14. Employment Rights

The company reports on how it complies with nationally and internationally recognised standards relating to employee rights as well as on how it fosters staff involvement in the company and in sustainability management, what goals it has set itself in this regard, what results it has achieved thus far and where it sees risks.

Whether it is in sales, purchasing, administration, logistics or IT, the roughly 69,000 ALDI employees in nine different countries make a decisive contribution to the sustained success of the ALDI North Group. All of them can be proud to work for the ALDI North Group. In exchange, they receive secure working conditions, attractive framework conditions and long-term career development prospects. Open and respectful dealings in an approach based on partnership are very important to us. Our focus is on appreciating each and every one of our employees and promoting their sense of connection with the ALDI North Group. By way of this total package, we aim to retain the loyalty of employees over the long term and recruit new talents.  

The ALDI North Group has been successfully expanding its ALDI discount concept in Europe since the 1970s. More and more consumers in Belgium, Denmark, France, Luxembourg, the Netherlands, Poland, Portugal and Spain trust the ALDI promise. The supply chains behind the products are diverse and complex. During production, non-food products often pass through several production sites in various different countries.  

Company guidelines Employee representative organisation
Since the 1970s, an elected employee representative organisation has been in place at ALDI North Germany directly when a new company is established. Once again, each of the 34 regional companies was represented by its own works council in 2017. At the beginning of 2018, business operations at the regional companies Hoyerswerda and Könnern underwent restructuring; the stores were not affected. Some of the employees in administration and logistics were transferred to other regional companies. A reconciliation of interests and a social compensation plan were drawn up for the remaining employees. Works councils also exist in Belgium and the Netherlands.  

Please use the following link for further information:

Employee communication and -involvement
We are expanding our internal communication efforts as part of our HR concept. The goal is to expand the available formats, make them more up to date and offer further dialogue opportunities. In Germany, we have been publishing a quarterly employee magazine since April 2017. Belgium and Poland followed suit in early 2018. We are also increasing the frequency and scope of ad hoc communication with employees in stores in Germany through flyers, posters, brochures and videos, among other media. ALDI Portugal set up a monthly employee newsletter in 2017. We also regularly publish CR newsletters tailored towards an internal target audience in Belgium, Denmark, France, Luxembourg, Poland and Portugal.

Because sustainability is such a central issue for ALDI Nord, it is also a topic that is repeatedly discussed at various points in the magazine. Since 2017, ALDI Portugal has been working to educate employees and customers about sustainability-related topics in the Portuguese customer magazine, in flyers, in internal newsletters and on a training poster for employees in stores as part of a CR communication concept. Furthermore, we provide information about our environmental management activities in our redesigned stores through display panels that draw attention to our rooftop photovoltaic systems and posters that explain how we dispose of our packaging while showcasing our new reusable shopping bags. To prepare our sustainability report, we specifically engaged in dialogue with our customers (by way of a customer panel survey), ALDI employees (through an online survey), suppliers, experts and the works councils of two German regional companies.  

In 2017, we organised creative employee competitions. Corporate runs promote employees’ health and strengthen their sense of identification with the ALDI North Group. The results of the first employee surveys in early 2017 showed us that employees are proud to work for the ALDI North Group. The first measures have been taken on the basis of the survey results. Among other things, we are encouraging our managers and promoting a respectful and appreciative approach to interpersonal relationships.  

Please use the following link for further information:

15. Equal Opportunities

The company discloses in what way it has implemented national and international processes and what goals it has for the promotion of equal opportunities and diversity, occupational health and safety, participation rights, the integration of migrants and people with disabilities, fair pay as well as a work-life balance and how it will achieve these.

Performance-based pay
Above-average employee loyalty has been a traditional feature at the ALDI North Group compared to the rest of the sector. The ALDI employees receive fair, performance-related and above-standard pay. Furthermore, the quantity of employees covered by collective bargaining agreements is nearly at 100 %.  

Diversity
We reject any form of discrimination. In all countries, all employees have the same opportunities irrespective of gender, age, religion or belief, sexual identity, origin or physical disability. Our focus is on performance.  

