Employee Experience 2021 Activity
|GRI Indicators covered in this section:|
|401-1, 403-1, 404-1, 405-1, 406-1|
|407-1, 410-1, 415-1, 419-1|
|SDGs covered in this section:|
|3.3, 3.5, 3.7, 3.8|
|4.3, 4.4, 4.5|
|8.2, 8.5, 8.6, 8.8|
Every Dufry employee is an ambassador of the company. Whether in stores, offices or warehouses, all members of our staff contribute with their day-to-day work to shape the company and evolve our brand. Dufry places high importance in building a great and unique place of work for its staff, ensuring it delivers the best in terms of fair and equal working conditions, healthy and safe working environments, attractive salaries, promotion and retention strategies, avant-garde training programs and anything that contributes to generate high engagement levels amongst our staff.
Building on our core brand values – Global, Focus, Delivery and Solid – Dufry has developed a number of policies and procedures that ensure a consistent experience across the 66 countries in which it operates, and which represent the foundation of the future of Dufry. The Business Operating Model (BOM) serving to standardize processes and procedures, and ONEDUFRY, harmonizing values and principles as well as streamlining the cultural integration of the Group, have fostered the setup of a true global company with the highest employee standards.
Number of headcounts increased
Dufry had 19,946 people (FTE) working for the Group at December 31, 2021, compared to 17,795 at year-end 2020. The increase in the number of headcounts responds to the progressive re-incorporation of staff members on furlough, as well as new hires in line with travel restrictions being lifted and accompanying the gradual recovery of travel. Whilst at the end of 2021 Dufry had reopened 80 % stores representing 88 % of global sales capacity, the full re-incorporation of furloughed staff will proceed in line with the recovery of passenger traffic.
|HQ & Distribution Centres||Europe, Middle East & Africa||Asia Pacific||The Americas||Total|
Across the 66 countries where the company is present, Dufry generates an additional contribution to the wealth of local communities and society by offering working opportunities to third party employees and the respective generation of additional salaries and tax payments. In this context, our 2,300 plus stores are not just sales locations for our brand partners to sell their products, but also labor opportunities for over 2,200 people that work in our stores representing these brands and other service providers. From beauty advisors to IT developers, they all contribute to create a world-class shopping experience and benefit from accessing a dynamic market and unique working opportunities.
Evolution of Diversity & Inclusion
Developing a diversified workforce is a core value for Dufry and something that our company is very passionate about. Unlike traditional retailing, our industry operates in multinational and multicultural environments. Being present in 66 countries, Dufry engages on a daily basis with customers, suppliers and colleagues from more than 150 different nationalities. To succeed in this industry, it is paramount to understand cultural differences as a way of engaging and better serving our customers.
Diversity is an essential asset to – and integral part of – our company and Dufry promotes an inclusive corporate culture that understands and celebrates diversity in all its forms, be it in gender, age, race, ethnicity, culture, beliefs or creed. Our workforce comprises colleagues from more than 144 nationalities across all functions and levels of the organization. This has been a consistent situation for many years and we continue to believe that this broad cultural diversity represents a unique competitive advantage. We also view it as a key element in the successful development of our Group and in the implementation of our long-term growth strategy.
The staff in Dufry’s shops in each country are predominantly local. Our presence in 66 countries around the world makes us an important employer in many locations, with many of our operations being located in emerging markets and offering interesting career opportunities. This, in addition to bringing expertise and experience on how to operate an international business, contributes to local development and wealth.
D&I VISION STATEMENT
Our Customers are on a journey – so are we
- Dufry is committed to building an inclusive and culturally sensitive workplace for everyone, in which all our people recognize that their unique characteristics, skills and experience are respected and valued.
- Dufry employs great people from a wide variety of backgrounds and with a broad range of skills and experiences to best serve our customers and build a better and stronger company for all our stakeholders.
- Dufry recruits, rewards and promotes people based on capability and performance – regardless of gender, national origin, ethnicity, lifestyle, age, beliefs, or physical ability.
Appointment of Chief Diversity & Inclusion Officer
In 2021, Dufry appointed a Chief Diversity & Inclusion (D&I) Officer, who is also a member of the Global Executive Committee, reporting to the Group's CEO. In her role, the Chief D&I Officer will foster and further develop the group-wide implementation of the Dufry Diversity & Inclusion (D&I) Strategy. The mission of Dufry's D&I initiative is identifying, understanding and eliminating barriers to ensure we deliver a consistent and truly diverse workplace for all our employees. The scope of the D&I initiative includes recruitment practices, career roadmap & development, succession planning, compensation & benefits, work-life balance and organizational culture as well as raising employee awareness about D&I topics. The role of the Chief D&I Officer broadens the scope of existing diversity promotion forums – such as women@dufry or the Hudson Diversity & Inclusion Taskforce – to cover additional diversity and inclusion matters other than gender equality.
