Kubanenergo pays great attention to social policy taking into account the interests of Company employees.

The Company voluntarily and proactively takes on the social obligations to its employees in accordance with the Sectoral Collective Agreement in the Electrical Energy Industry in the Russian Federation for 2009-2011, collective agreements and other local regulations.

Demanding the highest output and improvements in labour efficiency from each employee, the Company recognises the need to provide employees with additional benefits and guarantees above those set by law, financing them from the profits of the Company.

As part of the benefits package Company employees are provided with material assistance in emergencies, material assistance in relation to a baby being born, a marriage, a funeral for a close relative, material assistance in the event an employee is killed, on retirement, remuneration of pre-school child care costs, partial remuneration of expenditure on electricity to the lowest paid and scarce categories of employee, as well as other payments set out by collective agreements.

As a socially responsible company Kubanenergo supports the Company’s veterans and pensioners. Kubanenergo pensioners who no longer work receive monthly financial assistance.

To develop and support good life style choices by its employees the Company carries out large scale physical education works and develops participant sports among employees, providing them with access to sporting infrastructure and organising training sessions and competitions.

The Company shows its support to employees in improving their living conditions by providing financial assistance when a mortgage is taken out and paying part of the interest on loans.

Kubanenergo finances and develops programmes for non-state pension schemes for employees based on the contract with the Non-State Pension Fund of the Electrical Energy Industry. Despite the complicated financial condition and reduction in expenditure on non-state pension schemes for employees, the Company continues to actively attract employees to the process of managing pension contributions.

The Company does not forget its veterans and pensions, encouraging them to take part in Victory Day, Persons with Disabilities and Elderly Day, Electrical Sector Workers’ Day and New Year, providing them with financial assistance and making payments to veterans.

Supporting the strong internal corporate culture, the Company encourages all staff to celebrate Defender of the Fatherland Day, International Women’s Day, International Children’s Day and events in honour of those who took part in the Great Patriotic War.

For children of the Company’s employees the following competitions and events are held every year:

• the artistic competitions Elektrosha Searches for Talent and Children Draw the Energy Industry;
• New Year’s matinees.

The Company pays particular attention to preparing for and celebration of the professional feast day — Electrical Sector Workers’ Day, timing awards ceremonies for its best worker to coincide with it. In 2011 more than 190 Kubanenergo employees received awards, titles and citations from the Ministry for Energy of Russia, the the All Russia Sectoral Union of Employers in Electrical Energy and the Administration of Krasnodar Region, as well as the State Council of the Republic of Adegeya:

• two Company employees were awarded the honourary title Distinguished Electrical Worker of the Russian Federation;
• one Kubanenergo employee was awarded the distinguished title Honourary Electrical Worker;
• two were awarded the title Electricity Sector Veteran;
• eight received the title Honoured Kuban Fuel and Energy Sector Worker.

In addition, the work of more than 100 Company employees was recognised by departmental citations and letters.

Kubanenergo aims to develop social partnership, increase social security for employees and create a developmentally promising Company as a whole.