure
obligations to the company and quantitative guidance regarding
matters which should be disclosed such as earnings guidance,
changes in net assets, and new contract awards or variances.
In 2015, the views of the investment community were rated by
fund managers and brokers in the 9th East Coles Australian
Corporate Performance Report. When compared to the ASX
Top 100 companies, CIMIC was rated as number two out of 10
companies in the Industrials sector for ‘Quality of Website’ and
‘Quality of Investor Relations’.
In the ASX Top 100, East Coles ranked CIMIC 20th for ‘Quality of
Website’ and 29th for ‘Quality of Investor Relations’ which is
above the Group’s market capitalisation ranking of 38.13
During 2015, no incidents of non‐compliance with regulations
or voluntary codes were received with respect to the Group’s
marketing communications.
Privacy
The Group has a Privacy Policy which commits the company to:
safeguarding all personal information provided to CIMIC;
ensuring that personal information remains confidential and
secure; and taking all reasonable steps to ensure that personal
privacy is respected. CIMIC handles personal information in
Australia, including that of its Australian clients and business
partners, in accordance with the Australian Privacy Act 1988
(Cth) and the Australian Privacy Principles. Outside Australia,
CIMIC handles personal information in accordance with the
applicable law.
No substantiated complaints were received in 2015 with
respect to breaches of client privacy or losses of client data.
13 As of close of business Monday 8 February 2016, The Australian 9
February 2016.
Tax policy
The Group is committed to managing all taxes in a sustainable
manner with regard to the commercial and social imperatives
of our business and stakeholders.
We have a long established Tax Corporate Governance
framework which has been approved by the Group Audit and
Risk Committee outlining that we should manage our taxes in a
compliance with tax laws and our Principles. We also strive to
maintain a proactive and positive relationship with all Revenue
Authorities through regular, open and transparent dialogue.
We recognise that our sustainable tax contributions are
important to public finances and the social programs they are
required to fund.
The Group will not undertake purely tax driven transactions.
Specifically, no innovative or aggressive tax planning
transactions will be undertaken and all transactions have a
legitimate business purpose.
In 2015, the Group’s effective tax rate was 30%, the same as
the Australian corporate tax rate of 30%. Our performance over
the last four years is set out below and shows that in 2013,
2014 and 2015 our effective tax rate was the same or more
than the Australian corporate tax rate.
14
The effective tax rate is impacted by:
• the blend of different tax rates on profits and losses from
the various jurisdictions in which the Group operates15;
• entitlements under the Australian Government’s Research
and Development tax incentive15; and
• taxes on the gains and losses on divestments.
The overall effective tax rate on the gains on the divestments of
JHG and Services in 2014 was 38% and on the sale of the
Group’s Telecommunications Assets in 2013 was 47%. These
differences arose as a result of the treatment of the various
components of the divestment for tax law purposes and
14 Based on comparable reported results in the 2015 Annual Report.
15 The amounts of which are disclosed in Note 6: Income Tax (Expense) /
Benefit in the Financial Report within CIMIC’s Annual Reports.
0
10
20
30
40
2012 2013 2014 2015
Effective tax rate v Aust'n corporate tax rate (%)
Actual rate Corporate tax rate
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differences in the tax cost base of assets and liabilities
compared to their accounting values.
CIMIC does not receive significant financial aid from
governments, apart from standard tax relief measures that are
available to businesses in the jurisdictions where we operate
such as Research and Development tax incentives or
accelerated depreciation allowances.
Local and regional regulatory uncertainty
The Group has a broad sphere of operations, working in
approximately 20 countries throughout the Asia Pacific, the
Middle East, Sub‐Saharan Africa and South America. Across and
even within these countries there are different cultures,
customs, regulations and laws. We are mindful of the
differences that exist and are sensitive to them. At the same
time we apply our Code and Policies, and our Principles –
Integrity, Accountability, Innovation and Delivery – wherever
we operate and the Code applies, even when it is more
stringent than local laws. These Principles, underpinned by
Safety, unite the many countries and cultures we operate in
and distinguish us from our competitors.
Regular and rigorous reviews of the Group’s current and
potential geographies, industries, activities and competitors are
undertaken. Oversight of key risks is maintained by the Board
Audit and Risk Committee, supported by a quarterly Risk Report
that aggregates and highlights risks to the Group achieving its
objectives. Areas of material business risk for the Group are
highlighted in the Business Plan that is presented to the Board
by the CEO each year.
Our people continue to participate in local business advisory
panels, and industry and sustainable development committees
to identify and address local issues that may impact on our
strategy or our operations.
Ensuring compliance overseas
The Group is committed to the highest standard of ethical
conduct, and statutory and regulatory compliance wherever we
operate. This is supported by a comprehensive range of Group
level policies and standards, including our Code of Business
Conduct. CIMIC promotes clear governance through the
empowerment of individuals with delegated authority,
appropriate segregation of duties, and clear accountability and
oversight for risks.
In international markets, policies, standards and other
governance documents are translated into the languages of the
countries that we operate in. In our overseas operation, our
Operating Companies translated the Code into local languages,
and training is conducted across the business in multiple
languages.
Our Ethics Line is staffed by highly trained, independent
consultants who are able to also access a comprehensive
interpreter service covering all the regions and languages
where we operate.
Fulfilling the rights of local communities when
delivering projects for clients
We recognise that, wherever we operate, we are guests of the
local community and we endeavour to minimise the impact of
our work on local residents and their environment and to
maximise opportunities for local communities to participate in
the operation. We are also committed to supporting our clients
to ensure that all land access agreements are met.
We encourage communication and consultation with local
communities, and operate with a strong focus on having a
positive community impact. By prioritising the employment of
local residents at our projects and providing training, we aim to
directly benefit local workers, their families and the community.
Consultation and engagement
We work with relevant community stakeholders, especially
those most affected by our operations, and seek to identify and
address their concerns and expectations. We also incorporate a
Stakeholder Engagement Plan in the project planning process,
which includes the recording and tracking of the management
of community concerns. Each Operating Company has its own
community engagement policy and framework.
Local participation
Locally‐sourced goods and services support local employment,
boost regional economic growth and create upskilling
opportunities. In some cases, purchasing locally‐made products
and services can minimise transport costs and reduce fuel
consumption and the associated greenhouse gas emissions.
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In 2015, our Operating Companies created thousands of jobs
through the engagement of local suppliers, making a substantial
contribution to the national, regional and local economies in
which we operate. We seek to attract and retain a workforce
that reflects the diversity of the clients and the broader
communities in which we operate.
In Australia, Thiess’ mining business injected approximately
$1.75 billion into the economy and created more than 3,000
jobs. This included spending more than $100 million with
subcontractors and suppliers from surrounding towns near
their operations. In Indonesia, Thiess is creating more than
5,500 jobs across the Archipelago.
Supplier assessment for impacts on society Our Operating Companies aim to build sustainable supply
chains. For example, Thiess actively pursues sustainable
procurement by ensuring that consideration of energy, water,
pollution and ecology, economics, community, safety,
governance and waste are included in product and service
specifications, and contract terms and conditions. Sustainability
criteria are used in supplier evaluations and pre‐qualification
documentation.
Grievance mechanisms for impacts on society Increasingly our projects will ensure they engage with the
communities that they may impact. Projects are required to
have stakeholder engagement plans in place to manage this risk
which helps to smooth delivery and enhances our brand and
reputation.
Two way communications is vital to stakeholder engagement.
Projects use a variety of tools including town‐hall meetings, site
barbecues, house visits, tours, questionnaires, and regular news
and SMS updates. Complaints are dealt with at the project and
resolved locally where possible so as to minimise disruption to
the project.
Providing corporate community investment in local
communities
Our objectives are to deliver shared value for the community
and the CIMIC Group. For the community, our initiatives should
make a tangible, genuine and lasting improvement to the
quality of people’s lives.
For the CIMIC Group, the initiatives should deliver us more
opportunities through a strengthened social licence to operate,
support deeper employee engagement, and build stronger and
broader capabilities.
We seek to invest in strategic community initiatives by:
• partnering with organisations that have the necessary
financial, governance and management capabilities;
• creating initiatives that create opportunities for our people
to be involved, draw on our other capabilities and assets
including our networks and relationships, and align with our
business vision and values; and
• managing them as rigorously as we do any other business
initiative, with appropriate metrics and reporting on both
community and CIMIC Group benefits.
We partner with private clients and governments in building,
operating and maintaining social and economic infrastructure
for communities. By doing so and investing in communities, we
create shared value that continues long after our work is
finished.
The Group may support local community groups and charities
through sponsorships and donations that are legal, ethical and
further the interests of the Group, and have mutual benefit to
the community or broader society and the CIMIC Group.
In the financial year ended 31 December 2015, the Group gave
more than $0.75 million to the community through
partnerships, sponsorships, donations and workplace giving.
Our people are also encouraged to fundraise and volunteer to
help create sustainable communities.
Collaborating with industry not‐for‐profits to
generate shared value
The Group has built strong relationships with industry and not‐
for‐profit groups, including non‐governmental organisations, at
local, regional and national levels, as part of our commitment to
achieving sustainable outcomes for the Group, our industries
and the broader community.
We partner with and/or are members of groups such as the
Green Building Council of Australia, the Infrastructure
Sustainability Council of Australia, the Minerals Council of
Australia, the Australian Constructors Association, the Hong
Kong Construction Association, the Singapore Contractors
Association Ltd, the Masters Builders Association Malaysia and
the Indonesian Contractors Association.
Outlook and Future Plans
We are committed to acting with integrity and doing the right
thing, regardless of where we operate. In 2016, we plan to
• continue to reinforce the Code through senior management
roadshows and presentations;
• maintain our focus on training for everyone; and
• continue to engage with our stakeholders to identify risk
and to minimize impacts on local communities.
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Our approach
The CIMIC Group is a serviced‐based organisation and
our success is dependent on the quality of the service
we deliver. Our people deliver those services and so
they are, without doubt, the key asset driving the
business. We are striving to develop a culture where
our employees understand the important role of
sustainability and integrate these factors into business
decisions to meet the needs of clients and other
stakeholders. By doings so we aim to be recognised as
an employer of choice which helps to attract, engage,
motivate and retain employees.
Actions during 2015 ‐ Re‐issued and communicated new Diversity and Inclusion Policy
‐ Developed new Diversity and Inclusion strategy to achieve key objectives
‐ Addressed gender pay gaps in fixed remuneration reviews and bonus awards
Measures in place ‐ Comprehensive skill mapping in place across all Operating Companies
‐ Rigorous procedures in place to apply appropriate labour standards
Performance ‐ CPB Contractors and Thiess ranked 5th and 10th respectively in LinkedIn’s ‘Australia's 30 Most InDemand Employers: 2015’
‐ CPB Contractors and Thiess both ranked as top 40 employers by students from across 41 Australian universities
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‐
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Our focus areas and performance
Attracting, developing and retaining employees
We are a business that relies on the performance of our
people. Our approach to attracting, developing,
empowering, retaining and redeploying our people defines
the CIMIC Group as an employer of choice. Our aim is to
provide our people with a world of opportunities to grow
and succeed.
The Group is committed to:
• providing a supportive and positive working
environment where employees are treated fairly and
with respect; and
• developing and maintaining a diverse and inclusive
workforce.
To be successful and create value for shareholders, our
people must be motivated and encouraged to innovate. We
are seeking to further develop a performance‐driven culture
throughout the Group and to reward performance against
stated objectives through various incentive schemes.
Managing our employees effectively and rewarding their
performance against objectives results in stronger employee
engagement which, in turn, leads to:
• increased productivity; and
• the development of a Group‐wide culture of high
performance.
We are committed to attracting the best in the business so
that clients, project partners and our people gain the
advantage of having access to both seasoned experts and
promising young talent. Across the Group we offer
scholarships, internships and graduate employment
opportunities to help promising trainees develop the
necessary skills to excel.
To maintain our position as a leader in the industries where
we operate, we must ensure the knowledge and expertise of
our people grows. We are committed to retaining quality
people. We invest in their development and offer them
opportunities to practise and extend their professional
capabilities.
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Employment
As a service organisation, our success is dependent on the
quality of our service which is driven largely by the skills,
passion and expertise of our people. As at 31 December
2015, the Group directly employed 27,939 people, 7,610 in
Australia and 20,329 in the international operations. The
number of direct employees has declined due to the sale of
the JHG business and the disposal of 50% of Services (now
called ‘Ventia’) and the formation of a joint venture with
Apollo.
16
Based on a proportional share of our investments in HLG,
Devine Limited and Ventia, our total number of employees
is 43,433.
The average tenure of our people is 3 years reflecting the
commitment of our workforce. The Group’s management,
which includes key operational roles such as project
managers, foremen and site superintendents, enjoy a
substantially longer tenure which demonstrates our desire
to retain these important personnel.
The turnover rate of our employees varies across each
Operating Company and reflects the relatively short term
duration on many of the Group’s construction projects.
Typically, many trade related employees such as labourers
16 CPB Contractors (CPB), Leighton Asia (LAL), Leighton Properties
(LPPL), EIC Activities (EIC), Pacific Partnerships (Pacific)
are recruited for construction projects and then leave for
other opportunities when the project, or their contribution
to the project, is completed. This distorts turnover rates in
the construction industry and makes them incomparable to
many other industries.
The Group’s policy preference is to recruit internal
candidates and they must always be considered for roles,
prior to external recruitment. This includes employees who
are in redeployment. Employment of contractors, casual
employees or temporary employees for non‐project based
roles will only be considered in exceptional circumstances,
and where there is a clear business need.