Since 2015, employees in the Netherlands have had access to a clearly regulated grievance system. The grievance system sends a clear message of zero tolerance against any form of discrimination to the entire workforce. Since 2009, an action plan has been in place at the each of the Spanish companies which comes into force if there are any signs of harassment. The plan guarantees that the situation will be clarified or remedied within 24 hours. The Spanish companies also introduced an action plan for equal rights in 2009. This plan is used to regularly review the employee structure in order to ensure equal opportunities and equal treatment  

Work-life balance
To create a level playing field for all, we provide support for our employees and help them get the work-life balance right between career, leisure time and family. Work-life balance is an important topic of the future for us, the significance of which was underscored in our 2017 materiality survey. When working out duty rosters, the working hours are arranged to take maximum account of the employees’ interests. The companies of the ALDI North Group offer some 48,000 opportunities for part-time jobs, particularly in the stores (90 per cent).  

Education programme
The ALDI North Group’s training and education programmes are a key element in ensuring our future. Our goals are to expand employee communication and promote responsible and appreciative leadership. We measure our progress through employee surveys, among other measures. Performance indicators such as the average length of service or the number of apprentices provide further insights. Awards such as “Deutschlands beste Ausbildungsbetriebe” (Germany’s Best Companies for Training and Apprenticeships) confirmed the success of our HR efforts once again in 2017.  

Safety
In sales and in our distribution centres, the provision of appropriate work clothes and technical equipment continues to form the basis of our occupational health and safety measures. Since 2017, the ALDI North Group in Germany has been using a pick-by-voice system to help employees pick orders through speech recognition. The solution is being gradually introduced at the German distribution centres and is more ergonomic, as it leaves employees with both hands free for handling goods. At the same time, it offers them a better overview of the situation, thereby helping to prevent accidents. Furthermore, the topic of prevention is of increasing importance. As one of the results of the 2017 employee surveys, the Group concluded partnership agreements with gyms. Through corporate runs, we aim not only to strengthen a sense of team spirit, but also to provide incentives for more physical activity. Corporate runs have now been set up in seven ALDI North Group countries.  

Please use the following link for further information:

16. Qualifications

The company discloses what goals it has set and what measures it has taken to promote the employability of all employees, i.e. the ability of all employees to participate in the working and professional world, and in view of adapting to demographic change, and where risks are seen.

It is essential for us to consider the requirements that demographic change pose for our personnel policy. The task at hand is to help employees remain capable of working throughout their working lives in view of an ageing workforce.  

Compliance with statutory requirements is a matter of course for the ALDI North Group. Wherever possible, we aim to go above and beyond the basic requirements through measures such as prevention programmes and group sporting activities. The companies in the ALDI North Group regularly carry out inspections at workplaces in order to identify potential hazards at an early stage. The focus is on the areas with increased risk of accident, such as logistics and sales, where some 90 per cent of ALDI employees work.  

Please use the following links for further information:

Key Performance Indicators to criteria 14 to 16

Key Performance Indicator GRI SRS-403-9: Work-related injuries
The reporting organization shall report the following information:

a. For all employees:
i. The number and rate of fatalities as a result of work-related injury;
ii. The number and rate of high-consequence work-related injuries (excluding fatalities);
iii. The number and rate of recordable work-related injuries;
iv. The main types of work-related injury;
v. The number of hours worked.

b. For all workers who are not employees but whose work and/or workplace is controlled by the organization:
i. The number and rate of fatalities as a result of work-related injury;
ii. The number and rate of high-consequence work-related injuries (excluding fatalities);
iii. The number and rate of recordable work-related injuries;
iv. The main types of work-related injury;
v. The number of hours worked.

You will find the remaining numbers c-g of the indicator SRS 403-9 in the GRI standard and may additionally report them here.


Key Performance Indicator GRI SRS-403-10: Work-related ill health
The reporting organization shall report the following information:

a. For all employees:
i. The number of fatalities as a result of work-related ill health;
ii. The number of cases of recordable work-related ill health;
iii. The main types of work-related ill health.
b. For all workers who are not employees but whose work and/or workplace is controlled by the organization:
i. The number of fatalities as a result of work-related ill health;
ii. The number of cases of recordable work-related ill health;
iii. The main types of work-related ill health.

You will find the remaining numbers c-e of the indicator SRS 403-10 in the GRI standard and may additionally report them here.

