19 AGL Energy Limited 2011 Annual Report Supporting  and engaging  our people Employees are critical to the delivery  of AGL’s business strategy. A safe, engaged and high performance  working environment enables  employees to contribute to the  delivery of AGL’s strategic objectives. AGL is building a diverse workforce  and an inclusive workplace culture.  Embracing and valuing diversity  and inclusion leads to a better  understanding of, and engagement  with, the people with whom we work,  the customers we serve and the  communities in which we work. Employee Engagement Organisational Safety Vision Target FY2011 Performance FY2011 Target FY2012 Employee engagement Engagement score at ‘best  employer’ level. Engagement score: 65% Engagement score$^{1}$: 8 percentage  point decrease Engagement score: 8 percentage  point increase Organisational safety Zero harm. Total Injury Frequency Rate: 2.5 Total Injury Frequency Rate: 5.0 Total Injury Frequency Rate: 4.0 1 Engagement survey undertaken during June and July 2011. The employee engagement score measures the degree to which  employees are committed to the company for which they work. AGL set a target for 2011 to increase the overall engagement score  to at least 65% (known as the ‘best employer’ zone). AGL’s 2011  engagement score decreased by eight percentage points compared  to 2010. The 2011 Engagement Survey was completed following a period  of significant organisational change that was undertaken to position  AGL for long-term profitable growth. Regrettably, the organisational  changes resulted in a number of positions being made redundant  across the business. Employee engagement fell in some parts of the  business most affected by the changes. Engagement scores declined in Merchant Energy and Upstream  Gas. However, despite the overall decrease, Retail Energy sustained  engagement levels in a number of areas. AGL is confident that action plans to be implemented in FY2012  will lead to a recovery in AGL’s employee engagement. AGL’s primary measure of safety performance is Total Injury  Frequency Rate (TIFR): the number of lost time and medical  treatment injuries experienced for every million hours of employee  work time. Disappointingly, after a 55% improvement in TIFR to 2.7 in FY2010  from 6.0 the preceding year, TIFR increased to 5.0 in FY2011. There  was an increase in the number of injuries from falls on flat surfaces  and in injuries sustained by employees over the age of 45 years. As well as addressing emerging challenges posed by an  aging workforce, AGL has also identified a need to align new  business acquisitions to AGL’s safety expectations. There has  been a reduction in the number of psychological and stress- related injuries compared to previous years after a recent focus  on employee wellbeing and mental health. Although our performance did not improve in this area, safety is  and will continue to be a core priority for AGL. The FY2012 target  has been set at a level that will support achievement of our long- term objective of zero injuries. AGL sets annual HSE Action Plans in each business unit. In FY2011,  100% of Action Plan commitments were met.