Work and Phases of Life

Since 2009, the REWE Group sales lines have been certified by berufundfamilie Service GmbH according to “audit berufundfamilie”, an initiative of the Hertie Foundation. With around 185,000 employees in Germany covered by the audit, the REWE Group is currently the largest company in Germany to be certified under the "audit berufundfamilie”.

At REWE in Germany, around 2,700 stores and stores of retailers as well as six administrative and six logistics sites have been certified for many years (2021: 2,700). About 138,000 employees benefit from this (2021: 137,000). The key topics in 2022 comprised:

• Management in part-time: In 2020, a pilot project was conducted on this topic, which led to the recruitment of part-time store managers. In 2022, a general works agreement was adopted that firmly regulates part-time management in sales. The topic is now individually implemented in the regions. Until December 2022, 26 managers in the branch stores and stores operated by retailers worked part-time (max. 32 hours/week), 22 of whom were employed by retailers, 4 were employed in branch and REWE-operated stores.
• Life phases and self-help competence: In 2021, the internal webpage "Beruf und Familie” (BuF) ("career and family") was published on the REWE career pages with Best Practice examples regarding various life phases and useful information. Here, employees from the stores can find digital information. Thanks to close cooperation with the health management, further topics could be added – for example on life-stage based self-help competence (for more information please refer to Occupational Health and Safety). An external BuF-Landingpage also addresses the topics.
• berufundfamilie sponsors: Consolidation of the role of the contact persons on the work-life-balance topic in the stores.
• Mobile working for store managers (start of a pilot project planned for 2023)
• Production of regional brochures on the subject of maternity and parental leave.
• In July 2022, the Stay in Touch programme was launched for REWE in Germany, which in the first step applies to mothers on parental leave at all head offices and stores. Fathers are to be added in 2023 (see section Break for the Family).

PENNY in Germany, with around 30,000 employees (2021: approx. 29,000) working in the stores, logistics and administration, was the first discounter in Germany to be awarded the "audit berufundfamilie" certificate in 2018 for its strategically designed HR policy on work-life-balance. In 2021, the sales line was again awarded the "audit berufundfamilie" certificate for the next three years. In 2022, the focus was on the following topics:

• Part-time managers for sales in the regions: Developing a national concept and integrating the latter into communication.
• Enabling mobile working in sales, logistics and administration
• Communication of Best Practice examples
• Continuous internal and external communication within the new employer campaign.

Since 2012, the REWE Group headquarters in Cologne with its approx. 5,250 employees or, from October 2022, 3,710 employees* (2021: 5,200) has held the "audit berufundfamilie" certificate. Since the beginning of 2022, the planned and implemented measures have been aligned with the REWE Group‘s action programme 2022 – 2025, which focuses on "Modern and flexible working time models", "More men in part-time employment", "Diversity in leadership" and "Shaping the last years of working life". In the reporting year, the focus was on the following topics:

• Roll-out of the concept on job sharing/co-leadership in the first quarter of 2022 in the REWE Group central areas for promotion of careers in part-time
• Reconciliation week "berufundfamilie": In September 2022, employees of REWE and PENNY in Germany, the head office, REWE Holding, REWE Systems* and the national administration REWE and PENNY were offered eleven exchange and impulse events on work-life balance over three days. At the central administrative sites, 1,047 participants were reached by 453 colleagues in the various offers.
• Employee survey on satisfaction (see also Employee Survey on Satisfaction project): The results revealed that the work-life-balance is rated very positively. The rating for "My manager offers me the flexibility to carry out my work in the office or at another workplace" was above average.*

^{* In October 2022, REWE Systems was merged with REWE Digital to form the new REWE Digital and thus no longer falls under the purview of REWE Group headquarters.}

Since 2010, the REWE International Dienstleistung GmbH (RIAG) in Austria as well as the Austrian sales lines BILLA (since 2012), BILLA PLUS (since 2013), BIPA (since 2013) and PENNY (since 2015) have been certified by berufundfamilie Service GmbH. In 2022, the central areas as well as BILLA PLUS, BILLA, PENNY and RIAG were recertified, BIPA in 2020. A total of 46,000 employees in Austria benefit from the certification (2021: 44.000). The topics in the reporting period were:as well as the Austrian sales lines BILLA (since 2012), BILLA PLUS (since 2013), BIPA (since 2013) and PENNY (since 2015) have been certified by berufundfamilie Service GmbH. In 2022, the central areas as well as BILLA PLUS, BILLA, PENNY and RIAG were recertified, BIPA in 2020. A total of 46,000 employees in Austria benefit from the certification (2021: 44.000). The topics in the reporting period were:

• Offers to achieve work-life-balance: increased communication to employees and managers.
• Conceptualisation of the 4-day working week
• Piloting flexible management models, such as part-time management or shared management in a job-sharing model
• Developing a concept for mobile working two days a week (pro rata for part-time employees) for employees and executives.

