Sustainability

Human Resource Management

Sustainability

Human Resource Management

Opportunities and Challenges

PTT believes that every employee is an important resource in business operations and corporate growth depends on quality employees. Therefore, policies in this regard focuses on developing and improving human resource management processes and systems which are up-to-date, internationally comparable and in line with changing technology trends. The mentioned policies strengthen and foster employees in becoming ethical and talented professionals, contribute to and support the development of society, and acts as a mechanism to propel PTT forward in becoming a sustainable organization.   

PTT views the preparation of human resource development, which creates employees with the readiness and capability to adapt to changing business directions and goals, as vital. In 2020 however, PTT has faced obstacles in work operations due to the COVID-19 epidemic, and thus responded by making necessary adjustments to certain work processes. These adjustments include but are not limited to Work @ Home policies, online training and virtual classrooms.

Management Approach
Sustainable Human Resource Management

PTT values the importance of human capital development in enhancing knowledge and competencies, as it is a key factor in driving business competitiveness towards the organization's vision and mission. PTT focuses on building a Knowledge-based Society to build leadership and develop employees into ethical and talented professionals, promoting leadership-enhancing opportunities, fostering employees to become ethical and talented professionals with readiness for lifelong learning at PTT. PTT supports employeescapacity in caring for societies, communities and the environment, in addition to becoming a driving force for organizational sustainability.

Employees play a vital role in moving the organization's vision, mission, and strategy on the path of success. Based on this understanding, PTT has identified the following strategic objectives and approaches to manage human resources:

Strategic ObjectiveManagement Approach 
Sufficient potential director pool to support business growth  Analyze success profiles in positions as required by businesses; develop management's leadership skills as appropriate to both current and future position requirements; monitor results, and build robust succession plans for all important strategic positions.
Sufficient potential employee pool to achieve business direction  Select talent pool of capable employees, and enhance employees' skills for future executive positions through the career management program and regular monitoring for improvement.
High potential employees  Develop employees to support business expansion in core and new capabilities, which include that of PTT's Leadership and Learning Institute, as well as Functional Academy for each career path. Functional Academy is responsible for designing, developing and driving the effort for employees’ knowledge, capacity, and professional excellence. This is according to vision and mission of human capital development directions in line with CCT business line. There are also 3-5 years roadmap developed to facilitate the vision, as well as support plans to build business line-specific expertise. This allows them to become internal lecturers of PTT Group, in order to become an organization of sustainable learning.
Highly engaged employees  Focus on enhancing workforce engagement by analyzing engagement survey results and setting up plans for Corporate Policy Focus and work line. This comprises supporting directorshuman capital development, as well as process and system improvement, to ensure they suit the needs and expectations of employees in each business line and their diverse age range, etc.
Highly capable HR and effective service delivery Build the capabilities of executives and HR officers to effectively respond to short- and long-term business requirements.

Remark: 

  • Potential director group refers to manager-level employees who are SEVP Pool, manager-level employees who are EVP Pool and manager-level employees who are VP Pool
  • Potential employee group refers to senior-level employees who are DM pool.

Structure and Management System

PTT's human resources management structure consists of respective committees, as follows. 

  • Professional Consultants stipulating guideline for employees' professional development
  • Human Resource Business Group Committee (HRBG) examines human resources management
  • Human Resource Committee (HRC) proposes policy and provides guidance on human resource management.
  • PTT Human Resource Management considers and approves principles and guidelines of PTT's principles and management approach
  • Structure, Remuneration and Manpower Committee approves structure, positions and work rates, as well as manpower
  • Human Resource Group Alignment with Coordination Management Committee (HRAC) manages human resource matters to systematically align with PTT's strategy and direction
  • PTT Management Committee advising and providing recommendations to the Chief Executive Officer and the Management Director, facilitating key decisions regarding strategy, business directions, long term operations, performance, investment plan, and budget.
  • Human Resource and Educational Scholarship Committee focuses on international scholarships, trainings, and development programs for employees from level ten downwards. The aim is to prepare for respective readiness in becoming executives
  • PTT Union Relations provides opinions, fosters and promotes union relations to address internal conflicts within PTT, including adjustment of regulations, addressing grievances, or ameliorate employment conditions

PTT integrates the concept of a Learning Organization into the design of PTT's human resource management and organization development systems and uses information technologies in everyday operations. For example, the Systems Applications and Products (SAP), which stores employee information, and the COACH Application, which maintains employee records and information on their competencies, derives from work analyses and success profiles. The COACH Application also stores information on KPIs used for standardized employee performance assessments.

