Defining the Purpose of an Occupational Health and Safety Agreement

Essential Actions

Define the purpose of the occupational health and safety agreement in consultation with the contractor to
ensure long-term support of the agreement.
Tip: The agreement should provide the operator and contractor the opportunity to declare that they will work
together to provide a safe and healthful workplace.

Consider occupational health and safety priorities in relation to contractual requirements for technical and
financial performance to determine where they fit in.
Tip: It may be appropriate and advantageous to coordinate occupational health and safety with other priorities
within the contract (e.g., including occupational health and safety goals with other performance goals associated
with bonuses or other recognition or reward plans).

Determine if the occupational health and safety agreement will form a separate agreement or become part of
the overall project contract.
Tip: In some cases, a separate agreement helps emphasize occupational health and safety requirements while a
single consolidated agreement helps integrate occupational health and safety into the overall project commitments.

Determine how the occupational health and safety requirements established within the agreement will be
managed, monitored and audited.
Determine how authority and responsibilities assigned to contractors under agreements fit with the operator's
overall management of occupational health and safety.
Tip: It is essential to understand how assignments of authority and responsibility to contractors might impact the
operator's overall occupational health and safety management approach. For example, authority to spend money on
safety equipment or ergonomic design assigned to one contractor should be considered in the operator's overall
plan for these areas to ensure consistency and compliance with operator standards.

Defining the Contents of the Agreement

Essential Actions

Define the scope of the occupational health and safety agreement to include the following elements.
o Description of the work to be executed and known hazards.
o Operator and contractor expectations and responsibilities.
See also: 3.3.1 Guidance for Defining Responsibilities in an Occupational Health and Safety
Agreement.

o
o
o
o
o
o
o
o

Risk management (e.g., hazard identification and mitigation).

Requirements for contractor occupational health and safety programs or compliance with
operator programs (including health and safety rules, practices and site-specific procedures).
Insurance requirements and account status (e.g., general liability and worker compensation
insurance).
Personal protective and safety equipment requirements (e.g., provision, maintenance and use).
First aid facilities and supplies.
Occupational health monitoring.
Specific procedures and contingency plans for hazardous materials and critical tasks.
Occupational health and safety communications (e.g., orientations, pre-job meetings, tailgate
meetings and regular safety meetings).
See also: Element 9 Health and Safety Communications in the 8.0 Model Occupational Health and
Safety Program for Contractors for definitions of meeting types.

Incident management, reporting and investigation.

See also: 3.3.2 Guidance for Defining Incident Management Requirements.

Monitoring, audit and inspection requirements.

Tip: It is essential that contractors participate in any audits or inspections of their occupational health
and safety programs and worksites. This requirement should be included in the agreement.

Routine occupational health and safety reporting requirements.

Compliance with regulations and operator requirements.
Due diligence.
Worker competence, based on occupational health and safety training (including access to
occupational health and safety training records).
o Occupational health and safety committees.
Ensure the wording in the agreement is clear and understood by the contractor.
Review the occupational health and safety agreement in a pre-job meeting with the contractor to ensure
both parties clearly understand their respective duties and responsibilities, and to review the
occupational health and safety programs and requirements of the job.
Identify a supervisor, either from the operator or contractor staff, who will be responsible and
accountable for ensuring compliance with all the occupational health and safety requirements.

o
o
o
o

Tip: In some companies, responsibility for ensuring compliance with health and safety requirements is
assigned to both the contractor's general or project manager and the operator's manager with overall
responsibility for managing the contract. This level of assignment ensures the management of health and
safety requirements is fully integrated with the management of other contractual requirements.

Ensure that good two-way communication is established between the contractor and the operator.
Tip: This can be established through joint safety committees, joint safety meetings or team inspections and
audits.

3.3.1 Guidance for Defining Responsibilities in an Occupational Health and Safety Agreement

Define key operator responsibilities to include:

providing safe work standards and practices that meet or surpass current legislation
promoting safe and healthful work practices
providing a safe and healthful work place
reviewing and evaluating the contractors occupational health and safety program and
performance record prior to hiring
o ensuring contractors are aware of and meet their responsibilities under applicable state and
regional government legislation
o ensuring everyone on the operators worksites is adequately trained and competent
o ensuring everyone on the operators worksites follows safe work practices and works safely
o assigning an operations representative to be responsible for all aspects of each project
o assigning an occupational health and safety representative for each project
o ensuring that subcontractors hired by the contractor to work on a project are qualified and trained
to manage occupational health and safety issues with the same capability as the contractor
o ensuring that the operators representative responsible for administrating the contract is also
responsible for all occupational health and safety aspects of the contract
Define key contractor responsibilities to include:
o providing safe work standards and practices that meet or exceed current legislation and the
operators requirements
o promoting safe and healthful work practices
o ensuring employees and subcontractors are aware of and meet their responsibilities under
applicable state and regional government legislation
o ensuring employees and subcontractors are adequately trained and competent
o ensuring employees and subcontractors follow safe work practices and work safely
o assigning an occupational health and safety representative for each project
Tip: The assignment of occupational health and safety representatives will vary depending on the
number of workers on the worksite, the level of hazards present and local regulatory
requirements.

o
o
o
o

3.3.2 Guidance for Defining Incident Management Requirements

Require contractors to have incident management plans or follow the operators plans.
Ensure plans include:
o training, exercises and drills
o risk-specific and worksite-specific response plans (e.g., fire, fatality, missing person)
o incident reporting, investigation and follow-up

Require contractors to immediately report all incidents to the operators designate and cooperate and
participate in all investigations and follow-up activities (e.g., action plans).

