Following the merger between TUI AG and TUI Travel PLC at the end of 2014 and the ensuing organisational changes, Human Resources in particular faced numerous challenges, reviewing its own alignment while actively supporting the Group’s new strategic alignment. The structural change inevitably went hand in hand with a number of HR initiatives for managers and employees.
In financial year 2014/15, the Group Functions were successfully merged. Key areas requiring action included harmonising organisational structures, integrating international teams, adjusting processes and communication channels. Activities to promote integration and cultural change will continue in financial year 2015/16.
The merger, the strategy programme oneTUI and with them the stronger internationalisation of the Group have opened up a welter of career opportunities to our employees, not least so as to retain them for the TUI Group in the long term. This is a perspective that TUI, as an international employer, is seeking to showcase both internally and externally with its personnel marketing measures.
The HR departments have supported organisational change with a broad range of activities. Tailored training has been offered to prepare managers and employees for the future demands of digitisation and globalisation. Priorities continue to be joint talent management and the recruitment of junior staff, e.g. by means of the International Graduate Leadership Programme. A further key factor for the success of our Company is our steady development: launching our employee survey, our open feedback culture and the expansion of idea management have all made substantial contributions towards achieving this goal. Further details on our best practices within the TUI Group are presented on the next few pages.
We are confident that through these measures we have laid the groundwork for our continuing success, even in times of major change, thanks to our highly qualified and committed management and employees.
Since the merger between TUI Travel PLC and TUI AG, we have already achieved some key milestones in our growth strategy and initial economic results are already evident. In order to drive these positive developments further, it is essential to forge a unified corporate culture: a working environment that enables people to pursue open dialogue and create positive change, and to help shape the future of the Group with their motivation and commitment.
In the course of the integration process, it was important for our Company to capture detailed information about the mood among our workforce and to analyse existing strengths and weaknesses. The first Group-wide employee survey was therefore carried out in financial year 2014/15. It was called TUIgether, reflecting the cultural change we were seeking to achieve.
In September, our employees were invited to provide us with feedback on customer orientation & innovation, leadership culture, strategy, goals & objectives, efficiency, cooperation, and personal development.
To guarantee anonymity, data security, and the professional execution and evaluation of the survey, the employer and employee representatives jointly commissioned TNS, an independent institute specialising in market research and employee surveys.
The survey achieved a response rate of 66 %. The results therefore permit an accurate picture to be drawn. They will be analysed by the Board, by business units and at country level, and managers and employees will have a chance to discuss them at joint workshops. Subsequently, all the teams will identify appropriate actions and submit them via local management to the TUI Group’s Executive Committee for coordination. The Group Executive Committee, in turn, will define action packages to implement at Group level.
We are planning to carry out the employee survey on an annual basis in order to acquire a consistent flow of first-hand information about corporate strengths and the potential for improvement. The actions derived from the findings will enable us to build on our Company’s success in the long term.
Due to the structural changes that took place in financial year 2014/15, the HR function in all Group companies had to introduce tailored HR measures to support managers and employees throughout the period of change and to help manage the change processes themselves. We hope to learn from positive experiences in the regions and to share best practices.
Strategic mergers took place in many Group companies with a view to leveraging the synergy potential to optimum effect. In Austria, the focus in the period under review was on integration with the German tour operator. HR accompanied these measures with a socially responsible restructuring plan, including active support for managers and employees. TUI Belgium and TUI Netherlands combined their tour operation activities, focusing on the implementation of a new organisational structure. One of the biggest challenges was to create and build TUI Destination Services, a virtual organisation pooling all inbound services in destinations worldwide. Around 500 job applications were recorded, 300 interviews were held and 200 new jobs were created. 25 nationalities are represented in this global organisation alone.
As part of TUI’s strategic realignment, digital processes are becoming increasingly important. Our clear goal is to promote cooperation among our virtual teams in our global matrix organisations. To this end, it is important to familiarise our employees early on with new tools, procedures and working environments and offer appropriate skilling programmes wherever needed. Our Group-owned services provider TUI Business Services has supported TUI’s transformation process through foreign language training schemes and seminars on intercultural understanding and digital change. Foreign language training was offered when and as required, and initial steps were taken towards the development of an e-learning concept for foreign languages in cooperation with the service provider Rosetta Stone. The focus was also on training sessions to raise the intercultural awareness of our managers and employees and on cross-cultural seminars.
Training in digital know-how was another substantial component. A pilot project was launched to offer employees initial activities such as job shadowing or digital boot camps. Further qualification schemes to impart digital know-how will be devised and implemented stage by stage.
The period under review saw the first-time introduction of agile training courses. Agile procedures secure highly dynamic management and control of our TUI projects and enable us to integrate new requirements flexibly, e.g. by means of short process cycles, quick feedback and a high level of self-organisation among employees.
