People
development

AREA, STRATEGIC GOALS AND HIGHLIGHTS OF 2024

Target

3.4, 8.3

Annual employee survey
Target
Maintaining employee satisfaction and loyalty at
no less than 65 p.p. by 2025
Actual
75 p.p.
employee engagement
89%
of employees would recommend PhosAgro as an employer
76 p.p.
consolidated employee satisfaction and loyalty index
91%
of employees trust decisions of the Group’s management

Target

8.5, 8.8

Inclusive environment
Target

The Company strives to build an inclusive environment for disabled people, help adapt workplaces and municipal infrastructure to their needs, and employ more such people depending on business requirements

Actual
  • We organised a job fair for disabled people
  • We streamlined cooperation with employment centres to facilitate the employment of disabled people

Target

8.5, 8.8

Gender equality
Target

The Company is ready to provide all employees with opportunities for professional and career growth. This depends primarily on their competencies and personal performance

Actual
21%
of women among managers of all levels
25%
of women in the Company’s Top Talent Pool (10 out of 40)
33%
of women in the Company’s total headcount

Target

4.4

Training and evaluation
Target
Increasing average annual training hours per employee
to 123 by 2025

Promoting retraining and professional development

Investing in future talent

Actual
116.6
average annual training hours per employee
>470
hired as part of career guidance and youth engagement initiatives
RUB 325 mln
invested in employee training
>50%
of PhosAgro START participants employed by the Company were promoted and included in the talent pool

Target

8.3

Incentives and rewards
Target

Motivating the staff to increase productivity and deliver strong operating results, retaining qualified talent

Training future top managers from among internal candidates

Actual
24%
average salary increase in 2024
15%
wage indexation on 1 February 2024
>4400
mentoring relationships established in 2024

Target

3.4, 8.3,

8.8

Social benefits and employee guarantees
Target

Providing comprehensive social support to our employees with annual increase in funding for social benefits and guarantees, financial aid, and implementation of corporate social programmes

Actual
+24%
more investments in social programmes for employees
95%
satisfaction with the social benefits offered
2024 accolades

PhosAgro made it to the Top 3 best employers in Russia’s chemical industry according to HeadHunter and the Top 100 employers among the country’s majors

The highest, platinum status in the rating of best employers from Forbes

Highest scores in RBC’s employer rating

PhosAgro Engineering Centre became the leader among IT departments of the industrial sector in the All‑Russian annual rating of IT employer brands

PhosAgro received an award and special prize in the 11th “Creating the Future” National Contest for Best Employer Practices in the Socio‑humanitarian Sphere, winning the High Start nomination

PhosAgro cemented its leadership as the company with the most effective social and charitable programmes in the Russian Leader in Corporate Philanthropy competition

PhosAgro secured victory in most categories and received the Grade 1 Responsible Business Leadership national award

The Balakovo and Volkhov production facilities won the Collective Agreement As the Basis for the Protection of Social and Labour Rights competition

22 company employees received state awards

The Kirovsk plant’s team was awarded the Order for Valiant Labour

2024 ACCOLADES
Dmitry Borodich Human Resources and Social Policy Director

One of the strategic objectives of our HR policy is to support and improve the training and development system for our personnel. The Company works to ensure quality training for specialists, internal experts, and future managers. To do that, we invest in enhancing staff competence, fostering an internal talent pool, and promoting young specialists’ professional growth.

PhosAgro employees are the key to its seamless operation, successful performance, and sustainable development. Elements underpinning the Company’s HR management are professional growth and development, safe and high‑quality working conditions, a culture of equality and respect, decent benefits and remuneration. PhosAgro strives to increase the engagement and efficiency of its personnel, as well as to support and motivate employees to achieve key business goals.

To deliver on our objectives, we:

1

Develop approaches to attracting and retaining personnel

2

Design and implement development and growth programmes for employees in key positions

3

Launch management development programmes to foster a positive and effective leadership culture

4

Implement corrective measures based on the results of Growth Area, an annual employee survey

5

Improve the corporate knowledge management system and introduce courses aimed at developing personal competencies

6

Enhance mentoring and onboarding systems

7

Implement a comprehensive system of career guidance for school students and youth

8

Offer e‑learning modules on blue‑collar jobs, occupational safety, and managerial skills

Corporate HR Conference

HR managers and specialists took part in sessions dedicated to five key areas: Staffing; Evaluation, Training, and Development; Automation and HR Analytics; Remuneration and Organisational Performance Management; Corporate Social Policy. Each area had its dedicated workshops and brainstorming, with conference participants updating their knowledge of the most effective and up‑to‑date HR tools and methods with the help of leading industry experts.

In 2024, PhosAgro held its first HR conference, bringing together over 100 HR professionals from all regions where the Company operates, with a view to supporting its strategic HR management objectives. The event focused on fostering effective collaboration, enhancing participants’ professional competencies, as well as studying and disseminating best HR practices.