3.4 Background
Occupational health and safety agreements provide opportunities at the beginning of a project for both the
operator and contractor to very clearly state their expectations and specific requirements. Through the
negotiation process, the parties also have the opportunity to build a positive relationship and a means for
communicating that can provide benefits throughout the project. The agreement itself provides very clear
statements of how each party is to behave and can be used very effectively to monitor compliance and identify
concerns before incidents happen.
All agreements should be prepared with legal counsel. Contractors, particularly smaller ones that rely on the
operator to create the agreement, should obtain legal advice to ensure their expectations, requirements and
interests are effectively addressed.
Once agreements are signed, contractors must ensure all their employees and subcontractors are prepared to
meet their commitments. The operator can assist in this process but is not directly responsible for the
competence of its contractors.

Model Occupational Health and Safety Program for Contractors

8.1 Introduction
Effective occupational health and safety programs reduce injuries and loss, save time and money, improve
production over the long term and contribute to a better working environment. Because contractors play such a
large role in the oil and gas industry and typically experience many more injuries and fatalities than operators, it
is essential they:
maintain effective occupational health and safety programs
provide their services in a manner that meets regulatory requirements and the requirements of the
occupational health and safety programs of the larger companies for which they work
conduct reviews and audits of their programs and performance
assist operators in their reviews and audits of the contractor's programs and performance
The following model illustrates the key elements and topics that should be included within a contractor's
occupational health and safety program. Oil and gas companies can use this model program as a baseline
measure against which contractor occupational health and safety programs can be compared for contract awards.
Where contractor programs are inadequate, operators can also give this model program to their contractors to use
in developing or upgrading their occupational health and safety programs. Used in conjunction with assistance
from operators, this model program can offer contractors an effective and efficient approach to improving safety
performance. It also suggests tools for effectively managing occupational health and safety over the long term.

8.2 Program Elements

Element 1: Management and Leadership
Demonstrate the company's commitment to providing a safe work environment and ensuring workers meet
minimum safety requirements by developing:
Statement of Commitment. Prepare a statement that presents the occupational health and safety goals
and values of your company.
Occupational Health and Safety Policy. Develop an Occupational Health and Safety Policy that
presents your company's intentions related to planning, compliance, responsibility, communication,
training and performance. The policy should illustrate how these components are structured and
implemented.
Occupational Health and Safety Responsibilities. Define the key occupational health and safety
responsibilities of all levels of management within your company. Include the board of directors,
president, various levels of management and field employees.
Management Visibility. Ensure company management is visibly committed to promoting occupational
health and safety principles by including references to occupational health and safety in speeches, and
communications and by visiting field locations to observe health and safety activities and provide feedback
and input.
Advanced Safety Audits. Institute a program of advanced safety audits and ensure results of audits are
continuously provided to employees and management.

Element 2: Hazard Identification and Control

Design a process for hazard identification and control to identify all workplace hazards and eliminate or reduce
them to an acceptable level. Ensure the process includes assignment of responsibilities, identification and
assessment of hazards, hazard severity ranking, training, an assessment of current hazard controls and plans for
eliminating or reducing hazards. The process should also include verification of hazards already identified by the
operator as well as any control measures planned or implemented to address them.

Element 3: Compliance with Existing Regulations and Operator Standards

Ensure that your company understands and is in compliance with all occupational health and safety regulatory
requirements for the jurisdiction in which you work. Develop a process for keeping abreast of regulatory
requirements, for disseminating requirements to company employees and subcontractors and for ensuring
compliance with these requirements. Also ensure a process for defining communicating and enforcing standards
set by your company that may go beyond regulatory requirements.

Element 4: Personal Protection Equipment

Provide, maintain and require the use of personal protective equipment in accordance with the hazards at the
worksite and the operator's requirements.
To do this effectively:
identify all hazards that cannot be eliminated or reduced to an acceptable level
classify remaining hazards based on their potential impacts
select the most appropriate personal protective equipment and ensure:
o all employees are trained in the use and maintenance of personal protective equipment
o personal protective equipment is kept in good working order
o personal protective equipment is used where appropriate
o requirements are understood and enforced

Element 5: Occupational Health and Industrial Hygiene

Ensure measures are in place to implement industrial and occupational hygiene practices for long-term health.
Establish appropriate practices based on an assessment of immediate hazards and long-term risk. Include surveys
and inspections to identify and monitor hazards, training appropriate to the identified hazards, appropriate
personal protective equipment, information related to the potential hazards and if possible methods for
substituting hazardous chemicals with chemicals that are less hazardous.

