https://ir2018.suninternational.com

Occupational health and safety management is critical to Sun International’s sustainability portfolio. The health and wellbeing of our employees, guests and communities directly impacts our bottom line. Our health, safety and wellness framework enables the group to protect relevant stakeholders, maintain legislative compliance, and position the group to become an industry leader in health and safety.

HIGHLIGHTS

  • Appointed dedicated SHE professionals across our South African units
  • Implemented a SHE cross-unit auditing programme
  • Trained all South African SHE professionals as internal SHE legal auditors
  • Developed the first set of OHS reduction targets for our South African units
  • Standardised our OHS incident reporting process, templates and definitions group-wide
  • Developed a group fire standard to ensure standardisation and conformity to design, installation and maintenance of our fire systems
  • Implemented a SHE awareness campaign in South Africa with specific health and safety awareness themes
  • Developed an integrated SHE management system based on ISO 14001 and 45001 standards
  • Implemented a compliance management platform to standardise our risk assessment, legal register and compliance management functions.

CHALLENGES

  • Ageing infrastructure across various properties remains a challenge, however, the group continues to review, update and implement maintenance plans across all units
  • Reporting health and safety information for our Latin America (Latam) operations
  • Standardistion and implementation of OHS definitions at our local units
  • Ineffective integration of wellness initiatives between OHS and human resources
  • Awareness and improvement of our group’s OHS culture.

FOCUS AREAS

Our focus for 2018

What we achieved

 

Self-assessment

Implementing a medical surveillance programme.

Appointed an occupational health provider to facilitate and implement a medical surveillance programme.

 

In progress

Implementing a sustainability culture programme across our local operations.

The sustainability culture programme is being developed and implemented through a phased approach. Phase one is complete, and phase two is in the final development stages and will be implemented in 2019.

 

In progress

Developing and implementing an integrated SHE management system based on the ISO 45001 and 14001 standards.

Developed an integrated SHE management system based on ISO 14001 and ISO 45001 standards, with implementation to commence in 2019.

 

In progress

Implementing cross-unit SHE audits to improve awareness, share best practice and increase efficiencies.

Trained all South African SHE professionals as internal SHE auditors and implemented a SHE cross-unit auditing programme.

 

Achieved

Standardising the Latam and African properties incident reporting to the South African reporting systems.

Due to operational requirements and the mergers and acquisitions that took place in the reporting period, this requirement was placed on hold.

 

Not achieved

Enhancing our combined assurance process to ensure efficient compliance management.

Implemented a compliance management platform to standardise our risk assessment, legal register and compliance management functions.

 

Achieved

Improving incident reporting and collection of contractor data within South Africa.

Internal audits, refresher training and a definitions document were implemented, which has improved data reporting significantly.

 

Achieved

Improving emergency preparedness processes through introducing realistic simulations across all South African properties.

Small-scale emergency simulations were conducted at most South African properties and will continue in 2019.

 

Achieved

Addressing ageing infrastructure at properties by establishing a preventative maintenance plan.

The development department conducted structural audits at most South African properties to establish the short, medium and long-term maintenance requirements at those units to develop an informed preventative maintenance plan.

 

In progress

Developing a group fire standard.

Developed a group fire standard to ensure standardisation and conformity to designing, installing and maintaining fire systems.

 

Achieved

KEY PERFORMANCE INDICATORS

Sun International remains committed to reporting on relevant and applicable indicators as tabled below. Data was segmented by region to ensure an accurate reflection of our key performance indicators across the group.

South Africa

 

December 2018

December 2017

FIFR[1]

Rate

 

0.00

0.00

LTIFR[2]

Rate

 

0.96

1.27

TRIFR[3]

Rate

 

2.05

3.35

TIFR[4]

Rate

 

7.94

7.86

Total number of guest injuries[5]

Number

 

242

148

Total number of employee/contractor injuries[6]

Number

 

334

517

Total fatalities

Number

 

0

0

Africa

 

December 2018

December 2017    

FIFR[1]

Rate

 

0.00

0.09    

LTIFR[2]

Rate

 

0.09

0.00    

TRIFR[3]

Rate

 

0.70

191.04[7]

TIFR[4]

Rate

 

13.21

301.71[7]

Total number of guest injuries[5]

Number

 

0

6    

Total number of employee/contractor injuries[6]

Number

 

8

2 156[7]

Total fatalities

Number

 

0

1    

Latam

 

December 2018

December 2017

FIFR[1]

Rate

 

0.02

0.04

LTIFR[2]

Rate

 

3.47

4.27

TRIFR[3]

Rate

 

16.66

11.22

TIFR[4]

Rate

 

22.47

17.27

Total number of guest injuries[5]

Number

 

10

3

Total number of employee/contractor injuries[6]

Number

 

783

547

Total fatalities

Number

 

1

2

1

FIFR is the determination of the frequency of fatalities resulting from a work injury or work-related disease/illness, i.e. the number of fatalities per 200 000 employee hours worked.

