Exxaro Resources Limited
Integrated report for the year ended 31 December 2024 
Human capital

Empowering our people to create impact is critical in building momentum and resilience as we progress against delivering on our strategy and business model.

Understanding human capital at Exxaro

Exxaro’s human capital is the knowledge, skills, know-how, safety, health and wellbeing of the people who manage our business and perform operational activities, including our employees and contractors. It is central to our business’s success.

How we deliver value through our human capital

We deliver value by investing in our people, safeguarding their safety, health and wellbeing, and fostering skills and capabilities aligned with our purpose. Our people strategy drives Sustainable Growth and Impact objectives, building a people-fit organisation and enabling human resources. Within this, we prioritise safety to achieve zero harm, promote employee and community resilience through health and wellness programmes, maintain a strong employee value proposition by fostering DEI and offer learning and skills development to ensure a robust talent pipeline for current and future needs.

Material theme Matters Strategies to achieve our objectives Related strategic
objective
Our broader
impact

Enabling a thriving workforce
  • Health, safety and wellness
  • Workforce DEI
  • Labour relations
   

Performance snapshot

Safety
No fatalities, with an LTIFR of 0.06 (2023: zero fatalities, 0.07 LTIFR) and, regrettably, 10 injuries at our operations (2023: 11)
Health and wellness

Introduced personalised health monitoring through smartwatches and dietician-led guidance, addressing lifestyle diseases and promoting healthier habits among employees

Engagement and DEI

In response to our 2023 culture and engagement survey, all BUs developed targeted action plans based on employee feedback. Feedback sessions, including honesty boxes, encouraged candid input, helping to address key DEI challenges. However, two cases of alleged discrimination or grievances were filed (2023: none), underscoring the need for ongoing vigilance in fostering an inclusive workplace

Talent management

R402 million invested in training and development (2023: R358 million)

Our future focus includes launching the refreshed Exxaro safety strategy, fatal risk protocols, and zero tolerance rules to address top fatal risks. We will enhance employee wellness through expanded on-site therapist access, cancer awareness initiatives, and realtime health monitoring. A pulse survey to review the effectiveness of culture initiatives will inform the next phase of our culture journey. We are also focusing on strengthening leadership capability to enhance our employee experience, while men’s forums will support gender equity priorities. Expanded learning platforms, including AI training and the new EduMine platform, will prepare employees for future growth and innovation.

DETAILED DISCLOSURE

Our strategic response to growing our human capital

Exxaro’s ability to create sustainable value is intrinsically linked to our people. By fostering a safe, healthy and inclusive environment, we empower employees to thrive, ensuring we can meet both present and future challenges.

Our people strategy, operating within our broader Sustainable Growth and Impact strategy, prioritises safety, wellbeing, talent development and sound employee relations, positioning Exxaro as an employer of choice while driving long-term business resilience.

Exxaro’s human capital initiatives align with ESG objectives embedded in our Sustainable Growth and Impact strategy:

ESG objectives     Supporting the achievement of our
Sustainable Growth and Impact strategy
  Prioritising safety Safety incidents have profound consequences on our employees, communities and business. A safe workplace is critical for protecting our people as well as operational efficiency, continuity and compliance.      
  Promoting health and wellness We recognise that a physically and psychologically safe workplace is inextricably linked to successfully delivering on our strategy. Addressing health risks builds resilient employees and host communities by enhancing quality of life, boosting morale, improving productivity and ensuring safety.      
  Maintaining sound employee relations An inclusive workplace culture is essential for employee satisfaction, fostering innovation and maintaining our value proposition as an employer of choice. Engaged employees are more productive, which enhances safety at our operations and supports long-term organisational success.      
  Investing in talent Building future-ready skills ensures Exxaro remains competitive in a dynamic environment. Developing talent supports our employment equity goals, reduces turnover, enhances leadership effectiveness and ensures sustainable business growth.      

Prioritising safety

Safety is fundamental to our operational integrity and the wellbeing of our workforce and communities. Preventing workplace incidents and fostering a proactive safety culture not only safeguards lives but enhances operational resilience. Through leadership-driven initiatives, risk management and continuous improvement, we strive to achieve our ultimate safety goal of zero harm across all operations.

How we performed

We implement a proactive five-pillar safety strategy to prevent and mitigate safety incidents, eliminating repeat incidents, embedding safe behaviours and applying stringent risk management processes to foster a culture of zero harm.

Our LTIFR of 0.06, slightly above the annual target of 0.05, reflects an improvement from the 2023 performance of 0.07. Lifting and material handling incidents accounted for 40% of reported incidents, followed by trackless mobile machinery-related incidents and those caused by slips, trips and falls, each accounting for 20% of the reported incidents. The completion of a high-risk shortwall move at Matla without injuries marked a significant safety achievement in 2024. We had no section 54(a) mining activity stoppages (2023: four). We remain steadfast in our commitment to eliminate incidents and will intensify daily efforts to achieve zero harm.

