6. Employees

Our business success is based to a large extent on the knowledge, skills, commitment and satisfaction of our employees. The aim of human resources work at Bayer is to create a working environment that encourages personal development and where every employee can drive forward innovations and achieve an excellent performance. Our corporate culture therefore builds on integrity, fosters strengths, identifies potential and helps us in our common goal of attracting the most talented employees and retaining them in the company in the long term.

Our human resource work starts with selecting and hiring new employees. We reward achievement and encourage ongoing development. We constantly develop our organizational structures and adapt them to the changing business environment. In addition, we have a wide range of initiatives and offerings to help managers lead their teams and enable employees to perform optimally.

The global strategy introduced by the Human Resources (HR) Committee helps us meet present and future business requirements. The HR Committee sets binding policies and defines priorities for all regions and organizational units. It is chaired by the member of the Board of Management responsible for human resources.

Group target:

continuous improvement in employee engagement

To monitor the effectiveness of our human resources work, we conduct a Group-wide Employee Survey every two years. This is supplemented by institutionalized feedback processes and analyses. The information we receive in this way is used to steadily improve our activities. One area of focus derived from the results of the last Employee Survey was improving our innovation culture. Cultivating innovation has therefore been integrated into the Bayer Competency Model as one of the key leadership competencies and we have introduced new initiatives such as the “WeSolve” knowledge platform. Further information on Bayer’s innovation culture can be found in Chapter 4 “Research, Development, Innovation.”

At the end of 2015 we had 116,800 employees worldwide.

Employees by Region and Gender 2015

Employees by Region and Gender 2015 (pie chart)Employees by Region and Gender 2015 (pie chart)

Identifying talents

Bayer actively encourages its employees to develop their individual abilities, talents and strengths. Scientific innovations, changing customer requirements and a strong competitive environment are just some of the reasons why we welcome open-minded employees. A professional approach to attracting suitable talents is key to this. In 2015 we successfully continued the rollout of our uniform employer branding “Passion to Innovate | Power to Change.” This message expresses what Bayer expects of its employees and, at the same time, what it can offer them. The employer branding “Passion to Innovate | Power to Change” was deployed worldwide for internal communication with employees in 2015 and was also used to position Bayer as an employer in many key markets. In addition, in 2015 we took the first steps toward further optimizing Group-wide recruitment of new employees. This was supported by an increased presence in social media. Our excellent reputation as an employer is shown by many external rankings, awards and accolades.

Online annex: 3-6-1:

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New Hires1 by Region and Gender

 

 

Women

 

Men

 

Total

 

 

2014

2015

 

2014

2015

 

2014

2015

The figures also include the discontinued operations.

1

Converted into full-time equivalents (FTE)

Region

 

 

 

 

 

 

 

 

 

Asia / Pacific

 

1,745

1,569

 

2,758

2,762

 

4,503

4,330

Europe

 

2,717

2,359

 

3,104

3,162

 

5,821

5,521

Latin America / Africa / Middle East

 

1,080

820

 

1,670

1,400

 

2,750

2,220

North America

 

990

2,359

 

1,510

1,406

 

2,500

3,765

Total

 

6,532

5,772

 

9,042

8,729

 

15,574

14,502

Vocational training plays an important role at Bayer in order to meet the need for skilled employees. We provide sound training in more than 20 different occupations and offer more vocational training places than required to meet our needs. In Germany alone, around 920 young people embarked on a vocational training course at Bayer in 2015. We also give young people an opportunity to gain an insight into working for our company at any early age. Overall, Bayer provided around 2,900 demanding professional internships for students around the world in 2015.

Present employee data

On December 31, 2015, Bayer had around 116,800 employees worldwide, a slight decrease compared with the previous year. In Germany we had some 36,700 employees (2014: approximately 35,700), which was 31% of the total Group workforce.

Employment Data1

 

 

2014

 

2015

 

 

FTE

 

FTE

2014 figures restated

Values rounded to the nearest hundred

1

The number of employees on either permanent or temporary contracts is stated in full-time equivalents and rounded to the nearest hundred. Parttime employees are included on a pro-rated basis in line with their contractual working hours.

