Employer attractiveness and a focus on employees

Attractive working conditions boost employee satisfaction and thus help the company retain personnel. A job’s attractiveness is affected not only by its remuneration but also by factors such as the employees’ ability to reconcile their private lives, families, and health situation with the demands of their careers.

Employee surveys are an important instrument of organizational and management development at Daimler. As a result, we conduct a global survey every two years in order to find out more about our employees’ commitment and identification with the company and about their satisfaction with their working conditions and their supervisors. The results of these surveys are incorporated into the Employee Commitment Index (ECI). The ECI for 2012 increased clearly by three index points compared to the previous year, to 66. In a benchmark comparison, this puts Daimler in the top 33 percent of employers in the industrial sector in terms of the level of employee commitment. The next worldwide employee survey will be conducted in 2014.

Employee commitment

Employee commitment

The clear increase of the ECI by three index points has put Daimler in the top 33 percent of industrial sector employers in terms of employees’ work satisfaction and motivation.

Flexible working arrangements. We offer our employees many individualized models for making their working times and locations more flexible. We have included such regulations in the company agreements for the U.S., Japan, Vietnam, Europe, and other regions. Our flexible working-time models include the traditional part-time work periods in the mornings, as well as work weeks of two to four days, blocks of part-time work, and job-sharing concepts for managers. At 60 percent, the share of women who work part-time is the highest in Germany. About 32,000 employees worldwide work independently of their workplace — from home, for example. The length of our employees’ work week (35 hours in Germany) is generally regulated by the company or by a collective bargaining agreement. These working times are only deviated from within the limits set by prior agreements. Overtime is only assigned within the framework of anticipatory requirement plans involving an approval process. Overtime is remunerated according to the locally applicable regulations at all of our locations. Thanks to working-time accounts, we can arrange working times in such a way that employees’ salaries remain stable even if the workload fluctuates temporarily.

Combining a career with flexible working

Daimler offers diverse flexible working opportunities to every employee. Part-time working arrangements, for example, are now open not only to employees but to managers too.

Working (hour) models take various shapes, including job sharing, part-time work in blocks, mobile working, and temporary leave for skills training courses, voluntary work or caring for dependents. Daimler currently offers more than 300 different flexible working arrangements. With this wide range of working models, the company aims to retain employees who want to change their working hours for personal reasons. After all, Daimler AG knows that it couldn’t do without the invaluable expertise and experience of its staff.

It is Daimler’s goal to create a win-win situation for employees that supports a balance between commitments at work and at home.

Special leave. In Europe in particular, we have company agreements that allow our employees to interrupt their careers for up to five years with the guarantee that they can subsequently return to their old jobs. They can have time off to continue their education or take a sabbatical, for example, or to care for children or family members in need of nursing. Parental leave is becoming increasingly popular at Daimler in Germany, where around 40 percent of new fathers took at least two months off work in 2012. One year later, 98 percent of the people who had gone on parental leave had returned to their jobs and were continuing to work for Daimler.

Daycare centers near our company locations and the organization of childcare services. There will be daycare center places for 570 children under three near all Group locations in Germany by 2013. The centers have long opening hours to enable employees who have taken parental leave to return to their jobs. The centers provide a wide range of childcare and educational services in line with international standards. We also work together with a childcare agency that organizes customized childcare services, including child minders and nannies, through its quality-certified online platform. The employer and the employee share the cost of obtaining a oneyear license.

berufundfamilie audit. In 2002 the Mercedes-Benz plant in Wörth became one of the first facilities of a DAX-listed company to be certified as a family-friendly business by berufundfamilie GmbH. Since then we have become one of Germany’s leading companies in terms of reconciling our employees’ responsibilities regarding work and family. To make sure that this remains a permanent feature of our corporate culture, we have also launched a research project and an HR initiative for promoting a good life balance. In addition, the subsidiary EvoBus GmbH has twice won awards for its family-friendly human resources policies.

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Dr. Dieter Zetsche about the sustainability efforts of Daimler

Daimler is a versatile provider of mobility services around the globe. The Group’s broad range of car and commercial vehicle models is supplemented by innovative mobility concepts. The most prominent around the world is car2go.

