We have been publishing important Deutsche Telekom ESGannual report for several years. Financial market players interested in sustainability can also review ESG information in the Socially Responsible Investment (SRI) section on our investor relations portal. Interested parties can find additional information on these topics in the CR rating info boxes provided as a supplement to this CR report.KPIs in our
In addition to our reporting activities, we also engage in targeted dialog with investors. In the reporting year, the Group Corporate Responsibility (GCR) and Investor Relations (IR) departments thus held several joint “Socially Responsible Investment (SRI) roadshows” in France and the Netherlands, where we offered answers to critical questions from our investors. We also held conference calls to keep interested investors informed and responded to numerous direct requests for information. In addition, we attended SRI conferences, organized conference calls and web conferences, and answered numerous direct queries from rating agencies, analysts and investors.
We covered the entire spectrum of ESG criteria: governance structure, data protection and data security, corporate responsibility controlling, sustainable supply chain, human rights, climate protection and business impact measurement.
Deutsche Telekom’s ESG(environmental, social and governance) performance is assessed within the scope of CR ratings, which provide investors with valuable information for their investment decisions.
As in previous years, the T-Share was again listed in leading sustainability indexes such as the DJSI World and the DJSI Europe Index from RobecoSAM in 2018. In addition, we were again listed in various rankings and ratings.
In 2014 the European Parliament and the EU member states adopted a directive that expands the reporting obligations of large, capital-market-oriented companies. The CSR Directive obligates such companies to report on important non-financial aspects, such as environmental, social and employee concerns as well as protection of human rights and combating corruption and bribery. Germany enacted this directive as national law in 2017 under the CSR Directive Implementation Act.
Deutsche Telekom’s combined non-financial statement is contained in the management report of the 2018 Annual Report.
The Group Tax department is responsible for ensuring that the Deutsche Telekom Group pays taxes and duties at the national and international level in accordance with the applicable laws.
Group Tax makes sure that the Deutsche Telekom Group complies with all its tax obligations in Germany and abroad, in particular that it pays taxes in accordance with the local laws and regulations applicable to the individual Group entities. This includes the Group's income taxes, which must also be regularly reported in our IFRS financial statements, as well as, for example, VAT and wage taxes payable within the context of customer transactions and for Group employees.
Group Tax also ensures that the Deutsche Telekom Group has an efficient tax structure within the framework of German and foreign tax laws as applicable in each country, i.e., that the Group does not carry any unnecessary tax burden. The goal is to achieve sustainable tax efficiency for the Group, which requires a transparent, trust-based cooperation with local tax authorities.
In addition, Group Tax undertakes to contribute to the greatest extent possible to the success of Deutsche Telekom's operations, e.g., by providing detailed tax advice regarding new business models or innovative technological developments. In such matters, Group Tax is particularly focused on clarifying upfront any unresolved tax law-related issues as well as providing practical solutions to meeting all applicable tax requirements.
The tax strategy – Tax Compliance, Sustainable Tax Efficiency, Tax as Valued Business Partner – was also adopted by the Deutsche Telekom Board of Management.
For detailed information on the work of Group Tax, its principles, and its responsible approach to tax, please see the related document.
We are fully committed to sustainable finance. Correspondingly, we also apply our sustainability principles to the assets of the Telekom Pension Fund. We have pursued a sustainable investment strategy for the selection of these capital assets since 2013. In addition to financial aspects, we also take into account ecological and social principles as well as guidelines for good corporate governance.
We have pursued an optimized investment strategy since 2017. We have specified the list of negative criteria we employ and added to it best-in-class strategies and approaches to commitment. Accordingly, excluded from investment are companies that manufacture or do business with so-called controversial weapons (for example, anti-personnel mines, cluster ammunition, nuclear weapons, biological or chemical weapons). Also prohibited are investments in companies that have repeatedly violated the principles of the UN Global Compact.
We have also defined a best-in-class approach. Our investment managers select companies that boast the best sustainability performance in their respective sectors in which to invest. A decision was also made to effectively support the Sustainable Development Goals (SDGs) as shareholders with voting rights (shareholder engagement).
The investment managers will be selected based on their expertise in ESGissues. With this approach we aim to align attractive expected returns and sustainable value orientation with each other. By investing in stable values, we want to fulfill our fiduciary responsibility to our employees regarding capital investment. Our goal is also to avoid reputation risks and larger risks of loss.