Safety is the lifeline of our development.
We place utmost priority on safety, rigorously observing laws and regulations such as the Work Safety Law of the People's Republic of China, the Fire Control Law of the People's Republic of China, and the Law of the People's Republic of China on Prevention and Control of Occupational Diseases. We have updated the COSCO SHIPPING Development Regulations on Workplace Safety and Environmental Protection Performance Evaluation, and drawn up the 2023 COSCO SHIPPING Development Workplace Safety Inspection Plan. We are committed to safe development to support the Company's high-quality growth.
Meanwhile, the Company continuously optimizes its safety governance framework. The Workplace Safety and Environmental Protection Committee has been established to oversee occupational health and safety efforts across all subsidiaries. The Chairman, Party Secretary, and General Manager serve as directors of the committee, spearheading the Company's safety initiatives and ensuring the effective implementation of safety practices.
As the forefront of our container manufacturing operations, Shanghai Universal's container factories give top priority to occupational health and safety management and diligently enforce a company-wide safety accountability system to pave the way for our high-quality development.
The headquarters and all six container factories of Shanghai Universal have achieved certification of the ISO 45001 Occupational Health and Safety Management System. In addition, Shanghai Universal consistently monitors its safety performance and conducts periodic audits. In 2023, the company engaged PricewaterhouseCoopers Management Consulting (Shanghai) Limited and ShineWing Certified Public Accountants (special general partnership) to perform a self-evaluation of internal controls at its headquarters and the six container factories. This evaluation focused on their compliance with safety, environmental protection, and occupational health regulations, with the goal of further improving safety performance management. No safety or health hazards were found during the reporting period.
| Headquarters & related business segments | Fire, suspicious objects or unattended packages, natural disasters, etc. |
| Container manufacturing | VOCs, dust, noise, fire, explosion, falling objects, falling accidents, etc. |
The Company always put safety first, placing a consistent emphasis on safety precautions and continuously improving our safety management practices. To this end, Shanghai Universal's headquarters has established an annual safety inspection plan and conducts regular on-site inspections. It has performed multiple inspections of these container factories and offered recommendations for improvements. The headquarters also closely monitored and ensured timely rectification to effectively eliminate potential risks and hazards.
◆ Targeted remediation in critical areas
We performed risk screening and held safety-focused meetings at DFIC Lianyungang, which handles hazardous chemicals, and established control requirements for any identified risks. Furthermore, we conducted investigations and engaged third-party services to detect and assess safety risks along the production lines at all container factories, aiming to maintain proper and effective control of flammable dust within the pipelines.
◆ Safety measures during critical periods
We enforced stringent workplace safety protocols during major holidays, important conferences, and other critical times. We implemented thorough and meticulous flood prevention measures. We also thoroughly analyzed the workplace safety conditions to promptly address any identified issues and prepared comprehensive emergency plans to eliminate risks.
◆ Routine practical drills
Throughout the year, we conducted three comprehensive joint drills. These included emergency exercises for ship safety, immediate emergency response in battery warehouses, and fire drills in cyclopentane tank areas. In observance of "Workplace Safety Month" and "Fire Awareness Month," we led a series of safety promotion activities aimed at heightening awareness of safety practices. Nearly 150 emergency drills were carried out across various entities.
◆ Digital transformation
We continued to improve workplace safety through digital transformation. At DFIC Qidong, we equipped our smart manufacturing workshops and storage facilities with cutting-edge fire prevention systems, including automatic fire alarms, flammable gas monitoring, and intelligent patrol features. Evaluations of smart fire prevention measures at the other five container factories were concluded, laying the groundwork for substantial improvements in fire safety management efficiency.
The number and rate of work-related fatalities was 0.
The number of lost workdays due to work-related injuries was 0.
The employee Lost Time Injury Frequency Rate (LTIFR), which measures the number of lost-time injuries per million hours worked, was 0.
100% of employees received health and safety training.
Outsourced employees are the mainstay in container manufacturing, to whom we apply the same occupational health and safety management system and guarantees for regular employees.
The aim is to enhance the safety oversight of contractors and external construction teams. In addition, we arrange annual health examinations for outsourced employees and maintain detailed occupational health records to safeguard against the risks of occupational diseases.
Every year, the China Classification Society (CCS) performs an audit of occupational health and safety systems at our factories, including an assessment of health and safety management for outsourced employees to ensure our full compliance with all mandatory safety protocols.
In accordance with the Interim Measures for Work Safety Supervision and Management of Central SOEs, the Detailed Administrative Rules for Work Safety Assessment Management of COSCO SHIPPING, and other regimes, we have comprehensively reviewed the list of safety responsibilities and continued to assess safety performance regarding both the process and the result. The assessment results are considered in the performance assessment of the personnel in charge of work safety and occupational health management in each container factory, to motivate them to fulfill their responsibilities and improve the Company’s safety performance.
From 2019 to 2021, the Company registered zero work-related fatalities, zero accidents that caused serious injuries or worse results, and no increase in the number of employees suffering from occupational diseases.