Additionally, selection should be based on competency,
experience and qualifications, and assessed against bona
fide and defined job requirements. Employment processes
and decisions should be free from bias and discrimination.
LinkedIn recognition for Operating Companies
In 2015, CPB Contractors and Thiess were ranked 5th and
10th respectively in LinkedIn’s ‘Australia's 30 Most
InDemand Employers: 2015’.
Our Group companies were among the most sought‐after
employers in Australia based on billions of interactions
from LinkedIn's 7 million Australian members and this
result reflect their efforts to create attractive places to
work. They sit in esteemed company alongside multi‐
nationals such as RioTinto, Google, BHP Billiton, Microsoft
and Qantas.
CPB Contractors and Thiess were both ranked by Universum
as top 40 employers by students from across 41 Australian
universities studying Engineering and Natural Sciences. For
more information visit http://universumglobal.com/.
0
5,000
10,000
15,000
CIMIC CPB LAL Thiess EIC Pacific LPPL
Direct employees (#)
Employees
0
2
4
6
2012 2013 2014 2015
Tenure of employment (years)
Voluntary turnover rate
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Aligning remuneration to encourage
performance
The key remuneration principles that underpin CIMIC’s
approach to remuneration of employees enables the Group
to attract, retain and motivate personnel with the
experience and skills necessary to lead, manage and
operate the Group for the benefit of shareholders. We
remunerate fairly and responsibly in accordance with the
markets in which we operate, and we maintain rewards and
benefits that are highly competitive within our industry.
Our approach is premised on the philosophy that a fair
day’s work deserves a fair day’s pay. We foster a
performance‐driven culture throughout the Group and
reward performance against stated objectives through
various incentive schemes.
The Group’s approach to employee benefits is that full time
employees are remunerated in accordance with, or above,
the standards of the country in which they are being
employed. Benefits such as life insurance, health care,
disability and invalidity coverage and retirements provisions
vary from country to country and we comply with all
regulatory obligations to provide these benefits.
Regular and equitable performance reviews facilitate the
transparent discussion of employee achievement against
key performance indicators and expectations. By doing so
we improve employee attraction, retention and
engagement which ensures we have the skills to execute on
our strategy.
Superannuation in Australia is government‐mandated and
minimum provisions are compulsory for employees.
Employers are required by law to pay "superannuation
guarantee" contribution amounts to a designated
superannuation fund for their employees at 9.5% of their
wages and salaries. Defined contribution superannuation
plans exist to provide benefits for eligible employees or
their dependants. Contributions by the Group are expensed
to the statement of profit or loss as incurred.
In 2013, the Leighton Superannuation Plan and the AMEC
Superannuation Fund members were transferred to the
defined contribution category within the same plans. As a
result, there are no defined benefit superannuation plans at
year end.
Paid parental leave is provided in Australia. In other
countries paid parental leave is provided in accordance with
current legislation.
Individual remuneration is determined by reference to:
• Group policy regarding the mix of fixed to variable
remuneration;
• performance and experience of the individual;
• comparable jobs within the Group, and
• remuneration for comparable jobs amongst peer
companies.
The principles underpinning our approach to senior
executive remuneration are to:
• ensure that senior executives are rewarded on the basis
of performance measures that support the Group’s
business plans and strategy, and are consistent with the
Group’s values;
• align the interests of senior executives and shareholders
by focusing on those characteristics that underpin
sustainable growth in shareholder value;
• attract and retain key talent; and
• provide a balance between:
‐ fixed and performance‐based, variable
remuneration;
‐ remuneration paid in cash and through the issue of
equity; and
‐ short‐term and medium‐term performance
horizons.
Options are used as a form of incentive for senior
management. In 2015, we simplified the Long Term
Incentive (LTI) plan for senior executives to a stock options
based scheme. This provides stronger alignment between
Group performance and individual rewards.
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Availability of a skilled workforce
We recognise that, as a service business, we must have
access to a skilled workforce to be able to deliver our
projects. To do this we utilise a range of strategies
including:
• offering graduate programs, apprenticeships and
scholarships to attract quality candidates;
• offering our people opportunities to work on a diverse
range of operations around the globe;
• working to ensure community access to training,
employment and development so as to encourage
participation of locals in our workforce;
• leveraging the expertise and experience of the
resources of our major shareholder HOCHTIEF and their
major shareholder, ACS Group; and
• investing in the training and development of our people.
To maintain our position as a leader in the industries where
we operate, we must ensure the knowledge and expertise
of our people continues to grow. Each of our Operating
Companies has a framework for managing the performance
of its people. Skill mapping against role requirements is
used to identify gaps in capability. We invest in training that
supports our business requirements and the development
of our employees.
Each of our Operating Companies conducts regular skills‐
based training and programs, such as technical and
vocational training; and health and safety programs, to
support our business requirements. From comprehensive
on‐the‐job training for apprentice mechanical and plant
technicians, to safety and executive leadership
programmes, we provide the training needed for our
employees to advance their careers and increase job
performance and overall job satisfaction.
Across the Group, significant investments of time and
money were made on training. Thiess’ learning
management system – Advance ‐ continued to be rolled out
in 2015 with 191,815 hours of training deployed to 2,534
people. This flexible delivery mode enables courses to be
used in the workplace, minimising off‐the‐job time. Training
includes skill areas such as technical subjects, the Code, and
environmental and cultural awareness.
Thiess, in conjunction with our client, has delivered a
nationally‐recognized “Certificate III in Surface Extraction”
vocational qualification at its Prominent Hill site. This
training formalizes the skills of 235 employees and is a key
component of the social impact management strategy.
EIC Activities provided webinars on technical topics for
1,762 employees across the Group and approximately 660
employees attended technical training provided by our
focused engineering entity.
CIMIC also cooperates with universities and other external
institutions to provide learning opportunities for its people.
For a number of years CIMIC has facilitated a Masters
degree in Project Management through the University of
New South Wales.
Application of appropriate labour standards
The Group does not tolerate harassment, discrimination,
bullying, vilification, occupational violence or victimisation
on any grounds, whether by race, gender, sexual
preference, marital status, age, religion, colour, national
extraction, social origin, political opinion, disability, family
or carer’s responsibilities, or pregnancy.
As per the Code, the Group does not tolerate child labour or
any form of exploitation of children or young people and
will comply with the International Labour Organisation (ILO)
with respect to under‐age workers. The Group also rejects
all forms of forced labour. No employee may be obliged to
work by the direct or indirect use of force and/or
intimidation. Only people who voluntarily make themselves
available for work may be employed.
Supporting this approach, recruitment procedures are in
place across the Group which ensure:
• preference is given to internal candidates, nationals and
local communities;
• external recruitment must include the Group’s Human
Resources (HR) representatives in the process;
• approval to recruit requires a 2‐up approval;
• candidates must be interviewed; and
• reference checking must be undertaken.
Our Operating Companies are responsible on an individual
basis for managing workplace relations. This approach to
employee relations helps to ensure that any matters that
arise on a project can be quickly identified and resolved in
the field.
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Freedom of Association and Collective Bargaining
We recognise the right of our employees to freely associate
and collectively bargain. We aim to fairly, consultatively and
constructively engage with workers, union representatives
and regulators.
Some 55% of the Group’s employees in Australia are
covered by collective bargaining agreements.
Supplier assessment for labour practices and human rights
The Group has a rigorous approach to dealing with third
parties which can include clients, joint venture partners,
subcontractors, consultants and suppliers, agents or
intermediaries. The Group will only do business with third
parties for legitimate purposes, in accordance with the
Code, relevant laws and where that business relationship
will benefit the Group. The Group will not do business with
a third party that does not share a similar approach to the
Group in relation to ethical matters, or where engaging with
the third party will harm the reputation of the Group.
This Procedure applies to all relationships with third parties
and applies to CIMIC and all Operating Companies in all
jurisdictions.
Appropriate enquiries (due diligence) must be carried out
on all third parties prior to formal engagement.
A third party is designated as High Risk if, amongst other
things, the engagement relates directly to a project for a
government or state‐owned enterprise in any country
which has a ranking of 80 or higher in the most recent
Corruption Perceptions Index (as published from time to
time by Transparency International) such as Mongolia,
India, the Philippines, Sri Lanka, Thailand, China, Indonesia,
Vietnam, Laos, Papua New Guinea, Cambodia and
Myanmar.
High Risk third parties may only be engaged where they
have completed and executed a Third Party Anti‐Bribery
and Corruption Declaration and integrity checks on the third
party have been completed that are acceptable to the
approving manager.
The Declaration explicitly asks third parties, “Has slavery,
forced or child labour been used anywhere by the Third
Party or, to the best of the Third Party’s knowledge, by any
direct suppliers to the Third Party?”
Where either the Third Party Anti‐Bribery and Corruption
Declaration or the basic integrity checks are not to the
satisfaction of the approving Manager, further enquires
must be made. These could include:
• enquiries of the third party about the specific concerns;
and
• detailed due diligence by an approved specialist due
diligence provider (eg. Thomson Reuters or Control
Risks). All High Risk third parties must annually complete and sign
the Declaration.
Human rights grievance mechanisms
The refreshed Code of Conduct outlines the standards of
behaviour required of all employees of the CIMIC Group
regardless of role or location. Our Policies include a
Management, Monitoring and Reporting Procedure which
supports the operation of the Code across the Group,
including how to report a potential breach, contact details
and how to deal with matters raised by a whistleblower.
The Group will not tolerate victimisation of anyone who
raises a genuinely held concern about a breach or potential
breach of the Code (ie a whistleblower). The Group is
unaware of any grievances about human rights impacts
being filed through formal grievance mechanisms during
the reporting period.
Non‐discrimination
No substantiated cases of discrimination were reported
during the year.
0
20
40
60
80
CPB Thiess
Collective agreements (%)
Collective agreements coverage
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Fostering a more diverse workforce
In 2015, the Group re‐issued its Diversity and Inclusion
Policy. The revised policy sets out the CIMIC Group’s
commitment to diversity and inclusion, and this applies to
all employees of CIMIC Group including our Operating
Companies, and third parties engaged by the Group.
As a global employer, the CIMIC Group recognises that to
operate successfully and sustainably we must:
• treat all clients, employees, suppliers, sub‐contractors
and members of the community with respect and
dignity;
• maintain a workplace culture of inclusive practices,
procedures and behaviours;
• make decisions that are fair and free from bias;
• provide employment opportunities based on merit;
• not discriminate based on individual differences such as
race, gender, sexual preference, marital status, age,
religion, colour, national extraction, social origin,
political opinion, disability, family or carer’s
responsibilities, or pregnancy;
• foster and leverage diversity of thought, experience and
skills;
• attract and retain a workforce that reflects the diversity
of the clients and the broader communities in which we
operate; and
• respect and take into account in our decisions the needs
and interests of our stakeholders in the markets in
which we operate.
The objectives of the Group's Diversity and Inclusion Policy
are to:
• Promote and improve gender equality and female
participation in the workplace;
• Increase Indigenous employment and use of Indigenous
suppliers;
• Invest in local employment to ensure the future
workforce is reflective of the countries/communities in
which we operate; and
• Cultivate an inclusive workplace of fairness and equity
which fosters the unique skills and talent of our people.
The Policy seeks to increase and leverage the diversity that
exists across the organisation. This includes increasing and
retaining the number of women employed at all levels in
the CIMIC Group by seeking to overcome the challenges
associated with the relatively small numbers of women
entering the engineering trades and profession. We are also
focused on promoting local participation internationally,
Indigenous employment, and are aware of the importance
of age diversity to our business.
Equal opportunity In 2015, the Group’s Senior Women’s Network continued.
This network group aims to support the growth of women
moving into senior positions across the Group by:
• promoting gender diversity through advocacy,
mentoring and role modelling;
• actively supporting the initiatives of the Diversity
Forum; and
• influencing and leading change.
The Company is a ‘relevant employer’ under the Workplace
Gender Equality Act. Our most recent ‘Gender Equality
Indicators’ are set out in our Workplace Gender Equality
Report which is available on our website.
Salaried employees are to complete SALT (self‐administered
legal training) on‐line Diversity and Equality training every
two years (including assessment) which features modules
including: Ethical use of resources; (Advanced) Complaints
and incidents; and (Advanced) Bullying, discrimination and
sexual harassment. In 2015, 110 CIMIC employees
completed all or some of this training, subject to position
and perceived risk.
The Group partnered with the Diversity Council of Australia
(DCA) and sponsored research that assesses and promotes
Australian business capability to positively and productively
engage in Asian cultures.
At the CIMIC Group, we are also aware of the importance of
having a balance of age groups in our workforce. We want
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to retain the experience that mature age workers have
gained from working in our industry and our organisations
for long periods. The maturity profile of our workforce is as
follows:
17
CIMIC Group aims to maintain a Board wherein
membership reflects a diversity of backgrounds, including
gender, to best steer the CIMIC Group through the diverse
opportunities and challenges we face. We currently have
one female board member, Dr Kirstin Ferguson, who was
appointed Independent Non‐executive Director on 10 July
2014. Dr Ferguson is Chairman of the Ethics, Compliance
and Sustainability Committee.
The age composition of the Directors is as follows:
The Directors have a broad mix of expertise and experience
so that the Board can effectively discharge its corporate
governance and oversight responsibilities. This mix is
described in the Board skills matrix in the Group’s 2015
Corporate Governance Statement.
