Aviva 2009 Annual Report Download - page 87

85
Performance review
Aviva plc Directors’ report continued
Corporate responsibility
Annual Report and Accounts 2009
See page 68 for details of how our businesses are supporting
their local communities in line with the Company’s strategy.
Political donations
At the Annual General Meeting held in 2009, shareholders
passed a resolution, on a precautionary basis, to authorise the
Company to make political donations and/or incur political
expenditure (as such terms are defined in sections 362 to 379 of
the Companies Act 2006) in amounts not exceeding £100,000
in aggregate.
The definitions used in the Companies Act 2006 are broad
in nature and this authority was sought to ensure that any
activities undertaken throughout the Group’s businesses which
could otherwise be construed to fall within these provisions
could be undertaken without inadvertently infringing them.
During the year, the Company’s American subsidiary, Aviva
USA, through its employee-funded Political Action Committee,
made contributions to two different industry bodies, which
could be construed to fall within the political donations
provisions. The first contribution was the sum of $2,000 in
July 2009, to the Federation of Iowa Insurers Political Action
Committee and the second contribution was the sum of $4,000
to the American Council of Life Insurers Political Action
Committee in October 2009. The donations are used to support
candidates for nomination and/or election to public office. It is
not the policy of the Company to make donations to EU political
organisations or to incur other political expenditure.
As the authority granted at the 2009 Annual General
Meeting will expire on 28 April 2010, renewal of this authority
is being sought at this year’s Annual General Meeting. Further
details are available in the Notice of Meeting.
Group employees
The Group’s statement on its employees is set out in the
Performance Review.
In summary, the Group’s commitment to communication
and dialogue with employees continues. The introduction of
a truly group-wide intranet has enabled, for the first time,
engagement and communication with employees throughout
the Group on a single platform. It also helps management to
share information, ideas and opportunities much faster across
the entire business. A strong emphasis is placed on the provision
of news and information through a range of media. Employees
have opportunities to voice their opinions and ask questions
through intranet sites, Question and Answer sessions with the
Group Chief Executive, via telephone conferencing, opinion
surveys and the Group’s Employee Promise Survey which is open
to all employees. Face-to-face briefings and team meetings are
actively encouraged and are held in all business units across the
Group. The Group’s businesses in the UK have established
employee consultative forums and a European Consultative
Forum convenes annually to discuss matters impacting the
business across Europe.
The Group ensures that involvement of employees in its
performance is encouraged by allowing eligible employees to
participate in the Group’s all employee share ownership plans.
On 2 June 2009, the Company’s celebrations on becoming
“One Aviva” saw employees taking part in social and community
events in every country in which the Group operates. Team
activities took place in all businesses to welcome the new global
brand, raise funds for good causes and heighten awareness of
Aviva’s global commitment to corporate responsibility.
Governance
Shareholder information
Financial statements IFRS
Financial statements MCEV
Other information
Employee practice
The Group respects all fundamental human rights and is guided
in the conduct of its business by the provisions of the United
Nations Universal Declaration of Human Rights and the
International Labour Organisation core labour standards. Aviva
also supports the United Nations Global Compact Principles.
Aviva Group companies are committed to providing equal
opportunities to all employees, irrespective of their gender,
sexual orientation, marital status, race, nationality, ethnic origin,
disability, age, religion or union membership status. Aviva is an
inclusive employer and values diversity in its employees. These
commitments extend to recruitment and selection, training,
career development, flexible working arrangements, promotion
and performance appraisal. In the event of employees becoming
disabled, every effort is made to ensure that their employment
with the Group continues and to provide specialised training
where this is appropriate.
Corporate responsibility
The Group has a well established corporate responsibility
programme and continues to use its position to influence other
companies to engage in sustainable business practices and to
be open and transparent in the information they publicly report.
In November 2009 the Company announced its intention to
put its Corporate Responsibility Report to an advisory vote of
shareholders at the 2010 Annual General Meeting as a means
of obtaining feedback on the report and the Company’s
performance in this area. The report is set out on page 68 and
further details of the resolution are set out in the Notice of
Meeting.
Creditor payment policy and practice
It is the Group’s policy to pay creditors when they fall due for
payment. Terms of payment are agreed with suppliers when
negotiating each transaction and the policy is to abide by those
terms, provided that the suppliers also comply with all relevant
terms and conditions. The Company has no trade creditors.
In respect of Group activities in the UK, the amounts due to
trade creditors at 31 December 2009 represented approximately
23 days of average daily purchases through the year
(2008:
37 days)
.
Corporate Governance Statement
In compliance with Disclosure and Transparency Rules (the DTRs)
7.2.1, the disclosures required by DTR 7.2.2 to 7.2.7 can be
found in the Corporate Governance Report on pages 87 to 92
which is incorporated into this Directors’ Report by reference.
Governance