Governance

October, 2023

MagentaZuhause App - The Smart Home app for the entire home.

The MagentaHome business unit has developed the open, cross-manufacturer Smart Home platform and the MagentaZuhause App. This gives customers the oppo...

The MagentaHome business unit has developed the open, cross-manufacturer Smart Home platform and the MagentaZuhause App. This gives customers the opportunity to combine devices from different companies easily and individually and to control them via app.

With the free MagentaZuhause App, customers can easily control smart devices from different manufacturers and intelligently network them with routines. In combination with LEDs, smart plugs, cameras and radiator thermostats, the home can easily become a smart home. The app helps to make everyday life more comfortable, increase security and save energy. For example, smart lighting that switches on automatically when someone comes home, or smart heating that adapts to the habits of the residents and saves energy. With the MagentaZuhause App, our customers stay connected to their home. Even when they are on the move.

Checking the home network, activating and sharing the guest Wi-Fi and optimising the Wi-Fi are just some of the many home network management options with the MagentaZuhause App.

In addition, our customers can monitor their energy needs, minimize unnecessary consumption, thereby reducing costs and contributing to a greener future.

Wi-Fi or IP devices can be connected directly to the app and no longer require a Smart Home gateway. This makes it easier to get started in the connected home. In addition, the app can also be used to control MagentaTV content - even by voice.

Customers can choose from several hundred different smart home devices. These include products from partners such as Philips Hue, WiZ, LEDVANCE, Gardena, Sonos, IKEA and D-Link. With a smart home-capable Telekom router, customers also have the option of using it as a smart home gateway in order to use wireless technologies beyond WLAN.

At the iF Design Award 2023, the MagentaZuhauseAapp was awarded in the category "User Experience - Product UX".

The MagentaZuhause App offers a high level of protection - as attested by the independent institute for IT security, AV-TEST GmbH. The security test 01/2023 repeatedly concludes that the app prevents manipulation by external parties and that communication is secure.


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July, 2023

The relevance of Compliance for ESG

ESG targets are part of the remuneration of all executives (ex US) and non-tariff employees and have been part of the Long-Term and Short-Term Incenti...

ESG targets are part of the remuneration of all executives (ex US) and non-tariff employees and have been part of the Long-Term and Short-Term Incentive for our Board members for some years.
We started to integrate ESG steering into our financial steering and planning processes. As well, ensuring a holistic management system for compliance and risk management based on legal requirements is an important governance aspect in the ESG framework.

With our WeGrow, DTs modern performance management system that enables ongoing development dialog between managers and employees (incl. civil servants), also focuses on our employees’ personal development.

A dialogue between manager and employee takes place at least twice a year in order to create clarity about current and foreseeable future work tasks of the current year as well as expected results (in terms of time and quality) and goals.
Employee's strengths and development needs are be discussed and and a comitment on appropriate measures will be agreed. The employee's desired direction of development can also be considered and discussed. All agreed measures will be put into a development plan or/a goal plan.

For annual assessment and target management are DT´s guiding principles the main categories for adequate behaviour of the staff (employees and managers). The guiding principle "Act with respect and integrity" contains the narrative that "Respect and integrity are key to our success and our compliance commitment. We foster ethical awareness and strengthen value-based behavior to act appropriately in any situation. We embrace responsibility as part of our society and speak up on important issues such as tolerance, diversity, fairness and environment."

The Values Based Competency assessment and the performance assessment is based on the Group Competence Model.
It uses a 4-level assessment scale and follows guiding questions. (For Executives the Leadership anchors need to be considered).
Guiding questions for Value Based Competency:

  • He / she is strong in collaboration (e.g. across silos).
  • He / she accepts and gives constructive feedback and actively requests it.
  • He / she is strong in communication.
  • He / she acts with respect and integrity.
  • He / she promotes diversity and inclusion

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July, 2023

Fair Pay - Equal remuneration

We offer our employees competitive, performance-based pay oriented to the relevant local markets. Our remuneration policies are structured to guarante...

We offer our employees competitive, performance-based pay oriented to the relevant local markets. Our remuneration policies are structured to guarantee equal pay for men and women and do not discriminate.
Executive compensation at Deutsche Telekom is based on our Group-wide Global Compensation Guideline. We also offer our employees additional benefits such as our company pension scheme.
As part of our Group-wide employee survey, we regularly ascertain how satisfied our employees are with their pay and also conduct other surveys on specific topics and in specific units.

Employee Level

Average Women Salary
in EUR

Average Men Salary
in EUR

Executive level (base salary only) 1,080,000 1,065,000
Executive level (base level + other cash incentives) 2,047,000 2,281,000
Management level (base salary only) 103,200 106,200
Management level (base salary + other cash incentives) 131,300 137,000
Non-management level 61,300 64,600

 

Detailed information:

- Note for value "Executive Level" (Board Remuneration) Public Source: DT Remuneration Report 2022 => page 21

- Further employee levels

  • Calculation is only for Germany
  • Management level: MG 2 and MG 3 and high exempt levels AT3 and AT4
  • Non-Management level: Tarif employee's Group 1-10

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July, 2023

Lobbying and Trade Associations - Climate Alignment

Public Affairs and TransparencyWe see ourselves as a dialog partner in an ever more complex digital world and are actively involved in political debat...

