4.4 CSR, monitoring of other information
In addition to the information provided for the risk analysis, the section below covers the social, environmental and societal information that the Group monitors as part of its CSR policy.
4.4.1 SOCIAL INFORMATION
A.1 WORKFORCE
Changes in permanent workforce at 31 December(1)
"This graph describes the permanent workforce from 2015 to 2019.
- 25,784 in 2015
- 28,575 in 2016
- 28,866 in 2017
- 28,738 in 2018
- 34,691 in 2019"
Workforce by division at 31 December 2019
Division | Women | Men | Total | 2018/2019 change |
---|---|---|---|---|
Lagardère Publishing | 4 213 | 2 666 | 6 879 | -1,28 % |
Lagardère Travel Retail | 16 653 | 8 306 | 24 959 | 36,33 % |
Lagardère News | 420 | 410 | 830 | -39,90 % |
Lagardère Live Entertainment | 33 | 35 | 68 | 9,68 % |
Other Activities | 114 | 186 | 300 | 1,01 % |
Other assets pending disposal at Lagardère Active |
242 | 221 | 463 | 2,21 % |
Lagardère Sports | 406 | 786 | 1 192 | -6,07 % |
Group total 2019 | 22 081 | 12 610 | 34 691 | 20,71 % |
(1) Permanent workforce numbers set out here correspond to the number of employees on permanent contracts who were actually in service on the last day of the year concerned. As employee turnover is high, particularly in Travel Retail, a consistent definition cannot be applied over time to determine the number of employees. This figure reflects some degree of uncertainty (about 1%) despite the controls performed.
Items appearing in the Annual Financial Report are cross‑referenced with the following symbol AFR
Permanent workforce by age group
Division | Under 30 | Age 31-40 | Age 41-50 | Age 51 and over | Total |
---|---|---|---|---|---|
Lagardère Publishing | 1 377 | 1 859 | 1 859 | 1 784 | 6 879 |
Lagardère Travel Retail | 9 489 | 6 389 | 4 410 | 4 671 | 24 959 |
Lagardère News | 100 | 230 | 261 | 239 | 830 |
Lagardère Live Entertainment | 20 | 23 | 15 | 10 | 68 |
Other Activities | 46 | 81 | 81 | 92 | 300 |
Other assets pending disposal at Lagardère Active | 61 | 119 | 179 | 104 | 463 |
Lagardère Sports | 348 | 465 | 256 | 123 | 1 192 |
Group | 11 441 | 9 166 | 7 061 | 7 023 | 34 691 |
Percentage | 59 % | 20 % | 20 % |
The change in the Group’s permanent workforce is mainly attributable to the strategic refocusing plan initiated by the Group in 2018. Following its implementation, the workforce is stable at Lagardère Publishing and growing sharply at Lagardère Travel Retail. The headcount increase at Lagardère Travel Retail is attributable to the consolidation of acquisitions and new concessions – namely HBF and IDF – between late 2018 and the end of 2019. For assets sold or pending disposal, the workforce naturally decreased between 2018 and 2019.
A.2 SOCIAL DIALOGUE
In terms of labour relations, although it practices a policy of independence for its business lines, the Group also promotes cooperation and dialogue with employee representative bodies and between the various subsidiaries in France and the rest of the world.
Two committees have been set up to this end: the European Works Committee, set up in January 2003, and the Group Employees’ Committee, set up in January 2002.
These two bodies have regular exchanges with Management about the key priorities and changes necessary for the Group’s business activities.
The Group Employees’ Committee comprises 30 employee members who represent the employees of the Lagardère group’s French operations.
The European Works Committee also comprises 30 members who are employees of the Lagardère group in Europe. Since the committee was renewed in July 2017, French employees hold 12 seats and the remaining 18 seats are held by representatives from ten other European countries – Austria, Bulgaria, Czech Republic, Germany, Italy, Netherlands, Poland, Romania, Spain and the United Kingdom.
The articles of association of the Group Employees’ Committee and the European Works Committee stipulate that each of these bodies must hold an annual ordinary meeting.
In addition to these annual meetings, extraordinary meetings or meetings between committee members and union representatives may be held if the situation requires.