Element 6: Inspections and Reports

Develop a program to record unsafe and unhealthful practices and to conduct routine and ongoing inspections of
worksites to identify and locate areas that are sources for potential incidents. Through regular inspections and
reporting, worksites can be closely monitored for hazards. Ensure the inspections and reports cover all known
hazards and are:
specific to the worksite
specific to work activities relative to the potential risk to the contractors health and safety
specific to certain work groups, considering their exposure to occupational risks (physical, chemical,
biological, ergonomic, etc.)
routine and ongoing
conducted by trained employees
Include in the program procedures for assisting the operator in any inspections it conducts while monitoring the
contractor's occupational health and safety performance or program.

Element 7: Emergency Response

Describe your company's approach to emergency response planning and provide references to specific
contingency plans that exist within your company. Ensure emergency response plans provide:
information on initial actions (i.e., First-hour Response)
risks covered by the plans
written procedures for all potential incidents (e.g., oil spills, bomb threats, explosions or fires, hydrogen
sulphide or sweet gas release)
current lists of all company employees and external emergency contacts

procedures for reporting

a process for maintaining plans
a process for integrating your company's emergency response programs with the operator's and other
contractors on site

Element 8: Competence and Training

Develop an occupational health and safety training program aimed at reducing injury and property damage.
Ensure your training program is designed to increase the qualifications and skills of all employees and
subcontractors working for your company. Be sure to include requirements for orientation for all new employees
and subcontractors, responsibilities of particular tasks beyond general occupational health and safety regulations,
a system to log and track training, and a review process to ensure consistent performance.

Element 9: Health and Safety Communications

Ensure your occupational health and safety program is clearly communicated to all employees through the most
effective method to efficiently convey the message. Consider the use of:
regular occupational health and safety meetings that include all employees involved (e.g., operator
employees as well as contractors and their employees and subcontractors)
pre-job meetings to review the details of each particular job with employees and subcontractors before
the job starts
daily tailgate meetings to review particular safety issues for the coming shift
field safety meetings
newsletters, performance reviews and pay envelope inserts
At a minimum, hold regular safety meetings to review facility and job hazards, incidents, near misses, sitespecific rules and procedures and applicable policies.

Element 10: Incident Prevention, Reporting and Investigation

Ensure your company has a system for preventing, accurately reporting and investigating occupational diseases,
incidents, near misses and spills and investigating incidents to identify root causes and facilitate actions to
prevent recurrence.

Element 11: Safe Work Practices and Procedures

Ensure your company has a system to create, maintain and effectively communicate safe work practices and
procedures. Used effectively, practices and procedures allow employees to complete operational tasks without
incurring personal injury or property damage. Make practices and procedures specific to required tasks (e.g.,
confined space entry) and identify the potential hazards that may be present. Include information on how workers
are to conduct the work in a safe and healthful way, what skills or training they need to be properly qualified to
conduct the work, and how they are to control risks they cannot eliminate. Ensure this information is posted and
distributed in a practical and readily available format.

Element 12: Subcontractor Management

Ensure that there is a program for subcontractor management that is consistent with, or adopts, the operator's
occupational health and safety rules and requirements. Often there is little or no distinction between contractor
employees and operator employees so it is expected that contractor and subcontractor employees will conduct
themselves in a safe and professional manner consistent with the operator's employees. Ensure your employees
and subcontractors understand the rules of conduct and are familiar with the working environment.

Element 13: Administration and Management of Change

Facilities, operations and systems are subject to continual change and improvement. Management of Change is a
process for ensuring the overall impacts to operating systems are understood and result in the appropriate
controls being implemented to protect company people and assets. Ensure there is a process for managing

changes to facilities, operations and systems as well as for all new projects and that the process must be followed
consistently.

Element 14: Safe Work Permits

Introduce a process of safe work permits to control, coordinate and communicate work activities that are
classified as hazardous non-routine tasks. Ensure employees and subcontractors complete permits for all tasks
considered non-routine. Where work is not completed by the expiration time, ensure the permit is renewed.
Return the permit upon completion of the job. In addition, ensure this element contains specific instructions for
the responsibilities of operators and contractors with respect to safe work permits when both parties have work
permits.

Element 15: Simultaneous Operations

Ensure your system contains specific guidance on ensuring that health and safety requirements are met during
situations where simultaneous operations are occurring (e.g., drilling w/rigging). When simultaneous operations
are underway, the level of risk can be elevated and it is imperative that extra precautions are instituted to deal
with increased number of hazards and the elevated levels of risk.

Guidance for Defining Occupational Health and Safety Qualification Criteria

Define requirements for general occupational health and safety qualification criteria including:
o overall occupational health and safety experience and history (e.g., health and injury history of
workers)
o financial capacity (e.g., ability to meet liabilities resulting from potential incidents)
o necessary occupational health and safety equipment to complete the work safely
o preventive maintenance for all equipment
o available staff and subcontractors and their respective qualifications
o required licenses
o lines of authority
o occupational health and safety plans and procedures
o programs for identifying, monitoring and managing potential causes of occupational health
impacts and diseases
o programs for identifying and monitoring non-occupational disease indicators (e.g., smoking, drug
and alcohol abuse) and their impacts on the workplace
o commitment and programs for encouraging healthy lifestyles (e.g., employee fitness and
assistance programs) at and away from work
o general liability and worker insurance information (e.g., coverage, status and statistics)
o human resource skills
o logistics necessary for the job
o reporting of past fines and penalties
o reporting of past safety records (e.g., incident statistics and documentation)
o reporting of past health records (e.g., statistics and frequency indicators of absences due to
health issues)
Define minimum training and certification requirements for contractor employees and subcontractors,
including:
o first aid and cardio-pulmonary resuscitation
o prevention of endemic and regional diseases
o fire prevention and control
o confined space entry
o prevention of specific risks (hydrogen sulphide, high-voltage works, high-pressure works)
o extreme weather survival
o defensive driving
o ground disturbance (i.e., prevention of contact with underground utilities)
o ergonomic design and evaluation of work processes and workplaces