2 LTIFR is the determination of the frequency of LTIs, i.e. number of LTIs per 200 000 employee hours worked.
3

TRIFR is the determination of the frequency of all RIs – inclusive of all fatalities, LTIs and MTCs per 200 000 employee hours worked.

4 TIFR is the sum of all injuries (i.e. FACs, MTCs, LTIs and fatalities) per 200 000 employee hours worked, where the difference between TRIFR and TIFR is the addition of FACs.
5 Total number of recordable guest injuries includes all injuries that required treatment other than first aid.
6 Total number of recordable employee and contractor injuries that required treatment other than first aid.
7 The material variance between 2017 and 2018 is due to the incorrect application of definitions by Royal Swazi Sun in the comparative period. This was corrected in 2018.

PERFORMANCE OVERVIEW

Following an extensive restructuring process in 2017, we focused on bedding down the refreshed health and safety framework and standard operating procedures. Progress made in 2018 is discussed below.

Work-related fatalities and frequency rates

Fatal injury frequency rates (FIFR)

It was with great sadness that we experienced a contractor fatality at Monticello during the period under review. With the assistance of its labour department, the unit implemented additional safety measures to improve control over contractors and subcontractors. No fatalities were reported in the South African or other African operations. The group remains committed to zero fatalities and reducing incident rates group-wide.

Lost-time injury frequency rates (LTIFR)

The LTIFR is measured and compared on a region-specific basis due to some challenges with accurate data reporting across our Latam operations. Our South African operations noted a significant reduction of 63% in the LTIFR over a three-year period. In 2018, we achieved a 24% reduction compared to a 51% reduction in 2017. These reductions were achieved through:

  • the development and implementation of our health and safety strategy and initiatives
  • further improvements in the reporting process
  • training on our reporting definitions
  • an improved focus on health and safety issues and awareness in the group.

The LTIFR at our African operations increased to 0.09 injuries per 200 000 hours worked (2017: 0.00).

The LTIFR in Latam has reduced to 3.47 injuries per 200 000 hours worked (2017: 4.27). Monticello achieved a 50% reduction in their LTIs which contributed significantly to the current reduced LTIFR. Due to new acquisitions in Peru, the 2017 data is not comparable to the current year’s data. Accurate reporting and the application of our sustainability definitions by our Latam properties remains a challenge that will be addressed in 2019.

Total Recordable injury frequency rates (TRIFR)

The TRIFR is measured and compared on a region-specific basis due to some challenges with accurate data reporting across our Latam operations. The rate in South Africa reduced by 39% to 2.05 injuries per 200 000 hours worked (2017: 3.35). This was in addition to the 44% reduction in TRIFR achieved in 2017. Over the past three years, we achieved an overall reduction of 66% in TRIFR. These reductions were achieved through the various initiatives implemented, ranging from improved data reporting to increased awareness and training initiatives.

Africa’s TRIFR reduced significantly to 0.70 injuries per 200 000 hours worked (2017: 191.04). The material variance between 2017 and 2018 is due to the incorrect application of sustainability definitions by Royal Swazi Sun in the comparative period. This was corrected in 2018.

The TRIFR in Latam increased to 16.66 injuries per 200 000 hours worked (2017: 11.22). Contributing factors for this increase include the additional properties and the ongoing challenges we are experiencing with data standardisation across Latam.

Reduction targets

In 2018, the group developed the first set of injury reduction targets for our South African units.

To establish realistic injury reduction targets, we researched the LTIFR and TRIFR averages of our sector (travel, hotels and leisure) and various other high, medium and low-risk sectors, as well as the overall JSE averages. Based on this research, we aligned our LTIFR target to the 2016 JSE average, and our TRIFR target to the 2017 JSE average. Our TIFR reduction target was based on an overall group reduction of 20%.

South African targets 2018

 

Achieved
2018

LTIFR

0.75

 

0.96

TRIFR

1.29

 

2.05

TIFR

5.92

 

7.94

Fatalities

0

 

0

Sun International did not achieve the first year’s injury reduction targets. With various initiatives prioritised to identify injury trends, reduce incidents and improve awareness, we aim to make significant progress in 2019.