17 Data on ‘workers by age group’ is based on available information
and represented about 46% of the total workforce in 2015.
Local participation
Our aim is to employ an international workforce that
reflects that populations in which it operates and be an
employer of choice in the regions in which we operate.
As at 31 December 2015, 98.9% of those staff employed in
Thiess’ international operations were local to the country
where they were employed and 95.9% of those employed in
Leighton Asia’s operations were local. Our international
businesses are focused on further increasing representation
of local talent through recruitment and retention initiatives.
The Group targets local talent through apprenticeships,
university and graduate career programs, and by offering
promising graduates the best of local peer mentoring and
international development opportunities.
Indigenous participation
Aboriginal and Torres Strait Islander people are the first
inhabitants of Australia, and we respect and value
Indigenous people, their land and communities, and their
culture and heritage. We are committed to improving
employment opportunities for Indigenous people, both in
our Operating Companies and through our subcontractors
and suppliers. To that end, we partner with governments
and Indigenous communities to promote education,
training and employment opportunities, and build an
organisational culture with a supportive work environment.
0%
50%
100%
2014 2015
Workers by age group (%)
<30 30‐50 >50
25.0%
12.5%50.0%
12.5%
Age spread of Directors
40‐49 50‐59 60‐69 Over 70
80%
85%
90%
95%
100%
Thiess Leighton Asia
Local participation (%)
Local Expatriates
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A partnership between Thiess, The Salvation Army’s
Employment Plus and Wesfarmers Curragh has culminated
in the unique “Oothungs (sisters) in Mining” program. This
program has been designed to launch the careers of
Indigenous women in the mining industry. The women
undergo extensive training in the classroom environment
and complete a program in the advanced haul truck
simulator
We provide a wide range of employment opportunities and
job readiness programs for Indigenous Australians, and we
have partnered with the Diversity Council Australia to
support emerging research into the capability of Australian
business to grow into Asian markets. We also seek, where
possible, to increase opportunities for indirect economic
participation, for example through subcontracting or supply
contracts; and to build our knowledge of and capacity in,
Indigenous participation.
At 31 December 2015, the Group employed 294 full‐time
equivalent Indigenous Australians, with Indigenous
participation at 3.9% of all Australian employees, up from
3.2% in 2014. While the percentage has increased, this is
partly a result of the decline in overall workforce numbers
due to the sale of JHG and 50% of Services. The absolute
decline in the number of Indigenous employees reflects the
change in the Group’s construction work as some of the
large regional oil and gas projects, which employed a
number of Indigenous people, neared completion and
employment opportunities wound down.
Our Operating Companies are also pursuing a number of
apprenticeships and mentoring schemes that are enabling
Indigenous employment. Examples include Thiess’s 20‐week
pre‐apprentice program for Indigenous trainees. CPB
Contractors is supporting with initiatives that include the
Jawun program, which enables employees to work with
Indigenous communities and business in order to exchange
skills and capabilities.
In 2013, CPB Contactors was the first corporate
organisation in Australia to sign a 10‐year partnership with
CareerTrackers under their 10×10 Indigenous Internship
Program. This program formalised a commitment to
providing internship positions for Indigenous students. CPB
Contractors continues to support interns as they embark on
their career journeys.
In 2009 CIMIC Group was a founding member of Supply
Nation (formerly the Australian Indigenous Minority Supply
Council), which aims to provide direct business‐to‐business
links between companies, government agencies and
Indigenous‐owned businesses. In 2014/15, CPB Contractors
spent more than $34 million on transactions with Supply
Nation registered businesses.
CPB Contractors is also a 50% shareholder in Ngarda Civil
and Mining Pty Limited18, one of Australia's largest
Indigenous contracting companies, and a multi‐disciplined
service provider in mining, civil construction and
infrastructure works across Australia.
In 2013, Thiess launched its Reconciliation Action Plan (RAP)
which aims to provide Aboriginal and Torres Strait Islander
people with opportunities to gain employment, build life‐
long careers or do business with Thiess.
In 2015, Thiess was again proud to support NAIDOC
(National Aborigines and Islanders Day Observance
Committee) Week with a morning tea recognising the
history, culture and achievements of Aboriginal and Torres
Strait Islander people around Australia. Thiess also
supported a number of NAIDOC Week celebrations across
their projects, offices and local communities
The Group has not identified any incidents of violations
involving the rights of Indigenous peoples during the
reporting period.
Ensuring gender equity
Pay equity
Since 2012, we have undertaken gender pay equity reviews
at several of our Operating Companies to ensure that our
remuneration and promotion decisions are fair and free
from bias.
In 2014, we undertook a pay equity study and addressed
those gender pay gaps identified through the 2015 annual
pay and bonus review cycle.
18 Ngarda does not qualify as a member of Supply Nation because
of its ownership structure.
0
2
4
6
0
100
200
CPB Thiess
Indigenous employment (# and %)
Number (lhs) Percentage of workforce (rhs)
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In 2016, we will undertake a formal pay equity review
following changes to our operating model.
Female participation
Each year, non‐public sector employers with 100 or more
employees in Australia must report certain gender related
information to the Australian Government’s Workplace
Gender Equality Agency (WGEA)19 based on the year ended
30 June.
The 2014/15 WGEA submissions show that for the reporting
entities of CIMIC, CPB Contractors, Thiess and Leighton
Properties, females accounted for almost 15% of both
management and non‐management positons. While these
results reflect the traditionally male dominated nature of
the construction and mining industries, the Group is
committed to attracting and retaining a workforce that
reflects our clients and the broader community.
As we increase female representation across the CIMIC
Group, we are seeking to ensure that women are not over‐
represented in administrative and professional service
roles, and under‐represented in the trade, engineering and
leadership roles that are core to our business. Each of our
Operating Companies has initiatives designed to manage
that risk, for example, the award‐winning Oothungs (Sisters)
in Mining program at Thiess and the Women Greenhorns
initiative at Leighton Asia.
Businesses in all sectors are tasked with removing the ‘glass
ceiling’ faced by women in senior management roles. Our
19 Detailed reports by company can found at
https://www.wgea.gov.au/public‐reports‐0
businesses have initiatives to encourage and support
women to succeed in management ranks. These initiatives
are in addition to the general female participation programs
in place in our businesses, for example, Thiess' Women in
Leadership program with the University of Queensland.
Data segmenting females by age brackets is not currently
available but will be addressed in the future.
Outlook and future plans
We place considerable emphasis on leadership,
responsibility and accountability, and are committed to
developing the individual skills and career paths of our
employees. In 2016, we plan to:
• implement a Group‐wide graduate induction program;
• conduct a pay equity review and develop targeted
initiatives to further close the gender pay equity gap
across the Group;
• progress programs to encourage greater female
participation and to remove the ‘glass ceiling’;
• roll out a simplified, options based, long term incentive
scheme for senior executives;
• further improve the robustness of our metrics for
monitoring progress towards achieving our Diversity
Policy objectives;
• implement a Diversity Council for the Group; and
• use our new CIMIC Group Diversity and Inclusion
dashboard to help us to measure and monitor our
progress.
0%
20%
40%
60%
80%
CIMIC CPB Thiess LPPL
Female particaption (%)
All managers All non‐managers
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Graphic to be inserted across page
Our approach
In 2014, following a broad based, strategic review of
the Group’s operations, we implemented our
blueprint for the future which involved strengthening
the balance sheet, streamlining the operating model,
and improving project delivery. We are now
structured to deliver for our clients and are continually
striving to innovate so as to create shared value for
our shareholders, our stakeholders and the wider
community.
Actions during 2015 ‐ EIC Activities developing libraries of best practice ‐ Developed ‘GeoView’ tool to improve engineering processes
‐ Trained 454 people in the use of BIM and GIS ‐ Ten Green Star rated construction projects currently in hand
Measures in place ‐ Comprehensive risk management framework in place
‐ EIC Activities established as a centre of technical engineering excellence
Performance ‐ Total rolling 3‐year shareholder return of 58% ‐ CPB Contractors the leading sustainability contractor with 12 ISCA rated projects in hand
‐ CPB Contractors have completed 46 Green Star rated building projects since 2007
‐ CPB Contractors generated in excess of $1.5 billion of revenue from sustainably rated or ‘green’ projects
‐ 17 Green Standards projects registered in 2015
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Our focus areas and performance
The Group offers a broad range of contracting and project
development services and skills to public and private sector
clients across a wide range of markets. Our activities include
construction, contract mining, engineering, PPPs and
development and investment across a range of sectors,
including transport, telecommunications, power and
utilities, social, building and resources‐related industries, in
Australia and across selected geographies. We deliver
through focused contracting entities which allows us to
leverage our expertise and to create economies of scale,
thereby lowering our cost base and helping to improve our
competitive advantage.
Our dedicated construction businesses – CPB Contractors
and Leighton Asia ‐ have delivered and are undertaking
some of the largest and most complex infrastructure and
building projects in the region. No two construction projects
are ever the same and our Operating Companies bring an
innovative approach to the successful delivery of projects. In
mining, Thiess delivers innovative and cost saving solutions
to clients at 26 mines across 6 countries.
We have combined our existing PPP capabilities to create a
focused, industry leading business – Pacific Partnerships –
which forms a key component of our growth strategy.
Similarly, we have combined our existing engineering skills
into EIC Activities which is providing innovative solutions for
clients and promoting greater self‐reliance, thereby
enhancing our ability to manage project risk. EIC Activities’
name – which stands for Engineering, Innovation and
Capability – reflects this approach.
At CIMIC, we believe in leading by innovation. This means
challenging conventional practices and adapting to new
technologies, proactively investing for the future, sharing
knowledge and learning from mistakes. In today’s highly
competitive environment, our clients depend on our use of
innovative technology and business systems to deliver
operational excellence, and to pioneer new and better ways
to overcome challenges. By working closely with clients,
partners, suppliers and subcontractors, we solve tomorrow’s
problems today through world‐class expertise, management
and quality.
We are also seeking to leverage off the expertise of, and
relationship with, entities related to our major shareholder,
HOCHTIEF AG, such as Turner and Dragados. Their global
reach allows us to tap into specialist design, technical
support, research and technology from some of the leading
engineering, construction and services companies in the
world.
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Government funding of future infrastructure
A substantial infrastructure deficit in the Australia‐Pacific
region should generate growth in construction opportunities
over the next decade. BMI Research forecast that output for
the global construction industry will grow in real terms by an
annual average of 3.2% over their forecast period of 2015‐
2024, with Asia cementing its position as the world's largest
construction market.20
Years of underinvestment by governments has resulted in a
lack of transport and energy facilities, raising logistics costs
and capping growth. Governments in many countries are
aware of the deficits and have set out ambitious plans to
develop the sector. However the ability of governments to
finance additional infrastructure projects is limited so the
bulk of investment required to meet this large infrastructure
gap is expected to come from the private sector.
There is sufficient capital within the finance markets to fund
the projects that are currently being, or are likely to be,
procured across the region. The global stock of capital
managed by pension funds, sovereign wealth funds,
insurance companies and other institutional investors is $50
trillion out of which only 0.8% is allocated to infrastructure.21
Australia’s buoyant economy, growing population and
increased trade footprint are driving the country’s need for
new and sophisticated investments in infrastructure.
Australia’s Federal and certain State Governments have
announced substantial infrastructure funding programs. The
Australian Government has committed A$50 billion to
investment in land transport infrastructure between 2013–14
and 2019–20.22 The 2015/16 financial year will see the single
biggest Federal infrastructure investment to date with over
$9.7 billion in Federal funding flowing across the nation.23
20 BMI Research, Global Construction Outlook 2015‐2024:
Cementing Asia's Dominance, May 2015. 21 The Economist, ’The trillion‐dollar gap’, 22 March 2014.
22 Australia Unlimited: Investment Opportunities in Australian
infrastructure, October 2015. 23 Deputy Prime Minister The Hon. Warren Truss, Annual Ministerial
Infrastructure Statement, 1 Dec 2015.
The Federal Government is evaluating funding and financing
options across all types of infrastructure, exploring
concessional loans, equity and value capture, where
appropriate, while also pursuing a more equitable user
charging system. Major investment opportunities for the
private sector – direct and indirect – continue to grow in
Australia, especially as state governments seek to take
advantage of the current Asset Recycling Initiative.
Infrastructure Australia has identified up to A$219 billion in
publicly owned assets with privatisation potential.8
In 2014, the CIMIC Group combined its PPP capabilities to
create Pacific Partnerships – a focused, industry– leading
business in PPPs, and a key component of CIMIC’s growth
strategy. The Group is positioning itself as equity participant,
contractor and asset manager, as it focuses on PPP activities,
with the aim of creating value as it helps governments to
fund the infrastructure needs of the future.
Population growth and urbanisation
The infrastructure deficit across Asia is a well‐established fact
– the ability of Asia to continue growing at current rates will
depend largely on how much infrastructure can be delivered
in the coming years. Power generation capacity, clean water,
effective utility networks and much needed improvements in
transportation networks are essential if Asia is to fulfil its
potential.
There is a very high degree of urbanisation in Asia’s emerging
economies. Over the course of the last decade, we have seen
significant growth in urban centres as people move from the
countryside into cities to live and work. This trend is forecast
of to continue and, in many cases, to accelerate.
