Unilever 2009 Annual Report Download - page 145

142 Unilever Annual Report and Accounts 2009
Financial statements
Further statutory and other information Unilever PLC
Directors’ Report of PLC and limitations of liability
For the purposes of the Companies Act 2006, the Directors’
Report of Unilever PLC for the year ended 31 December 2009
comprises this and the following page and the information
contained in the Report of the Directors on pages 2 to 62 which
includes the Company’s position on environment and corporate
responsibility matters, the Directors’ Remuneration Report in
respect of Directors’ interests in shares or debentures of the Group
on pages 72 and 73, Dividends on page 93, Principal group
companies and non-current investments on pages 131 and 132,
Significant shareholders of PLC as disclosed on page 144, and
Financial instruments and Treasury risk management on page 104.
The information required to be given pursuant to Section 992 of
the UK Companies Act 2006 is covered elsewhere in this Annual
Report.
The Directors’ Report has been drawn up and presented in
accordance with and in reliance upon English company law and
liabilities of the Directors in connection with that report shall be
subject to the limitations and restrictions provided by such law.
Under the Companies Act 2006, a safe harbour limits the liability
of Directors in respect of statements in and omissions from the
Directors’ Report. Under English Law the Directors would be liable
to Unilever (but not to any third party) if the Directors’ Report
contains errors as a result of recklessness or knowing misstatement
or dishonest concealment of a material fact, but would not
otherwise be liable.
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 2009 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 30 to 34;
• the development and performance of the Group’s business
during the year see pages 37 to 46;
• the position of the Group’s business at the end of the year see
pages 40 and 81;
• key performance indicators see page 25 and 26;
• other key indicators see pages 25 and 26;
• main trends and factors likely to affect the future development,
performance and position of the Group see page 30;
• environmental matters and policy, including the impact of the
Group’s business on the environment see pages 20 to 21;
• employee matters and policy see pages 14 to 15, 28 and also
below; and
• a statement that the Directors do not believe that there are any
contracts or other arrangements which are essential to the
business of the Group is given on page 59.
Employee involvement and communication
Unilever’s UK companies maintain formal processes to inform,
consult and involve employees and their representatives. We
recognise collective bargaining on a number of sites and engage
with employees via the Sourcing Unit Forum including officer
representation from the three recognised trade unions. Our sites
use tools such as Total Productive Maintenance which rely heavily
on employee involvement, contribution and commitment.
A National Consultative Council covering employees and
management representatives exists to provide a forum for
discussing issues relating to the United Kingdom. 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 company carries out regular and wide-ranging monitoring
surveys providing valuable insight into employee views, attitudes
and levels of engagement.
The Directors’ Reports of the United Kingdom group companies
contain more details about how they have communicated with
their employees during 2009.
Equal opportunities and diversity
Under the umbrella of our Code of Business Principles, Unilever
aims to ensure that people with disabilities, and other under-
represented groups, are given the same training, development and
prospects as other employees. Every effort is also made to retrain
and support employees who become disabled while working
within the Group.
The company continues to review ways in which greater diversity
can be achieved in recruitment and selection. We have put in
place policies which promote the achievement of diversity in our
business and we review these regularly. For example, Unilever UK
provides policies on home working, flexible working, maternity
and paternity leave, child care provision and career breaks, which
help us to meet the objective of greater employee diversity.
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 2009 UK group companies made a total contribution of
£7.8 million, analysed as follows:
• Charitable donations: £0.4million
• Community investment: £1.1 million
• Commercial initiatives in the community: £6.1 million
• Management costs: £0.2 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
2006. PLC, as a holding company, does not itself make any
relevant payments in this respect.