Germany’s law on the equal participation of women and men in executive positions
In accordance with the German law requiring equal participation of women and men in executive positions in both the private and the public sector, the supervisory boards of listed companies or companies subject to Germany’s system of codetermination have to set a target for the proportion of women on the board of management. The board of management of such a company has to set a target for the proportion of women at the two management levels below that of the board of management. If the proportions of women at the time when these targets are set by the Board of Management and the Supervisory Board are below 30 %, the targets may not be lower than the proportions already reached. At the same time that the targets are set, the boards have to set periods for their achievement, which may not be longer than five years.
On December 8, 2016, the Supervisory Board passed a resolution stipulating that the target figure for the proportion of women on the Board of Management of Daimler AG would be 12.5 %, while the deadline would be December 31, 2020. As of December 31, 2017, the eight-member Board of Management included two women, Renata Jungo Brüngger and Britta Seeger. This means that women account for 25 % of the Board of Management members.
On November 8, 2016, the Board of Management passed a resolution stipulating a target of 15 % women for both the first and second management levels below the Board of Management, with a deadline of December 31, 2020. At the time of the resolution, the proportion of women in the first and second management levels below the Board of Management was 8.0 % and 12.4 % respectively. As of December 31, 2017, the proportion of women at the first management level below the Board of Management was 8.7 %, at the second level it was 11.9 %.
Since 2016, listed companies that have supervisory boards in which shareholders and employees are equally represented are required to have a proportion of at least 30 % women and 30 % men. This requirement has to be fulfilled by the Supervisory Board as a whole. If the side of the Supervisory Board representing the shareholders or the side representing the employees objects to the Chairman of the Supervisory Board about the application of the ratio to the entire Supervisory Board before the election, the minimum ratio is to apply separately to the shareholders’ side and to the employees’ side for that election.
On December 31, 2017, 30 % of the shareholder representatives in the Supervisory Board of Daimler AG were women (Sari Baldauf, Andrea Jung and Petraea Heynike), while 70 % were men. On that date, 20 % of the employee representatives on the Supervisory Board were women (Elke Tönjes-Werner and Sibylle Wankel), while 80 % were men. In its meeting on December 7, 2017, the Supervisory Board considered its nominations for the election at the Shareholders’ Meeting 2018 and came to the conclusion that the shareholders and employee representatives should achieve the legally required share of women board members separately. Before this background the shareholder representatives declared that they object to the Supervisory Board’s joint fulfillment of the legally required gender ratio. Thereafter, based on the recommendation of the Nomination Committee, the Supervisory Board decided to nominate Sari Baldauf as well as Dr. Jürgen Hambrecht again and Marie Wieck for the first time for election to the Supervisory Board by the Shareholders’ Meeting in 2018. The legally required gender ratio will be met on the shareholder representatives’ side if these persons are elected to the Supervisory Board, provided that no other changes occur. The next election of employee representatives to the Supervisory Board will also take place in 2018.
Along with Daimler AG itself, there are other Group companies subject to codetermination law. These companies have defined their own targets for the proportion of women on their supervisory boards, executive management bodies and the two levels below the board or executive management level, and have also set deadlines for target achievement. Relevant information here has been published in accordance with applicable law.