Diversity & Inclusion Survey
In the fourth quarter 2021, Dufry conducted a D&I survey, reaching over 70% of Dufry´s headcount, that served to better understand the perception of D&I amongst the group employees. This valuable input will serve Dufry to further evolve in being more inclusive and equal for all by identifying opportunities and develop targeted initiatives.
Updated Human Resources policy creating a great place to work
Making Dufry the place where our employees want to continue working involves investing time and resources to continuously assess and identify opportunities where Dufry can improve its culture, thus contributing to retaining talent and helping staff achieve their highest potential. Dufry is working relentlessly towards providing the best working conditions for our staff and gathering their feedback with regular employee surveys (more information below). During 2021, Dufry has updated its HR Policy, which is now publicly available in the group's website. This Policy describes the common base, principles and guidelines, which, in terms of human resources management, are applicable to the whole Group. The policy, which has been shared and trained with employees, covers diverse topics, including:
- Selection and hiring
- Equality, Diversity and Respect for Human Rights
- Working Conditions and Labor Relations
- Health & Safety
- Remuneration and Working Time
- Career Development and Advancement
- Succession planning.
Compensation and benefits
Dufry offers its employees competitive salaries and incentives as a way of attracting and retaining talented staff. Dufry´s standard compensation includes a fixed and a variable performance-based compensation that rewards the individual efforts of staff members. Variable pay is linked to individual and company objectives.
We regularly review and discuss professional development with employees and link their performance to incentives. Performance reviews are an important aspect to a long-term, successful employer-employee relationship. Therefore, it is important for us to build a constructive dialogue between each individual employee and manager regarding goals, priorities and personal development. All our staff members receive an annual performance review aimed at evaluating their performance and identifying further personal development potential for next career steps.
Our staff also enjoy additional benefits that vary from one location to another, and include medical insurance or transport allowances. In this regard, during 2021 Dufry continued with the roll-out of Emporium - a web-based shop with thousands of products from Dufry's core product categories, as well as exclusive campaigns from luxury brands at retail-discounted prices. This benefit is exclusive to staff members (Dufry and Airport Community) and includes a Friends & Family program. By the end of 2021, Emporium was available in 10 countries, including Dufry’s main locations by headcounts – UK, US, Canada, Spain, Switzerland, Greece, Brazil, Mexico and Hong Kong & Macau. The company will continue with the rollout of Emporium throughout 2022.
As indicated in our HR Policy and in the Dufry Code of Conduct, Dufry offers and promotes working environments where everyone receives equal treatment, regardless of gender, color, ethnicity or national origins, disability, age, marital status, sexual orientation or religion. In addition, we adhere to local legislation and regulations in all the countries in which we operate. Any form of child labor or forced labor is strictly forbidden and clear recruitment procedures and regular workplace controls ensure that this never happens at any location.
Anti-discrimination, diversity and ensuring equal opportunities are and have always been important social and corporate issues for Dufry across all locations, especially (but not exclusively) in developing countries. Many locations in which the Group operates still pose challenges to the guaranteeing of equality. We monitor these countries closely to ensure we provide equal opportunities to all our staff. As explained further below, the company has in place whistleblower mechanisms to denounce discrimination cases if they happen.
We provide our employees with fair and competitive wages based on each individual’s background and experience, their particular job within our organization, the appropriate market benchmark in the respective countries and locations, as well as her/his performance. The remuneration structure of our employees is assessed on a regular basis to make sure there is no discrimination related to any kind of diversity.
Equal salary certification in Switzerland
Dufry became equal salary certified in Switzerland at the beginning of 2019 and has been re-certified again in 2021. This certification underscores the commitment to a fair and unbiased reward structure, which enables employees to develop and thrive in their careers. The certification process took place in three stages through statistical evaluation, on-site audits and interviews with individuals and panel groups. All phases of the certification and re-certification processes were performed at the Basel Headquarters and the Zurich airport operation and gave proof on how management systems, HR policies and processes integrate the dimensions of equal remuneration.