Currently, the level of urbanisation in the Philippines is 49%
and the Philippine National Economic and Development
Authority expect the rate to reach 65% by 2030. Likewise for
China, in the last three decades, the urban population has
risen by more than 500 million people. By 2030, China’s cities
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are forecast to contain around a billion people. In China and
Indonesia, the expectation is that 10% or more of the total
population will shift from the countryside to the cities
between now and 2025. With urbanisation and increased
population within city centres, and as congestion and
pollution become problematic, the demand on utilities will
increase substantially and the need for housing will grow.
City planners, mayors and their teams need solutions to
encourage effective urban planning that provides for the
future. As cities grow, more investment needs to be made in
transportation networks to reduce reliance on private
vehicles; increased housing stock needs to be built to
accommodate growing populations; and utilities and public
services require investment to satisfy the growing number of
urban residents.
The Asian Infrastructure Investment Bank (AIIB) was launched
in Beijing in 2014, with the aim of boosting investment in
infrastructure in Asia. The AIIB estimates it will be responsible
for spending amounting to 60% of the world's total
infrastructure spending by 2025.24
The CIMIC Group is well placed to benefit from the
opportunities that population growth and urbanisation will
offer; both directly, providing construction services in Asia,
and indirectly, providing mining services to clients selling
commodities into this market.
Globalisation and competition
The Australian construction market is, and has been for many
years, a competitive market with a substantial international
presence. In the 1940s, the founder of CPB Contractors
(formerly Leighton Contractors) ‐ Stanley Leighton ‐ turned
24 www.out‐law.com, ‘What to expect from the first five years of the
Asian Infrastructure Investment Bank’, 16 Nov 2015.
his focus to the new market of Australia in which to use his
skills following a decline in the local English construction
industry at the end of the second world war.
Global competitors have since come and gone; Americans
and British in the 1960s and 1970s, Japanese in the 1980s and
1990s. Some were successful like HOCHTIEF who acquired a
stake in CIMIC (then Leighton Holdings Limited) in 1983.
In more recent years, a number of European firms have
entered the market, seeking to diversify after their home
markets slowed. More open markets, promoted by the World
Trade Organisation (WTO) which has ‐ as its premise ‐ that
trade liberalisation will benefit all concerned, have led to
further globalisation of services such as construction.
While this globalisation trend has brought new entrants to
the Australian construction market, establishing a presence in
the market is not easy. A deep understanding of the country’s
complex industrial relations system is important and being
able to manage the supply chain is critical to success.
CIMIC welcomes new entrants and understands that it
operates in a global marketplace. It is with this understanding
that the Group streamlined in 2014 to leverage its existing
expertise and to create economies of scale, thereby lowering
our cost base and helping to improve our competitive
advantage.
In Asia, entry into new markets is challenging for foreign
companies because of the cultural, legal and operational
nuances that exist from country to country. A cookie‐cutter
approach doesn’t work and local knowledge is crucial. Those
companies that are successful, like Leighton Asia, combine
on‐the‐ground experience with the resources of the wider
Group.
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Managing risk
The recognition and management of risk is embedded in all
activities of the Group and is a core part of the Group’s
culture. The Group’s exposure to risk stems from its broad
and evolving business risk profile, which covers areas
including operations, safety, reputation, regulation,
contracts, human resources, finance, information technology
and strategy.
It is essential that the Group’s risk management and control
framework continues to evolve to address anticipated
changes to the Group’s risk profile, as well as to respond to
any issues which may emerge. As part of this ongoing
process, steps were undertaken during the period to
strengthen the Group’s approach to risk management. The
Group is also implementing changes to the way it tenders and
delivers major projects from a risk management perspective,
including the recent formation of the Board’s Audit and Risk
committee.
The Board is responsible for the oversight of the Group's risk
management and control framework. The Audit and Risk
Committee assists the Board in fulfilling its responsibilities in
this regard by reviewing and monitoring the financial and
reporting aspects of the Group's risk management and
control framework.
As required by the Board, management has implemented a
policy framework designed to ensure that the Group's
material business risks are identified and that adequate
controls are in place and function effectively, and for
management to report to the Board on whether those risks
are managed appropriately. This framework incorporates the
maintenance of comprehensive policies, procedures and
guidelines which span the Group's diverse contracting and
project development activities, including setting financial
controls, conducting business audits, managing all
investments and acquisitions, and ensuring high standards in
corporate communications and external affairs.
The Group’s risk policy framework covers areas such as:
• tendering and contract negotiations;
• design and project management;
• occupational health and safety;
• environmental management;
• competition and consumer laws;
• interest rate and foreign currency exposures;
• ethical conduct;
• gathering and release of material information;
• crisis management and IT disaster recovery; and
• business continuity planning.
Responsibility for control and risk management is delegated
to the appropriate level of management within the Group,
with the Executive Chairman and CEO, COO and CFO having
ultimate accountability to the Board for the risk management
and control framework.
Areas of material business risk for the Group are highlighted
in the Business Plan that is presented to the Board by the
Executive Chairman and CEO each year. The Board then
reviews and approves the parameters within which significant
business risks that have been identified will be managed
before it adopts the Business Plan.
Encouraging a culture of innovation
Our Principles provide a shared language and identity for us
as the new CIMIC Group and guide our actions. Innovation is
one of those Principles and, for us, this means that we always
need to adapt. It requires us to look at ourselves and be self‐
critical, and to continue to evolve so that we will not need a
major transformation in the future.
Innovation is about delivering technical excellence and
creating efficient, smart solutions that satisfy our clients. We
constantly assess new technologies and how they can be
applied to further streamline processes and increase
efficiencies.
Drawing together expertise from across the CIMIC Group, the
recently created EIC Activities is a centre of technical
engineering excellence that works across the Group to deliver
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solutions, capability and innovation. The Group’s EIC
Activities business strives to provide best‐in‐class engineering
solutions that will drive improved effectiveness and efficiency
of our current or prospective projects and, most importantly,
deliver value.
Technology in construction
During the construction and operation phases of a project,
various instruments are used for the measurement of
groundwater, pore pressure, stress, deformation,
settlement, loads and strain, etc. Data is then used during
the project life cycle for design inputs, to verify design
assumptions and monitor safety performance. With the
increasing complexity of equipment and a reliance on
external expertise, data management can be unproductive
and expensive.
To overcome these issues, EIC Activities has developed an
internal instrumentation and monitoring data
management system branded ‘Geoview’. The tool has been
designed to improve our engineering processes, be
customisable, flexible and scalable, and of course to deliver
time and cost savings on projects.
The initial ‘GeoView’ build was trialled extensively to
monitor stability and settlement performance of fill
embankments over soft ground on the Frederickton to
Eungai Project, a 26.5km 4 lane divided road project in
Northern NSW. It has since been implemented on the $3
billion Sydney Metro Northwest Project, a 15 km twin
tunnel rail project and the $1 billion Moreton Bay Rail Link
Project, a 14 km double track rail project in Brisbane.
The EIC Activities team brings together highly specialised and
extensive technical expertise to deliver engineering,
innovation and capability across the infrastructure, industrial
and building sectors while providing specialist design and
technical support and leading the way in research and
technology.
With a track record in delivering complex and challenging
projects, EIC Activities has in‐depth knowledge of national
and international markets and understanding client
requirements. EIC Activities and CPB Contractors also have
strong connections to the engineering divisions of our major
shareholder HOCHTIEF, its subsidiary Turner, and related
entity Dragados.
EIC Activities is developing knowledge libraries of best
practice methods, design details and tools, and helping to
capture the lessons learned from tenders and projects. It is
also researching, investigating, and monitoring developments
in engineering, construction methods and technology, and
researching, developing, trialling and implementing
innovative engineering and project management software
solutions.
BIM at work on Royal Adelaide Hospital
The $1.85 billion new Royal Adelaide Hospital project is set
to create a benchmark within Australia’s healthcare sector.
The design and construction is encompassing high‐
technology collaborative design solutions and construction
methodologies that are adding significant value to the
build process and ongoing facility maintenance. One of
these innovations is the introduction of Building
Information Modelling (BIM).
BIM is a ‘process’ of generating and managing digital
information during an asset’s life cycle. The BIM process
adds ‘value’ by enabling various technologies through a
collaborative disciplined approach. It encourages common
standards, methodologies and protocols so the whole
team can share the digital ‘information’ as the process
evolves. This not only removes duplication, but minimises
the risk of error and provides a smarter, faster and more
efficient way of working.
An additional 17 projects are being, or have been, delivered
using BIM in 2015, bringing the total to 73 projects utilising
this technology. In addition, we currently have 44 projects
(including in Ventia) using Geographic Information Systems
(GIS) which deal with spatial or geographic data. In 2015, we
trained 454 people in the use of BIM and GIS.
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Procurement practices
CPB Contractors has developed an innovative capability in
the area of sustainable buildings and infrastructure. In 2015,
CPB Contractors reported the following green standard
projects:
Registered Certified
ISCA – Design 6 3
ISCA – As built 2 5
Green Star – Design 2 ‐
Green Star – As built 2 ‐
LEED – As built 1 ‐
Green Roads – Pilot 1 ‐
CPB Contractors has completed 46 Green Star rated building
projects since 2007 with ten in hand. The table below
provides a selection of CPB Contractors’ Green Star rated
projects:
Project Rating Type
111 Eagle St, Brisbane • Office As Built V2 – 6 STAR QUT Science and Technology Precinct, Brisbane
• Education Design V1 – 5 STAR
• Education As‐Built V1 – 5 STAR
ABC Brisbane Accommodation Project
• Office Design V3 – 5 STAR
177 Pacific Highway, North Sydney
• Office Design V3 (Registered)
567 Collins St, Melbourne • Office Design V3 – 5 STAR 1 Parramatta Square, Sydney
• Education Design V1 – 5 STAR
• Education As‐Built V1 – 5 STAR
Kings Square – Stage 2 , Perth
• Office Design V3 – 5 STAR • Office As‐Built V3 (Registered)
Kings Square – Stage 4, Perth
• Office Design V3 – 5 STAR • Office As‐Built V3 (Registered)
Perth HQ • Office Design V3 – 5 STAR • Office As‐Built V3 – 5 STAR
CPB Contractors is a member of the Infrastructure
Sustainability Council of Australia (ISCA) and an early
adopter of the scheme, with the Great Eastern Highway
Upgrade receiving Australia’s first ever transport ‘As‐Built’
ISCA rating.
CPB Contractors is currently the leading sustainable
contractor in the Australian market with 12 ISCA projects
registered worth more than $10 billion in total. Those
projects include:
Project Value Rating
Type
City‐Link Tulla Widening, Melbourne
$572m Design V1
Gateway WA, Perth $1,000m Design V1
Elizabeth Quay, Perth $440m Design V1
Mitchell Freeway Extension, Perth
$209m Design V1
WestConnex M4 Widening, Sydney
$310m Design V1
WestConnex M4 East, Sydney
$2,700m Design V1
Sydney Metro Northwest Tunnel and Station Civils
$1,150m Design V1
Sydney Metro Northwest Operations, Trains and Systems
$2,500m Design V1
Webb Dock West Automotive Terminal, Melbourne
$63m Design V1
Wynyard Walk, Sydney $154m Design V1
In 2015, revenue generated by CPB Contractors from
sustainably rated or ‘green’ projects was in excess of $1.5
billion.
In Leighton Asia, three building projects are registered and
in progress. Two are in Hong Kong for the Government and
are registered with BEAM (the Hong Kong Green Building
Council Limited’s green building assessment system). The
other project, in India, is registered with LEED; the most
widely used green building rating system in the world.
0
500
1,000
1,500
2,000
2014 2015
CPB Contractors' green project revenue ($m)
ISCA Green Star LEED Green Roads
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ISCA Rating for Wynyard Walk
ISCA has awarded its ninth Infrastructure Sustainability (IS)
rating (in Aug 2015) to CPB Contractors which is delivering
the Wynyard Walk project on behalf of Transport for NSW.
Wynyard Walk, a new pedestrian walkway connecting
Sydney’s CBD with the Barangaroo precinct, was certified
with a ‘Commended’ IS Design rating to recognise the
adoption of sustainability practices.
CPB Contractors is building on a range of design and
construction‐related environmental, stakeholder,
community and engineering requirements nominated by
Transport for NSW to achieve productivity efficiencies and
minimise risks. These include minimising waste, reducing
community impacts during construction, enhancing the
user’s experience, optimising energy efficiencies and
improving sustainability outcomes for the project.
The ISCA assessment process highlighted three areas where
the Wynyard Walk team best demonstrated sustainable
practices including Management and Governance,
Procurement, and Climate Change. This includes efficiency
in management systems, sustainability reporting,
procurement, climate change adaptation, risk assessment,
baseline studies, modelling actual data, performance in
resource use and environmental and heritage impact
assessments.
At the end of 2015, 35 CPB Contractors employees had ISCA
employee certification and 6 had Greenstar certification.
Our economic performance
Value creation
The direct economic value we generated for our
stakeholders in the reporting period included the following:
Economic Value
Generated25
2013 2014 2015
Revenue $m 16,259 16,876 13,371
Economic value
distributed
Operating costs $m 10,039 11,170 8,824
Employee wages and benefits
$m 4,536 4,363 3,059
Payments to providers of capital
$m 607 636 194
Payments to governments
27
$m 131 22 221
Community investments
$m 6.9 4.3 0.8
Economic Value retained
$m 939 681 1,073
A key indicator of economic value distributed is wages paid
to employees. In 2015, we paid over $3.1 billion of wages
and other benefits to our employees.
Shareholder returns
At CIMIC, sustainability is the integration of environmental,
social and governance factors into our decision making to
maximize long term shareholder value. The two generators
of shareholder value are share price appreciation and
dividends.
