Vital employees in a changing environment

Vitality

Long-term employability

In terms of vitality and long-term employability, the COVID-19 crisis meant that 2020 was a very different year than we had expected. The focus was immediately on the vitality of our field staff and on our office staff working from home. Intensive and careful support arrangements were made for both groups.

Field staff received plenty of guidance around the issue of personal safety, in terms of conduct as well as equipment. Staff working from home were provided with various means of support from the moment the instruction was issued to 'work from home if possible'. Everyone working from home was provided with the means to set up a good workplace, with an office chair, a monitor and headphones, for example. All the necessities were delivered to employees' homes at Stedin's expense. New resources, including courses, training programmes and materials, were also offered to support colleagues in establishing a new structure and maintaining their vitality in the new situation. In addition to the measures that were an essential response to the COVID-19 crisis, we also invested in long-term employability.

More proactive and individual guidance was offered in relation to performance and cases of absence, for example, and we were able to resolve these issues more quickly. For 260 colleagues, individual programmes were set up to provide tailored solutions: guidance in transitioning to another role within Stedin, improvement within the present situation or support in moving to a suitable workplace outside Stedin. This approach pays off, gives insight and yields truly sustainable solutions for employees and Stedin alike.

In 2020, as part of the new arrangements under the collective labour agreement, the Sustainable Employability budget of 500 euros per employee was widely highlighted in the organisation. This generated a positive response. There were 710 employees who used the Sustainable Employability budget for personal vitality initiatives.

Employee motivation

Each year, we carry out an employee motivation survey to provide insight into the degree of commitment and engagement among our Stedin colleagues. The survey yields detailed information on employees' perceptions of us at the team level. In the active follow-up after the survey, we initiate good dialogue, mutually and in teams, based on the insights and data.

Stedin applies two KPIs: commitment and engagement. In 2020, Stedin scored higher on both KPIs than in the preceding years as well as in relation to the set target. Against the background of COVID-19, this is a positive signal; the high degree of commitment and engagement is clearly being maintained in these unusual circumstances.

Sickness absence

Recorded sickness absence was, on average, lower in 2020 than in previous years. This reduction in sickness absence is the result of combined efforts in support of a proactive and broad approach to employability. Sickness absence for the year as a whole was 4.2%.

Work-Life balance

The results of our Motivation Meter show a high degree of employee satisfaction with the flexibility in working hours. Stedin Group offers flexible working arrangements:

• The Collective Labour Agreement for Grid Operators (CAO NWb), which applies to Stedin, includes normal working hours from 7 a.m. to 9 p.m., Monday to Friday. Employees who do not work according to a schedule or who do not have fixed working hours can arrange their own working hours in consultation with their manager (even varying them daily). In accordance with the Collective Labour Agreement for Grid Operators, employees can purchase additional hours of leave on top of their statutory minimum entitlement from their monthly Benefit Budget.
• The Flexible Working Act (Wet flexibel werken) allows employees to increase or reduce their contractual working hours and to adjust their working hours and workplace. This Act naturally applies to Stedin's employees as well. A Vitality Scheme was also introduced.
• In consultation with the manager, and provided that a position is suitable, an employee may work on a flexible basis – for instance, choosing to work from home. Our employees can find further information on our Intranet. In connection with the COVID-19 pandemic, everyone able to work from home now does so. Employees have been provided with the facilities to make this possible.

The introduction mornings for new employees were organised as virtual events this year.

Care leave and special leave

Stedin does not provide on-site or other childcare. Employees who use childcare receive a payment from the central government and choose their own childcare provider. If someone dear to an employee becomes sick or in the event of an unforeseen, urgent situation requiring immediate action (e.g. picking up a sick child from school), employees are legally entitled to paid special leave (emergency leave or short-term leave of absence).

Moreover, employees are legally entitled to unpaid special leave (parental leave) for children aged up to 8 for 26 times their number of weekly working hours. Stedin pays employees 70% of their statutory minimum wage during their parental leave. Employees can take long-term care leave, during which time they receive 70% of their salary.

Leadership

It goes without saying that leadership is essential to guide the Stedin organisation through these turbulent times. At the same time, we have high ambitions when it comes to Stedin's role in the energy transition. Against this background, we therefore decided this year to conduct an in-depth review of our existing leadership profile, in close cooperation with various managers and a delegation from the Works Council. Our aim is to accelerate as an organisation and gain a clearer understanding of what we require in terms of leadership behaviour. The review also provides us with a clear picture of where we stand. In the leadership profile, we formulate aspects of helpful and unhelpful behaviour for achieving our ambitions for the future. In the coming year, all our managers will undergo a 360-degree appraisal in the light of this profile, and we will define a range of necessary resources for leadership development.