Public Affairs and Transparency
We see ourselves as a dialog partner in an ever more complex digital world and are actively involved in political debate – responsible, fair, and based on facts. Deutsche Telekom engages directly with policy makers as well as indirectly via trade associations, the latter being the cornerstone of the public relations activities by Deutsche Telekom Group.
For the management of our lobbying activities and trade association memberships, our guiding principle is to respect the independence and integrity of our political interlocutors. We do not make any donations to political organizations, political parties, or elected officials on principle. Our lobby work is characterized by accurate, objective preparation of the facts at hand. When we avail ourselves of scientific support, we always do so transparently.

Code of Conduct and Compliance
We have made a public written commitment to ethical standards of behavior and enshrined these in our strict, extensive compliance program (Code of Conduct), including Deutsche Telekom’s guidelines political contributions. Our Code of Conduct is the central governance framework for lawful and ethical conduct. Integrity, respect, and compliance with the law and internal policies and regulations – these are the principles on which Deutsche Telekom’s business activities are based.
Deutsche Telekom’s code of conduct and compliance policies sum up the values of Deutsche Telekom and define what kind of behavior is required by those who work for it. The Code of Conduct applies to all board members, managing directors, executives and employees of the Deutsche Telekom worldwide. Additionally, it applies to people to who are viewed as equivalent to employees in functional terms, e. g. to temporary agency employees.
Telekom has a holistic compliance management system (CMS) in place to ensure conduct with integrity and in compliance with the law throughout the Group at all times and to successfully counter compliance risks.

Supporting the Paris Agreement
We are helping to mitigate climate change and contributing to compliance with the Paris Climate Agreement. We are a member of the Science Based Targets Initiative and have developed a science-based reduction target for Deutsche Telekom to make our contribution for limiting global warming. Additionally, Deutsche Telekom has committed to conduct engagement activities in line with the goals of the Paris Agreement. Deutsche Telekom supports regulations promoting the transition towards a 1.5° world e.g. via industry associations and by supporting various pledges with respect to the support of the Paris Climate Agreement 2015.

Alignment of our political engagement with the Paris Agreement
Deutsche Telekom has a process in place to ensure that political engagement activities are consistent with the overall climate change strategy. Due to intensive cooperation between Group Corporate Responsibility, Group Corporate Communications and Group Public and Regulatory affairs we ensure that our engagement within industry associations is in line with group climate strategy and policy. Therefore, sustainability experts are representing DT in various associations, as e.g. within the GeSI Board or as Cahir of the ETNO Environmental Working Group.
We reviewed whether public policy engagements and lobbying are aligned with the Paris Agreement and found many of our trade association’s positions and lobbying activities are aligned with the aims of the Paris Agreement.

 In some instances, our trade associations’ policy positions and lobbying activities may not fully align with our positions on issues, including the Paris Agreement’s goals and other sustainability topics. For those trade associations where we determined we are only partially aligned on issues relating to climate, to mitigate any misalignment, we expect to engage further with these trade associations to understand their positions better, work to influence change and finally, assess whether our membership should continue. Additionally, as we work to mitigate any misalignment related to climate, it is essential to consider other factors relevant to company interests, such as safety or diversity and inclusion. We believe that having a seat at the table with our trade associations allows us to communicate our views and influence the dialogue and activities in a manner that aligns with our commitment to sustainability and the long-term interests of our shareholders and other stakeholders, including around transparency and reporting.

In future reports, we may look to provide updated information on alignment with climate change aims and, where there is any misalignment, information on mitigating efforts.

Trade association Company involvement with association General description of association and climate position Alignment
B.A.U.M e.V. Membership Association of companies in Germany, committed to environmental oriented management and behaviour. The network is engaged in: (1) awareness raising on problems and chances of environmental protection and questions on sustainable development within companies, institutions, politics, and population in Germany, (2) the distribution and further development of an integrated system of preventative ecological oriented management, and (3) the introduction of methods and measurements on environmental management and sustainable development. B.A.U.M. also launched the "Wirtschaft pro Klima" initiative. Aligned
BDI - Bundesverband der Deutschen Industrie e. V. Member of the Executive Committee,
Timotheus Höttges, CEO, Deutsche Telekom AG
In the last years the BDI position advanced with respect to the general support for climate regulations and the EU Green Deal. Due to the heterogeneity regarding industries, there are sometimes differences with respect to regulatory details, e.g. regarding timelines and exceptions.  Despite the progress made, we are still not fully aligned with the BDI position with respect to speed and ambition level of climate change mitigation activities. Partially aligned
Bitkom e.V.

