Social Aspects

Employment, Occupational Health and Safety, and Human Rights

Human Rights
The Company maintains and respects human rights. Therefore, the Company and its subsidiaries strive to fulfill the rights of stakeholders related to the Company’s business activities. Related to HR, the Company always seeks to fulfill the rights of employees by providing equal opportunities to everyone who has good competence, character, and work ethics to be employed, attend relevant education and training programs, develop their career professionally, and get promoted to a vacant higher position, regardless of ethnicity, religion, race, and age.

The Company continuously seeks to provide fair wages and ensure that the lowest wages given to entry-level employees are not lower than the regional minimum wage determined by the government and avoid forced labor practices and prohibit the employment of underage labor. The working hours applicable in the Company are in accordance with industry guidelines and national standards. The Company also provides its employees the freedom to perform their religious obligations, freedom of deliberation, and freedom to form associations, gather and express opinions in accordance with the prevailing laws and regulations in Indonesia.


The Company realizes that the business carried out by the Company and its subsidiaries is a labor-intensive business. HR is therefore one of the important assets that need to be considered, maintained, and developed. One of the efforts made by the Company to maintain human resources is to create a safe, comfortable, and conducive work environment for employees. For employees in several relevant subsidiaries, the Company through its subsidiaries provides various sports facilities, health service programs, including general medical check-ups, clinical facilities and first aid stations in the workplace, health risk assessment, health monitoring, hygiene and sanitation management, economic management, and management of employees’ nutrition.

The Company and its subsidiaries maintain the confidentiality of employee health data to avoid use of data that may harm employees, by limiting access to employee health data records to certain people. The Company also provides various facilities and benefits for eligible employees, such as health benefits, communication benefits, and vehicle benefits for certain level employees.

The determination of employee compensation and benefits is carried out by considering the responsibilities and complexity of the position, individual qualifications, performance appraisal results, labor market conditions, and the condition of the Company and its subsidiaries.

To support the Company’s efforts in creating a safe, comfortable, and conducive work environment for employees, the Company pays great attention to HSE. The Company has prepared policies and SOPs that apply to employees, contractors, suppliers, and other business partners located within the operating areas of the Company and its subsidiaries to mitigate work accidents and/or diseases due to negligence that can cause employee demotivation and work productivity deficiencies.

As an effort to protect employees, contractors, suppliers, and other business partners within the work environment of the Company and its subsidiaries, the Company and its subsidiaries provide various safety facilities and infrastructure in their respective operating areas, such as: HSE signs, fire protection systems (fire extinguishers, hydrants, sprinklers, and fire alarm systems), emergency response facilities (first aid kits, emergency response team, fire trucks, and ambulances), and personal protective equipment.

Community Involvement and Development

As a form of commitment in supporting the socio-economic growth and empowerment of the local communities around the operation areas of the Company and its subsidiaries, the Company through its subsidiaries compiled 8 (eight) blueprint pillars as guidelines in planning and implementing the CSER program. These eight blueprint pillars are directed in line with the SGDs and in accordance with the Decree of the Minister of Energy and Mineral Resources No. 1824K/30/MEM/2018 related to the implementation of the Community Development and Empowerment (PPM) program.

The Company and its subsidiaries hope to play an active role in empowering and helping to improve the independence and welfare of the communities around the Company’s and subsidiaries’ operating areas, especially for communities located in areas directly affected by the operating activities of the Company and its subsidiaries. Along with the development of the Company’s business, the Company expects to provide wider benefits to the communities.

Through such programs, the Company expects to provide a positive impact, either directly or indirectly, for the welfare of the communities, including to increase the capacity and quality of prospective local workers, empower communities, improve education for local students, and improve the health, quality of life, and economy of the community.

Product Responsibility

The Company realizes and respects customers’ right to obtain good and safe products and/or services, that are in accordance with customers’ needs. Therefore, the Company pays great attention to customer satisfaction and implements the following policies:
  • equip every business activity with the necessary permits and certifications
  • prepare, review, and periodically improve relevant SOPs so that the activities of the Company and its subsidiaries can be carried out in accordance with reasonable and customary safety and health regulations and standards, and remain relevant to business conditions and developments
  • conduct a tender process that is fair and free from elements of corruption, collusion, and nepotism in selecting business partners
  • implement a comprehensive quality management system in carrying out business processes to maintain product and/or service quality
  • obtain an international standard certification in the field of ISO Quality Management System
  • prioritize and develop innovative and measurable processes, including in utilizing digitalization technology, that are in accordance with the latest trends and continue to improve the quality of services and products offered so as to be more suitable with customer needs and expectations
  • verify the quality, as relevant, before the products and/or services are delivered to the customers
  • provide fair and equal service to all customers and potential customers without discriminating against ethnicity, religion, and race
  • conduct periodic evaluations of the production process, product quality, and distribution process
  • open access to stakeholders to provide criticism, suggestions, and inputs for continuous improvements

The Company is committed to offering safe and quality products and services to its customers. The Company ensures that all products and services marketed by the Company have complied with prevailing standards and regulations, thus it is expected to have no negative impact on customers. By always being responsible for the products and services produced, the Company expects to maintain good relations with customers, improve reputation and competitiveness, and open opportunities for the Company and its subsidiaries to build new positive cooperations.

Fair Operating Practices

The Company believes that a sustainable business should not only comply with prevailing laws and regulations, but should also be ethical. Therefore, the Company always seeks to conduct transactions with business partners based on the principles of fairness and equality by referring to the Corporate Governance Policy, Code of Conduct, and Corporate Culture. The Company expects that by conducting business by adhering to good ethics, the Company can maintain business performance, reputation, and good relations with other business actors and partners, the government, and other stakeholders.

The Company is committed to conducting operations that prioritize business ethics as well as to conducting fair business competition. The Company also always seeks to build trust and maintain its reputation by improving the quality of products and services.

Programs related to fair operating practices that had been implemented by the Company and its subsidiaries during 2020 to 2022, among others, are as follows:

  • Implementation of GCG
    The Company applies the principles of GCG in each business line of the Company and its subsidiaries.
  • Procurement of Goods and/or Services Policy
    The Company has a policy and SOP related to the procurement of goods and/or services that are implemented with the aim of ensuring that every transaction with suppliers and contractors can be carried out fairly.
  • Whistleblowing System
    The Company has a whistleblowing system that was established with the aim of providing access to stakeholders to be able to submit whistleblowing reports to the Company.