Employee welfare

CNH Industrial considers its people to be its most valuable asset. Besides fostering professionalism, offering opportunities for growth without discrimination, and ensuring a safe working environment, the Company promotes various initiatives aimed at striking a healthy balance between professional and private life and at optimizing employee welfare. The Company believes that enhancing employee wellbeing is essential to improving satisfaction at work, over and above wages and the requirements of local legislation.

CNH Industrial looks after the welfare of its employees through a two-fold approach: the first tackles worklife balance, by enabling flexible working arrangements using tools such as teleworking, schedule flexibility, and parental leave, which afford employees time to enjoy important life moments; the second focuses on wellbeing, by facilitating employee access to initiatives that improve the daily quality of life, such as health and wellness, recreational and sports events.

MANAGEMENT SYSTEM

As part of its Code of Conduct, CNH Industrial recognizes that motivated and highly professional people are an essential factor in maintaining competitiveness, creating value for stakeholders, and ensuring customer satisfaction. The principles outlined in CNH Industrial’s Code of Conduct, in compliance with the UN Declaration of Human Rights and the relevant ILO Conventions, confirm the importance of respect for the individual, ensure equality of treatment, and exclude any form of discrimination. On a global level, the relationship between CNH Industrial and its employees is governed by the Chief Human Resources Officer, while on a regional level, appointed heads of HR for the APAC, EMEA, LATAM and NAFTA Regions are responsible for implementing the Company’s polices in line with local norms and regulations. To ensure the keeping of uniform high ethical standards, CNH Industrial’s Code of Conduct states that in jurisdictions where laws and regulations are more lenient than the provisions of the Code of Conduct (and of CNH Industrial Guidelines), the Code shall supersede.

WORK-LIFE BALANCE

CNH Industrial believes that work-life balance is an integral part of employee satisfaction, productivity, and efficiency. Through its policies, such as those related to flexible working and parental leave, the Company seeks to create an atmosphere that allows its employees the time to manage the demands of both their professional and private lives.

In order to promote respect for all employees as individuals, CNH Industrial also offers many services to support its employees in their daily lives, such as daycare options or other time and money-saving initiatives.

Flexible working Flexibility in working hours allows employees to balance their time when needs arise, such as those related to child or eldercare or other personal needs. CNH Industrial offers flexible working hours according to the customs and regulations in place in the Regions in which it operates. In Australia, France, Austria, and Switzerland, for example, CNH Industrial offers days and sick leave beyond that which is legally mandated.

In the LATAM region, overtime hours are rigorously controlled and employees also benefit from flexible working policies, in accordance with local laws, and compensation hours for holidays. In the USA, regulations are in place to allow employees to work from home when necessary, while in Russia employees are permitted to work from home once a week, as agreed upon with their managers. Remote working stations are in place in China to assist field service engineers, and joint ventures support staff.

In 2013, CNH Industrial carried out a survey on the flexible working arrangements offered to its employees, focusing on flexible working hours, parental leave, and other forms of leave. The results provided a wide range of information, helping to identify appropriate action for improving employee work-life balance. Flexible arrangements, along with tools to reconcile work needs with the responsibilities of family life, enable a positive working environment, to be established and maintained for all employees within the Company. The survey revealed that more than 79% of the employees surveyed1 took advantage of flextime, and that NAFTA and LATAM, at 100% and 93% respectively, are the areas where this system is most applied.

The survey also showed that, between January and October 2013, 6% of employees took a leave of more than three days for the care of family members, for personal treatment and care (excluding all forms of compulsory leave for illness), and for study and sabbatical leave; 4.4% of these types of leave, which are defined by Company policy or agreements with trade unions or employee representatives, exceeded the provisions set by law, and 18% of them were granted to female employees. The type of leave most taken by employees was family-related (nearly 73% of the total), with 20% of this taken by female workers. Study leave comprised more than 18% of the total, 92% of which was taken by male workers, while leave taken for personal treatment and care amounted to approximately 8% of the total, 31% of which was taken by women. Sabbatical leave in 2013 was negligible. These benefits are part of a corporate philosophy that aims to achieve a healthier, more motivated and sustainable workforce that actively par ticipates in the Company’s success.

