Sustainability Report 2013 Lek d.d.

Sustainability Report 2013 – Lek d.d. Labour 50 3.2 Employment 3.2.1 Total workforce by employment type and employment contract 71 At the end of 2013, the proportion of women in Lek’s total workforce was 45%, the level identical to that in the previ- ous year. At year end, 91.4% of employees (86.8% in 2012) worked on a permanent full-time basis, and 64 employees or 8.6 % were fixed-term employees (10.9% in 2012). 2.2% of all employees worked on a part-time basis, the level identical to that in the previous year (2.3%). 3.2.2 Percentage of employees covered by collective bargaining agreements 72 The Collective Bargaining Agreement covers 99% of total workforce, a level identical to that in the previous years. 3.2.3 Coverage of the organization's defined benefit plan obligations 73 Lek provides its employees additional pension insurance (Pillar II) to a maximum premium amount. Lek enabled the employees to join the collective additional pension scheme in 2001, and the opportunity was taken by a large majority. At the end of 2013, 84.98% of the workforce was included in the scheme. The premium is calculated on the basis of 5.844% of the employee gross salary. 3.2.4 Procedures for local hiring and proportion of senior management hired from the local community 74 At Lek, the process of hiring foreign employees is compli- ant with established corporate practice following EU recom- mendations. The employment process is performed through implementation of the guidelines on diversity, equal oppor- tunities and fair treatment. Decisions are taken only on the basis of employment related elements. The employee’s basic salary depends on the level of education and other elements associated with the workplace, and is not gender or site-dependent. 75 The proportion of local human re- sources in the senior management team (consisting of unit heads and board of management members) is 91% and slightly higher than in the previous year (90% in 2012). 3.2.5 Parental leave 76 Parental leave is granted to every employee fulfilling the criteria laid down in the Parental Protection and Family Benefits Act. 71 GRI Disclosure G4-10, Indicator G4-LA1 72 GRI Disclosure G4-11 73 GRI Indicator G4-EC3 74 GRI Indicator G4-EC6 75 GRI Indicator G4-LA13 76 GRI Indicator G4-LA3 77 RC KPI 2, GRI Indicator G4-LA6 78 GRI Indicator G4-LA6 Men Women Total Number of employees having taken parental leave 93 108 201 Number of employees returning to work after parental leave 90 98 188 Percentage of employees returning to work after parental leave 97% 91% 94% Number of employees returning after parental leave to 90 98 188 work in the same position Percentage of employees returning after parental leave to 97% 91% 94% work in the same position 3.3 Occupational health and safety 3.3.1 Standard injury, lost day, and absentee rates 77 One employee accident resulting in sickness absence was recorded. In 15 workplace accidents, the injury required medical attention beyond first aid. 9 such accidents occurred to Lek associates, 4 to workers working through employment agencies and in two cases students were injured. In 2013, a total of two workplace accidents occurred resulting in sick- ness absence from work. Apart from one Lek employee, one contractual worker also suffered such injury. The total number of workplace accidents (including both internal and external associates) requiring sickness absence, declined (in the previous year, 4 workplace accidents were recorded). 3.3.2 Standard injury rate 78 Across Novartis Group, including Lek, a Sandoz member, occupational health and safety are long-term objectives, aiming for preventative action and promotion of safe con- duct. Detailed records of work-related incidents involving our employees have been kept for several years by means of the LTIR (lost time injury and illness rate) indicator and the TRCR (total recordable case rate) indicator (including sick leave cases and the cases where medical attention beyond first aid is required but the employee is able to return to his working environment without sick leave). The two indicators are calculated according to the number of cases per 200,000 hours worked.

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