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Employees
On December 31, 2007, the Bayer Group had 106,200 employees worldwide (2006: 106,000). North America accounted for 16,800 of these employees, while 18,900 were based in Asia-Pacific, 14,300 in Latin America/Africa/Middle East and 56,200 in Europe. In Germany we had 39,100 employees, who made up 36.8 percent of the Group workforce. The number of employees has been converted to full-time equivalents, which means part-time employees are included in proportion to their contractual working hours. We believe this presentation improves the comparability of personnel expenses and employee numbers. Personnel expenses rose by 14.2 percent in 2007 to €7,571 million (2006: €6,630 million). In the previous year’s figure, personnel expenses for Schering employees are included from June 23, 2006.
| Employees by Corporate Function | Dec. 31, 2006 | Dec. 31, 2007 |
| Production | 47,800 | 48,800 |
| Marketing | 37,400 | 36,900 |
| Research and development | 12,300 | 11,600 |
| General administration | 8,500 | 8,900 |
| Total | 106,000 | 106,200 |
| of which trainees | 3,100 | 2,700 |
A breakdown of employees by segment is provided in the segment table in Note [1] to the consolidated financial statements.
Our company’s economic success is crucially dependent on a high level of commitment by the entire workforce. We therefore endeavor to foster the skills and capabilities of our employees through continuing education and human resources development programs worldwide. Our training programs are oriented toward the needs of our business operations and are planned, implemented and evaluated according to globally standardized processes. When developing new programs, we focus on combining topical subject-matter with modern teaching and learning methods. For example, our award-winning international leadership program “BayWay” – comprising virtual classroom instruction and on-site training – was revised in 2007 and successfully applied in our Group-wide management development. With our online training program “Discovering Bayer,” launched as a pilot project in the United States in the summer of 2007, we teach newly hired employees about our company’s values and organizational structure and support the building of personal networks as part of our Global Orientation Program.
Our company’s economic success is crucially dependent on a high level of commitment by the entire workforce. We therefore endeavor to foster the skills and capabilities of our employees through continuing education and human resources development programs worldwide. Our training programs are oriented toward the needs of our business operations and are planned, implemented and evaluated according to globally standardized processes. When developing new programs, we focus on combining topical subject-matter with modern teaching and learning methods. For example, our award-winning international leadership program “BayWay” – comprising virtual classroom instruction and on-site training – was revised in 2007 and successfully applied in our Group-wide management development. With our online training program “Discovering Bayer,” launched as a pilot project in the United States in the summer of 2007, we teach newly hired employees about our company’s values and organizational structure and support the building of personal networks as part of our Global Orientation Program.
Employee participation in the company’s success
We enable our employees to participate in the company’s success to a significant degree. Bayer is paying out roughly €490 million to employees in variable one-time payments for 2007 under its Short-Term Incentive program (2006 on a pro-forma basis: approx. €420 million).
Our employees also benefit from Bayer’s business success through various stock participation programs. In addition to the existing programs, we introduced a newly designed program called “BayShare” in Portugal, Spain, Italy and the Netherlands in 2007. Our employees in those countries have the opportunity to purchase Bayer shares at an attractive discount. A company-wide program called “Aspire” has existed since 2005 for senior management.
Our employees also benefit from Bayer’s business success through various stock participation programs. In addition to the existing programs, we introduced a newly designed program called “BayShare” in Portugal, Spain, Italy and the Netherlands in 2007. Our employees in those countries have the opportunity to purchase Bayer shares at an attractive discount. A company-wide program called “Aspire” has existed since 2005 for senior management.
Wide range of career opportunities for young people
As part of our international human resources policy, we traditionally focus on offering young people good future perspectives through well-founded vocational training and on attracting qualified specialists to our company. In 2007, a total of 895 young people embarked on vocational training programs for over 20 occupations at our German sites, bringing the number of young people we are preparing for a career in Germany to some 2,700.
Bayer also offers a proven program designed to help youngsters with limited educational qualifications prepare within one year for a vocational training course. In 2007 this initiative was recognized by the Dublin-based European Foundation for the Improvement of Living and Working Conditions as a groundbreaking project and an important contribution to combating youth unemployment.
The recruiting and advancement of young managers with an academic background is of great importance to Bayer. We currently operate four different international trainee programs for gifted university graduates.
Bayer also offers a proven program designed to help youngsters with limited educational qualifications prepare within one year for a vocational training course. In 2007 this initiative was recognized by the Dublin-based European Foundation for the Improvement of Living and Working Conditions as a groundbreaking project and an important contribution to combating youth unemployment.
The recruiting and advancement of young managers with an academic background is of great importance to Bayer. We currently operate four different international trainee programs for gifted university graduates.
Innovative tools
Mindful that all our employees need to prepare for a longer working life in the future, we run training programs specifically designed to help the various employee groups adapt to changes in life worktimes.
The long-term account system introduced in Germany in 2007 will enable our employees to more flexibly manage their individual working periods. Employees can save up value credit from various time and remuneration components which can then be used to finance paid leave prior to their official retirement.
The long-term account system introduced in Germany in 2007 will enable our employees to more flexibly manage their individual working periods. Employees can save up value credit from various time and remuneration components which can then be used to finance paid leave prior to their official retirement.
Realignment of the Bayer-wide human resources function
Bayer is currently realigning its human resources function through the Group-wide “Transforming Human Resources” project. This realignment increases the contribution of the human resources function to the success of the business and enhances the quality and efficiency of global human resources processes.
As part of this realignment, the various human resources services are being performed by the company’s own HR Shared Service Centers (SSCs). The SSC in Leverkusen currently serves employees in Germany and will in future be available to their colleagues in other European countries. The second HR Shared Service Center, which launched operations in Pittsburgh in April 2007, will support approximately 12,000 employees in North America.
As part of this realignment, the various human resources services are being performed by the company’s own HR Shared Service Centers (SSCs). The SSC in Leverkusen currently serves employees in Germany and will in future be available to their colleagues in other European countries. The second HR Shared Service Center, which launched operations in Pittsburgh in April 2007, will support approximately 12,000 employees in North America.
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