Nestlé in society Creating Shared Value and meeting our commitments 2015
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<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong>:<br />
Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />
Nutrition, health<br />
<strong>and</strong> wellness<br />
Rural development<br />
Water<br />
Environmental<br />
susta<strong>in</strong>ability<br />
Human rights<br />
<strong>and</strong> compliance<br />
Our<br />
people<br />
G4-10, G4-11, Market presence G4-DMA, G4-LA2, G4-LA4, FP3, Non-discrim<strong>in</strong>ation G4-DMA, G4-HR3,<br />
Freedom of association <strong>and</strong> collective barga<strong>in</strong><strong>in</strong>g G4-DMA, G4-HR4<br />
Collective barga<strong>in</strong><strong>in</strong>g <strong>and</strong> freedom<br />
of association<br />
We support the freedom of association of <strong>our</strong> employees <strong>and</strong><br />
the effective recognition of the right to collective barga<strong>in</strong><strong>in</strong>g.<br />
We operate <strong>in</strong> some countries where these rights are not<br />
upheld. Despite the <strong>in</strong>herent difficulties <strong>and</strong> the limits of local<br />
laws, <strong>Nestlé</strong> respects, at all times <strong>and</strong> <strong>in</strong> all places, the right of<br />
employees to mean<strong>in</strong>gful <strong>and</strong> constructive dialogue over<br />
issues that relate to work<strong>in</strong>g conditions <strong>and</strong> the workplace<br />
environment. Our people <strong>and</strong> employee representatives are<br />
expected to make all necessary efforts to develop fair <strong>and</strong><br />
constructive negotiations, overcome the difficulties that they<br />
might encounter, reach susta<strong>in</strong>able agreements <strong>and</strong><br />
implement them.<br />
In <strong>2015</strong>, around 54% of <strong>our</strong> employees worldwide were<br />
covered by collective barga<strong>in</strong><strong>in</strong>g agreements.<br />
Percentage of employees covered by collective barga<strong>in</strong><strong>in</strong>g<br />
agreements (%)<br />
<strong>2015</strong> 54<br />
2014 51<br />
2013 51<br />
Foster<strong>in</strong>g positive relations with trade unions<br />
We ensure that direct <strong>and</strong> frequent communication is<br />
established <strong>in</strong> the workplace <strong>and</strong> we respect the right of <strong>our</strong><br />
employees to engage <strong>in</strong> union activities.<br />
We cont<strong>in</strong>uously seek areas of dialogue, discussion <strong>and</strong><br />
mutual underst<strong>and</strong><strong>in</strong>g at all levels of <strong>our</strong> operations. This<br />
<strong>in</strong>cludes communities <strong>and</strong> authorities, as well as local <strong>and</strong><br />
<strong>in</strong>ternational stakeholders represent<strong>in</strong>g employees <strong>and</strong> unions,<br />
such as the IUF <strong>and</strong> the <strong>Nestlé</strong> European Council for<br />
Information <strong>and</strong> Consultation (NECIC). In do<strong>in</strong>g so, we enrich<br />
<strong>our</strong> knowledge of social realities, we share <strong>our</strong> vision <strong>and</strong><br />
efforts for susta<strong>in</strong>able growth <strong>and</strong> we constantly aim to f<strong>in</strong>d<br />
opportunities to improve <strong>our</strong> practices.<br />
At a local level, we seek a susta<strong>in</strong>ed dialogue with external<br />
experts, such as the local ILO office, OECD National Contact<br />
Po<strong>in</strong>t, employer organisations <strong>and</strong> bus<strong>in</strong>ess associations, to be<br />
<strong>in</strong>formed about relevant market trends <strong>and</strong> exchange views on<br />
lab<strong>our</strong> issues.<br />
It is <strong>in</strong>evitable that some disputes will occur but, through<br />