Establish the level of emergency preparedness, response and recovery necessary, including:
overall emergency response capabilities (e.g., training, exercises, response plans and access to
equipment)
o specific incident response plans for preventing further deterioration once an incident occurs (e.g.,
stabilization actions that help to prevent the incident from escalating)
o specific mitigation plans for eliminating the risk once the situation has been stabilized
o specific recovery plans to reduce the long-term risk and return to normal operations

2.2.2 Guidance for Developing Effective Questionnaires

Ensure questionnaires focus on evaluating the occupational health and safety performance of potential
contactors.
Cover all occupational health and safety concerns and activities that may be relevant, not only those on
specific worksites.
Have a responsible individual, preferably a line manager, validate the questionnaire before sending it out.
Ask respondents to provide detailed answers and supporting documents as appropriate to validate their
responses.
Encourage contractors to identify where they surpass your company standards and areas where they do
not meet the required standards.
If necessary, contact respondents to clarify any questions arising from their answers to the questionnaire.
Define a scoring mechanism to ensure consistency in assessment of respondent answers.
Tip: ARPEL has already developed a detailed questionnaire and scoring mechanism for evaluating contractor
performance. These can be used as a base for developing a more specific questionnaire for use as part of a prequalification process in the selection of contractors.
See also: Figure 3: Questionnaire for Contractor Occupational Health and Safety Pre-Qualification, and ARPEL
Report on "Safety Issues for Contractors in the Upstream and Downstream Sectors of the Oil and Gas Industry",
2000, Appendix A Evaluation of Contractors.

Figure 3: Questionnaire for Contractor Occupational Health and Safety Pre-Qualification

Section
Management and
Leadership

Questions
Are senior managers personally
involved in OHS management
through OHS activities, objective
setting and monitoring? How?

Can you provide evidence of

commitment to OHS at all levels
in your organization?

Do you promote a positive culture

towards OHS issues? How?

Does your company have an OHS

policy? (please attach)

Is there a senior manager

responsible for OHS in your
organization? Who? (name,

Yes

No

Comments

position)

Is your policy statement made

available to all employees? How?

Do you advise employees and

subcontractors of changes in the
policy? How?

Do all levels within your company

have specific OHS
responsibilities?

Do you set and enforce OHS

performance standards?

Hazard
Identification and
Control

Do you have techniques within

your company for identifying,
assessing and controlling
hazards? Please describe.

Do you have systems in place to

monitor the exposure of your
employees and subcontractors to
chemicals or physical agents?

Do you advise employees and

subcontractors of hazards related
to chemicals, noise, radiation
etc.? How?

Regulatory
Compliance

Does your company have a

system for understanding and
ensuring compliance with
applicable regulatory
requirements?

Do you identify new industry or

regulatory standards that are
applicable to your operations?

Occupational
Health and Safety
Rules

Does your company have a set of

occupational health and safety
rules?

Do you have a drug and alcohol

policy in your company?

Is there a process for enforcing

rules?

Personal Protective Does your company have a policy

Equipment (PPE)
for use of personal protective
equipment (PPE)?

Are all employees and

subcontractors trained in the use
and maintenance of PPE?

Is the PPE in your company

properly maintained and in good
working order?

Are requirements for use of PPE

understood and enforced?

Industrial and
Occupational
Hygiene

Does your company have

measures in place to protect the
long-term health of employees
and subcontractors?

Does your company have a

process for identifying and
reducing long-term health and
hygiene risks?

Are your employees provided

with PPE related to health and
hygiene risks?

Occupational
Health and Safety
Inspections and
Reports

Does your company have a

program for conducting routine
and ongoing inspections of
worksites?

Do you have trained employees

to conduct these inspections?

Does your company have a

process for monitoring
performance of employees and
subcontractors?

Do you maintain records of

incidents and OHS performance?
Are the results of inspections
made available to employees and
subcontractors? How?

Emergency
Response

Does your company have

emergency response plans?

Are the plans specific to the risks

faced in your operations?

Are employees and

subcontractors trained to respond
to emergencies?

Are emergency plans tested and

upgraded through tabletop and
field exercises?

Competence and
Training

Have senior managers received

OHS training related to their
responsibilities?

Does your company have a

process for ensuring new
employees have the necessary
OHS training?

Does your company provide

orientations to train new
employees or subcontractors?

Is there a program to ensure that

existing employees and
subcontractors maintain their
expertise through training?

Is specialized training provided to

employees or subcontractors who
deal with specific hazards not
covered in routine training?

