Safety and Health

Environmental Health and Safety Management System

The EHS management system is central to everything we do, and helps to ensure consistent processes across our operations. It establishes expectations that apply across all our operations to assess and mitigate risks inherent to our business, including environmental risks. The management system applies to all personnel, including contractors who work at PPG-owned and operated facilities, as well as PPG employees working in third-party facilities.

The EHS management system contains 12 elements related to leadership, operations and maintenance, community relations, emergency response, incident investigation, information and documentation, each of which contain underlying commitments and specific requirements for PPG people. These elements serve as the framework for all of PPG, including corporate functions, each of our business units and all work locations.

The 12 elements of the EHS management system are supported by approximately 50 EHS requirement documents, which are deemed applicable based on the risk profile at each work location. These documents cover specific topics such as personal protective equipment, lockout/tagout, ergonomics, dock safety, air emissions and process safety. Each document includes a checklist of key requirements so they can function as either a self-assessment tool or as audit protocols for PPG's internal compliance program and country regulatory requirements.

Our EHS management system establishes a clear expectation that all employees actively participate and are engaged in the implementation of the EHS management system. Employees participate through membership in cross functional focus teams at each site dedicated to implementing or improving aspects of the EHS management system. These teams have broad responsibility, including making safety observations, performing risk assessments, and assessing the implementation of the EHS management system at their site. Teams evaluate compliance with PPG and other regulatory requirements through self-assessment tools. These assessments may include the completion of additional job safety analyses, process hazard analyses and chemical risk assessments.

We use a global IT enterprise data management system for all EHS incidents. This EHS data system includes a suite of modules to streamline the collection, tracking and dissemination of information related to the full implementation of PPG's EHS management system.

We hold an ISO 14001 integrated global certificate, which covers many of our sites. Beyond the coverage of our global certificate, several PPG sites hold individual ISO 14001 certifications.

Process Safety

PPG's global EHS management system also incorporates process safety management. This approach provides a consistent set of risk-based, process-related requirements to all facilities globally, which are implemented in addition to any applicable regulatory requirements.

When process safety incidents occur, the PPG team works to contain any impact to the surrounding environment and thoroughly investigates the incident to determine the root cause. The team ensures corrective actions are applied systematically in response to each incident, which may include redesigning processes, modifying maintenance methods, working with our suppliers to improve equipment, or standardizing procedures. We analyze incidents across the business each year to identify common causes. The analysis is used to identify improved methods and training to enhance our performance.

We recognize the importance of training our workforce to strengthen our culture of safety and health, and drive risk recognition and accountability at all levels of the organization. Plant managers and operations directors globally are trained to recognize the importance of a strong process safety culture and understand and abide by PPG's requirements for process safety. Through training courses, managers also assess the process safety culture of their sites. Our training courses offer pre-work and interactive in-class activities to understand regulatory standards, process safety management requirements and recognition elements, and tools to sustain a healthy process safety culture.

Safety Maturity Model

PPG's EHS team utilizes a safety maturity model to prioritize critical sites using a risk-based approach. To support the identification of critical sites, each year we categorize our manufacturing locations based on existing EHS maturity and inherent risk factors. EHS maturity is calculated using a selection of lagging and leading indicators, with greater weight given to indicators that relate to incident prevention. Inherent risk ratings were determined using our Facility Risk Index Tool (FRIT), which evaluates risk at each facility based on:

• Product portfolio
• Regulatory requirements
• Process safety applicability
• High risk activities
• Environmental regulatory complexities

Based on these criteria, our global sites are placed on a risk matrix to support prioritization, with critical sites being those that exhibited both relatively high inherent risk and low EHS maturity. Our analysis identified that critical sites have a significant impact on our overall incident rates and that EHS maturity is closely linked to both the frequency and severity of incidents.

Preventing injury and illness

PPG tracks injuries and illnesses according to PPG's internal standard and according to U.S. Occupational Safety and Health Administration (OSHA) requirements. We also initiated tracking incidents according to the ASTM E2920-19 recordkeeping standard, which will allow for more effective benchmarking with peer companies as adoption of the standard expands across the industry. We recognize opportunities for improvement, specifically in the areas of slips, trips, falls and ergonomics.

