KOMMUNINVEST I SVERIGE AB. Personnel policy
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1 KOMMUNINVEST I SVERIGE AB Personnel policy
2 Table of contents 1 Introduction The purpose of the personnel policy Recruitment Employment terms and conditions Pension terms and conditions Introduction Employee discussions Salary discussions Working hours Diversity Skills development Rehabilitation Insulting disparities in treatment (bullying) The manager's role Collaboration Celebrations Leaves of absence Rewards Termination of employment... 9
3 1 Introduction In this instruction, the board of directors sets forth the overall guidelines for human resources work. 2 The purpose of the personnel policy The purpose of the personnel policy is to comply with applicable legislation and collective agreements in the area of human resources. The purpose is also to ensure that the human resources work is carried out in accordance with our values and contributes to achieving our visions and goals. 3 Recruitment Recruiting must always be determined by the company's needs and conducted following an analysis of the requirements which will be placed on the applicant, both in conjunction with recruitment and in the future. In all recruitment, the resources and wishes of the relevant working group must be considered to the extent possible. The employees in the working group should always have an opportunity to participate in the drafting of requirement profiles, etc. In order to achieve openness in recruitment, all open positions must be advertised on the company's website and in other appropriate media. The filling of a position without advertising (direct appointment) must be avoided wherever possible. 4 Employment terms and conditions The employment terms and conditions must encourage employees to engage in work efforts which lead to a high level of goal attainment. Salaries must be adapted to the market but must not lead the market, and must be individually adapted in order to attract, retain and motivate the best candidates on the market. The company employs a fixed monthly salary model. As stated in the instructions for the CEO (A ), the board of directors takes decisions regarding certain personnel and remuneration questions. The salary policy must contribute to ensuring that employees want to develop their expertise and thus take on more demanding duties. In addition, the salary
4 policy must create the conditions which clearly aim for solid business in the short term and long term, and for increased growth. Commitment and results are important components of setting salaries and must particularly be taken into consideration when the annual salary review is carried out. The attainment of goals on the individual, group and corporate levels are other factors which must be considered.
5 5 Pension terms and conditions The company has collective agreements and thus complies with the provisions of the ITP. There are currently two ITP pension plans. ITP2 covers employees born in 1978 or earlier. ITP2 is a defined benefits plan which means that the benefits (a percentage of salary) are known, but the future salary on which they are to be calculated is not known. ITP1, which was added on 1 July 2007, covers employees born in 1979 or later. ITP1 is a defined premium plan which means that the premium is known but the outcome, which is dependent on future premiums, returns and fees is not known. The ITP agreement makes it possible to offer employees with a pensiongenerating income in excess of 10 times the statutory base amount alternative ITP plan. Alternative ITP gives the employee the possibility of structuring the pension plan based on his or her own needs. New employees who were covered by an alternative ITP in their previous employment must be covered by an alternative ITP in their employment with the company. ITP2 Retirement Pension. The retirement age is 65. Retirement pension benefits are earned beginning at 28 years of age. 360 months of employment are required for a full pension qualifying period. ITP1 Retirement pension. The retirement age is 65. Pension premiums are paid commencing in the month in which the employee turns 25 years of age. The pension is, in full, a defined premium plan. The premium is paid from the first Swedish crown. There is no ceiling for the salary. Selection of ITP1. The employee has the possibility of selecting the manager and savings form (traditional pension insurance or unit-linked insurance). However, at least one-half of the premium is invested in a traditional pension insurance policy. The selection center is Collectum. ITPK Supplemental retirement pension. In addition to the ITP2 defined benefits retirement pension, the employer pays (commencing at 28 years of age) 2% to a supplemental retirement pension.
6 Selection of ITPK. The employee has the possibility of choosing the manager and savings form (traditional pension insurance or unit-linked insurance). The selection center is Collectum. ITPK Family protection. The employee may elect to have repayment protection (in the event the insured employee dies, any earned pension is instead paid out to beneficiaries) and family protection in the amount of 1, 2, 3 or 4 times the statutory price base amount which is paid out per year over the course of 5, 10, 15 or 20 years commencing at the time of death. The premium for the family protection is age-dependent and reduces the premium paid to the retirement pension. The selection center is Collectum. PENSION IN LIEU OF SALARY The deduction for private pension savings is limited. Therefore, the company provides its employees with the possibility, in an advantageous way, of strengthening their pension by what is commonly referred to as salary to benefits exchange (waiving gross salary in exchange for pension benefits). Once a year in conjunction with his or her annual salary review, the employee is given the opportunity of choosing, modifying or reverting back to straight salary. One condition for waiving salary in exchange for pension benefits is that the premium for the insurance must be deductible for the company according to the Income Tax Act. A request for waiving salary in exchange for pension benefits must be submitted in writing and signed by the employee. ADVICE Advice and the purchase of insurance in conjunction with waiving salary in exchange for pension benefits is handled through the company's pension consultant. The advice shall include the advantages and disadvantages of waiving salary in exchange for pension benefits and a comparison between insurance companies, insurance solutions, and management/investment. The company pays the costs of the advice.