Health & safety
Workplace safety is a priority and an essential commitment for the company in our stores, offices and warehouses. As indicated in the HR Policy, the company ensures that all activities are carried out safely by taking all possible measures to eliminate (or at least reduce) the risks to health, safety and welfare of employees, contractors, customers, visitors and any other person who can be impacted by our operations. The majority of our workforce operates in airports, seaports, cruise ships and similar environments. As a basic pre-requisite employees have to comply and follow the respective airport’s, seaport’s or vessel’s safety rules as these environments are highly regulated. On top of this, Dufry has specific health & safety regulations for its employees, including internal policies and guidelines – both global and local – which may go beyond the legal health and safety requirements.
Dufry generally strives to achieve high occupational health & safety standards and actively encourages compliance across the whole Group. As a result, Dufry has a number of different Health & Safety regulations and procedures throughout the organization (for specific Covid-19 related initiatives see the separate paragraph below). Regardless of the specific requirements of each local legislation, there are certain principles that all these procedures adhere to, including:
- Compliance with current labor legislation on health and safety
- Reduce working-related accidents, implementing the necessary occupational risk prevention plans in its work centers, to achieve an effective identification of risks and to avoid them
- Promotion of a preventive culture, training employees to achieve the best safety standards
- Having due diligence in the coordination of activities and prevention measures with contractors, suppliers, or any third party that performs activities or is present in Dufry's work centers
- Continuous improvement, establishing objectives and goals for improvement, systematically taking into account the requirements of stakeholders, continuously assessing performance, applying the necessary corrections to achieve the proposed goals and establishing verification, auditing, and control processes to ensure that objectives are met.
Management of occupational health and safety management processes change from one location to another, with a number of common guidelines that apply to all our operations, including the following:
- Dufry operations provide topical information such as health and safety initiatives to employees, including workers who are not members of our staff but work on our premises
- Health and safety activities are regularly reviewed to ensure issues are effectively managed and improvements are made where necessary. In some of our locations, reviews include employee representation consultations (where appropriate)
- Responsibility for the governance and review of health and safety sits with local operations and HR teams
- At airport and seaport environments, close collaboration with landlord teams is maintained to ensure compliance with their own H&S regulations and management process.
The outbreak of COVID-19 posed an additional health and safety risk for Dufry, as well as for the whole retail industry. In response to this challenge, Dufry developed a global coronavirus in-store Health & Safety Protocol, which provides guidelines and recommendations to protect the health and safety of employees and their families, as well as customers, business partners and other stakeholders. This protocol establishes the main guidelines and allows flexibility to adapt them on a location-by- location basis to adhere to the landlord´s and local authorities´ requests. Similar protocols were developed and deployed across all Dufry offices and warehouses. Across all locations, the company also guarantees the provision of signaling elements and protective elements – such as facemasks and sanitizing gels – as requested by local health and safety protocols.
Promoting a healthy working environment
Ensuring a safe workplace is a duty of all members of our staff. Whilst the joint work of local Health & Safety Committees and HR teams is crucial in identifying potential risks and hazards, workers are also encouraged to report to these teams any work-related hazards or hazardous situations. The same process is used for workers to remove themselves from work situations that they believe could cause injury or ill health. Work-related incidents are investigated and reported to management to ensure remediation plans (where needed) are designed and implemented, ensuring that processes are duly updated in cooperation with the Health & Safety committees.
Additionally, Health & Safety Committees undertake regular worksite analysis to identify potential risks and hazards. This analysis aims to identify existing hazards, as well as conditions and operations in which changes might occur to create hazards. Results of these assessments are shared with the local HR teams and management.
The highest incidence of occupational accidents is, of course, among store and warehouse staff. The greatest risks to which Dufry workers are affected include:
- Risks related to material elements, objects, products and constituent elements of machines or vehicles
- Falls at the same level
- Incidents with transport and transfer devices.
Training on health and safety is critical to promote a safe work environment. We therefore conduct induction sessions with new members of our staff and hold regular training sessions with all of our staff, both in stores and offices, ensuring understanding of the policies and procedures. If needed, this training is extended to workers who are not members of our staff but work on our premises on behalf of third-party service providers.
Airport security practices
Due to the nature of our business, most of our staff are located in airport environments, either working in stores, in airport offices and/or in airport warehouses. As part of the airport eco-system, our staff has to adhere to and follow the security principles and processes established at the specific airports where our stores are located. Most of these regulations and policies are harmonized across the world to ensure consistent levels of safety and consumer protection. Worldwide safety regulations are set by the International Civil Aviation Organization and within Europe by the European Aviation Safety Agency. In order to work in our stores, members of our staff need to obtain the corresponding airport authorization, which in most cases involves training courses on security measures and procedures in the airport environment.