Our EHS data system provides the tools to identify, report, record and investigate incidents, analyze root causes and trends, correct deficiencies and share and adopt relevant lessons learned.

Historically, motor vehicle accidents are one of our injury risks with highest severity. PPG offers driver safety training and education programs in every country in which we operate to ensure our team members have the tools and resources to effectively manage this risk. Training includes driving coaching for new employees, classroom training in large groups and rapid improvement workshops. We also ensure that all company vehicles have excellent crash ratings, and we invest in advanced safety features such as collision-avoidance systems and backup cameras.

Strains and sprains are a frequent injury occurrence among our employees. In addition to regular training and knowledge sharing sessions, PPG has held an annual ERGO CUP^® competition since 2004 which recognizes initiatives that minimize or eliminate ergonomic risks in our operations. Projects are submitted from all business units and functions across PPG. Winners are determined from each business unit, and an annual, global winner is selected. Top entries compete in a national ERGO CUP^® competition presented by the Institute of Industrial and System Engineers.

Safety 365, which is PPG's safety awareness initiative, continues to empower our employees to keep safety as an important focus every day and to speak up if they see something that could be made safer. The program centers around a monthly safety theme with associated weekly tips, which are reviewed at all levels of the organization regardless of location or activity.

We also implement Human and Organizational Performance (HOP) tools at several of our locations. HOP tools teach employees how to predict, prevent, and manage errors that could result in injury, including:

• A focus on high-risk tasks with a pre-task brief.
• Stop and seek help as a tool when one is unsure of an activity in which they are to engage.
• Three-part communication to increase effectiveness.
• Procedure writing enhancements and step-by-step procedure adherence.
• Verbalize, point and touch as a tool to be used in conjunction with Walk-the-Line processes aimed at reducing spills and releases.

A HOP maturity matrix has been developed and includes both leading and lagging EHS indicators, and each site must use a risk prioritization tool annually to rank 80 EHS aspects and incorporate the top aspects into the following year's site work plan.

Community awareness and emergency response

One of the core elements of our EHS Management System is Community Awareness and Emergency Planning. Each of our sites has an emergency management team responsible for conducting an annual risk assessment to understand credible emergencies that may impact a work location. The team is required to maintain processes and procedures to address the most significant risks. These emergency response teams are supported by PPG's global crisis management team.

Members of the emergency response team at each facility train to respond to any credible scenario identified, either at their facility or by attending central PPG training programs. Where risks are identified that may have significant impacts on the local community, teams engage with a community advisory panel made of local representatives to hear and address concerns.

The global Crisis Response Unit (CRU) was established for PPG management to react to serious emergencies that might occur anywhere in the world. The system is designed to alert a team of EHS, law and communications professionals to any actual or potential emergency that may require quick action at the highest levels of the company. It is not intended to replace or interfere with existing response systems at local facilities, but to provide backup to those systems in extraordinary emergencies and provide effective communication with community members, senior management and other impacted stakeholders.

Industrial Hygiene

PPG protects the health of all employees and supervised contractors through our comprehensive industrial hygiene program, which has been in place for more than 50 years. The program centers on the anticipation, recognition, evaluation and control of long-term (chronic) and acute occupational health risks.

PPG employs credentialed toxicologists and industrial hygienists to oversee all aspects of our global program, and we continually improve it as knowledge of potential hazards and risk-control processes evolve. We use formal processes to identify potential occupational health hazards by reviewing and analyzing information provided by suppliers of raw materials used in our manufacturing processes, as well as publicly available scientific literature. We also regularly review changes to published exposure limits from suppliers, governmental bodies and organizations, such as the American Conference of Governmental Industrial Hygienists (ACGIH), to determine the basis for assessing exposure to chemical substances. We use exposure limit changes and risk assessments of process tasks to define annual exposure monitoring plans for each manufacturing location.