Our view of sustainability

Dr. Dieter Zetsche

Chairman of the Board of Management of Daimler AG,
Head of Mercedes-Benz Cars

We want to enhance the value of our company over the long term. We therefore view value creation in a holistic manner, which means that for us economic, environmental, and social responsibility go hand in hand.

Dr. Wolfgang Bernhard

Member of the Board of Management of Daimler AG,
Head of Daimler Trucks

We focus on achieving the greatest possible customer utility throughout the entire life cycle of our vehicles. For example, we assume responsibility for our products by making sure that they meet the highest safety standards and set benchmarks for environmental and climate protection.

Andreas Renschler

Member of the Board of Management of Daimler AG,
Manufacturing and Procurement
Mercedes-Benz Cars & Mercedes-Benz Vans

Sustainability is a top priority at Mercedes-Benz, and our efforts here take into account the entire production process. Our measures focus on climate protection, air pollution control, and the responsible utilization of raw materials and resources. It goes without saying that our high sustainability standards also apply to our suppliers.

Hubertus Troska

Member of the Board of Management of Daimler AG,
Greater China

Daimler is so deeply rooted in China, it is only natural that we have also integrated our business targets with the principles of sustainability and responsibility. Our aim is to serve as a good corporate citizen and thus show our full and long-term commitment to this country — economically and sustainably. We keep track of our activities in our detailed Daimler China Sustainability Report.

Dr. Christine Hohmann-Dennhardt

Member of the Board of Management of Daimler AG,
Integrity and Legal Affairs

We are aware of our responsibility to society as a globally operating company with a more than 125-year tradition of automobile manufacturing. That's why we want to ensure that our business operations are sustainable. For us, business success is inseparable from business ethics.

Wilfried Porth

Member of the Board of Management of Daimler AG,
Human Resources and Director of Labor Relations

Our employees contribute to value creation at the company with their skills and talents, their wealth of ideas, and their motivation. We know that a fair and trusting relationship with our employees is the key to retaining their continuing commitment. Maintaining this relationship over the long term is a core aim of our human resources policy.

Bodo Uebber

Member of the Board of Management of Daimler AG,
Finance & Controlling/Daimler Financial Services

Our financial activities are also conducted in accordance with the principles of sustainability. Our work ensures healthy and responsible financial operations with a longterm horizon. This, in turn, establishes confidence in our company and ensures that we can make the investments, which are so critical to our future success. This approach benefits employees, customers, and shareholders alike.

Prof. Dr. Thomas Weber

Member of the Board of Management of Daimler AG,
Group Research & Mercedes-Benz Cars Development,
Chairman of the Daimler Sustainability Board

We want to make the future of mobility as safe and environmentally friendly as possible. As the inventor of the automobile, we have been setting the pace for many decades when it comes to the development of vehicle safety systems and clean and efficient drive systems. We utilize our innovations to consistently pursue our target of accident-free and emission-free mobility, which extends all the way to self-driving vehicles.

Important progress in 2012

Advisory Board for Integrity and Corporate Responsibility

On September 25, 2012, Daimler established a new Adivisory Board for Integrity and Corporate Responsibility. The board assesses the handling of integrity-related issues at the company from a critical and constructive external perspective.

Standardized management remuneration

Daimler has implemented a globally standardized, variable, and transparent remuneration system consisting of medium to long-term performancebased components.

Euro VI/Euro 6

Although the Euro VI emission standard will not go into effect until January 2014, one-third of all Mercedes-Benz truck customers in 2012 nevertheless opted to purchase vehicles certified as Euro VI-compliant. The gasoline engines in the new Mercedes-Benz A- and B-Class models also already meet the requirements of the Euro 6 emission standard that won't go into effect until September 2015.

117 projects

Within the framework of the Group's ProCent program for supporting social welfare projects, Daimler employees and the company donated approximately €745,000 to fund a total of 117 projects in 2012.

Key targets

Incentive systems

Expansion of the remuneration para meters for Daimler Board of Management members through the addition of the non-financial themes “Integrity and the UN Global Compact.”

Generation management

Establishment of demographic issues as a field of action in the corporate culture and the management process. Continued rollout of HR Resource Management at six additional German locations; implementation of further work packages based on identified fields of action.

car2go

Tenfold increase by 2015 in the number of trips taken and the number of active users, as compared to 2011.

10 networks

Activities to establish and operate ten additional national UN Global Compact networks by 2013.

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