In addition, the following resources for leadership development are provided:

• Strategy kick-start and two kick-forward days. These days allow all our managers to acquire knowledge about strategic developments and translate them to their own teams. These sessions were arranged entirely online in 2020. The two online sessions were attended by 245 and 220 managers, respectively. They gave the online sessions a score of 7.9.
• 'Toekomstmakers' (Makers of the Future) Traineeship, which is a two-year traineeship programme for talented new employees with the aim of training them to become 'leaders of the future'. The third class of seven new 'Makers of the Future' started in 2020. The first class has already successfully taken up permanent positions within Stedin.
• Process Improvement (PI) programme. We appoint a new group of PI leaders every two years. During this period, they work on improving processes, while being trained as ‘black belts’ in the Lean method.
• Basic Cohesive Leadership: an eight-month programme for new managers.
• Horizon: a 10-month executive programme. The aim of this programme is to support the development of our strategic executives and to achieve our mission of 'working together to create an environment filled with new energy'.

Learning & Development

We use various tools to support the continuous training and development of our employees. We offer a range of easily accessible options for all employees. We also encourage everyone, through the discussions between managers and employees, to undertake continuous training in their field and to invest in their personal development.

In 2020, 2,321 training programmes were followed. Total investment in training programmes in 2020 was €3,873,069: this averages at €1,096 per employee. These figures are for Stedin, including NetVerder and excluding DNWG, and also cover all the technical training programmes offered by our in-house training school.

In-house training school

By training people ourselves, we ensure that we maintain a substantial influx and internal advancement of new technically trained colleagues, even in these years where there is a shortage of technical staff. The in-house training school is a special part of Stedin. Many people have been able to acquire a stable position in society in recent years thanks to the in-house training school. Within the in-house training school, we also specifically invest in people with limited access to the labour market through special classes for residence permit holders and candidates under the Participation Act, among other things.

The in-house training school recorded approximately 34,000 applications in 2020 for technical training, safety training such as BEI and VIAG, and in-house safety training. Approximately 162 pupils were trained as junior fitters and obtained their senior secondary vocational education (MBO) diplomas in 2020.

Demand for specialised training programmes is set to change in the coming years. The focus in the past two years on training junior fitters who could set to work on replacing smart meters will make way for equipping personnel to become professionally competent fitters. Our aim is to create a pool of broadly deployable fitters who have the necessary knowledge and experience to be deployed across multiple operational units and to offer broader training to the current employees by actively focusing on training aimed at internal advancement.

In line with this development, we conducted a review of the positioning of the in-house training school in 2020. The work done by the in-house training school is essential for ensuring a continuous influx and the internal advancement of technical staff. It is our ambition to increase cooperation, within the supply chain as well as the sector as a whole, to make wider and more efficient use of our training capacity.

Various projects were carried out in the in-house training school in 2020 which we are proud to highlight:

• digitalisation of the learning opportunities within the switching centre and the apprenticeship programme (BBL);
• a personalised training plan within the apprenticeship programme (BBL) designed to enable students to graduate in spite of the COVID-19 pandemic;
• further development of teaching materials for the group of 16-year-olds, providing students with a more intensive and focused understanding of Stedin and its context;
• close cooperation with DNWG, delivering customisation in terms of the training programmes;
• further development of the in-house training school focused on the future in cooperation with grid managers and supply chain partners, among others. In particular, outsourcing, new construction, innovation and cost-efficiency were examined, providing a clear basis for further steps to be taken in 2021.

At work in the in-house training school

Inclusive society

Contributing to an inclusive society is an element of our One Planet strategy. Stedin Group is committed to working for equal opportunities and long-term employability for all. We want our workforce to reflect today's society, feel welcome and be treated equally, regardless of age, sex, religious beliefs, sexual orientation, background, level of education or disability. Stedin prohibits and does not tolerate discrimination. To this end, Stedin enforces its code of conduct and behavioural guidelines, which lay down the standards and values that we have agreed with one another. The basic principle is that we respect and value each other, with the understanding that everyone is equal.