Employees by function

 

 

 

 

Production

 

49,300

 

47,800

Marketing and distribution

 

45,100

 

44,700

Research and development

 

13,900

 

14,700

General administration

 

9,100

 

9,600

Total

 

117,400

 

116,800

Apprentices

 

2,600

 

2,600

The breakdown by age group was as follows:

Employees by Age Group

Age in years

 

< 20

 

20 – 29

 

30 – 39

 

40 – 49

 

50 – 59

 

> 60

2014

 

0.1%

 

15.8%

 

30.2%

 

28.2%

 

22.3%

 

3.4%

2015

 

0.1%

 

15.3%

 

30.0%

 

27.7%

 

23.0%

 

3.9%

Of the total Group workforce, 112,100 employees had permanent contracts while 4,700 had temporary contracts.

Online annex: 3-6-2:

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Employees1 by Employment Status, Region and Gender 2015

 

 

Permanent employees

 

Temporary employees

 

 

Women

Men

Total

 

Women

Men

Total

1

The number of employees on either permanent or temporary contracts is stated in full-time equivalents (FTE) and rounded to the nearest hundred. Part-time employees are included on a pro-rated basis in line with their contractual working hours.

Europe

 

19,900

33,500

53,400

 

1,100

1,400

2,500

North America

 

6,200

9,600

15,800

 

100

100

200

Asia / Pacific

 

10,100

17,700

27,800

 

200

800

1,000

Latin America / Africa / Middle East

 

5,700

9,400

15,100

 

300

700

1,000

Total

 

41,900

70,200

112,100

 

1,700

3,000

4,700

The voluntary fluctuation rate shows that we were again successful in retaining staff in the company long-term. On the reporting date, our employees had worked for the company for an average of 11 years. The proportion of employee-driven terminations (voluntary fluctuation) was 5.0% in 2015, level with the previous year’s figure. Group-wide, the fluctuation rate was around 13.9% and thus up 2.5 percentage points on the previous year. This figure includes all employer- and employee-driven terminations, retirements and deaths.

Employee Fluctuation

 

 

Voluntary fluctuation

 

Total

 

 

2014

2015

 

2014

2015

Women

 

5.3%

5.8%

 

11.6%

13.9%

Men

 

4.6%

4.5%

 

11.3%

13.9%

Total

 

4.8%

5.0%

 

11.4%

13.9%

Online annex: 3-6-3:

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Employee Fluctuation1 by Region, Gender and Age Group

 

 

Europe

 

North America

 

Asia / Pacific

 

Latin America / Africa / Middle East

 

Total

 

 

2014

2015

 

2014

2015

 

2014

2015

 

2014

2015

 

2014

2015

 

 

%

%

 

%

%

 

%

%

 

%

%

 

%

%

1

The data include all employer- and employee-driven terminations, retirements and deaths.

2

The comparatively high proportion of employees in the <30 age group is due to the inclusion of employees on temporary contracts (working for 2–6 months of the year) and other short-term employees. It does not include apprentices.

3

The fluctuation rates for the >= 50 age group are mainly due to retirements.

Women

 

8.2

7.8

 

14.8

15.7

 

15.2

22.2

 

13.6

19.0

 

11.6

13.9

< 302

 

23.6

19.5

 

31.0

36.1

 

17.7

24.9

 

23.6

29.6

 

21.5

24.5

30 – 49

 

6.2

6.5

 

13.1

14.1

 

13.6

20.4

 

11.3

17.1

 

9.8

12.6

>= 503

 

5.3

5.4

 

13.6

13.2

 

19.5

29.1

 

9.9

12.9

 

8.5

9.1

Men

 

6.8

6.7

 

15.8

13.2

 

16.1

23.6

 

13.0

21.8

 

11.3

13.9

< 302

 

32.1

23.8

 

40.0

35.8

 

21.4

31.3

 

27.4

41.9

 

26.8

30.7

30 – 49

 

4.4

4.7

 

13.5

10.0

 

14.3

21.7

 

10.3

17.5

 

9.4

12.3

>= 503

 

4.1

4.9

 

14.1

12.8

 

13.2

17.2

 

9.4

20.2

 

7.3

8.7

Total

 

7.4

7.1

 

15.4

14.2

 

15.8

23.1

 

13.2

20.7

 

11.4

13.9

At our Significant locations of operation A selection of countries that account for about 68% of total Bayer Group sales (United States, Puerto Rico, Germany, China, Brazil, Japan, Canada, Italy, U.K., Ireland, Mexico, Poland, Czech Republic, Slovakia, Hungary, Spain, Portugal) , which represent a selection of countries in which we generate around 68% of our total sales, Bayer also uses temporary personnel from staffing agencies on a small scale, based on stringent rules that are rooted in the LIFE values.