GRI 3‑3

We rely on a robust performance management system that covers all levels – from individual employees to the Company as a whole – to ensure PhosAgro’s sustainable growth in line with its goals.

New‑generation employees are aware of how important personal and professional growth is as it is a key to success and self‑fulfilment in the constantly changing world. High remuneration is often no longer the main incentive, with self‑fulfilment coming to the forefront if the Company invests heavily in developing the professional skills and competencies which will be in demand going forward. This is why we place a strategic emphasis on supporting our people’s drive for self‑improvement. We seek to create the right environment for them to fully unlock their potential.

The Company’s key production sites are located in the Murmansk, Vologda, Leningrad, and Saratov regions. As a major contributor to the local economy and one of the largest employers in these regions, PhosAgro has a significant positive impact on social development and welfare across its geography.

Integrated HR management framework

Board of Directors

Remuneration and Human Resources Committee

  • Supervision over the introduction and implementation of the Company’s remuneration policies and various incentive programmes
  • Performance appraisal in respect of executive bodies and key executives, including their performance against the targets set forth in the incentive programme
  • Succession planning for executive bodies and other key executives
Management

HR and Social Policy Department

  • Strategic development of HR processes
  • Development and implementation of process methodology
  • Optimisation, automation, and digitalisation of HR processes
  • Functional management of HR services in the regions
Operations

Local human resources and social policy department

  • Implementation of the Personnel Management Policy
  • Recruitment for vacant and key positions
  • Organisation and implementation of initiatives for occupational training and competency building
  • Development and management of an incentive framework
  • Social support for the Company’s employees in accordance with the collective bargaining agreement
Stakeholder engagement

PhosAgro maintains transparent communication with its employees and trade unions through a variety of traditional and digital channels, ensuring effective reach across all target audiences.

Key engagement mechanisms include:

  • joint committees, working groups, consultations with trade unions, and employee social support programmes;
  • employee opinion surveys, including satisfaction surveys regarding existing social benefits and the Company’s corporate social responsibility policies, as well as other targeted surveys;
  • open communication channels.

Open communication channels

GRI 2‑25, 2‑26

A sufficient number of diverse communication channels ensures a high level of employee awareness and provides opportunities for employees to openly share their opinions. These channels include corporate media, an intranet portal, a chatbot, a hotline, a mobile app, information boxes for requests, and social media accounts of the Company. Regular information sessions for the staff and management are among the most crucial and sought‑after communication channels.

Thanks to effective communication, transparency, and willingness to provide feedback, employee trust has significantly increased – this covers trust in their immediate supervisors, the top management of the Group’s facilities, and the Group as a whole.

HR management principles

Relations between the Company and its employees are governed by the Russian Labour Code.

2023 saw a new version of the UK Modern Slavery Act Transparency Statement approved, which discloses contributions towards the UN SDGs and the Company’s social projects to combat violations of human rights. Over the last three years, our employees have received more than 28,000 additional training courses in human rights and corporate ethics.

PhosAgro’s HR management policies focus on:
  • organisational change management;
  • personnel attraction and recruitment;
  • personnel training and development;
  • incentives and rewards;
  • social benefits;
  • corporate communication;
  • working hours and leisure;
  • respect for human rights and non‑discrimination.

GRI 2‑25, 2‑26

We negotiate collective bargaining agreements with trade unions that address issues such as working conditions and compensation for employees at each of our production sites (usually for a three‑year period, covering 100% of the employees of ApatitIn accordance with the materiality principle, this metric is presented for Apatit (Boundary 2) (Apatit is a subsidiary of PhosAgro holding its production assets). , its branches, and standalone business units).

Share of employees covered with collective bargaining agreements, %

The workforce is predominantly male, reflecting the Company’s industrial profile and the specific nature of the chemical and mining sectors. While recognising the specific nature of its operations, PhosAgro strives to maintain gender diversity across both its production and administrative functions. Based on these considerations, the Company develops its income generation strategy to ensure equal pay for equal work and comparable levels of professionalism.

PhosAgro is committed to fostering a culture of equal opportunity and embracing fair and transparent employment practices. The Company does not tolerate any form of discrimination in the workplace. All our employees have equal access to growth opportunities. A high level of professional competence, consistent performance results, and alignment with company values are the primary criteria for career progression, irrespective of gender.

The Code of Ethics

In our operations, we seek to maintain an impeccable reputation and comply with ethical business practices. PhosAgro adopted a Code of Ethics in 2014 and updated it in 2021. It applies to all employees and is the Company’s primary document that clearly defines our corporate culture, rules and regulations for collective behaviour within the Company, business and social relationships, and interactions with other stakeholders.

When agreeing and entering into contracts with external contractors, it is an imperative for us to cover arrangements and commitments related to mutual respect of human rights and compliance with the Company’s Code of Ethics.

The Code outlines our common values and underpins our success, helping us avoid unjustified risks, maintain long‑term business growth, strengthen our position in the Russian and foreign markets, and increase the Company’s value for shareholders and other stakeholders.