The code of conduct and behavioural guidelines (including non-discrimination) are also the starting point for HR processes, such as recruitment, selection, promotion, remuneration and training. HR information is generally accessible and can be viewed by all Stedin employees on our Intranet. If an employee is uncertain about the application of any policy, they can obtain further information and assistance from an HR professional. If an employee disagrees with a decision, they can lodge an objection. Objections can also be filed with the Security & Integrity reporting centre. Click the link to read more about our integrity policy.

With respect to an 'inclusive society', we focus on three areas: a diverse workforce, working together to ensure everyone's continued participation and corporate social responsibility. The table on this page shows the KPIs for 2020 and the corresponding results. Further information on help for households to achieve energy savings is given in the section on 'Interaction with our environment'.

In 2020, work was undertaken with the aim of further framing policy around the issues of diversity and inclusiveness. To this end, an awareness-raising session was held with the top 20, and ambitions were formulated in the annual plan for 2021. In 2021, we will carry out a baseline measurement: quantitatively, to establish the actual composition of our workforce, and qualitatively, to assess how inclusive our organisation is. We will then formulate targets for 2030 and draw up a roadmap for achieving them, with a focus on increasing support, and we will continue to carry out the activities per sub-theme that will help to advance this process.

Diverse workforce

We recognise and acknowledge all the target groups and have specific policy in place where necessary. Stedin's employees are entitled to freedom of association, and various target groups have exercised this right. This is explained in more detail below.

Young people: 22% of our workforce consists of young people and adults aged below 35. We encourage the influx of people from this group by providing BBL traineeships and a programme for 16-year-olds at our in-house training school, offering work placement posts (in 2020, and in spite of COVID-19, we were able to place 126 interns) as well as campus recruitment (third class of 'makers of the future'). In addition, many young, inspired employees are members of 'Jong Stedin Groep' (700 members), our young professionals network that focuses on mutual connection and building a successful organisation.

1. * Excl. DNWG

Male/female ratio: Only 17% of our employees are women. The percentage of women in each job level is as follows:

• strategic executives: 35.5%;
• tactical executives and senior professionals: 19.3%;
• other job categories: approx. 16%.

Events are organised within Stedin Group by F-EMPOWER, a network that actively focuses on empowering female employees.

LHBT:  while Stedin has no specific policy in this area, employees began organising so-called 'rainbow drinks receptions' in 2020. These gatherings are aimed, among other things, at helping to make employees feel more at ease about discussing their personal situation at work, even if it differs from that of their colleagues.

Limited access to the labour market: we make an extra effort to assist people who need a helping hand, so that they can find and hold on to work. In 2020, the focus was on people with an occupational disability (in accordance with the Participation Act) and residence permit holders.

Participation Act

Stedin Group is committed to implementing the jobs agreement under the Participation Act. The target for 2024 is to create 141 jobs under the Participation Act since it came into force in 2015.

The Service Team Operations was established in 2019. In this team, young people with an occupational disability (a jobs agreement indication issued by the Employee Insurance Agency (UWV) or the municipality) are trained as assistant fitters. Many of these youngsters come to us from employment-oriented education. In order to work as an assistant fitter for Stedin, they need to obtain several safety certificates. We adapted the training material to present a practical focus for this group, and we gave the work supervisors a role in passing the knowledge on to them. The results are promising, with a high success rate and a low drop-out rate. At the end of 2019, 17 people with an occupational disability worked for the Service Team Operations; by the end of 2020, this figure had been expanded to 37 trainee fitters. Several of them have already joined a regular operational team within Stedin. The plan is to grow the Service Team Operations to 49 trainees in 2021, which would represent more than 61 jobs under the Participation Act (one job under the Participation Act equates to 25.5 hours a week). We are actively seeking to attract more women to technology and engineering and to this training programme in particular. A group of seven women will join the Service Team Operations in January 2021.

We created jobs for people with an occupational disability elsewhere in our organisation as well, but the number is still less than anticipated. The main reason for this disappointing outcome is the coronavirus crisis and the restriction on providing close support and assistance to people in practice. We also had to let several candidates go. The growth of the Service Team Operations ensured that, on balance, 2020 showed an upward trend.

Residence permit holders in training & as fitters

In 2020, nine residence permit holders, who started on their work-study programme at Stedin in 2018, obtained their diploma. This is a wonderful achievement, as it means that they succeeded in completing their entire training within the normal two-year period. All nine candidates have been taken on as fitters at Stedin and receive language support, where needed.