Collective agreements in force
Indicator | Unit | 2019 | 2018 | 2017 |
---|---|---|---|---|
Collective agreements in place at 31 December | No. | 560 | 488 | 537 |
Collective agreements signed during the year | No. | 111 | 108 | 94 |
Percentage of the workforce covered by collective agreements, by type
Type of agreement |
Gender balance | Hygiene, safety, working conditions |
Inclusion of employees with a disability |
Employee welfare benefits |
Working hours | Training | Remuneration |
---|---|---|---|---|---|---|---|
Group total 2019 | 48 % | 58 % | 40 % | 62 % | 79 % | 47 % | 76 % |
Group total 2018 | 50 % | 44 % | 32 % | 57 % | 82 % | 31 % | 77 % |
A.3 ORGANISATION OF WORKING HOURS
Group entities have set up work organisation schemes that provide the flexibility to meet the specific requirements of their operations, with overtime hours, fixed-term contracts and temporary employment. This flexibility – which is required for the organisation of working time – does not, however, jeopardise the Lagardère group’s compliance with legal regulations specific to each country, particularly in terms of working hours and overtime.
Due to the nature of its press and live entertainment production activities, from time to time the Lagardère group calls on the services of specific employee categories, namely freelance journalists, entertainment workers, and other contract employees such as proof readers and events staff.
Calculated on a full-time equivalent (FTE(1)) basis, the total number of non-permanent and temporary workers stood at 14.8% of the Lagardère group’s total FTE workforce in 2019, compared with 13.4% in 2018.
Employees on fixed-term contracts(2) (Full-Time Equivalent basis)
Division | 2019 | 2018 |
---|---|---|
Lagardère Publishing | 451 | 297 |
Lagardère Travel Retail | 2 563 | 2 483 |
Lagardère News | 51 | 135 |
Lagardère Live Entertainment | 13 | 13 |
Other Activities | 19 | 20 |
Other assets pending disposal at Lagardère Active | 105 | 126 |
Lagardère Sports | 132 | 413 |
Group | 3 334 | 3 487 |
Contract employees(3) (Full-Time Equivalent basis)
Division | 2019 | 2018 |
---|---|---|
Lagardère Publishing | 73 | 86 |
Lagardère Travel Retail | 58 | 39 |
Lagardère News | 332 | 355 |
Lagardère Live Entertainment | 34 | 16 |
Other Activities | 4 | 23 |
Other assets pending disposal at Lagardère Active | 931 | 777 |
Lagardère Sports | 102 | 28 |
Group | 1534 | 1324 |
Number of temporary hours(1) worked during the year on a Full-Time Equivalent basis
Division | 2019 | 2018 |
---|---|---|
Lagardère Publishing | 629 | 629 |
Lagardère Travel Retail | 365 | 182 |
Lagardère News | 3 | 6 |
Lagardère Live Entertainment | 2 | 0 |
Other Activities | 3 | 10 |
Other assets pending disposal at Lagardère Active | 62 | 60 |
Lagardère Sports | 10 | 5 |
Group | 1084 | 892 |
(1) The FTE figure is obtained by adding together all the employees who worked for the Group during the year, based on their standard working hours and the hours they actually worked over the twelve-month period. For example, an employee who works half a week for six months of the calendar year is counted as 0.25 FTE (0.50 x 0.50). This measure is particularly relevant for analysing the non-permanent workforce, given that reporting a figure as at 31 December would not reflect the actual situation for this occupational group.
(2) Non-permanent employees = employees on fixed-term contracts.
(3) Contract employees alternate between periods worked and down time to meet the company’s specific requirements.
4.4.2 SOCIETAL INFORMATION
A.1 STRATEGY
In keeping with its business lines, the Group’s approach to corporate citizenship and social involvement in the fields of culture and education is mainly expressed through the Jean-Luc Lagardère Foundation, which was created in 1989 under the auspices of the Fondation de France.
The Foundation was set up to implement Lagardère’s commitment to culture, community, youth and sport, and develops a number of programmes to promote cultural diversity, encourage creation and promote access to education and culture for all. The Lagardère group is also keen for its Foundation to encourage its employees to get involved in their community.
Beyond the actions carried out by the Foundation, the Lagardère group carries a responsibility to the community and to society at large through its range of brands. Lagardère works to foster social cohesion by promoting culture, education, access to content, freedom of expression, and the fight against hunger, through the various partnership and sponsorship operations conducted by its operating entities.
The programmes developed by the Foundation and implemented at business divisions therefore address numerous UN Sustainable Development Goals, especially 1 to 5, 8 to 12 and 16.