Please use the following link for further information:  
 GRI 403-2

Key Performance Indicator GRI SRS-403-4: Worker participation on occupational health and safety
The reporting organization shall report the following information for employees and for workers who are not employees but whose work and/or workplace is controlled by the organization:

a. A description of the processes for worker participation and consultation in the development, implementation, and evaluation of the occupational health and safety management system, and for providing access to and communicating relevant information on occupational health and safety to workers.

b. Where formal joint management–worker health and safety committees exist, a description of their responsibilities, meeting frequency, decision-making authority, and whether and, if so, why any workers are not represented by these committees.

When it comes to health and safety issues, the ALDI North Group complies with the applicable legal regulations. Health and safety issues are not dealt with separately in formal agreements with trade unions.

Key Performance Indicator GRI SRS-404-1: Average hours of training
The reporting organization shall report the following information:

a. Average hours of training that the organization’s employees have undertaken during the reporting period, by:
i. gender;
ii. employee category.

Please use the following link for further information:  
 GRI 404-1

Key Performance Indicator GRI SRS-405-1: Diversity
The reporting organization shall report the following information:

a. Percentage of individuals within the organization’s governance bodies in each of the following diversity categories:
i. Gender;
ii. Age group: under 30 years old, 30-50 years old, over 50 years old;
iii. Other indicators of diversity where relevant (such as minority or vulnerable groups).

b. Percentage of employees per employee category in each of the following diversity categories:
i. Gender;
ii. Age group: under 30 years old, 30-50 years old, over 50 years old;
iii. Other indicators of diversity where relevant (such as minority or vulnerable groups).

Please use the following link for further information:  
 GRI 405-1

Key Performance Indicator GRI SRS-406-1: Incidents of discrimination
The reporting organization shall report the following information:

a. Total number of incidents of discrimination during the reporting period.

b. Status of the incidents and actions taken with reference to the following:
i. Incident reviewed by the organization;
ii. Remediation plans being implemented;
iii. Remediation plans that have been implemented, with results reviewed through routine internal management review processes;
iv. Incident no longer subject to action.

We reject any form of discrimination. In all countries, all employees have the same opportunities irrespective of gender, age, religion or belief, sexual identity, origin or physical disability.  

At present, no information on the total number of incidents of discrimination is available.  

Please use the following link for further information:

17. Human Rights

The company discloses what measures it takes, strategies it pursues and targets it sets for itself and for the supply chain for ensuring that human rights are respected globally and that forced and child labour as well as all forms of exploitation are prevented. Information should also be provided on the results of the measures and on any relevant risks.

Supply chain responsibility is a key field of action in our CR Policy. We formulate our requirements for the supply chain and products in our purchasing policies, among other documents.  

We require ourselves and our suppliers to comply with the amfori BSCI Code of Conduct. The Code of Conduct is based on numerous international agreements including the core conventions of the International Labour Organization (ILO) or the Universal Declaration of Human Rights by the United Nations (UN). This enshrines all eleven central employee rights, including the right to safety in the workplace and proper pay. It also excludes discrimination, child labour and forced labour. Compliance with the amfori BSCI Code of Conduct is monitored and evaluated by on-site inspections (audits). All production facilities that are commissioned by our suppliers must present a valid amfori BSCI audit or SA8000 certification.  

Our resource-specific purchasing policies, our social standards in the supply chain and further binding regulations apply to both new and existing suppliers alike. By using recognised external certification systems, we create the greatest possible transparency. Depending on the certification, the focal point may be reviewing and improving social practices or environmental components.  

Please use the following links for further information:

Key Performance Indicators to criteria 17

Key Performance Indicator GRI SRS-412-3: Investment agreements subject to human rights screenings
The reporting organization shall report the following information:

a. Total number and percentage of significant investment agreements and contracts that include human rights clauses or that underwent human rights screening.

b. The definition used for ‘significant investment agreements’.

Please use the following link for further information:  
 GRI 412-3

Key Performance Indicator GRI SRS-412-1: Operations subject to human rights reviews
The reporting organization shall report the following information:

a. Total number and percentage of operations that have been subject to human rights reviews or human rights impact assessments, by country.

The risk of human rights abuses in the ALDI North Group is mainly in the supply chain and less on our locations. For this reason, there is no separate audit or human impact assessment on the business locations.

