Page 308 - Annual Report 2020

People related metrics
Our global workforce is the foundation of our business and we believe that supporting the wellbeing of our people and promoting an
inclusive and diverse culture are vital for maintaining a competitive advantage. The SPMs for gender, employment type and turnover are
key indicators, which allow the Board, management, investors and other stakeholders to measure and track our near and long-term progress.
Reference and SPM Methodology
Section 1.6.1 Our people, Proportional data for average number of employees is based on the average of the number of employees at the last day of each
section 1.6.2 Employees and calendar month for a 10-month period from July to April, which is then used as the average for the FY2020.
contractors, and section 6.6.1 The number and average number (and percentages) of employees by region shows the weighted average number of employees
People – performance data based on BHP ownership.
– Workforce by gender, Contractor data is collected from internal surveys and the organisation systems and averages for a 10-month period from
region, category and July 2019 to April 2020, which is then used as the average for the FY2020.
employment type
The gender numbers in section 1.6.1 are a ‘point in time’ snapshot at 30 June 2020 used in internal management reporting
for the purposes of monitoring progress against our aspiration goal of a gender balanced workforce by FY2025.
There is no significant seasonal variation in employment numbers.
These methodologies have been prepared in accordance with GRI standard 102-8 and GRI standard 405-1.
Section 1.6.1 Our people Data for employee new hires, including by gender, age group and region, is based on the number of employee new hires for
and section 6.6.1 People – a 10-month period from July 2019 through to April 2020 divided by the average number of employees at the last day of each
performance data calendar month for the same period, which is then used to calculate a weighted average for FY2020 based on our operated
– Employee new hires assets. Employee new hires refers to all employment types.
and turnover Data for employee turnover, including by gender, age group and region, is based on the number of employee new terminations
for a 10-month period from July 2019 through to April 2020 divided by the average number of employees at the last day of each
calendar month for the same period, which is then used to calculate a weighted average for FY2020 based on our operated
assets. Employee new terminations refers to all employment types.
These methodologies have been prepared in accordance with GRI standard 401-1.
Community-related metrics
We seek to create and contribute to social value in the communities where we operate through the positive social and economic benefits
generated by our core business, our constructive engagement and advocacy on important issues and our contribution as community
partners. Our community SPMs allow the Board, management, investors and other stakeholders to track our performance in contributing to
social value in the communities in which we operate and monitor our relationships and engagement with this important stakeholder group.
Reference and SPM Methodology
Section 1.4.8 Sustainability Our voluntary social investment is calculated as 1 per cent of the average of the previous three years’ pre-tax profit.
KPIs and section 1.7.9 Social investment is our voluntary contribution towards projects or donations with the primary purpose of contributing
Community to the resilience of the communities where we operate and the environment, aligned with our broader business
– Social investment spend priorities. By building common ground through collective impact and partnerships, our social investments will
purposefully create social value to strengthen the communities of which we are a part, to improve the resilience
of the natural environment, and address the strategic priorities of the business. Donations from BHP to the BHP
Foundation are included in the calculation of our 1 per cent target as are the costs of administering our social
investment programs. The Sustainability Committee reviews our social investment spend on a quarterly basis.
Our social investment spend is one of the metrics used to monitor our performance against our commitment to making
a contribution to social value and meeting our five-year sustainability target.
Section 1.4.8 Sustainability A significant event resulting from BHP operated activities, is one with an actual severity rating of four and above,
KPIs and section 1.7.9 based on our internal severity rating scale (tiered from one to five by increasing severity) as defined in our mandatory
Community minimum requirements for risk management. A significant community event is an event that could have a serious
– Significant impact on community, including impacts to livelihoods, infrastructure, health, safety, security or cultural heritage.
community events A significant event could also include a substantiated human rights violation.
This metric assists the Board and management in monitoring BHP’s social performance and is one indicator of the health
of our relationship with the communities where we operate.
This methodology has been prepared in accordance with GRI standard 413-2 and GRI standard MM6.
Section 1.7.9 Community Community complaints refer to a verbal or written notification made directly to a BHP representative by a member
and section 6.6.2 Society of a community relating to an alleged adverse impact on that community arising from BHP’s activities and/or employee
– performance data or contractor behaviour at our operated assets. Trends in community complaints are analysed by management every
– Community complaints six months, and this data is used as one of the inputs for management to determine whether we are operating within
our risk appetite.
This metric assists the Board and management to monitor BHP’s social performance and is one indicator of the health
of our relationship with the communities where we operate.
This methodology has been prepared in accordance with GRI standard MM7.

306 BHP Annual Report 2020