Recruitment

The Russian labour market entered 2024 facing a significant imbalance between supply and demand, with the shortage of skilled labour emerging as one of the economy’s primary challenges. To address this constraint and attract highly qualified employees, PhosAgro implements a comprehensive approach to recruitment. We utilise all available talent acquisition channels, including job boards, referral programmes, various HR marketing tools, and are developing automated recruitment solutions.

Given the current labour market environment, the Company continues to invest in vocational training, employee learning and development, and collaboration with educational institutions through its school–college/university–facility model. This model aims to attract highly educated, motivated, and well‑trained young professionals to the Company by establishing a system for continuous improvement in education quality and targeted career guidance.

Key elements of the school–college/university–facility educational model:

1

The PhosAgro Schools project running in cooperation with schools across our footprint. By creating the right environment at schools, we help guide graduates in their career choices. In 2024, we partnered with six schools under the project.

2

Cooperation with universities serves to attract talented graduates in priority areas and create conditions for their professional development. Today, the Company actively collaborates with 24 universities that offer courses relevant to its core activities.

3

As part of our collaboration with secondary vocational institutions, we seek to create a pipeline of skilled employees with relevant competencies who are competitive in the labour market, acquainted with allied professions, and have what it takes to pursue career opportunities for their further employment with the Company. In 2024, the Company actively liaised with ten technical colleges.

The following strategic risks affect our HR management objectives (for more information, see the Strategic Risks section):

3

social risk

4

HR risk

6

health and safety risk

Risk areas specific to HR management:

Compliance with human rights and ethical standards

Workforce sufficiency, competence, and development

Provision of competitive incentives and social support to staff

Health and safety

The Company develops corrective measures as necessary and unlocks opportunities to mitigate those risks. Below you can find more information about what we do on this front, including:

a comprehensive approach to attracting highly qualified personnel (referral programmes, HR marketing tools, automated recruitment solutions, and other initiatives);

extensive opportunities for employee self‑development through an online learning platform, a corporate digital library, etc.;

automated solutions and services for personnel assessment and training.

In 2024, the Group’s average headcount was 
23613 people
As at the end of 2024, the number of employees with disabilities came in at
157
(vs 128 in 2023 and 88 in 2022)
2024 metrics and highlights
Breakdown of employees by gender, region, types of employment and employment contracts, number of employees

GRI 2–7, SASB EM‑MM‑000.BFor more information on the number of workers who are not employees, see Additional information to the sections.

Permanent employees Temporary employees Number of employees (headcount) Full‑time employees Part‑time employees
2022 2023 2024 2022 2023 2024 2022 2023 2024 2022 2023 2024 2022 2023 2024
Men 6,238 6,736 6,903 529 473 518 6,767 7,209 7,421 6,762 7,204 7,418 5 5 3
Women 2,321 2,426 2,517 168 229 252 2,489 2,655 2,769 2,476 2,635 2,742 13 20 27
Murmansk region, total 8,559 9,162 9,420 697 702 770 9,256 9,864 10,190 9,238 9,839 10,160 18 25 30
Men 3,721 4,433 4,741 105 110 154 3,826 4,543 4,895 3,825 4,538 4,890 1 5 5
Women 2,755 2,991 3,142 234 246 230 2,989 3,237 3,372 2,977 3,218 3,347 12 19 25
Vologda region, total 6,476 7,424 7,883 339 356 384 6,815 7,780 8,267 6,802 7,756 8,237 13 24 30
Men 1,594 1,792 2,061 63 112 146 1,657 1,904 2,207 1,654 1,901 2,205 3 3 2
Women 740 806 899 85 105 94 825 911 993 814 899 975 11 12 18
Saratov region, total 2,334 2,598 2,960 148 217 240 2,482 2,815 3,200 2,468 2,800 3,180 14 15 20
Men 1,100 1,192 1,307 117 144 156 1,217 1,336 1,463 1,215 1,335 1,463 2 1 0
Women 637 680 732 72 59 64 709 739 796 708 738 795 1 1 1
Leningrad region, total 1,737 1,872 2,039 189 203 220 1,926 2,075 2,259 1,923 2,073 2,258 3 2 1
Men 194 206 217 2 3 3 196 209 220 196 209 220 0 0 0
Women 147 157 158 3 8 5 150 165 163 150 160 162 0 5 1
Moscow, total 341 363 375 5 11 8 346 374 383 346 369 382 0 5 1
Men 557 563 580 7 1 2 564 564 582 561 550 576 3 14 6
Women 249 292 310 7 4 6 256 296 316 246 286 305 10 10 11
Other, total 806 855 890 14 5 8 820 860 898 807 836 881 13 24 17
Men 13,404 14,922 15,809 823 843 979 14,227 15,765 16,788 14,213 15,737 16,772 14 28 16
Women 6,849 7,352 7,758 569 651 651 7,418 8,003 8,409 7,371 7,936 8,326 47 67 83
Total 20,253 22,274 23,567 1392 1494 1,630 21,645 23,768 25,197 21,584 23,673 25,098 61 95 99

GRI 2‑8

In 2024, there were 852 employees working under civil law contracts with the Company, or 3.6% of the average headcount (vs 758 employees, or 3.5% of the average headcount, in 2023).