See also previously criteria.

Key Performance Indicator GRI SRS-414-1: New suppliers subject to social screening
The reporting organization shall report the following information:

a. Percentage of new suppliers that were screened using social criteria.

Please use the following link for further information:  
 GIR 414-1

Key Performance Indicator GRI SRS-414-2: Social impacts in the supply chain
The reporting organization shall report the following information:

a. Number of suppliers assessed for social impacts.

b. Number of suppliers identified as having significant actual and potential negative social impacts.

c. Significant actual and potential negative social impacts identified in the supply chain.

d. Percentage of suppliers identified as having significant actual and potential negative social impacts with which improvements were agreed upon as a result of assessment.

e. Percentage of suppliers identified as having significant actual and potential negative social impacts with which relationships were terminated as a result of assessment, and why.

Please use the following link for further information:  
 GIR 414-2

18. Corporate Citizenship

The company discloses how it contributes to corporate citizenship in the regions in which it conducts its core business activities.

In all nine ALDI North Group countries, we work with national initiatives and organisations to support local and overarching projects. The focus is primarily on food and non-food donations. Beyond that, we sometimes provide support in the form of financial donations. Moreover, ALDI Nord Stiftungs GmbH pursues an international charitable mandate that is oriented towards a stipulated charter.

This commitment focuses on the following areas: As a retailer operating on the international stage with a complex value chain, our commitment extends to our products’ countries of origin. Since March 2017, for example, we have supported two coffee and cocoa production projects in Colombia and in west and central Africa. The support benefits farmers and producers in those regions, as well as their families, and contributes to greater sustainability in cultivation.

Food donations: current projects
As a retailer, we have a responsibility to avoid food waste. Efforts to address the issue combine waste management and social commitment. One aspect of our dedication to fighting food waste is to donate unsaleable food that is still edible.  

Please use the following links for further information:

Key Performance Indicators to criteria 18

Key Performance Indicator GRI SRS-201-1: Direct economic value generated and distributed
The reporting organization shall report the following information:

a. Direct economic value generated and distributed (EVG&D) on an accruals basis, including the basic components for the organization’s global operations as listed below. If data are presented on a cash basis, report the justification for this decision in addition to reporting the following basic components:
i. Direct economic value generated: revenues;
ii. Economic value distributed: operating costs, employee wages and benefits, payments to providers of capital, payments to government by country, and community investments;
iii. Economic value retained: ‘direct economic value generated’ less ‘economic value distributed’.

b. Where significant, report EVG&D separately at country, regional, or market levels, and the criteria used for defining significance.

We only report our net sales. A further breakdown is not planned for reasons of confidentiality. In addition, this indicator is not listed by us as a core reporting company.

19. Political Influence

All significant input relating to legislative procedures, all entries in lobby lists, all significant payments of membership fees, all contributions to governments as well as all donations to political parties and politicians should be disclosed by country in a differentiated way.

The business activities of the ALDI North Group are affected by a large number of legal regulations. Currently relevant regulations are assigned to the respective Key topics in the report.  

Please use the following link for further information:

ALDI North engages in dialogue both nationally and internationally with various organisations, initiatives and alliances. Our efforts differ in each case depending on the issue and range from mere membership to playing an active management role. Below is a list of the initiatives that we are involved in and the related obligations.  

Please use the following link for further information:
The extent to which industry associations and other initiatives exert political influence can be found in the respective task descriptions.

Key Performance Indicators to criteria 19

Key Performance Indicator GRI SRS-415-1: Political contributions
The reporting organization shall report the following information:

a. Total monetary value of financial and in-kind political contributions made directly and indirectly by the organization by country and recipient/beneficiary.

b. If applicable, how the monetary value of in-kind contributions was estimated.

No details. This indicator is not listed by us as a core reporting company.

20. Conduct that Complies with the Law and Policy

The company discloses which measures, standards, systems and processes are in place to prevent unlawful conduct and, in particular, corruption, how they are verified, which results have been achieved to date and where it sees there to be risks. The company depicts how corruption and other contraventions in the company are prevented and exposed and what sanctions are imposed.

