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  • 2019 Corporate Responsibility Report

Financial personnel indicators

Revenue per employee KPI

In the year 2019, revenues per employee increased to EUR 378,000 groupwide – this represents an increase of about 8 percent. In Germany, the revenues per employee has increased by 5 percent. Outside Germany, revenues per employee also increased slightly by about 6 percent.

You can find further information in the HR Factbook.

Personnel costs and personnel cost ratio KPI

By personnel costs we mean basic personnel costs (salaries) and incidental personnel expenses. The indicator is adjusted for special factors in conjunction with personnel restructuring measures (individual downsizing instruments). The personnel cost ratio represents personnel costs as a proportion of revenue. The development of this rate serves as a benchmark for company business. In the Group as a whole, the personnel expenses ratio in 2019 fell slightly compared with 2018. One driver for the 0.6 percentage point improvement in the adjusted personnel expenses ratio in the Group is the significant increase in Group revenues.

The disadvantage of the personnel cost ratio is that it ignores external personnel costs. Therefore the total workforce costs ratio is more meaningful for the management of personnel costs at Deutsche Telekom.

HR EBITDA (Ratio) KPI

The so-called „HR EBITDA“ of Deutsche Telekom Group (without T-Mobile US) puts into ratio the calculated earnings per employee with the investments in training per employee.

Reporting against standards

This data is relevant for the GRI 404-1 (Average hours of training per year per employee) and GRI 404-2 (Programs for upgrading employee skills and transition assistance programs) GRI indicators as well as the S02-02 (Training expenses per employee) EFFAS indicator. This data also covers criterion 16 (Steps taken to promote the general employability of all employees) of the German Sustainability Code.

Human Capital ROI KPI

The so-called "Human Capital Return on Invest (ROI)” illustrates the company’s return on investment in human capital by building a ratio between revenue, OPEX and the costs of our internal workforce (IWC).

Reporting against standards

This data is relevant for the GRI 404-1 (Average hours of training per year per employee) and GRI 404-2 (Programs for upgrading employee skills and transition assistance programs) GRI indicators as well as the S02-02 (Training expenses per employee) EFFAS indicator. This data also covers criterion 16 (Steps taken to promote the general employability of all employees) of the German Sustainability Code.

Total Workforce Costs KPI

Total Workforce Ratio KPI

Total workforce management allows HR to be managed in a holistic manner, enabling qualitative and quantitative personnel planning over the long term. The total workforce ratio describes the relationship between all personnel expenditure and revenue. This means: if the ratio has fallen in comparison with the previous year, either revenue has remained constant while total workforce costs have gone down, or revenue has increased with stable Total Workforce Cost.

Deutsche Telekom’s total workforce quota improved slightly in 2019. The adjusted ratio for the Group as a whole dropped by 0.9 percentage points in 2019 compared with the previous year. While total revenue was up 6.4 percent (488 million euros) in 2019, total workforce costs only increased by around 2.6 percent year-on-year.