The stores, headquarters and all logistics locations of toom Baumarkt DIY store with its approx.16,000 employees (2021: about 16,750) have been continuously certified since 2016 and were recertified in December 2022. In the reporting year, the focus was on the following topics:

• Communication to make work-life-balance measures transparent and to promote a life-phase-conscious corporate culture.
• 4-day week
• Use of salary components for more holidays
• Flexible working abroad
• Pilot project to provide places for dog care

The REWE Group received the following awards in the reporting year:

• The REWE Group, PENNY in Germany, REWE: Top Employers 2022
• REWE Group, REWE Digital: BEST PLACE TO LEARN (certification of company training) 2019 – 2022
• REWE Group Headquarters, PENNY in Germany, REWE in Germany: integration into the PRIDE Index 2022 for the first time, which maps the most LGBTIQ+ friendly employers in Germany. In addition, it was awarded the PRIDE Champion Gold Employer Seal.

Regular employee surveys are a material component of the appreciation of the REWE Group’s HR management. It reflects the atmosphere in the company and shows needs for action, if required. Each year, the survey addresses other areas of the company.

In the reporting year, 67 per cent (2021: 64 per cent) of over 250,000 employees (2021: 230,000) of the REWE Group in the stores, administrations and logistics in Germany took part in the survey. On average, they again rated their job and work satisfaction as good – in some business units, a further improvement could be recorded. As was the case in 2021, identification with the company as well as transparency and clarity were given top marks, albeit the organisation of work scored somewhat lower. The individual departments were provided with differentiated evaluations in order to be able to derive specific measures on this basis and together with the employees.

At the REWE sales line in Germany, the sales survey, which was designed in cooperation with the HR departments, was conducted completely digitally in two waves for the second time in order to identify developments more quickly and to achieve a higher participation rate. In the sales department, the participation rate decreased by 4 percentage points vs previous year. A total of 67,800 employees (55 per cent) out of a total of 123,300 took part. The overall result of the survey was positive. Overall satisfaction has improved in sales in all regions since the last survey (score 2022: 1.86; 2021: 1.85). The survey will continue to take place regularly in the future. In logistics, 6,100 employees out of a total of 9,300 took part in the survey. This confirms the participation rate of 66 per cent from the previous survey. A generally good level of assessment was noted. The clarity of tasks (score 1.5) was rated particularly positively.

A survey was also conducted at PENNY in Germany in the reporting period. A total of 21,478 employees were surveyed (19,251 in the stores, 612 in administration and field service, 1,615 in logistics).This is equivalent to a response rate of 77 per cent (2021: 83 per cent). The overall satisfaction across all target groups was 2.2.

At the toom Baumarkt DIY store sales line, the survey of all employees was offered exclusively in digital form for the first time in 2022. The participation rate dropped from 46 to 36 per cent (6,460 participants). Overall satisfaction improved from 2.37 to 2.29. In particular, employees rated their work-life-balance as well as the working atmosphere better. They also reported a reduction of their perceived workload.

The year under review once again posed challenges for the employees of the REWE Group, on the one hand still due to the Corona pandemic, but on the other hand also in relation to inflation in Germany.

With regard to Corona, the REWE Group relieved the burden on its employees in the supermarkets and logistics at REWE and PENNY in Germany by means of a special Corona payment, as was the case in 2021. The "thank you bonus" amounted to a total of tens of millions of euros.

In addition, the discount for employees on groceries at REWE and PENNY in Germany was increased from 5 to 10 per cent as of 1 July 2022. The measure was limited until 31 December 2022 and will be continued in 2023 in the form of an inflation adjustment.

