maersk global labour relations framework...the maersk global labour relations framework is intended...

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Global Labour Relations Framework 2017

Maersk Global Labour Relations Framework

Introduction page 2

Compliance page 2

Four pillars for Global Labour Relations: 1. Global Labour Relations Vision & Strategy page 4 2. Maersk COMMIT Rule on Global Labour Relations page 11 3. Labour Relations Capabilities page 14 4. Data Driven Decision Making page 15

Contact information page 16

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Introduction

The Maersk Global Labour Relations Framework is intended to ensure that Maersk and all its

businesses can and will manage labour relations in the best possible way. A clear vision and strategy,

clear rules, availability of information and skills and clear procedures are necessary to achieve this

objective. That is precisely what the Framework intends to provide.

Managing labour relations remains a local responsibility because of specific local circumstances like

local legislation, regulations and customs. Nevertheless there is an ambition and a need for a shared

approach towards the way we want to treat our employees and their representatives. In all our

operations we want to provide the right working environment and good and fair labour conditions

for our employees. The creation of constructive & productive labour relations is part of this.

The four pillars of the Framework are:

1. Communicate and implement the Global Labour Relations Vision & Strategy

2. Comply with the Maersk COMMIT Rule on Global Labour Relations

3. Ensure proper level of knowledge & skills regarding labour relations

4. Data Driven Decision Making

Compliance

Compliance is the responsibility of the Managing Director of every company within Maersk where

Maersk holds a majority share or where Maersk has management control / operational control. The

Managing Director will execute this responsibility in cooperation with the HR Manager. Compliance

with the Framework will be monitored by Global Labour Relations.

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1. Communicate and implement the Global Labour Relations Vision & Strategy

What we ask every company to do:

General management and HR on company level are responsible for proper communication of the

Global Labour Relations Vision & Strategy within their organisation. Implementation means living the

Vision & Strategy on a day-to-day basis and complying with all elements of the Vision & Strategy.

Every company will develop a (local) Vision & Strategy on labour relations that will be shared with

Global Labour Relations, for approval.

2. Comply with the Maersk COMMIT Rule on Global Labour Relations


We ask every company to make sure that the basic minimum labour rights as described in the Maersk

COMMIT Rule on Global Labour Relations are observed and actively protected. Applying the 8

commitments of the COMMIT Rule in some cases means that we abstain from certain types of

behaviour. In other cases it means we have to take certain actions in order to ensure that we comply

with our commitments. Compliance with the Maersk COMMIT Rule on Global Labour Relations is

monitored by the Global Labour Relations Council.

3. Ensure proper level of knowledge & skills regarding labour relations


We ask every company to ensure that 100% of the target group in the company will complete the

online Global Labour Principles training. The completion rate of the Global Labour Principles training

is monitored on a continuous basis. Where this is considered useful or necessary, people in the

company who are involved in labour relations can take the Instructor-Led Maersk Training Labour

Relations & Negotiations. Global Labour Relations will determine – in consultation with every

company - which managers and other employees will be eligible to take this training.

4. Data Driven Decision Making


To send a copy of every new Collective Bargaining Agreement (CBA) or other important agreement

with employee representative bodies to Global Labour Relations. The Head of Global Labour

Relations must be informed in case of:

1. Expected or possible labour unrest that might affect the continuity of the business and/or the

service level to customers; 2. Slowdowns, work stoppages or strikes. The company is obliged to fill in

the ‘Reporting Form Labour Relations – Labour stoppages’ and send it to Global Labour Relations; 3.

Proposals for ‘new and different’ labour conditions that may have implications for other parts of the

business. Finally we ask all companies to inform Global Labour Relations in all (other) cases when this

can be regarded as ‘common sense’.

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1. Global Labour Relations Vision & Strategy

Our Vision on Global Labour Relations

Our employees are essential to the success of Maersk and we are committed to providing

good and fair labour conditions to all employees to ensure their welfare.

To achieve this we require constructive & productive working relationships that are valued

and treasured by all parties involved.

These working relationships must be created by highly engaged managers and employees,

respecting and trusting each other, working closely together to achieve our shared objective:

to serve our customers.