CENNERGI

Cennergi demonstrated its commitment to safety excellence by maintaining a zero-fatality incident rate and zero LTIs in 2024. No reportable health and safety incidents were submitted to the Department of Employment and Labour and quarterly external compliance audits scored Tsitsikamma and Amakhala Emoyeni at 95.9% and 95.1% respectively.

However, Cennergi’s main contractor reported two unrelated LTIs at Amakhala Emoyeni. Lessons learned from these incidents are used to enhance safety practices, including collaborating with the contractor to install new safety equipment on wind turbines.

Recognising our achievements

Group

Two years fatality-free on 15 August 2024

Grootegeluk

12 years fatality-free

Belfast

Two years fatality-free

Leeuwpan

34 years fatality-free

Matla

Seven years fatality-free

Mines in closure

15 years fatality-free

FerroAlloys

27 years fatality-free

Cennergi

Eight years fatality-free

Improving our performance

CEO safety summit

The 2024 CEO safety summit, themed “Leave the world a better place than we find it”, highlighted critical safety, wellness and mental health issues, empowering employees and leadership to collaborate on actionable improvements. Frontline workers and supervisors led panel discussions that focused on identifying and resolving operational safety challenges.

Leadership safety day

Conducted on 17 October 2024 under the theme “Seven deadly signs”, our executive committee visited BUs to address the leading causes of fatalities and serious incidents. On-site VFL engagements further reinforced safety priorities and accountability, driving improved awareness.

Enhancing capacity

Exxaro launched initiatives such as the supervisor indaba at Matla to address operational challenges identified at the safety summit. In addition, safety leaders across BUs were supported through targeted training programmes including a course for managers in risk management, legal liability and VFL.

CENNERGI

Cennergi fire safety collaboration

Following a turbine fire at a neighbouring windfarm, Cennergi implemented measures to enhance fire safety and emergency preparedness. These included introducing a fire management procedure, procuring a fire bowser with on-site training and fostering collaboration with neighbouring windfarms to strengthen collective emergency response capabilities

Our primary focus in 2025 will be:

  • Launching the refreshed Exxaro safety strategy
  • Launching our fatal risk protocols and zero tolerance rules, focusing on Exxaro’s top fatal risks to address our priority unwanted events

Promoting health and wellness

Health and wellness are key to a resilient workforce and sustainable growth. Our integrated health and wellness strategy addresses occupational and non-occupational risks through early intervention, proactive health management and tailored initiatives that enhance wellbeing, productivity and safety.

How we performed

Occupational diseases

Occupational diseases We recorded 23 occupational disease cases (2023: 23), resulting in an occupational health incident frequency rate of 0.14 (2023: 0.15), against the target of 0.13. We measure our performance against the Mine Health and Safety Milestones, which were revised and communicated this year for adoption beyond 2024.

Non-occupational diseases

We identified 39 new diabetes cases (2023: 93) and 122 hypertensive employees and contractors (2023: 334). The prevalence of HIV/Aids cases is 1.4% (2023: 1.87%), significantly lower than the national prevalence rate of 12.7%, with HIV-positive employees having easy access to medication at our occupational health centres.

Improving our performance

Taking services to people

With a recent health report highlighting a rise in lifestyle diseases and high BMI levels among employees, we recognised the need for proactive measures to promote healthier lifestyles and reduce related risks. This includes the use of smart devices for real-time screening of blood pressure, blood sugar, fatigue and stress levels. We introduced dietician services to educate employees on healthy eating habits that prevent lifestyle diseases. On-site therapists are available at each BU, providing psychological support without the need for employees to take time off work. This has reduced absenteeism due to illness and improved workplace attitudes.

Medication pick-up point

Grootegeluk clinic is an accredited external medication pick-up point as part of government’s CCMDD programme. Our employees collect their chronic medication from the clinic, reducing transport costs and allowing employees to receive two to three months’ medication at a time.

Wellness day

Exxaro hosted wellness days across BUs, offering screenings for lifestyle diseases such as blood pressure, blood sugar, cholesterol, HIV, breast cancer and prostate cancer. Employees also received guidance from dieticians on balanced diets and the importance of physical activity to prevent or delay the onset of lifestyle diseases.

CENNERGI

Cennergi health screenings

Cennergi conducted medical screenings, including blood pressure, blood sugar and HIV tests, as well as financial wellness interventions for employees in 2024. Health initiatives were extended to contractors, including wellness screenings and mental health check-ins, ensuring all individuals on site have the knowledge and resources to manage their health effectively.