Member of the Executive Committee and Vice-President,
Michael Hagsphil, SVP Global Strategic Projects and Marketing Partnerships, Deutsche Telekom AG

Generally, Bitkom is supporting climate related positions, especially with respect to the enabling role of digital technologies and solutions, but as Bitkom is dominated by production companies, the interests, e.g. with respect to extension of product lifetimes are sometimes different from the interest of telecommunication service providers as DT. Partially aligned
econsense - Forum Nachhaltige Entwicklung der Deutschen Wirtschaft e.V. Membership Econsense is the sustainability network of German business. The goal of the organisation is to actively shape the transformation to a more sustainable economy and society with its members. Econsense is associated with the BDI (Bundesverband der Deutschen Industrie) but formally independent and based on voluntary membership.  Aligned
ETNO - European Telecommunications Network Operators’ Association Member of the Executive Board,
Jakob Greiner, VP European Affairs, Deutsche Telekom AG
ETNO is an industry association of fixed net telecommunication providers in Europe. ETNO is currently developing a sustainability strategy with strong focus on climate protection and the impacts of telecommunications on climate to address EU political organizations, as mainly the EU Commission. ETNO is involved in various EU policy consultations with respect to "Fit for 55", circular economy and EU taxonomy. Aligned
European Green Digital Coalition Membership

The European Green Digital Coalition (EGDC) was formed by 26 CEOs of ICT companies (including Deutsche Telekom) who signed a Declaration to support the Green and Digital Transformation of the EU on Digital Day 2021. The Declaration builds on the EU Council conclusions of December 2020 on Digitalisation for the benefit of the environment and recognises the ICT sector as a key player in the fight against climate change. With the signature of the Declaration, the 26 CEOs formed the EGDC, committing on behalf of their companies to take action in the following areas:
(1) investing in the development and deployment of green digital solutions with significant energy and material efficiency that achieve a net positive impact in a wide range of sectors;
(2) developing methods and tools to measure the net impact of green digital technologies on the environment and climate by joining forces with NGOs and relevant expert organisations;
(3) co-creating, with representatives of others sectors, recommendations and guidelines for green digital transformation of these sectors that benefits environment, society and economy.

Aligned
GeSI - Global Enabling Sustainability Initiative Member of the Board / Vice-Chair,
Melanie Kubin-Hardewig, VP Group Sustainability Management, Deutsche Telekom AG
GeSI aims to fulfil four major objectives: 1) Raise awareness of ICTs and related technologies’ role in addressing the causes and effects of climate change; 2) Showcase innovative initiatives being undertaken by the ICT sector in the interests of environmental sustainability, and promote the exchange of best practices between the public and private sectors; 3) Mobilize political will to better reflect the role of ICTs in the outcomes produced by the major conferences on climate change and sustainable development; 4) Encourage governments to include ICTs and related technologies as key elements of their national climate change policies, across all industry sectors. Bolstering collaboration on these main objectives, GeSI seeks to synergize the messages being expressed by actors in the ICT field; the message that ICTs can enable low-carbon economies, and that 21st century governments, regulators and businesses cannot afford to exclude ICTs from policy or business initiatives to green our global economy. GeSI communicates with policymakers and key stakeholders to explain the significant contribution that ICT can play in addressing climate change globally and facilitating low-carbon development. GeSI wants the contribution of ICT to be recognised and integrated in government policies to achieve sustainability goals – at national, regional, and global level. Our role is to inform policymakers about ICT and climate change, to drive the sustainability debate and participate in joint initiatives. Additionally, GeSI drives the implementation of TCFD and Science Based Targets within the ICT industry. In 2021 GeSI officially launched the "Digital with Purpose" movement to drive the industry more sustainable. Aligned
Global Compact Caring for Climate Membership Launched by the UN Secretary-General Ban Ki-moon in 2007, "Caring for Climate" is the UN Global Compact and UN Environment Programme's initiative aimed at advancing the role of business in addressing climate change. It provides a framework for business leaders to advance practical solutions and help shape public policy as well as public attitudes. Chief executive officers who support the statement are prepared to set goals, develop and expand strategies and practices, and to publicly disclose emissions. Aligned
GSMA – GSM Association

Member of the Board,
Dominique Leroy,Board Member for Europe, Deutsche Telekom AG

The GSMA is committed to:
• achieving carbon neutrality for all operations year on year (Scope 1, 2 and 3)
• a carbon emission reduction target for scope 1 and scope 2 emissions in line with the 1.5ºC trajectory and for scope 3 in line with the “well below 2ºC” trajectory, following a science based approach, using a baseline year of 2019
• achieving net zero emissions by 2050
• disclosing emissions, targets and progress year on year
https://www.gsma.com/aboutus/who-we-are/sustainability/

Aligned
International Chamber of Commerce (ICC) Membership ICC is the only accredited global business organization at the UN. With the "Green Economy Roadmap" ICC emphasises the responsibility of business and companies for a sustainable development according to the Rio Convention of the UN. ICC is especially supporting climate protection activities such as regularly attending COP side events. Due to the heterogeneity of ICC the position is not always as ambitious as the DT climate protection policy & targets. Partially aligned

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July, 2023

Emerging Risks

Emerging risks are difficult to predict as their development is highly uncertain. They are external risks occurring beyond our influence or control su...

