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Employee Rights Protection

We remain committed to a people-first philosophy in treating our employees with respect and equality while protecting their legal rights and address the most practical issues that our employees are most concerned about, in order to ensure that all employees share the fruits of our development on an equal basis.

We conscientiously abide by international conventions, including the International Covenant on Economic, Social and Cultural Rights and the Elimination of Discrimination in Respect of Employment and Occupation, along with domestic laws including the Labour Law of the People's Republic of China, the Labour Contract Law of the People's Republic of China, and the Trade Union Law of the People's Republic of China, relevant laws, rules and regulations of the host countries, and support the Human Rights Action Plan of China (2021-2025). We have formulated and implemented regulations such as the Measures for the Management of Employment Contracts and the Measures for the Management of Overseas Business Employment and established an employment management system to regulate employment practices according to the law. The system covers all employees, and its content includes labour contract management, remuneration insurance and benefits, leave, performance appraisal and vocational training. We inspect and examine our employment compliance on a regular basis, to regulate the process of recruitment, promotion and the termination of employee contracts, safeguarding the human rights of our employees.

We strictly abide by the Forced Labor Convention 1930, the Abolition of Forced Labor Convention 1957, the Minimum Age Convention, and the Worst Forms of Child Labor Convention promulgated by the International Labor Organization, and the Law on the Protection of Minors and the Provisions on the Prohibition of Child Labor in China, and equivalent legal requirements in countries and regions where we operate overseas. We prohibit the use of child labor and labor trafficking, and firmly oppose all forms of forced or compulsory labor. To this end, the Company has established an employment review and supervision mechanism, covering recruitment, daily human resources management, and supplier/contractor admission processes, in order to prevent and control related risks. The Company has never used any child labor or forced labor.

The Company has established an employee grievance and labor dispute resolution system, jointly managed by headquarters departments and subsidiaries, with clearly defined responsibilities and procedures to ensure fairness and transparency. Multiple grievance channels are available, including a dedicated mailbox, hotline, and a reporting section on the Company website. Relevant departments at the headquarters are responsible for policy interpretation and supervision, while subsidiaries are responsible for policy implementation and issue follow-up. The Company prioritizes negotiation and mediation and, when necessary, involves independent third parties to assist in resolving disputes, to protect the legal rights and interests of our employees. For disputes related to remuneration and contract termination, relevant policies specify clear compensation standards and procedures to reduce labor disputes arising from improper procedures. The Company applies high international standards of business ethics across tis production, operation and management systems and have established effective employee grievance channels. The membership rate of the Company's trade union is 100%.

The Company actively creates employment opportunities. By tapping into the potential of internal human resources and improving the efficiency and effectiveness of human resources allocation, we have fully implemented an employment-first strategy, aiming to expand our employment capacity through various measures. We provide stable and high-quality job positions in recruitment. All positions are formal and full-time, and no part-time employees have been hired. Besides, by leveraging the advantage of our business scale, we guide and encourage our partner enterprises on our industrial chains and supply chains to attract talent and actively promote local employment.

We ensure equal treatment of employees of different genders, nationalities, and ethnicities in all aspects of recruitment, management, job allocation, remuneration, promotion, career advancement, disciplinary actions, transfers, dismissals, job training, and the distribution of social benefits. In our human resources management, we firmly uphold the principles of "fairness, transparency, and impartiality", ensuring transparent and well-structured recruitment and promotion processes supported by scientific and objective assessment. The Company set the minimum notice period for the termination of the labor contracts, and all labor contracts are terminated in strict accordance with the regulations under the labor laws and regulations and relevant policies of the Company, to safeguard the legal rights and interests of employees.

The Company strictly complies with national labor laws and regulations. Based on actual operational needs, we have scientifically developed and strictly enforced a management system for working hours and rest, ensuring that employees enjoy rest and holiday breaks as mandated by law while fulfilling their job responsibilities. The Company offers both standard and special working hours tailored to the nature and requirements of different roles, and schedules shifts reasonably, avoiding overtime work and offering employees at least a salary higher than the local minimum wage standard. Regarding annual, maternal, and sick leaves, the Company strictly complies with legal requirements to ensure adequate protection in line with actual circumstances. In addition, the Company also provides special leave arrangements, such as caregiving leave and breastfeeding leave, to meet the reasonable needs of employees under special circumstances, fully safeguarding their legal rights.

Diversity, Equality and Inclusiveness

The Company advocates a corporate culture of diversity, equality, and inclusiveness, and is committed to treating all employees fairly and impartially, regardless of nationality, ethnicity, gender, religion, or cultural background. This principle applies across all aspects of recruitment, training, and career development, creating a harmonious environment for the growth and development of our employees. To prevent and mitigate the risks of workplace discrimination and harassment , the Company conducts education and training programs to raise awareness of legal rights and responsibilities, and has established comprehensive mechanisms for prevention, grievance reporting, correction and disciplinary action.

Equal Employment

The Company upholds an equal and non-discriminatory employment policy. Every employee enjoys full rights to equal development opportunities. When formulating employment policies, we take factors such as equal opportunity, diversity, and anti-discrimination into full consideration, and established a human resources management system covering recruitment and selection, training and development, performance management, remuneration and benefits, and other aspects, to ensure the effectiveness and fairness of our personnel management. We pay extra attention to providing equal employment and advancement opportunities to vulnerable groups such as women, ethnic minority employees and people with disabilities, ensuring fairness in labour rights.

During the recruitment process, the Company explicitly emphasises that candidates must not be discriminated against on the grounds of gender, ethnicity, religious belief, or physical condition. Candidates for all positions are selected primarily based on merit, with preference given to local candidates.

The Company is committed to protecting and actively safeguarding women's rights by ensuring equal pay and benefits for female employees. We strictly enforce statutory leave provisions related to pregnancy, childbirth, and breastfeeding, providing female employees with no fewer than the legally mandated days of paid maternity leave. Male employees are supported to take paternity leave during their spouse's childbirth. To help address childcare needs, the Company has established kindergartens and equipped them with adequate childcare facilities .Equal opportunities are also provided to women for career development and advancement. For employees with disabilities, the Company provides reasonable accommodations in the work environment and job assignments to meet their specific needs. We also strive to promote employment in regions with ethnic minorities and in economically underdeveloped areas by actively creating job positions. When recruiting graduates, we give priority to candidates from remote regions such as Xizang, Qinghai, and Xinjiang, as well as to graduates from low-income households and families with no employed members.

Local Hiring in Overseas Operations

We are committed to "local, specialized, and market-based employment". We comply with all relevant laws and regulations of countries where our operations are located. We have established an optimal system for recruitment, deployment, performance appraisal, incentives and penalties. We strive to attract and train top local talents and to provide them with a working environment conducive to their growth.

We actively recruit and train local employees and do not discriminate against outstanding local candidates, increase local job opportunities. Professionals employed in our overseas projects involve multiple disciplines, such as environmental protection, ESG management, exploration and development, refining and chemicals, pipeline operation, international trade, finance, accounting, and human resources management. With continuous efforts, the Company has gradually established localised, regionalised and internationalised career development channels.