Diversity & equal opportunities.

  • Proportion of women in management positions across the Group increased from 19 to 24 percent.
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  • Deutsche Telekom awarded "Max Spohr Prize" for diversity.
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  • Over 270 entries in ideas competition on demographic change.
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  • Proportion of disabled employees far above the statutory quote at 6.4 percent.
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  • Number of company childcare places increased by 61 percent since 2010.
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Deutsche Telekom represents a union of people from 34 countries where it does business, and our employees have different cultural backgrounds, expectations and capabilities. We encourage this diversity and utilize it as a source of creativity and agility. We are convinced that diversity makes social integration easier and that it has a positive impact on career development. Diversity improves customer understanding, promotes innovations and contributes to the business success of the Group.

Furthermore, this diversity is a key factor that drives change within our corporate culture, thus ensuring that Telekom is an open, flexible and agile organization. Our diverse teams, comprised of men and women of different nationalities and age groups, follow different approaches and establish synergies that enhance their competencies in ways that bolster our success in global markets. That is why we offer all of our employees a wide variety of opportunities to grow both personally and professionally in all phases of their lives: in Germany and internationally, for men and women, young and old. One important aspect in this approach involves scenarios that contribute to more flexible working hours. In 2012, our activities included further expanding our program for improving the reconciliation of work and private life, work-life@telekom. By signing the Diversity Charter, created by the initiative of the same name, we made an official commitment to promoting diversity at the company.

Gender as a cornerstone of diversity.

It is our conviction that diverse teams, comprised of men and women from different age groups, follow different approaches and contribute different skills that bolster our success in global markets. That is why promoting diversity is one of the most important objectives at our company and will also help us increase the number of women at all company levels.

More and more women in management positions.
In 2010, Deutsche Telekom was the first DAX 30 enterprise to announce the launch of the Fair Share initiative, with the goal of appointing women to fill 30 percent of the leadership positions available in mid-level and senior management throughout the Group worldwide by the end of 2015. To achieve this goal, we are focusing our attention on development programs for women in the company who demonstrate management talent. We support women not only with an eye toward their future management career, but also in their current positions of leadership.

  • In doing this, we tie Fair Share to segment-specific target structures and, based on standardized reporting, examine the measures taken to achieve these targets.
  • We rely on the steadfast commitment on the part of our management employees, and we expect that our managers serve as role models by acting in ways that reflect the values of the Group. We support this with specific communications measures.
  • We integrate diversity-compliant quality standards in all HR products and processes, especially in our hiring and appointment processes.

Membership in the women's network, which is sponsored by the Group, rose considerably. The network is already being used by more than 1,000 women.

A quick glance at our recent past indicates a significant improvement since the women's quota was introduced. The proportion of women in management positions across the Group increased from 19 percent in February 2010 to 24 percent in December 2012. Compared to December 2011, the figure underwent a slight 0.7-percent drop owing to the reorganization (including the sale of parts of the company) at T-Mobile USA. In all other segments the figure continued to rise, as in previous years. Since 2010, we have also consistently increased the proportion of women in our supervisory boards, particularly on the employers' side. In 2010, 17.7 percent of employer representatives in Germany were women, rising to 24.8 percent by the end of 2012. During the same time period, the proportion of women representing employer interests on the supervisory boards of our international businesses increased from 7.4 percent to 25.5 percent. Furthermore, two out of the seven Board of Management positions have been held by women since 2012. The number of women in our Business Leader Team, the international management team below the Group Board of Management, increased from two in February 2010 to nine in December 2012.

Gender collaboration training: Effective management of mixed teams.
We launched our Group-wide gender collaboration training program in late 2010. The training is mandatory for all managers. The course helps prepare managers to lead mixed-gender teams and opens their eyes to the potential of diverse employee groups. By December 2012, more than 3,600 managers had attended these courses in Germany alone.

Demography as an opportunity.

Today much of the work done in Human Resources is influenced by demographic change in some way. And we are actively taking up the challenge associated with this development. In our selection and placement processes, we do more than examine grades and report cards—we also carefully evaluate the personal and social skills of job candidates. We offer our employees attractive training opportunities, we promote their careers through long-term skills development programs, and we promise them new and interesting perspectives for their future in the Group—all of this contributes to employee retention.