A.2 DEPLOYMENT AND PERFORMANCE
JEAN-LUC LAGARDÈRE FOUNDATION
At the heart of the Lagardère group’s commitment to the creation of culture lies the prestigious awards it presents to talented young people under the age of 30 (or under 35 for certain categories) in the culture and media domains. Prizes are awarded by prestigious juries in 11 categories: Writer, Film Producer, Television Scriptwriter, Musician (modern music, jazz and classical music), Bookseller, Print Journalist, Photographer, Documentary Film-maker, Animated Film-maker and Digital Artist.
Since the inaugural Jean-Luc Lagardère Foundation Awards in 1990, 320 prize-winners (13 in 2019) have received a total of €6,655,000 including €255,000 awarded in 2019.
Subsequently the winners regularly participate in other programmes run by the Foundation, as illustrated by the three examples below:
- as part of its partnership with the French Academy in Rome, Villa Medici, two of the Foundation’s prize-winners were hosted for a one-month residency in 2019;
- as part of the Foundation’s work with the Studio 13/16 cultural programme at the Pompidou Centre (targeted at teenagers), one of the winners of the Foundation’s award held a choreography workshop for the kids, while two Print Journalist winners gave a talk on professional media;
- lastly, in the context of a partnership with the music-themed Abbey of the Ladies in Sainte-Marie-des-Dames, western France, and specifically the Place aux jeunes ! campaign promoting music and culture for kids and teenagers, the Foundation asked two winners of the Print Journalism award to lead a seminar for around fifteen kids on media professions during the July festival. The participants interviewed various festival actors and posted their written, radio and video reports on the festival website.
The Foundation also continued its efforts to promote literature and cultural diversity in 2019 by supporting literary events at the Institut du Monde Arabe (IMA). Entitled An hour with..., this event spotlights an Arabic or French language author every Saturday afternoon around a discussion of the Arab world and the latest in Arabic literature. This event follows on from the collaboration that has united the Foundation and the IMA for many years in supporting the Prize for Arabic Fiction.
The Prize for Arabic Fiction – jointly created in 2013 by the Foundation and the IMA, and the only French award to recognise Arabic creative writing – was awarded Egyptian author Mohammed Abdelnabi for his novel In the Spider’s Room, published by Actes Sud/Sindbad and translated from Arabic into French by Gilles Gauthier.
The Foundation also very much honoured its commitment to promote access to culture for all in 2019, through two partnerships:
- the Divertimento orchestra and its academy, which supports hundreds of young beginners (mainly from priority education zones), as well as professionals, as they discover the symphonic orchestra;
- support for the sixth edition of the Jules Rimet award, which promotes sports fiction (2019 prize awarded to Fanny Wallendorf for her book L’Appel, published by Éditions Finitude), organises writing workshops led by writers to get young people in football clubs involved in reading and writing and help boost their performance at school. After Red Star and Olympique Lyonnais, these workshops took place at Olympique de Marseille football club for the second year in a row.
The Foundation continued its partnership in 2019 with Sciences Po, which offers adaptable educational programmes for high-level athletes, providing access to top-quality academic training that is suited to the demands of practising sport at a very high level. Since 2007, 137 students have participated in this programme.
In terms of employee commitment, since 2014 the Jean-Luc Lagardère Foundation has presented up to three annual solidarity awards (€10,000 each) to community projects sponsored by Lagardère group employees. Three awards were handed out in 2019: (i) L’École à l’hôpital has been sponsored by an employee of Kwyk (Lagardère Publishing), meaning it will be able to support the schooling of hospitalised kids suffering from psychiatric illnesses; (ii) Gribouilli has been sponsored by an employee of Duty Free Global (Lagardère Travel Retail) allowing it to set up a digital best practices tool to support women with child caring; and lastly, (iii) not-for-profit organisation Des jeunes et des lettres has been sponsored by an employee of Hachette Jeunesse (Lagardère Publishing) enabling it to expand its learning outreach through culture programme for high school kids from disadvantaged backgrounds.
INDIVIDUAL BUSINESS DIVISIONS
The Group’s various entities and divisions supported various worthy causes over the course of 2019, in all the areas mentioned above and more, in the form of partnerships, charity events, prizes, competitions and donations. The examples below are not intended to be exhaustive and do not therefore represent the full range of actions undertaken by all Group operating entities and countries. Hachette Livre’s Charitable Action Committee offers funding to organisations supported by employees and focused on the following themes: assisting disadvantaged people and those in distress, integration, inclusion, education, helping lonely or disabled people, combating illiteracy, environmental protection and rehabilitation, and more generally, all charitable or environmental causes. Ten associations received funding totalling €45,000 in 2019 as a result of the committee’s work.