Emerging risks are difficult to predict as their development is highly uncertain. They are external risks occurring beyond our influence or control such as natural factors, geopolitical tensions, new technologies, or macroeconomic factors. These risks are newly identified risks expected to have long-term impact on our business (at least three to five years). Although they may have already affected our business today, their importance is expected to significantly increase and they can potentially and significantly be harmful to a large part of our operations.

In order to protect our company and our customers against such risks, we need to act early and effectively to identify and assess such risks and if necessary, adapt our strategy and/or business models to reduce their effects. The tasks of our risk management system, which systematically identifies these emerging risks, evaluates their potential impact on our company and derives mitigation measures to respond to such emerging risks for Deutsche Telekom (DTAG) in a comprehensive way.

The following most significant emerging risks are expected to have long term impact on DTAG:

Technological Risk - Cyberattacks

Cyberattacks are an external and rapidly growing risk. As the speed of digital transformation, machine learning and computing power will grow exponentially, the methods of attack are becoming more specialized and efficient and are outpacing improvements in security. Thus, this development eventually leaves more available points of vulnerability in our business that can be impacted by such attacks. Therefore, the importance of the risk of cyberattacks is significantly increasing to us.
The impact is significant and specific to our company:

  • the need for more sophisticated infrastructure in order to prevent autonomous and artificial intelligence supported cyberattacks requires shifts in business strategy and further investments
  • compliance of any increasing legal requirements for data storage and protection may impact our business strategy and investments
  • the gap between existing and expected employee skills in cybersecurity may affect business progress
  • new extortion techniques becoming more common in attacks, such as cryptocurrency payouts, leading to financial losses
  • reputation effects: our customer bases decreases because they may lose trust in the quality of our communication services.

Our mitigation measures include:

  • upgrading to more-robust IT-control environments
  • enhancing protection against common attack types
  • using machine-learning techniques (artificial intelligence) for the detection of network penetration
  • response improvement for warding off detected attacks
  • raising customer awareness about cyberattacks
  • providing better malware detection and improving user authentication techniques.

Environmental Risk - Extreme Weather

The ongoing climate change is expected to accelerate the intensity and frequency of extreme weather conditions, such as flooding and droughts that negatively affect our operations. The climate change impact is difficult to predict as its mitigation requires global efforts.
The impact is significant and specific to our company:

  • disruption of network and infrastructure due to
    - damage to our base station sites, network nodes or other infrastructure
    - damage to data centers, radio towers, office buildings and our sales stores
    - reduction of stability of our power supplies
  • longer network outages
    - eventually affect management of restoring operations, which may fall back to Deutsche Telekom and damage our reputation
    - lead to customer complaints and in long-term decreasing customer satisfaction and reduced revenues
  • additional investments will be necessary to modify our processes, harden our infrastructure and repair damages
  • the cost for insurance coverage for such events is expected to steadily increase over time and could also result in substantial property and liability losses.

Our mitigation measures include:

  • improving methods of predicting when and where possible future disasters could occur including scenario analyses and physical risk assessment
  • identifying weaknesses in our radio towers and other infrastructure
  • implementation of a business continuity management including improving business-continuity and disaster-recovery plans for scenarios where such failure events could occur
  • installing backup power to all critical network elements in order to avoid network outages or reduce downtime
  • modernization of network to be better protected from storm conditions, changes in temperature, and high winds.
  • regular assessments to ensure sophistication and resilience of infrastructure facilities.

Economic Risk - Infectious Diseases
We cannot predict the outbreak of a pandemic. However, historical data shows that over the past few decades regional and global pandemics occur more frequently over time. A new disease or virus can quickly spread, become a pandemic, and drastically hamper global economic growth. It can affect multiple industries and global supply chains, and it can have a major impact on the ways in which we live and work.
The impact is significant and specific to our company by:

  • increasing delays from our suppliers, payment delays and defaults from our business customers and consumers; thereby increasing our level of bad debt
  • related restrictions on public life could force our stores to close and affect or sales and services to customers. customer growth could be dampened as it becomes difficult to acquire new customers
  • related travel restrictions could reduce our roaming-traffic volume and revenues
  • social contact restrictions leading to home-schooling and working from home could overload our networks and reduce its efficiency; at the same time our employees face higher stress levels; due to working from home companies could see a need to reduce their orders of IT services and equipment
  • in the case of a severe pandemic restrictions could temporarily or permanently reduce our workforce.

Our mitigation measures include:

  • monitoring relevant developments by our Group Situation Center enabling crisis management and task forces
  • issuing pandemic guidelines
  • provides suitable hygiene and health & safety equipment for sales stores, offices and our network infrastructure locations
  • ramping up and stabilizing our networks to accompany additional peak loads of voice and data traffic
  • protecting our customers and employees by allowing remote working
  • focus on online sales and customer service.