In light of the current demographic trend, it is our aspiration to accompany and support each and every employee throughout his or her individual life cycle while a member of our workforce. One important aspect in this approach involves scenarios that contribute to more flexible working hours. The introduction of lifelong working time accounts is the first step in this direction.

Health is another key aspect related to demographic change. When it comes to matters of health, we are already taking the lead with initiatives that promote good health among employees.

The age spectrum of our employees is continuously widening, and the average age of our workforce is on the rise. Employment lifetimes are also becoming longer. We utilize and manage this development with new teaching and learning formats. New teaching and learning formats geared to experience and age.

Intergenerational dialog and demographic awareness.
Deutsche Telekom began offering different educational and development options several years ago, addressing the educational and professional needs of its increasingly heterogeneous staff. In addition to traditional training courses, we also included more informational and educational offers on the topic of life balance and intergenerational dialog. In two workshops on the topic of 45-plus conducted during the reporting period, we collected ideas on creating a working environment that equally meets the needs of both younger and older employees. In a special ideas competition, people submitted more than 270 suggestions on how Deutsche Telekom could better adjust to meet the needs of employees and customers from all age groups and tap the strengths of every generation. Since 2012, we have also been giving our employees the chance to take shorter or longer periods of time off, e.g., for continued education, with new, flexible working models.

Deutsche Telekom is also involved in different individual initiatives outside the company, such as the "Internet—it's not a question of age" competition. The 50plus customer advisory council also gives the Group advice when it comes to developing and introducing products and services designed especially for the 50-plus generation.

Diversity in our work culture.

Internationality: More effective exchange.
Encouraging collaboration across boarders and cultures is one of Deutsche Telekom's central goals – whether it be in the form of international exchange through our diversity network or through our international development programs.

Sexual identity.
In September 2012, Deutsche Telekom received the Max Spohr Prize, one of Germany's most important diversity awards. The award goes to employers who implement diversity management at all levels, also regarding sexual orientation. In order to encourage an open-minded working environment, we support queerbeet, the employee network for homosexual, bisexual and transsexual employees. We also maintain close partnerships with Völklinger Kreis and Wirtschaftsweiber, two associations for gay and lesbian managers. A Deutsche Telekom recruiting team also attended the Milk career days, Europe's largest job and career trade fair for homosexual and heterosexual professionals on June 9, 2012, in Berlin.

Deutsche Telekom rolled out a Group-wide sexual harassment policy in 2011 to raise awareness of possible cases of sexual harassment and provide support. Contacts for reporting sexual harassment include managers, Human Resources employees and employee representatives. Complaints will also be used as feedback when making future changes to the policy.

People with disabilities: statutory quota surpassed.
Supporting and integrating people with disabilities is important to us. 6.4 percent of our employees in Germany are disabled, putting us well over the statutory quota of 5 percent. We conducted some 937 measures for making the workplace better suited to people with disabilities and maintaining existing facilities during the reporting period.

In 2012, we also offered our second theoretical and hands-on training course on secure, fuel-efficient driving for employees with hearing disabilities. Eleven employees from Telekom MobilitySolutions in Munich—including three trainees—participated.

The LVR Rhineland Regional Council also awarded us the distinction of "disabled-friendly employer," in recognition of our exemplary commitment in the Group Business Security unit, which has created additional jobs for disabled employees and increased their employment rate to around 22 percent, significantly above the national average.

Life balance: the harmonization of work and private life.

We feel that it is very important for our employees to be able to strike a balance between their dedication to work and their interests in private life in the best way possible. That is why we continue to promote our life balance activities in a focused way, also sharing our expertise at the international level. We surveyed employees in 32 of our international subsidiaries with regard to life balance matters, such as reconciling family life with work, health and fitness, working conditions and the advancement of women. This survey was used as the basis for establishing an online platform to support the continuous exchange of information about best practices and projects that had been especially successful.

work-life@telekom program.

Our work-life@telekom program is designed to systematically improve the balance between work and home life. In the year under review, we continued to extend the range of options available. Since 2010 we have increased the number of company childcare places in Germany by 212 to a total of 559, and the number of places for schoolchildren during the school holidays from 170 to 300. At the same time, we have also set up seven new parent-and-child offices at locations across Germany, and are planning to create at least ten more over the coming year to cushion any childcare shortfalls. Free assistance is available to help employees find local childcare places, together with an emergency child-minding service. Not only female but also a growing number of male employees are consciously making time for their children, as indicated by a doubling in the proportion of men who take more than two months' parental leave, which increased from 11.3 percent in mid-2012 to 22.1 percent by late 2012.