They mainly provided documentation support, cleaning, information and consulting, accounting, social support, and supervisory services.

The decrease in productivity was due to the growth of the Company’s headcount as a result of investment projects and bringing equipment repair and maintenance functions back in‑house.

In 2024, the employee turnover rate was 8.4%, up 0.3 p.p. y‑o‑y. This is attributed to a rise in voluntary resignations, driven by a greater availability of competitive salaries and benefits in the labour market.

Average headcountCalculated using the period average methodology by adding up headcounts for each calendar day of any given period and dividing the sum of these headcounts by the number of calendar days in the period. of PhosAgro Group, people

MED 25

ProductivityThe ratio of mineral fertilizers, phosphate rock, nepheline concentrate and syenite alkali aluminium concentrate produced to the average headcount of Apatit, including its branches and standalone business units., t per person

MED 5

Key personnel turnover indicators, people

GRI 401-1

Personnel breakdown, %

GRI 405–1

Age Average headcount, %
2022 2023 2024
Men Women Men Women Men Women
Employees by gender and age
Under 30 years 10.9 5.5 11.3 5.3 11.5 5.3
30–50 years 45.5 23.2 45.3 22.8 45.4 22.4
Above 50 years 9.3 5.6 9.7 5.6 9.7 5.7
Employees by category
Blue‑collar employees 42.7 14.5 42.9 13.6 43.1 13.3
White‑collar employees 12.6 16.9 12.9 17.2 12.7 17.3
Managers 10.5 2.9 10.5 2.9 10.8 2.8
Employees by education
Higher 25.4 19.7 25.5 19.6 26.0 19.7
Basic vocational 16.6 5.0 16.6 4.8 16.1 4.5
General 10.2 3.6 10.1 3.4 9.9 3.4
Secondary vocational 13.5 6.0 14.2 5.8 14.6 5.8

The annual Growth Area survey provides insights into personnel perceptions of PhosAgro’s initiatives and measures aimed at professional development and employee well‑being. Thanks to this survey, we can assess employee satisfaction with implemented improvements and identify challenges perceived as emerging issues for the Company.

Conducted for the 12th consecutive year, the survey yielded the highest ever scores across the majority of metrics and indicators. With an 83% participation rate (23% above the target), the survey demonstrates a high level of employee engagement and a willingness to openly share opinions.

The consolidated satisfaction and loyalty index reached 76 p.p., a 33% increase over the past four years. The engagement index rose to 75 p.p., surpassing the industry‑wide benchmark for manufacturing and mining industries (provided by an independent consulting firm by 12%.

Trust in top management decisions stands at 91%, while perceptions of income competitiveness and fairness have tripled in the last two years.

The survey results demonstrate that employees of PhosAgro Group hold a positive view of the Company’s overall strategy and the effectiveness of its annual improvement plans.

89%
of employees would recommend the Company as an employer
Consolidated satisfaction and loyalty index, p.p.

What our employees value most are the Company’s reliability and continuous development.

The Company honours all its obligations related to the employment of the disabled as required by applicable laws. Beyond compliance, we actively hire people with special needs, organising workplaces to accommodate individual rehabilitation/habilitation programmes. Due to the limited number of workplaces with acceptable working conditions for people with special needs, the Company signs workplace lease agreements and provides comprehensive assistance in setting them up in other organisations.

We support and provide an expert opinion at Abilympics, a competition for the promotion of disabled people’s professional expertise, while actively engaging in job fairs specifically designed for people with disabilities.

MED 25

As at the end of 2024, the Group employed 157 people with disabilities (128 in 2023 and 88 in 2022). We believe we must exercise an individual approach when hiring people with special needs, and we are aware of our responsibility to create an inclusive environment for them.

MED 44

To enhance women’s social security in accordance with the applicable laws, the Company:

  • does not use female labour for manual lifting or carrying weights exceeding maximum allowable limits;
  • releases pregnant women from their job duties and transfers them, subject to their medical reports, from production sites to lighter‑duty positions;
  • provides women, at their request, with a parental leave until the child reaches the age of three;
  • prohibits business trips, overtime or night work, work on weekends and public holidays for pregnant women, except when there are a written consent and no contraindications;
  • safeguards employment of pregnant women, with their employment contracts terminated only in the event of liquidation of the facility, as well as that of women having children up to three years of age and single mothers having children up to 18 years of age.
Share of women taking part in corporate programmes, %
Participation of women in internal thematic events

Superfinals of the Young Manager – 2024 competition. 7 men, 5 women.

Superfinals of the Mentor of the Year – 2024 corporate contest. 6 men, 2 women. Winner of the superfinals in the Mentor of Blue‑Collar Professions category: a woman.

