Sustainability Report 2015
Remuneration and fringe benefits
Hannover Re pays its employees according to their skills and qualifications, their specific tasks and their performance. At the same time, employees in Germany benefit from the security and advantages of the collective agreement for the private insurance industry. 93% of Hannover Re employees at the Hannover location are covered by the collective bargaining agreement. The remaining 7% can be attributed to some non-collective agreements with managers. Group-wide, 100% of employees in Brazil, Italy, France, Sweden and Spain are covered by collective bargaining agreements.
Our Code of Conduct, which is applicable worldwide, specifies that nobody may be disadvantaged on the basis of gender. Salary increases and promotions follow a clearly defined process. The individual promotion grades are subject to transparent criteria published in the company's in-house intranet, which are also purely skills-based.
Throughout the entire Hannover Re Group employees are selected without regard to their local origin. Rather, in order to fulfil the exacting quality standards of our complex reinsurance services, it is necessary to have a diverse range of experts from various disciplines and with a variety of cultural backgrounds working for Hannover Re. Individuals from altogether 39 nations work at the Hannover location, for example.
Hannover Re's expenditures for social security contributions and assistance amounted to altogether EUR 53.3 million in the year under review. Supplementary to individual and statutory retirement provision, every employee in Germany is entitled to inclusion in Hannover Re's employer-funded retirement provision models. The amount of the funding contributions is determined by the individual salary levels and calculated according to the pay scale groups under the collective agreement.
Employees can accumulate further employee-funded occupational retirement provision by way of deferred compensation. In this case Hannover Re pays the contributions from the employee's gross salary into the pension fund.
Furthermore, we offer our employees a number of additional voluntary benefits. All members of Hannover Re's staff are granted the same benefits in proportion to their working hours.
Performance appraisal targets are agreed for all managers in the context of our management system Performance Excellence 2.0. These are reflected not only in profit-oriented indicators but also in non-financial variables derived from the strategic parameters.