Our approach to motivate the personnel is based on the principles of ensuring a decent level of remuneration, transparency and respect for the rights of all employees. All changes to the remuneration system are made taking into account the opinions and suggestions of the parties concerned.

KMG Group of Companies does not distinguish between the base official salary and the remuneration system depending on gender differences. The level of salary in the organizations of KMG Group of Companies is linked to a position, i.e. men and women working in the same position receive the same salary and other benefits provided for by the remuneration rules in effect in the organization.

The payroll system for the supreme management body and management personnel focuses on performance, motivation, productivity and performance improvement, and includes the elements of short-term rewards based on the KPIs achieved. In accordance with the best global practices, the performance of executives represents the economic, environmental and social objectives of the Group.

The companies in the Exploration and Production business area have introduced the Unified Remuneration System (URS) aimed at ensuring a unified procedure for remuneration in all subdivisions and increasing the interest of employees in hob performance. This system provides for a number of conditions under which compensation payments, increments and additional payments are provided to employees; one of these criteria is the Regional Coefficient – an indicator of the relative increase in wages in order to compensate for additional expenses and increased labour costs associated with work performance in the regions with severe climatic conditions. The highest value of this coefficient is in Mangystau and Atyrau Oblasts.

The ratio of entry-level wages in the Group to the statutory national minimum wage for 2022 ranges from 5.8:1 (in 2021: 5:1, in 2020: 6:1).

In 2022, due to increased inflation in the Republic of Kazakhstan, wages for the production personnel of SDEs of KMG Group were increased by 30 % compared to 2021, and wages for the Corporate Centre of KMG and other employees of KMG Group were increased by 10 %.

The percentage of top managers (top manager means a chief executive officer and deputies) in the regions of presence (a region of presence means a region (oblast, district) of operations), who are hired from among the representatives of the local population (citizens of the Republic of Kazakhstan), is 78 % (2021: 87 %, 2020: 87 %).

The percentage of employees being members of the management personnel is 10 % of the total number of employees, Including women – 18 % (18 % in 2021, 18 % in 2020) and men – 82 % (82 % in 2021, 82 % in 2020).