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Temporary personnel from staffing agencies are primarily used where this is necessary as a result of short-term personnel requirements, fluctuations in order levels, temporary projects or long-term illness. The proportion of temporary staff employed in Germany is around 2.9% of the total workforce, and the average for the significant locations of operation is 7.5%.

6.1 Utilizing Potential to the Full: Personnel Development at Bayer

We aim to develop our employees on the basis of their abilities. To ensure this, in 2015 we introduced the Bayer Competency Model as a uniform, Group-wide standard. It comprises 16 clearly defined core and leader competencies, which are derived from our business strategy and LIFE values. They enable both employees and managers to use a common language and enhance transparency of the skills and behaviors we expect from both current and future employees.

This common understanding facilitates development opportunities for employees and at the same time gives them guidance on their career path. The Bayer Competencies are now used as criteria for many employee development tools, ranging from recruitment interviews through the Development Dialogue to various Assessment Centers to identify future managers. In 2015, 28,000 nonmanagerial staff and 23,000 managerial staff around the world were trained to use the competencies in interviews and Development Dialogues.

The aim of the Development Dialogue is to draw up an individual development plan that fosters employees’ strengths and addresses areas in which they would like to develop further. 30,000 Development Dialogues were held in 2015. They are an opportunity for employees to discuss their personal strengths and development needs, career expectations and professional aspirations with their supervisor. This tool is to be rolled out Group-wide and given a firm place in our global leadership culture. In 2015, the Development Dialogue was extended to nonmanagerial employees in Germany.

Thanks to its wide-ranging business activities, Bayer is able to offer employees throughout the Group good opportunities for development. Vacancies throughout the Bayer Group, from nonmanagerial right up to senior management level, are advertised via a globally accessible platform. In 2015, we posted around 13,000 vacancies in 61 countries on this platform.

Selective training is also part of our philosophy of personnel development. We actively encourage “lifelong learning” by our employees as an integral element in the management of demographic change. Our aim is to empower all employees to broaden their knowledge and skills and keep up with the latest changes throughout their working lives.

We have training programs for all employees throughout the company. An overview of the various programs, together with details of their aims and uptake can be found here.

At the heart of our ongoing training concept is the Group-wide Bayer Academy, which bundles our extensive range of continuing education offerings. Alongside systematic development of managerial employees, it offers continuous professional training through various functional academies. Managers from different management levels have taken a total of 31,966 training courses through the programs offered by the Bayer Academy for managers since 2013, including 11,623 in 2015. In 2015, the Bayer Academy was honored with the renowned Brandon Hall Group Excellence Award in bronze for its training offerings to enhance the performance and feedback culture. A total of 302,205 training sessions in Skill & Competency were taken by managers across all managerial levels.

Every employee at our significant locations of operation received an average of 20.0 hours of vocational and ongoing training.

Online annex: 3-6.1-1:

limited assurance
Training Activities in Hours in 2015 by Employee Group and Gender1

 

 

Women

 

Men

 

Total

The figures also include the discontinued operations.

1

Selected training activities in the 14 largest countries covered by the global training system, in which we generate 71.8% of our sales; the gender-specific averages do not include the United States or Japan as statutory regulations preclude differentiation by gender in these countries.

Employee group

 

 

 

 

 

 

Senior management

 

18.3

 

15.9

 

16.3

Junior management

 

33.2

 

24.4

 

27.4

Specialists

 

19.9

 

14.3

 

16.4

Overall average

 

24.1

 

17.7

 

20.0

Achieving excellent performance – fostering flexibility

Above-average performance is only possible in an environment where fairness and respect are key elements of the corporate culture. That includes observing Bayer-wide standards of conduct and protecting employees from discrimination, harassment and retaliation. These standards are set forth in the corporate policy on Fairness and Respect at Work.