Teleworking

Achieving the optimum balance between work and private life is essential to ensuring employees are effective, productive, and satisfied in all dimensions of their lives. CNH Industrial is committed to addressing this challenge in partnership with its employees, striving to improve this balance while continuing to deliver excellent performance at work. To help its personnel achieve the right balance between their professional and private lives, the Company launched the teleworking pilot project in September 2012, allowing employees at one of its site in Turin (Italy) with specific personal and private needs to work from home. Indeed, modern ICT systems allow these employees to work in a way that is both flexible and compatible with the nature of their jobs. In 2013, eight employees benefited from this service. The agreement on this issue, stipulated in 2012 with the works council, was extended until the end of July 2014.

Return to work after parental leave

The equal opportunities CNH Industrial offers in terms of maternity, paternity, and adoption is evidence of its commitment to encouraging both female and male employees to balance parental responsibilities with their careers. The Company grants parental leaves to all its employees in compliance with local regulations (labor law requirements may vary from country to country). During the year, 2,013 employees1, approximately 3% of Company personnel, took maternity, paternity, parental, adoption or breastfeeding leave.

In total, 71.5% of overall leave was in EMEA, 21.1% in LATAM, 4.8% in APAC, and 2.6% in NAFTA. In terms of gender, 62% of overall leave was taken by male workers. Paternity leave accounts for approximately 58% of the total, maternity leave 29%, while breastfeeding accounts for 13%. The percentage of leave for adoption is negligible. Over the total workforce, parental leave was most frequent in LATAM (3%) and EMEA (3%).

In October 2013, another survey was conducted on the percentage of employees, by gender, who had returned to work after parental leave. The survey was carried out in Italy, Belgium, Spain, and Poland. The results showed that in these countries, which represent 38% of the Company’s employees, 60% of those who took parental leave were male, 4% of whom were still on leave as of 31 October, compared with 12% of female employees still on leave at the same date. A total of 100% of men and 98% of women returned to work after taking parental leave, and 99% of men and 94% of women surveyed were still Company employees 12 months later.

Childcare services

Balancing work and childcare is a challenge that many of CNH Industrial’s employees face, particularly those with young children.

In order to assist employees in better managing their time and resources, CNH Industrial collaborates with daycare centers in several of the locations in which it operates. In Turin (Italy), the Mirafiori Baby nursery was created in 2007 to assist parents with children aged three months to three years. In Venissieux (France), for the past five years, CNH Industrial has teamed up with other local companies to make three daycare centers available to be shared among their employees. In 2014, CNH Industrial plans to establish daycare options for children under the age of three in the city of Sankt Valentin (Austria), near its offices.

Alternatively, CNH Industrial also offers direct childcare assistance to parents with young children, allowing employees to select their best daycare option. In Spain, 560 employees and a total of 590 children benefited from direct funds provided by the Company to parents with children under three years of age, to be used towards daycare centers of their choice. School kits are provided to children of employees aged 6 to 12 through a special program in place at the Sete Lagoas plant in Brazil. In Argentina, school kits from the Company benefited the children of 470 employees.

Time and money-saving services

To assist employees in maximizing time and money throughout the work day, CNH Industrial offers a variety of courtesy services at its sites.

At several of its locations, such as in Brazil, China, Italy, the USA, and Australia, CNH Industrial continues to offer on-site cafeterias or other forms of meal services for its employees. In Australia, the cafeteria service was renewed in 2013. Other services, like on-site dry cleaning drop-off and pick-up, are available at plants in Italy and the USA. At three facilities in Italy, employees are able to renew their drivers’ licenses at work.

