5. SOCIAL RESPONSIBILITY IN BUSINESS, 5.5. Remuneration and non-salary benefits29F
5.5. Remuneration and non-salary benefits
[GRI 202-1] [ESRS S1-10]
The remuneration policy [1] implemented in the Budimex Group meets all the requirements set out in the provisions of law, and its formulation ensures the long-term sustainable growth of the company – this is achieved through the structuring of total remuneration taking into account the amount and quality of the work performed and in a manner motivating employees to attain ambitious goals and leading to the implementation of the company’s strategic objectives. The adopted remuneration practices enable the recruitment and maintenance of the best qualified employees through a tailored package including basic salary, bonuses and attractive fringe benefits.
Remuneration in the Budimex Group is structured on the basis of:
- work regulations – in the case of all employees,
- company’s collective bargaining agreement – in the case of the employees of Budimex SA and Mostostal Kraków SA,
- remuneration regulations – in the case of employees of the other Group companies employing more than 50 persons,
- bonus regulations applicable in individual companies,
- the Remuneration policy applying to members of the governing bodies of Budimex SA [2] – in the case of Management Board and Supervisory Board members (more information on the rules for remunerating members of the company governing bodies can be found in Section 6.1.),
- the provisions of the remuneration regulations for a given market or, if no such regulations need to be adopted, the provisions of employment contract – with respect to employees working abroad. The terms of employment in foreign markets are additionally regulated by the Policy of posting employees to foreign markets and the Benefit policy.
Pay reviews are conducted in the Budimex Group periodically and are aimed at keeping our offer attractive for current and potential employees. A lot of the organization’s attention focuses on preventing pay discrimination based on gender, which is achieved through, among other things, monitoring the level of and levelling the pay gap (more information on this issue can be found in subsection 5.1.3.).
Table: Ratios of standard entry level wage by gender compared to local minimum wage
[GRI 202-1]
In 2023, pay rises covered 87% of employees. As a result, the average monthly remuneration at Budimex SA increased from PLN 15,175 to PLN 16,295 gross, whereas, according to Statistics Poland, the average gross monthly remuneration in Poland was PLN 7,540.36 last year.
Table: Average gross monthly remuneration
In accordance with the assumptions for area S of its ESG strategy, Budimex aims to achieve a gender pay gap ratio of less than 9% by 2026.
Particular incentive systems in the Budimex Group are adapted to the character of specific business areas, on the assumption that the main task of these systems is to ensure the attainment the company’s business objectives and the development of employees. The incentive system for management staff is based on individual objectives set for its representatives at the beginning of the year and consistent with the objectives set for the area or the entire company. In the case of persons employed in production, the amount of the variable remuneration components depends on the result of the annual performance review, as well as the degree of fulfilment of particular contracts, i.e. their progress and financial result.
In November 2023, the company was awarded distinction in the Employer of Rzeczpospolita competition organized by the Rzeczpospolita daily, in the best remuneration solutions category. Budimex SA was recognized for initiatives aimed at compensating employees for the decrease in the value of their income caused by inflation. This confirms that the company, acting in the spirit of social dialogue, creates and implements solutions guaranteeing employees decent pay, while taking into account the economic realities.
Employee benefits
[GRI 401-2] [GRI 403-6] [ESRS S1-11]
The Budimex Group continuously develops its benefit offer, to ensure it is adapted to employees’ needs, guaranteeing a wide range of options to them. Additionally, we are working on fully coordinating benefit practices across individual companies.
Persons employed in the Budimex Group have the following at their disposal:
- an extensive package of healthcare services – irrespective of the position held. In 2023, the healthcare package was broadened by including, among other things, dental treatment and additional physiotherapy procedures, as well as medical procedures carried out as part of same-day surgery treatment. Access to healthcare services was also improved for blue-collar employees working outside large cities, by engaging Medicover healthcare centers and collaborating facilities and introducing advantageous terms of reimbursement of healthcare service expenses incurred in any facility throughout the country.
- psychological support and on-call access to a psychologist at all times.
- subsidies to the Employee Capital Schemes – the companies of the Budimex Group have decided to additionally subsidize on a voluntary basis monthly contributions.
- life insurance for employees and their close ones. The basic package is financed by the employer with a token cost of PLN 1.00 on the part of the employee. In 2023, the program was modified – the terms of insurance were improved while maintaining a similar contribution level. and the taking out of insurance and the payment of benefits were made easier.
- a wide choice of services available under the MyBenefit cafeteria platform, allowing each employee to decide on their own where the means from the company employee benefit fund assigned to them should go.
- subsidies to expenses on sports activities as part of the Active BX initiative (sports units) and the possibility of using sports facilities through a MultiSport card. 24% of employees use these cards and 9% have purchased them also for members of their families.
- subsidies to expenses on participation in sports events in which they represent the company, such as Poland Business Run.
- an additional paid non-working day on birthday or name day.
In addition:
- persons facing difficult life circumstances may benefit from loans bearing attractive interest rates and hardship allowances,
- employees carrying out official duties at a place located at a distance of more than 50 km from their place of residence are entitled to lodging allowances,
- blue-collar employees working far from their place of residence, if this is required by the contract, are entitled to free lodging, and all blue-collar employees, irrespective of whether they are posted to another location or work at their place of residence, are entitled to a free lunch every day,
- persons who actively use English, German or Czech in their everyday work can participate in individual language courses subsidized by the company, and all employees have access to the English language learning platform eTutor and can invite one relative or close friend to join the course free or charge,
- the company subsidizes the costs of obtaining professional licenses and attending postgraduate courses,
- employees receive gifts for giving birth,
- top management members are covered by the stock plan of the Ferrovial Group.
Additionally, Budimex Group employees received gift vouchers for Christmas in 2023.
In connection with the purchase of 100% of shares in PPUH Konstalex by Mostostal Kraków SA on 15 May 2023, steps were taken to unify the benefit system with the new owner company. To this end:
- identical packages of healthcare services were introduced, available for employees irrespective of the position held,
- the bylaws of the company employee benefit scheme were brought into force, which enable employees to take advantage of the benefits provided for in it (subsidies to holiday expenses for employees and their children, loans for repairs to houses and flats bearing preferential interest rates, hardship allowances, gift packages for children),
- the process of covering employees with life insurance was started (a protection package was launched on 1 January 2024).
We periodically check the level of employee satisfaction with the offered benefits. In 2023, as part of the commitment survey described more broadly in subsection 5.1., 80% of respondents agreed with the statement that the offer of additional benefits provided by the company matched their needs.
[1] The quantitative remuneration data presented in this section refer only to employees employed on the Polish market.
[2] The document is available at: https://www.budimex.pl/repository/relation/Lad_Korporacyjny_2020/PL/Polityka_wynagrodzen_czlonkow_organow_Budimex_SA.pdf.
