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Employees and wider workforce
Opportunities and challenges
Different demographics affect Stora Enso’s workforce in different regions. In new markets where Stora Enso is growing, the group has a new, younger workforce, while in Europe Stora Enso’s employees tend to be older on average. Carefully planned people management, starting with responsible leadership, is important wherever the group operates.
Differences in operating contexts, such as the availability of a suitable workforce, challenge Stora Enso’s operations; but at the same time, the higher educational level of emerging middle classes in growing markets provides an expanding pool of potential employees. Increasing public awareness of health and well-being issues can help us to enhance employees’ health and safety globally. Digitalisation also offers opportunities to make working conditions safer by using new applications and innovations.
Stora Enso’s Occupational Health and Safety (OHS) function works to realise the group's Health and Safety Policy and OHS Mode of Operation. These policies define how Stora Enso manages OHS topics in practice and integrates them into annual planning and reporting. Stora Enso’s People Strategy guides efforts to provide employees with a safe work environment where they are engaged and able to perform. Other key policies applied in people and safety management include:
- Code of Conduct
- Supplier Code of Conduct
- Minimum requirements for labour conditions
- Diversity Policy.
How we work
In OHS Stora Enso’s main goals are to have a workforce that is motivated, healthy and cabable; and to become a workplace free from accidents and work-related illness. Local OHS committees and working groups at Stora Enso’s units provide forums for taking up safety-related topics. The country-level OHS networks in Finland, Sweden, Germany, and China also share good practices and organise training to enhance safety procedures and competencies. The OHS Management Team, consisting of division representatives, acts as a cross-functional body, developing and aligning group-wide OHS programmes. The OHS Steering Group directs strategic long-term planning at group-level, and steers the implementation of the OHS roadmap.
The units report monthly on safety performance data including lost-time accident (LTA) rates, absenteeism statistics, and the numbers of safety observations.
Leadership on topics such as safety management is a top priority for Stora Enso, since it is the strongest driver behind company performance and winning culture. Stora Enso measures its progress in this area using an overall Leadership Index, which measures employees’ perceptions of their leaders.
Stora Enso makes every effort to hire locally wherever possible, especially for senior management positions. The group also has a set of minimum labour conditions to ensure that all employees are treated with respect and fairness.
Occupational health and safety
Stora Enso’s short-term milestone for the LTA rate was 3.8 by the end of 2016. In 2016, the group-wide LTA rate decline further to 4.4 (4.7 in 2015). The milestone for 2017 will be communicated in the Q1 Interim Report. Since the beginning of 2016 Stora Enso has been measuring illness-related absenteeism. In 2016 the illness-related absenteeism was 2.9% (3.0%) of the total theoretical working hours. In 2016, Stora Enso’s Total Recordable Incident (TRI) rate rose to 11.7 (11.0).
Stora Enso’s key performance indicator (KPI) for leadership, the Leadership Index, measures employees’ perceptions of their leaders. The index is calculated based on the annual employee survey. The goal has been to reach an index of 80/100 by 2018. In 2016 this target was reached ahead of schedule, with a Leadership Index of 80 (79 in 2015).