Social partnership based sector dialogue on resource efficiency of aluminium products

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Social partnership based sector dialogue on resource efficiency of aluminium products a joint project in Germany between BMU Bundesministerium für Umwelt, Naturschutz und Reaktorsicherheit (Federal Ministry for the Environment, Nature Conservation and Nuclear Safety) GDA Gesamtverband der Aluminiumindustrie (GDA aluminium trade association) IGM Industriegewerkschaft Metall (IGM metall trade union) Chart 1

Objectives IG Metall trade union Encourage innovative approaches to resource efficiency of aluminium products by means of a joint dialogue process in the industry Utilise potential so that increasing costs for raw materials and energy do not inevitably lead to location-related problems More cost efficiency in the use of resources instead of a narrow view and increasing pressure on labour costs Increase knowledge of sustainability and life-cycle thinking among works councils and employees 400 350 300 250 200 150 100 50 0 labour Arbeitsproduktivität productivity material Materialproduktivität productivity Energieproduktivität energy productivity 1960 1970 1980 1990 2000 Instil life into the task of worker participation and integrate it into practical activities. Chart 2

Objectives GDA aluminium trade association Community interest: acceptance of the material safeguards employment Resource efficiency of aluminium products depends on behaviour during production and consumption Inform employees about the influence of resource efficiency both inside their plants and outside of them Encourage resource efficiency of aluminium products by means of innovation and behaviour at work and as a consumer Sustainable development Production Product Use/ consumption Employees double function: producer and consumer. Chart 3

Sequence of events Survey of employees Interviews with works councils and company managements 1st Dialogue Workshop Aim: - Transfer of knowledge - Discussion - Preparation of survey 2nd Dialogue Workshop Preparation Questioning Implementation Aim: - Evaluation of survey - Define fields of activity `07 May `08 July `08 April `09 `09 Identification of potential ways of increasing resource efficiency during the production and consumption of aluminium products. Chart 4

Participation employee attitude survey 15 locations of 10 companies Skill structure participants in the survey Qualifikationsstruktur - Teilnehmer der Befragung Returns from the following processing areas: electrolysis, mould casting, rolling, extrusion, drawing (wire), recycling and finishing 1727 questionnaires returned, 16% of all employees of the 15 plants participating Semi-skilled Angelernt Skilled Facharbeiter worker Master craftsman Meister Commercial Kaufmänn. Ausbildung training Engineer Ingenieur Sonstiges Hochschulstudium Other graduate 12,3% 12.3 % 12,7% 12.7 % 17,0% 17.0 % 8,4% 8.4 % 10,1% 10.1 % 39,5% 39.5 % The first broadly based sector-wide survey of resource efficiency by a social partnership in Germany. Chart 5

Employee attitude survey - questions Perception Do you regard an increase in efficiency to be important? How do you rate the resource efficiency of aluminium over the whole life cycle? Situation analysis What importance does an increase in resource efficiency have in your dayto-day work? What importance does an increase in resource efficiency have when you use aluminium products? Exchange of ideas Name measures that would allow resource efficiency to be increased. Use the expertise of employees define knowledge gaps open up fields of activity Chart 6

Employee attitude survey key results Do you regard increasing resource efficiency during the production and use of aluminium products as being important? Very Sehr important wichtig 65,1% 65.1 % Important Wichtig 32,1% 32.1 % Moderately Mäßig wichtig important 1,6% 1.6 % Barely Kaum important wichtig 0,1% 0.1 % Unimportant Unwichtig 0,4% 0.4 % Kann ich nicht Don't know beurteilen 0,1% 0.1 % 97% of those questioned considered an increase in resource efficiency to be very important or important. Chart 7

Employee attitude survey key results How do you personally rate the resource efficiency of aluminium products? In your opinion, how does the general public rate the resource efficiency of aluminium products? Very Sehr high hoch 17.8 % 17,8% Public Ressourceneffizienz resource in der perception of Öffentlichkeit efficiency 3,1% 3.1 % 8,5% 8.5 % 7,8% 7.8 % 17,4% 17.4 % 32,2% 32.2 % 30,4% 30.4 % High Hoch Average Mittel 23.5 % 23,5% 43,9% 43.9 % Ressourceneffizienz efficiency von Resource Verpackungsanwendungen of use of aluminium in packaging von Aluminium 5,3% 5.3 % 8,2% 8.2 % 5,6% 5.6 % 25,0% 25.0 % 21,0% 21.0 % 34,0% 34.0 % Low Gering Sehr Very gering low Kann ich nicht Don't know berurteilen 0,5% 3.2 % 3,2% 0.5 % 9.9 % 9,9% Ressourceneffizienz efficiency von Resource of use of Fahrzeuganwendungen aluminium in vehicles von Aluminium Ressourceneffizienz efficiency von Resource of use Bauanwendungen of aluminium in von building Aluminium 9,5% 9.5 % 3,0% 3.0 % 5,4% 5.4 % 4,9% 4.9 % 7,8% 7.8 % Employees rate the resource efficiency of aluminium products as high (average value 2.2 on a scale from 1 to 5). By contrast, they think public perception is significantly worse (average value 3.3). 8,2% 8.2 % 15,1% 15.1 % 16,2% 16.2 % 26,4% 26.4 % 28,4% 28.4 % 33,5% 33.5 % 39,7% 39.7 % Sehr Very hoch high Hoch High Mittel Average Gering Low Sehr Very gering low Kann Don't ich know nicht beurteilen Chart 8

