High attractiveness as an employer

Our activities and measures for enhancing our attractiveness as an employer are designed to enable us to recruit and retain a sufficient number of specialized employees and qualified managers in the competition for talented staff. Our primary objectives here are to ensure attractive and fair compensation and to establish and maintain a work culture that enables outstanding performance and a high level of motivation and satisfaction among our employees and managers.

Attractive and fair remuneration

We remunerate work in accordance with the same principles at all our affiliates around the world. Our Corporate Compensation Policy, which is valid for all groups of employees, establishes the framework conditions and minimum requirements for the design of the remuneration systems. Internal audits are conducted on a random basis to make sure these conditions and requirements are met. In our desire to offer salaries and benefits that are customary in the industry and the respective markets, we also give consideration to local market conditions within the specified framework. The salaries are determined on the basis of the employees’ tasks and performance, and in line with their qualifications and experience. In setting the remuneration of the employees we are not guided by gender or place of origin, but exclusively by the employee’s job and responsibility.

In cases where Daimler AG and its Group companies have signed collective bargaining agreements, they often also offer voluntary benefits that are agreed upon with the respective employees’ associations. These benefits primarily consist of employer-funded retirement contributions as well as profit-sharing agreements for the respective company. For example, the eligible employees of Daimler AG will receive a profit participation of €4,965 for 2018 (2017: €5,700). In addition, our employees can avail themselves of a wide variety of sports facilities and social amenities, ranging from daycare centers to the counseling service for people in extreme situations.

In 2018 the Group spent:

  • €18,329 billion on wages and salaries (thereof Daimler AG: €11,569 billion),
  • €3,332 billion on social welfare services (thereof Daimler AG: €1,849 billion), and
  • €0.8 billion on retirement benefits for a workforce numbering 298,465 on average (thereof Daimler AG: 151,879 employees).

Modern working conditions

Working conditions are being increasingly influenced by working hours, workplaces, the work environment, the level of employee empowerment and a state-of-the-art management culture. The length of our employees’ workweek is generally regulated by the company or by a collective bargaining agreement. In Germany, overtime is only performed within the framework of a requirements planning forecast and has to be approved by the employee representatives. In general, we allocate working times in such a way that remuneration remains stable even if the amount of work sometimes fluctuates. This is made possible by a time-account system.

Flexible working arrangements

Today’s living and working conditions require working times to be flexibly organized in accordance with individual needs. Our approach is therefore to challenge our employees to achieve top performance and support their efforts to do so, rather than focus on their mere presence at work. For this reason, we also seek to improve performance by helping employees and managers reconcile their professional and personal responsibilities.

We also boost employees’ flexibility and self-determination by giving them the opportunity for mobile working. An associated company agreement has been in force at Daimler AG since December 2016. The agreement gives employees the right to mobile working if the task permits.

We also promote job sharing, in which two employees share the same task or position and work together up to 60 hours per week. This provides managers in particular with a means of reconciling the needs of work and family.

Furthermore, company agreements at Daimler AG enable employees to suspend their careers for several years for a qualification program or a sabbatical or to provide home care — with the promise that they can return to Daimler AG afterwards.

We encourage all employees who take parental leave to subsequently return to their jobs at the company because we value their knowledge and experience. In Germany, we offer about 705 places in daycare centers in close proximity to our company locations as well as about 200 reserved places at cooperating facilities. In addition, we cooperate with a third party that assists employees in finding childcare providers.

In 2018, around 3,800 employees at Daimler AG availed themselves of the opportunity to take parental leave. Moreover, around 400 employees took advantage of the opportunity to take off work for a prolonged period. At the end of 2018, more than 250 employees were working in job-sharing positions at the team, sub-department and departmental levels.

Leadership 2020 — further development of the management culture

Our business is changing at a rapid pace. In order to remain successful in the future, we are changing our management culture and the way we cooperate. This is why we launched the Leadership 2020 initiative in 2016. Employees from more than 23 countries and all levels of management are currently working on Daimler’s future management culture. Guidance is provided by new management principles that, among other things, make the company faster and more flexible and boost its innovative potential. Procedures, processes and structures are being called into question and changed in eight “game changers.” In its meetings, the Board of Management of Daimler AG regularly discusses the initiative’s progress and decides which measures need to be taken.

Successful employee survey

Our Group-wide employee survey is a key indicator of where we currently stand from the point of view of our employees, and what we need to do to improve the company in the future. The survey conducted in 2018 was based on a completely new concept. In September 2018, nearly 300,000 employees in more than 50 countries were invited to participate in the survey and send us their feedback. The Group-wide participation rate of 80 percent was the highest rate posted to date for a Group-wide employee survey at Daimler. This outstanding participation rate underscores our employees’ interest and their willingness to actively help shape the company’s further development. 75 % of our employees who participated in the survey reported that they are satisfied or very satisfied with Daimler as an employer and that they are proud to work at Daimler.

Our employees’ great loyalty to the company is also expressed by the amount of time they have worked for Daimler. During the year under review the average number of years our employees have worked for Daimler decreased slightly to 15.8 years (2017: 16.1 years). In Germany, employees had worked for the Group for an average of 19.4 years at the end of 2018 (2017: 19.5 years). The comparative figure for Daimler AG was 20.2 years (2017: 20.3 years). Daimler employees outside Germany had worked for the Group for an average of 10.6 years (2017: 11.0 years). In 2018, our labor turnover rate amounted to 4.9 % worldwide (2017: 5.1 %).

A competitive workforce
Partnership with the employees