Specific and differentiated feedback forms the basis for positive personal development. Bayer encourages a culture of candid feedback to help employees achieve their individual goals. The global performance management system is part of this culture. Employees agree individual objectives with their supervisor that are directly based on corporate goals. Alongside continuous feedback throughout the year, attainment of the objectives is assessed by the supervisor at the end of the year and discussed personally with each employee. The results are documented in the employee portal and made available to each employee on an individual basis. In 2015, this system covered more than 88,000 employees, i.e. about 75% of our total workforce. Of the participants, 42% were female and 58% male. The system is mandatory for all managerial employees. This ensures that they receive feedback on how well they have applied our corporate values in the fulfillment of their individual objectives. Applying the LIFE values is as important as meeting business targets and therefore affects the level of their variable compensation.

Bayer’s corporate culture is shaped by its employees. As a modern employer, Bayer endeavors to respond to employees’ widely differing lifestyles. The company therefore offers employees in all countries a wide range of options to help them balance employment with their personal and family lives. Today’s employees and prospective employees attach great importance to flexible working arrangements and to support in caring for children and close relatives. Bayer offers a variety of flexible working opportunities throughout the world. In many countries, these go well beyond the statutory requirements. We significantly
expanded our benefits and services in this area in 2015, for example in China.

In 2015, Bayer concluded a new General Works Agreement with the Works Council in Germany on a binding and uniform framework for short-term mobile working. For the first time, this agreement is applicable throughout the Group.

We regularly conduct extensive global surveys of family-friendly working arrangements. In 2015, these showed further progress at our Significant locations of operation A selection of countries that account for about 68% of total Bayer Group sales (United States, Puerto Rico, Germany, China, Brazil, Japan, Canada, Italy, U.K., Ireland, Mexico, Poland, Czech Republic, Slovakia, Hungary, Spain, Portugal) . New and improved programs for flexible working from home, flextime and caring for relatives have been introduced. In 2015, the Bayer Group had some 10,200 part-time employees, in particular in Europe. This figure represents 8.5% of the total headcount.

Online annex: 3-6.1-2:

limited assurance
Percentage of Part-Time Employees by Region and Gender

 

 

Women

 

Men

 

Total

 

 

2014

2015

 

2014

2015

 

2014

2015

 

 

%

%

 

%

%

 

%

%

Region

 

 

 

 

 

 

 

 

 

Asia / Pacific

 

2.2

2.1

 

0.3

0.1

 

1.0

0.8

Europe

 

23.5

24.1

 

11.2

12.2

 

15.9

16.9

Latin America / Africa / Middle East

 

0.1

0.2

 

0.0

0.0

 

0.1

0.1

North America

 

1.6

1.2

 

0.1

0.2

 

0.7

0.6

Total

 

12.1

12.7

 

5.3

6.0

 

7.9

8.5

Bayer enables both men and women to take parental leave. Since national parental leave regulations vary widely from country to country, we only compile data for our significant locations of operation. Group-wide 1,315 women and 788 men took parental leave in 2015. By the end of the year, around 1,847 employees on parental leave had returned to work. 81% of women and 99% of men who took parental leave in 2015 returned to work in the same year.

Online annex: 3-6.1-3:

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The next table shows the number of employees who have returned after the standard statutory parental leave program and Bayer’s more far-reaching “Family & Career” model in the past seven years, using Germany as an example. By the end of 2015, 82.6% had returned to work.

Employees Returning from Parental Leave using Germany as an Example

 

 

%

 

Absolute

1

Includes employees who have left the company due to employer- and employee-driven terminations, severance agreements and expiration of contracts

Employees who have taken parental leave since 2009

 

100.0

 

3,178

Returnees by 2015

 

82.6

 

2,624

Women

 

58.7

 

1,867

Still on parental leave / with a dormant employment contract

 

17.2

 

321

Returned by 2015

 

72.4

 

1,352

Left the company1

 

10.4

 

194

Men

 

41.3

 

1,311

Still on parental leave / with a dormant employment contract

 

1.3

 

17

Returned by 2015

 

97.0

 

1,272

Left the company1

 

1.7

 

22

The General Works Agreement on caring for close relatives helps Bayer employees in Germany to combine working with their role as carers.