Mobile work environments also offer many options for harmonizing work and private life. That is why Telekom expressly promotes mobile work options. At the same time, mobile work options come with other stressors, particularly if managers require their employees to be constantly available. In 2011, Deutsche Telekom became one of the first companies to require its managers to make sure their employees were using e-mails and phone calls responsibly and to set an example through their own behavior. The relevant policy states, for example, that employees do not have to answer e-mails outside of working hours.

Supporting a good life balance.

We continue to promote life balance in Germany with the following supportive measures:

  • Fathers' network: The Heimspiel fathers' network provides information on how to coordinate career and family as well as contact information and discussion forums.
  • Holiday program: Organizing holiday activities for our employees' children
  • Youth exchange program: in 2012, second international youth exchange
  • Free emergency childcare
  • Free assistance in finding local childcare facilities
  • Advisory and placement service for employees with elderly family members in need of care
  • Leave of absence for family emergencies
  • Family vacation offers: used by 40,537 employees and their families in 2012
  • Family support services: advice and arranging of services through the AWO welfare organization's parental service

There are many examples of progressive life balance activities being conducted at our international subsidiaries:

  • T-Systems UK: The Keeping in Touch program for employees taking time off after childbirth or adoption or taking parental leave. The program gives qualifying employees up to ten days of full pay where they can either work at the office or participate in training courses or conferences.
  • T-Systems Austria; T-Systems Switzerland: Part-time hours for managers.
  • T-Systems Italia: The company set up a company daycare center in Milan.
  • Building child-friendly offices in Hungary
  • T-Systems China; T-Systems Slovakia: Implementing the policy for employee use of company cell phones in their free time.
  • T-Systems Czech Republic; France Télécom-Orange: Implementation of home office guidelines that we approved to promote more flexible working conditions at an international level.
Flexible working models.

Having the chance to structure your work according to your own needs considerably improves your life balance and helps prevent stress and the feeling of being overworked. That is why Deutsche Telekom expressly encourages flexible working models. Deutsche Telekom's working models comply with current collective agreements for employees, the Federal Civil Service Act and internal regulations.

The range of possible working models has expanded already, and will continue to do so in future. Different forms of project organization including a flexible pool organization, location-independent and virtual teams are just some of the current options. We are committed to making our managers and employees fit for the future, since these forms of collaboration often require more trust and flexibility on both sides than a conventional working relationship.

Deutsche Telekom's flexible working model offer ranges from flex-time and part time to lifetime work accounts. Deutsche Telekom also expressly encourages mobile work forms where employees can work from home or on the go in order to be able to better coordinate their professional and private lives. With their manager's permission, Deutsche Telekom employees whose position allows for flexibility can work from a location of their choice.

Customized models and voluntary commitment to promote part-time working hours.

Telekom is one of the first companies in Germany to take advantage of the opportunities of the Family Care Time Act. Since 2012, the company has been offering its employees the chance to reduce their working hours down to 15 hours a week for a period of 2 years to care for family members. Employees also receive a 50 percent advance to help compensate for the money they won't be earning because of their reduced working hours. The company then deducts a part of the advance from the employee's pay check each month once the employee has returned to their regular work schedule.

With the voluntary commitment to provide part-time hours for managers made by Telekom in 2011, the company is explicitly promoting part-time working hours for managers as well. The aim is to promote part-time work, with a view to improving the life balance and facilitating integration into everyday working life, for both women and men. Our voluntary commitment is already having an impact. The number of managers working part-time throughout Germany increased from 16 in 2010 to 37 in 2012. We have also made a similar voluntary commitment regarding employees under collective agreements and civil servants. 10.8 percent of employees covered by collective agreements and 19.7 percent of civil servants employed at Telekom throughout Germany are currently working part-time.

Telekom also has many other part-time regulations to reduce working hours including job sharing, where two or more employees share one position. This option can be employed using a job splitting model where each employee is responsible for different tasks or via job pairing, where employees share responsibility for one area.