Recruitment

PTT's recruitment system prioritizes internal candidates with suitable qualifications, knowledge, and experience to fill job vacancies. This internal recruitment system provides opportunities for PTT employees for promotion and to develop their potential for a diverse career path along with the sustainable business. The recruitment system reflects PTT's awareness of work life balance and equal opportunities for all employees.

PTT has a systematic recruitment and selection system, communicating job vacancies through various channels both domestic and international. This ensures diverse applicants. There are human resource department at a business level, working with a business unit, and together identify needs, manpower and capacity required. A human resource plan is then developed to attract and select applicants with capability suitable to the business needs.

Diversity

PTT prioritizes the maintenance and promotion of employee diversity. This includes ethnicity, religion, age, economic, social and economic backgrounds, and political interests. PTT also welcomes those with disabilities. PTT aims to have diverse human capital, responsive to different work needs and customerspreferences, variety of business both domestic and international. This allows exchange of ideas, cultures, point of views and experiences enabling for creativity and innovation for both business and the publics benefits.

Attraction 

PTT's strategies and policies to foster employees' motivation in-term of remuneration, career path and etc. are as follows: 

  • Improve criteria on position and appointment to be standardized throughout PTT, ensuring employees have good performance and capacity. This helps promote advancement that is distinctive from other employee groups
  • Annual benchmarking research of leading companies' remuneration practices, ensuring competitive remuneration of employees. There is adjustment reflecting employees' experience, work proficiency or greater responsibilities
  • Compensation links to individual performance. Employees at all levels must set targets and performance indicators consistent to business targets and strategy. They must be indiscriminately reflective of employees’ performance.
  • Remuneration is linked to individual performance, stipulating for employees of all levels to set goals and targets at an individual level. The goals and targets must be aligned with business goals and strategy, while justly reflecting the different performance results among employees.
  • Career path management that creates employee readiness for promotion and moving up in the organization. The individual career development plan is prepared for high performance and development of employees that ensure their eligibility as candidates for internal vacancies. The promotion will be considered by the committees in a transparent and fair way
  • Welfare and other benefits offered by PTT are higher than legal requirements and are tailored to suit all age ranges. Each employee is able to employee is able to select the benefit package that best suits his or her needs and situation, such as alternative welfare, or medical treatment of family

Age RangeWelfare and Benefits
Employees Flexible benefits to suits the different needs of employees based on age group. There are also welfare and benefits for family members, such as medical care and scholarships
Near-Retirement Employees  Pre-Retirement Training Programs, such as training on senior citizen laws, the inheritance law, and healthcare for senior citizens. All trainings provided free-of-charge.
Retirees Farewell sessions for retirees providing knowledge on different issues, such as healthcare, financial planning and management, welfare and benefits, types of tax payments, etc. There is also Organizational Support Program for staff in difficult circumstances, such as those facing health issues etc.

Performance Assessment

Performance Management System: PMS has been used in employees' performance management process to support ongoing good performance. Management and all employee level have to set individual KPIs that align with business strategy and enhance engagement through 6 aspects according to the balance scorecard as follows. 

  • Product & Service Outcomes
  • Customer-Focused Outcomes
  • Financial & Market Outcomes
  • Workforce-Focused Outcomes
  • Process Effectiveness Outcomes Leadership Outcomes

After setting corporate strategy plan, PTT assesses individual and business unit performance using the COACH application at least twice a year. A mid-year performance review is conducted during the 2nd quarter, and during the 4th quarter; an annual performance assessment is carried out covering issues of planning, progress monitoring and employee development to ensure that employees can achieve their targets in line with the vision, mission, and corporate strategy of the organization.