Our primary focus in 2025 will be:

  • Rolling out our updated wellness programme
  • Focusing on cancer awareness and screening in all BUs
  • Increasing the hours of the on-site therapists at some BUs, such as Grootegeluk, due to the demand for the service
  • Identifying a service provider to advance our electronic health and hygiene systems for better data management
  • Implementing the first phase of distributing wearable health devices to track vital signs in real time at Belfast

Maintaining sound employee relations

Strong labour relations founded on open communication, mutual respect and proactive engagement with our people are key to maintaining a stable and motivated workforce. We value employee voices, advance workplace equity and achieve transformation objectives by aligning our efforts with our DEI and employee relations strategies.

Our approach to employee engagement centres on maintaining a representative workforce, with respect for the needs of our host communities, and is defined in our DEI strategy. To cultivate a thriving and equitable workplace, we create inclusive policies, address systemic barriers and ensure leadership reflects workforce diversity. We drive initiatives aimed at addressing any identified issues to improve employee engagement and inclusion.

How we performed

In 2024, our ongoing commitment to sound employee relations, equity and engagement delivered meaningful outcomes. 5 483 employees (2023: 5 376) were represented by affiliated unions recognised by Exxaro (NUM, Solidarity, AMCU, FAWU and NUMSA). We secured three-year wage agreements with all employers, and these long-term agreements ensure ongoing labour stability across the business.

CENNERGI

Wind turbines are operated and maintained under contract by Nordex at Amakhala Emoyeni and by Vestas South Africa at Tsitsikamma. These contractors use sub-contractors for maintenance activities, employing 55 people (2023: 47) at Amakhala Emoyeni and 37 (2023: 29) at Tsitsikamma.

The 68MW LSP is being constructed under contract by Elsewedy and Edison, employing 428 people at year end.

Building a diverse and inclusive workplace

Our DEI strategy, supported by our employee relations strategy and people with disabilities policy, ensures equal access to employment, training and skills development opportunities. These frameworks enable us to address systemic barriers and promote equity across our operations.

We conduct culture and engagement surveys across our corporate centre and BUs every second year to track progress on our DEI strategy, leadership effectiveness and the integration of key culture themes. Exxaro’s 2025 culture and engagement survey will evaluate the effectiveness of initiatives implemented in response to the 2023 survey and guide further enhancements to our workplace culture.

Our primary focus in 2025 will be:

  • Reviewing the effectiveness of initiatives implemented through a pulse survey to inform the next phase of Exxaro’s culture journey
  • Resetting the culture journey, defining key priorities for each milestone to position Exxaro for the next chapter of growth
  • Strengthening leadership capability to foster an inclusive, psychologically safe workplace, enhancing the overall employee experience
  • Introducing a compelling employee value proposition framework with distinctive offerings to position Exxaro as an employer of choice
  • Launching men’s forums across BUs to address issues specific to men and support Exxaro’s gender equity priorities
  • Collaborating with organised labour to implement the provision of the agreed long-term wage agreements
  • Establishing a unified disciplinary framework across all Exxaro employers to enhance BU alignment and reporting efficiency
  • Enhancing employee engagement platforms to listen, learn and improve based on employee feedback
  • Enabling continuous skills alignment with future organisational needs through succession management to enhance business continuity and motivating employees with clear progression trajectories at Exxaro

Investing in talent

Our ability to deliver on business objectives and ensure business continuity depends on our ability to attract, develop and retain people with the right skills profile aligned with our strategy. Our talent management strategy supports a strong talent pipeline through learning and skills development, while community-based programmes promote inclusivity, empower youth and marginalised groups, and align with our employment equity targets.

Exxaro’s talent management strategy aligns with our Sustainable Growth and Impact objectives, considering global and local trends and the evolving needs of our energy and minerals businesses. This strategy supports organisational inclusivity, future capability development and a healthy, engaged working environment. We leverage technology and supportive leadership to achieve these goals.

CENNERGI

Cennergi prioritises internal recruitment of high-potential employees to retain talent and grow management expertise. Employees receive short-term incentives based on individual and company performance. Cennergi allocates 1% of its payroll to employee training and development. Line managers conduct performance appraisals twice a year to determine training and development needs.


How we performed

R402 million or

6.75% of our payroll spent on training and development

Community development, such as portable skills training

R9.4 million

Support for Youth Employment Service to train and develop youth from our host communities

R28 million

(2023: R358 million or 6.22%)
(2023: R7.6 million)
(2023: R22 million)

Job-related skills development (functional and technical training)

R200 million

Bursaries, training professionals, internships, learnerships and skills programmes

R173 million

Developing targeted employees in management programmes, leadership roles, postgraduate studies and support functions

R11 million

(2023: R193.5 million)
(2023: R126.6 million)
(2023: R10.5 million)

Our primary focus in 2025 will be:

  • Providing training on AI capabilities using open-source and customised software
  • Expanding the accessibility and variety of learning opportunities through e-learning facilities/li>
  • Introducing the EduMine platform to offer mining experience in Exxaro technologies and prepare employees for future M&A opportunities
  • Offering Bookboon resources, including downloadable books, podcasts and videos for online development