7 6 Introduction Each new employee shall receive an introduction which provides him or her with the prerequisites necessary to perform the work and which facilitates adaptation to the new workplace. To the extent possible, the introduction shall be adapted to the needs of the individual. The introduction can also be offered to any employees who have been away from work for an extended period of time due to, for example, parental leave or illness. 7 Employee discussions The purpose of employee discussions shall be to improve communications between employees and managers and to clarify the possibilities and areas of development for the employee. It is also an aid to the company in clarifying the conditions and goals of the business. Employee discussions are initiated by the manager and shall follow an established structure. Employee discussions shall be held at least twice per year and followed up regularly in the interim.
8 8 Salary discussions Salary discussions are a possibility both for the company and the employee to follow up on the agreed targets at an individual level. The discussion must follow an established structure and be carried out annually. The discussion must both look back historically and be a starting point for the attainment of goals agreed upon between the manager and the employee. 9 Working hours If possible, employees shall be offered full-time employment. The scheduling of working hours and any reduction in working hours shall, to the extent possible, be adapted to the wishes of the employee. However, it is always the needs of the business which determine to what extent those wishes can be satisfied. 10 Diversity The company shall maintain an organisation and attitude characterized by equality and diversity. Emphasis shall be placed on attracting, maintaining and developing all diligent employees irrespective of gender, ethnicity, religion or other beliefs, age, disabilities, sexual preference or transgender identity. 11 Skills development The foundation of the business is the aggregate expertise of its employees. Therefore, the expertise of the employees must be developed at the pace, and in a manner, necessary to meet the company's future challenges and needs. 12 Rehabilitation The purpose of rehabilitation shall be to make it possible for an employee to return to work as soon as possible, either full-time or part-time. The employee's immediate superior is responsible for implementing a rehabilitation programme and it is also the responsibility of the employee to participate in the rehabilitation work.
9 13 Insulting disparities in treatment (bullying) The company has the ultimate responsibility of ensuring that bullying does not take place. All employees are responsible for reporting behavior which may be deemed to constitute bullying. The reporting shall be made to the employee's immediate superior, the head of human relations, or the trade union representative. 14 The manager's role Managers must exert a positive influence and, through inspiration and be setting a good example, help others to make the best use of their resources in order to achieve the goals of the business. Goal-oriented management presupposes the ability to make the best use of, and stimulate, the development of the employees. In addition to proper management of the business, managers must take a holistic perspective. 15 Collaboration All employees, including managers, must: be clear in their roles and set a good example; always be exemplary in their contacts with stakeholders; aim to fulfill established goals and decisions; be goal-oriented and results-oriented with the ability to take an overall perspective; always be attuned to the world around them; create the conditions necessary for achieving a climate of growth; encourage and support colleagues in their development; clarify the expectations of colleagues as well as managers; respect each other's roles and duties;
10 listen, communicate, inform and be creatively questioning, and stand up for a positive view of other people which means that everyone wants to, and can, improve; constructively point out any problems. 16 Celebrations Kommuninvest celebrates its employees on their 50 th and 60 th birthdays and at the time of their retirement. Gifts given in conjunction with the celebrations must always comply with the Tax Agency's rules for such celebrations. 17 Leaves of absence In addition to leaves of absence governed by law or agreement, the company shall evaluate requests by employees for leave of absence in light of the needs of the business. This shall apply irrespective of whether the leave of absence relates to full-time or part-time and irrespective of the nature or length of the leave. 18 Rewards Rewards must be treated with a great deal of restrictiveness and only used when employees have performed extremely well and beyond what was expected of them. Rewards are never given in the form of money. 19 Termination of employment An employee who chooses to terminate his or her employment with the company shall be met with respect when facing the new work situation. The goal shall be that the former employee will also continue to be an ambassador for the company in the future. Upon termination by the employee, a structured termination interview shall be carried out. The termination interview shall be conducted by the head of human resources. In conjunction with termination of employment on the part of the employer, the employee shall be offered the possibility of career coaching and career guidance by a reputable company in the industry. The employee shall be given the opportunity to influence how and when it will be announced that he or she will be
11 terminating his or her employment. The employee has the right to decide how he or she will leave the office on the last day of employment (participation in celebrations, etc.).
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