In the United States, Paradies Lagardère has decided to put eliminating hunger at the centre of its corporate citizenship drive. It supports the No Kid Hungry® campaign led by the Share Our Strength charity, working to eliminate hunger in the United States and beyond. As part of the Dine Out for No Kid Hungry® campaign that runs through September, Paradies Lagardère restaurants donate a portion of the price of every cup of coffee sold. It also runs a year-round effort to support the No Kid Hungry campaign by donating 25% of every children’s meal served in its airport restaurants, as well as inspiring initiatives aimed at alleviating hunger in the communities adjacent to airports in Canada. Paradies Lagardère airport terminal stores now support their customers in donating food for distribution to the local population through food banks.
CORPORATE FUNCTIONS OF THE LAGARDÈRE GROUP
The Lagardère group is also involved at the corporate level in cherished causes in areas such as healthcare, sport and culture.
In 2019, its financial commitments amounted to almost €11,000,000 across these different areas.
- Healthcare
The Lagardère group has a history of investing in medical causes going back to 1993 when it contributed to the emergence of Carmat’s major development project for the first artificial heart. In keeping with this track record, in 2019, the Group decided to support the American Hospital in Paris alongside other well-known French industry leaders. The American Hospital in Paris is a private not-for-profit body that has been recognised as a public interest organisation since 1918. It symbolises the close relationship between France and the United States, embodying the excellence of French and US medical practice. Through its “Le Nouvel Américain” project, the American Hospital in Paris is setting itself the goal of breaking into the top five hospitals in Europe.
In line with the Lagardère group’s values of innovation and creativity, Arnaud Lagardère is lending his support as Chairman of the Campaign Committee of the American Hospital in Paris. As major player in the United States in its business segments, the Lagardère group is committed to making the hospital’s five major philanthropic programmes a reality. These are:
- promoting centres of excellence for mother and child healthcare, breast and prostate cancer;
- providing patient outreach as a comprehensive healthcare partner, from prevention to follow-up;
- investing in the most innovative technologies;
- advocating medical excellence through university partnerships and contributions to medical research, teaching and publications;
- building the American Hospital in Paris of tomorrow, not only by creating a medical imaging centre and erecting a new flagship building designed by architect Jean-Michel Wilmotte, but also by refurbishing existing spaces.
To that end, the Lagardère group, as corporate sponsor, is contributing €10,000,000 to the project over five years between 2019 and 2023.
Furthermore, the Group also supports other medical bodies, including Institut Rafaël, which provides patient outreach for cancer survivors.
- Sports
Above and beyond its business investment in the Lagardère Sports and Entertainment division, the Group has always used charity to signal its commitment to sports.
In 2019, the Group brought this commitment to life by sponsoring prizes at the Fondation Paris Saint-Germain – Les Enfants d’abord gala in support of a range of sports projects for the benefit of children from disadvantaged neighbourhoods and children who are ill, as well as promoting social and professional inclusion for young adults. The Lagardère group committed €685,000 in gala funding. - Culture
In the spirit of the Fondation Jean-Luc Lagardère’s initiatives in the fields of the arts and culture, in 2019, the Lagardère group supported the French photographer and director Sylvie Lancrenon in organising two dance-themed photo exhibitions and in publishing a book. Over the years, the Group has sponsored a variety of organisations, including to help France’s national library (Bibliothèque Nationale de France) acquire prestigious literary manuscripts on several occasions, the Paris Opera house and La Règle du Jeu, a literary review. In 2019, these various acts of patronage represented a total commitment of around €310,000.
4.4.3 ENVIRONMENTAL INFORMATION
A.1 ENERGY CONSUMPTION AND CO2 EMISSIONS (SCOPES 1 AND 2)
The consumption shown in the table below covers all the activities of the Lagardère group.
The data factor in the direct (Scope 1) and indirect (Scope 2) energy consumption of all the offices, points of sale, stores, warehouses, server rooms, radio broadcasting sites, venues, sports academies and stadia used for all the Group’s activities in all the regions indicated above.
For Lagardère Travel Retail, there is some uncertainty over the exact amount of consumption. The division operates more than 4,800 points of sale worldwide and does not always have access to energy bills detailing the consumption of each point of sale, as energy costs are often included in the charges paid to licensors (airport/station owners). As a result, operating staff responsible for reporting consumption data for the store network operated in each region are sometimes required to make estimates using average kWh/m2/month data based on the surface area and type of point of sale.