Sensitivity analyses are conducted in our annual impairment tests, on Deutsche Telekom assets, on changes in interest and currency rates, on the increase of benefit obligations (salary and pension rates), on cash flows and on goodwill, intangible assets, inflation effects and energy effects and on climate change. Stress Testing is conducted within Group Controlling as part of our scenario analysis for various current topics, which also consider the risk assessment methodology and risk containment. In our annual report 2022 see details (page 152) how we consider climate risks & other sustainability risks in our risk management process.


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July, 2023

Transparency disclosures on lobbying expenditures

As there is currently no comprehensive definition of lobbying expenses, we are guided by the applicable transparency requirements and publish the lobb...

As there is currently no comprehensive definition of lobbying expenses, we are guided by the applicable transparency requirements and publish the lobbying expenses
in Germany at federal level (in accordance with the “Act Introducing a Lobbying Register for the Representation of Special Interests vis-à vis the German Bundestag and the Federal Government [Lobbying Register Act – Lobbyregistergesetz”] -> https://www.bundestag.de/resource/blob/870452/41e5c2f593b16c960d86c0041a377862/Gesetz-EN-neu-data.pdf) and in the federal states of Baden-Württemberg and Bavaria (according to the Transparency Register Act [TReg]in Baden-Württemberg -> https://www.landtag-bw.de/files/live/sites/LTBW/files/dokumente/WP16/Drucksachen/9000/16_9883_D.pdf and the Bavarian Lobby Register Act [BayLobbyRG] -> https://www.gesetze-bayern.de/Content/Document/BayLobbyRG/true), in Brussels (in accordance with the "Agreement between the European Parliament and the European Commission on the transparency register for organizations and self-employed individuals engaged in EU policy-making and policy implementation" -> https://eur-lex.europa.eu/legal-content/de/TXT/?uri=uriserv:OJ.L_.2014.277.01.0011.01.ENG ) and in Washington for T-Mobile USA (in accordance with the "Lobbying Disclosure Act [LDA]" -> https://lobbyingdisclosure.house.gov/ldaguidance.pdf ).

We are guided by the principle of respecting the independence and integrity of our political interlocutors. For this reason, we welcomed the creation of the lobbying and transparency registers at European level and in Germany from the outset and accordingly registered as one of the first companies (EU) or on time (on February 28th, 2022 in Germany).

Lobbying expenditures 2022 in accordance with applicable transparency rules

Area covered by reporting requirements Lobbying expenditure (2022) Relevant transparency rule detailing legal requirements and respective definition of lobbying expenditures.
Deutsche Telekom AG / German Bundestag and Federal Government 2.660.000 EUR *) [1] Act Introducing a Lobbying Register for the Representation of Special Interests vis-à vis the German Bundestag and the Federal Government (Lobbying Register Act – Lobbyregistergesetz) [6]
Deutsche Telekom AG / State Parliament and State Government of Baden-Württemberg 65.000 EUR *) [2] Transparency Register Act (Transparenzregistergesetz – TRegG) [7]
Deutsche Telekom AG / Bavarian Parliament and Bavarian State Government 110.000 EUR *) [3] Bavarian Lobby Register Act (BayLobbyRG) [8]
Deutsche Telekom AG / European Parliament and European Commission 2.249.999 EUR *) [4] Interinstitutional Agreement of 20 May 2021 between the European Parliament, the Council of the European Union and the European Commission on a mandatory transparency register [9]
T-Mobile USA / Federal Government of the US 9.049.000 USD *) [5] Lobbying Disclosure Act (LDA) [10]

 [1] https://www.lobbyregister.bundestag.de/suche/R002346/7991?backUrl=%2Fsuche%3Fq%3D%2522Deutsche%2BTelekom%2BAG%2522%26page%3D1%26pageSize%3D10%26sort%3DREGISTRATION_DESC

[2] https://www.landtag-bw.de/home/der-landtag/transparenzregister/eintrage/d/deutsche-telekom-ag.html
[3] https://www.bayern.landtag.de/typo3temp/assets/lobbyregister/DEBYLT027F.pdf
[4] https://ec.europa.eu/transparencyregister/public/consultation/displaylobbyist.do?id=60052162589-72&locale=en#en
[5] https://lda.senate.gov/filings/public/filing/search/?registrant=T-Mobile&registrant_country=&registrant_ppb_country=&client=&client_state=&client_country=&client_ppb_country=&lobbyist=&lobbyist_covered_position=&lobbyist_conviction_disclosure=&lobbyist_conviction_date_range_from=&lobbyist_conviction_date_range_to=&report_period=&report_year=2021&report_dt_posted_from=&report_dt_posted_to=&report_amount_reported_min=&report_amount_reported_max=&report_filing_uuid=&report_house_doc_id=&report_issue_area_description=&affiliated_organization=&affiliated_organization_country=&foreign_entity=&foreign_entity_country=&foreign_entity_ppb_country=&foreign_entity_ownership_percentage_min=&foreign_entity_ownership_percentage_max=&search=search#js_searchFormTitle
[6] https://www.bundestag.de/resource/blob/870452/41e5c2f593b16c960d86c0041a377862/Gesetz-EN-neu-data.pdf
[7] https://www.landtag-bw.de/files/live/sites/LTBW/files/dokumente/WP16/Drucksachen/9000/16_9883_D.pdf
[8] https://www.gesetze-bayern.de/Content/Document/BayLobbyRG/true
[9] https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32021Q0611%2801%29
[10] https://lobbyingdisclosure.house.gov/ldaguidance.pdf
*) The various disclosures are not directly comparable with each other, as they refer to the legal requirements applicable in each case. If lobbying expenses are to be specified in a range according to the specifications of the respective register, the upper value of the range is given.


