1 This number excludes indirect contract employees
2 These statistics relate to permanent employees in Singapore only

TALENT MANAGEMENT
At SembCorp Industries we want to attract, develop and motivate the best people. People are critical to our success, and we believe that empowered and committed people help us to create a competitive advantage that is irreplaceable.

We believe in being involved in the career development of our employees, and have continued to provide our employees with opportunities for continual training and life-long learning. In 2002, we allocated some 3.6 per cent of our total payroll cost to learning, while each employee received 32.5 learning hours during the year on the average.

With an emphasis on identifying talent and developing it to the fullest, our goal is to create an employment relationship that will inspire the best talents to join and stay with us. We also aim to have a strong succession plan in place, and have invested in a systematic and integrated approach to talent management.

In 2002, we continued to be certified as one of Singapore’s People Developer companies. People Developer is Singapore’s quality standard for human resource development which recognises organisations that bring out the best in people for better business results. The People Developer Standard offers a systematic process to review people practices, develop staff and improve training effectiveness. With an eye to achieving business objectives, people development activities are integrated into eight systems – Learning Needs Analysis, Career Development, Resource Allocation, Communication, Induction, Monitoring, Evaluation and Improvement.

In 2002, we also added three new scholarships to our SembCorp Scholarship Programme. First launched in 1998, we have awarded a total of 58 scholarships to date. Through this programme, we aim to ensure that we will have fresh talent at the management level and develop the next generation of executives.

EMPLOYEE SHARE OPTIONS
We continue to reward employees who have contributed to the growth of SembCorp Industries by giving them the opportunity to have a personal equity interest in the company. Apart from rewarding our employees, we believe that employee stock options are helpful in aligning employees’ interests with those of our shareholders and instilling a sense of loyalty and identification with the goals of the Group.

Excluding staff from our subsidiaries who have their own share option plans, all employees are offered share options provided they meet the criteria set by the Employee Share Option Scheme committee. In 2002, share options were offered in two tranches to our employees.

SHARE OPTIONS OFFERED IN MAY 2002
CATEGORY	HEADCOUNT
Senior Management	87
Non-Executive Directors	10
Employees	2501
Total	2598

SHARE OPTIONS OFFERED IN OCTOBER 2002
CATEGORY	HEADCOUNT
Senior Management	82
Non-Executive Directors	9
Employees	2449
Total	2540