Commitment to Employees and Society

Corporate Culture: Ethics, Dialogue, Diversity, Responsibility

Ethical standards

Fairness and respect are central elements of our corporate culture. That includes observing Group-wide standards of conduct and protecting employees from discrimination, harassment and retaliation. These standards are set forth in our corporate policy entitled “Fairness and Respect at Work.” With the help of training, videos and our internal websites, Bayer employees around the world are provided with guidance on how to comply with this corporate policy.

Child and forced labor are strictly prohibited at Bayer in accordance with the core labor criteria of the International Labour Organization (ILO). This prohibition is set out in our binding Human Rights Policy and applies Group-wide.

The acquired agriculture business has regulations on standards of conduct and human rights that are comparable with Bayer standards. These will remain in force until the integration has been completed.

Communication at all levels

Our employees have the opportunity to discuss company-specific issues and scope for optimization via various communication channels. We involve our employees in business processes through active dialogue. Informing staff in good time and comprehensively about upcoming changes, in compliance with the applicable national and international regulations, is very important to us.

We measure employee engagement at Bayer by means of institutionalized feedback discussions and the Group-wide Employee Survey, which is conducted about every two years. This enables us to monitor the effectiveness of our initiatives and initiate any necessary improvements. In addition, we introduced the Employee Echo – a scaled-down version of the global Employee Survey – in 2018. This is intended to help us identify trends in the course of a year, allowing us to adjust already initiated measures early on. The initial Employee Echo, an online survey, polled 25% of employees worldwide (excluding the acquired agriculture business), who were selected as representative samples using statistical methods. Bayer’s score on the Employee Engagement Index – collated from responses to questions about satisfaction, loyalty, advocacy and pride – was 77%, slightly below the figure in the 2017 Group-wide Employee Survey (79%). According to our analyses, the decline also resulted from the changes in the company in 2018, which have led to uncertainty.

We engage in open and trustful dialogue with employee representatives. The main dialogue formats are regular employee assemblies, information events for managers and the European Forum, at which employee representatives from all European sites engage in discussion with the Board of Management on issues of central relevance to the company.

Diversity and internationality are hallmarks of Bayer

In our employee structure we promote inclusion and diversity, through which we acquire a better understanding of changing markets and consumer groups, gain access to a broader pool of talented people and benefit from an increasing level of creativity and innovative strength. That is why mutual understanding and a gender and cultural balance are important success factors at Bayer. Overall, the Bayer Group employs people from around 150 different nations.

Bayer has endeavored for many years to achieve a better gender balance in management. The proportion of women in management in 2018 was 39.7% (2017: 40%).

Employee Structure of the Bayer Group in 2018 – Management1

Employee Structure of the Bayer Group in 2018 – Management (pie chart)

1 Bayer uses the Hay method to determine whether employees belong to junior or senior management. As the evaluation of positions in the acquired agriculture business is not yet complete, our reporting for the whole Group for 2018 refers to specialists and management (both junior and senior).

Employee Structure of the Bayer Group in 2018 – Specialists

Employee Structure of the Bayer Group in 2018 – Specialists (pie chart)

Employee Structure of the Bayer Group in 2018 – Total

Employee Structure of the Bayer Group in 2018 – Total (pie chart)

The proportion of women in the Group Leadership Circle, the highest management level below the Board of Management, increased again compared to previous years. By the end of 2018, it was made up of 21% women (2010: 7%) and 79% men (2010: 93%). The Group Leadership Circle currently comprises 30 nationalities, with around 68% of its members working in their native country. Information on diversity in our Board of Management and our Supervisory Board can be found in our Corporate Governance Report.

As a signatory to the United Nations Women’s Empowerment Principles and the Diversity Charter corporate initiative, we pursue an inclusive approach. Diversity is integrated into all relevant human resources processes and driven forward by the management.

As a socially responsible company, we are also committed to supporting the needs of people with disabilities. Based on voluntary statements by employees, we employ some 2,400 people with disabilities in 29 countries, 40% of whom are women and 60% men. That represents around 2% of our total workforce. Most employees with disabilities work for our companies in Germany, where they made up 5.2% of the workforce in 2018.

Social responsibility for employees worldwide

Almost 98% (2017: 98%) of our employees worldwide either have statutory health insurance or can obtain health insurance through the company.

Employees at all Bayer sites around the world have the right to elect their own representatives. In 2018, the working conditions for around 57% (2017: 63%) of our employees worldwide were governed by collective or company agreements. 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.

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