Overview
Exemplary working conditions worldwide
Bayer Links
Employees and Society
Exemplary working conditions worldwide
Our employees are essential to the success of our company. That is why, along with ensuring equal opportunity for our employees, we regard the individual advancement of their potential and the balancing of career and private goals as the crucial basis of our personnel development at all Bayer sites, including those in developing and newly industrializing countries. We received numerous national and international accolades in 2006 that testify to the successful implementation of these and other principles.
We received two awards in Asia, where we have been steadily expanding our business activities for a number of years. For example, the Corporate Research Foundation named Bayer one of China’s best employers in 2007. An international jury had previously closely examined the working conditions, compensation systems, employee development and corporate culture of selected employers in the boom region of Shanghai.
Bayer is also one of the most popular companies in Indonesia. For the second time, we took second place in a survey on “Indonesia’s Most Admired Companies 2006.” BusinessWeek magazine asked about 1,500 managers, investors and journalists to rate companies with respect to the aspects quality, performance, Responsible Care and attractiveness as an employer.
We also believe that our role as a responsible employer involves providing our employees around the world with a high level of social safeguard. Our employees in every country in which we are present are health-insured according to the respective national laws. Wherever a state-run health care system is not in place or can only guarantee basic care, we endeavor to provide our employees with a higher standard of care. In Romania, for example, Bayer has signed an agreement with a private hospital administrator to provide modern basic medical care to our employees via these facilities. Bayer assumes the costs for this care.
In Brazil, too, Bayer assumes the costs of basic medical care for all its employees. We also offer a more extensive medical care model in that country in connection with an employee contribution component. In Spain and Portugal, we supplement the benefit range of the national health system with accident insurance for all Bayer employees.
Significantly more than 80 percent of all Bayer employees worldwide have access to the company pension benefits of their employer, usually in addition to their state pension system. In countries where we maintain a large workforce, such as Germany, the United States, Brazil and Japan, the share of employees with company pensions is even higher, at almost 100 percent. Some of these pension systems involve mandatory contributions by the employees, while others involve a voluntary commitment. In Germany, for example, the employees are obligated to contribute to payments into the company pension funds.
We received two awards in Asia, where we have been steadily expanding our business activities for a number of years. For example, the Corporate Research Foundation named Bayer one of China’s best employers in 2007. An international jury had previously closely examined the working conditions, compensation systems, employee development and corporate culture of selected employers in the boom region of Shanghai.
Bayer is also one of the most popular companies in Indonesia. For the second time, we took second place in a survey on “Indonesia’s Most Admired Companies 2006.” BusinessWeek magazine asked about 1,500 managers, investors and journalists to rate companies with respect to the aspects quality, performance, Responsible Care and attractiveness as an employer.
We also believe that our role as a responsible employer involves providing our employees around the world with a high level of social safeguard. Our employees in every country in which we are present are health-insured according to the respective national laws. Wherever a state-run health care system is not in place or can only guarantee basic care, we endeavor to provide our employees with a higher standard of care. In Romania, for example, Bayer has signed an agreement with a private hospital administrator to provide modern basic medical care to our employees via these facilities. Bayer assumes the costs for this care.
In Brazil, too, Bayer assumes the costs of basic medical care for all its employees. We also offer a more extensive medical care model in that country in connection with an employee contribution component. In Spain and Portugal, we supplement the benefit range of the national health system with accident insurance for all Bayer employees.
Significantly more than 80 percent of all Bayer employees worldwide have access to the company pension benefits of their employer, usually in addition to their state pension system. In countries where we maintain a large workforce, such as Germany, the United States, Brazil and Japan, the share of employees with company pensions is even higher, at almost 100 percent. Some of these pension systems involve mandatory contributions by the employees, while others involve a voluntary commitment. In Germany, for example, the employees are obligated to contribute to payments into the company pension funds.
Shaping growth socially: The Chinese example
Our successful human resources policy in developing and newly industrializing countries is based on intensive dealings with the economic, political and cultural aspects of these countries. This also applies to the People’s Republic of China, which for a number of years has been of central importance within our business strategy and as a production base. Our Bayer MaterialScience subgroup in particular is currently considerably expanding its production capacities there. At the Shanghai Chemical Industry Park alone, we will invest roughly €1.8 billion through 2009 – more than at any other site outside of Germany.
The massive build-up of production capacities in China of course also involves rapid growth in the size of our Chinese workforce. In recent years, the number of staff in China has increased by approximately 30 percent a year – from about 2,000 to currently 6,000 employees.
All of these employees have access to both state and company health insurance, as well as additional social benefits. For example, our Chinese employees are also paid wages on national holidays, and we have set up bus transfers to their places of employment, which in many cases lie a great distance from residential areas. In China as in all other countries, of course, working hours are established contractually; our employees there work 40 hours a week.