Total shareholder
return
2013 2014 2015
Share price
appreciation
% (10.0) 38.2 8.0
Dividends per share
paid during the year
A$ 1.05 1.17 1.1428
Shareholder
return29
% (38.8) 36.3 58.2
As at December 2015, the Group has generated a rolling
three‐year period total shareholder return of 58%.
25 Restated for 2013 and 2014 for comparison to reflect continuing
operations after disposals. 27 The Group incurred tax expenses of $430.4 million in 2014 and
$135.1 million in 2013 due to the profits on sale and income from its discontinued operations. 28 Included special 2014 dividend of 15 cents per share paid in 2015.
29 TSR is determined over a rolling three‐year period.
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Indirect economic impacts
The Group is a major employer of people in construction,
mining, operations and maintenance services, and
administration and management roles. The Group typically
employs people in roles that are paid more than the relevant
award and above the average wage which helps generate
indirect economic benefits to local businesses and
communities, as well as to government. In addition, we
engage many thousands of sub‐contractors to provide
services to our projects and the payments we make provide
employment and support investment.
The infrastructure projects that we build for public and
private sector clients are fundamental to improving the
productivity of economies and the quality of life of people.
Building roads eases congestion and stimulates trade;
constructing water recycling plants secures supplies of fresh
water; developing hospitals reduces mortality and improves
health; and installing renewable energy infrastructure
provides power while also reducing greenhouse gas
emissions. And our services contracts help to maintain and
operate this infrastructure, ensuring that it is efficient and
effective. Our projects have a real and beneficial impact on
the everyday lives of people.
Our building projects provide comfortable, safe and efficient
places for people to work or receive an education. They help
to stimulate investment and encourage economic
development.
Meanwhile, our contract mining operations provide valuable
resources for developing nations: coking coal and iron to
produce steel to facilitate urbanisation in China; thermal
coal to provide electricity in India; diamonds for jewellery
and industrial use; and copper for use in a range of
industries. These exports provide royalties to governments,
generate tax income, stimulate local communities, and
generate well paid and relatively secure employment.
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Outlook and future plans
We are committed to bringing an innovative approach to
the successful delivery of projects. In 2016, we plan to:
• continue to work with ISCA and GreenStar on projects
that are externally recognised as being sustainable;
• invest in EIC Activities’ research and development of
innovative engineering and project management
software solutions;
• leverage the engineering expertise and experience of our
major shareholder, HOCHTIEF, and its related entities;
and
• further encourage through EIC Activities the sharing of
technical engineering excellence across the Group.
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Using res ources efficiently
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Our approach
Respect for the environment is a demonstration of the
CIMIC Group's core values of integrity, accountability,
innovation and delivery. We aim to continually
innovate so as to improve the efficiency of the
resources we use and reduce waste, thereby lowering
our costs, improving our value proposition and
benefitting the environment.
Actions during 2015 ‐ Revised and rolled out new Environmental Management Systems in CPB Contractors and Thiess
‐ Achieved energy management system certification for Hong Kong government building projects
Measures in place ‐ All Operating Companies certified to ISO 14001
Performance ‐ Excellent environmental result with no Level 1 incidents recorded
‐ No Level 2 incidents at Thiess, significant reduction in Level 2 incidents at CPB Contractors, steady performance at Leighton Asia
‐ Numerous environmental awards received across the Operating Companies
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Our focus areas and performance
Managing our environmental footprint and the impacts to
our operations presents both challenges and opportunities
that affect our ability to bid for and deliver work. Our key
environmental objective is to avoid causing any
environmental degradation which has high severity impacts,
or may have irreversible detrimental long term impacts, and
appropriately manage all other risks to the environment
across the Group's operations.
By effectively managing our environmental footprint and
environmental impacts to our operations, we stand to gain a
competitive advantage by working as a more risk aware,
innovative and efficient business. With our clients and key
stakeholders we recognise that by:
• preventing and mitigating pollution and degradation,
and anticipating and adapting to climate impacts, we
avoid potential operational delays, remediation costs,
fines and legal fees, and enhance our relationships with
the communities and markets in which we operate;
• delivering on specifications and standards set by
regulators, clients and other stakeholders, we stand to
gain the confidence of the markets and communities in
which we operate, and avoid potential litigation and
increased insurance premiums; and
• anticipating and adapting to natural resource
constraints, we optimise our production and operational
capacities, and prevent unforeseen and unmanaged
increases in operational costs, taxes and carbon permit
liabilities.
Our interactions with the environment can affect the health,
well‐being and prosperity of communities where we
operate. These communities and other key stakeholders
expect us to, wherever possible, prevent or otherwise
mitigate and remediate any harmful effects from our
operations. To achieve this outcome requires us to identify
potential environmental hazards and risks, and to develop
and implement adequate controls to eliminate or mitigate
the effects of these hazards and risks should they result. By
adopting a comprehensive, systematic and collective
approach to hazard and risk management, and continuously
monitoring and improving our performance, we ensure we
remain competitive in the markets in which we operate.
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Dealing with climate change and reducing
emissions
Managing our environmental footprint and the
environmental impacts to our operations presents both
challenges and opportunities that affect our ability to bid for
and deliver work. We aim to reduce emissions by working
together with our clients and business partners. Our
Operating Companies use a range of systems to track and
report on our energy use and calculate our greenhouse gas
(GHG) emissions.
CPB Contractors, Leighton Asia and Thiess are all large
energy users and emitters of GHGs because of their
construction and mining operations. Diesel is the most
common fuel consumed and represents around 98% of
energy used in 2015 by the Group. Electricity represents a
much smaller component of energy use – around 2%. Other
sources of energy, such as petrol, liquefied petroleum gas
(LPG) and other gases are only used in minor quantities.
Thiess’ mining operations represented more than 90% of the
Group’s energy consumption, 58% in the Australia/Pacific
and 42% in Asia and the new markets of Africa and the
Americas.
While climate change poses many threats to society, it
potentially offers opportunities to the construction industry.
Climate change is driving a move away from fossil fuels and
towards renewable energy, leading to construction
opportunities in wind farms, solar plants, new transmission
lines and other associated infrastructure. Similarly, it is likely
to lead to opportunities in the decommissioning and
cleaning up of coal fired power stations.
Climate change impacts may necessitate the rehabilitation
of infrastructure such as roads, railways, ports, sea walls and
power lines damaged by potential weather extremes. It
could also mean that new and more robust infrastructure
will have to be built to take into account rising sea levels and
greater temperature variations. Examples include investing
in concrete roads rather than typical aggregate based roads,
which will be more expensive, and raising sea walls to
protect low lying areas.
Buildings are also vulnerable to climate change and may
require refitting to reduce energy consumption and
protection from sea level rises and storm surges. New
buildings will need to be more energy and resource efficient
to cope with the anticipated changes.
The Group is conscious of the sustainability of the
infrastructure and buildings it constructs. Our involvement
with, and support for, organisations such as the ISCA and the
Green Building Council of Australia (GBCA), and their ratings
systems, aims to position the Group as an industry leader in
this space.
Emissions
We are registered to report under Australia’s National
Greenhouse and Energy Reporting (NGER) Act 2008. Energy
use and emissions data is collected for all company projects
and sites irrespective of the operational control status. The
Group has comprehensive measures in place to manage its
NGER obligations including:
• having established legal review processes to identify
Operational Control status at the tender and contract
stages;
• utilising Group wide accounting system to manage all
data; and
• having the Group’s data and processes subjected to
annual external assurance audits.
An audit was undertaken by Ernst & Young in 2015 and no
major issues were raised.
The Greenhouse Gas Protocol recognizes both direct and
indirect emissions. Scope 1 is all direct GHG emissions while
Scope 2 includes all indirect GHG emissions from
consumption of purchased electricity, heat or steam. The
Group naturally has a higher level of Group 1 emissions.
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Based on the information provided to NGER, the Group
reported the following Greenhouse Gas Emissions and
energy consumption:30
Year Total Scope 1 Emission (t CO2‐e)
Total Scope 2 Emission (t CO2‐e)
Total Net Energy
consumed (GJ)
2014/1531 77,412 72,142 1,434,467
2013/14 153,239 92,522 2,604,328
2012/13 206,245 128,495 2,660,483
2011/12 730,542 132,516 6,918,762
2010/11 775,441 187,887 8,435,737
2009/10 684,758 243,487 7,811,131
2008/09 478,444 114,785 5,278,962
Emission vary from year to year depending on a range of
factors including whether we or our clients have
‘Operational control’ of operating facilities (and therefore
reporting is done by our clients) and the change in the mix of
contracting activities that the Group undertakes. The
reduction in 2014/15 also reflects the divestment of JHG and
the Services business, and the recent challenging conditions
experienced in the resources industry.
Within the Group, we capture and report all emissions
regardless of whether we have operational control of
facilities and so the numbers shown in the charts will be
higher than those reported under the NGER scheme.
32
The majority of the Group’s GHG impact is derived from
plant and equipment diesel emissions in the Group’s mining
operations.
30 http://www.cleanenergyregulator.gov.au/NGER/Published‐
information/Published‐NGER‐data/Reported‐greenhouse‐and‐energy‐information‐by‐year. Figures are for where the Group has ‘Operational control’ for the facility as per the NGER definition. 31 Reported to NGER, expected to be published by the Clean Energy
Regulator at the end of Feb 2016. 32 2015 GHG data includes all energy paid up to December 2015.
Given the lagging nature of payments for usage, the full 2015 emissions are expected to be accounted for by April 2016 and will be reported to NGER as appropriate.
Mount Owen mine increases haul efficiency and saves
diesel
During the Mount Owen mine’s annual energy efficiency
workshop, the team identified that haul efficiencies could
be made in the weekly mine plan. By increasing the volume
of waste in the base level of the dump, the volume in the
void was able to be reduced which resulted in shorter haul
distances. This simple opportunity did not cost Thiess
anything to implement, yet resulted in approximately
$700,000 of diesel savings and reduced greenhouse gas
emissions by 160 tonnes CO2 ‐e. This opportunity is an
example of how integrated planning can produce cost
effective environmental outcomes for the business.
Scope 3 includes other indirect emissions, such as: the
extraction and production of purchased materials such as
concrete, asphalt and steel: fuel for transport‐related
activities in vehicles not owned or controlled by the Group;
electricity‐related activities not covered in Scope 2;
outsourced activities; and waste disposal.
Transport
The most significant impact of the Group’s transport
footprint is: 1) in the haulage of soil and ore at mine sites,
and 2) in the removal of waste material (spoil) from
construction sites and the cartage of inputs such as concrete
and steel to the sites.
0
500
1,000
1,500
2,000
CPB Thiess LAL
Scope 1 & 2 2015 GHG emissions (kt.CO2‐e)
Scope 1 Scope 2
0
1,000
2,000
3,000
CPB Thiess LAL
Scope 3 2015 GHG emissions (kt.CO2‐e)
Suppliers Support services
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The major impact of this transport is in terms of energy use ‐
primarily diesel – and the consequent generation of
greenhouse gases, both of which are addressed in this
report. In considering the efficient operation of a mine site,
Thiess is always seeking to minimise haulage distances and
transport costs so as to reduce fuel consumption and
associated GHG emissions.
Rise of renewables and decline of coal
In 2015, the International Energy Agency (IEA) forecast that
“renewables are set to become the leading source of new
energy supply from now to 2040. Their deployment grows
worldwide, with a strong concentration in the power sector
where renewables overtake coal as the largest source of
electricity generation by the early‐2030s. Renewables‐based
generation reaches 50% in the EU by 2040, around 30% in
China and Japan, and above 25% in the United States and
India.”33
In Australia, the Senate passed a Renewable Energy Target
(RET) that will result in more than 23.5% of Australia's
electricity being derived from renewable sources by 2020.34
This will create considerable growth in both small and large
scale renewable energy sources, and should provide
construction opportunities for wind farms where the Group
has considerable expertise.
The world’s appetite for electricity is expected to lift
demand by more than 70% by 2040. Given that growth,
demand for coal will continue to grow and global production
is likely to increase by around 10% by 2040, albeit at a
slower rate than during the last decade.
While global demand for thermal coal is likely to shrink in
the developed markets of Europe and the US, in India the
opposite is true. India is the world’s third largest energy
consumer and its energy use is projected to grow at a rapid
pace supported by economic development, urbanisation,
improved electricity access and an expanding manufacturing
base. Declining self‐sufficiency has led to increased imports
from countries such as Indonesia and, to a lesser extent,
Australia.
The IEA forecasts that India will emerge as the world’s
largest coal importer as soon as 2025. Over their projection
period, India’s share of the world’s inter‐regional trade is
projected to increase from barely 10% to almost one‐third.
33 International Energy Agency, World Outlook Energy 2015, 10
November 2015. 34 Media release, “Certainty and growth for renewable energy’, The
Hon. Greg Hunt MP and The Hon. Ian Macfarlane, 23 June 2015.
Other Asian countries are also projected to emerge as major
importers over the period to 2040, driven by rapidly
increasing coal imports in Malaysia, Thailand, Chinese Taipei,
Bangladesh and Pakistan, collectively reaching 290 million
tonnes of coal equivalent (Mtce) by 2040, which is larger
than China’s projected imports at that time.
For the CIMIC Group, this growth should sustain contract
mining opportunities. Contract mining of thermal coal, used
in power generation, currently accounts for approximately
42% of the Group’s mining revenue and around 8% of total
revenue. This segment of the market is unlikely to grow at
the same rate as in previous years but will still present
organic opportunities.