Online annex: 3-6.1-4:

limited assurance

Under this agreement, employees can take up to 10 days’ paid leave to provide emergency care for family members. For longer periods, they are entitled to work part-time. During this time, their salary can be topped up by drawing funds from their long-term account. Alternatively, employees who need to care for close relatives full-time can take unpaid leave for up to six months (or up to one year in exceptional cases). The new General Works Agreement on mobile working, which includes working from home for short periods, also offers employees greater flexibility in dealing with personal emergencies.

Employee communication

We regard providing regular, up-to-date information for our employees and involving them through active dialogue as an integral part of modern human resources and talent management based on competitive structures and processes. To ensure this, Bayer stepped up open and transparent communication with employees in 2015. The previously separate intranet sites providing HR information, company news, country-specific information and background facts have been combined, offering extensive information on career paths, compensation, training and benefits.

Communication with employees also includes meeting national and international obligations to inform staff promptly and extensively about upcoming changes in the Group.

In Germany we combine providing timely information to the employee representatives on the Economics Committee of the company concerned with coordinating and jointly deciding on the proposed communication measures.

We also actively involve our employees in dialogue through a range of offerings and specifically encourage open discussion. These include regular employee assemblies, information events for managers and the European Forum, where employee representatives from all European sites engage in discussion with the Board of Management. Particular attention is paid to explaining strategic issues, business performance, research, innovation and sustainability.

6.2 Diversity and Internationality

A diverse employee structure is vital for our company’s future competitiveness. Diversity designates the variation within the workforce in terms of gender, origin, nationality, age, religion and physical capability. improves our understanding of changing markets and consumer groups, gives us access to a broader pool of talented employees, and enables us to benefit from the enhanced innovative and problem-solving abilities that are demonstrably associated with a high cultural diversity within the company.

A better gender and cultural balance at management level is especially important for our success as a company. Our activities in this area are bundled in “Leading Across Cultures and Genders.” At the heart of this program are special training sessions for managers. These provide an opportunity for them to consider the economic benefits of greater diversity, cultural and gender-specific differences and positive examples from within the Group in order to develop action plans for their own areas of responsibility.

Online annex: 3-6.2-1:

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Since November 2014 Bayer has been a member of the Gender Parity Council of the World Economic Forum in Davos. It is also a founding member of the new “Chefsache” network sponsored by the German Chancellor Angela Merkel, which was set up in the summer of 2015. The members of this initiative are committed to working together to develop practically oriented strategies to drive Diversity designates the variation within the workforce in terms of gender, origin, nationality, age, religion and physical capability. and gender balance in their organizations.

Group target 2015:

increase in the proportion of senior managers from outside the EU, the United States or Canada to 25%

Overall, the Bayer Group employs people from around 150 different nations. Of the members of our Group Leadership Circle, in which 33 nationalities are currently represented, around 67% come from the country in which they are employed. The Group Leadership Circle comprises managers who perform senior functions in the Group. At the end of 2013, 82% of senior managers in our five top contract levels came from Western Europe, the United States and Canada and 18% came from other countries. By the end of 2015, the proportion of employees in the latter group had increased by three percentage points to 21%. We aim to increase this to 25% by 2020.

Group target 2015:

increase in the proportion of women in senior management to 30%

In 2010, Bayer set itself the voluntary target of raising the proportion of women at the five highest management levels throughout the Group to 30% by the end of 2015. In just five years, we have increased the proportion of women in this management segment from 21% to around 28%. We aim to raise this to 35% by 2020.

In the Group Leadership Circle – the top management level below the Board of Management – the ratio has likewise improved from 93% men and 7% women at the end of 2010 to 87% men and 13% women at the end of 2015.