The Dufry employee journey
Dufry has comprehensively mapped all stages of an employee career in our company, starting from when an employee applies for a position until the moment an employee leaves the organization. All the steps in between these two points and the experiences that the employee has is what Dufry calls “the employee journey”, and it is the company´s systematic approach to identify all opportunities Dufry has to feature a great place to work in our organization.
To simplify the assessment, Dufry establishes four critical stages on this employee journey: recruitment, training, career progression and recognition.
To ensure “Fair Play” in everyone’s professional career development, Dufry’s recruitment process ensures that all applicants are treated fairly, and each applicant is given the same opportunity to be considered, so that the most suitable person can fill the position. The selection is based on the applicant’s competencies, skills, results delivered and the decisions taken regardless of: race, color, religion, sexual orientation, age, gender identity or gender expression, national origin, political orientation, disability or other discriminating factors.
Available positions are first published internally to ensure opportunity and growth of internal talent. Dufry’s recruiters review the skill pipeline of internal employees ahead of engaging with external hiring professionals. Referrals and recommended potential internal candidates are encouraged and evaluated in the same process against other potential candidates. Job offers are typically also posted here.
To ensure fair play in the selection process, all interview evaluations by Dufry recruiters and hiring managers are reported in Dufry’s HR portal Dufry Connect. If any gaps or personal development needs of the selected candidate are identified, recruiters are instructed to incorporate that information into the new employee onboarding and development plan.
Training and education
Dufry’s training methodology follows the “Four E’s model”: Educate (Formal education), Experiences (Development), Environment (Culture of learning), and Exposure (Connections with other colleagues and professionals). Dufry employees benefit from an extensive learning catalogue that covers programs to improve their performance in their current positions, as well as professional development programs to support career progression. Training is offered through several formats, including face-to-face as well as virtual and online training sessions on soft and hard skills. Training is open to all employees and managers at all levels and across the entire organization and all geographical locations. During 2021, and despite some training programs being interrupted, 300,523 formal training hours were provided by Dufry.
Some of Dufry´s global learning programs include the following:
- Global Welcome – Designed for office and retail staff alike, the Global Welcome is a comprehensive on-boarding program for newcomers aimed at shortening the learning curve. In 2021, 218 new joiners were trained on this program.
- Dufry Growth and Dufry Leaders Growth – This program for our office staff aims at developing knowledge and skills around functions and departments and preparing mid-level managers to take the next step in their career progression. During 2021, we had 86 new enrolments to this program.
- Retail Champions program – The cornerstone of our Learning and Development strategy for retail staff, this program has been designed to provide our professionals with the tools, knowledge and capabilities they need to perform well in their jobs and develop to their full potential at Dufry. 443 employees, including store leaders, have benefited from this program (interrupted during business closure).
- Future Store Leaders program – A development program aimed at developing the next generation of store leaders by providing hard and soft skills required for their promotion, which in 2021 had 38 participants from Dufry´s seven largest operations.
This set of training programs is complemented with product training programs for our store teams, typically delivered by the brands and local teams.
During 2021, we continued the deployment of our online training capabilities through:
- Dufry Connect – Dufry´s HR portal, which permits establishing personalized learning programs for every employee based on their role, position and professional category
- Elucidat – Simplifying the creation of training and learning courses by our learning & development teams to reach 100 % of our staff
- Coursera – An online based training platform for management roles.
The introduction of these platforms, together with the continuous rollout of sales tablets and communications tools for our non-desktop employees (further explained in the Connecting with our Employees section below) is increasing the reach of both product and skills training and benefiting a higher number of employees.
Dufry ensures that future and long-term management needs are being addressed by an optimal balance of promoting internal high-level personnel and hiring external talent (for example in new countries where we start operations). Dufry operates a global, systematic process to identify high-potential talent in the organization and to develop them toward key roles in our business model.
We strongly believe that talent management and succession planning are key activities for a sustainable business. Accordingly, we develop new and existing candidates for more senior management roles and we carry out yearly reviews of the quality of our talent pipeline at two levels:
- The first level concentrates on a limited number of candidates who already have management experience and would be able to take over one of the senior positions in our organization. At year-end 2021, this pool of talented individuals included 38 high-potential managers. With these managers, we address and safeguard succession in specific key management positions.
- The second level focuses on our stores. Amongst the top-performing store personnel and supervisors, we have identified over 200 “Retail Talent” employees as of year-end 2021, on whose development we will focus in order to ensure a quality store-management succession pipeline.