We align our actions with our core values: simplicity, responsibility and reliability. These values also express the way the ALDI North Group sees and approaches compliance. Our mission statement “Simply ALDI” states, “We keep our word”. In line with our corporate image as real traders, all of our business decisions must always be driven by objective considerations. Our basis: the mission statement.  

ALDI North expects all employees and business partners to act with responsibility and reliability. Mandatory rules, policies and agreements must be observed, as also stated in the Compliance Goals document that all managers receive.  

The Compliance department is housed under ALDI Buying. It is assisted by the Compliance committee, which consists of representatives from all areas of activity and serves as the point of contact for information related to compliance matters.  

Our corporate mission statement and the compliance management system (CMS) provide ALDI North employees with clear guidelines for ensuring ethically unimpeachable conduct. The respective managers are responsible for making sure that the compliance rules are observed and for using appropriate controls specified in our CMS to check compliance with the rules.  

The General Terms and Conditions of Purchasing define clear rules that govern the relationship between suppliers and ALDI North. Anticompetitive conduct by suppliers and manufacturers is prohibited, and sanctions have been designated to punish any violations. The General Terms and Conditions of Purchasing also specify the compliance requirements for contractual partners. In addition, service providers must adhere to the Code of Conduct governing the observance of social standards for construction, works and services commissioned by the ALDI North Group.  

If there are reliable indications of a violation of these rules – whether by a supplier or an ALDI employee – the Compliance department and Compliance committee will assist in getting to the bottom of the incident through a thorough investigation of the matter. ALDI North takes a firm line on violations by suppliers or employees.  

The CMS, which serves as standard for the ALDI North Group, is designed to help employees live up to our ALDI North core values at all times. Above all else, the CMS aims to ensure and promote ALDI North’s long-term success, and to prevent any damage. The CMS is made available internationally to all ALDI companies. Country-specific adjustments are made in consultation with the respective responsible persons at the ALDI companies in the respective countries. Since late 2017, a compliance management tool (IT tool) has also been making it easier for the responsible managers of ALDI North companies in Germany to handle compliance risks, rules and measures. Plans are currently in the works to roll out this tool internationally.  

We perform various kinds of training to raise employees’ awareness of the importance of compliance. New employees receive training on the key policies of the ALDI North Group companies when they start work. In Germany, ALDI Buying employees in the Purchasing (including Quality Assurance), CR and Corporate Communication departments also regularly complete training, which covers topics such as antitrust law, unfair competition, protection of company and trade secrets, avoidance of corruption and the requirements of the Supply Chain Initiative (SCI). Training takes place at the ALDI North Group companies in the other countries as well. In early 2018, we held training sessions in Germany for some 700 managers of the individual regional companies where we addressed the CMS and the IT tool. The managers themselves are now able to train employees at the regional companies.  

Please use the following link for further information:

Key Performance Indicators to criteria 20

Key Performance Indicator GRI SRS-205-1: Operations assesed for risks related to corruption
The reporting organization shall report the following information:

a. Total number and percentage of operations assessed for risks related to corruption.

b. Significant risks related to corruption identified through the risk assessment.

Please use the following link for further information:  
 GRI 205-1

Key Performance Indicator GRI SRS-205-3: Incidents of corruption
Die berichtende Organisation muss über folgende Informationen berichten:

a. Total number and nature of confirmed incidents of corruption.

b. Total number of confirmed incidents in which employees were dismissed or disciplined for corruption.

c. Total number of confirmed incidents when contracts with business partners were terminated or not renewed due to violations related to corruption.

d. Public legal cases regarding corruption brought against the organization or its employees during the reporting period and the outcomes of such cases.

The ALDI North Group does not comment publicly on legal disputes – even completed ones.

Key Performance Indicator GRI SRS-419-1: Non-compliance with laws and regulations
The reporting organization shall report the following information:

a. Significant fines and non-monetary sanctions for non-compliance with laws and/or regulations in the social and economic area in terms of:
i. total monetary value of significant fines;
ii. total number of non-monetary sanctions;
iii. cases brought through dispute resolution mechanisms.

b. If the organization has not identified any non-compliance with laws and/or regulations, a brief statement of this fact is sufficient.

c. The context against which significant fines and non-monetary sanctions were incurred.

The ALDI North Group does not comment publicly on legal disputes – even completed ones.