Our internal mentoring programme supports our managers and employees around pre-defined annual themes, creating a platform for exchange and knowledge transfer across countries and functions. This initiative was launched by TUI Nordic and successfully rolled out to TUI Belgium and TUI Netherlands in the period under review under the theme “Leadership of multi-cultural teams in times of change”.
Robinson faces many challenges in connection with its expansion strategy (40 clubs by 2020). In December 2014, a change process was initiated that involved the entire top management level and all employees and managers working at the head office. It changed meeting formats, established a team of multipliers with colleagues from all divisions and management levels, tailored communication processes to different target groups, initiated 360° feedback schemes and a coaching process for the senior management level, and implemented leadership workshops.
Recruitment of junior staff and talent promotion
Recruiting junior staff and highly skilled specialists constitutes a major investment in our future, and our efforts are also recognised. In the rankings of Germany’s best recruiters, the TUI Group came out top in the category “service providers”. In the overall rankings for the “best recruiters”, TUI was in 16th place. In a representative study of “best recruiters”, the Austrian communications agency GPK conducts an annual assessment of recruiting standards among the top 500 employers in Germany, Austria and Switzerland. The findings are based on scientific criteria and tests of unsolicited applications.
Internal career portal
The internal career portal has a clear strategic focus on oneTUI. It reflects the vision of cross-country cooperation in global and virtual teams. We operate on a global scale with more than 76,000 people in around 57* countries. The portal makes an essential contribution to our internal succession management and offers our staff a welter of career development opportunities and opportunities for a vocational reorientation. Our clear commitment to international cooperation as oneTUI thus enables us to remain an attractive employer offering career prospects for our high talents.
Via the Internet, TUI staff had access to all vacancies posted. In the period under review, the career portal recorded around 28,000 hits. Most enquiries came from the UK, Germany, France, Spain, Greece, Belgium and the Netherlands.
* Based on location of company domicile
Ensuring a well-qualified supply of new skilled workers is a key feature of our strategic HR development aimed at meeting the demands of the future. TUI sees its task as providing a diverse spectrum of schemes to train for young people in all areas of company operations, equipping us for tomorrow’s challenges and for sustainable success.
In Germany, TUI offers training opportunities in 12 different occupations and 3 sandwich course at university leading to a Bachelor of Arts / Science in Tourism, Business IT or Business Administration. At the balance sheet date in 2015, there were altogether 576 young trainees in the Group’s consolidated German companies. That is a 6.7 % increase on the previous year. The training rate is also higher at 5.8 % (previous year: 5.4 %).
Of the 171 trainees in Germany who gained their certificate in financial year 2014/15, 67.8 % were offered permanent employment. The hiring rate was therefore just as high as the previous year.
Similar vocational training is provided in neighbouring Austria and Switzerland, where a great emphasis is placed on learning on-the-job in travel outlets. In Austria, there were altogether 40 young people in training at the balance sheet date, while in Switzerland there were 31.
The schemes that have served us so well in the past proved popular again. Adelante is an initiative launched by the Chamber of Industry and Commerce in Hanover to combat youth unemployment in Spain: in September 2014 three young Spaniards began a one-year training course with TUI Deutschland.
Apart from vocational training in the classical sense, TUI has forged partnerships with universities so that students working towards relevant qualifications can acquire a few insights into our company before they graduate. Once they complete their studies, we seek to induct these young professionals into working life by inviting them to join our specially tailored programmes.
Right across the Group, the International Graduate Leadership Programme is a keystone in this. In 2015 it attracted 28 (previous year: 26) participants. The 18-month programme prepares graduates for leadership tasks in a range of TUI Group companies by placing them on wide-ranging international assignments with practical hands-on experience.
Our investment in high-calibre training for students and graduates has been acknowledged by our target group. In the rankings published by TheJobCrowd, where university graduates are asked to rate employers, TUI scored highest in the tourism and leisure sector in the United Kingdom.
Similarly, we received an award from the German online career portal Absolventa for our commitment to fairness and building career success by means of our graduate programme.
All our companies attach great importance to ensuring an adequate flow of young talent through trainee schemes. TUIfly offers two distinct trainee programmes. One focus is on classical management and the other on operative airline management. The combination is unique, as the trainee flight dispatchers work in a strategic partnership with a flight training school. The practical placements for trainees are organised locally and internationally in the TUI Group’s oneAviation network, and a strong emphasis is placed on core business operations. This is a unique selling proposition in the field of training and skill-building which does justice to the specific needs of the airlines.
TUI France also facilitated training in highly diverse corporate areas for more than 70 trainees during the year under review. TUI Switzerland applies an innovative concept at its Junior Management Academy, with 13 participants during the reporting year.
