Human Talents
Algar Telecom's professionals are called associates and the area that manages the policies geared towards the internal stakeholders is named Human Talents Area. More than mere words, the designations chosen express the deep respect for the people who are the soul of the Company and the other companies of the Group. This attitude comes in line with the concept of "Network Company" management.
The Group founder, Comendador Alexandrino Garcia, has always seen each employee as an agent of transformation of vital importance to a long-lasting business. After all, the willingness to fulfill their functions in the best possible way and the care and dedication in serving clients are very personal attributes. Based on this concept and with the purpose of boosting each one's natural talents, the culture of valuing people's talents was spontaneously developed in the Company.
In order to preserve the spirit of motivation and passion in serving the clients, which is well translated in the statement of the Company's Vision - PEOPLE SERVING PEOPLE, the Human Talents area works jointly with UniAlgar, the Algar Group's corporate university, in the quest for tools to foster the professional development of each member in the Organization, both in the personal and professional dimensions, promoting life quality, wellbeing and career development.
In 2012, Algar Telecom policy of fostering talents was once again acknowledged with the granting of awards. The Company was listed in the ranking of the best companies to work in Brazil, sponsored by Época Magazine, and of the best IT and Telecom companies to work in Brazil by Computerworld Magazine.
Associates' Profile
Algar Telecom's team is composed of professionals, whose characteristics are in line with the Company's DNA (Innovation, Empathy and Simplicity) and with Algar Group's essential competences, showing identity with the Organization's strategic plan and operations. Guided by the vision PEOPLE SERVING PEOPLE, the Company values people who are keen to develop relationships, who demonstrate their willing to help, besides showing a spirit of teamwork and a natural talent for innovation. These criteria enable both the Company and its subsidiaries to form efficient teams, geared towards the creation and development of innovative solutions, while keeping focus on both the client and quality, in addition to being concerned about sustainability.
Algar Telecom, in all of its segments, adopts the practice of hiring people with special needs. In the contact centers, for example, there are visually impaired professionals hired to work as masseuses, thus contributing to the initiatives intended to improve the associates' wellbeing.
Telecom
This segment encompasses fixed and mobile telephony, broadband, data transmission and pay-TV services, and closed FY 2012 with 1,816 associates.
Business Process Outsourcing and IT
The number of professionals in this segment at the close of 2012 stood at 10,096, versus 10,913 associates at the end of FY 2011.
Complementary Business
Engeset – Telecom Engineering closed FY 2012 with 2,139 associates. In turn, the segment of Phone Directories and Guides (Algar Mídia) ended FY 2012 with 300 associates.
ASSOCIATES (as at Dec/31)
| FULL-TIME ASSOCIATES | 2010 | 2011 | 2012 |
|---|---|---|---|
| Permanent or Indefinite-Term Contract | 4,989 | 6,224 | 6,385 |
| Temporary or Fixed-Term Contract | 31 | 22 | 8 |
| Permanent Outsourced Contract | 0 | 0 | 1 |
| Pre-fixed or Temporary Outsourced Contract | 21 | 41 | 40 |
| TOTAL number of full-time associates | 5,041 | 6,287 | 6,434 |
| PART-TIME ASSOCIATES | 2010 | 2011 | 2012 |
| Permanent or Indefinite-Term Contract | 8,921 | 8,812 | 7,955 |
| Temporary or Fixed-Term Contract | 1 | 2 | 3 |
| Permanent Outsourced Contract | 0 | 0 | 0 |
| Pre-fixed or Temporary Outsourced Contract | 4 | 1 | 93 |
| TOTAL number of full-time associates | 8,926 | 8,815 | 8,051 |
| TOTAL (full-time + part-time associates) | 13,967 | 15,102 | 14,485 |
| Age group (own associates) |
2010 | 2011 | 2012 |
|---|---|---|---|
| >50 | 411 | 509 | 499 |
| 30 a 50 | 4,590 | 5,272 | 5,537 |
| <30 | 8,941 | 9,279 | 8,315 |
| Total | 13,942 | 15,060 | 14,351 |
Turnover
As described throughout this chapter, the Company promotes a number of initiatives intended to value human talents, which contributes significantly to decrease the consolidated turnover, which stood at 61.1% in 2012. This result predominantly reflects the turnover of 59.1% posted by the Business Process Outsourcing and IT segment, due to the nature of the contact center area. This ratio came to 20.0% in the Telecom segment. The turnover ratio is even lower in the Complementary Business Units -- 2.9% for Engeset and 21.0% for Algar Mídia. Algar Telecom holds no information on the turnover ratio per region.