Human Capital Development

Career development is carried out in conjunction with knowledge management at PTT, in order to develop employee capacity and build the necessary skills to increase business competitiveness for the present and future. Career management is utilized as a mechanism for career advancement in each position, and covers the areas of employee competency, knowledge, experience, and personal attributes, to ensure that employees have a clearly defined career path and are motivated to continue pursuing individual development by specifying the individual development plans. PTT encourages its employees to apply new skills and knowledge derived from training using the principle of 10/20/70, which is closely linked to the career management system. Through this system an employee will gain 10% of knowledge and skills from a formal learning process, 20% from coaching and feedback from supervisors or mentors, and the remaining 70% from project assignment or on-the-job-training (OJT), as well as through sharing of knowledge and skills with others.

The Career Management System is a system used for planning employee development in terms of building capabilities, technical skills, and career growth. At the employee level, this is managed by the Career Advisor and Human Resource Committee, while the Executive level is managed by the Human Resource Group Alignment and Coordination Management Committee, and PTT Management Committee. Supervisors and employees are jointly responsible for preparing Individual Development Plans (IDPs) to ensure employee growth and career advancement.

In terms of succession planning for executives and leadership positions, PTT categorizes candidates into the potential director pool (SEVP Pool, EVP Pool and VP Pool) and potential employee pool (DM Pool) which are supervised by the following committees:  

  • SEVP Pool by PTT Human Resource Management
  • EVP Pool by PTT Human Resource Management
  • VP Pool by Career Advisor Committee
  • DM Pool by Career Advisor Committee

PTT analyzed the Group's needs in a 5-year timeframe, and selects employees with high capacity accordingly. PTT creates an individual development plan, sets targets and goals. This facilitates their readiness prior to being appointed in key positions. Furthermore, there are scholarships provided to employees whose interests aligned with PTT's strategy.

PTT prioritizes human capital development at all levels through PTT Leadership and Learning Institute (PLLI, promoting individual development and learning through core courses. These comprise Leadership Development Program and Core Program, including knowledge and capacity training through Functional Program. The arrangement supports PTT's business, both presently and forthcoming, by focusing on integrating various learning forms suitable to the learners according to Adult Learning. The aim is to create an environment that facilitates Learning and Sharing Experience. This includes generational knowledge transition, hands-on practice, and case study-based learning. Presently, PLLI also utilizes digital tools to support employeeslearning outside the classrooms continuously by shifting the employee development model to Virtual Classrooms. This measure allows a means whereby employees can participate, in addition to exchange knowledge, concepts and experiences with speakers in Real-Time through VDO Conference via PTT LMS system registration. Currently, a total of 14 training courses in the Virtual Classroom format are available. PLLI also supports employee self-learning in other forms and acts as a channel for personal development, including E-learning which provides Organizational Knowledge content. PTT's Online Learning resources comprise of selected external courses in Business, Technology, Soft Skill and Lifestyle in addition to more than 100 PTT E-Library courses (E-Book, E-Magazine, Magazine, Book). These resources enable employees to search, reserve, borrow and return books and magazine through the system. Furthermore, employees can read general books, magazines, and advice books from compulsory courses in the electronic format and through Podcasts, an online platform with audio programs that provide knowledge in various fields. In 2020, 3,276 people have utilized this outside-the-classroom learning system; a number accounting for 93 percent of the total workforce.   

Curriculum Structure of the PTT Leadership and Learning Institute





Employee Engagement

PTT is concerned with employees' expectation. Hence, the annual employee engagement and satisfaction survey is part of PTT's commitment to meet employee expectations, through both quantitative and qualitative means. The survey methods include field research, in-depth interviews with executives, meetings with employee groups on various human resource issues, including turnover rate and grievances. This ascertains understanding and expectation of diverse employees in each group. Assessment results is then analyzed to improve engagement and satisfaction approach for crucial business results.