Dufry also established a mentoring program to support employees in taking ownership of their development and helping them maximize their potential and accelerate their leadership development. The mentoring program pairs Dufry leaders (mentors) and talented staff (mentees). Mentors use their experience and professional background to provide guidance and support to mentees on their learning journey. The first edition of this program started in 2018 and 30 mentoring peers were formed. This program is expected to be resumed during 2022 with additional mentors and mentees.
Awards and staff recognition
Employee recognition is an important way to value employee and team achievements. Every year, Dufry celebrates the One Dufry Awards, which recognize excellence and celebrate the success of our people worldwide who are dedicated to delivering.
The awards are divided in five categories:
- Best Leader Story Award recognizes individuals who have demonstrated the right behaviors and character and shown exceptional performance in Driving Employee Experience
- Best Customer Experience Award, recognizes the highest scores measured by our Mystery Shopper Survey
- Best Partnership Initiative Award, which recognizes an outstanding initiative with a supplier, business partner, landlord, inter-company or other party, that was innovative, well designed, well executed and impactful
- Best Business Growth Story Award recognizing the greatest business growth stories, including – but not limited to – a new store opening, a new airport / seaport / border / or other development, growth of a product category, a business channel, or an existing store that has delivered exceptional growth
- Best Organic Growth Award, which recognizes the country with the strongest year-on-year organic growth.
Engaging with our employees
Understanding our staff concerns and needs is critical for Dufry. For this reason, Dufry fosters a dialogue with its employees and invests in developing the necessary tools to promote communication across all levels of the organization.
To better gauge our performance both within our company and relative to our competitors, we conduct regular employee engagement surveys that serve to gain understanding of employee perception of the com pany and identify areas of improvement. We ensure that the surveys always involve a substantial proportion of our employees, and that they reach out across the world. The last wave of our employee engagement survey was done in 2019 with very positive results: 75% of our staff responded that they were satisfied working for Dufry (vs. the retail industry average of 63%), and 78% would recommend Dufry as a place to work. The next survey is expected to be carried out during 2022.
Freedom of association and collective bargaining
As stated in our HR Policy, Dufry respects legally recognized unions and internal forums created to represent the employees’ interests. The company’s policy on collective agreements is tailored to each location in which it operates, as each location is subject to its own specific laws and regulations. As an example, the current practice in some of the main Group operations is described below:
- In Brazil, there is a collective agreement in place which covers core employee related topics such as salary reviews, general allowances (meal, transport, benefits, etc.), work contract restrictions / special conditions, work shifts, vacations, health and safety, contributions, benefits, awards and requirements related to employee’s guarantees.
- Greece has a collective agreement in place ruling the main employee topics.
- In Spain, Dufry has a collective agreement in place that covers all employees, except senior management. The agreement, negotiated between the company and a committee made up of employee representatives and labor union members, outlines conditions such as salary, holiday days and health and safety in the workplace, along with other HR related matters.
- In the UK, Dufry has an employee forum – “Voice” – made up of staff representatives. This forum is a partnership between the company’s management and its employees to influence and communicate business changes.
- In the US, there are a number of recognized trade unions that Dufry engages with, including Unite Here, Workers United, United Food and Commercial Workers, Teamsters, Newspaper Guild and Culinary Workers.
Connecting with our employees
During 2021, we have continued with the rollout of technologies and tools to reduce the information gap between desktop and non-desktop staff. Sales tablets, available in a growing number of our operations, are permitting a more fluid communication, especially with our sales staff and, as indicated before, expanding the learning possibilities.
Over the year, we have further progressed with the rollout of Beekeeper. This app-based solution enables employee connection, facilitates workplace engagement and increases productivity through unified communications. Through Beekeeper, we are sharing with the more unconnected members of our staff information related to our company, as well as information related to their day-to-day work environment (such as shifts, product information, events in store, etc.). The app also features tools for internal chats and communications and the sharing of information in a very similar environment to that of the most recognized social networks. Currently, Dufry has over 18,000 live users on the Beekeeper platform, reaching more than 80% of its workforce and expects to fully rollout the app globally during 2022.
Finally, Dufry also utilizes a number of other internal communication vehicles to facilitate the dissemination of corporate news and to keep our staff updated and engaged. These include the company's corporate magazine Dufry World – published in five languages four times a year – the company's intranet Dufry Gate, and regular e-newsletters that serve to communicate with our staff globally.