ASSOCIATES – as at Dec.31/2012
| Indefinite-Term Contract | Permanent or Indefinite-Term Contract | |||
|---|---|---|---|---|
| Total Number of Dismissals | % | Total Number of Dismissals | % | |
| Per Gender | ||||
| Male | 2,759 | 19.2% | 3 | 0.0% |
| Female | 6,014 | 41.9% | 8 | 0.1% |
| Total | 8,773 | 61.1% | 11 | 0.1% |
| Per Age Group | ||||
| >50 | 141 | 0.9% | 1 | 0.0% |
| 30 a 50 | 2,449 | 17.1% | 2 | 0.0% |
| <30 | 6,183 | 43.1% | 8 | 0.1% |
| Total | 8,773 | 61.1% | 11 | 0.1% |
Corporate University
The Algar Group's Corporate University – UniAlgar - is the main ally to the Human Talents Area of Algar Telecom. This strategic tool to the human and professional development of all associates is located in Uberlândia (Minas Gerais State), in a green space that covers 32,600 m2. UniAlgar was created in 1998, with the mission to develop internal human talents, thus contributing to the sustainable growth of all the Algar companies.
The institution distinguishes itself from conventional universities, since its academic programming is based on real corporate concepts and practices, focused on the needs of Algar companies. In addition to on-site programs, the teaching approach is supported by tools such as online training, chats, discussion forums, hot-sites featuring relevant content and social networks.
UniAlgar is also dedicated to themes such as dissemination of corporate culture, performance evaluation, and climate survey, emotional and physical health management of the associates, personal and professional development and carrier plan. In other words, it aims at fostering all initiatives to ensure a pleasant workplace environment, with real perspectives for building successful careers. Consequently, it is also the repository of the knowledge accrued by Algar Group Companies.
For the performance its activities, UniAlgar enjoys an excellent physical infrastructure. UniAlgar's three buildings host 17 training rooms and other five rooms intended for meetings, an auditorium with capacity for 600 people, a library with over 4,500 titles, a restaurant, a cybercafé and a bookshop.
The work developed by the corporate university contributes to the recognition that Algar professionals enjoy in the marketplace and is acknowledged by awards. In 2012, UniAlgar was elected the best Brazilian Corporate University by the International Quality & Productivity Center (IQPC), an international organization of corporate information, which assessed other national and international corporations that operate in the country.
Relationship with Internal Stakeholders
Training and Development
The Company's ongoing program of professional training and development made available to associates is one of the driving forces in promoting Algar Telecom's growth. Knowledge updating enhances professional quality of the staff, thus contributing to raise their levels of employability. To that end, the Group has been increasing the number of hours and the amount of funds allocated to training programs every year. A total investment of R$ 12.8 million and a number of 353,000 class/hours were registered in 2012. These figures include all Company's segments and correspond to an average investment of R$ 890.51 per associate. In the Telecom segment alone, the average investment per associate climbs to
| Segment | Amount invested (R$`000) | Class/hours | Amount invested per Associate |
|---|---|---|---|
| Telecom | 7,406.0 | 122,125 | 4,078.22 |
| Business Process Outsourcing and IT | 3,859.3 | 195,456 | 382.26 |
| Telecom Engineering | 1,094.7 | 28,582 | 511.78 |
| Directories and Guides | 419.7 | 6,405 | 1,399.02 |
| Consolidated Total | 12,779.7 | 352,568 | 890.51 |
In 2012, the training programs were engaged by professionals of all Algar Telecom's levels (Officers, Directors, Coordinators, Consultants and non-executive associates), covering technical (74%) and behavioral (26%) topics.
A major share of the training initiatives is made feasible by UniAlgar, whereas specific courses are held outside the Organization. In 2012, the corporate university and the Human Talents area joined efforts to create a development program designed to meet Algar Telecom's strategic needs stemming from its mission "Serve and integrate people and business in a sustainable way". That was the main driver behind "Programa Integrar" (Integrating Program).
It consists in a continuous educational program, featuring cycles of up to 36 months, which not only contribute to the development of talents with a view to enhancing the Company's results, but it also aims at retaining and transferring key knowledge, whose task is conducted by professionals who act as multipliers. It also allows for the accrual of statistics to back up the monitoring of the Company's goals.
In the initial stage, held during the August-December 2012 period, "Programa Integrar" covered 83.3% of associates.
The partnership between UniAlgar and the Human Talents area has developed further programs. One of them, in the area of commercial culture, involved a training program intended to promote professional development to the consultants of Key Account Managers (KAM), who act in the Prime Corporate Club, created to serve a distinguished group of clients, with potential to consume the Company's products and services from different business segments. In 2012, the Company also formed the first group of 30 trainees under the Jovem Empreendedor (Young Entrepreneur) Program, aimed at attracting, developing and retaining young talents, in preparation to perform functions in the future within the Group's different segments. Algar Telecom also offers professional development opportunities abroad, which are subsidized by the educational aid granting policy. Benefit program. Supervised by the Associates' Committee, this program grants subsidized funds that can reach up to 50% of the monthly tuition for undergraduate, graduate, MBA and masters degrees.