Reducing water consumption and waste
Our projects require materials and energy, the cost and
availability of which can be significantly influenced by
external environmental, social and governance impacts.
Global demand for major environmental resources
continues to rise. Demand for water will increase 55% by
2050 according to the United Nations.35
Governments and regulators have sought to address these
pressures through mechanisms such as usage restrictions
and taxes. Consequently, it is essential to create business
systems that are resilient to these pressures to survive in a
competitive market. This means understanding our resource
usage and footprint to inform targeted resource efficiency
initiatives. It also means having effective risk management
strategies to remove or reduce resource constraints that
affect our ability to deliver and bid for work.
Each of the Group’s projects develops a water management
plan to effectively manage water according to the unique
conditions of that project. For example, Thiess’ projects rely
on water for activities such as dust suppression, processing
of minerals and employee facilities.
Erosion control award for LNG project
Since 2012, CPB Contractors has been installing Australia
Pacific LNG’s (APLNG’s) gas‐gathering system, installing
some 650 coal seam gas (CSG) wells in Queensland’s Surat
Basin. The vast size of the APLNG Upstream project has
resulted in ongoing challenges due to changing ecosystems
and interaction with fragile and poorly structured sodic
soils.
CPB Contractors’ extensive planning and innovation,
combined with an embedded environmental culture, is
35 The United Nations World Water Development Report 2015, 20
March 2015.
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driving best‐practice in a relatively new Australian gas
industry. Key initiatives include:
• progressive rehabilitation – within three months of
disturbance; • development of mandatory, non‐negotiable risk
management procedures, resulting in more than 200
successful waterway crossings; • greater understanding of soil characteristics through
assessment and learnings from internal CPESC and
industry soil conservationists; and • implementation of industry‐leading erosion and
sediment management techniques, including application
of:
‐ in excess of 4,000 whoa‐boys and as many outlet
controls (coir logs or geo‐textile filter fences);
‐ 35kL of environmentally friendly poly‐soil binder applied
as erosion control;
‐ approximately 9,000T of gypsum used to ameliorate
soils;
‐ 16.5ha of geo‐textile as temporary stabilisation, outlet
controls or batter stabilization;
‐ 2.6km of geo‐textile dewatering socks;
‐ 31kL of flocculent to treat construction waters; and
‐ successful rehabilitation of some 1700ha.
The water management plans address the environmental
values of the surrounding environment; potential water
sources; and the regulatory commitments and landholder
obligations that the project must meet. The plans
systematically address all risks associated with water
management on the project and identify controls the project
will put in place to manage environmental values and
associated risks. They also focus on identifying options for
minimising potable water use and maximising recycling and
water reuse. These options are critical on projects where
water is scarce.
Water
The Group’s construction and mining projects seek to
identify and implement opportunities for water efficiency
and savings. During 2015, the Group used 11.9 million
kilolitres of water and discharged almost 3.96 million
kilolitres.36
36 Thiess’ water use and water sources, and waste generation, are not available for “New Markets” of Africa and the Americas. These markets are not material water users or waste generators.
Of total water demand, 43% (5.1 million kilolitres) was met
through recycling or reusing water. Of the water that was
withdrawn, it was sourced as follows:
CPB Thiess LAL
Mains % 62 1 99
Groundwater % 29 1 1
Surface water % 8 98 0
Marine water % 1 0 0
The discharges of water went to the following areas:
CPB Thiess LAL
Surface water % 46 100 1
Marine environment
% 12 0 1
Other discharges % 42 0 98
Waste
To minimise the impact of our operations on the
environment we encourage our teams, wherever possible,
to take a life‐cycle approach to resource efficiency. This
means reducing waste through smarter design and
procurement, and recycling when we can.
In 2015, we generated a total of 329,547 tonnes of waste36,
of which 61% was diverted for recycling and the balance was
disposed of in landfill.
‐4,000
‐2,000
0
2,000
4,000
6,000
CPB Thiess LAL
Water use (ML)
Discharges Withdrawls Re‐use
0
50,000
100,000
150,000
200,000
CPB Thiess LAL
Waste generation (tonnes)
Landfill Recycled
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The Group is not aware of having transported, imported,
exported or having treated any hazardous waste and has not
shipped any hazardous waste internationally.
Hazard and risk management
There were no Level 1 incidents recorded for the 2015 year.
Two minor Level 2 environmental incidents were recorded
by Leighton Asia and two by CPB Contractors in New South
Wales. In Leighton Asia, these related to an incident of
mosquito larvae breeding and an uncontrolled silt discharge,
both in Singapore. Two minor infringements were recorded
which resulted in fines of A$3,000. One potential Level 2
mosquito incident is pending in Hong Kong from 2015 with a
conviction notice expected to be issued in February 2016.
CPB Contractors’ two Level 2 environmental incidents
related to works occurring outside of approved construction
hours on the WestConnex Stage 1A M4 Widening project
and the access of a storm water pipe to allow the release of
water off site from an excavation. CPB Contractors received
a warning from the New South Wales EPA over the noise
incident and, while it was deemed a legal breach, no fine
was recorded.
In New Zealand, CPB Contractors received a fine in 2015 of
$500 from the Environmental Regulator for a 2014 incident
on the Transmission Gully project relating to unauthorised
access across the Wainui Stream.
Thiess recorded one legal breach in 2015 when the regulator
issued a warning notice to the client at the Lake Vermont
coal mine for a minor exceedance of sewerage quality limits.
No fine was imposed.
37
The majority of all other environmental incidents
categorized as Level 3 in the Australian construction
business relate to contamination of land and groundwater.
These incidents are predominately minor leaks and spills of
hydrocarbons with no material environmental harm.
Similarly in Thiess, most Level 3 incidents relate to minor
contamination of land as a result of diesel/oil spillages from
mobile plant.
In Leighton Asia, Level 3 breaches are predominantly related
to noise and vibration, silt discharges from site, mosquito
larvae, erosion and sediment control, and contamination of
land and ground water.
Managing the supply chain
The identification of sustainability risks in the supply chain is
integrated into the CIMIC Group’s multi‐disciplinary Group
wide risk management processes. Under the CIMIC Risk
Framework (the Framework), CIMIC provides guidelines and
sets minimum standards for the management and control of
all risks including sustainability risks across the Group. The
Framework facilitates consistency and compatibility with
AS/NZS ISO 31000. Risks are assessed at three levels of the
organisation; the CIMIC enterprise level; the Operating
Company corporate level; and at the project level.
Materials
As a major contractor in the construction and mining
sectors, the supply chain of our suppliers and sub‐
contractors is pivotal to our success.
In construction, our Operating Companies:
• acquire materials such as concrete, reinforcing steel and
aggregates;
• engage sub‐contractors such as haulage contractors,
form workers or electricians;
• hire engineers, foremen and labourers; and
37 Number of Level 1 and Level 2 incidents per million man hours.
0
1
2
3
CPB LAL Thiess
Envionmental incidents (#)
Level 2 Level 1
0.00
0.05
0.10
CPB Thiess LAL
Environmental incident frequency rate (#/MhW)
2015
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• purchase or hire equipment such as tunnel boring
machines, cranes and light vehicles.
Sustainable road construction
An alliance including CPB Contractors, working in
partnership with Main Roads WA, is delivering the $1
billion Gateway WA Perth Airport and Freight Access
Project, Western Australia’s largest ever road project.
Decisions made with a focus on sustainability on Gateway
WA are also leading to economic and cost advantages.
The substitution of materials was one way the project team
derived sustainable benefits for the project. They looked at
materials used for road construction to see if sustainable
benefits could arise from the replacement of one material
for another.
In road construction higher modulus equals greater
strength, which in turn means a thinner deep lift asphalt
pavement that achieves the same design life of 40 years.
The changing of asphalt binder from the traditional Class
320 bitumen to Class 600 was adopted by the project and
this enabled a higher modulus asphalt to be obtained.
The result of this is an approximate 10% reduction in total
asphalt quantity for the project overall. Not only is this a
significant cost saving for Gateway WA but it also reduces
greenhouse gas emissions and so delivers both economic
and environmental benefits.
The volume and spend on materials (concrete, steel, asphalt
and timber) is as follows:
As a contract miner, Thiess did not purchases construction
materials such as concrete, steel or timber in 2015.
The quantities of construction materials purchased and the
spend on those materials are split as follows:
Quantities CPB LAL
Concrete % 89 81
Steel % 5 6
Asphalt % 6 9
Timber % ‐ 4
Spend CPB LAL
Concrete % 60 43
Steel % 31 45
Asphalt % 9 11
Timber % ‐ 1
In mining, Thiess:
• procures dump trucks, excavators and bulldozers, and
the diesel to operate them; and
• recruits the workforce to supervise and operate the
mine and its equipment.
Of the Group’s total expenses in 2015: materials were 15%;
sub‐contractors were 36%; personnel costs were 25%; and
plant costs, including depreciation and lease payments,
were 13%, and other expenses were 11%.
Procurement practices
Each Operating Company seeks to promote and adopt
sustainable procurement practices.
We seek to minimise the impact of our construction
materials such as steel, timber and concrete by working with
our suppliers to identify measures to improve the efficient
use of these resources. Measures identified include
providing financial incentives for subcontractors to reduce
wastage of rebar, cabling and pipes, reusing inert waste and
secondary aggregate as backfill on projects; and
redeployment of concrete waste to build temporary road
structures, hard stands and precast concrete road barriers,
amongst other things.
0
125
250
375
0
1
2
3
CPB LAL
Materials use (MT) and Spend ($m)
Quantity (lhs) Spend (rhs)
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Through quarterly reviews with preferred suppliers, Thiess
has identified new and innovative opportunities to reduce
their footprint, including investigating opportunities to
replace the diesel in explosives with waste oil to reduce
resource consumption; and recycling worn ground engaging
tools into new products by melting them down at the
supplier’s foundry.
Procurement at Thiess
In its online procurement platform, the Thiess Shop, a
'green tick' is used to identify sustainable products that
deliver long‐term benefits. This extends to a supplier’s
ordering system and their demonstration of sustainability
qualities during manufacture, operation and/or disposal. It
looks at whether they go beyond business‐as‐usual and
may relate to items such as biodegradable oils and
lubricants, recycled paper, products with a lower toxicity or
suppliers with affordable packaging take‐back schemes.
At all levels risks are identified using a suitable,
comprehensive and systematic process, detailing cause,
effect, current controls in place and the risk owner. Project
level assessments focus on work procurement and project
delivery risks, while Operating Company and CIMIC
enterprise level risks focus on aggregated material project
level risks, as well as business and strategic risks.
Improving energy efficiency
Our projects require materials and energy, the cost and
availability of which can be significantly influenced by
external environmental, social and governance impacts.
Global demand for major environmental resources
continues to rise. The IEA forecasts that global energy use is
set to grow by one‐third to 2040.38 Combined with resource
stresses derived from climate change, such as water and
land availability, this means the pressure on these resources
is likely to grow.
It is essential to create business systems that are resilient to
these resources pressures to survive in a competitive
market. This means understanding our resource usage and
footprint to inform targeted resource efficiency initiatives. It
also means having effective risk management strategies to
remove or reduce resource constraints that affect our ability
to deliver and bid for work.
38 International Energy Agency, World Outlook Energy 2015, 10
November 2015.
An energy efficient new office
Leighton Properties is developing, and CPB Contractors is
constructing, a $415 million high rise development that
will redefine the North Sydney CBD skyline. Featuring
40,000m2 of A‐Grade commercial space across 30 levels, a
portion of this building is proposed as the new
headquarters for the CIMIC Group.
The building is targeting a 5 Star NABERS Energy rating
and 5 Star Green Star – Office As Built V3 rating. A number
of environmentally sustainable features have been
incorporated into the building design including low‐
temperature air conditioning systems for reduced energy
consumption, rainwater harvesting, water efficient fittings
/ fixtures to minimize potable water consumption, 90,000
litre rainwater capture system servicing irrigation and
toilet flushing, end‐of‐trip facilities, energy efficient
lighting and performance glass facades (which reduce
glare and UV light).
The building has a side core allowing an open floor plate to
maximize external views and natural light, reducing the
required artificial lighting levels. It has high efficiency
mechanical service systems improving air quality for
occupants through greater flushing of indoor pollutants.
Additionally, 90% of all timber is from certified sustainable
sources that do not contribute to deforestation whilst 80%
of all building waste will be reused or recycled.
Energy use
The Group is a substantial user of energy, particularly driven
by the mining operation of Thiess which utilises large
volumes of diesel. The Group’s energy consumption for 2015
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Consumption by our Operating Company is as follows:
CPB energy ‐ 2015 Consumption
Liquid, gas and solid fuel % 92
Electricity % 8 Thiess energy ‐ 2015 Consumption
Liquid, gas and solid fuel % 99.7
Electricity % 0.3 LAL energy ‐ 2015 Consumption
Liquid, gas and solid fuel % 81
Electricity % 19 As per NGER, the Group reported energy consumption
which his shown in the table on page 51.
In 2015, the Group launched a program in conjunction with
our major shareholder, HOCHTIEF, to promote the
responsible use of energy. The HOCHTIEF Energy Award is
open to all employees across CIMIC Group ‐ and our
Operating Companies, and our sister companies ‐ HOCHTIEF,
Turner and Flatiron ‐ who have verifiably saved energy or
who have a good idea for energy saving.