The vision as described above makes it clear that people and the relationships between them are

essential to the success of Maersk. The qualification ‘labour relations’ refers to people working

(‘labour’) and to the fact that they are working together (‘relations’). The success of the company

depends on the question how effective this cooperation is. The measure for success is the level of

motivation of both managers and employees and the satisfaction of our customers.

We believe that ‘working’ will be a positive experience when we do this together -as a team- towards

a shared goal –serving our customers- in a safe, healthy and secure environment and in an

atmosphere of mutual trust and respect and on the basis of good and fair labour conditions.

Constructive & productive relationships that are appreciated by all parties are not a given. Like any

other important part of our business, labour relations will have to be managed in a professional way.

We have developed a clear and simple strategy that will allow us to achieve that important goal.

Shared responsibilities in a changing world

The world around us and the company we work in are constantly changing. The Transport & Logistics

Industry is rapidly transforming and integrating and subject to processes like automation and digital

innovation. All parties involved in labour relations –management, employees and employee

representative bodies- share a common responsibility to be ready and prepared for dealing with

these changes.

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Local, regional and global

Labour relations and labour conditions are to a large extend ‘local’. Labour relations are long term

relationships. They are established gradually and are influenced by local rules and legislation and by

local culture and customs. And although globalisation does influence labour relations –see below-

we believe that this will not fundamentally change. This means that parties at local level are

responsible for their labour relations and for the creation and content of labour conditions, in

consultation with Global HR.

Besides local differences there are also regional differences. There are clear and distinct differences

between the characteristics of labour relations in e.g. Europe, the Anglo-Saxon parts of the world or

Asia. In our view there is no ‘superior’ system that we would like to apply globally. Every system has

its advantages and disadvantages. We do have an opportunity to learn from each other and to share

good practices.

Maersk is a large multinational company operating on a truly global scale. Labour relations are

managed locally, but all labour relations incidents can be global risks for Maersk.

Our people –both managers and employees- travel around the world and work in different places. We

regard certain fundamental aspects of labour relations -like leadership, respect, trust and openness-

as global. Across Maersk we have a shared approach towards the way we want to treat our employees

and their representatives. Our leaders manage our labour relations in a professional way, in all

business units and in all parts of the world. We respect certain internationally recognised fundamental

labour rights of employees and their representatives in all operations. We share an ambition to

establish labour relations based on trust and on open communication. We believe in creating

constructive and productive labour relations, anywhere in the world.

Definition ‘labour relations’ and ‘labour conditions’

In this document we use the term ‘labour relations’ and ‘labour conditions’.

We regard ‘labour relations’ as the relationship(s) between employer(s) and the employees and

their representatives both in unionised and non-unionised working environments. Employee

representative bodies can be trade unions, works councils, solidarity associations, etc. ‘Labour

conditions’ refers not only to the primary employment conditions, but to other employment- and

working conditions as well (including also for instance safety, health and security).

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Global labour relations strategy – 5 building blocks

The Maersk Global Labour Relations Strategy consists of 5 building blocks (boxes). See Figure 1.

I. Basis: Company Values

The company values are the source of inspiration for all our actions. We will create labour relations

that are in line with the Maersk company values.

II. Governance framework

We are committed to the UN Global Compact. We show our commitment by complying with our

Maersk COMMIT Rule on Global Labour Relations in all of our operations.

III. Supporting the business

Our labour relations and labour conditions will be supportive of our company strategy / business

priorities.

IV. Right working environment

Creating the right working environment is a pre-condition for constructive & productive labour

relations. We will pay special attention to the health, safety & security of people working in our

facilities, on our vessels, et cetera.

V. Constructive & productive labour relations

We will create constructive & productive labour relations, based on the right procedures, the right

information, the right skills and the right behaviour.

Global Labour Relations Strategy building blocks

Figure 1

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Box I: The Maersk company values are the basis

The company values are the source of inspiration for all our actions. We will create labour relations

that are in line with the Maersk company values.

The company values are:

Constant Care - We take care of today, actively prepare for tomorrow

Humbleness - Listen, learn, share, and give space to others

Uprightness - Our word is our bond

Our Employees - The right environment for the right people

Our Name - The sum of our values: passionately striving higher

We want our labour relations to be in line with our company values. This means that we must make

a clear and explicit connection between the values and our approach towards employees and their

representatives. We expect our managers to honour our company values. We ask employees and

their representatives to ‘play by the same rules’.