Training for managers
Management responsibilities at TUI call for continuing professional development in a rapidly changing environment. Identifying and fostering our leadership talent and building on all-round management skills plays a key role in securing the long-term success of our company.
Our established development programmes Global High Performance Leadership, Horizons and Perspectives once again proved to be significant instruments in nurturing management talent for the TUI Group. Global High Performance Leadership is a format that builds key skills for the top level of management, equipping participants to lead successfully and develop profitable business areas. Perspectives is aimed at young managerial talent and seeks to create synergies and enhance results by way of innovations. 174 people have completed this TUI programme in the last 2.5 years. Meanwhile Horizons, the development programme for our top management, has served 238 participants in the last 7 years. Over a third of these have since advanced their careers with a new position, 10 % of them moving into top corporate management.
In the spirit of oneTUI, Group companies are increasingly collaborating on design and support for local development programmes aimed at high potentials. During the two-year Navigator Programme, TUI Business Services, TUIfly and TUI Deutschland therefore facilitate constant networking so that participants can learn from each other and work together on their personal skill-building.
Financial year 2014/15 also witnessed the first Talent Convention – a new format in the programme – enabling talents to play an active part in discussing strategic issues of major significance to the company, which in turn cultivates their self-assessment and their personal development. In addition, this format is a chance to network with a range of managers and alumni talents.
Continuing professional development
LMS: Learning Management System
Alongside our Human Resources development, designed primarily to strengthen specialist and management skills, the Global Learning Management System called TUI Learning is growing in importance. At the end of the financial year, it had over 22,000 users. Our goal is access for all our employees everywhere in the world: financial year 2014/15 brought a major milestone with an additional 8,000 colleagues participating.
The system content consists of over 300 e-learning modules in the fields Retail, Airline Academy, Finance Academy and Destination Services. A total of about 160,000 courses are completed through the learning system:
Thematic priorities and innovations in the reporting year were the inclusion of the Phoenix training for sales and service centres (United Kingdom and Ireland), the Airlines Interoperability Training (United Kingdom, Belgium, Netherlands and Nordics) and training units for the newly formed business TUI Destination Services. The e-learning tool helps to ensure that all travel representatives in our destinations benefit from the same levels of training and that the company’s high quality standards are implemented internationally.
TUI plans to make the Learning Management System available to every Company employee, wherever they are and whenever they need it. This will give employees access to high-quality learning content in different languages. At the same time, it encourages team work and knowledge transfer within the Group. The next step is to implement the scheme with TUI France and TUI Nordic.
- Helping men and women alike to reconcile family and professional life, e.g. flexible hours or child-care allowance
- Target-group options for younger and older employees, e.g. two-day Healthy Training seminar or back exercises
- For people with disabilities: TUI HR officers give training in how to apply for jobs
- CultureCuisine: employees with foreign roots cook with colleagues while talking about their lives and experiences
- Exchange4teens: children of employees receive a grant to spend time with a host family abroad
- Changing shoes: employees can spend a day in a social care facility (e.g. sheltered workshop, hospital)
- Themed evening: outside experts discuss issues of general interest
- lunch@tui: staff of all TUI companies based in Hanover sign up for a lunch where they are randomly placed at a table with colleagues they have never met before
Diversity & Inclusion
For an international Group such as TUI, diversity in the world of work means heterogeneity in the composition of our workforce. Inclusion means facilitating all-round participation regardless of visible physical traits. When TUI signed up to the Diversity Charter in 2008, it was making a fundamental pledge to promote a versatile mix within the workforce. This is reflected and experienced in a range of activities and offerings:
Another priority for our diversity activities is to secure a greater proportion of women in management in the long term. Support measures such as individually tailored mentoring programmes are designed to assist and accompany our female employees in a sustainable fashion.
When the financial year ended on 30 September 2015, women accounted for 56.2 % of Group employees, an increase of about 1 %. Women’s share of managerial positions rose slightly from 29.5 % to 31.3 %.
The proportion of women on our German governing bodies continues to improve. On the balance-sheet date, women accounted for 29,8 % of the members, about 2 % more than the previous year. At TUI AG, the share of women on the Supervisory Board was already 30 %.
In Germany, we made a voluntary commitment in 2014/15, in accordance with the provisions of the national legislation governing stock corporations and limited liability companies, to set specific targets for TUI AG, TUI Deutschland and TUIfly. Our task is now to meet these by 30 June 2017.