Furthermore, in select Regions, CNH Industrial eases employees’ commute to work by offering bus services or memberships in carpooling programs (see also pages 64-65).

Volunteering during working hours

CNH Industrial supports corporate volunteer programs in the various Regions in which it is present and, in 2013, organized several campaigns to encourage volunteering among employees.

In Brazil, Children’s Day celebrations were organized in conjunction with employees from plants in Curitiba, Sorocaba, and Piracicaba to benefit children in need. Activities ranged from a performance put on by employees, to an arranged lunch and other recreational activities. In 2013, a total of 300 children benefited from the events that took place in the three cities. Other employee volunteer efforts in local communities included the Warm Clothing campaign in Argentina, with employee donations benefiting 1,900 people, and the Programa Formare, a training program encouraging employees to share their knowledge with local youth (see also page 91).

During regular work days, CNH Industrial provides a variety of volunteer opportunities for employees.

In Curitiba (Brazil), a pilot project in 2012 offered employees the chance to meet during work hours to organize volunteer initiatives. Support for the program continued in 2013, and in 2014 the initiative will be extended to other plants in the Region. In the NAFTA Region, the Company organizes games and lively fundraising activities at its sites in favor of the Relay for Life and United Way charitable campaigns (see also page 85). In addition, during the annual Habitat for Humanity initiative in the USA, employees were able to spend several hours of their work day building houses for the homeless (see also page 84). In several Regions, CNH Industrial also offers employees the opportunity to participate in blood drives while at work. In Italy, more than 30,000 hours were dedicated to blood drives, resulting in the donation of more than 3,800 cases of blood.

QUALITY OF LIFE BENEFITS

As part of its commitment to promote respect for all employees as individuals, CNH Industrial also invests in initiatives aimed at helping its employees to live better. These quality of life benefits, which have been in place for several years, vary from supplemental health insurance and campaigns encouraging wellness and physical activity, to programs awarding scholastic excellence for children of employees.

Social health care services

Nearly all CNH Industrial companies participate in supplemental health care plans, which in most cases are insurance-based. Levels of coverage vary from country to country depending on the public health care system, tax and regulatory restrictions, and local market conditions. In Brazil, for example, €9 million was invested in health insurance for employees and their families; 90% of the amount spent on health services was covered by CNH Industrial.

 In Italy, in addition to the services provided by the national health system, all CNH Industrial employees and their family members have access to supplemental health care plans: FASIF for hourly, salaried, and professional employees and FISDAF for managers. The two plans were developed in agreement with trade unions, and cover a total of approximately ten thousand Company employees not including their family members. Two- thirds of expenses covered by the FASIF plan are funded by CNH Industrial and the remaining third by the employee. Hourly and salaried employees also pay the same amount for any family members enrolled. If an employee uses public facilities, the plan reimburses any expenses not covered by the national health system. On the other hand, if an employee uses private facilities, the plan provides high cover ceilings, with full payment of expenses incurred at approved health care facilities, and partial reimbursement of specific expenses incurred at other non-approved medical practices and facilities. Prevention programs with regular check-ups and a maternity package are provided as well.

 In 2013, the healthcare plans in Italy provided services to more than ten thousand employees plus their family members: FASIF to 6,700 hourly and salaried employees and around 3,300 professionals, and FISDAF to more than 400 managers. FASIF came into effect on 1 January 2013 as the combination of the two previous plans: FASIFIAT for hourly and salaried employees and FASIQ for professionals.

In addition to guaranteeing the continuity of the two previous healthcare plans in favor of the ten thousand who enrolled voluntarily, FASIF aims to provide all CNH Industrial hourly, salaried, and professional employees in Italy with check-ups and Long Term Care paid exclusively by the Company.

Health and wellbeing

Overall health and wellbeing are critical parts of a functioning workplace. To encourage wellness among its employees, CNH Industrial organizes several different programs in the various locations in which the Company is present.