Box II: The governance framework

We are committed to the UN Global Compact. We show our commitment by complying with our

Maersk COMMIT Rule on Global Labour Relations in all of our operations.

Companies belonging to Maersk are part of the societies they are operating in. We are well aware of

the important role we play in these societies and we take responsibility for the social, economic and

environmental impact of our activities. For this reason we have committed ourselves to the United

Nations Global Compact. The UN Global Compact labour principles are part of our Maersk COMMIT

Rule on Global Labour Relations (see section 2). This Maersk COMMIT Rule is applicable in all of our

operations where we hold a majority share or have management control / operational control.

Every company has the responsibility for the communication and implementation of our Maersk

COMMIT Rule on Global Labour Relations and the management of all companies are accountable for

how this COMMIT Rule works in practice in accordance with our Maersk Governance Framework

COMMIT.

Box III: Supporting the business

Our labour relations and labour conditions will be supportive of our company strategy / business

priorities.

We regard this as a crucial requirement. Labour relations and labour conditions must be aligned with

our business interests. The political agenda of a third party –or other external influences- should

never become the ‘driver’ for our labour relations and labour conditions. We want to prevent that

labour could become an obstacle for our business instead of an important asset.

Our labour relations are aligned with and supportive of the present company strategy / business

priorities, including our HR strategic priorities. As strategy and priorities will change over time, we

must continuously make a clear and explicit connection between the current company strategy /

business priorities and our approach towards employees and their representatives.

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Box IV: Right working environment

Creating the right working environment is a pre-condition for constructive & productive labour

relations. We will pay special attention to the health, safety & security of people working in our

facilities, on our vessels, et cetera.

We must ensure that we create the right working environment as an essential pre-condition for

constructive & productive labour relations. This principle is also enshrined in one of our values: ‘our

employees: the right environment for the right people’.

The right working environment means inspirational leadership, strong organisational culture and

healthy, safe & secure working conditions.

Inspirational managers are managers that behave in such a way that they inspire and engage

their teams to perform well. They communicate well and they listen, value and involve their

teams.

Organisational culture is a system of shared values and beliefs about what is important, what

behaviours are appropriate, et cetera.

Health, safety & security will always be our first priority and must be a permanent focal point

in labour relations.

In order to create a safe, healthy and secure working environment we must ensure that there is

alignment between those involved in labour relations and those involved in health, safety & security.

In addition we must pursue the creation of agreements with trade unions, works councils and other

employee representative bodies that will improve health, safety & security conditions.

Box V: Constructive & productive labour relations

We will create constructive & productive labour relations, based on the right procedures, the right

information, the right skills and the right behaviour.

We will create constructive & productive labour relations. The direct relationship between managers

(at all levels) and the members of their teams is the ‘backbone’ of our company. See figure 2,

Employee Engagement Diagram. This relationship must be strong and depends on strong employee

communication and engagement.

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Company “Backbone” that needs

to be strong.

Two-way communication based on

a shared vision.

If the backbone is not strong other

Stakeholders, Unions or Works

Councils takeover the direction and

(part of) the power of the company.

Illustrated by the red lines.

Our employee engagement

strategy seeks to take control over

and strengthen our company

Backbone.

Other Stakeholders, Unions and/or

Works councils still have a role, this

is to represent the workforce in

matters relating to labour issues.

But NOT to be involved in how the

company is managed.

Figure 2

Employee Engagement Diagram

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We will also maintain positive relationships with the representatives of our employees. In order to

achieve this we apply the following guidelines:

A. The way we treat our employees and their representatives:

-We listen, learn, share and give space to others (humbleness, one of our core values)

-We respect our employees and their representatives and their basic rights as described in the Maersk COMMIT Rule on

Global Labour Relations

-We build relationships that are based on trust

-We take requests or proposals seriously

-We provide our employees and their representatives with insight into the business objectives, strategy and performance of

the company, including information about the (international) business environment we operate in

B. The way we negotiate:

-We negotiate on the basis of a ‘level playing field’