Health management – FIT WITH TUI
Our staff are the linchpin of our business. Good health is essential to their commitment and effective input during day-to-day operations, and a priority for us as a sustainable employer in the current age. The wide-ranging measures we take to ensure this were recognised during the review period, not least when we finished in the Excellent category at the German Business Awards and Corporate Health Awards. We work in three areas to conserve the good health of our employees:
Health and safety
Our efforts to ensure a maximum of occupational safety for our employees is guaranteed by the appointment of specialist health and safety officers working to the highest standards. They carry out risk assessments, provide inductions and advice corporate decision-makers. Our employees are regularly briefed and trained on health and safety matters.
- Work, Health & Environment, Social Affairs, Health and Safety
- Company doctor
- Health care providers
- Occupational insurance association
- Health insurance fund (TUI BKK)
- Face to face
- By phone
- Trained staff available as first port of call for employees
Advice for managers
- Reflection Room (one-to-one briefing sessions on matters of occupational psychology)
- Response rates, programme quality
- E-mails, intranet, posters
- Discussions with experts about health matters
- Workplace massage
- Weekly workplace fruit basket
- Relaxation courses (e.g. pilates, qi gong and yoga)
- Integration management with employees on long-term sick leave
- Workplace sport (18 clubs at the Hanover site)
- Back exercises
- Allergy testing and advice
- Influenza vaccinations
- Screening for skin cancer
In the aviation sector too, all airlines implement detailed rules to ensure safety in the air and on the ground and they are regularly inspected. Health and safety are similarly prioritised in the destinations. The Group’s hotel chains carry out risk assessments and fire drills. Local staff are regularly trained in first aid.
Information and consultation
Representing Group employees
There are many committees representing employees in the TUI Group, at national and international level, works-based and sector-based. They range from local works councils at specific sites to central company works councils and the corporate works council for all employees of the Group in Germany. Based on their statutory rights to participate in decision-making and to propose measures, they ensure that employees’ interests are taken into account in all matters of relevance to human resources and corporate projects and that employees’ rights are observed when, for example, the company undertakes restructuring. At European level, the TUI EuropaForum organises proper information and consultation procedures in cross-border questions affecting the interests of employees in at least two countries within the European Economic Area.
Although these bodies were primarily set up in the interests of employees, they at least indirectly serve the interests of the Group and its various companies, as industrial co-determination contributes to the stability and sustainability of corporate decisions and processes.
TUI Europa Forum
This body is composed of representatives from the business areas and countries in the European Economic Area where TUI operates. The TUI EuropaForum (TEF) is provided by management with information about projects and HR-related measures prior to corporate decisions affecting more than one country or company. Once consultation has been completed, it then informs its members in these countries about the intended actions and monitors the implementation of these economic, social and environmental measures as discussed with management. The TUI EuropaForum represents the interests of our employees in Group companies based in other countries, and as such it exercises a highly responsible role promoting integration across Europe for our international workforce. In financial year 2014/15, 50 employees representatives from 14 countries were delegated to take part in the Forum.
The topics addressed by the TEF during the period under review were the merger with TUI Travel PLC, the new Group strategy, the reorganisation of the Group in clusters (Benelux and Nordics), and new source markets. Another focus of its work was the information process around post-merger integration.
TUI AG Corporate Works Council
The Corporate Works Council is the highest level of industrial co-determination within the Group for employees in the German companies. In financial year 2014/15, it had 24 members representing 19 companies. By delegating representatives to sit on the Corporate Works Council, the local and central works councils and other elective bodies have access to a continuous flow of up-to-date knowledge about the structural and operational challenges facing the Group. Their subsequent involvement in shaping the way requirements are implemented and themes are tackled ensures that these are well accepted among Group employees.
The focus during the period under review was on the successful merger between TUI AG and TUI Travel PLC and the subsequent requirements in the form of themes and projects. There was a need to devise joint work processes that respected the different cultural and legal frameworks as well as possible. A priority for the Corporate Works Council was to anchor the fundamentals of German industrial co-determination.
Within the period under review a Centre of Expertise in Labour Relations was set up. This is a department of TUI AG which, among other functions, is available as the first point of contact for the Corporate Works Council. All matters affecting employees across the Group, like the issues of relevance to co-determination procedures, are dealt with and clustered there. Together with the Corporate Works Council, the conceptual groundwork is laid for effective employee participation.
One major project during the period under review was the conclusion of an agreement on working in matrix organisations. This structure is acquiring growing importance as an element in flexible, highly qualified collaboration in the TUI Group. Here, employees often work outside their own company in so-called virtual teams that bring together different companies and / or countries. Thanks to the well-established constructive and trustful nature of discussions and negotiations with the Corporate Works Council, the agreement that emerged did justice to both the demands of these new corporate structures and the needs of employees for secure employment conditions. TUI is laying a pioneering role in this field, and a successful conclusion depended entirely in working effectively together with the Corporate Works Council.
An election procedure for the employees representatives on the Supervisory Board of TUI AG was also initiated. The procedure is expected to last 50 weeks.