<strong>our</strong> policies, pr<strong>in</strong>ciples <strong>and</strong> values, we seek to ensure that<br />
these are settled openly <strong>and</strong> transparently. In <strong>2015</strong>, 31<br />
<strong>in</strong>dustrial actions took place around the world. The average<br />
percentage of work<strong>in</strong>g time lost due to lab<strong>our</strong> disputes, strikes<br />
<strong>and</strong>/or lock-outs was 0.024%.<br />
We cont<strong>in</strong>ue to work closely with the IUF, develop<strong>in</strong>g a<br />
more open relationship <strong>and</strong> a will<strong>in</strong>gness to work together to<br />
tackle lab<strong>our</strong>-related issues around the world. The relationship<br />
is based around Jo<strong>in</strong>t Operat<strong>in</strong>g Pr<strong>in</strong>ciples <strong>and</strong> bi-annual<br />
meet<strong>in</strong>gs that take place between the leadership teams, as<br />
well as trade union representatives. The relationship is<br />
supported by two work<strong>in</strong>g groups that focus on gender<br />
equality for non-managerial employees <strong>and</strong> work<strong>in</strong>g<br />
conditions. Both groups have analysed data from different<br />
markets <strong>and</strong> we are currently analys<strong>in</strong>g the way forward.<br />
Number of lab<strong>our</strong> disputes<br />
<strong>2015</strong> 31<br />
2014 29<br />
2013 25<br />
Number of lab<strong>our</strong> disputes by region (<strong>2015</strong>)<br />
EMENA 13<br />
AMS 13<br />
AOA 5<br />
Work<strong>in</strong>g time lost due to <strong>in</strong>dustrial disputes, strikes <strong>and</strong>/or<br />
lock-outs (%)<br />
Group 2013 2014 <strong>2015</strong><br />
Total work<strong>in</strong>g time lost 0.004 0.016 0.024<br />
EMENA* n/a 0.01 0.0038<br />
AMS* n/a 0.04 0.056<br />
AOA* n/a 0.001 0.0089<br />
Covers 314 366 <strong>Nestlé</strong> employees.<br />
*<br />
Excludes temporary employees.<br />
Zero tolerance for discrim<strong>in</strong>ation<br />
<strong>Nestlé</strong> respects the personal dignity, privacy <strong>and</strong> rights of<br />
every employee. We are committed to ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g a<br />
workplace free from discrim<strong>in</strong>ation <strong>and</strong> harassment. Our<br />
Human Res<strong>our</strong>ces Policy <strong>and</strong> <strong>our</strong> Code of Bus<strong>in</strong>ess Conduct<br />
state that employees must not discrim<strong>in</strong>ate on the basis of<br />
orig<strong>in</strong>, nationality, religion, race, gender, age or sexual<br />
orientation, or engage <strong>in</strong> any k<strong>in</strong>d of verbal or physical<br />
harassment based on any of the above or any other reason.<br />
It is each employee’s responsibility to ensure full compliance<br />
with all provisions of <strong>our</strong> policy <strong>and</strong> code <strong>and</strong> to seek guidance<br />
where necessary from their l<strong>in</strong>e manager, or from the HR,<br />
Legal or Compliance functions. Failure to comply may result <strong>in</strong><br />
discipl<strong>in</strong>ary action, <strong>in</strong>clud<strong>in</strong>g the possibility of dismissal <strong>and</strong>,<br />
if warranted, legal proceed<strong>in</strong>gs or crim<strong>in</strong>al sanctions.<br />
Employees who feel that their workplace does not comply<br />
with the above pr<strong>in</strong>ciples are enc<strong>our</strong>aged to raise their<br />
concerns with the HR department. In <strong>2015</strong>, 139 alleged<br />
<strong>in</strong>cidents of discrim<strong>in</strong>ation <strong>in</strong> <strong>our</strong> operations were reported.<br />
<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong> – Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong> <strong>and</strong> meet<strong>in</strong>g <strong>our</strong> <strong>commitments</strong> <strong>2015</strong> 276