-We are as open and transparent as possible

-We provide adequate information in a timely manner

-We prepare ourselves for meetings and negotiations

-We explain our vision on labour relations & labour conditions and our decisions, actions and our expectations

-We stick to what we have promised and we implement what we have agreed

C. The way we serve the interests of the company:

-We always take into account the interests, objectives and (strategic) priorities of the company in our contacts with trade

unions, works councils and other employee representative bodies

-We negotiate labour conditions that are in line with the interests, objectives and priorities of the company

-We will not compromise on the competitive advantages of the company. Sometimes compromises cannot be avoided, but

there are a few things essential to the company that we will not compromise. In those cases it is better to have no agreement

than an agreement that will cause harm to the company

For the topics ‘right skills’ and ‘right information’ see section 3 (Labour Relations Capabilities) and

section 4 (Data Driven Decision Making).

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2. Maersk COMMIT Rule on Global Labour Relations Maersk is committed to provide good and fair labour conditions for its employees to ensure their welfare. This Maersk COMMIT Rule sets out the responsibilities in relation to implementing such conditions.

1. Purpose

Maersk’s employees are an essential ingredient to the success of the Maersk. Maersk is committed to

providing good and fair labour conditions to all employees to ensure their welfare.

To achieve this goal Maersk has formulated the following Commitment on Global Labour Relations,

which is in accordance with internationally recognised instruments and shall underpin Maersk’s

commitment to the UN Global Compact:

Health, Safety and Security

Maersk is committed to providing a safe and healthy working environment, minimising the risk of

accidents, personal injury and adverse health impacts, and to continuously improving health and

safety performance. Maersk will provide the facilities, training and protective equipment necessary to

ensure a safe workplace for all our employees. Maersk will facilitate reporting of unsafe acts without

fear of reprisal. Maersk is committed to ensuring the physical security of all its employees.

Equal Opportunity and Diversity

Maersk will treat every employee with respect and dignity and will not tolerate discrimination or

harassment of any kind. Employment-related decisions are based on a variety of relevant factors such

as qualifications, skills, performance and relevant experience.

Child Labour

Maersk will comply rigorously with all local laws and regulations and will in no event employ children

below the age of 15 years or below the age of 16 years for work at sea. Maersk will not permit

hazardous work or night work for children below the age of 18 years.

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Forced Labour

Maersk will not use any form of forced or involuntary labour, and refrains from practices that can give

rise to a risk of involuntary labour.

Freedom of Association and Collective Bargaining

Maersk respects its employees’ right to associate freely, form or join organisations of their choosing

and to bargain collectively in accordance with recognized international instruments, local laws and

regulations, in full freedom and without fear of reprisal, intimidation or harassment. Maersk also

recognizes its employees’ right to refrain from collective representation. Maersk is committed to

conducting collective bargaining with freely chosen employee representatives of a legally recognised

union.

Working Hours

Maersk is committed to assuring full compliance with applicable laws, regulations, and relevant

collective agreements concerning working hours and overtime, leave and minimum rest periods. It is

company policy not to make systematic use of extensive overtime work and any overtime hours will

be appropriately compensated according to individual terms of employment, applicable regulation

and relevant collective agreements.

Compensation

Maersk will provide its employees with compensation and employment-related benefits on a

competitive basis. Maersk recognizes that wages are essential to meeting employees’ basic needs and

will at least pay the minimum wage and mandated benefits required by local law.

Fair Procedures

Maersk is committed to upholding the privacy of our employees. Maersk undertakes to follow fair

disciplinary, grievance and dismissal procedures which are provided for by company policies and

collective bargaining agreements including, upon request, the provision of exit conversations for

employees leaving the company.

Further information about the Commitment on Global Labour Relations is available on Maersk’s

Sustainability’s Social Responsibility page. Local guidelines and procedures shall be sought at the local

Human Resources department.

2. Responsibilities

The Chief Human Resources Officer is responsible for monitoring the implementation of and

compliance with the Maersk’s Commitment on Global Labour Relations.

This is done via The Global Labour Relations Council whose members are appointed by the Chief

Human Resources Officer. The Global Labour Relations Council’s responsibilities include providing

status reports and/or audits and generating compliance and risk assessment materials on a Maersk-

level.

