ST Engineering Annual Report 2020

Social: Economic Performance ST Engineering remains committed to creating sustainable and inclusive growth for our stakeholders, especially during these challenging times. We take a long-term view towards value creation through the delivery of a balanced triple bottom line of people, planet, and profit. Economic performance is material to our sustainability goals. We create good jobs, provide opportunities for local small and medium-sized enterprises (SMEs), collaborate with local institutions and bring together the business communities in the markets that we operate in. We managed to maintain an even keel amid the challenges posed by COVID-19. Our order book remained robust and increased to $15.4b in financial year 2020 despite COVID-19 challenges and cancellations. We also adapted and deployed our engineering solutions to help customers with their pandemic response. We continued to invest in our people, build new capabilities through partnerships and strengthen our contributions in the communities where we operate. Economic contributions by the Group in 2020 was $6.7b through supplier contracts, staff wages, dividend and interest payouts and tax revenue. Further details can be found in the Performance Review and Financial Report sections of this Annual Report. Group Economic Contribution $m Bought-in material and services 4,180 Employee wages, salaries and benefits 1,941 Dividends and interest paid 518 Govt taxes and levies 30 Total 6,669 Contributing to Singapore’s Economic Growth Our Singapore operations continued to generate employment and contributed to economic growth through close to $3b worth of purchases in Singapore, including more than $300m from local SMEs. SUSTAINABILITY / ST ENG I NEER I NG 88