Unilever 2007 Annual Report Download - page 138

136 Unilever Annual Report and Accounts 2007
Financial statements continued
Further statutory and other information Unilever PLC
Employee involvement and communication
Unilever’s UK companies maintain formal processes to inform, consult
and involve employees and their representatives. A high proportion of
the United Kingdom sites are accredited to the Investors in People
standard. Our sites also use tools such as Total Productive
Maintenance which rely heavily on employee involvement,
contribution and commitment.
A European Works Council, embracing employee and management
representatives from countries within Europe, has been in existence
for several years and provides a forum for discussing issues that
extend across national boundaries.
The directors’ reports of the United Kingdom group companies
contain more details about how they have communicated with their
employees during 2007.
Equal opportunities and diversity
The heads of all operating companies and units in the UK have
committed their businesses to achieving greater diversity. Every
Unilever company in the United Kingdom has an equal opportunities
policy and actively pursues equality of opportunity for all employees.
Our equal opportunities policy is designed, among other things, to
ensure that people with disabilities, and other under-represented
groups, are given the same training, development and prospects as
other employees.
The company carries out regular employee monitoring surveys and has
also conducted an equal pay audit. The company continues to review
ways in which greater diversity can be achieved in recruitment and
selection.
The company continues to put in place policies which promote the
achievement of diversity in the business. We have policies on home
working, flexible working, maternity and paternity leave, child care
provision and career breaks, which help us to meet this objective.
Charitable and other contributions
Unilever collates the cost of its community involvement activities using
the London Benchmarking Group model. The model recommends
the separation of charitable donations, community investment,
commercial initiatives in the community and management costs
relating to the programme of activity.
During 2007 UK group companies made a total contribution of
£6.6 million, analysed as follows:
•Charitable donations: £1 million.
•Community investment: £1.24 million.
•Commercial initiatives in the community: £4.1 million.
•Management costs: £0.25 million.
No donation or contribution was made or expenditure incurred for
political purposes.
Supplier payment policies
Individual operating companies are responsible for agreeing the
terms and conditions under which business transactions with their
suppliers are conducted. The directors’ reports of the United Kingdom
operating companies give information about their supplier payment
policies as required by the UK Companies Act 1985. PLC, as a holding
company, does not itself make any relevant payments in this respect.
Auditors and disclosure of information to auditors
A resolution will be proposed at the AGM on 14 May 2008 for the
re-appointment of PricewaterhouseCoopers LLP as auditors of PLC.
The present appointment will end at the conclusion of the AGM.
To the best of each of the Directors’ knowledge and belief, and
having made appropriate enquiries of other officers of the Unilever
Group, all information relevant to enabling the auditors to provide
their opinions on PLC’s consolidated and parent company accounts
has been provided. Each of the Directors has taken all reasonable
steps to ensure their awareness of any relevant audit information and
to establish that the company’s auditors are aware of any such
information.
Authority to purchase own shares
At the AGM of PLC held on 16 May 2007, authority was given
pursuant to Article 64 of the PLC Articles of Association to make
market purchases of PLC ordinary shares of 31⁄9p each, to a maximum
of 290 million shares. This authority will expire at the AGM on 14
May 2008, and a resolution will be proposed to renew the authority.
Details of shares purchased by an employee share trust and Unilever
group companies to satisfy options granted under PLC’s employee
share schemes are given in the report of the Remuneration
Committee on page 58 and in note 29 to the consolidated accounts
on pages 117 to 119.
Directors’ report of PLC
For the purposes of Section 234 of the Companies Act 1985, the
Directors’ Report of Unilever PLC for the year ended 31 December
2007 comprises this page and the information contained in the report
of the Directors on pages 2 to 63 which includes the Company’s
position on environment and corporate responsibility matters, the
report of the Remuneration Committee in respect of Directors’
interests in shares or debentures of the Group on pages 58 and 60,
Dividends on page 86, Principal group companies and non-current
investments on pages 125 and 126, significant shareholders of PLC as
disclosed on page 137, and financial instruments and treasury risk
management on page 97. The information required to be given
pursuant to Section 992 of the UK Companies Act 2006 is covered
elsewhere in this Annual Report.
Business review
The UK Companies Act 2006 requires Unilever PLC to set out in this
report a fair review of the business of the Group during the financial
year ended 31 December 2007 including a description of the principal
risks and uncertainties facing the Group and an analysis of the
position of the Group’s business at the end of the financial year,
known as a ‘Business review’.
The information that fulfils the current Business review requirements
can be found on the following pages of this Annual Report which are
incorporated into this report by reference:
•a description of the principal risks and uncertainties facing the
Group see pages 13 and 14;
•the development and performance of the Group’s business during
the year see pages 15 to 32;
•the position of the Group’s business at the end of the year see
pages 25, 26 and 70;
•key performance indicators see page 6;
•other key indicators see pages 6 and 7;
•main trends and factors likely to affect the future development,
performance and position of the Group see pages 13 and 14;
•environmental matters and policy, including the impact of the
Group’s business on the environment see page 12; and
•employee matters and policy see pages 9, 10 and 136.
In accordance with Section 463 of the UK Companies Act 2006, the
Directors’ responsibility for the Directors’ report and the report of the
Remuneration Committee, which responsibility shall be governed by
English law, shall be owed only to PLC (to the extent envisaged in
Section 463) and not to any other person.
Corporate Centre Unilever PLC Registered Office
Unilever PLC Port Sunlight
Unilever House Wirral
100 Victoria Embankment Merseyside CH62 4ZD
London EC4Y 0DY
Unilever PLC Registrars
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The Pavilions
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Bristol BS99 6ZY
By Order of the Board
S H M A Dumoulin
Secretary of Unilever PLC
10 March 2008