PhosAgro management seeks to attract highly skilled professionals and young talents, establish a knowledge and experience transfer system for new generations of employees, and provide continuous training and development opportunities. We place heavy emphasis on professional growth and are committed to fostering production initiatives and in‑house expertise.

In 2024, we continued to develop a distance learning system for our employees and create internal training materials. By leveraging automated solutions and services in personnel assessment and training, we expanded the number of methods and tools available for personnel development.

Our objective is to create a corporate educational environment that encourages the development of professionalism, self‑improvement, training, and knowledge sharing. We actively utilise new tools, methods, and technologies in this pursuit.

In 2024, 16,915 employees completed various types of training programmes, which is a 7.5% increase from 2023. The average annual number of training hours per employee exceeded 116.6 (up 17.3% y‑o‑y).

Training expenses, RUB ‘000

Our corporate training framework relies on the following principles:

1

Assessing and prioritising actual training needs of various staff categories to build appropriate processes

2

Planning, coordination, quality and efficiency audit

3

Introducing the most advanced and efficient methods and tools from an economic and methodological perspective

4

Developing new formats

5

Using an individual approach to young talent

6

Proactively identifying and developing new leaders to succeed current ones

Average annual training hours per employeeBoundary 2: Apatit, including its branches and standalone business units.

GRI 404‑1, MED 30, 31

Item UoM 2022 2023 2024 Change y‑o‑y, %
Number of employees trained people 11,551 15,739 16,915 7.47
Average annual training hours per employee hours 99.8 99.4 116.6 17.3
Breakdown by gender
• Women hours 86.5 73.5 79.8 8.5
• Men hours 107.1 113.3 135.8 19.8
Breakdown by employee category
• Managers hours 113.0 109.1 160.9 47.5
• White‑collar employees hours 85.4 73.5 93.8 27.6
• Blue‑collar employees hours 104.0 110.8 117.3 5.9
Average annual hours of mandatory training per employee hours 85.1 94.01 108.3 15.1
Average annual hours of optional training per employee hours 14.7 5.3 8.3 56.0
Total investments in training RUB ‘000 271,872 262,497 324,595 23.7
Annual training investments per employee RUB ‘000 21.0 18.4 21.0 14.1
• Women RUB ‘000 20.4 19.3 23.6 22.3
• Men RUB ‘000 21.3 17.9 19.6 9.5

In 2024, we continued to improve our corporate training programme by rolling out remote educational and development tools, leveraging digital technologies and creating mixed training formats.

The Company promotes a remote training system, creates online courses and upgrades technical capabilities by introducing computer simulators, and implementing VR technologies to support the learning process. In 2024, our remote learning experts developed 19 new courses such as: “Procedure for verification of purchased goods and materials”, “Regulatory documents on protection against avalanches”, “Competent laboratory assistant”, video instruction “Trade secret”, short video “Environmental protection”, and more. The remote training system counts over 310 courses, while the VR library offers 21 programmes on occupational health and safety, as well as two programmes on assembling and disassembling of rotating equipment.

We also provide our employees with opportunities for self‑development by giving them access to our corporate electronic library and online training platform. In 2024, our employees completed over 8,300 courses on the Eduson corporate educational platform, attended 13,900 lectures, and passed more than 57,000 tests, investing over 4,200 hours in learning. They also spent a total of over 5,500 hours using the corporate e‑library, Alpina.

Talent pool programmes

GRI 404‑2

The Company seeks to meet its personnel needs by maximising its use of the talent pool to select, develop, and appoint employees to new positions.

The talent pool programmes include a variety of training options for talent pool members helping them to develop managerial and professional competencies, and to boost personal and business skills, such as analysis and decision‑making, leadership, workflow management, motivation and delegation of powers, conflict settlement, project management, effective communications, etc.

In 2021, the Company started to use mentoring as a vehicle for promoting talent pool members. Senior managers (mentors) share their experience and knowledge with the participants in an attempt to build a next‑level management culture, while talent pool members get a chance to learn the secrets of successful management from executives.

The goal of the Team of the Future programme is to foster conditions for professional and personal growth, share experience, and address new challenges in the face of constant change. The programme is open for professional managers who act as role models and are willing to take on challenging tasks while remaining true to the Company’s values. The programme includes four in‑person sessions combining group training and individual support, such as work in groups of three, mentoring, and project teams.

At the end of 2024, Moscow hosted the programme’s final session, with six teams showcasing their projects. Three projects received the highest scores: “Automation of Mineral Fertilizer Packaging and Loading Units”, “Foresight for PhosAgro Strategy – 2050”, and “Digitalisation of Maintenance and Repair Processes at PromTransPort”. Leaders of projects recommended in 2023 – “Automation of the Register of Buildings and Structures” and “Ideogora” (creation of a single digital platform for new ideas and expert communities based on WebSoft) – presented interim results.

The reporting year marked the first graduation of the Team of the Future programme. A total of 18 graduates received approval to establish the Team of Professionals expert community to apply their skills to Company challenges, share experience, and promote effective leadership values.