PPG's manufacturing facilities are required to assess exposures to a defined list of substances and tasks where potential health risks are presented. We evaluate the results of these assessments to identify the need for improvements in manufacturing processes, facilities, training, personal protective equipment and medical surveillance.

PPG also works to eliminate substances of concern from our products and processes. Our internal industrial hygiene laboratory analyzes air monitoring samples and is accredited by the American Industrial Hygiene Association (AIHA) Laboratory Accreditation Programs (LAP). We also use contract laboratories accredited by AIHA LAP or applicable national governmental bodies. We maintain exposure measurement results in a centralized data management system used by our operations teams globally. This system tracks compliance with the annual sampling plans, results relative to applicable exposure limits and implementation of any corrective actions necessary to reduce exposures.

Integrating acquisitions

When new facilities or companies join PPG through an acquisition, PPG's EHS and Product Stewardship teams deploy a due diligence and integration process, viewed as a best practice, to ensure alignment with and adoption of PPG EHS standards and PPG's EHS management system. Prior to the purchase of an acquisition, the PPG team begins a regimented, four-phase due diligence and integration process to evaluate the acquired company's EHS and product stewardship compliance practices as well as their EHS maturity. We conduct an initial assessment within 60 days of an acquisition and provide scores to the site teams to help prioritize gaps between their performance and the expectations defined by the PPG EHS management system.

From the initial assessment and after the purchase, a detailed action plan is developed to address any deficiencies to PPG's EHS management system and related programs. The implementation of the action plan generally spans 24 months, with priority placed on regulatory compliance and key risk management topics. At the end of the 24-month period, the acquired operations undergo a corporate EHS audit to validate the integration plan effectiveness and verify compliance with any identified regulatory gaps. After the first audit, new operations are incorporated into the corporate audit cycle based on their risk profile and EHS and product stewardship metrics performance. As part of the acquisition integration and ongoing corporate audit process, we identify and monitor the need for capital expenditures to improve compliance and reduce risks.

PPG maintains an oversight audit plan conducted as part of our Corporate Compliance Assurance Program. Each of these efforts promotes a continuous improvement process to protect employees, our communities, customers and the environment and to achieve mature EHS performance levels.

EHS Governance and Oversight

To ensure requirements in the PPG EHS management system remain effective in protecting our employees and communities, and to ensure they comply with current regulations while incorporating best practices from our facilities, we have established more than 70 topic teams. Each team focuses on a specific requirement, with an expectation for the team to meet at least two times per year. An internal subject matter expert leads each topic team, which comprises permanent members from each region to maintain engagement with the site subject matter champions. Ad hoc members are added to develop and provide additional subject matter expertise.

The PPG EHS management system requires each of our locations to have an active EHS leadership team that provides oversight, governs decisions and drives continuous improvement regarding the implementation of the EHS management system and other PPG and legal requirements. This team is expected to be led by top management, such as business leaders and the plant manager, and have cross-functional membership that includes the location’s leadership team, department representation and hourly employees. Ultimately, this team meets either on a monthly or quarterly basis to shape necessary plans and take required actions to realize our EHS policies and commitments.

Our internal organizational structure includes EHS directors in all four major regions in which PPG operates. This organization ensures that our EHS approach is consistent across our operations. The regional directors, key business EHS directors and global center of excellence directors are charged to continuously advance PPG’s EHS expertise and implement our global EHS management system consistently and efficiently. These directors report to our vice president of EHS, who has ultimate oversight.

Key leading and lagging indicators of our EHS performance are distributed throughout PPG using a dashboard. The operating committee, Sustainability and Innovation Committee of the PPG Board of Directors, and the PPG Board of Directors regularly review EHS data.

Customer Health and Safety

PPG's commitment to health and safety extends to our customers. Our products need to be not only manufactured safely in our facilities, but also transported, used and disposed of safely by our customers. Safe use and disposal instructions and safety data sheets are available for all products. Our product stewardship and technical experts are available to provide consultation on safe product use and disposal. We also have longstanding partnerships with organizations focused on circularity and waste reduction.