IGO SUSTAINABILITY REPORT 2020

SAFETY, HEALTH AND WELLBEING IGO has a culture of care. We strive to provide a safe place of work, a safe system of work and to create a culture centered on the safety and wellbeing of our people. It is with sadness we note the death of one of our contractors' employees at our Nova Operation in September 2019. We offer our condolences to this person’s family, friends and colleagues. As the accident is still subject to review by the Western Australian Department of Mines, Industry Regulation and Safety, and may be subject to legal proceedings in the future, IGO is unable to provide insight into the circumstances of the accident. Notwithstanding this, this tragedy has served to redouble our resolve to improve the safety of our workplaces, the efficacy of our systems of work, and our efforts to support a culture focused on the safety and wellbeing of our people. Beyond this tragedy, our people, a term we use in reference to both IGO employees and contractors, also suffered a total of 27 reportable workplace injuries. This is the worst result we have had in many years. Clearly this outcome is unacceptable. In FY20, IGO experienced 26 ‘serious and high potential’ incidents in comparison to 14 recorded in FY19. Although each of these events resulted in either a minor injury or no injury, we recognise the potential outcome and have made changes to our business processes to minimise our people’s exposure to the hazards involved. Review of our systems and culture In response to these outcomes, IGO is in the process of completing a range of improvement activities. As a central element of our safety system we investigate incidents and then look for patterns or trends in the accumulated data. In FY20, we completed a review of both the incident report data and the data associated with the four preceding years. This work was completed by an independent third-party, Fusable (www.fusable.co ). While the work provided many useful insights, it did not identify any significant common causal factors. In FY20, we again completed our workforce Engagement Survey to gauge sentiment regarding, among other issues, our management of safety and safety culture. The results revealed that most of our people continue to feel supported by their supervisors and management and are empowered to take responsibility for their own safety and that of their workmates. Notwithstanding this positive feedback, we are mindful of the limitations of self-assessment. During the year we also engaged an independent safety expert, Churchill Consulting (www.churchill.com.au) , to complete a review of our safety culture and systems. This process, which involved interviewingmore than 10 per cent of our workforce, revealed both strengths and weaknesses in our approach. It was noted that our people: • believe care is a real IGO value; • have a high level of trust in each other and management; • are motivated to ‘get the job done’; • are receptive to feedback and actively pursue business improvement; and • have a strong incident and hazard reporting culture. However, it was also noted that IGO needs renewed focus on: • the visibility of our leaders ‘on the job’; • long-term safety risk reduction and process safety; • the management of critical risks and their controls; • consistent organisational discipline regarding adherence to safety procedures; and • the direct mentoring and on-the- job coaching of our people in good safety practice. Delivery on the FY20 Safety Improvement Plan IGO’s Safety Improvement Planning is overseen by a Safety Steering Committee comprised of representatives of IGO’s Executive Leadership Team, our operations general managers, and our senior safety professionals. The committee is responsible for the development and execution of the corporate- wide Safety Improvement Plan and providing oversight of operational Safety Improvement Plan execution. This structure is intended to bring focus to shaping IGO’s safety culture, improving the physical safety of our workplaces, and improving our systems of work. Our FY20 Safety Improvement Plan drove the following activities: • Field engagement — coaching our people on the job (see case study — Engaging Our People). • Design reviews — reviewing hazards inherent to the design of key elements of plant at Nova in respect of both operability and maintainability. • Risk management — improving our focus of the management of ‘critical controls’ — the systems or activities used to manage the most significant workplace hazards. • Documented safety systems — providing greater clarity about the performance levels expected. • Training and competence — ensuring that people know what is required of them. • Assurance — checking to make sure that everything is working and we are doing what we said we would. • Safety support — ensuring our safety professionals are focused on where they add most value. • Incident investigations — doing more to learn from when things go wrong. These activities will be continued into FY21. IGO’s safety philosophy Given FY20’s safety results, we have reassessed our safety philosophy and high-level approach and will again look to engage external expertise. While this process will be ongoing into FY21, we can make the following observations: Being an operator in the mining industry inherently brings risks due to the nature of our work. At IGO, our intention is, as a business and as individuals, to only take risks if necessary and to do so in a considered and informed way. This means we do not accept any risk where there is any elevated potential for seriously harming someone or for a fatality to occur. However, it is unrealistic to suggest that we can offer an entirely hazard-free work environment. Rather, we maintain an expectation of continuous improvement in the safety of our workplaces, the efficacy of our safety systems, and the ongoing need to deliberately shape a culture that reflects real care for the safety and wellbeing of our people. IGO deliberately seeks to shape our organisation’s culture. We recognise that culture trumps strategy and business process in determining performance outcomes. This is most pertinent for safety outcomes. IGO has refocused our safety effort on establishing a discrete set of behaviours and processes intended to define ’what good looks like’. In particular, we want our people to engage with each other ‘in the field’ in conversation about how safety can be improved and, where necessary, to intervene if some aspect of a job looks unsafe. This is a skill needed by both supervisors, managers, and front-line employees alike. Experience has demonstrated that this skill is best developed through on-the-job coaching. In FY20, IGO initiated a coaching program at our Nova Operation. The first step was to engage expert coaches to mentor a group of our supervisors. Having satisfied ourselves that these individuals have truly learnt the required skills, they in turn become our internal coaches. We call this process Field Engagement. The success or otherwise of this type of process is determined by the quality of the conversations; not just in terms of the technical insight but perhaps more importantly, the sincerity of those involved in the engagement. We already have a culture of care. We want this to translate to action. To date, we are pleased with the initial results, however, it takes time to realise the benefits of culture shaping efforts. This programwill be rolled- out throughout the Company and sustained over the coming years. ENGAGING OUR PEOPLE Emergency Response Training at Nova. EMPLOYEE SAFETY FY20 was a poor year for IGO in respect of safety outcomes. It is with sadness we note the death of one of our contractors’ employees at our Nova Operation INCREASED TRIFR 16.9 TRIFR IGO’s Total Reportable Injury Frequency Rate, significantly up from 9.6 in FY19 MANAGING RISK Continued to be a key focus for the Company in FY20 AT A GLANCE 48 — IGO SUSTAINABILITY REPORT 2020 IGO SUSTAINABILITY REPORT 2020— 49