Tesco 2010 Annual Report Download - page 35

Tesco PLC Annual Report and Financial Statements 2010 33
Our business
Our people
Our people
are crucial to
our success
Our Values are ‘No-one tries harder
for customers’ and ‘We treat
people how we like to be treated’.
These values are interlinked and
underpin everything we do at
Tesco. We know that by managing
our people well – in a culture of
trust and respect – they will in turn
try their hardest for customers.
By offering competitive pay and
benefits and an opportunity to
develop a long-term varied career
with good training, we are able to
keep our people motivated, committed
and excited about working at Tesco.
In the UK, for example, in our internal
‘Viewpoint’ staff survey this year,
we improved on 24 out of the
25 measures and attendance levels
improved again, putting an additional
four million hours into our stores
and depots.
Rewards and benefits
Our people are crucial to our
success and it is essential that
they feel rewarded for the work
they do and supported in their
development. We offer good pay
across all our businesses, as well as
benefits in each market that reflect
employees’ priorities.
Despite the tough global market in
2009 we continued to invest in pay
at the annual review. We focused
on our core rates and in a tough
financial year our pay competitiveness
improved in most markets.
In many developing markets,
employees place most value on good
basic pay and being paid fairly for
overtime and these are our priorities.
In Malaysia, for example, where there
is no legal minimum wage, the
minimum a Tesco employee will
receive is 30% more than the Poverty
Line Index. In Thailand this year we
introduced a staff discount linked
to Clubcard.
In the UK, our reward package leads
the market on pay and benefits. We
are one of the few FTSE businesses
to still have an open defined benefit
pension scheme, which is greatly
valued by staff. We regularly offer
staff the opportunity to experience
our brand. For example, we offer staff
great deals on our Retailing Services
– Tesco Mobile offers exclusive staff
tariffs and Tesco Bank offers deals on
Home Insurance, Life Insurance and
Travel Money – which not only reward
our staff but encourage them to
become advocates for our services.
Through share ownership and share
incentive schemes, 195,000 of our
people have a personal stake in Tesco.
Employees were awarded shares
worth a record £98m last May
through our Shares In Success
scheme. Over 55,000 staff were able
to benefit when Save As You Earn
schemes matured in February, giving
them access to shares worth £144m.
Training and development
We are committed to providing
opportunities for our people to get
on and turn their jobs into careers.
Last year we had more people on
development programmes than
ever before.
We have continued to develop our
apprenticeship training in the UK.
Since 2004, 83% of the employees
who embarked on the scheme have
been awarded an Apprenticeship in
Retail Skills – equating to five GCSEs
at grades A* to C. This training is
completed entirely in the workplace.
The first 17 students to complete the
Tesco Foundation Degree graduated
in July. The Foundation Degree in
Retail – delivered and awarded by
Manchester Metropolitan University
– is a two-year development
programme aimed at providing work-
focused retail training to managers at
Tesco. We now have 60 people on the
scheme and are working on ways to
make it grow.
We believe that even in difficult times
it is essential to invest in future talent.
That’s why this year, while many other
businesses were cutting their graduate
schemes, we increased our graduate
intake to 810, including 535 in Asia.
Tesco Academy
As a leading global company, Tesco
aims to offer the very best training
and development for all its employees.
The Tesco Academy helps provide an
opportunity to get on for all our
people. It develops thousands of
world-class leaders through excellent
training in leadership, management
and technical skills.
‘No-one tries harder
for customers’