In 2020, PTT reviewed the PTT Engagement Model and modified the questionnaire to include 35 questions instead of 90 questions. The new questions highlights differentiatorsof employeesengagement scores. This was the dataset which has the most diverse and available comparisons available with the reason being that majority of companies use satisfaction measurement in surveys and analysis. PTT thus develops work plan to elevate employeesengagement and satisfaction on relevant factors, as well as improving human capital development process. PTT reviews PTT Engagement Model regularly to ensure responsiveness with the changing social context and preserve effectiveness. Furthermore, SPIRIT Survey is also combined with the Engagement Survey to survey corporate culture in one-go; this is because corporate culture is another factor important to employeesengagement.

Employee engagementUnit 2017 2018 2019 2020Target 2020
Employee engagement

% of actively engaged employees

70 71 78 80 80
Data coverage % of total employees 99 94 91 84

Employees’ Rights 

PTT has a human resource management policy in place that respects human rights, labor rights and fair treatment in accordance with the UN "Protect, Respect and Remedy" Framework for Business and Human Rights 2011, the International Labor Organization (ILO), and the OECD Guidelines for Multinational Enterprises. Emphasis is given to work life balance, by promoting employeesquality of life at work which focuses on security, safety, and good work environment. There are clear objectives and key performance indicators to improve various factors in the working environment in a tangibly manner. PTT provides various communication channels whereby employees have the rights to access the company's human resource management information including policies, rules and regulations, labor announcements, changes in organization, benefits, privileges, employee relationship promoting activities, crisis guideline, and other relevant information via internet, email, or through communication managers. Furthermore, there are also systematic and transparency grievance mechanisms. These mechanisms provide an open channel for grievance, and communication to all employee levels and ensure that the complainants are protected against reconciliation, threats or cause negative effects at work. PTT has also developed mitigation measures and mechanism to prevent recurrence.

 Living wage

PTT considers employee compensation at least equivalent to the living wage. The compensation covers the basic human needs enhancing dignity living and having better life for both employees and their families that enough for appropriate saving. PTT regularly reviews employee compensation. The negotiation process can be done through the State Enterprise Employee Union of PTT Public Company Limited with the corporate relationship committee responsible for handling complaints, and expectation of employees. The State Enterprise Employee Union meeting is held once a month and the minute of meeting is published to all employees. Moreover, the annual results of employee engagement and satisfaction survey have been used as part of the consideration for various compensation. PTT’s compensation comprises of;

1. Salary

PTT considers employee salary rate that is enough for living for both employees and families that enhancing dignity living and having for appropriate saving. The entrance salary rate and salary structure for each level are annually considered to comparable with the leading business in Oil & Gas sector in Thailand and in line with the employee’s obligations. When it was found that PTT's salary structure was lower than that specified policy, it will propose to PTT's Board of Directors to reconsider in order to remain at a comparable level and fair to all employees. The employee's salary is paid once a month on the 28th while the increasing of annual salary is approved once a year by PTT's Board of Directors that considered the rates of leading companies in Thailand and economic conditions affecting on the living wage adjustment. The increasing of salary of each employee is different considering from the competence and performance of each employee expressed in duties and responsibilities assigned. The minimum salary increasing is higher than the inflation rate affecting on the spending ability of employees and the salary may increase during the year if the employee has promoted a higher level in order to reward employees for higher duties and positions.

2. Welfare & Benefit

In addition to salary, PTT also provides other welfare for its employees with the objective to strengthen the livelihood stability and cover the human needs of the employees and their families which the majority of employees are unable to obtain on their own salary and the government has not yet sufficient provided. For Oil & Gas business groups, including leading business groups, they provide a welfare for their employees such as medical expenses, both of which are health insurance and medical service centre in workplace. PTT’s employees and their families can use the medical service without any expenses. Moreover, PTT provides an annual health check up and vaccination as needed. PTT provides loan welfare to alleviate distress for employees, encouraging employees saving in preparation for emergencies and for quality of retirement by providing a provident fund and savings cooperative funds that offer various types of savings plans for individually. In case of working in other provinces, employees will receive additional compensation for the difficulties and costs of relocation from their families and accommodation including daily living wage. PTT has provided PTT residences in some operational areas. For the other areas, employees will receive a rental fee which is enough for self-reliance accommodation. For employees performing work offshore, they will also receive additional compensation. While employees working aboard, PTT provide welfare and benefits taking into account the appropriateness of the terrain, weather, society, environment, living wage, etc. of that country so that employees including their families can live in that country with dignity and having a good quality of life such as additional income as align with the Cost of Living Adjustment Index (COLA Index) to provide employees with enough money to spend in that country, to rent the accommodation in the city and support in case where the employee has a spouse and children to stay. There is a utility cost support in order to avoid the burden of utilities in foreign countries that may differ from those in Thailand. Moreover, there is a child education allowance. PTT is determined the welfare and benefit rate by the survey results obtained by leading consultants in the world. Hence, the rate is international and comparable to the rate of leading businesses provide to their employees.