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July, 2023

Contributions & Other Spending

Trade associations are the cornerstone of our public relations activities. Deutsche Telekom does not make any donations to political organizations, po...

Trade associations are the cornerstone of our public relations activities. Deutsche Telekom does not make any donations to political organizations, political parties, or elected officials on principle.

* Total amount according to the individual amounts reported in the lobby/transparency registers of Germany (federal level, Baden-Württemberg, Bavaria / each since 2021), EU (Brussels) and USA (Washington / since 2020) - see also https://www.cr-report.telekom.com/crwissen/transparency-disclosures-lobbying-expenditures.
** DT does not make any donations to political organizations, political parties, or elected officials on principle – see also https://www.telekom.com/en/company/topic-specials/special-public-and-regulatory-affairs/detail/public-affairs-and-transparency-611136.
*** Trade associations are the cornerstone of the public relations activities by DT. The numbers listed above mean "LESS THAN 5 Mio. EUR per year" (value may vary slightly year-on-year; this is the maximum of an approximate value) – see also https://www.cr-report.telekom.com/2022/management-facts/strategy/political-advocacy#atn-19548-19551.

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June, 2023

Measurable success: Reduced CO2 generation at data centers

We keep our goal of reducing our carbon footprint in mind when planning and operating our data centers. To achieve this goal, we take a two-step appro...

We keep our goal of reducing our carbon footprint in mind when planning and operating our data centers. To achieve this goal, we take a two-step approach. It starts with optimizing energy consumption at each data center site and then continues with improving processes throughout the global data center landscape.

 

Data Center Energy Usage     2019     2020     2021     2022
Total energy used in data centers (MWh)     646,201     748,105     758,384     709,619
Percentage of renewable energy (of total energy)     53.5     62.5     98.3     99.3

 

Our aim is to increase the share of renewable energy on a yearly basis. Therefore our reported target is to increase our share in comparison to the previous year.


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June, 2023

DT AG Health, Safety and Environment Management System and for Quality Management System

As a large corporation, Telekom assumes responsibility for environmental protection. Uniform environmental standards ensure that resource-saving behav...

As a large corporation, Telekom assumes responsibility for environmental protection. Uniform environmental standards ensure that resource-saving behavior is anchored in all processes and in the daily behavior of employees. To this end, the Group has implemented an HSE (Health, Safety and Environment) management system in all fully consolidated companies.
There are internationally recognized standards for environmental protection in companies, such as the ISO standards (standards of the International Organization for Standardization, ISO for short). These form the basis for environmental management at Telekom. This ensures that environmental policy is implemented uniformly throughout the Group.

Telekom in Germany has been working in accordance with the international standard ISO 14001 for environmental management systems since 1998. Compliance with the ISO standard enables, among other things, resources to be used more efficiently, energy to be saved and waste to be avoided. Employees help to further increase environmental friendliness with their own suggestions.

Telekom's commitment goes far beyond the issue of climate protection: Since 2010, a uniform Group-wide HSE management system has been in place. HSE stands for the three main topics of health, safety and environment. The international standards for occupational health and safety, environmental management and quality management serve as the basis for this.
Employees and experts from all Deutsche Telekom national companies regularly exchange information and jointly develop a comprehensive management system. Internal and external audits are conducted regularly to verify that the requirements of the HSE management system are consistently implemented in the company's day-to-day operations.

Here you can find the manual for our central Health, Safety and Environment Management System (HSE MS) of Deutsche Telekom Group. This means that it covers 100% of all Deutsche Telekom units.


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June, 2023

Risk and opportunity management system at Deutsche Telekom

As one of the world’s leading providers in the telecommunications and information technology industry, we are subject to all kinds of uncertainties...

As one of the world’s leading providers in the telecommunications and information technology industry, we are subject to all kinds of uncertainties and change. In order to operate successfully in this ongoing volatile environment, we anticipate potential developments at an early stage and systematically identify, assess, and manage the resulting risks and opportunities. We therefore consider a functioning risk and opportunity management system to be a central element of value-oriented corporate governance.
A risk and opportunity management system of this kind is not only necessary from a business point of view; it is also required by laws and regulations, in particular § 91 (2) and (3) of the German Stock Corporation Act (Aktiengesetz – AktG). Deutsche Telekom AG’s Audit Committee monitors the effectiveness of the internal control system and the risk management system as required by § 107 (3) sentence 2 AktG.