The strict observation of the respective labor law framework is, of course, obligatory for us in China as well. We have defined internal rules and standards for personnel management to supplement the labor law regulations existing in that country. For example, we have implemented a China-wide human resources governance code that establishes the fair, open and just treatment of all employees. Furthermore, we endeavor to introduce the Chinese employees to our corporate values in a gradual process. In this context, we proceed very carefully, taking into account unique cultural aspects. The cooperative management style practiced at Bayer changes antiquated mindsets, enables participation and thus heightens the employees’ motivation and loyalty. The low rate of employee fluctuation in China testifies to the success of a human resources policy oriented around local circumstances, such as we practice in many other countries.
The situation at our Chinese sites also serves as an example of our high global standards in the areas of occupational safety, environmental protection and sustainable development, which always satisfy or even exceed statutory requirements. For example, the Health, Safety and Environment (HSE) teams that we have introduced throughout China are not required by law. The activities of these teams represent an important contribution to the safety of our employees and the communities surrounding our sites.
In order to provide our employees with optimal support, we maintain a continuous commitment to their vocational training and continuing education. This naturally also applies to our employees in China, where we offer course programs that are specially tailored to all employee groups. New employees are first familiarized with our corporate values, the most important processes and our business ethics. The entire spectrum of continuing education measures is open to the employees: from languages through technical and social skills to management expertise. Since 2002, Bayer has cooperated closely with local institutes of learning as regards the training of future employees. In a special Bayer class at Shanghai Petrochemical Academy, Chinese school graduates receive well-founded vocational training according to German curricula. This vocational training model provides all participants with numerous advantages: The students receive systematic vocational training, thus laying a strong foundation for their further career development. Furthermore, the attractive training system improves the facilities and appeal of the learning institute and Bayer gains qualified specialists for its ultra-modern production facilities. In addition, Bayer in this way makes an important contribution to the transfer of knowledge as regards vocational training and industrial production.
The massive build-up of production capacities in China of course also involves rapid growth in the size of our Chinese workforce. In recent years, the number of staff in China has increased by approximately 30 percent a year – from about 2,000 to currently 6,000 employees.
All of these employees have access to both state and company health insurance, as well as additional social benefits. For example, our Chinese employees are also paid wages on national holidays, and we have set up bus transfers to their places of employment, which in many cases lie a great distance from residential areas. In China as in all other countries, of course, working hours are established contractually; our employees there work 40 hours a week.
The strict observation of the respective labor law framework is, of course, obligatory for us in China as well. We have defined internal rules and standards for personnel management to supplement the labor law regulations existing in that country. For example, we have implemented a China-wide human resources governance code that establishes the fair, open and just treatment of all employees. Furthermore, we endeavor to introduce the Chinese employees to our corporate values in a gradual process. In this context, we proceed very carefully, taking into account unique cultural aspects. The cooperative management style practiced at Bayer changes antiquated mindsets, enables participation and thus heightens the employees’ motivation and loyalty. The low rate of employee fluctuation in China testifies to the success of a human resources policy oriented around local circumstances, such as we practice in many other countries.
The situation at our Chinese sites also serves as an example of our high global standards in the areas of occupational safety, environmental protection and sustainable development, which always satisfy or even exceed statutory requirements. For example, the Health, Safety and Environment (HSE) teams that we have introduced throughout China are not required by law. The activities of these teams represent an important contribution to the safety of our employees and the communities surrounding our sites.
In order to provide our employees with optimal support, we maintain a continuous commitment to their vocational training and continuing education. This naturally also applies to our employees in China, where we offer course programs that are specially tailored to all employee groups. New employees are first familiarized with our corporate values, the most important processes and our business ethics. The entire spectrum of continuing education measures is open to the employees: from languages through technical and social skills to management expertise. Since 2002, Bayer has cooperated closely with local institutes of learning as regards the training of future employees. In a special Bayer class at Shanghai Petrochemical Academy, Chinese school graduates receive well-founded vocational training according to German curricula. This vocational training model provides all participants with numerous advantages: The students receive systematic vocational training, thus laying a strong foundation for their further career development. Furthermore, the attractive training system improves the facilities and appeal of the learning institute and Bayer gains qualified specialists for its ultra-modern production facilities. In addition, Bayer in this way makes an important contribution to the transfer of knowledge as regards vocational training and industrial production.
Multi-stage program: Measures to address child labor
Child labor is a very emotional matter in the context of which Bayer was just a few years ago subjected to criticism from certain non-governmental organizations. In 2002, Bayer CropScience bought the Indian seed company Proagro as part of the Aventis CropScience acquisition. As is customary in India, Proagro entrusts the production of its hybrid seed to farmers in whose fields seed for high-quality hybrid plants is produced by the hand pollination of two parental lines. Proagro is confronted with the problem that this task is often completed by girls and boys who – despite the government’s compulsory education policy – are forced to contribute to the modest income of their needy families at the expense of their own school education.
Bayer strictly rejects child labor, as it contradicts the company’s values and principles and our Human Rights Position. Just a year after the Proagro acquisition, therefore, Bayer CropScience began developing a multifaceted program of initiatives aimed at protecting children and combating poverty in India.