Other part-time models are structured for specific target groups:

Phased retirement.
Phased retirement is a model to help employees phase out their working hours to get them ready for retirement. Employees aged 55 and above can reduce their final working years and begin early retirement. Telekom offers phased retirement both as a block and as a part-time model:

  • The block model consists of two phases: an active phase of generally one to four years followed by an equally long leave or passive phase.
  • Employees participating in the part-time model continue to work until normal retirement at half of their previous working hours. This model will be available as of April 1, 2013.

Unlike regular part-time policies, Telekom pays a considerable addition to the employees' net part-time pay with its phased retirement offer. That means that reducing their weekly hours does not mean a severe reduction in net pay for employees.

Part-time training for single parents.
In September 2011 and in collaboration with the German Federal Employment Agency, Telekom launched a project to make it possible for single parents to attend training and study programs. A total of 16 single mothers have participated in part-time training and three have started a cooperative study program at Telekom since the project was launched.

Returning to work after parental leave.
Within the scope of the Stay in ContacT parental leave program, Telekom offers employees on parental leave a part-time program to help them return to work.

 

Time-off with and without pay.

Telekom also offers employees different customized models, some of which are pre-financed by the company, for employees who want to take a specific amount of time off from work. In addition to traditional forms of taking time off such as vacation without pay, Telekom also offers different models for time taken off for particular reasons.

Time-off for education.
Time-off for education is based on the current vacation time offer without pay and makes it possible for employees to take up to four years off for a degree course or a doctorate. The employment contract is put on hold during this time and the employee does not receive any pay. In addition to policies for employees, Telekom also offers up to five years of time-off for education to civil servants who want to further their education or do a doctorate. This time does not apply to their pension and no salary is paid.

Lifetime work accounts.
Deutsche Telekom has been offering lifetime work accounts to managers at all German Telekom subsidiaries in which Telekom has a majority interest since July 2012. The model opens up new ways of achieving a better life balance in all stages of life.

Unlike the conventional long-term compensation time accounts for employees covered by collective agreements, lifetime work accounts are based on the deferment of remuneration components. Regular or one-time payments can be made to the lifetime work account from the executive's gross monthly salary as well as from the variable component. The credit is protected against insolvency and is invested in the capital market at a guaranteed minimum interest rate.

Managers can use their credit ...

  • To take up to twelve months off (sabbatical), which the manager can use freely to pursue their own interests
  • In the context of agreements to reduce working hours (part time)
  • When taking advantage of leave options provided by law (family care, parental or caregiver leave)
  • For early or phased retirement from active working life until reaching the applicable retirement age

We are planning to offer lifetime work accounts to employees outside of and covered by collective agreements within the Group as soon as possible.

Award-winning diversity.

In 2012 we received a number of awards for activities that promote diversity in the Group while also establishing an integrative corporate culture. For example, with our comprehensive life balance concept, we were among the finalists in the 2012 "Family as a success factor" competition for business enterprises, launched by the German Federal Ministry of Family Affairs, Senior Citizens, Women and Youth. The Völklinger Kreis e. V. awarded us the Max Spohr Award because we accept the sexual identity of our employees as an enrichment of corporate culture. And the Rhineland Regional Council (LVR) awarded us the title Disability-friendly Employer.

Over the past few years our international subsidiaries and affiliates have also been distinguished for their efforts in establishing more flexible and family-friendly working conditions. For example, in 2012, T-Systems in the Czech Republic defended its third-place ranking as "Employer of the Region," while T-Systems Malaysia won the silver "Employer of Choice Award" and T-Systems Austria received the accolade "Great Place to Work." One good example:

Family Friendly Employer Award for T-Systems Slovakia.
Ever since the company was founded, T-Systems Slovakia has endeavored to ensure its employees enjoy a healthy life balance. In March 2012 the company's efforts in this field were rewarded when it received a Family Friendly Employer Award at an international conference on women in top management The conference organizers welcomed the company's Life Balance program and their new Diversity Program, which among other things helps employees on parental leave to cope with the difficulties of combining work and parenthood. A Work Life Coaching scheme, which is part of the Diversity Program, offers professional advice, e.g., from a psychologist or financial advisor, for employees in stressful parenthood or family situations The company's aim is to ensure that present and future parents do not have to decide between work and family but instead can combine their personal life with a career at T-Systems Slovakia.