Health and wellbeingIn North America, since 2008, CNH Industrial has run the Picture of Health program, promoting a series of activities (physical exercise, nutritional education, etc.) aimed at reducing health risks such as high cholesterol, high blood pressure, stress, and low physical activity. Since its inception, the program has sought to increase awareness of personal health issues among employees, encouraging behavioral changes to improve their health.

The program is deliveredthrough regular communications to employees about health, annual biomedical screenings at plants, the Walk this Way physical fitness program, health coaching, and a financial incentive for employees who succeed at improving or maintaining good health results on a yearly basis.

The program has been a success, with overall health risks of the cohort group decreasing by 23.6% since its inception. The overall wellness score for participants has increased by 12% since the start of the program, and 85.3% of the population has participated in at least one wellness activity. The relaunch of the Picture of Health program scheduled for 2014/2015 will focus on improving participation, and particularly on reducing the health risks posed by obesity.

Health and wellbeing

Health screenings are also in place in the APAC Region, where a Bone Density Camp, held in India for employees over the age of 40, reached 123 people. Health check-ups have been taking place at the Company’s New Holland plant in Greater Noida (India) for the last 15 years; in 2013, 469 hourly employees received vision, color blindness, pulmonary lung function, and audiometric tests. 

 

healthIn the LATAM Region, the Company organizes the yearly Quality of Life program, which aims to spread awareness among employees about health and wellness through a series of 12 campaigns focusing on a variety of topics such as breast cancer and cardiovascular diseases and hepatitis prevention. A special Quality of Life week is also held, during which employees can enjoy several wellness activities, including massages and relaxation exercises, and cultural presentations and shows. The program has been in place for seven years in Brazil and five years in Venezuela; in 2013, it reached a total of approximately 7,000 employees. In Curitiba (Brazil), the Bem Nascer program provides information and care to employees who are mothers-to-be. The program, which also serves contract workers and other members of the community, assisted 128 pregnant women in 2013. Throughout the year, the Company also supported efforts aimed at preventing specific diseases and health issues.

With regard to the prevention of cardiovascular diseases, in 2013, the HealthFactory campaign continued in the EMEA Region. Totally free of charge, this project was designed to raise awareness among employees to promote the prevention of medical conditions, particularly cardiovascular diseases. health

At the plant in Bolzano (Italy), in partnership with Santa Maria private hospital, HealthFactory permitted 40% of plant employees to undergo cardiovascular screening. The initiative continues the work of the CardioFactory project, which was launched in 2010 at the Italian plants in Brescia, Suzzara and Turin, and at the French plant in Rorthais, involving more than 7,600 employees to date.

Seasonal flu prevention campaigns were organized at plants worldwide, adver tised through posters and information on corporate bulletin boards and the intranet. The initiative, offering workers voluntary vaccinations, led to the administration of 5,900 vaccines. Meanwhile, HIV and AIDS campaigns continued in the LATAM Region against the spread of sexually transmitted infectious diseases, involving 1,000 employees.

CNH Industrial also contributed to the fight against tobacco use by launching several anti-smoking projects in 2013. In EMEA, the Suzzara plant (Italy) completed the Smoking Cessation pilot project, executed according to criteria approved by the ISS (Italy’s National Institute of Health) and the Italian Society of Tobaccology.

The first phase of the project focused on identifying different types of smokers through a questionnairedistributed to all employees, who then attended individual or group meetings held to encourage cessation and strengthen personal motivation. During the year, the project was extended to the plants in Brescia and Piacenza (Italy), where it will continue in 2014. At the plant in Modena (Italy), an initiative organized by the ASL (local health authority), the city’s general hospital, and other local organizations, continued for the third year running, consisting of a competition for smokers in Modena, challenging them to quit smoking for at least four weeks. Another project, called Liberi dal fumo (Smoke free), was launched at the Driveline plant in Turin (Italy) to motivate people to quit smoking, offering employees direct assistance in reaching this goal. The Anti-Smoking Center of San Giovanni Bosco Hospital in Turin took charge of the project’s practical aspects, with the operational support of the plant’s management. A total of 55% of smokers joined the initiative, expressing their intention to quit smoking. After the completion of the Stop Smoking Program, efforts continued across plants in LATAM through an information campaign on the harm caused by tobacco, which reached about 1,000 people. The No Smoking campaign will be extended to other plants in 2014, following the World Health Organization’s guidelines on the risks posed by smoking.

