LensCrafters 2010 Annual Report Download - page 36

ANNUAL REPORT 2010> 34 |
Supporting the purchasing power of the employees and their families, even in difficult periods: this is the underlying reason
which led Luxottica to launch an innovative system of non-monetary benefits in 2009 for its entire corporate personnel in
Italy.
Despite a positive nominal increase in salaries – due to the excellent economic results of Luxottica which benefited
employees through the more traditional bonus systems – the effective purchasing power of salaries has, in fact, gradually
decreased.
The welfare system of Luxottica – which is jointly managed with Trade Union Organizations through a series of agreements
and which includes quality indicators - was born from the conclusion that this reduction can not only be compensated
through traditional actions applied to fixed or variable compensation. The key idea of the initiative was therefore the
possibility of leveraging alternative tools in support of income which therefore would allow the gap between company
cost and real purchasing power transferred to the employee to be entirely eliminated.
Likewise, in 2010 all workers and employees could collect – within certain sales points with stipulated agreements – a
package containing primary food items with a total sales value of Euro 110. In 2010, Luxottica also signed an agreement
pursuant to which all workers and employees with a permanent contract will benefit from health insurance.
In order to help employees with children, Luxottica also built a nursery school in Sedico (Belluno) and reimbursed the
families for any costs sustained for the purchase of text books in middle and high schools as well as universities.
More initiatives will be launched in 2011. The resources Luxottica will be allocating to the Welfare system, will be
proportional to the capacity of the entire production in order to achieve better and better quality results, a determining
factor in the excellence and distinctiveness of Italian craftsmanship in the world market.
The initiative is jointly managed with the trade unions and demonstrates the consolidated and constructive relationship
which exists at the national and territorial level between Luxottica and worker representatives: Luxottica has therefore
created a Governance Committee for the project along with the trade unions. This is a joint committee whose task is to
identify, propose and share program operations; a Technical and Scientific Committee works along with this committee
and implements socio-economic and financial analyses which are useful in order to most effectively assess the allocation
of funds.
By means of the welfare program, Luxottica has therefore positioned itself as a pioneer within the realm of a new system of
industrial relations which pursues the strengthening of the productive system and the improvement of real compensation
for all workers while also promoting services for the workers themselves.
WELFARE