The program is based on a clear ban on child labor as well as on continuous information campaigns aimed at changing attitudes among farmers, parents, children and members of the village communities. Farmers who produce cotton seed for Bayer CropScience must agree in their supply contracts not to employ children as laborers. Production without child labor is publicly rewarded.
The process begins anew each planting season. In order to ensure continuity, a graduated system of financial incentives and sanctions strengthens the honoring of contracts over a period of several planting seasons: The company pays a bonus on the purchase price that amounted to five percent in the 2005/2006 season and 7.5 percent in 2006/2007. Violations of the ban on child labor are met with graduated penalties which range from spoken warnings to cancellation of the contracts. These measures are clearly communicated to the farmers before the season begins. At the same time, they receive technical and financial support in the form of training measures to increase their productivity and thus also their profitability, advanced training in the proper handling and use of crop protection products and the opportunity to receive small loans at favorable conditions.
A further key element of Bayer CropScience’s multi-layered program of initiatives is the cooperation agreement entered into in April 2005 with the Indian-based charity organization “Naandi,” which means “a new beginning” in Sanskrit. The two partners regard qualified education as an opportunity for a new beginning and thus a chance to lastingly improve living conditions. First of all, therefore, Bayer CropScience has participated in the creation of education programs for children in the heavily agricultural state of Andrah Pradesh, as well as projects aimed at increasing awareness among parents about the need for a school education and supporting training and continuing education for teachers. A network of “Creative Learning Centers” prepares the children for attending state-run schools. Naandi has established a total of 19 such centers in Andrah Pradesh on behalf of Bayer. Almost every child who received instruction in the centers has gone on to attend a state-run school having completed the preparative course.
According to an Indian study, on average six or more children were employed per cotton field acre (approx. 0.4 hectares) industry-wide in the 2003/ 2004 planting season. In 2005/2006, the figure was roughly one child per acre for Proagro’s suppliers, and the average declined significantly in the following year. During the 2006/07 season, no children were found in the fields of Proagro’s contract partners in Andhra Pradesh during the last three checks carried out jointly with ngos. For the monitoring period as a whole, fewer than two of every hundred field workers were under 15 years of age.
For monitoring and identification of further optimization potential, Bayer CropScience contracted the auditing firm Ernst & Young to review its program in 2006/2007. This company’s intensive analyses have so far confirmed the significant decline in child labor rates for Proagro contract partners and the effectiveness of the monitoring system.
Bayer strictly rejects child labor, as it contradicts the company’s values and principles and our Human Rights Position. Just a year after the Proagro acquisition, therefore, Bayer CropScience began developing a multifaceted program of initiatives aimed at protecting children and combating poverty in India.
The program is based on a clear ban on child labor as well as on continuous information campaigns aimed at changing attitudes among farmers, parents, children and members of the village communities. Farmers who produce cotton seed for Bayer CropScience must agree in their supply contracts not to employ children as laborers. Production without child labor is publicly rewarded.
The process begins anew each planting season. In order to ensure continuity, a graduated system of financial incentives and sanctions strengthens the honoring of contracts over a period of several planting seasons: The company pays a bonus on the purchase price that amounted to five percent in the 2005/2006 season and 7.5 percent in 2006/2007. Violations of the ban on child labor are met with graduated penalties which range from spoken warnings to cancellation of the contracts. These measures are clearly communicated to the farmers before the season begins. At the same time, they receive technical and financial support in the form of training measures to increase their productivity and thus also their profitability, advanced training in the proper handling and use of crop protection products and the opportunity to receive small loans at favorable conditions.
A further key element of Bayer CropScience’s multi-layered program of initiatives is the cooperation agreement entered into in April 2005 with the Indian-based charity organization “Naandi,” which means “a new beginning” in Sanskrit. The two partners regard qualified education as an opportunity for a new beginning and thus a chance to lastingly improve living conditions. First of all, therefore, Bayer CropScience has participated in the creation of education programs for children in the heavily agricultural state of Andrah Pradesh, as well as projects aimed at increasing awareness among parents about the need for a school education and supporting training and continuing education for teachers. A network of “Creative Learning Centers” prepares the children for attending state-run schools. Naandi has established a total of 19 such centers in Andrah Pradesh on behalf of Bayer. Almost every child who received instruction in the centers has gone on to attend a state-run school having completed the preparative course.
According to an Indian study, on average six or more children were employed per cotton field acre (approx. 0.4 hectares) industry-wide in the 2003/ 2004 planting season. In 2005/2006, the figure was roughly one child per acre for Proagro’s suppliers, and the average declined significantly in the following year. During the 2006/07 season, no children were found in the fields of Proagro’s contract partners in Andhra Pradesh during the last three checks carried out jointly with ngos. For the monitoring period as a whole, fewer than two of every hundred field workers were under 15 years of age.
For monitoring and identification of further optimization potential, Bayer CropScience contracted the auditing firm Ernst & Young to review its program in 2006/2007. This company’s intensive analyses have so far confirmed the significant decline in child labor rates for Proagro contract partners and the effectiveness of the monitoring system.
Bookmark this page
E-mail this page
Advanced Search