Online annex: 3-6.2-1:

limited assurance
Bayer Group Workforce Structure1

 

 

Women

 

Men

 

Total

 

 

2014

2015

 

2014

2015

 

2014

2015

2014 figures restated

1

Number of employees converted into full-time equivalents (FTE) and rounded to the nearest hundred

Senior management

 

2,800

3,100

 

7,700

7,900

 

10,500

11,000

Junior management

 

10,900

11,300

 

16,600

16,700

 

27,500

28,000

Skilled employees

 

30,200

29,300

 

49,200

48,500

 

79,400

77,800

Total

 

43,900

43,700

 

73,500

73,100

 

117,400

116,800

Apprentices

 

800

800

 

1,800

1,800

 

2,600

2,600

6.3 Employee Compensation and Variable Pay

Compensation at Bayer combines a basic salary reflecting performance and responsibility with elements based on the company’s success, plus extensive additional benefits. In this way, we aim to offer our employees working conditions that give them a high degree of security and reliability. Adjustments based on continuous benchmarking are designed to ensure that our compensation is always internationally competitive. We also attach great importance to equal pay for men and women, providing fair and competitive compensation worldwide and informing our employees transparently about the overall structure of their compensation.

Online annex: 3-6.3-1:

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At Bayer, individual salaries are based on each employee’s personal and professional abilities and the level of responsibility assigned to them. At managerial level, this is based on uniform evaluation of all positions throughout the Group using the internationally recognized Hay method. In areas of the Group and jobs that fall within the scope of binding collective bargaining agreements, there are no differences in pay based on gender either. This also applies for the compensation of trainees. In the Emerging Markets and developing countries, too, compensation levels are aligned to local market conditions. To provide a transparent overview of their compensation, including all additional benefits provided by the company and employer pension and social insurance contributions, more than 30,000 employees in 12 countries up to now annually receive an extensive “Total Reward Statement” containing all relevant information. This will be rolled out successively to further countries in the next few years.

Our compensation concept also includes variable one-time payments. More than €1,100 million is earmarked for bonus awards to employees for 2015 under the Group-wide short-term incentive (STI) program. In many countries, employee stock programs enable our staff to purchase Bayer shares at a discount. This offers them a further opportunity to participate in the company and its business performance. We also offer senior managers throughout the Group “Aspire,” a uniform long-term compensation program based on the development of the share price (see Note [26.6] to the consolidated financial statements). For members of the Group Leadership Circle, an appropriate personal investment in Bayer stock is the prerequisite for participating in this program.

In the Continuing operations Revenue and earnings reporting for continuing operations pertains only to business operations that are expected to remain in the company’s portfolio for the foreseeable future; opposite of discontinued operations. , our personnel expenses amounted to €11,203 million in 2015 (2014: €9,693 million). The change was mainly due to currency effects, an increase in average employee numbers, and higher employee bonuses. Offering a stable income and financial security is a basic principle of our global compensation strategy. This also applies to financial security in old age. More than 70% of Bayer employees worldwide are included in a Bayer pension plan. Pension provision is available to most employees for the period after their retirement. The way these benefits are provided varies according to the legal, fiscal and economic conditions of each country, the benefits generally being based on employee compensation and years of service. Further details of pension provision and pension obligations are given in Note [29] to the consolidated financial statements.

Personnel Expenses and Pension Obligations

 

 

2011

 

2012

 

2013

 

2014

 

2015

 

 

€ million

 

€ million

 

€ million

 

€ million

 

€ million

2014 figures restated; figures for 2011 – 2013 as last reported

1

Present value of defined-benefit obligations for pensions and other post-employment benefits for continuing and discontinued operations

Personnel expenses

 

8,726

 

9,194

 

9,430

 

9,693

 

11,203

of which pension and social security contributions

 

1,672

 

1,823

 

1,845

 

1,818

 

2,191

Pension obligations1

 

19,310

 

22,588

 

20,682

 

27,771

 

26,809

Human Rights and Social Responsibility

Our social responsibility as a company and an employer is based on our corporate values and our unreserved commitment to supporting and fostering human rights in our sphere of influence. Bayer’s Human Rights Position is set out in a binding Group-wide policy. We are committed to respecting, fostering and reporting transparently on human rights both internally and within our sphere of influence. That means, in particular, that we have policies, processes and monitoring systems to enforce human rights in our business operations. Alongside working conditions in the Bayer Group, these outline our expectation that human rights will be respected at all stages in the supply chain, as detailed in our Supplier Code of Conduct. In addition, our LIFE values and (Corporate) compliance comprises the observance of statutory and company regulations on lawful and responsible conduct. Policy commit all employees around the world to fair and lawful conduct toward staff, colleagues, business partners and customers. We are a founding member of the UN Global Compact and respect the United Nations’ Declaration of Human Rights and a range of globally recognized declarations applicable for multinational corporations.