Health and Safety

Communications

Does your company have an OHS

Committee at the senior level of
management?

Does your company have

processes for communicating
OHS information?

Do you hold regular OHS

meetings with all employees and
subcontractors?

Do you hold pre-job meetings to

review details of each particular
job?

Do you hold field safety

meetings?

Do you have other methods for

communicating OHS information?
Please describe.

Incident Reporting
and Investigation

Do you have a requirement for

reporting and investigating
incidents?

Are near misses reported?

Are findings of investigations

used to correct problems?

Are findings of investigations

communicated to employees and
subcontractors? How?

Who is responsible for conducting

incident investigations?

Safe Work Practices Does your company have an OHS

and Procedures
manual that describes approved
work practices and procedures? If
yes, please provide copy.

Do you have a process in place to

ensure that company practices
and procedures are followed?
Please describe.

Does your company have

practices or procedures for
preventing road or vehicle
incidents?

Please provide any

additional
information or
comments.

2.3 Evaluating Occupational Health and Safety in the Bidding Process

Essential Actions

Define a method for evaluating occupational health and safety criteria that:
o can be documented
o provides measurable results
o is consistent with evaluation methods used to assess technical capability and price
o establishes priorities for the various criteria
See also: 2.3.1 Guidance for Evaluating Occupational Health and Safety Program Documentation.

Consider using a points system to evaluate occupational health and safety criteria.
See also: 2.3.2 Guidance for Measuring Quality in Occupational Health and Safety Criteria and Figure 4:
Sample Evaluation Matrix.

Pay particular attention to:

o quality of contractor occupational health and safety programs
o knowledge of risks and remedial actions
o historical records of the contractor's occupational health and safety performance (e.g., incident
statistics)
o how the contractor plans to manage the interaction between your company's occupational health
and safety management system and the contractors occupational health and safety
management program
If a contractor doesn't have a documented occupational health and safety plan, ask the contractor to
provide a description and outline of a plan it would be able to develop and implement if it were awarded
the project.
See also: 8.0 Model Occupational Health and Safety Program for Contractors.

For those contractors who have previously been used by your company, assess their performance
through the use of closeout reports and other historical records.

2.3.1 Guidance for Evaluating Occupational Health and Safety Program Documentation

When reviewing contractor occupational health and safety programs, look for documentation that
describes information about:
o current occupational health and safety goals and objectives as well as progress toward them
o overall occupational health and safety management system components (e.g., policies, sitespecific procedures, training, professional qualification, hazard identification and control, incident
management) and how they are interrelated
o objectives of occupational health and safety plans developed for past jobs as well as descriptions
of any associated hazards and the controls used
o current contracting procedures and management processes for interacting with operators
o past and current compliance with legal, normative and contractual issues
o strategies for supervision
o past interactions with operator plans and programs (e.g., emergency response plans)
o types and schedules of past occupational health and safety training programs as well as
descriptions of past operator and contractor training requirements
Involve the contractor directly in the review of the documentation to provide clarifications as necessary.

2.3.2 Guidance for Measuring Quality in Occupational Health and Safety Criteria

Assign a numeric value to each item in your occupational health and safety criteria (e.g., 5, 10 or 15).

Prioritize criteria according to the assigned numeric value (e.g., criteria worth 15 points are more
important in the evaluation process than criteria worth fewer points).
Chart the criteria in order of priority in a matrix.
Provide columns for each of the bidding contractors.
Apply a score to each criterion for each contractor to the maximum of the assigned value for the criterion.
Evaluate the scores to determine which contractors scored highest in the areas of greatest priority.
Add the scores and analysis into the overall bid analysis (e.g., price and technical capability).
See also: Figure 4: Sample Evaluation Matrix.

Figure 4: Sample Evaluation Matrix

OHS Criteria

Maximum
Potential
Score

Contractors

Current OHS goal

10

Progress towards goals

15

OHS management system

15

Plans for interacting with operators

management

Past and current compliance issues

10

Reactive indicators

10

Proactive indicators

15

Strategies for supervision

Past interaction with operator plans and

programs

Training programs

Etc.

15

Etc.

Total

Ranking

*Note: Maximum score reflects the importance of the criteria. These can be adjusted based on the operators
view of the importance of each criterion. In addition, criteria can be added or deleted from the list based on the
operators assessment of their importance in the evaluation process.

2.4 Applying the Results to Contractor Qualification, Re-Qualification and Selection

Essential Actions

Consider the results of your evaluation of occupational health and safety criteria in conjunction with:
o technical competence
o ability to meet schedule
o cost
o overall financial capacity to provide the resources necessary to complete the job and meet
occupational health and safety liabilities
o documented appraisal from previous work with the company
Tip: Relative weighting of occupational health and safety criteria will vary from operator to operator.

Meet with the contractor(s) that achieve the highest ratings to:
o verify their results
o review any areas of concern and determine how the contractor can resolve them
Make a final selection based on the results of the analysis and the outcome of any followup meetings
or discussions.
If you select a contractor that does not have its own occupational health and safety program, either
provide them a copy of relevant components from your companys program or assist them in
developing their own program.
See also: 8.0 Model Occupational Health and Safety Program for Contractors.