Our risk and opportunity management system is based on the globally applicable risk management standard of the International Standards Organization (ISO). ISO standard 31000 “Risk management – Principles and guidelines” is regarded as a guideline for internationally recognized risk management systems. And our Group-wide risk management policy serves as the basis for a uniform risk management methodology.
The Group Risk Governance unit defines the methods for the risk and opportunity management system that is applied Group-wide and for the associated reporting system, in particular the Group risk report. All operating segments as well as the Group Headquarters & Group Services segment are connected to the central risk and opportunity management system of the Group via their own risk and opportunity management. The relevant owners in each of the segments are responsible for identifying, assessing, and continuously monitoring risks. Management takes potential opportunities into account in the annual planning process and continuously develops them further during business operations.

Our Group-wide risk and opportunity management system covers strategic, operational, regulatory, legal, compliance, and financial risks and opportunities for our consolidated and major non-consolidated entities.

Dr. Robert Hauber is Senior Vice President Group Controlling at Deutsche Telekom and therefore also responsible for Group Risk Goverance. He is our Chief Risk Officer.
Group Risk Governance belongs to the finance team. The Vice President of Group Risk Governance (GRG), Sönke Thun, reports directly to the Senior Vice President of Group Controlling, Dr. Robert Hauber, who is also the Chief Risk Officer. In turn, Robert reports directly to the Chief Finance Officer (CFO), Dr. Christin Illek.
GRG is responsible for the risk management system and provides a standardized framework, reporting process, methodology and training for the entire footprint of Deutsche Telekom.
Furthermore, all the business lines, including the board area finance, have direct risk reporting lines to GRG and have designated contacts. All The decentral risk managers in the organization's units and subsidiaries also collaborate with the respective risk management units mostly structured under the financial director/CFO areas.
Additionally, GRG has a link to the audit committee and answers any inquiries concerning the integrity of the risk management system.


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June, 2023

Handling and processing of customer data

Deutsche Telekom processes its customers' data generally exclusively to fulfill the contract (“for the performance of the contract”). Any addition...

Deutsche Telekom processes its customers' data generally exclusively to fulfill the contract (“for the performance of the contract”). Any additional processing activities of customer data (e. g. for secondary purposes or advertisement) is done on the basis of consent (“Opt-In”). Deutsche Telekom has obtained the consent (“Opt-In”) for a relevant number of customers and is constantly monitoring the number of users whose customer data is used for secondary purposes. Further information about the “Opt-In” possibility can be found here: https://www.telekom.de/kundencenter/infoservice

At Telekom, we are committed to our own ethical principles. This means that we take customer preferences into account when communicating with customers, making sure, for example, that we only address particularly young or even older customers via certain communication channels.


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June, 2023

References to Information published by Deutsche Telekom Major Group Companies and Respective Overview

Deutsche Telekom comprises a number of major subsidiaries operating in different countries respectively regions. Several of them are listed stock corp...

Deutsche Telekom comprises a number of major subsidiaries operating in different countries respectively regions. Several of them are listed stock corporations in their own right and publish as such comprehensive information on their respective sub-group, including inter alia their subsidiaries, activities, employees, revenues, profits/losses and taxes. In order to access such information, please find the following references to the sub-group reportings for 2020 & 2021:

  1. T-Mobile US
    a) T-Mobile US - Annual Report 2020 
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed US-subsidiary, see pages 28, 29, 35, 38, 47-49, 57-58, 77-78, 113-115 etc.
    b) T-Mobile US - Annual Report 2021
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed US-subsidiary, see pages  33, 36, 72, 45-47, 53, 71, 103-105 etc.
    c) T-Mobile US - Annual Report 2022
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/ losses and taxes of publicly-listed US-subsidiary, see pages 32, 34, 42-44, 49, 68-69, 101-103

  2. OTE
    a) OTE - Annual Report 2020
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Greece-subsidiary, see pages 97-98, 102-105, 114 etc.
    b) OTE - Annual Report 2021
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Greece-subsidiary, see pages 108-109, 113-116, 125 etc.
    c) OTE – Annual Report 2022 to be published soon; check OTE Annual Report Website

  3. MAGYAR
    a) MAGYAR Telekom - consolidated annual report 2020
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Hungary-subsidiary, see pages 15, 17, 21, 57-60, 74, 88 etc.
    b) MAGYAR Telekom - consolidated annual report 2021
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Hungary-subsidiary, see pages 6-10, 14, 52-56, 69, 82 etc.
    c) MAGYAR Telekom - consolidated annual report 2022
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Hungary-subsidiary, see pages 7-11, 15, 20, 60-63, 205-207 etc.

  4. Hrvatski Telekom
    a) Hrvatski Telekom_Croatia_Annual Report 2020
    Comment Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Croatia-subsidiary, see pages 44-45, 52-58, 76-77, 92-97,112-113, 122-123 etc.
    b) Hrvatski Telekom_Croatia_Annual Report 2021
    Comment Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Croatia-subsidiary, see pages 46-47, 54-60, 76-77, 92-97,112-113, 122-123 etc.
    c) Hrvatski Telekom_Croatia_Annual Report 2022
    Comment Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of publicly-listed Croatia-subsidiary, see pages 42-43, 47-52, 64-67, 78-83, 100, 110-111 etc.

