Human Rights & Working Conditions
Measures
High Social Standards
Respect for human rights and compliance with applicable labor standards are an integral part of the corporate culture at HUGO BOSS. The fundamental requirements for cooperation within the Company and for our relationships with our partners are laid down in the HUGO BOSS Code of Conduct. It provides guidance on key ethical and legal issues with binding rules. The Human Rights Policy and the HUGO BOSS Supplier Code of Conduct, which is based on internationally recognized standards of the United Nations and the International Labour Organization (ILO), are also of central importance for human resources management.
In the event of potential human rights violations, HUGO BOSS employees and employees of HUGO BOSS partners have access to clearly defined complaint mechanisms. If a HUGO BOSS employee has worries or questions, they can contact their direct superior, the central compliance department, the local compliance officer, Human Resources and the Works Council (for HUGO BOSS AG employees) or a whistleblower hotline (for employees in the USA) at any time. In addition, there is an independent ombudsman who is available to employees worldwide to answer questions about the Supplier Code of Conduct and to deal with any complaints. They can contact him anonymously online or by telephone. Details can be found here.
Fair Pay
HUGO BOSS understands that fair pay is an essential aspect of the core of human resources . Through a fair, transparent and competitive remuneration structure, we want to ensure equal opportunities and avoid discrimination, as well as increase the competitiveness of the company. Furthermore, we aim to strengthen the motivation of our employees and their loyalty to the company.
Since the beginning of 2021, all positions worldwide are being evaluated on the basis of standardized criteria and clustered into so-called ‘grades’. Job-specific qualifications and responsibilities form the basis of our grading system. This assessment enables compensation to be graded in line with market-based salary bands, irrespective of gender or other diversity characteristics. This principle is also set out in the HUGO BOSS Code of Conduct.
In individual cases, specific market conditions, experience (employment biography), and performance are also key factors that play a role in defining individual remuneration.
HUGO BOSS is committed to a continuous improvement process to ensure fair pay. For example, we will publish a global Fair Pay Commitment in 2022 and gradually introduce corresponding measures worldwide. As a fisrt measure, HUGO BOSS AG introduced Equal Pay metrics in its annual salary round in 2022. This enables managers to conciously decide on compensation based on transparency.
The compensation system at HUGO BOSS comprises fixed and variable salary components, bonuses above the standard pay scale, benefits in kind, and other benefits. It takes into account collective bargaining agreements and includes national and regional benchmarks.
We analyze gender-specific compensation differences among employees in comparable positions based on our grading system. This involves comparing the average annual compensation amounts of women and men, on a full-time basis within the individual grades. There is no correction for biographical factors that influence individual salaries.
In terms of employees in Europe (> 70% of all employees), the average salary of women overall, related to comparable positions is 0.5% lower than that of men (Status: November 2021).
We are continuously working on expanding our global compensation analyses, in particular to identify drivers of unequal pay like for instance biographical factors. It is of high priority for HUGO BOSS to further advance gender equality in remuneration and to minimize salary disparities.
For more information about fair compensation, see the Sustainability Report.