Health and Wellbeing
At Algar Telecom, the concern with life quality and wellbeing of associates is evidenced in a number of practices that exceed by far the legal requirements. In this sense, the highlight in 2012 was the extension of "PDI da Saúde" – a program to promote life quality that was initially meant only for executives – for all the Company's associates.
Within this program, after clinical, physical and nutritional evaluation, these professionals receive guidance and constant motivation to fight sedentary lifestyle, obesity, stress and other factors that affect life quality. In the case of executives, the fulfillment of targets affects the calculation of the variable remuneration. In 2012, 100% of the executives were considered to have an active lifestyle. Ten years ago, that figure stood at 34%. Among the associates, this program covered 74% in 2012. The Company expects to extend it to 100% of the associates by 2015. Still in the area of health and life quality, Algar Telecom maintains a multidisciplinary team in its headquarters, consisting of a doctor, a nurse, social assistant, a safety technician and a safety engineer. In addition, it develops a series of specific initiatives within the Life Quality Program, such as labor gymnastics and massage facilities spread across the company.
The Company also maintains an Internal Committee for Accident Prevention (CIPA) in all of its operational units with at least 51 associates, in compliance with the Brazilian legislation. The committee is formed by representatives appointed by the Company, whereas the members elected by the associates have the role of monitoring and reporting risk conditions in the work environments, as well as of requesting measures to reduce and/or eliminate existing risks. In 2012, 92% of the associates were represented by this type of formal health and safety committee.
Algar Telecom benefits policy entails the subsidy of a private pension plan (with co-participation of the Company in the executive positions), day care aid, meal allowance and differentiated health plans for each region, with the intent of providing the best framework conditions to all associates, regardless of the geographical area where they work. Moreover, Algar Telecom holds a partnership with mobile ICU services for situations that demand on-site assistance, in addition an optional integration plan as a complement for medical procedures that are not covered by the regular health plan.
In case of sick leave that lasts more than fifteen days, Algar Telecom complements up to 40% of the associate's salary.
Created by the associates, the Algar Telecom Credit Cooperative grants personal loans at subsidized interest rates, lower than the rates practiced by the financial market, contracted upon the associate's request, with payments ranging from 1% to 10% discount in the payroll (at the associate's discretion), intended to the acquisition of consumer goods. The associates are also entitled to special discounts for the purchase of Algar Telecom products and services.
Another differential of the Company's benefit policy is the vacation bonus, which is equivalent of the base-salary (the value includes the 33%-additional payment provided by law). With a focus on the associates' wellbeing and satisfaction, the Company also takes initiatives such as movie and theatre sessions during the lunch break, organization of soccer championships, tracking and other events. Flexible schedules and the home office schemes are also an option, provided that the associate's function so allows.
RATES OF INJURY, OCCUPATIONAL DISEASES, LOST DAYS AND ABSENTEEISM, AND TOTAL NUMBER OF WORK-RELATED FATALITIES PER REGION
| 2010 | 2011 | 2012 | |
|---|---|---|---|
| Total Headcount (Own + Outsourced) => Same Figures as in LA1 | 12,212 | 12,781 | 12,253 |
| Injuries | |||
| Injury Rate (IR) | 0.06% | 0.06% | 0.11% |
| # of Injuries | 7 | 8 | 14 |
| Occupational Diseases | |||
| Occupational Disease Rate (ODR) | 1.11% | 0.77% | 0.19% |
| # of Occupational Diseases | 136 | 98 | 23 |
| Days Lost | |||
| Lost Day Rate (LDR) | ND | ND | ND |
| # of Lost Days | ND | ND | ND |
| Absenteeism | |||
| Absenteeism Rate (AR) | ND | ND | ND |
| Scheduled Work Days | ND | ND | ND |
| Fatalities | |||
| # of Fatalities | 0 | 0 | 0 |
As regards occupational safety, the Company's initiatives have been yielding a sharp decrease in the number of occupational diseases. In 2012, 23 cases were registered, which corresponds to a 0.19% ODR (Occupational Disease Rate). In contrast, there were 98 cases in 2011, a 0.77% ODR. As for injuries, there were 14 cases in 2012 versus 8 in the previous year, representing a 0.11% increase in the IR (Injury Rate). The data above do not include the Engeset figures.
For the calculation of both IR and ODR, Algar Telecom does not include outsourced workers who are responsible for the installation and maintenance of antennas, base stations and other facilities. In this case, the Company's policy is to require that service providers require their employees to use safety equipment, undergo medical examinations and have proof of completion of the "Height Work Safety Training Course" pursuant to NR8. The work sites are visited and audited to ensure compliance with such requirements.
