HSBC 2014 Annual Report Download - page 102

HSBC BANK PLC
Report of the Directors: Corporate Governance (continued)
100
alignment and delivery of all central communications to
HSBC employees and supporting teams are in place.
Within HSBC’s employee communications channel
portfolio, the global and country staff websites are those
most used by employees and therefore are the primary
vehicles for systematic dissemination of news and video
content relating to HSBC strategy, values, policy and
employee matters and industry activity. Feedback and
‘listening’ channels are increasingly used to ensure
communications and certain business activities are
responsive to employee views and concerns.
In the UK, HSBC works with a number of employee
consultation bodies, along with recognising Unite, an
accredited trade union, for collective bargaining
purposes for specific groups of employees. Within
individual European countries there are a variety of
consultation mechanisms through employee
representative bodies including, in some countries, with
Trade Unions.
Subject to fulfilment of a service requirement, all
employees in the UK have been invited annually to
participate in HSBC Holdings’ Sharesave plan. The
Sharesave plan provides employees with an opportunity
to buy shares in HSBC Holdings plc at a future date at a
discounted option price set immediately prior to the
invitation period. Contributions to the Sharesave plan
are made from post-tax salary. However, employees are
able to buy shares from their pre-tax salary via the Share
Incentive Plan up to a maximum of £150 per month.
Both of these HMRC tax advantaged plans provide an
accessible way for employees to have a stake in the
business and the wider HSBC Group through share
ownership and actively encourage employees to engage
with the company's performance.
To help achieve HSBC’s goals, the association between
individual, team, business area and company
performances must be demonstrated. Therefore, in
addition to HSBC’s day-to-day communications, specific
mechanisms are in place to explain and familiarise
employees with internal and external factors affecting
the company’s performance. These include regular
editorials from HSBC’s economists, business reviews by
senior managers, financial news stories and a share price
tracker. Focus is particularly given internally to HSBC’s
Annual and Interim Results, with dedicated
communications and online content designed to provide
relevance and understanding for employees.
Employee engagement
HSBC recognises that strong employee engagement
leads to positive commercial outcomes, and underpins
improved business performance, increased customer
satisfaction, higher productivity, talent retention and
reduced absenteeism.
We regularly monitor and assess employees’
engagement through our Global People Surveys, held
annually from 2007 to 2011 and now bi-annually and will
take place in 2015. In the UK, we also use numerous
complementary programmes to involve and seek views
and ideas from employees, including: Best Place to
Suggest, Idea of the Month, My Health & Wellbeing, a
social networking tool and regular Exchange meetings
with senior managers where employees set the
discussion agenda. Employees can also participate via
many of HSBC’s internal blogs and communications.
Antonio Simoes runs his “Connected” online discussion
forum, where employees hear from him on a variety of
topics and are able to post their own views, ideas and
comments in a lively interactive debate.
This range of feedback opportunities gives HSBC
employees a voice that is heard and acted upon.
Gathering and reviewing people’s views enables
managers and leaders to gain insights that better inform
ongoing business and people decisions, actions and
engagement in delivering the business goals.
Sustainability
Sustainability underpins HSBC’s strategic priorities and
enables the Group to fulfil its purpose as an international
bank.
The way the Group does business is as important as what
it does. For HSBC, sustainability means building the
Group’s business for the long term by balancing social,
environmental and economic considerations in the
decisions it makes. This enables HSBC to help businesses
thrive and contribute to the health and growth
of communities.
Approach to Corporate Sustainability
Corporate Sustainability is governed by the Conduct &
Values Committee, a sub-committee of the HSBC
Holdings Board, which oversees and advises on a range
of issues including adherence to HSBC’s values and
ensuring we respond to the changing expectations
of society and key stakeholders.
Sustainability priorities are set and programmes are led
by the Global Corporate Sustainability function. HSBC’s
country operations, global functions and global
businesses work together to ensure sustainability is
embedded into the Group’s business and operations and
properly implemented. Executives within the Risk and
the HSBC Technology and Services functions hold a
specific remit to deliver aspects of the sustainability
programme for the Group.
HSBC’s sustainability programme focuses on three areas:
sustainable finance; sustainable operations and
sustainable communities.
Sustainable Finance
HSBC anticipates and manages the risks and
opportunities associated with a changing climate,
environment and economy. In a rapidly changing world,
HSBC recognises the need to ensure the business
anticipates and prepares for shifts in environmental
priorities and societal expectations.
Sustainability risk framework
HSBC manages the risk that the financial services which it
provides to customers may have unacceptable effects on
people or the environment. Sustainability risk can also
lead to commercial risk for customers, credit risk for the
Group and significant reputational risk.
For over 10 years HSBC has been working with its
business customers to help them understand and
manage their environmental and social impact in relation