The group is improving awareness and data reporting on OHS information for our African and Latam units, with the intention of implementing reduction targets for these regions going forward. To assist the Latam operations with the OHS initiatives, we developed a sustainability manual that will be translated into Spanish to ensure all units are aligned to the same strategy, use the same definitions and report data consistently.

Units with clinics provide on-site medical treatment to our stakeholders (employees, service providers, contractors, concessionaires and guests) when required. All unit incidents and treatments are recorded monthly, tracked to ensure the wellness and safety of our stakeholders, and compared with our reduction targets to ensure we continually improve the health, safety and wellbeing of our stakeholders.

Strategy

Our OHS strategy is defined by our sustainability strategy and overarching group business strategy. It is aligned to the requirements of international OHS standards and best practice for effective health and safety management. This ensures we remain socially and ethically responsible.

Our OHS strategy reinforces how health and safety impacts our ability to:

  • maintain memorable guest experiences
  • protect the communities where we operate
  • meet our shareholders’ expectations
  • maintain and improve our reputation
  • reduce financial impacts on our bottom line.

To achieve our OHS goals and commitments, Sun International integrates OHS management into sustainable group practices throughout every level of our business. This integration assists the group in creating value, improving efficiencies and saving costs.

Our primary health and safety objectives are to:

  • maintain compliance with applicable occupational health and safety legislation
  • fully integrate health and safety into all aspects of the business
  • identify, implement and achieve health and safety reduction targets set for the group
  • reduce incident rates and improve our guest experience
  • foster a proactive and caring health and safety culture and workforce that lives by the SunWay culture
  • standardise and manage our activities, operations, processes and risks in an integrated, efficient and controlled manner
  • prevent harm, reputational damage, and reduce our risk through implementing health and safety initiatives
  • position our organisation as an industry leader in health and safety.

Governance and risk management process

Our health and safety governance and risk management process is shown below. The group’s health and safety policy details our commitment to improving our health and safety performance. Each property has an approved site-specific health and safety policy, which is reviewed annually and aligned with the group policy.

Compliance

Safety management is critical to the group’s strategy and is underpinned by the OHS legislative frameworks in the countries in which we operate. As a result, we are focused on achieving and maintaining compliance within all aspects of safety management. To facilitate this process, we implemented a compliance management platform that creates a ‘management-on-the-go’ mindset in terms of compliance and safety management. Using this technology, SHE professionals complete compliance checklists, SHE audits and risk assessments on the platform. They have access to all local, regional and national SHE legislation.

In addition to the compliance management platform, we conduct audits to verify compliance with applicable SHE legislation. By training and employing dedicated SHE professionals at our South African units, we developed a SHE cross-unit audit programme whereby our internal SHE professionals were trained to serve as internal compliance auditors. This creates an environment conducive to sharing SHE knowledge and experience across our business units. The compliance department implemented a compliance assurance process to ensure that any non-compliances identified are rectified within the specified closeout period, and escalated to the necessary management committees if required.

Our international properties are governed by applicable local laws. The units adopted specific health and safety standards. All international operations comply with relevant laws and regulations and successfully implemented SHE policies, standards and systems.

By integrating functional departments, we break down silos, improve communication, and manage compliance. This includes departments like food and beverage, legal and compliance, internal audit, human resources, procurement, IT, events, public relations and marketing, development, and maintenance. Integration is critical to implementing our OHS strategy effectively and creating a health and safety culture.

Fire and life safety

Fire and life safety audits are conducted annually by an independent third party to ensure that all fire and life safety risks are identified. All units receive detailed reports with concerns and possible risks to be addressed. Detailed action plans are developed and implemented to mitigate and control our shareholder risk. A group fire standard was developed in 2018 to ensure standardisation and conformity to the design, installation and maintenance of our fire systems.

Culture programme

While compliance is the cornerstone of managing safety, our employees’ drive these initiatives within our units. This necessitated developing and implementing a sustainability culture programme. This programme informs our three-year tiered approach to changing behaviour group-wide. It focuses on health and safety, environment and SED.

Improved awareness

Our group-wide SHE communications and integrated awareness strategy ensures collaborative communication across all units in South Africa. An awareness calendar is used to break down silos and align with the group’s SunWay formula for success.

Group safety and health awareness day calendar

Month

Awareness event

February

Healthy Lifestyle Awareness Day

April

World Day for Safety and Health at Work

July

Corporate Wellness week

October

Mental Health Awareness Month

In addition to basic awareness, we ensure all employees are aware of their health and safety responsibilities by facilitating induction training for all new employees. Employees exposed to risks in the working environment, and who are responsible for ensuring compliance to specific regulations also undergo compliance and specialised training based on the risk involved. This training extends to all service providers and contractors that are contracted to perform work on-site on behalf of Sun International. All our OHS training requirements have been standardised for our South African units.