Furthermore, there are also several other unlisted subsidiaries of Deutsche Telekom that publish comprehensive relevant information. In order to access such information, please find the following references to their reportings for 2020, 2021 & 2022:

  1. T-Mobile Czech
    a) T-Mobile Czech_Annual Report 2020
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of Czech Republic Holding-subsidiary, see pages 12-13, 14-17, 73-74, 91-92, 96, 104-105, 107 etc.
    b) T-Mobile Czech_Annual Report 2021
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of Czech Republic Holding-subsidiary, see pages 14-15, 18-19, 78, 90-91, 108, 134 etc.
    c) T-Mobile Czech annual report for 2022 to be published soon; check T-Mobile Czech-website T-Mobile CZ Website

  2. Slovak Telekom
    a) Slovak Telekom Annual Report 2020
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of Slovak Telekom Group, see pages 13-16, 17, 32-34, 36, 59-60 etc.
    b) Slovak Telekom Annual Report 2021
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of Slovak Telekom Group, see pages 14-17, 18, 32-24, 36, 61-62 etc.
    c) Slovak Telekom Annual Report 2022
    Comprehensive reporting of subsidiaries, activities, employees, revenues, profits/losses and taxes of Slovak Telekom Group, see pages 14-18, 36-38, 55, 67-68 etc.

 Additional information on each tax jurisdiction in which Deutsche Telekom operates, including names of all resident entities, primary activities, number of employees, revenue, profit (loss) before tax, income tax accrued (current year) and income tax paid are published as well at: Deutsche Telekom Country-by-Country Reporting CbC 2021 and Country-by-Country Reporting CbC 2022


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April, 2023

Compliance trainings

The world is getting increasingly complex and we are confronted with new challenges and regulations every day. This makes it more important than ever...

The world is getting increasingly complex and we are confronted with new challenges and regulations every day. This makes it more important than ever to offer reliable guidance to all employees, to enable them to act confidently and ethically in different situations.

We offer a mix of eLearnings, classroom training (online trainings, WebEx) and innovative awareness formats depending on responsibility and compliance risk exposure of the target groups.

Our eLearning offerings for compliance are well-established. Group-wide, these eLearnings also include value-based, cultural, and integrity-related aspects – such as our eLearning Code of Conduct, Basic ethical concepts in day-to-day business and Compliance Basics. eLearnings are supplemented by classroom trainings for board of management, board members, top management and other staff selected on a risk-based approach, for example procurement and sales staff. In 2022 we held in-person training with Board of Management members and top management, in which we processed and discussed the best conduct in typical compliance dilemma situations based on case examples.

Our ICARE check, a self-test with five simple questions, supports our employees in making the right, responsible decisions in difficult situations.


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April, 2023

Supplier Code of Conduct mechanisms

The Supplier Code of Conduct requires the supplier to ensure compliance with applicable laws, regulatory provisions, and contractual obligations by ap...

The Supplier Code of Conduct requires the supplier to ensure compliance with applicable laws, regulatory provisions, and contractual obligations by appropriate means for the effective implementation and maintaining of a compliance framework. This means the obligation by the supplier to implement a compliance management system appropriate for its risk exposure.


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April, 2023

Group Policy on Avoiding Corruption and other conflicts of interest

Deutsche Telekom AG communicates its values and ethical standards within its Code of Conduct.Additionally, it has several policies to further clarify...

Deutsche Telekom AG communicates its values and ethical standards within its Code of Conduct.

Additionally, it has several policies to further clarify the broad umbrella of values described in the Code of Conduct. A list of some od these Compliance policies can be found on the Deutsche Telekom AG Website.

One of these policies is the “Group Policy on Avoiding Corruption and other conflicts of interest”. Which gives employees guidance on avoiding corruption and other conflicts of interest. This includes a prohibition of granting and receiving benefits in chapter 5.1:

“The acceptance and granting of benefits in connection with Deutsche Telekom’s business activities are subject to substantial restrictions in light of the applicable corruption-related statutory offenses. This affects not only the acceptance and granting of benefits in the public sector, but also in private-sector business transactions, and it applies to a great extent to international cases as well.”

An overview of the contents can be seen in the following:

 


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April, 2023

Ethical Standards at Deutsche Telekom

Deutsche Telekom adheres to highest ethical standards as reflected in Deutsche Telekom’s Code of Conduct. This means in particular DT complies with...

Deutsche Telekom adheres to highest ethical standards as reflected in Deutsche Telekom’s Code of Conduct. This means in particular DT complies with all applicable law and regulation and takes appropriate measures to ensure observation and effective implementation of compliance processes. DT’s Board of Management is fully committed to these ethical standards and expects the same from all employees throughout the group. 

The compliance with ethical standards is one of the components assessed regularly:

Deutsche Telekom conducts a regular group wide Compliance Risk Assessment to identify, and evaluate compliance risks and derive risk-oriented measures to prevent breaches of laws and regulations. In 2022, we added human-rights-oriented and environmentally oriented risk assessment to our annual Compliance Risk Assessment (CRA).


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