By enhancing the special assignment for employees or to compensate for holiday and vacation, PTT also offers special compensation for non-normal operations, such as overtime paid in case of receiving an order to work overtime, holiday paid in the case of receiving an order to work on a holiday, and extra paid for period workers in case of performing work that has to be done continually. If it stops, the work would be damaged. There is also extra paid for offshore operations in order to reward and motivate employees who must work in risky and inconvenience areas. Employees that have to standby are required to perform maintenance responsibility or certain types of work that employees have to prepare in the accommodation area or office in order to be ready to be called in to work when there is an interruption or an emergency, etc.

3. Bonus

In order to motivate and reward employees for their dedication to work, PTT will pay employees a bonus once a year in January of the following year. This is aligned with the PTT’s performance for that year and the bonus will be approved by the PTT’s Board of Directors. Employees may receive different bonus depend on their performance.

Grievances and Complaints 

PTT has a transparent and systematic employee grievance management mechanism which ensures confidentiality and respects human rights, with the goal of establishing appropriate understanding among employees as well as between employees and the organization. A Grievance Resolution Committee is established to deal with incidents on a case-by-case basis, with a representative from the HR department serving as one of the committee's members. Employees are able to file formal complaints to the human resources department of each business unit; directly to the employee relations division of the human resource department by internet or phone; through a Joint Consultant Committee (JCC) representative; or the State Enterprise Employees Union of PTT Public Company Limited.

PTT complies to the Royal Decree on State Enterprise (2543 B.E), setting up PTT State Enterprise Union comprising of chief executive officer and director (as PTT's Board), serving as president, followed by 9 employer and 9 employee representatives. This totals to 19 people. They are responsible in conducting the monthly review of employment conditions, benefits, and complaints presented by employee representatives. These complaints will be monitored until they are resolved.

In addition, PTT has appointed consultation committees for each PTT's operation located in different regions, such as the gas separation unit in Rayong province, Khanom gas separation unit in Nakhon Ratchasima province, and the natural gas pipeline contribution service center in Chonburi province. The members of the committee consist of the director of that operation site as chairman and employee representatives to co-consider on offers, requests, and complaints of every administrative and employee to maintain employees' life quality standard in compliance with labor law and PTT's regulation.

The Union of PTT Public Company Limited, an independent entity, plays an important role in verifying and investigating grievances with the JCC, whose responsibility is to provide an overview and ensure that the policies and guidelines are up-to-date and benefit employees. The Union's goal is to ensure that employment conditions do not fall below the minimum standard required by laws and state enterprise requirements. PTT encourages and provides opportunities for active employee participation in the Union.

Corporate Value

PTT has set SPIRIT values to establish behaviors and collaborative working approaches of the PTT Group. The SPIRIT comprises of S: Synergy, P: Performance Excellence, I: Innovation, R: Responsibility for Society, I: Integrity & Ethics, T: Trust & Respect. The 6 SPIRIT values is the crucial foundation that reinforces PTT Groups Management and employees to be ethical, talented and responsible both for PTT and for external society.


In the year 2020, PTT Group focused on becoming the country's energy organization which drives change in Thailand through technology and innovations in all aspects, aims to enhance the competitiveness of the country while developing society and improving the quality of life of Thai people in accordance to the concept called PTT or Powering Thailands Transformationto respond to consumer needs and stakeholder expectations. This is the main basis for working in accordance with PTT's business aspirations.

