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Supporting and engaging our people 

Employees are critical to the delivery of AGL’s business strategy. 

A safe, engaged and high performance working environment enables employees to contribute to the delivery of AGL’s strategic objectives. 

AGL is building a diverse workforce and an inclusive workplace culture. Embracing and valuing diversity and inclusion leads to a better understanding of, and engagement with, the people with whom we work, the customers we serve and the communities in which we work. 

## Employee Engagement 

The employee engagement score measures the degree to which employees are committed to the company for which they work. 

AGL set a target for 2011 to increase the overall engagement score to at least 65% (known as the ‘best employer’ zone). AGL’s 2011 engagement score decreased by eight percentage points compared to 2010. 

The 2011 Engagement Survey was completed following a period of significant organisational change that was undertaken to position AGL for long-term profitable growth. Regrettably, the organisational changes resulted in a number of positions being made redundant across the business. Employee engagement fell in some parts of the business most affected by the changes. 

Engagement scores declined in Merchant Energy and Upstream Gas. However, despite the overall decrease, Retail Energy sustained engagement levels in a number of areas. 

AGL is confident that action plans to be implemented in FY2012 will lead to a recovery in AGL’s employee engagement. 

## Organisational Safety 

AGL’s primary measure of safety performance is Total Injury Frequency Rate (TIFR): the number of lost time and medical treatment injuries experienced for every million hours of employee work time. 

Disappointingly, after a 55% improvement in TIFR to 2.7 in FY2010 from 6.0 the preceding year, TIFR increased to 5.0 in FY2011. There was an increase in the number of injuries from falls on flat surfaces and in injuries sustained by employees over the age of 45 years. 

As well as addressing emerging challenges posed by an aging workforce, AGL has also identified a need to align new business acquisitions to AGL’s safety expectations. There has been a reduction in the number of psychological and stress- related injuries compared to previous years after a recent focus on employee wellbeing and mental health. 

Although our performance did not improve in this area, safety is and will continue to be a core priority for AGL. The FY2012 target has been set at a level that will support achievement of our long- term objective of zero injuries. 

AGL sets annual HSE Action Plans in each business unit. In FY2011, 100% of Action Plan commitments were met. 

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1 Engagement survey undertaken during June and July 2011. 