Online annex: 3-6.3-2:

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These include, in particular, the OECD Guidelines for Multinational Enterprises, the Tripartite Declaration of Principles Concerning Multinational Enterprises and Social Policy, and the ILO core labor standards The eight core labor standards of the ILO (International Labour Organization) that define the minimum requirements for humane working conditions are internationally recognized “qualitative social standards.” They represent universal human rights that are deemed valid in all countries regardless of their economic development status. of the International Labour Organization (ILO). We also observe the U.N. Guiding Principles on Business and Human Rights, which were adopted in 2011. To implement these, in 2015, we played an active part in the consultation process, which aims to support the German government in drafting a national action plan.

To enhance our employees’ awareness of the importance of human rights in their day-to-day activities, we trained around 52% of our workforce in the main aspects of our Human Rights Position at various courses with a total duration of 201,000 hours in 2015. That included training for internal and external security staff. The compliance organizations at Group and country levels monitor compliance with the relevant corporate policies. If there are signs of violation, employees can contact their Compliance Officer at any time, anonymously if required. Alternatively, they can contact the Group-wide compliance hotline, which is available worldwide to the general public as well as to employees. For further details see Chapter 16.3 “Compliance.”

At Bayer, social responsibility includes ensuring safe working conditions and thus an environment where our employees can work and undertake international business travel without fear. We support our employees by providing training to prepare them for business trips, including training in the correct conduct in emergencies.

Our social responsibility is also reflected in our approach to necessary changes and restructuring measures. In Germany, which remains the company’s largest operational base with 36,700 employees, business-related dismissals are excluded through the end of 2020 for a large proportion of employees under an agreement with the employee representatives.

In 2015 the working conditions for around 53% of our employees worldwide were governed by collective or company agreements. The contractually agreed working hours of our employees do not exceed 48 hours a week in any country. At various country companies, the interests of the workforce are represented by elected employee representatives who have a right to be consulted on certain personnel-related decisions.

Online annex: 3-6.3-3:

limited assurance
Percentage of Collective Agreements by Region

 

 

Percentage of employees covered by collective agreements, especially on compensation and working conditions1

 

 

2014

 

2015

 

 

%

 

%

1

Collective or company agreements

Region / area

 

 

 

 

Asia / Pacific

 

14

 

15

Europe

 

87

 

88

Latin America / Africa / Middle East

 

45

 

45

North America

 

5

 

5

Total

 

52

 

53

Our understanding of our role as a socially responsible company includes a commitment to helping disadvantaged people. We employ some 2,500 people with disabilities in 29 countries. That is around 2% of our total workforce. 35% are female and 65% male. Most employees with disabilities work for our companies in Germany, where they made up 4.9% of the workforce in 2015.

An important part of our sustainable human resources policy is ensuring a high level of social protection for our employees. For example, nearly all employees worldwide either have statutory health insurance or can obtain health insurance through the company. In 2015, we once again expanded or improved the quality of the health benefits provided for employees in many countries. 78% of employees have access to a company pension plan.

Health Insurance and Pension Coverage

 

 

Health insurance1

 

Pension plans2

 

 

2014

2015

 

2014

2015

 

 

%

%

 

%

%

1

State or employer- / employee-funded

2

Programs to supplement statutory pension plans

Region

 

 

 

 

 

 

Asia / Pacific

 

95

95

 

57

64

Europe

 

99

99

 

86

86

Latin America / Africa / Middle East

 

94

93

 

59

56

North America

 

92

93

 

99

99

Total

 

96

96

 

77

78

Employees’ health and vitality are important to Bayer. The company therefore specifically encourages health awareness and healthy lifestyles. We have therefore introduced a wide range of workplace health management programs at all levels, which are being expanded in response to employee surveys. Further information can be found in Chapter 9.1 “Occupational Health and Safety.”