Employee attitude survey key results How do you estimate your own influence on resource efficiency? Persönlicher Personal influence Einfluss auf die Ressourceneffizienz on resource efficiency im Beruf - bei der at work during the Erzeugung und oder production and/or Weiterverarbeitung von processing Aluminium of aluminium 6,4% 6.4 % 14,3% 14.3 % 13,8% 13.8 % 12,3% 12.3 % 25,8% 25.8 % 30,5% 30.5 % Persönlicher Einfluss auf Personal influence die Ressourceneffizienz on resource efficiency als Verbraucher as a consumer 9,9% 9.9 % 12,0% 12.0 % 6,9% 6.9 % 3,9% 3.9 % 32,5% 32.5 % 32,6% 32.6 % Sehr Very hoch high Hoch High Average Mittel Low Gering Very Sehr gering low Don't Kann know ich nicht beurteilen Over 70% of those questioned rated their personal influence between very high and average. Chart 9

Employee attitude survey key results How does increasing resource efficiency of aluminium products influence the way you go about your work? Very Sehr strongly stark 12.0 12,0% % Strongly Stark 36,8% 36.8 % Average Mittel 28,7% 28.7 % Gering Little 11,5% 11.5 % Sehr Very gering little 3,8% 3.8 % Gar Not nicht at all 5,8% 5.8 % Employees strongly guided by goal of resource efficiency. Chart 10

Employee attitude survey key results Would you like more information about the resource efficiency of aluminium products? Which topics would you like to have more information on? no Nein 24% Production Erzeugung von Aluminium of aluminium 57% Processing of aluminium Weiterverarbeitung von Aluminium 65% yes Ja 76% Use of Nutzung von Aluminiumprodukten aluminium products 68% The need for information is high, particularly on the use of aluminium products. Chart 11

Employee attitude survey suggested measures to be taken Name three measures that in your opinion would most effectively increase the resource efficiency of aluminium products Measures for improving the resource efficiency during production Examples: Number of mentions 1,662 Reduce rejects and scrap rate Optimise processes and procedures Optimise recycling and scrap processing Reduce energy consumption! Involve employees Measures for improving resource efficiency during use of products Examples: Number of mentions 1,315 Inform customers, change consumer behaviour Increase recycling rate, improve sorting Change product design! Recycling-oriented product design Almost 3,000 mentions result in concrete and practically relevant proposals for improving resource efficiency. Chart 12

Interviews with experts 8 interviews with management representatives mainly managing directors 8 interviews with members of works councils mainly chairs of works councils Duration of interview: 2-5 hours Interviews conducted using interview guides Interviews with experts together with employee attitude surveys provide the basis for representative results. Chart 13

Assessments from the interview partners As a formative feature, the support of a social partnership will get noticed unique opportunity Important objectives from the point of view of many interview partners: Concrete incentives in practice Clarity, traceability, comprehensibility Elaborate more specifically on aluminium and resource efficiency Evaluation of the first workshop: Participation and constellation of participants as well as standard of interviews/discussions positive More new content and even more substantiated facts desired, be more specific about aluminium Chart 14

Statements from interviews on possible ways of increasing resource efficiency (by way of example) Management of scrap along the whole value chain (in-house recycling as well as correctly sorted recirculation of scrap) Operational potential : heat recovery, burner/furnace technology, load-dependent operation of power plant, use of operating materials (rolling oil, cooling water etc.) Greater need for information on resource efficiency of aluminium products (especially in the building and packaging sectors) Dynamic increases in efficiency occurred in recent years. Chart 15

Courses of action relating to resource efficiency of aluminium products (examples derived from the survey and the interviews) Definition of relevant topics (management of scrap, plant processes, product design, material flow management together with customers, resource efficiency of aluminium products, recycling, consumer behaviour, etc.) Prepare topics for internal presentations and posters on plant level Integration of the topics in in-company education and training Use information to create more knowledge relating to aluminium and resource efficiency. Chart 16

Acknowledgements and contacts Gesamtverband der Aluminiumindustrie and IG Metall would like to thank the Federal Ministry for the Environment, Nature Conservation and Nuclear Safety as project partner and the participating scientific institutes CSCP - UNEP/Wuppertal Institute Collaborating Centre on Sustainable Consumption and Production SUSTAIN-CONSULT for their support. Contacts: GDA Stefan Glimm Managing Director stefan.glimm@aluinfo.de IGM Hannelore Elze Director hannelore.elze@igmetall.de Chart 17