Group SHE management system

An IMS aligned with ISO 45001:2018 and ISO 14001:2015 was developed to standardise SHE management and reporting. The IMS is hosted and managed through the compliance management platform. The system will be implemented across our South African properties in 2019.

Group health and safety policy commitments

  • Adopting a zero-tolerance approach to harm without affecting the quality of our service
  • Developing, implementing and maintaining a health and safety management system aligned with ISO 45001 standards
  • Ensuring compliance with relevant health and safety legislation, regulations and standards
  • Identifying, assessing and adopting appropriate measures to prevent, minimise or eliminate risks to all our stakeholders
  • Ensuring preparedness to respond to any emergency
  • Communicating and promoting awareness of shared employee responsibility and accountability, and engaging with our stakeholders
  • Demonstrating responsible health and safety behaviour through strategic objectives, targets, internal and external reporting, employee training and development, guest awareness, and governance, and encouraging a group-wide health and safety culture.

Chile
Sun International acquired seven properties in Chile. All these properties are governed by various laws, including but not limited to the Supreme Decree No 40, 54, 76, 109 and 594, and Law No 16744 and 20123 of Chile. They did not adopt any international standards. However, their legislation governs the minimum requirements and guidelines for a health and safety management system.

Panama
Ocean Sun Casino is governed by the Panamanian labour code with no specific legislation developed in terms of health and safety. The unit adopted Sun International’s standards. However, a health and safety management system has not been developed.

Peru
With Sun International’s Sun Dreams acquisition, we have five properties in Peru. These properties are governed by Law 29783 on Health and Safety at Work, as well as various regulations and international conventions which were ratified into law. They are required to comply with the National System of Health and Safety at Work.

Argentina
The Sun Dreams group recently acquired a property in Mendoza. This property is governed by various resolutions for occupational health, hygiene and safety of various working risks, covering a similar scope as the South African OHS Act 85 of 1993.

South Africa
In South Africa, we are governed by the following health and safety legislation, including but not limited to:

  • OHS Act 85 of 1993 and its regulations
  • Compensation for Occupational Injuries and Diseases Act 130 of 1993
  • Safety at Sports and Recreational Events Act 2 of 2010 and its regulations
  • National Health Act 61 of 2003 and its regulations
  • National Building Regulations and Building Standards Act 103 of 1997

Swaziland
Royal Swazi is governed by the Occupational Safety and Health Act 9 of 2001 of Swaziland, which is similar in its application to South African legislation. The unit adopted various health and safety management system elements to ensure compliance without adopting a specific international standard.

Nigeria
Federal Palace is governed by the Occupational Health and Safety Act 2012, Employee Compensation Act 2011, and the Labour Act Chapter 198 1990 of Nigeria. The unit adopted Sun International and Nigeria’s OHS and management system standards. The unit is inspected regularly by the authorities based on legislative provisions, in particular the health and environmental teams. To date, zero non-compliances have been identified.

HEALTH MANAGEMENT

Medical surveillance

Sun International protects employees’ health through various compliance and best practice initiatives. All South African units are required to conduct occupational hygiene assessments every two years and a health risk assessment every year, as prescribed by legislation. These assessments identify employee health risk exposures, and the measures required to mitigate, control and prevent their health from deteriorating. Where additional monitoring is necessary, a medical surveillance programme is required in terms of the OHS Act 85 of 1993 and its regulations, with specific reference to certain regulations. We developed and implemented a medical surveillance programme to monitor our risk exposure in respect of these regulations. We conduct medical examinations on a scheduled basis, as specified by the medical surveillance programme.

Occupational hygiene and medical surveillance regulations

  • Construction Regulations (GNR 84)
  • Asbestos Regulations (GNR 155)
  • Hazardous Chemical Substances Regulations (GNR 930)
  • Hazardous Biological Agents Regulations (GNR 1390)
  • Lead Regulations (GNR 236)
  • Noise-Induced Hearing Loss Regulations (GNR 307)
  • Ergonomics Regulations (draft).

Health and wellness

One Sun Wellness, our wellness programme, provides employees with health and wellbeing facilities to improve their mental and physical health. The programme provides trauma counselling to employees and their immediate family members, and facilitates HIV/Aids monitoring through on-site testing, which includes HIV and health risk assessments. The programme operates in conjunction with our human resources department.