Starting 2023, members of the Team of the Future act as mentors for employees taking part in the PhosAgro‑START programme. For mentors, it is also an opportunity to take stock of their knowledge, skills, and experience. Mentoring is recognised as a valuable tool for mentees as it enables them to seek advice from seasoned managers, better understand the corporate culture and the role of the manager, and build new connections. Mentees can choose their mentor via the corporate portal, where the Mentoring section contains profiles of all available mentors and a contact form to initiate a kick‑off meeting. In 2024, mentoring was implemented for Young Manager competition participants, with first and second‑place superfinalists receiving guidance from Team of the Future mentors.

For 2025, Team of the Future participants will focus on developing management and project teams by enhancing knowledge of team building methods, assessment techniques, development programmes, and remote team management skills.

Rules of Effective Management

One of the Company’s focus areas in training and development is to improve management culture.

In 2022, PhosAgro set up the Rules of Effective Management project to train and support its managers.

The purpose of the initiative is to strengthen management culture, while also establishing and applying uniform rules for the supervisor‑subordinate relationship to make staff interaction more effective.

The Rules of Effective Management help the Company’s employees in their managerial activities, laying down the fundamental principles of building effective communication between a supervisor and a subordinate, which in turn bolsters employee loyalty and engagement.

In 2024, the programme continued its roll‑out across all four Apatit production sites. New divisions joining included the Kirovsky, Vostochny, and Rasvumchorrsky mine at the Kirovsk site; mineral fertilizer production unit, urea production shop, and aluminium fluoride shop at the Cherepovets site; Balakovo branch of Mekhanik; and Volkhov branch of Apatit.

Virtual teaching package

In 2024, we kept rolling out a virtual teaching package and a distance learning system to automate training and development processes.

During the year, experts from various business units developed 29 teaching packages with e‑courses covering 20 key professions.

In 2024, we also developed and launched 17 e‑courses on additional competencies and updated two courses.

As a result, by the end of 2024, the virtual teaching package included:

1

Matrix of 24 corporate, job‑agnostic and job‑specific competencies

2

Personal accounts for key structural units, containing courses on general and specialised competencies of blue‑collar workers, as well as courses to develop additional competencies, process flowcharts, student atlases, etc.

3

Teaching packages for 15 corporate and job‑agnostic competencies (23% of the theoretical course)

4

33 teaching packages with e‑courses covering 24 key professions

5

27 e‑courses on additional competencies

6

Tool to create online courses for nine job‑specific competencies, including guidelines on developing the teaching package, a template of terms of reference for creating a programme, a template course presentation, didactic materials for teaching in‑house developers, and recommendations on incentives for in‑house developers

Mentoring

The mentoring system in place at our production facilities plays a major role in enhancing the quality of professional training, reducing the number of errors, defects, workplace injuries, and staff turnover rates, which ultimately helps increase labour productivity.

The Company offers mentor development programmes, provides communicational and methodological support for them, and organises corporate competitions to motivate the best Mentors. Group‑wide efforts to transfer knowledge and expertise in order to develop new employees’ professional competencies, including knowledge and skills related to equipment, technology, and software used in the workflow, cover. Additionally, we facilitate corporate meetings for mentors from different facilities to exchange experiences. To acknowledge the importance and value of what mentors do, the Company has put in place measures combining financial and non‑financial incentives. These include a mentor recognition board, remuneration for employees involved in mentoring, letters of appreciation, and more.

On top of that, PhosAgro holds the annual Mentor of the Year corporate contest set to develop mentoring, make it more prestigious, raise employee awareness, and encourage and recognise mentors’ personal contribution to the development of young talents. In 2024, eight employees from Apatit production sites reached the finals in two categories – mentors of blue‑collar workers and mentors of administrative and managerial staff.

Personnel assessment

The Company has a personnel assessment system in place aimed at aligning employees’ competencies with the job/profession requirements and personnel development planning.

Key applications of assessment results include:

  • planning personnel training initiatives;
  • creating educational programmes;
  • building the talent pool;
  • making personnel decisions in the context of job appointments;
  • drafting individual development plans and development programmes;
  • drafting proposals for the management team on the review of salaries and other employment conditions, and make other organisational decisions;
  • building project teams;
  • selecting candidates to corporate programmes and competitions.
Percentage of employees receiving regular performance and career development reviewsBoundary 2: Apatit, including its branches and standalone business units., %

GRI 404‑3

Category 2022 2023 2024
Men Women Men Women Men Women
Managers 1.6 0.2 2.4 0.5 1.0 0.3
White‑collar employees 1.0 0.7 1.6 1.6 0.8 0.9
Blue‑collar employees 5.1 0.8 1.8 0.3 1.0 0.2
Total by gender 7.7 1.6 5.7 2.4 2.9 1.4
Personnel evaluated in 2024Boundary 2: Apatit, including its branches and standalone business units., people
Managers White‑collar employees Blue‑collar employees Total
Men Women Men Women Men Women
Volkhov branch 32 9 25 23 6 15 110
Apatit (Cherepovets) 73 30 63 74 26 6 272
Kirovsk branch 33 2 19 21 3 0 78
Balakovo branch 22 6 17 17 122 11 195
Group total 160 47 124 135 157 32 655

Investing in PhosAgro Group’s future talent

PhosAgro has been implementing a school—college/university—facility career guidance model since 2013. For more information on programmes run under this model, including collaboration with schools, colleges and universities, and the PhosAgro-START programme for young professionals, see the Contributing to Local Communities section.