PTT has therefore developed a model for promoting SPIRIT values ​​through the appointment of SPIRIT Role Model leaders and encourages employees to follow the SPIRIT values ​​in line with PTT Group's strategies, which are:

  1. Develop work guidelines according to SPIRIT values with collaboration among all employee and Management levels. It serves as a guideline for employees to adapt to different circumstances and is communicated through modern VDO media.
  2. Disseminate knowledge of senior management in successful work operations, whereby SPIRIT was applied, to executives and employees for learning purposes and for application to increase work efficiency. The training courses are organized by the PTT Group Leadership Development and Learning Institute or PTT Leadership and Learning Institute (PLLI).
  3. Develop learning SPIRIT values ​​through Micro-Learning videos which offer concise and easy to understand learning methods.
  4. Develop SPIRIT Gamification system to improve communication channels and encourage employees, particularly Generation Y (Gen Y) employees, to demonstrate actions according to the values. Data collection on how employees adhere to SPIRIT value have also been conducted.
  5. Promote innovation values ​​to enable and inspire employees to continuously create organizational innovations, such as the SPIRIT Inspiration Talk: Agile Culture, etc.
  6. Continuously promote Integrity & Ethics values ​​in line with GRC drive, such as taking off lessons of disciplinary offenses that have occurred, the dissemination to employees in the organization (GRC Lesson Learned) and videos promoting Integrity & Ethics under 'Goodness starts with us'.

Furthermore, PTT has also instilled corporate value for PTT Groups employees to ensure consistent actions. This was achieved through PTT Groups management approach (PTT Group Way of Conduct), which ensures consistency in PTT Groups business directions, strategy, decisions and management. This initiative results in PTT Group achieving sustainable growth and success in building responsible and ethical talents.

Knowledge Management

At PTT, knowledge management covers various learning aspects such as personal learning, small group learning, and community of practice for practical organizational wisdom. PTT Group KM Committee is responsible for impelling knowledge management though people process and technology management and upgrading and sharing best practices for PTT Group's competitive excellence. The committee will provide knowledge management progress updates to the PTT Group management committee every year in terms of obtained feedbacks, comments, and advices. The suggestions are used in implementing and supporting PTT's employees in properly applying knowledge in addition to various other advances which leads to business development.

PTT Chief Executive Office and Managing Director provide the policies to the KM Committee for achieving targets and provide advice in terms of vision and targets, which are revised at least once a year. Knowledge Management, a tool for creating a culture of sharing and exchanging knowledge amongst PTT Group's employees, enables increased knowledge and creativity in every department. This tool is truly about creating innovation and additions to PTT Group. Knowledge Management is organized through 3 main mechanisms, as follows.

• People: Develop personnel for continuous self-learning and knowledge exchange habit
• Process: Develop knowledge management system to build systematic process in exchange, storing, applying and extrapolating knowledge. There are PTT Group’s reviews of Knowledge Theme to ensure alignment with strategy and business operations, both present (Do Now) and future (Decide Now / Design Now). The latter includes New-S Curve and promotion of digitalization to support important changing circumstances, as well as responding expectations of all stakeholder groups.

Technology: Support the use of information technology in storage
and seeking information to increase efficiency in knowledge access, promptly and conveniently. This was achieved through improvement of PTT Group Knowledge Management Space or PTT Group KM SPACE so that it is more modern and more responsive to users.

In 2020, 3 main mechanisms in operation are as follows:

PeopleProcessTechnology
  • SPIRIT-KM Agent Discovery workshop
  • SPIRIT-KM Agent Site visit
  • SPIRIT-KM Agent Retrospect workshop
  • The Excellence CoP Recognition Program
  • KM Internal Assessor
  • Capability Build Up Program
  • KM Way of Conduct
  • Core Knowledge revisit
  • KM Maturity Assessment
  • Committee meeting & progress report
  • KM SPACE




Performance

Progress against Plan

TargetsUnits201820192020
PerformancePerformanceTarget
Performance
Employee recruitment Percentage 94 70 80 71
Preparation of succession plans for executive positions Percentage per succession position 100 100 95 100

Recruitment

In 2018, PTT has improved e-Recruitment to enhance database management and the candidates' profile data storage efficiency. The improvements include monitoring the progress of each requested position, expansion capacity to carry PTT Group companies and notifications system for applications to view their application status. PTT also improved the process of Onboarding Program resulting in new employee's quick adjustment on organization culture and response to PTT expectations.