Our guests are equally important to us, as we would have no business without them. Protecting their health and safety is how we create memorable experiences. As such, proactive health and safety management is crucial to effectively anticipating our health and safety risks and mitigating them timeously. The group continually looks for ways to improve the safety and wellbeing of our employees and guests. Through our ongoing reporting system, we identify incident trends and take appropriate action to minimise and prevent the recurrence of similar incidents.

Hygiene and food safety

Being in the entertainment and food and beverage industry, the group is largely guest facing and requires great focus on guest safety and employee hygiene. Sun International monitors hygiene and food safety quarterly through an independent, third-party and SANAS-accredited laboratory. The following areas are covered in the assessments and quantified into indices:

  • microbiological evaluation as per standard protocol
  • scrutiny of visual cleanliness throughout food production areas
  • full appraisal of food safety practices
  • detailed inspection of facilities, including design, structural and maintenance issues
  • investigation of relevant documentation and compliance with legislation relating to food hygiene practices.

All new employees are trained by accredited training providers to maintain high standards of food safety and practice good hygiene. Refresher training is provided annually to all food and beverage employees. Ongoing awareness campaigns reinforce the need to practice good hygiene across the group.

As depicted in the graphs below, Sun International achieved 92% compliance in its overall microbiological index for the South African and African units (2017: 94%). This is testament that our food and beverage departments are managing cleanliness and hygiene in critical areas, and we successfully achieved the group target of 90%. The overall walkthrough risk index improved by 1%, and we achieved 86% compliance (2017: 85%). Issues identified were mainly due to a lack of ongoing maintenance and infrastructure challenges experienced in our kitchens. We have plans in place to address these shortcomings. Our combined average (microbiological and walkthrough risk indexes combined) remains at 89%.

Sun International group hygiene averages year-on-year

In 2018 there was an outbreak of listeriosis and bird flu in South Africa. Sun International’s health and safety, food safety and procurement procedures ensured that no units were impacted by these diseases.

Legionella risk management
Legionnaires’ disease[1] is a significant risk in the hospitality industry. Sun International monitors this risk through an independent third-party assessment and the use of SANAS-accredited laboratories.

1 Legionnaires’ disease is a form of atapical pheumonia caused by the inhalation of Legionella bacteria, which can be found in hot and cold water systems.

Group Legionella averages year-on-year

As depicted in the graphs, Sun International’s Legionella microbiological index reduced by 1%, and the Legionella risk index reduced by 5% compared to 2017. The reduction in our risk index is primarily due to the introduction of the SANS 839 standard for Legionnaire’s disease. This standard imposes stricter requirements on the group that were not enforced previously. Plans are in place to improve our risk index further.

Sun International is committed to providing a safe environment for all our stakeholders. Through our dedicated team of professionals, improved systems and procedures and ongoing training and awareness, we aim to ensure memorable experiences for all.

LOOKING AHEAD

  • Implementing the SHE e-learning and behavioural change projects as part of the integrated sustainability culture change programme
  • Implementing the group’s integrated SHE management system
  • Implementing incident reduction initiatives
  • Implementing the group fire safety standard
  • Improving compliance management and monitoring through the compliance management platform
  • Standardising reporting of requirements and aligning health and safety management to South African standards in Latam by rolling out our sustainability manual
  • Improving integration to implement preventive maintenance plans.

HEALTH AND SAFETY INITIATIVES

Sun International collaborated with the National Burn Association of South Africa to promote burn awareness during February 2018. The awareness focus on types of burns, how they impact people’s lives, and how people can protect themselves and their family against burns and fire.

To promote participation and create a culture of caring employees, Sun City established a SHE representative club in February 2018 for its SHE representatives. In November 2018, the top SHE representative club members were awarded for their assistance in promoting a safe and healthy working environment, and supporting the unit’s SHE initiatives.

In June 2018, various units raised awareness around drug abuse. Wild Coast Sun partnered with the South Coast Recovery Centre, SAPS and Mzamba Youth Centre to raise awareness about drug and substance abuse. The awareness day focused on our employees, surrounding communities’ leaders and youth.

In a show of drug awareness support, employees at various units tied yellow ribbons around trees on their properties.

.

In celebration of corporate wellness week, our units incorporated wellness elements into their annual wellness days. Maslow Time Square sponsored stress balls for all the units and awareness posters were distributed.

In celebration of world hearing day in March 2018, Golden Valley invited the National Institute for the Deaf to inform employees on how they should protect their hearing. Awareness was created around how and when to uses PPE and how loud sounds and noises can affect your hearing over a period of time.

In May 2018 we raised awareness about working at heights and using ladders. Email communication was distributed to employees.

November is eye safety awareness month, and employees were given eye safety packs. Awareness posters were also distributed.