For more information on a large-scale programme of cooperation with the leading Russian agricultural universities, see Research, innovations and education and Contributing to local communities.

Our robust system of financial and non‑financial rewards is aligned with the Company’s performance and motivates all employees to improve their performance. The purpose of the system is to incentivise staff in order to deliver strong operating results and increase productivity, as well as to retain qualified talent.

Our incentives and rewards system ensures:

1

Decent pay

2

Implementation of incentive programmes using a transparent system of KPIs to calculate managerial rewards

3

Implementation of incentive programmes to motivate blue‑collar employees to deliver against their targets

4

Availability of benefits for certain employee categories

5

Employee coverage by social programmes

6

Availability of financial and non‑financial rewards for employees

Average wages at PhosAgro rose by 67% over the past three years, reaching RUB 183,700 in 2024 – substantially outpacing inflation.

Beyond base salary, the Company maintains a flexible system of incentives and bonuses tied to production target achievement. In 2024, alongside traditional bonuses for professional holidays (RUB 100,000 each) and veterans (RUB 20,000 each), an additional bonus was paid marking the 95th anniversary of the Apatit mining and processing plant: RUB 30,000 to Kirovsk branch employees and veterans, and RUB 20,000 to employees from other locations.

PhosAgro prohibits any discrimination in setting or adjusting salaries based on an employee’s gender, age, race, ethnicity, origin, or religion.

In 2024, the Company completed a project of grade‑based compensations as a way to increase fairness and market competitiveness of PhosAgro’s remuneration framework. Apatit evaluated positions and determined grades using a point‑factor methodology, which considers the knowledge and skills of employees, complexity of tackled issues, responsibility, and impact on outcomes, while also benchmarking compensation levels through salary surveys. In 2025, grade‑based system implementation will extend to subsidiaries and managed companies.

Correlation of the standard entry‑level wage and remuneration of women and men2022–2023 data for the Leningrad region was revised to reflect improved calculation.

GRI 405‑2

Region/category Difference in remuneration of men and women
2022 2023 2024
Blue‑collar employees White-collar employees Managers Blue‑collar employees White-collar employees Managers Blue‑collar employees White-collar employees Managers
Vologda region 0.70 0.72 0.73 0.66 0.67 0.66 0.59 0.63 0.68
Saratov region 0.67 0.68 0.70 0.63 0.56 0.56 0.65 0.69 0.71
Leningrad region 0.68 0.71 0.75 0.58 0.58 0.57 0.63 0.71 0.70
Moscow 0.52 0.47 0.46 0.75 0.80 0.79 0.17 0.22 0.18
Murmansk region 0.60 0.61 0.60 0.69 0.69 0.69 0.63 0.65 0.65
Other 0.59 0.66 0.64 1.05 0.98 0.82 1.35 1.35 1.32
Total 0.61 0.63 0.64 0.68 0.68 0.66 0.51 0.59 0.56
Ratios of standard entry‑level wage by gender compared to local minimum wage

GRI 202‑1

Region Ratios between the standard entry‑level wage and the minimum wage established in the significant regions of operation, including gender differentiation
2022 2023 2024
Men Women Men Women Men Women
Vologda region 1.21 1.21 1.19 1.15 1.19 1.19
Leningrad region 1.20 1.24 1.75 1.30 2.64 1.62
Murmansk region 1.00 1.00 1.00 1.00 1.15 1.14
Saratov region 1.02 1.05 1.15 1.05 1.11 1.18
Moscow 1.98 1.30 2.16 1.41 2.09 1.37
Median salary, RUBMedian salary is the average monthly salary (excluding top management) per employee, where half of the positions have remuneration levels below this figure and half have levels above it.
Average monthly pay, RUB

MED 26

In the period under review, pay rises covered all personnel categories. They came as a result of 15% salary indexation starting from 1 February 2024, targeted remuneration adjustments and the implementation of incentive programmes.

