KASE staff management system aims to build and develop a cohesive team of professional experts through the establishment of unified HR approaches and standards that include a system of selection and admission of candidates, a system of employee motivation, employee performance assessment, corporate culture formation, training and development of KASE personnel, and development of KASE corporate social responsibility.

HR STATISTICS

As at December 31, 2019, the number of KASE staff was 163 people with a headcount of 152 people.

The below is the key information on the KASE staff structure at the end of the reporting period.

AGE STRUCTURE OF THE EXCHANGE’S STAFF

In 2019, the main age category of employees is 30 to 40 years. The average age of employees is 37 years. Meanwhile, the share of newly hired young professionals aged under 30 was 26%.

EMPLOYEE EDUCATION

As at the end of the reporting period, majority of KASE employees (98%) have higher education, of which 20% have received postgraduate education, including PhD degrees (7%). Ten per cent of employees received education outside the territory of the Republic of Kazakhstan.

Fig. 27. Distribution of KASE employees by age group

GENDER COMPOSITION OF THE EXCHANGE

KASE has joined global initiatives to promote gender equality to enhance the role of women in society, namely the global initiative Women's Empowerment Principles developed and promoted in partnership with the UN Women and the United Nations Global Compact. There is the following trend noted at KASE: the total number of female employees is 63%, males 37%. At the same time, the top management (the Management Board and the Board of Directors of the Exchange) is represented mainly by males (73%)

Fig. 28. Distribution of KASE employees by gender

LOYALTY OF KASE EMPLOYEES

During the reporting period, the composition of the Exchange's staff was significantly updated. In the meantime, 19% of employees have more than ten years of experience at KASE, 19% of employees have worked from five to ten years at KASE, 33% of employees have been employed with KASE from one years to five yearsand 29% of employees have less than one year of experience at the Exchange.

Fig. 29. KASE staff length of service

LABOUR REMUNERATION POLICY

KASE strives to provide a competitive remuneration to attract, retain and motivate employees.

Employee remuneration system includes fixed (official salary, allowance) and variable (bonus payment at the end of the year, payment of bonus for especially important works) components. The fixed part and the target amount of the variable part of the salary is determined based on the data of remuneration market. The variable part of the remuneration depends on the performance of KASE and the individual performance of an employee evaluated under the staff efficiency management system.

The Exchange has a system for motivating employees by giving them an annual bonus based on the annual evaluation of employees' performance, by providing bonuses for performance of particularly important work projects and innovation proposals and on the occasion of holidays and/or ceremonial dates.

According to HR management policy, in order to improve the efficiency of KASE employees and to stimulate them, the employee evaluation system is aimed at achieving corporate goals and objectives of the Exchange (MBO). In 2019, 52 employees were awarded bonuses for their active participation in the implementation of key projects of the Exchange.

TRAINING AND DEVELOPMENT

Training and skill improvement is part of HR management policy of KASE. The Exchange encourages employees to gain new knowledge and develop existing competencies and skills by way of internal and external training.

Professional and compulsory training is a priority area. Much attention is paid to the development of corporate competencies, leadership skills and project management skills necessary for the implementation of strategic projects of the Exchange.

In the reporting year, 39 employees of the Exchange were trained by external providers on such topics as a company's operational risks, countering the legalization (money laundering) and financing of terrorism; developing technical texts and documentation, Linux system administration, financial analysis, performance assessment, Java SE 8 Fundamentals, electronic employment contracts implementation, Oracle Database, Information Security Management System, ISO 27001, Management Technologies.

Also in 2019, a project on the appraisal of employees for compliance with positions held was implemented, which aims to determine the level of professional and qualification training of the Exchange's employees. The main criteria for evaluation of the appraisal were the ability of employees to perform their duties, as well as the level of knowledge and practical skills. In order to prepare for the appraisal in 2019, internal workshops were held on the activities of all structural units of the Exchange by employees of these units. Thus, 111 employees of the Exchange participated in the appraisal and successfully passed it.

KASE CORPORATE CULTURE
DEVELOPMENT

One of the important components of HR policy is the formation and development of the corporate culture of KASE, which is a system of fundamental values and standards that contribute to the creation of favourable conditions for effective work, maintaining the team spirit of the team and commitment of employees to the goals and objectives of KASE.

The KASE DreamTeam was formed from among active employees of the Exchange, who helped organize and conduct the following corporate events: International Women's Day, Nauryz Meiramy, Nauryz celebration together with the National Bank of Kazakhstan, Defender of the Motherland Day, Children's Day, KASE team building, New Year and other internal corporate events.

At the end of each quarter, the management of the Exchange conducts KASE Townhall, the main task of which is to provide employees with information about interim work results and plans for the reporting period, about the latest newsrelated to the activities of the Exchange's employees.

In 2019, two internal workshops dubbed KASE Insight were held, the main task of which was to inform employees on new areas/trends of the Exchange's activities. The main themes of KASE Insight were "Megatrends: ESG, Gender Equality" and "Publicity of a Company through Social Investment. Principles of ESG and the introduction of the Green Office project in companies. How to monetize your brand through social investment".

CORPORATE VALUES

An important component of the operation of the Exchange as a team of professionals implementing strategically important projects for the development of the stock market is the presence of corporate values that meet current challenges and help the self-identification of the KASE team.

In the reporting year, a set of measures was carried out to update corporate values of the Exchange. The work was initiated due to the adoption of a new strategy for the development of KASE for the next three- year period, as well as due to the expansion of the Exchange' activities, the introduction of new projects and business processes, in particular with the expansion of clearing activities and the activities of the Central Counterparty, the introduction of new trading and clearing systems.

The definition of updated corporate values was carried out in several stages with the involvement of the entire KASE team and taking into account the opinion of each employee. One of the stages of this work was a survey of KASE employees about their vision of the Exchange as a market player and an employer. The results of the survey were taken into account when determining steps to further develop the corporate culture and a number of projects of the Exchange. After the internal discussion and voting of the Exchange employees, the following concepts are defined as key values: innovativeness, responsibility, openness and care, which were reflected in the following wording of the corporate values of the Exchange:

KASE corporate values symbolize the desire to bring business and team together to develop the stock market, introduce new technologies, products and services, improve existing services and technologies in a changing modern environment, and help achieve sustainability by all market participants.

The personnel of the Exchange has chosen from among the colleagues, KASE employees that represent corporate values by demonstrating personal qualities, which most correspond to the key terms of updated corporate values: openness, innovativeness, responsibility and consideration for the others.

The election of KASE value holders will be held among employees of the Exchange on an annual basis.

SOCIAL RESPONSIBILITY

The Exchange pays special attention to improving the financial literacy of Kazakhstan's young people as part of the development of corporate social responsibility. In this regard, the Exchange continues its active cooperation with universities of Kazakhstan, in the organization of internships and traineeship at the Exchange, the employment of high potential students and conducts introductory guest lectures and workshops on the stock market at the Exchange and in universities.

In 2019, two introductory lectures were held: for students of ALMAU (23 participants), Kazakh-German University (15 participants). Thirty students, three of whom were later employed, completed the traineeship and internship at KASE.

In 2019, KASE employees, at the initiative of the KASE DreamTeam, took an active part in organizing and holding a charity event for children of orphanage No. 1. KASE workers gave children more than 100 sweet gifts for the New Year.