Jobs/skills
Expanding employee profit-sharing and employee share ownership
Remuneration
VINCI's remuneration policy is organised in accordance with our decentralised management structure. Common principles covering individual remuneration and incentives in line with our results are used as guidelines for this policy in all countries where we operate. Employee remuneration consists of various components: wages, bonuses, profit sharing, incentive schemes and employee share ownership. Individual remuneration reflects the personal responsibility and performance of each employee at every level. In France, 91% of employees benefit from incentive schemes and/or profit-sharing agreements. In all, we shared the benefits of our growth by paying out more than €174 million in 2008 (€160 million in 2007).
Employee share ownership
In our labour and management intensive environment, we consider share ownership to be an essential means of motivating employees and giving them a stake in the Group's performance. The employee savings policy introduced in 1995 with the creation of the Castor fund is intended to facilitate access to VINCI's capital for all employees, and particularly those with a more modest income.
In 2008, the economy was marked by substantial worldwide economic and financial upheaval resulting in highly fluctuating stock markets. Nonetheless, and in line with the actions implemented to date in the area of employee savings schemes, VINCI maintained the principle of three capital increases a year under its savings scheme in France. This product – open to employees since 1995 – earns its legitimacy and its strength from these recurring operations and its continuing operation.
The number of savers in France, despite a slight taper, has remained relatively high (nearly 60% of the workforce in 2008 compared with 72% in 2007). It should be noted that the savings invested by employees in the Castor fund, invested in VINCI shares, is encouraged by a 10% discount on the VINCI share price and an employer contribution that can be as high as €3,500, with a bracket favouring more modest levels of savings whereby the first €1,000 paid in is matched by VINCI with the same amount. In 2008, the employer contribution came to over €48 million.
Furthermore, the decrease, by over two-thirds, in withdrawals more than offset the lower average level of employee contributions (approximately €1,700 in 2008). The total percentage of employee share ownership in the Group's equity remained unchanged at 8.25% in 2008. The trust demonstrated by the employees in the Group's future means they are still collectively the Group's largest shareholder.
At 31 December 2008, through the various unit trusts invested in VINCI shares, 89,236 employees were Group shareholders, with an average portfolio worth nearly €12,000.
In 2009, VINCI's general management is proposing a new employer contribution scale, with an exceptional employer contribution of 200% for the first bracket, i.e. the first €300 paid into the scheme, bringing the employer contribution to €1,300 for €1,000 invested by the employee. The maximum employer contribution will be €3,800 in accordance with the following scale:
– 200% for the first €300 paid
– 100% above that and up to €1,000
– 70% above that and up to €3,000
– 25% above that and up to €5,000
– 10% above that and up to €11,000.
VINCI's remuneration policy is organised in accordance with our decentralised management structure. Common principles covering individual remuneration and incentives in line with our results are used as guidelines for this policy in all countries where we operate. Employee remuneration consists of various components: wages, bonuses, profit sharing, incentive schemes and employee share ownership. Individual remuneration reflects the personal responsibility and performance of each employee at every level. In France, 91% of employees benefit from incentive schemes and/or profit-sharing agreements. In all, we shared the benefits of our growth by paying out more than €174 million in 2008 (€160 million in 2007).
Employee share ownership
In our labour and management intensive environment, we consider share ownership to be an essential means of motivating employees and giving them a stake in the Group's performance. The employee savings policy introduced in 1995 with the creation of the Castor fund is intended to facilitate access to VINCI's capital for all employees, and particularly those with a more modest income.
In 2008, the economy was marked by substantial worldwide economic and financial upheaval resulting in highly fluctuating stock markets. Nonetheless, and in line with the actions implemented to date in the area of employee savings schemes, VINCI maintained the principle of three capital increases a year under its savings scheme in France. This product – open to employees since 1995 – earns its legitimacy and its strength from these recurring operations and its continuing operation.
The number of savers in France, despite a slight taper, has remained relatively high (nearly 60% of the workforce in 2008 compared with 72% in 2007). It should be noted that the savings invested by employees in the Castor fund, invested in VINCI shares, is encouraged by a 10% discount on the VINCI share price and an employer contribution that can be as high as €3,500, with a bracket favouring more modest levels of savings whereby the first €1,000 paid in is matched by VINCI with the same amount. In 2008, the employer contribution came to over €48 million.
Furthermore, the decrease, by over two-thirds, in withdrawals more than offset the lower average level of employee contributions (approximately €1,700 in 2008). The total percentage of employee share ownership in the Group's equity remained unchanged at 8.25% in 2008. The trust demonstrated by the employees in the Group's future means they are still collectively the Group's largest shareholder.
At 31 December 2008, through the various unit trusts invested in VINCI shares, 89,236 employees were Group shareholders, with an average portfolio worth nearly €12,000.
In 2009, VINCI's general management is proposing a new employer contribution scale, with an exceptional employer contribution of 200% for the first bracket, i.e. the first €300 paid into the scheme, bringing the employer contribution to €1,300 for €1,000 invested by the employee. The maximum employer contribution will be €3,800 in accordance with the following scale:
– 200% for the first €300 paid
– 100% above that and up to €1,000
– 70% above that and up to €3,000
– 25% above that and up to €5,000
– 10% above that and up to €11,000.