GRI-G4  DMA, LA1, SO1
This content was subject to assurance by SGS Italia S.p.A. (14 March 2014).

Workforce insight ⁽¹⁾

Motivated and committed employees have always been crucial to the Group’s success.  Our ability to build a sustainable enterprise that competes in the global marketplace is dependent upon the Group’s single most important resource: our people.

Fiat Group strives to provide its employees with growth opportunities that continuously foster international collaboration capitalizing on diverse experience,

background and skill. The Group’s approach to human capital management rests on structured processes applied globally across all regions to ensure harmonic governance and management of employee development paths.

The Human Resource (HR) function is responsible to support the business leaders in all areas of employee management. Robust Human Resource processes are intended to deal with all the fundamental phases of the employee career life cycle: from recruiting to retirement. The recruiting and hiring processes at Group companies are supported worldwide by modern scouting and recruiting tools aimed at finding the best talents in the employee population, (through internal job postings), as well as external applicants (through career websites, recruiting platforms, and selected service providers).

Customized according to the needs of the local community (except when already set by law), hiring tools, methods and specialists adhere to the principles of an Equal Opportunity Employer policy which highlights Group commitment to respecting the diversity of job applicants during internal recruiting and hiring processes. Results-oriented programs are designed to monitor and analyze recruiting agency practices and can be used as necessary to promote consistent application of the policy toward external recruiting services. Additionally, to monitor potential cases of discrimination, Human Resources supports investigations and takes appropriate corrective actions, where warranted.

The evaluation process adopted worldwide to assess employee leadership and performance plays a key role in the management model of our people. Our Performance and Leadership Management (PLM) process applies to 100% of managers and professionals, plus a portion of salaried staff, and is conducted annually. Data related to employee performance are stored in dedicated information systems, accessible to HR representatives, managers and employees eligible for the process, each one of them having access to proper information.

To support the management of employees along their career path, the company organizes classroom and web-based training initiatives for the acquisition and reinforcement of both managerial and technical skills, as well as coaching and team building pathways. These activities support the development of a Group-wide culture of embracing change, driving accountability and fostering empowerment. Training activities are monitored and measured on an ongoing basis, with training program effectiveness and efficiency evaluated using a set of key performance indicators. Effectiveness is generally measured on the basis of participant satisfaction, improvement in knowledge/individual skills, and, when relevant, applicability of concepts learned to the participant’s work process. To verify whether the desired outcome is achieved, training efficiency is monitored by comparing training hours by both type and category and examining expenditure levels against international best practices.

The Group recognizes it is important to continually measure and understand employee attitude, opinion, motivation and satisfaction. With this in mind, along with the many opportunities that the Human Resources function organizes to maintain an open dialogue with employees, powerful ad-hoc tools are adopted as necessary.  These include but are not limited to engagement and people satisfaction surveys, and launches initiatives aimed at collecting employee suggestions and increasing the level of their participation in company processes and progresses.

To maintain its appeal as an employer throughout the final stages of an employee’s career, initiatives to support employee transition from employment to retirement are made available. Similarly, detailed pension estimator tools were available in certain countries, as well as savings plan reinvestment initiatives and retirement seminars, webinars and retirement counseling.

All employee data are monitored and reported on a monthly basis for headcount reporting. IT systems support this activity. For instance, the turnover rate represents a key indicator for Group workforce reporting and is periodically monitored both at the company and headquarter level. The Group HR Reporting & Projects team is responsible, on a monthly basis, for data collection and trend monitoring through dedicated HR data systems, with support provided by local HR representatives responsible for data maintenance and update.

Employees trend by year

Fiat Group worldwide (no.)

During the year, the Group carried out activities in the automotive sector through companies located in approximately 40 countries and sold its products or services to customers in more than 150 countries. Worldwide shipments were up 3% over the prior year to 4.4 million units. Progressive regionalization, the reorganization of the business into operating segments and the export challenge, are crucial choices for the Group’s solidity. This also creates sources of employment opportunities and growth opportunities for the economies of the countries in which the Group operates. This is seen in the steady increase in the Group’s workforce. Group employees, as of 31 December 2013, were 225,587, a 5% increase over year-end 2012.

Employees by geographic area

Fiat Group worldwide (no.)

Employees by operating segment

Fiat Group worldwide

Employees by category (2)

Fiat Group worldwide

The shift of the Group’s product strategy toward the Premium segment has positively impacted some production areas in EMEA. This is the case of the Italian plant Officine Maserati Grugliasco (OMG) which had been inactive from September 2006. It was then acquired by Fiat Group in November 2009 and finally inaugurated after refurbishment in January 2013, under the new name of Avv. Giovanni Agnelli plant. The plant, located in Grugliasco (Italy), is the production site for the new Maserati Quattroporte and the Maserati Ghibli.

Employees by age 

Fiat Group worldwide

Employees by lenght of service 

Fiat Group worldwide

Worldwide, the highest concentration of Group employees remained in the 41 to 50 age group, and approximately 40% of the workforce has been employed for five years or less. In recent years, the impact of the demographic changes in progress has started to be reflected in the slight yet progressive aging of the Group’s workforce: continuing into 2013 there was a steady global increase in the number of employees in the over-50 category compared with 2012, while the distribution of other categories was stable. No differences were registered between genders. To respond to aging trends observed in the working population, the company develops specific initiatives in areas that range from workstation ergonomics to career transition to retirement programs.

Employees by level education

Fiat Group worldwide

(1) Unless otherwise specified, workforce data is calculated at year-end.

(2) Employees are divided into four main categories: hourly, salaried, professional and manager. Professional encompasses all individuals who perform specialized and managerial roles (including “professional” and “professional expert” under the Fiat S.p.A. classification system and “mid-level professional” and “senior professional” under the Chrysler Group classification). Manager refers to individuals in senior management roles (including those identified as “professional masters,” “professional seniors” and “executives” under the Fiat S.p.A. classification system, and “senior managers” and above under the Chrysler Group classification).

(3) Calculation subject to approximation resulting from the comparison of academic qualifications among different countries.

(4) Cases for which it is not possible to report level of education as the data is not always tracked in Group information systems, particularly with reference to hourly employees.

With respect to education level, there was a continuous increase for both men and women having higher levels of education, with 23% of employees holding a university degree or equivalent qualification. Roughly 45% of Group employees had completed high school.

The number of employees having completed elementary/middle school was stable at about 25%. During 2013, efforts made to improve data quality and reporting systems continued to lead to a significant drop in the percentage of the workforce for which it is not possible to report the level of education, mainly composed of hourly employees.

Employees turnover

Fiat Group worldwide (no.)

Employees at 31 Dec 2012 214,836
New hires 34,245
Departures (25,542)
◬ scope of operations 2,048
Employees at 31 Dec 2013 225,587

Pernambuco project

The construction of the new plant in Pernambuco (Brazil) is an excellent example, as well as a clear signal of the Group’s strategy to expand and to reach the highest levels of competitiveness at every location of operation. The plant is expected to start activities during the first half of 2015 with an initial production capacity of 200,000 vehicles per year. The site will also have an integrated supply park, product engineering center and testing facilities.This new industrial presence in the area will be characterized by an approach to development and deruralization based on participation that provides for the engagement of local communities early on, starting from the very first design phases and assessments of local needs.