If there are gaps between the your company's program and the contractor's program, fill those gaps
by creating a Bridging Document.
See also: 2.4.1 Guidance for Creating a Bridging Document.

Give those evaluated contractors who did not reach the minimum qualification feedback as to why
they did not qualify and provide information to show how, by correcting these deficiencies, they may
qualify for future work.

2.4.1 Guidance for Creating a Bridging Document

Create a document that recognizes the strengths in both your health and safety program and the program
of the contractor.
Specify areas where further communication is needed between the two organizations, including:
o a statement describing the services to be provided by the contractor
o the contractor's health and safety policy statement
o a section defining the scope of the Bridging Document

o
o
o
o
o
o
o

description of the contractor's occupational health and safety management system including:
additional roles and responsibilities resulting from the interaction between the operator
and the contractor
a description of procedures that will be used to complete work and how the operator's and
contractor's procedures will integrate
specific practices for risk assessment, vehicle safety, management of change, worksite
inspections, audits and incident reporting and investigation
a description of the contractor's occupational health programs
a description of the operator's training and competency requirements that the contractor is
expected to meet.
key performance indicators that the contractor is expected to use to report safety performance
reporting requirements for all aspects of health and safety performance
emergency procedures that will be used by the contractor to respond to incidents on the
operator's worksite
a description of document management procedures and activities designed to minimize the
amount and type of documentation to be reviewed by either party
management review procedures that clearly define the management review system that will be
used during the contract

2.5 Background
Through effective evaluation of contractor occupational health and safety performance and programs, oil and gas
companies can significantly increase the safety and productivity of their worksites while improving industry
performance overall. By allowing occupational health and safety performance to play a significant role in the
selection of contractors, operators have the ability to directly support positive performance through their hiring
decisions. They can also use the selection process to asses the financial capacity of contractors to cover liabilities
resulting from poor occupational health and safety performance or unexpected incidents.
Screening for occupational health and safety criteria at the pre-qualification stage helps to ensure that bidding
contractors share your company's commitments to providing a safe workplace. Scoring systems similar to those
used to evaluate technical capabilities can be used to evaluate the results of the occupational health and safety
screening process, and contribute to the selection of contractors that will be invited to provide a formal bid.
Questionnaires that describe detailed and measurable occupational health and safety criteria are very useful both
in communicating your requirements to potential contractors and in providing a baseline for assessing results. The
scores drawn from the results of the questionnaires can be added to the scores from evaluations of technical
capabilities and price to provide an overall score for your selection process.
The most important criteria to measure are the quality of the contractor's occupational health and safety program
and the contractor's knowledge of potential risks involved in the work. However, in some cases, a contractor may
not have its own documented program in place and still have a very good performance record because it has
followed the programs of the operators for whom it has worked. This approach provides an acceptable alternative
to requiring a contractor to develop a program, provided the operator's program meets reasonable criteria.

Work Ethic
Employees are expected to perform their duties to the maximum of their ability and deliver acceptable objectives to the company.
Safety
Employees are expected follow health and safety guidelines and procedures and to be aware of and report any potential hazards.
Confidentiality
Unauthorised disclosure of company information regarding both the company and its employees is prohibited.
Personal Conduct
Employees are expected to act in a courteous, respectful manner at all times when dealing with fellow employees, suppliers, contractors,
customers and the general public. Employees are expected to adhere to dress and presentation standards in accordance with the company
guidelines.

Fair Business
Employees are expected to behave honestly and openly and with integrity in their dealings with the company. Employees must not mislead
or defraud fellow employees, customers, suppliers, contractors or Seven in general.
Working Environment
Everyone at Seven has a legal obligation not to discriminate or harass any employee, agent, contract worker, supplier or visitor.
Employees are not permitted to smoke on company premises, except in designated smoking areas.
Gifts, Conflict of Interest and Ethical Conduct
Other than in the course of routine business, employees must not to accept cash, gifts or gratuities from a supplier, agent, customer or
contractor for any reason. Employees must not put themselves in a position where their interests conflict with those of the company.
Obligation to Disclose Relevant Information
Employees are obliged to inform the company of any change in their circumstances that may affect their ability to perform their normal
duties.
Use of Company Assets
Employees must not deliberately misuse or damage company property in their possession, care or custody and must not use company
assets, intellectual property or the services of other employees (including contractors) for private use or gain.
Change
The company expects employees to remain open-mined about change in the work place and to collaboratively support and embrace new
ideas and programs.
Environment
Employees are responsible for maintaining and protecting the environment. Employees are expected to consider the impact of their actions
on the environment and local community, including in relation to the disposal of waste, use and storage of chemicals and use of natural
resources.

Business Conduct Guidelines for Employees and Officers

Compliance with the Law and Respect for Human Rights

Employees should comply with all applicable laws and regulations, whether domestic or foreign,
and should conduct themselves in an ethical and responsible manner in the communities in
which they perform their duties for the Company.
Employees should respect the cultures, customs and history of every country to which they are
brought into contact while performing their duties for the Company.
Employees should respect human rights and should not discriminate between persons based on
reasons of race, creed, sex, social status, religion, nationality, age or physical or mental
disability.
Office Environment and Sexual Harassment
In order that Employees, with individuality and diversity, perform their duties for the Company to
the best of their ability, the Employees should respect the character and individuality of one
another and make every effort to ensure that the office is an open and comfortable environment
in which to work.
The Employees should not engage in any sexual harassment or any other behavior which may
appear to be sexual harassment.

