We protect employees' interests and encourage their creativity with a reasonable remuneration system and an advantageous welfare and insurance system. We recruit various talents from across the world through a transparent, fair and competitive recruitment mechanism.

With the expansion of its overseas operations, CNPC adheres to a localized employment policy. We absorb advanced cultures from around the world in order to foster respect and harmony among employees and form an open, tolerant and innovative corporate culture. By the end of 2010, CNPC employs nearly 80,000 foreign employees for its overseas projects. Where CNPC has operations in Africa, the Middle East, Asia-Pacific, Central Asia and America, we provide equal opportunities and fair appraisals to all employees and promote foreign employees to senior management. In Sudan, Kazakhstan and Indonesia, more than 90% of employees are local hires.

Rights and interests of employees

In conformity with relevant laws and regulations, CNPC has established a human resources management system which treats all employees equally. Besides, we continue to reform the remuneration, welfare and insurance system to better adapt to social progress and our company's development. We have established a technical and skills subsidy system for national and corporate level experts, senior technicians and technicians, and a remuneration incentive mechanism for frontline staff. We provide comprehensive insurance for employees covering endowment, unemployment, medicare, work injury and maternity insurance through a multi-level system of social insurance and corporate pensions.

We attach importance to employee communication. We have established various levels of trade unions, through which we listen to employees' opinions and protect their rights to know, express, participate, and supervise.

We strictly comply with local laws and regulations and adhere to an equal and nondiscriminatory employment policy in every country and region. Child labor, forced labor and discrimination in any form are strictly forbidden throughout the company. We promote the employment of women and minorities and make efforts to increase local employment opportunities.

Awards and incentives

CNPC has always attached importance to the cultivation of skills. We have established a well-regulated skills appraisal system and formed a two-level (corporate level and subsidiary level) award and incentive system. We offer both attractive material and spiritual rewards to employees.

We award and encourage outstanding employees in various ways such as higher salaries, paid vacations and promotion. We adopt a position and skill salary-based remuneration system and pay special attention to staff in grassroots units and key positions, and talents in terms of salary distribution. In addition, we steadily enhance the salary standard for outdoor frontier workers and the allowance standard for employees in key positions and those working in difficult conditions.

In 2010, we further improved the remuneration, welfare and insurance system and implemented EVA and performance assessment throughout the company. Remuneration continued to be weighted towards field operation and key posts. Subsidies were increased steadily for posts that require high technical skills and working at night. A unified enterprise annuity management system was established, with the management of enterprise annuity and the transitional annuity of CNPC being improved, so that employee pensions can gradually rise. We also strengthened the implementation of supplementary medical insurance which covers all employees in order to ease the burden of their healthcare costs.

Occupational health

Our priority is the health of our workers and the creation of a sound working environment. The health of grassroots and frontline employees is of great concern to CNPC. Regarding the characteristics of petroleum and petrochemical operations like occupational hazards, a harsh environment, work mobility and labor intensity, we have strengthened health and disease monitoring and established occupational hygiene archives and employee health files. We have also made great efforts to provide employees with a better working environment and improved safety conditions.

In 2008, 93% of our employees were put through occupational risk checks, and 93% of hazardous workplaces were assessed for risks.