Protecting biodiversity
The Group conducts its construction, mining and services
projects across vastly different environments ranging from
built up cities to regional and remote areas.
Each project has different biodiversity values and varying
degrees of ecological sensitivity. We aim to avoid
environmental impacts to sensitive locations during the
design and planning phases of our projects. Where this is
not possible, we deploy strategies to minimize disturbance
while efficiently, effectively and safely completing work. In
areas with sensitive ecological communities, the Group
employs a range of measures to manage and mitigate
potential impacts. Central to this is the development of
biodiversity management plans that consider local contexts,
baseline surveys, monitoring results and specialist advice.
Biodiversity
The rehabilitation of disturbed areas remains an integral
element of dealing with biodiversity on our construction and
mining projects. This typically involves progressively
reshaping disturbed areas, establishing erosion control
structures, and topsoiling and seeding. Rehabilitation aims
to ensure areas are safe, stable and suitable for agreed land
uses, such as agriculture, grazing or natural habitats. In
2015, Thiess rehabilitated 1,477 hectares of land on its
mining projects.
2015 rehabilitation of mining areas
Re‐shaped
Top‐soiled
Seeded
Australia/Pacific ha 416 385 23
Asia ha 348 305 ‐
Total ha 764 690 23 Thiess receive international recognition at Mount Owen
In March 2015, delegates of the International Mining for
Development Centre (IM4DC) inspected mined areas at
Glencore’s Mount Owen coal mine nearly 20 years after
they were rehabilitated by Thiess. IM4DC is a partnership
between the Federal Government, the University of
Western Australia and the University of Queensland, and is
designed to deliver best practice to developing nations as
they build their mining industries.
Professor David Mulligan, Director of UQ’s Centre for
Mined Land Rehabilitation said that, “Mount Owen is
certainly a leader in rehabilitation for the coal industry and
it has been for many years.”
Areas rehabilitated in the 1990s now feature established
native flora and resemble the remnant vegetation of the
adjacent state forest. Native fauna such as quolls and
gliders are also returning to the rehabilitated areas.
Timber and rock piles were built by Thiess into the rehab
area to provide habitat and nesting boxes were installed in
trees for gliders and other species. In time, the trees will
develop natural hollows, overcoming the need for the
artificial habitat.
‐
50
100
150
0
2,000
4,000
6,000
8,000
CPB Thiess LAL
Energy consumption (GWH) spend ($m)
Total GWH (lhs) Energy spend (rhs)
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Legal compliance and managing reputation
The Board is responsible to shareholders for the long‐term
performance of the CIMIC Group and for overseeing the
implementation of appropriate corporate governance with
respect to the Group’s affairs.
The Board has adopted a formal Board Charter that details
the Board’s role, authority, responsibilities, membership and
operations, and is available on our website. The Charter sets
out the matters specifically reserved for the Board and the
powers delegated to its Committees and to the CEO.
The Board delegates responsibility for the day‐to‐day
management of the CIMIC Group to the Executive Chairman
and CEO, but retains responsibility for the overall strategy,
governance and performance of the Group. The Executive
Chairman and CEO then delegates authority to the
appropriate senior executives for specific activities and
transactions. This authority is governed by a formal
‘Delegations of Authority’ matrix.
The Group is not aware of any significant grievances related
to its environmental performance during 2015. Two fines
totalling $3,500 for environmental breaches were incurred
as detailed on page 54.
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Outlook and Future Plans
We are committed to, wherever possible, preventing or
otherwise mitigating and remediating any harmful effects
from our operations. In 2016, we plan to:
• continue to focus on initiatives to reduce GHG emissions; • conduct waste management workshops on all new
projects in Leighton Asia to promote waste
minimisation; • develop and promote an Energy Management System to
promote efficient use of energy in Leighton Asia; • initiate quarterly cultural surveys in CPB Contractors to
embed a SHEQ39 Cultural Framework; and • further develop and improve support tools and
processes to integrate Infrastructure Sustainability on
projects.
39 Safety, Health, Environment and Quality.
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Our Awards Sustainability
CIMIC
• Included in DJSI’s Australia Index and recognised as the
construction and engineering global leader in four
categories including: 1) Risk & Crisis Management; 2)
Building Materials; 3) Environmental Policy/Management
System; and 4) Resource Conservation and Resource
Efficiency.
• Included in RobecoSAM’s 2016 “The Sustainability
Yearbook” and acknowledged as the construction &
engineering ‘Industry Mover’ for achieving the largest
proportional improvement in its sustainability performance
within the top 15% of the industry compared to the
previous year.
• Recognised by CDP (formerly the ‘Carbon Disclosure
Project’) with 99 out of 100 for Disclosure and a ‘C’ rating
for our Climate Change submission and a ‘B’ rating for our
Water submission.
Providing safe communities and workplaces
CPB Contractors
• Western Australia’s WorkSafe awarded Broad Construction
(a CPB Contractors subsidiary) a platinum certificate of
achievement.
Leighton Asia
• Hong Kong Considerate Contractors Awards (CCA) Gold
Award in the Public Works – New Works category for the
Central Wanchai Bypass‐Central Interchange project.
• Hong Kong (CCA) Considerate Contractor Site Merit Award
in the Public Works – New Works category for the Tin Shui
Wai Hospital project.
• Hong Kong MTR Outstanding Performance in Quality,
Safety, Environmental and Stakeholder Engagement (QSE)
Silver Safety Award for the West Kowloon Terminus
Approach Tunnel (South).
• Hong Kong CCA Innovative Safety Initiative Award (ISIA)
Bronze Award in the ‘Safe Operational Device’ category for
the South Island Line (East) project.
• Hong Kong CCA ISIA Merit Award in the ‘Safe Operational
Device’ category for the Central‐Wanchai Bypass‐Central
Interchange project.
• Hong Kong Lighthouse Club‐Contractors’ Dinner and Safety
Awards (LCCDSA) Bronze Award for the Hong Kong Zhuhai‐
Macao Bridge BCF PCB project.
• Hong Kong LCCDSA Merit Award for the West Kowloon
Terminus Station North project.
• Lighthouse Club Best Contractor on Project Division Safety
Week 2015 for the West Kowloon Terminus Station North
project.
• Hong Kong Construction Safety – Forum and Award
Presentation Merit Award in the ‘Best Method Statement’
category for the Central – Wan Chai Bypass – Route Wide
project.
• Good Housekeeping Forum and Award Presentation 2015
Silver Award for the Central Wanchai Bypass‐Central
Interchange project.
• 2014 Hong Kong Construction Association Proactive Safety
Contractors Award.
• Hong Kong MTR Highest DNV score in second half year of
2014 for the West Kowloon Terminus Station North project.
• Hong Kong MTR Silver Safety Award for the Express Rail
Link, West Kowloon Terminus, Fire Services, Plumbing &
Drainage project.
• Hong Kong MTR Lowest RAFR Award for the Express Rail
Link, West Kowloon Terminus, Fire Services, Plumbing &
Drainage project.
• Labour Department Construction Industry Safety Award
Scheme 2014/2015 Merit Award in the Building Site
category for the Tin Shui Wai Hospital project.
• Labour Department Construction Industry Safety Award
Scheme 2014/2015 Bronze Award in the Safe Teams
category for the MTR Shatin to Central Link Contract 1112:
Hung Hom Station & Stabling Siding project.
• Singapore Workplace Safety and Health (WSH) Safety and
Health Award Recognition for Projects (SHARP) for the
Springleaf Station and Tunnel project.
• The Ministry of Indonesian Man Power Department Zero
Accident Award 2015 for Bekasi Workshop Indonesia.
• The Ministry of Indonesian Man Power Department
Certificate of Recognition to OHS Management System
Compliance for Leighton Indonesia.
• The Royal Society for Accident Prevention RoSPA (Gold)
Award for the Springleaf Station and Tunnels for Thomson‐
East Coast Line.
Acting with integrity
Leighton Asia
• Hong Kong Council of Social Services Considerate Caring
Company Award.
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Developing a performance culture
CPB Contractors
• Ranked 5th in LinkedIn’s ‘Australia’s 30 Most InDemand
Employers: 2015’.
• Ranked 33rd most attractive employer amongst students
from across 41 Australian universities studying
Engineering/Natural Sciences.
Thiess
• Ranked 10th in LinkedIn’s ‘Australia’s 30 Most InDemand
Employers: 2015’.
• Ranked as 36th most attractive employer amongst students
from across 41 Australian universities studying
Engineering/Natural Sciences.
• Excellence in Diversity Programs and Performance Award
for Thiess’ Oothungs (Sisters) in Mining Program.
Promoting diversity in mining
Operating a 70‐tonne dozer in the heat and dust of South
Australia’s outback may not seem a woman’s top job choice.
But for driver Sabrina McKenzie, it has earned her the title of
most outstanding tradeswoman in the Women in Resources
National Awards.
She was one of four South Australian winners of the five
national awards presented in Perth by the Minerals Council
and state chambers of mines and energy. Ms McKenzie is the
only woman dozer operator in the Thiess crew at OZ Minerals’
Prominent Hill copper mine – and a role model for other
women and Indigenous workers.
Innovating to deliver projects
CPB Contractors
• 2015 Sustainability in Infrastructure Award ‐ IS Project or
Asset Award ‐ the Sydney Metro Northwest Tunnel and
Station Civils project. This prestigious award recognises a
project or asset that has demonstrated the highest overall
excellence and sustainability achievements.
Leighton Asia
• Hong Kong MTR Outstanding Performance in QSE Bronze
Quality Award for the Express Rail Link – Contract 822.
Thiess
• Sir Leslie Thiess inducted in the Australian Prospectors and
Miners Hall of Fame in recognition of his outstanding
contribution to the Australian coal industry.
Using resource efficiently
CPB Contractors
• The International Erosion Control Association Australasia
Environmental Excellence Award ‐ Australia Pacific LNG Gas
Gathering Project.
• Banksia Sustainable Water Management Award for
managing the Swan River during the development of
Elizabeth Quay to CPB Contractors and Broad Construction.
Leighton Asia
• Hong Kong Awards for Environmental Excellence (HKAEE)
Bronze Award for the West Kowloon Terminus Station
North project.
• HKAEE Merit Award for the Shatin to Central Link Contract
1112: Hung Hom Station & Stabling Siding project.
• HKAEE Merit Award for the Tin Shui Wai Hospital project.
• Hong Kong MTR Outstanding Performance in QSE Bronze
Environmental Award for the West Kowloon Terminus
Approach Tunnel (South).
• Hong Kong CCA Merit in the Outstanding Environmental
Management and Performance Award category for the
Central Wanchai Bypass‐Central Interchange project.
• Hong Kong Silver Green Contractor Award 2014 for the Tin
Shui Wai Hospital project.
• Certificate of Merit from DevB’s OEMPA for the Central
Wanchai Bypass‐ Central Interchange project.
• Singapore ‘Green and Gracious Builder Award’ (Excellent
Level).
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Summary of Performance 2012 2013 2014 2015
Creating shareholder value
Total revenue from continuing operations 40 $m 20,830 16,259 16,876 13,371
Net Profit After Tax40 $m 450 509 677 520
Earnings per share $ 1.33 1.51 2.00 1.54
Dividends paid per share in the year41 $ 0.80 1.05 1.17 1.14
Closing share price $ 17.88 16.11 22.50 24.30
Opening share price43 $ 19.25 17.90 16.28 22.51
Share price appreciation % (7.1) (10.0) 38.2 8.0
1 year total shareholder return % (3.0) (4.1) 45.4 13.1
3 year rolling total shareholder return % (45.8) (38.8) 36.3 58.2
Market capitalisation at year end $m 6,030 5,440 7,616 8,225
Net cash/(debt) plus operating leases $m (1,363) (1,338) 20 528
Total equity $m 2,917 3,246 3,782 4,115
Gross debt to equity ratio % 94.6 65.5 79.2 25.7
Human Capital ROI45 # 1.13 1.13 1.03 1.31
Revenue per person $k 369.8 403.0 462.4 478.1
2012 2013 2014 2015
Providing safe communities and workplaces
Total fatalities # 3 5 3 1
Of which: Australia # 1 1 3 1
International # 2 4 0 0
Total Class 1 Injuries # 10 9 5 2
Of which: Australia # 4 2 1 1
International # 6 7 4 1
Lost Time Injury Frequency Rate LTI/MhW 1.18 1.27 1.08 0.92
Total Recordable Injury Frequency Rate TRIs/MhW 6.6 5.7 3.8 3.2
Potential Class 1 incidents # 600 469 333 192
Million hours worked MhW 232.4 247.4 46252.5 131.0
2012 2013 2014 2015
Acting with integrity
Income tax rate vs Aus’t corporate tax rate Actual % / Corp % 22 / 30 36 / 30 34 / 30 30 / 30
Total strategic community investment $m 6.4 6.9 4.3 0.8
2012 2013 2014 2015
Developing a performance culture
Total direct employees46 # 56,323 55,990 36,512
47 27,939
Personnel costs $m 5,538.3 5,908.1 4,363 3,059
Payroll ratio48 $k/employee 98.3 105.5 119.5 109.5
Average tenure of employment years 3.7 4.0 3.9 3.0
Total employee turnover rate % 27.6 25.6 56.5 42.7
Females on the Board # / % 1 / 10 2 / 10 1 / 8 1 / 8
40 Excludes joint ventures and associates, and JHG and Services which were sold in December 2014 and re shown in the Financial Statements as
discontinued operations (2013 is also restated for continuing operations as per the 2014 Annual Report). 41 Dividends paid during the year. Not dividends declared. 2015 includes special dividend of 15 cents per share.