Heads of Business Units and the CEO of Maersk are responsible for implementation of and

compliance with the Maersk’s Commitment on Global Labour Relations within their respective areas

of responsibilities.

http://apmportal.apmoller.net/group%20functions/group%20communication/sustainability/csr/global%20labour%20principles/Pages/default.aspx

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3. Assurance

Assurance will be carried out in accordance with Assurance Level 1 as set out in the Maersk COMMIT

Rules Governance Framework (see section 3. Assurance).

4. Deviation Handling

Deviations from Maersk COMMIT Rules can be exceptions or breaches and shall be handled as set out

in the Maersk COMMIT Rules Governance Framework (see section 4. Deviation Handling).

http://team.apmoller.net/sites/commit/pages/webview.aspx?global%20labour%20relations

http://team.apmoller.net/sites/commit/pages/webview.aspx?global%20labour%20relations

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3. Labour Relations capabilities Every employee from Maersk involved in managing labour relations on a day-to-day basis or involved in negotiations with trade unions or other employee representatives, should have the necessary knowledge & skills.

First of all it is necessary to understand the content of the fundamental labour rights of our employees and their representatives.

Secondly it is necessary to have a basic understanding of the process of negotiations, both with regard to day-to-day labour situations and with regard to negotiations about collective bargaining agreements (CBA’s).

The following trainings / training-materials are available:

A. Global Labour Principles training - Parts 1 & 2:

These two training modules are focused on a better understanding of the global labour principles that are part of the Maersk COMMIT Rule on Global Labour Relations. The E-learning modules are part of MyLearning: https://maersk.csod.com/LMS/catalog/Welcome.aspx?tab_page_id=-67&tab_id=-1

B. Maersk Training Labour Relations & Negotiations:

This two day in company training deals with all aspects of labour relations and negotiations about labour conditions. It consists of an introduction to the role of labour in the company, the role of the different stakeholders, etc. There is a specific part that focusses on the day-to-day labour relations and a part that deals with the whole process of CBA-negotiations; from preparation to evaluation. Depending on the local context, special attention will be given to the difference between negotiations at company level and negotiations in the so called ‘multi-employer model’. In addition there are specific parts focusing on culture and on dealing with conflicts. The program is flexible and during the training the specific needs of the participants will be taken into account. Contact Global Labour Relations for information about this training (contact information on the last page of this document).

https://maersk.csod.com/LMS/catalog/Welcome.aspx?tab_page_id=-67&tab_id=-1

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4. Data Driven Decision Making (DDD) Effective decision making requires us to measure and manage what matters most. DDD provides a

structured approach that challenges intuition, assumptions and transforms a sea of data into

meaningful, relevant and trustworthy fact-based actions that will contribute to reaching our

common goal: manage our labour relations in the most professional way.

Global Labour Relations would like to collect the following data: 1. New CBA’s; 2. Proposals for new or changed labour conditions that may have implications for other parts of the Business; 3. Information about expected or possible labour unrest that might affect the continuity of the business and/or the service level to customers; 4. Information about slowdowns, work stoppages or strikes. Local entities are obliged to fill in the ‘Reporting Form Labour Relations – Labour stoppages’ and send it to Global Labour Relations; Finally we ask all companies to inform Global Labour Relations in all (other) cases when this can be regarded as ‘common sense’.

Use of collected data:

-Sharing information: sharing information and experiences regarding labour relations and labour issues is crucial for our business. An important development in one company is likely to influence other companies within Maersk Transport & Logistics. Sharing information is necessary if we want to learn from each other. -Checking compliance: availability of information is necessary to be able to determine where we run risks of non-compliance with international labour standards, company policies, etc. It will also help us preventing or limiting possible adverse impacts of labour issues on our business. -Reporting: in order to meet with our reporting-obligations on e.g. sustainability, we must collect specific data regarding labour. -Benchmark: With all the available data from all entities we will be able to benchmark and to apply best practices.

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Contact information

Maersk Transport & Logistics

Global Labour Relations

Global Human Resources

Turfmarkt 107

2511 DP The Hague, The Netherlands

T: +31-70-304-4145 or +31-70-308-1472

E: [email protected] or [email protected]

mailto:[email protected]

mailto:[email protected]

maersk global labour relations framework...the maersk global labour relations framework is intended...

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