GROWING FOCUS ON HEALTHY EATING
The focus on the role of healthy eating habits in wellness programs has grown in past years. To encourage employees to incorporate this important concept into their daily lives, CNH Industrial has engaged in several initiatives. In Australia, the Company makes eating healthy easier by providing free fruit on certain days of the week. In 2013, the Eating Safe Project, aimed at teaching employees about reducing fat and calories in food, was piloted in Austria reaching 550 people. Likewise, in Italy, an educational campaign for employees called Al Lavoro, Non Divoro (At work, I don’t devour) was launched to spread awareness about the correct daily nutritional balance. In conjunction with local food providers, sites in Switzerland, Germany, the UK, and the USA have made a commitment to encouraging good nutrition by making low cost healthy options available to employees at lunchtime.

Educational awards

The Company recognizes the academic excellence of its employees’ children through several grants and scholarship programs at both the corporate and regional level.

The largest and most significant of these is the Company’s Student Achievement Awards, which started in 1996 under the Fiat Awards name, and was re-launched in 2013, with the merger.

This program honors the children of employees for their academic excellence and is open to students with a high-school or university diploma or a university degree. The Awards policy is overseen by the Grants & Scholarship Committee, which implements this policy through regional committees that have contacts in all countries involved. In 2013, the Committee was headed by John Elkann, and its members included CNH Industrial’s Chief Human Resources Officer, academics, and researchers. The initiative covers all countries where the Company has a significant presence, and reflects its commitment to promoting growth and development oppor tunities for young talent in an increasingly globalized marketplace. The Awards policy was reviewed in 2013, and the decision was made to better align the program period with the respective academic calendars. As a result, awards for both 2012 and 2013 winners will be delivered in 2014.

On a regional level, CNH Industrial supports the Niños de Mejor Promedio program in Mexico, which awards the children of employees for excellent school performance. The main purpose of this award is to motivate children to develop positive work ethics and habits. For this event, 320 kids with final grades between 9 and 10 were awarded with gift packages consisting of an artisanal moneybox made by Manos Capaces, an association of workers with disabilities, an electronic card worth €23 good at a local bookstore, and a congratulatory letter signed by the General Director of CNH Industrial Mexico.

A program has also been in place in India for six years to honor the children of employees. In 2013, 21 children were recognized with Special Talent scholarships at a dedicated event.

Recreation and sport

As part of its commitment to wellness, CNH Industrial supports a culture of physical fitness and teamwork.

The Company offers its employees a variety of opportunities to participate in recreational sports. A number of plants worldwide have provided on-site fitness equipment and classes where employees can exercise (Austria (Sankt Valentin), France (Trappes), Switzerland (Lugano), UK, and USA). In addition, the Company works with local fitness clubs to provide employees with discounted memberships.

Sports activities also provide a great opportunity for employees to interact. Since 2010, CNH Industrial has supported the participation of its employees in a variety of foot races, including the Chase Corporate Challenge in the USA and Australia, and the Querétaro Maratón 2013 in Mexico.

In Brazil, a Sports Day is organized yearly for 6,800 employees and their families, offering anything from volleyball to training facilities, gymnastics, dancing, and activities for children. In 2013, for the seventh year running, a (walking) tour was organized in Contagem to visit a museum and a park.

 

 

(1) The Kirkpatrick scale is a methodology for evaluating training courses consisting in different levels of measurement, applicable to any organization.

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