Since 2014, the REWE Group in Germany has contributed to the statutory minimum wage and the annual adjustments. Abroad, the company uses the wages of the respective country as a basis and complies with any statutory minimum wage regulations. When deploying external companies, the companies of REWE Group pay attention to compliance with minimum social standards. Since 2011, the "Group Guideline on the Deployment of External Staff" has been in force for the Group in Germany, both for cooperation with temporary employment agencies and for the deployment of external employees under contracts for work and services. According to this guideline, only contractual partners who pledge to comply with minimum social standards and any collectively agreed minimum wages as well as the statutory minimum wage for their employees are assigned. To ensure that the contractual partners comply with the standards, the REWE Group has developed an auditing procedure together with TÜV Rheinland, which is conducted by the testing service provider. The audits are implemented, for example, in the areas of shelf-restocking, stock-picking and among cleaning staff.

The REWE Group offers its employees in various divisions and regions, especially in conurbations, different discounted job tickets for the use of public transport. Eligible employees of the REWE Group may use their mobility budgets individually – for instance in the form of a company car, a rail ticket or as a payment into a company pension scheme. Users of electric or hybrid vehicles also receive a monthly bonus of up to 150 euros.

Since May 2023, around 150,000 employees of all participating REWE Group companies nationwide have been able to use the Deutschland ticket as a discounted job ticket – irrespective of whether they work in the store, in administration or in logistics.

By the end of the first quarter of 2022, the concept developed in 2021 to promote job sharing/co-leadership was communicated to all executives at the REWE Group headquarters. The aim was to raise their awareness on the topic of part-time leadership (see also section audit berufundfamilie)

The REWE Group currently has three job sharing (2021: 5) and three co-leadership tandems (2021: 3) at the Head Office Retail Germany.

In order to make it easier for employees to return to work after a family break (see also section Break for the Family), the REWE Group in Germany has increasingly expanded its in-house childcare services in recent years, as well as cooperation agreements for nursery school places in individual regions. Among other things, there are company kindergartens at various locations in Germany and Austria as well as cooperation agreements for kindergarten places and/or places in private kindergartens at reduced prices. The REWE Group is constantly working to expand this offer. Employees are also supported with childcare at home through home office options.

The REWE Group offers a sabbatical and has met with a positive response: A total of 237 employees in Germany took advantage of this offer in the reporting year (2021: 160). The sabbatical allows employees to take up to six months‘ complete leave from work within a twelve-month period without giving reasons. During the time off, an adjusted salary is paid. This allows for continued social security coverage.

Supporting employees in care situations is becoming increasingly important. As a supplement to the Family Care Leave Act, company agreements are in place at the REWE Group in Germany that offer benefits to employees. These comprise:

• Care or family care leave for employees of all companies, irrespective of the number of employees. This offer was taken up by 136 employees in 2022 (2021: 152).
• Two-hour leave from work to deal with administrative matters and to process necessary applications is also paid.
• Deployment of employees at their original workplaces after the end of the care and family care leave, unless there are urgent operational reasons contrary to this.

The REWE Group offers its employees in Germany individual solutions on the subject of partial retirement in order to facilitate a transition into retirement.

The REWE Group has been working with awo lifebalance (formerly AWO ElternService) in Germany since 2008. The partner offers a broad range of services related to counselling and arranging childcare and care services. It is available to all employees of the central and regional locations, stores and logistics sites at REWE, PENNY and toom Baumarkt DIY store as well as other business units from the REWE Group Annual Report in Germany. In the reporting year, employees made use of the counselling service 88 times (2021: just over 100 times), with almost under a quarter of the inquiries relating to advice on caring for relatives and three quarters relating to inquiries on childcare. In addition, the REWE Group offers nationwide holiday camps through awo lifebalance.

In Germany and Austria, there are numerous other support options with regard to care during holiday periods. For example, the one to two-week holiday camp offer during the summer holidays. It was attended by 39 children in Germany and 320 in Austria (2021: 18 in Germany¹ and 317 in Austria).

In order to relieve the burden on families, the REWE Group in Austria also supports private tuition - and offers it at a greatly reduced rate in cooperation with the GoStudent and Lernquadrat organisations.

toom Baumarkt DIY store also supports tutoring for children of employees with a salary supplement of 100 euros gross per month for a period of six months, regardless of the tutoring provider.

¹ The number of holiday camps attended had to be retroactively adjusted for 2021 in Germany due to a transmission error.