The Group’s tertiary energy consumption, worldwide (in GWh)
Division | Year | Scope 1 | Scope 2 | Total |
---|---|---|---|---|
Lagardère Publishing | 2019 | 38 | 34 | 72 |
2018 | 20 | 35 | 55 | |
Lagardère Travel Retail | 2019 | 13 | 203 | 216 |
2018 | 13 | 193 | 206 | |
Lagardère News | 2019 | 0 | 11 | 11 |
2018 | 2 | 13 | 15 | |
Lagardère Live Entertainment | 2019 | 1 | 3 | 4 |
2018 | 0 | 4 | 4 | |
Other Activities | 2019 | 6 | 2 | 8 |
2018 | 6 | 2 | 8 | |
Other assets pending disposal at Lagardère Active |
2019 | 0 | 2 | 2 |
2018 | 0 | 2 | 2 | |
Lagardère Sports | 2019 | 2 | 5 | 7 |
2018 | 2 | 5 | 7 | |
Total | 2019 | 60 | 260 | 320 |
2018 | 43 | 254 | 297 |
The Group’s GHG emissions, worldwide (in tCO2 eq)
Division | Year | Scope 1 | Scope 2 | Total |
---|---|---|---|---|
Lagardère Publishing | 2019 | 8 395 | 9 332 | 17 727 |
2018 | 4 718 | 10 029 | 14 747 | |
Lagardère Travel Retail | 2019 | 2 784 | 92 973 | 95 757 |
2018 | 3 127 | 80 474 | 83 601 | |
Lagardère News | 2019 | 16 | 1 932 | 1 948 |
2018 | 375 | 2 620 | 2 995 | |
Lagardère Live Entertainment | 2019 | 171 | 255 | 426 |
2018 | 11 | 279 | 290 | |
Other Activities | 2019 | 1 220 | 159 | 1 379 |
2018 | 1 295 | 167 | 1 462 | |
Other assets pending disposal at Lagardère Active |
2019 | 52 | 429 | 481 |
2018 | 74 | 371 | 445 | |
Lagardère Sports | 2019 | 424 | 1 881 | 2 305 |
2018 | 478 | 1 814 | 2 292 | |
Total | 2019 | 13 062 | 106 961 | 120 023 |
2018 | 10 078 | 95 754 | 105 832 |
In general, the changes in reported energy consumption and greenhouse gas emissions, depending on the division and type of energy, reflect:
- changes in organisational structure, with new entities and/or new buildings entering the environmental reporting scope;
- a better understanding within an entity of the various sources of energy consumption;
- internal organisational changes (often due to refurbishment or renovation works) that may be temporary or permanent, and lead to increases or decreases in energy consumption;
- a change in the emissions factors used to convert energy into CO2.
A.2 WATER CONSUMPTION
Lagardère Publishing is very aware that paper production uses large amounts of water. As such, it carefully monitors how paper suppliers and printers optimise water consumption and the release of clean water back into the environment.
Several initiatives (closed loop recycling, isolation transformers) have been taken by the main paper suppliers, resulting in marked progress over the past ten years. The total amount of water used in the paper manufacturing process has been substantially reduced, now standing at nearly half the amount recorded around 15 years ago. By continuously improving their paper manufacturing processes, paper suppliers also recycle most of their wastewater and release clean water back into their natural environment.
Printers have also taken an active approach to limiting water consumption and use all the advanced technology available to them (especially in closed loop rinse water systems) to reduce their consumption and release clean water back into the environment. To maintain transparency, the Lagardère group monitors its tertiary water consumption along with that of certain partners. This refers to the amount of water used at all types of physical sites where employees from the different divisions work (offices, warehouses, retail stores, sports training academies etc.). The table below shows the amount of water used at each division worldwide in 2019.
Group water consumption (cu.m.)
Division | Year | Water (cu.m.) |
---|---|---|
Lagardère Publishing | 2019 | 80 204 |
2018 | 68 143 | |
Lagardère Travel Retail | 2019 | 424 337 |
2018 | 417 411 | |
Lagardère News | 2019 | 14 326 |
2018 | 17 053 | |
Lagardère Live Entertainment | 2019 | 16 366 |
2018 | 10 493 | |
Other Activities 2019 | 2019 | 85 360 |
2018 | 65 500 | |
Other assets pending disposal at Lagardère Active | 2019 | 1 918 |
2018 | 1 836 | |
Lagardère Sports | 2019 | 20 012 |
2018 | 14 102 | |
Total | 2019 | 642 523 |
2018 | 594 538 |