Employees should not disturb the sound discipline, environment and good order of the office by
conduct which is contrary to public order and good moral standards.
Compliance with Antitrust Law, etc.
Employees should not conduct themselves in their dealings with the Company's competitors in a
manner which results in an illegal restraint of trade, such as collusion with a view to the fixing of
price levels or levels of production or supply or the division of markets.
Employees should not collude with the Company's competitors in any tender such as
determining a successful bidder or contract price.
Employees should not engage in unfair trade practices, such as boycotts, resale price
maintenance or tie-in agreements.
Employees should not unreasonably damage the interests of sub-contractors of the Company
through the unjustified demand to reduce purchase prices, rejection to receive goods, return of
goods or delay of payment of purchase prices.
Employees should promote fair, transparent and free competition, and carry out appropriate
business transactions.
Conflicts of Interest between Employees and the Company
Employees should not participate in any activity which creates or appears to create a conflict
between his or her personal interest and the Company's business interest, such as working for
the competitors or the customers of the Company or dealing with the Company for their own
behalf.
Employees should not use the Company's property, assets or information system for any
purpose other than that of the Company's business.
Employees should not, without the prior consent of the Company, be engaged in any other
occupation.
Employees should not, without the prior consent of the Company, acquire any stock of the
customers of the Company or the companies to which the Company makes, or is expected to
make, investment where such stock is not listed in any securities exchange.
Gift and Favor
Employees should not render public officials or persons in a similar position any economic favor
such as money, gift or other favor in return for performance of their duties.
Employees should not render public officials or persons in a similar position of a foreign country
any economic favor such as money, gift or other favor for the purpose of securing any improper
advantage.

Employees should not pay any agent, advisor or consultant any commission which they have
reason to know will be used for influencing public officials or persons in a similar position in an
unlawful manner.
Employees should not render employees or officers of customers of the Company any economic
favor such as money, gift or other favor, the value of which is greater than a generally accepted
commercial level at the relevant locale, nor should they receive such economic favor from
officers of customers of the Company.
Treatment of the Company's Information
Employees should hold any secret information of the Company, customer information and
personal information as strictly confidential and should not divulge such information to any third
party, nor should they use the same for any purpose other than that of the business of the
Company.
Employees should treat any secret information divulged by a third party as in the same manner
as they treat the secret information of the Company.
Employees should not infringe the intellectual property rights of any third party, including the
copying of computer software, without express permission of such third party.
Employees should actively and appropriately disclose in a timely manner any information of the
Company in accordance with any laws and regulations protecting the interests of investors
including the rules of any relevant stock exchanges.
If Employees become acquainted with any information of the Company or its customers which
may materially influence the judgment of investors in the Company or in such customers, they
should not sell or purchase any stock of the Company or stock of such customers unless and
until such information becomes public and in any event Employees should comply with all
relevant insider dealing laws.
Employees should not illegally acquire or use any secret business information of a third party.
Compliance with Procedures for Export and Import and Other Applicable Laws
Employees should comply with the procedures for export and import and should not import
prohibited goods.
For the purpose of securing the international peace and security, Employees should comply with
not only applicable laws and regulations but also internal rules of the Company for the
international security trade control when they export goods to any foreign country.
Employees should be aware of laws and regulations applicable to the business of goods or
services in which they are engaged.
Company Fund and Financial Reporting

Employees should properly manage the assets and funds of the Company and use them only for
appropriate business related purposes. Employees shall not establish or maintain undisclosed or
unrecorded assets or funds.
Employees should make timely and appropriate accounting reports, ensuring the accuracy of the
reports, and should not make any false or misleading entries in the Company's books and
records.
Political Donation and Other Contributions
Employees should comply with applicable laws and regulations in the event that they make
political donations and other contributions to various entities.
Social Contribution
As good corporate citizens, Employees should make every effort to establish relationships of
trust with all stakeholders of the Company with whom they have dealings for the continued
improvement of corporate value, while carrying out their duties for the Company and further
should try, where possible, to make a positive contribution to the communities in which they
perform such duties to work toward building a sustainable society.
Employee responsibilities should extend beyond economic contributions, and Employees need
to be globally active on a consolidated base in different fields, with emphasis on international
exchange (regional contribution), education (cultivation of human resources), and the
environment.
Protection of Environment
Employees should comply with all laws and regulations relating to the protection of the
environment and strive to reduce the burden on the environment by paying maximum attention
to the efficient use of resources and energy.
Employees should strive to develop the procedures for evaluating the environmental impact of
new business and to achieve the optimum balance between economic benefit / return and
environmental protection.
Employees should contribute to the development and spread of environmentally friendly
technology and always take into consideration issues of safety.
Action against Antisocial Group
In the situation where an antisocial group makes unreasonable demands on the Company,
Employees should firmly refuse such demands and should not resort to an easy monetary
settlement.
Employees should never deal with any antisocial group or any entity that is connected with such
antisocial group.
Report and Sanction