The second group of residence permit holders, which started on the preliminary programme at Stedin in 2019, is now in the training programme in order to qualify as first maintenance technicians for low and medium voltage (level 3) at our in-house training school. Of the eight candidates who started on the programme, six have been offered a work-study position. The coronavirus crisis called a halt to this group's training and fieldwork, as a result of which they have fallen behind with their studies.

There was no influx of a new group of residence permit holders in a work-study programme at Stedin in 2020. We sought collaboration instead with the UAF (foundation for refugee students) to offer a place elsewhere in Stedin, in the form of a work placement or entry-level position, for example. This resulted in one work placement position in 2020. This brings the total number of residence permit holders that Stedin has taken on since 2018 to 20, of whom 17 still work at Stedin.

Employment

Digitalisation is changing the world around us, and with it our work as well. This has an impact on the roles and competencies that we need now and in the future. Some types of job will disappear altogether, while others will be redefined. Within various initiatives, we are providing for timely development of our people to embrace different ways of working, thereby ensuring employment. To this end, a mobility office was set up in 2020 to provide guidance and assistance in the process of finding a suitable new job. This is useful when someone is ready to make their next career step or may be necessary because a department is undergoing such change that employees need to look for a different, suitable job within Stedin. As part of concrete restructuring measures at the Market department due to digitalisation, we are currently providing close support and assistance to eight colleagues whose position has become redundant. We are fully committed to providing work-to-work guidance, inside as well as outside Stedin. If our focus on training and internal mobility does not produce the required results, we employ the safety net under our sectoral collective labour agreement to provide colleagues with work-to-work guidance outside Stedin.

As the environment in which we operate changes, our focus at Stedin is nonetheless on retaining jobs. By using data to continuously improve our ability to look ahead, we are able to choose proactively whether we can fill a vacancy with a colleague or whether we should take on an external worker on a temporary or permanent basis. Faced with the need to do more work with fewer people at many places in our organisation, we have to make efficiency gains. To avoid major restructuring, we provide instruments proactively to get a grip on our headcount and prioritise internal advancement over influx.

Flexible use of temporary agency workers is limited as far as possible, depending on the type of work. A conscious decision may be made to use the temporary workforce in order to fulfil a need for temporary, irregular work. This situation may apply to temporary projects, to temporary support (e.g. maternity leave replacement) when specific expertise is momentarily required and to competencies that are very scarce (e.g. specialised IT staff). When using temporary contracts, we ensure that we comply with the applicable rules regarding their number and duration.

The percentage of external compared to internal employees in 2019 was 15.6%. In 2020, this figure was 14.2%. This ratio was affected by the impact of the coronavirus crisis on the workload.

Agility in a changing environment

The environment around us is changing at an ever-accelerating pace, and Stedin needs to adapt optimally to these changes. Some of the main developments we are seeing are the changing requirements in terms of knowledge and expertise. Against this background, we are focusing on people development in order to facilitate the internal advancement of colleagues. To gain more insight into the development of our personnel, a Strategic Personnel Plan was set up in 2019 and 2020.

In 2020, we made use of the first insights. Thanks to the tremendous efforts of our in-house training school in recent years, we know that we have enough junior fitters. At the same time, there is a growing shortage in trained intermediate and more specialised technical roles, and in particular in the area of ICT. These insights have enabled us to plan to permit greater differentiation in terms of current and future colleagues and to concentrate on recruitment and internal advancement.

In 2020, we invested in an entirely new salary & personnel administration system. This is an important step in our ambition to increase work efficiency, make processes simpler and more transparent and improve ease of use for all Stedin employees.

Works Council

In accordance with the Works Councils Act (Wet op de ondernemingsraden, WOR), Stedin has a Works Council. Consultation between the executive committee of the Works Council and the CEO of Stedin Group takes place on a fortnightly basis. Consultation with all the members of the Works Council takes place roughly six times a year. The Works Council, the Board of Management and the Supervisory Board additionally conduct tripartite consultations, and the chair of the Works Council takes part in the Strategic Coalition. As the Works Council comprises several different committees, it is well informed of the issues and developments in the organisation.

In 2020, Stedin was nominated for the '3D trophy' for its open, professional and constructive consultation framework encompassing the Board of Management, the Works Council and the Supervisory Board. The jury was impressed by the effective and accessible consultation structure of the 'triumvirate' of the Board of Management, the Works Council and the Supervisory Board within Stedin Group. We are therefore proud of this excellent cooperation and are convinced that this can play a key role in accelerating the developments in the organisation.