Safety

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Approach

The safety of our people and the communities in which we operate is our top priority with the right to life and right to safe working conditions among our most salient human rights issues. Mining involves hazards that include working with mobile equipment, heavy machinery, explosives and electrical systems. However, we strongly believe it is possible to effectively manage the risks associated with these hazards so that everyone returns home safe at the end of the day.

Our Health and Safety Policy details our commitment to protecting workers, business partners and visitors. A set of standards provides the governance, structure and minimum requirements to achieve our goal of a workplace free from fatalities and serious injuries.

Critical to our efforts in preventing fatalities and serious injuries are rigor and discipline around identifying those risks that can lead to fatalities or serious injuries and implementing the appropriate systems, processes and controls. To achieve our goals, we are focused on the following key drivers:

  • Fatality prevention – Elements of our Fatality Risk Management program include clearly identifying the controls that really matter (critical controls); ensuring accountability for implementing controls; verifying them; and reporting on the effectiveness of the controls. Also essential in preventing fatalities is conducting quality event investigations and ensuring lessons are truly learned and not just shared.
  • Employee engagement – Maturing our culture requires an environment where people feel empowered to work only when it is safe, stop work when they feel at risk, and have the courage to approach others and speak up when they see hazards or at-risk actions. Each operation conducts engagement that best fits the site’s culture with some sites developing more formal approaches, such as the employee-led Vital Behaviors teams at our Carlin operations in Nevada.
  • Leadership – Preventing fatalities and engaging employees requires visible felt leadership and quality safety interactions. We are piloting a program in Australia where senior leaders use a coaching process to help their direct reports develop the skills needed to have productive interactions about safety and involve team members in contributing to their safety.

We measure our health and safety performance by leading indicators – such as safety interactions and implementation of effective critical controls – and by tracking lagging indicators – such as injury rates. All significant events are investigated, and lessons learned are shared with workers. Investigations and corrective actions to prevent recurrence related to serious potential and actual events are reported to the executive leadership team and Board of Directors.

With contractors constituting more than 50 percent of our workforce, each region conducts contractor training programs and regular safety reviews in contractor work areas. Technical safety training is provided to all employees working at our mine sites, and safety inductions are conducted for all site visitors.

As required in our Emergency Preparedness and Response Standard, every Newmont facility must identify, plan for and be able to respond effectively to emergency situations. Each mine site has emergency response teams who participate in specialized training and mock drills. A number of these teams also participate in competitions that test the teams’ preparedness and competencies against industry peers.

We are committed to learning from and sharing best practices with others. We actively participate in programs to improve our performance as members of the International Council on Mining and Metals (ICMM) and the Mining Safety Roundtable. We also participate in regional health and safety programs such as the Western Australia Chamber of Minerals and Energy, the Ghana Chamber of Mines and the United States National Mining Association’s CORESafety program.

2016 Performance

While we are pleased to report that no fatalities have occurred at any Newmont site or facility since September 2015, we continue to have injuries and potentially serious events, highlighting the importance of our Fatality Risk Management work.

Our Total Recordable Injury Frequency Rate (TRIFR) of 0.32 held steady compared to 2015. While this performance was among the best of all International Council on Mining and Metals (ICMM) member companies, we did not achieve our goal to reduce the rate to 0.30 (which was adjusted to reflect the sale of the Batu Hijau operation).

The injury rate among contractors has been cut by more than half since 2011 and declined to 0.31 in 2016 compared to 0.34 in 2015. However, over the past few years, we have had serious injuries and fatalities involving contractors working on our behalf, so in 2016 we conducted a global contractor management process improvement review to address our contractor safety performance. The review resulted in the development of contractor safety guidelines, training to strengthen and clarify the owner representative role, oversight of the program, and improved data collection.

In 2016, we increased our focus on identifying, analyzing and managing fatality risks across Newmont. Among the activities to support these efforts:

  • We held workshops to develop a global set of bow-tie diagrams (i.e., visual representations of the connections between hazards and their consequences), critical controls and performance criteria for the top 16 fatality risks across the business.
  • We developed fatality risk standards and formed a governance framework, which includes a steering committee, to ensure we implement effective controls and conduct work in compliance with the standards.
Injury frequency rate (per 200,000 hours worked)*
Total Recordable Injury Frequency Rate (TRIFR)
Lost Time Injury Frequency Rate (LTIFR)
Serious Injury Frequency Rate (SIFR)
* Note: These figures include the Batu Hijau operation up until October 1, 2016; a full year of data from the Merian and Long Canyon operations, which entered commercial production in late 2016; and all exploration sites.
2012 2013 2014 2015 2016
Total Recordable Injury Frequency Rate (TRIFR) 0.65 0.47 0.39 0.32 0.32
Lost Time Injury Frequency Rate (LTIFR) 0.11 0.06 0.09 0.08 0.07
Serious Injury Frequency Rate (SIFR) 0.025 0.013 0.027 0.022 0.005
* These figures include the Batu Hijau operation up until October 1, 2016; a full year of data from the Merian and Long Canyon operations, which entered commercial production in late 2016; and all exploration sites.
2016 TRIFR among ICMM member companies (per 200,000 hours worked)
Company TRIFR
Company A 2.52
Company B 1.54
Company C 1.40
Company D 1.38
Company E 1.29
Company F 1.14
Company G 1.12
Company H 1.11
Company I 0.93
Company J 0.81
Company K 0.81
Company L 0.77
Company M 0.71
Company N 0.64
Company O 0.52
Company P 0.45
Company Q 0.44
Company R 0.40
Company S 0.38
Newmont 0.32
Company U 0.29
Company V 0.18
Company W 0.12

Future Focus

Eliminating fatalities and sustaining a best-in-class safety performance is a significant journey and one that requires an unrelenting commitment to continuous improvement. Much of our focus in 2017 will be on building confidence in managing our fatality risks. This work includes:

  • Defining operational leaders’ work and alignment of accountabilities in relation to Fatality Risk Management with respect to verification activities;
  • Improving our investigations and ability to truly learn from unwanted events by incorporating critical controls into our investigation process;
  • Improving how we apply lessons learned from near misses to significantly reduce the number of repeat incidents;
  • Recognizing individuals within Newmont who provide innovative solutions for managing our health and safety risks and implementing a CEO health and safety leadership award;
  • Carrying out the next phase of the Integrated Management System (IMS), which includes implementing a set of fatality risk standards and conducting third-party audits across all sites; and
  • Implementing an updated Aviation Standard and framework to improve oversight of aviation activities, whether it is for our fly-in, fly-out (FIFO) operations or geophysical surveys in exploration.