Proportion of senior managementSenior management includes managers at level N, N‑1, N‑2 (CEO, heads of functions, director for production, chief engineer of a company (branch), directors of subsidiaries and affiliates, adviser to the CEO). The governance levels of managerial positions are determined by an order. hired from the local communityIn accordance with the generally accepted concept, which describes a person or a group of  persons living in a certain territory regardless of ethnic and cultural composition, local community means employees whose region (area) of registration is the same as the region of the facility’s location. For facilities located in the Leningrad region and Moscow, local communities also include residents of St Petersburg and the Moscow region, respectively.,%

GRI 202‑2

Region 2022 2023 2024
Vologda region 47 50 58
Leningrad region 22 22 45
Moscow 92 90 91
Murmansk region 80 73 70
Saratov region 36 36 36
Average 61 62 68
Defined benefit plan obligations and other retirement plans

GRI 201‑3

Region Retirement‑related obligations (other than employee benefit obligations) Actual pension payments, RUB mln.
2022  2023  2024 
Saratov region Payment of retirement benefits 2.77 3.29 10.26
Merit benefit plans 0.00 0.00 0.00
Financial aid to retired former employees 16.72 21.03 42.50
Total 19.49 24.36 52.76
Murmansk region Payment of retirement benefits 39.21 40.204 61.20
Merit benefit plans 0.00 0 0.00
Financial aid to retired former employees 148.83 157.736 357.74
Total 188.04 197.94 418.93
Leningrad region Payment of retirement benefits 2.68 5.28 5.7
Merit benefit plans 0.00 0.00 0.0
Financial aid to retired former employees 31.65 30.10 58.8
Total 34.32 35.59 64.5
Vologda region Payment of retirement benefits 13.05 14.03 20.5
Merit benefit plans 21.38 23.59 24.5
Financial aid to retired former employees 119.93 120.80 232.6
Total 154.37 158.43 277.6
Total Payment of retirement benefits 57.71 62.81 97.75
Merit benefit plans 21.38 23.59 24.48
Financial aid to retired former employees 317.13 329.67 691.59
Total 396.22 416.31 813.82

GRI 401‑2

We provide comprehensive social support to our employees and their families, increasing the funding for social programmes, benefits and guarantees each year while expanding their scope and content.

Support for families, mothers, and children

Collective Bargaining Agreements provide for a range of relevant benefits as part of the government programme to support families, mothers, and children. Recreational summer health resorts and specialised excursions are organised for employees’ children on an annual basis. The Company provides financial assistance to employees supporting large families, with separate payments made for each child. Employees taking a parental leave to take care of children aged 1.5 to 3 are also entitled to monthly financial assistance. New Collective Bargaining Agreements formalise additional benefits for families raising children with disabilities. All children of employees aged 1 to 14 receive New Year presents, while parents of children under 1 year of age are entitled to financial assistance equivalent to the cost of a corporate New Year present for their child. Parents of first graders annually receive RUB 10,000 in financial assistance on the occasion of the Knowledge Day.

Health care and improvement of working conditions

Employees can seek psychological, financial, and legal assistance and receive active lifestyle and healthy eating advice.

The Company implements a unified health and well‑being management policy. Since 2024, we have introduced corporate competitions (the Sport Walkers championship, PhosAgro Generation, and Healthy Lifestyle Mania), family runs, health checkups, and dedicated health days across our sites. Specialists provide consultations on personal counselling, nutrition, and therapeutic exercise. We have established psychological relaxation rooms and health corners at our facilities, with workplace exercises conducted at workstations. In October 2024, we launched yoga classes at the Cherepovets site as a pilot initiative.

For over a decade, we have been implementing a substantial programme to improve social and working conditions. In 2024, we invested approximately RUB 500 mln in projects to improve the conditions at our facilities.

PhosAgro provides employees with vouchers to local and southern health (rehabilitation) resorts and corporate health (rehabilitation) resorts. Employees and their family members can apply on a competitive basis for a free health resort vacation programme, with 50% of travel expenses covered. Employees and veterans of the Company, as well as their family members, have access to corporate health resorts at a reduced price.

The Company offers financial support to employees facing hardships in life such as fire, flood, theft, or bereavement.

Each employee is provided with a supplementary health insurance policy covering examinations, doctor’s appointments, discounted dental services including dental prosthesis, and telemedicine access.

Housing programme

The Company runs a corporate housing programme by:

1

Offering compensation of interest paid on mortgage loans. Candidates are selected using a point‑based system. The programme aims to retain highly qualified professionals with hard‑to‑find skills, including workers from other regions. Priority is given to employees included in the talent pool, participants of young talent support programmes, and employees with strong work performance and a track record of social activities

2

Building corporate housing in the cities and towns where it operates

3

Providing corporate accommodation equipped with all the necessary amenities. Additionally, employees who lease private apartments receive compensation for their rental expenses

4

Since the programme’s inception, the Company has helped around 3,000 employees improve their living conditions

Corporate events

To provide opportunities for leisure activities, foster creativity, meet the spiritual needs of employees, and strengthen the unity of the workforce, the Company stages corporate and cultural events timed to coincide with professional holidays or other significant dates and occasions (Chemist’s Day, Miner’s Day, charity festivals, Theatre Day, Victory Day, etc.), environmental games and campaigns, family contests (PhosAgro Generation), and sports challenges. These events aim to increase employee engagement and enhance communication within the team.

Support for veterans

Our veteran organisations bring together retired workers and use corporate funding for a wide range of social support measures and leisure‑time activities. There is a dedicated corporate pension programme in place for retired staff.

Corporate events