In 2019, PTT used feedback from users to further develop and increase e-Recruit system efficiency by streamlining the system and fully linking applicant database. In addition, the PTT Game-Based Aptitude Test, which initiated in July 2019, has been upgraded to better measure candidate potential in intelligence, capability and technology literacy.

In 2020, the continuously monitored testing system has been further improved in accordance to usage experience. The system development plans in place enable clearer reflectance of examination results. Furthermore, the development of data warehouses and operating systems increase efficiency for work teams.

Internal positions filled (%)

Year2017201820192020
Percentage of open positions filled by internal candidates (internal hires)
84.52 91.11 95.60 96.93


Employee Turnover

Turnover RateUnit2017201820192020
Total employee turnover rate % 4.22 3.74 3.83 3.34
Total employee turnover rate by gender
Male % 2.54 2.37 2.35 1.88
Female % 1.69 1.37 1.48 1.45
Total employee turnover rate by age
Over 50 years old % 2.71 2.10 2.40 2.60
30-50 years old % 0.77 1.13 0.92 0.57
Below 30 years old % 0.75 0.51 0.50 0.17

Attraction

2020 Performance on Attraction, as follows:

TopicProgress
Standardization of criteria for appointment and promotion throughout PTT Employee Engagement score as of 2020 in Career Opportunity is 71%, which ranks 3rd from 15 topics  
Adjustment of pay rise policy for promoted employees Employee Engagement score as of 2020 in Rewards & Recognition increased 1% (from 68% to 69%)

Performance Assessment

PTT's employee needs to identify individual performance indicator annually in the performance evaluation system. The indicators should relate to organization goals and objectives. PTT assigned managers to monitor employees' performance at least 2 times per year and communicated with employee constantly to ensure the progress and targets are achieved. Based on the manager's evaluation, all employees have achieved their goals and plans.

TopicsUnitPerformance
2017201820192020
Indicator Identification % of employees who are required
for a performance evaluation
100 100 100 100
Performance Evaluation 100 100 100 100

Employee Capacity Development 

All employees must assess their success profiles and develop their Individual Development Plans (IDP), consisting of training (10), teaching (20), and application (70). The IDP, established by the PTT Leadership and Learning Institute (PLLI), guides employee growth and capacity development at all levels from entry to management, and provides courses including Orientation, Core Courses, management training courses, and courses that align with the company's strategy. In 2019 and 2020, 100% of executives and employees from the PTT potential pool developed IDPs, which are also a part of the career management process. At the management level, IDPs enable PTT to have a sufficient supply of qualified management staff to meet organizational demand with a current target ratio of Demand 1: Supply 3.

Employee Innovation Promotion

In order to drive organizational competitiveness, increase environmental resilience and operate under rapidly changing business conditions, PTT promotes and creates an atmosphere for innovation development, which is one of PTT's SPIRIT values and is in line with the government's Thailand 4.0 policy to develop business opportunities for the country. PTT sets policies, strategies and business directions in order to focus on innovation while also encouraging all employees to show initiative. Such emboldening initiatives include creative outside-the-box thinking work culture, presentations and change, along with developing new capabilities necessary to support business expansion into new markets in the future and the encouragement of PTT Group employees to disseminate and expand their knowledge among each other. In 2020, the Innovation Institute has launched the Internal Hackathon, an innovative business incubation program which seeks opportunities to create new businesses from innovations that meet the real needs of customers. After the COVID-19 epidemic, the virtual workshop model has been utilized and 17 teams participated in the collaboration of various departments within the innovation institute. The winning team will be encouraged to concretely build upon innovative ideas in the business.

SPIRIT Commitment Score in Terms of Innovation


Year2017201820192020
Performance (%) 63 65 68 71

Remark: There are no individual behavior goals.