43 The opening share price takes into account trades after market close on the last day of the relevant financial year.
45 Total Revenue less Total Operating Expenses less Total Employee Related Costs (TERC) divided by TERC. As reported to DJSI.
46 Relates to 45,214 employees which includes the discontinued operations of JHG and Services.
47 Reflects total employees from continuing operations as at 31 December 2015; total employees including continuing operations was 45,214 – 22,355 in
Australia and 22,859 in the Group’s international operations. 48 For 2014, ratio is based on continuing operations and total employees of 36,512. Ratio is distorted because it includes redundancy cost and most of the
redundancies occurred in the second half of the year, thereby inflating the ratio. For 2013, ratio is based on continuing operations, restated to match 2014.
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2012 2013 2014 2015
Developing a performance culture (cont.)
Females in the workforce % 12 12.2 12.3 9.4
Females in senior management % 10 12.9 10.2 14..3
Indigenous employees in Australia # 594 821 72049 294
Indigenous employees in Australian workforce % 2.1 2.9 3.2 3.9
Local participation in International workforce % ‐ ‐ ‐ 96.8
2012 2013 2014 2015
Innovating to deliver projects
Cumulative green buildings completed # 27 35 50 57
Cumulative ISCA certified and rated projects # ‐ 2 6 12
Green Standard projects registered # ‐ ‐ 9 14
Green Standard projects certified # ‐ 7 8 8
Green Standard employee certifications # ‐ ‐ ‐ 41
2012 2013 2014 2015
Using resources efficiently
Total Level 1 incidents # 0 0 0 0
Total Level 2 incidents # 34 21 18 4
Of which: Australia # 32 19 16 2
International # 2 2 2 2
Total Level 3 incidents # 1869 1997 1787 824
Of which: Australia # 1663 1857 1528 782
International # 206 140 259 38
Total Breaches # 26 3 12 4
Of which: Australia # 25 2 11 2
International # 1 1 1 2
Environmental Incident Frequency Rate50 No/MhW 0.15 0.08 0.145 0.03
Violations with fines exceeding $10k # 0 1 0 0
Value of fines related to above $k 0 15 0 0
Energy consumption ‐ Diesel GWH ‐ 12,605 12,224 7,477
Energy consumption ‐ Electricity GWH ‐ 244 269 109
Energy consumption ‐ Other51 GWH ‐ 174 233 75
Total energy consumption GWH ‐ 13,023 12,726 7,661
Energy consumption (NGER) TJ 6.9 2.7 2.6 1.4
Water use (withdrawls and re‐use) ML ‐ ‐ ‐ 11,935
Of which: Withdrawals ML ‐ ‐ ‐ 6,837
Reuse ML ‐ ‐ ‐ 5,098
Water discharges ML ‐ ‐ ‐ 3,957
GHG emissions ‐ Scope 1 (NGER)52
kt.C02‐e 730.5 206.2 153.2 77.4
GHG emissions ‐ Scope 2 (NGER) kt.C02‐e 132.5 128.5 92.5 72.1
GHG emissions ‐ Scope 153 ‐ 3,172 3,191 1,790
GHG emissions ‐ Scope 253 ‐ 210 219 84
GHG emissions ‐ Scope 3 kt.C02‐e ‐ ‐ 4,731 3,497
Level of assurance Type Limited Limited Limited Limited
Total material volumes54 kT ‐ ‐ 5,951 4,077
Of which: Concrete kT ‐ ‐ 4,880 3,418
Asphalt kT ‐ ‐ 359 309
Steel kT ‐ ‐ 580 238
Timber kT ‐ ‐ 132 111
Economic dimension Out of 100 74 78 78 79
Environmental dimension Out of 100 71 81 78 87
Social dimension Out of 100 65 68 73 74
Total sustainability score Out of 100 70 76 76 81
49 Includes Indigenous employees of JHG and Services until 2014.
50 EIFR; total number of Level 1 and Level 2 environmental incidents per million hours worked. 2014 EIFR excludes JHG and Services.
51 2013 excludes solid fuels from Leighton Asia, India and Offshore operations.
52 As reported to NGER.
53 For 2013 and 2014, period is to 30 June and includes John Holland and Services. For 2015, period is to 31 December and includes internal reporting of
emissions regardless of who has operational control of facilities. 54 Materials includes John Holland and Services for 2014.
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GRI Index Index for the Global Reporting Initiative
GRI G4 Index (for “In accordance” –Core)
General GRI indicators Application level
Page number/s
Link/notes
G4‐1 Strategy and analysis
G4‐1 Sustainability strategy and relevance of sustainability
● 10‐11 2015 Annual Report
G4‐2 Key impacts, risks and opportunities
◕ 13‐15
G4‐3–16 Organizational profile G4‐3 Name of organization ● 3, 66
G4‐4 Brands, products, and services ● 3, 6‐9, 66 http://www.cimic.com.au/our-business G4‐5 Location of headquarters ● 66
G4‐6 Number and names of countries where Group operates
● 8‐9, 66 http://www.cimic.com.au/our-business
G4‐7 Nature of ownership and legal form ● 66 http://www.cimic.com.au/investor-and-media-centre
G4‐8 Markets in which Group operates ● 6‐9 2015 Annual Report G4‐9 Scale of Group ● 62 2015 Annual Report G4‐10 Detailed information on workforce ◑ 30, 33, 35,
36‐37, 62‐63
G4‐11 Employees covered by collective bargaining agreements
◕ 33
G4‐12 Group’s supply chain ◕ 54‐56
G4‐13 Changes during reporting period ● 3 2015 Annual Report G4‐14 Precautionary principle ◑ 11 Covered under ‘Our Sustainability Commitments’
G4‐15 Commitments ◑ 32 Comply with ILO with respect to under‐age workers
G4‐16 Memberships ◑ 27
G4‐17‐23 Identified material aspects and boundaries
G4‐17 List of subsidiaries, associates, and other significant interests
● 3, 66 2015 Annual Report
G4‐18 Reporting principles and report content
● 3
G4‐19 Material aspects of report content ● 13‐14
G4‐20 Material aspects within Group ◑ 3, 13‐14
G4‐22 Restatements of information provided in previous reports
● 3 Sale of JHG and 50% of Ventia
G4‐24‐27 Stakeholder engagement G4‐24 Stakeholder groups engaged by Group ◕ 13‐14
G4‐25 Basis for identification of stakeholders ◕ 13‐14
G4‐26 Approach for engagement of stakeholder groups
◕ 13‐14
G4‐27 Key topics raised through stakeholder engagement
◕ 13‐14
G4‐28‐33 Report profile
G4‐28 Reporting period ● 3 Annually
G4‐29 Date of previous report ● 3, 10‐11 No previous GRI based Report produced
G4‐30 Reporting cycle ● 3 2015 Annual Report G4‐31 Contact point ● 66
G4‐32 Content index ◑ 3 Core
G4‐33 Basis and scope of assurance; relationship between organization and auditors; Executive Board support
◕ 3
G4‐34 Governance
G4‐34 Governance structure ● 10‐12 2015 Corporate Governance Statement
G4‐35 Delegating authority ◕ 12
G4‐36 Executive responsibility ◕ 12
● Covered in full ◕ Covered for the most part ◑ Covered in part CoC = Conduct of Conduct
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G4‐34 Governance (cont.) G4‐38‐55 Governance process ◕ 2015 Corporate Governance
Statement, Board Charters
G4‐56 Ethics and integrity
G4‐56 Principles, values, and standards ● 2, 10‐11, CoC http://www.cimic.com.au/our-approach/mission-and-principles
G4‐57‐58 Internal and external mechanisms ◕ 23‐24, CoC
Specific GRI Indicators in relation to CIMIC’s major sustainability focus
Application level
Page number Link/notes
Focus Area 1 Providing safe communities and workplaces
G4‐LA1 Employee turnover ◑ 30, 62
G4‐LA2 Employee benefits ◕ 31
G4‐LA6 Injuries and fatalities ● 18‐20, 62
G4‐LA7 Higher incidence or risk ◕ 17‐21
Focus Area 2 Acting with Integrity
G4‐SO1 Community engagement ◑ 26‐27
G4‐SO3 Risk assessment ◑ 33
G4‐SO4 Training on anti‐corruption policies ● 24, CoC
G4‐SO5 Confirmed incidents of corruption ● 24
G4‐SO6 Political contributions ● 24, CoC
G4‐SO7 Anti‐competitive behaviour ● 24, CoC
G4‐SO8 Anti‐competitive compliance ● 24, CoC
G4‐PR6 Banned or disputed products ● 24
G4‐PR7 Marketing communications ● 25 http://www.cimic.com.au/investor-and-media-centre
G4‐PR8 Customer privacy ● 25, CoC
G4‐PR9 Compliance ● 24, CoC
Focus Area 3 Developing a performance culture
G4‐EC6 Senior managers from local community ◕ 35
G4‐LA12 Diversity of the Board/workforce ◕ 34‐36, 62‐63 2015 Annual Report, 2015 Corporate Governance Statement
G4‐LA14 Screening of suppliers ◕ 33
G4‐HR5 Risk of child labour ◕ 13‐14, 23, 32‐33. CoCo
G4‐HR5 Risk of forced or compulsory labour ◕ 13‐14, 23, 32‐33, CoC
G4‐HR8 Indigenous incidents ◕ 36
Focus Area 4 Innovating to deliver projects G4‐EC1 Economic value generated & distributed ● 45
G4‐EC3 Defined benefit plan obligations ● 31 2015 Annual Report G4‐EC4 Financial assistance received ◕ 25‐26 2015 Annual Report G4‐EC8 Indirect economic impacts ◕ 26‐27, 46
Focus Area 5 Using resources efficiently G4‐EN1 Materials used ◕ 54‐55
G4‐EN3 Energy consumption ◕ 51, 56‐57, 63
G4‐EN8 Water withdrawals ◑ 52‐53, 63
G4‐EN10 Water recycled and reused ◑ 52‐53, 63
G4‐EN13 Habitats protected or restored ◕ 57
G4‐EN15 Scope 1 Greenhouse Gas emissions ◑ 50‐51, 63
G4‐EN16 Scope 2 Greenhouse Gas emissions ◑ 50‐51, 63
G4‐EN17 Scope 3 Greenhouse Gas emissions ◑ 50‐51, 63
G4‐EN22 Water discharges ◑ 52‐53, 63
G4‐EN23 Waste disposal ◕ 53‐54
G4‐EN24 Significant spills ● 54, 63
G4‐EN25 Hazardous waste ● 53‐54
G4‐EN29 Fines and sanctions ● 54, 58
G4‐EN30 Transport ◕ 51‐52
G4‐EN32 Supplier screening ◕ 55‐56
G4‐EN34 Grievances ◑ 58
● Covered in full ◕ Covered for the most part ◑ Covered in part CoC = Conduct of Conduct
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Organisational Profile CIMIC Group Limited ABN 57 004 482 982 Principal registered office in Australia
472 Pacific Highway, St Leonards, NSW, 2065, Australia
Telephone: +61 2 9925 6666
Fax: +61 2 9925 6000
Website: www.cimic.com.au
Ownership and legal form
CIMIC Group Limited (ASX: CIM) was listed on the Australian
Securities Exchange in 1962 and is based in Sydney, Australia.
HOCHTIEF Australia Holdings Limited is a substantial
shareholder of CIMIC with 69.9% of the shares as at 25 January
2016. The shareholding structure is set out in the 2015 Annual
Report.
Securities Exchange Listings
CIMIC Group Limited shares are listed on the ASX and are
traded under the stock code ‘CIM’. The ASX home branch is
Sydney, Australia. A subsidiary, Leighton Finance (USA) Pty
Limited, has notes on issue which are listed on the Singapore
Exchange.
Primary brands, products and services
The CIMIC Group is comprised of four core businesses, each
with their own brand/s and focus:
• Construction through CPB Contractors and Leighton Asia –
leading international construction contractors;
• Mining through Thiess – a global contract miner;
• Public Private Partnership (PPPs) through Pacific
Partnerships – a PPP manager, financing arranger, and
operations and maintenance manager; and
• Engineering through EIC Activities– our internal engineering
and consultancy which provides specialist design, technical
support and research and technology. The CIMIC Group also has the following investments:
• 59.1% (as of 31 December 2015) of the Australian listed
property development company Devine Limited;
• 50% of an investment partnership in the Australian services
entity Ventia;
• 45% of the Middle East based construction company
Habtoor Leighton Group;
• 46.4% (as of 5 February 2016) of the listed resources
engineering company Sedgman Limited;
• 28.9% (as of 31 December 2015) of the telecommunications
Nextgen Group Holdings Pty Limited;
• 19.7% (as of 31 December 2015) of the listed mining
contracting company Macmahon Holdings Limited.
Countries
The CIMIC Group’s four core businesses are currently delivering
projects in the following countries:
• Australia
• New Zealand
• Papua New Guinea
• Indonesia
• Singapore
• Malaysia
• Philippines
• Hong Kong
• Macau
• Mongolia
• India
• Iraq
• Chile
• Botswana The Habtoor Leighton Group is delivering, or has recently delivered projects, in:
• United Araba Emirates
• Oman
• Qatar
• Saudi Arabia
• Kuwait
• Iraq
• Bahrain
Contact information
Justin Grogan Executive General Manager, Sustainability Tel: +61 2 9925 6628 Email: [email protected]
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