If an Employee finds evidence of violation of these guidelines, he or she should inform the
Administrative Division concerned, Compliance Department of Legal Div. (the secretariat of the
Compliance Committee), a Compliance Officer of Business Unit, Chief Compliance Officer of
Regional Business Unit, a person in charge of Compliance of each Div. or Branch, or any other
of his or her superiors.
If an Employee desires to inform anonymously, he or she may do so to the outside lawyers or a
third-party hotline.
Employees should cooperate in any investigation of such alleged violation. If, as a result of the
investigation, it becomes clear that there was a violation of these guidelines, sanctions will be
imposed on the violator or his or her superiors in accordance with the regulations of the
Company.
The Company ensures that no retaliatory action will be taken against an Employee for informing
of such violation or cooperating in such investigation and makes every effort to prevent such
informant and any Employees cooperating in such investigation from suffering any disadvantage
at his or her office.

DOs
1). Maintain absolute integrity at all times.
2). Maintain absolute devotion to duty at all times
3). Those holding responsible posts shall maintain independence and impartiality in the
discharge of
his duties.
4). Maintain a responsible and decent standard of conduct in private life.
5). Render prompt and courteous service to the public.
6). Observe proper decorum during lunch break. Avoid moving out of CIPET premises
during lunch
break. Any accident to employees outside CIPET premises during lunch break is at their own risk.
7). Report to superiors the fact of your arrest or conviction in a Criminal Court and the circumstances
connected therewith, as soon as it is possible to do so.
8). Keep away from demonstrations organized by political parties in the vicinity / neighbourhood of your
offices.
9). Maintain political neutrality.
10). Manage private affairs in such a way as to avoid habitual indebtedness or insolvency.
11). If any legal proceedings are instituted for the recovery of any debt due from you or for adjudging you as
an insolvent, report the full facts of such proceedings to the Competent Authority.
12). Act in accordance with CIPET policies, orders, rules, regulations, guidelines etc. applicable from time to
time.
13). In performance of duties in good faith, communicate information to a person in accordance with the
Right to Information Act, 2005 and the rules made thereunder.
14). Report to the Personnel department about change in status w.r.t. marriage, conversion to other religions,
name and addition / deletion of family members.
15). Report details in various declaration forms (Home town etc.) with accuracy.
16). Ensure that all medical claims are submitted for reimbursement within 3 months of completion of
treatment.

17). File your income tax returns in time.

18). Apply for leave of any type well in advance as per applicable rules.
19). Report to the Personnel department if your spouse is employed in Central / State Govt. / PSU /
Autonomous Bodies / any other government service.
20). File all your nominations with accuracy (P.F., Gratuity, E.L., EDLI etc.)
21). When seeking employment in other Government organizations, forward your applications thru proper
channel.
22). Apply / Renew for passports thru proper channel after obtaining No Objection Certificate from CIPET.

DONTs
1). Do not make joint representations in matters of common interest.
2). Do not be discourteous, dishonest and partial.
3). Do not practise untouchability.
4). Do not associate yourself with any banned organizations.
5). Do not join any association or demonstration whose objects or activities are prejudicial to the interest of
the sovereignty and integrity of India, public order or morality.
6). Do not give expression to views on Indian or foreign affairs, while visiting foreign countries.
7). Do not get involved in unauthorized communication of any official document or any part thereof or
classified information to any persons to whom you are not authorized to communicate such document or
classified information.
8). Do not join or support any illegal strike.
9). Do not enter into any private correspondence with foreign embassies or Missions / High Commissions.
10). Do not accept lavish or frequent hospitality from any individual, industrial or commercial firms,
organizations either foreign or Indian having official dealings with you.
11). Do not give or take or abet giving or taking dowry or demand any dowry directly or indirectly from the
parent or guardian of a bride or bridegroom.
12). Do not lend money to or borrow money from or deposit money as a member agent, with any person, firm
or private company with whom you are likely to have official dealings. Do not otherwise place yourself under
pecuniary obligation with such person, firm or private company.
13). Do not approach your subordinates for standing surety for loans taken from private sources either by
you / your relations / friends.
14). Do not undertake private consultancy work.
15). Do not speculate in any stock, share or other investment.
16). Do not bring any political influence in matters pertaining to your service.
17). Do not consume any intoxicating drinks or drugs while on duty.
18). Do not indulge in any act of sexual harassment of any woman at her work place.
19). Do not employ children below 14 years of age.
20). Do not indulge in habitual absence without permission and overstaying leave.
21).Do not speak or take active or prominent part in organizing or conducting meetings of any political party.
22). Do not indulge in acts which violate the provisions of the Personal Marriage laws applicable to the
employee.
23). Do not unauthorizedly indulge in subletting of quarters, erects any unauthorized structure in any part of
the residence allotted to you.
24). Do not claim leave as a matter of right.
25). Do not submit and claim false medical bills.
26). Do not use Staff cars for non-duty journeys.
27). Do not misuse LTC facilities.

28). Do not communicate with the press, TV, Radio or any form of media until authorized to do so.