Employee Engagement

PTT has set a target for Employee Engagement and has designated it as a Corporate KPI which has been deployed to all top managers. After earnestly improving and monitoring employee engagement progress, the employee engagement score in 2019 was 78%, which is an increase of 7% from the previous year while the corresponding overall employee engagement score globally and, in the Asia-Pacific region remains at only 77%. In 2020, the employee engagement score was 80%, which is an increase of 2% from the previous year while the corresponding overall employee engagement score globally and, in the Asia-Pacific region remains at only 78%.

Labour Practices

In 2020, a total of 2,153 employees or equivalent to 61.4% of all employees became part of PTT Union.

Diversity

In recruiting employees, PTT offers equal opportunities to everyone regardless of race, religion, gender, age, social status and educational background in order to recruit diverse human capital and correspond to the needs of the organization and of different customers. PTT benefits from its staff's diversified cultural perspectives and the variety of employees' capabilities, which serve to broaden the knowledge and perspectives of staff in the teams and foster creativity to the benefits of PTT and the wider society.

Share of Women in Workforce

Diversity IndicatorPercentagePublic Target2 (%)
Share of women in total workforce  38.51 23
Target year: 2020
Share of women in all management1 positions 41.35 23
Target year:2020
Share of women in junior management positions 41.55 23
Target year:2020
Share of women in top management positions 29.52 23
Target year:2020
Share of women in management positions in revenue-generating functions as % of all such managers 28.07 23
Target year:2020
Share of women in Science, Technology, Engineering, and Mathematics (STEM) -related positions 18.44 23
Target year:2020

Remarks:

1. Management refers to Vice President level or equivalence or a higher position.
2. Target based on the share of women employees in the energy industry.



Average Female/Male Remuneration Ratio in 2020

Employee LevelFemale to Male RatioAverage Women Salary (Baht)Average Men Salary (Baht)
Executive level (base salary only) 0.9725 5,116,036.67 5,263,084.67
Management level (base salary only) 1.0710 7,253,497.84 7,451,518.34
Management level (base salary + other cash incentives) 1.0710 2,110,491.43 1,914,018.44
Non-management level 1.0973 2,991,661.99 2,711,749.00

Remarks:

Management refers to Vice President level or equivalence or a higher position.


Remuneration difference for Female/Male employee in 2020

IndicatorRemuneration difference for Female/Male employees (Percentage)
Mean gender pay gap -8
Median gender pay gap -14
Mean bonus gap -8
Median bonus gap -12


Workforce Breakdown by Ethnicity (Religion)

Ethnicity (Religion)Percentage in total workforcePercentage in all management positions,
including junior, middle and senior management
Buddhism 97.1 98.0
Christianity 1.7 1.5
Islam 0.9 0.4
Other 0.3 0.1

Complaints and Grievances

PTT strictly adheres to relevant labor laws and regulations in its governance and operations. This claim is evident by the alignment between PTT's internal regulations, requirements, and practice approaches related to human resources, applicable laws and regulations. This practice not only supports good organizational relations, but also results in zero complaints and legal cases on labor issues.

Corruption Cases


Breaches in Business Compliance

Remark: Five categories of Code of Conduct violations in 2020 were caused by the following offenses:

  1. Violation of statutes, regulations, rules or orders of PTT or supervisors under the law which may cause damage towards PTT.
  2. Violation, avoidance, disobedience or ignorance of policies, laws, regulations, orders and labor contracts or the announcement of PTT, including lawful order of the supervisor.
  3. Inform or report false information or concealment of facts in reports to the supervisor.
  4. Commit various actions with negligence or without the exercise of caution which caused damage towards PTT and has already been implemented.

Knowledge Management

PTT has developed assessment tools to measure the strength of Knowledge Management Operations (KM Maturity Assessment Survey) within the PTT Group. This tool assesses the competence of knowledge management in various dimensions and uses the assessment results to improve knowledge management efficiency. This initiative enables the use of the knowledge base in business operations and therefore leads to gains in sustainable competitive advantage while solidifying PTT as a learning organization.  

Knowledge Management (KM) Assessment Score

SPIRIT Commitment Score