With regards to the policies and practices related to antenna installation, including stakeholder consultation, shared facilities and visual impact-related initiatives, Algar Telecom take as a base the applicable legislation in force in each municipality. Whenever it is necessary to build a vertical structure, the Company previously checks the possibility of sharing an existing structure (tower), always making sure that it meets the project height and soil-related requirements. When it is really necessary to build a new tower (for mobile technology), the Company hires a qualified supplier, which becomes liable for the whole licensing and construction process of the new structure, in compliance with the applicable legislation in force in the municipality.
Career building
Attracting and retaining Human Talents is one of the main challenges faced by the companies that operate in the segments of Telecom and Business Process Outsourcing and IT. With a view to stand out in such a competitive market, differentiating itself by relying on a highly qualified team of professionals, Algar Telecom has structured a fair remuneration policy, tied to a meritocracy scheme and a transparent career plan, which enables associates to envisage their possibilities for further growth.
One of the most effective tools geared towards the Company's career plan is the performance evaluation, which is formally undertaken at least once a year. This evaluation, while assessing the individual performance, results in a targetrelated development plan, intended to stimulate each associate to accomplish his/her goals. In 2012, 10,367 associates underwent performance evaluation, accounting for 72.2% of the total headcount, not including the associates of the segments of Telecom and network engineering business, whose evaluation programs are scheduled to finish by May 2013. The goal is to complete 100% of the performance evaluations during the course of 2013.
Another procedure to value the human capital is to search, within the Company's own base of associates, for qualified people to occupy the new positions that emerge, prior to announcing them to the market. In 2012, 2,339 associates were promoted at the Company, 168 of whom in the Telecom segment, 1,709 in the Business Process Outsourcing and IT segment and 462 in Complementary Businesses.
Promotions contribute positively to the Company's climate and, at the same time, enable to close one of the largest gaps in the sector, which is the scarcity of skilled workforce at all levels. Identifying and training talented professionals to take on key positions in the Company are initiatives covered by a specific program, "Talentos em Desenvolvimento" (Talents under Development). Since 2011, when the program was launched, fifteen talents from the segments of Telecom and Business Process Outsourcing and IT have been promoted, representing 20% of all associates who took part in the program. In October 2012, this same program was implemented in the network engineering business, and relies on the participation of 25 professionals.
Algar Telecom also develops differentiated initiatives that contribute to both the associates' employability and their retirement planning. Among these actions, of special reference are the support to outplacement services, professional development and assistance during the transition to retirement.
The Company keeps a good relationship with unions - in 2012, 98% of the associates were benefited by collective bargaining agreements. At Algar Telecom, professionals in management positions did not benefit from the negotiation, since they enjoy specific remuneration policies. In April 2012, Algar Telecom distributed a total bonus amount of R$ 13.9 million related to the profit sharing program based on the previous year. The distribution benefitted 89% of the associates.
Communication Channels
The Algar Group, of which Algar Telecom is a subsidiary, provides different communication channels to interact with its associates. One of them is TV Algar, an exclusive corporate TV show that can be viewed on computers, mobile devices or televisions installed in regional offices. Algar Telecom takes part in all the show episodes, with topics of interest to its associates.
The main facts and achievements related to Algar Group are also reported by Toda Hora (Every Hour), formed by frames of short and informational texts accessed by computers and broadcasted in the screens available in the Company's convenience sites.
Algar Telecom associates' intranet was fully reformatted in 2012 to include information such as internal contact lists, agenda, Library of Procedures and Processes, useful links and the Human Talents Portal, an exclusive channel to the Human Talents area, used to disseminate the Company's culture, benefits, new posts opportunities, compensation policy and other related topics.
The Group's associates may also access the Algar Net, a corporate communication channel that features services such as vacation leave application, salary and remuneration statements, in addition to Conect@ - a Distance Learning training channel, offering training programs customized to each associate.
Human Rights
Algar Group rejects any kind of discrimination and adopts all applicable measures to prevent this type of conduct in its business. In 2012, two cases of sexual harassment in Algar Tecnologia were reported to the Ombudsman. The Ombudsman team investigated the reports, examined both evidences and recommended the dismissal of the leaders responsible for such acts, which was executed by the Company. In addition, as an improvement measure, workshops addressing themes such as moral damages and sexual and moral harassment were scheduled to be offered to all leaders, to be held during the first half of 2013.
Since its inception in 1994, the Algar Tecnologia's Ombudsman area has received, recorded and examined over 17,000 complaints, charges and criticisms, related not only to discrimination, but also to several issues relevant to associates.
Also concerning Human Rights, the Code of Ethics adopted by all the Algar Group's companies set out that no partners or suppliers that use slave or child labor be accepted. In 2012, no cases of child labor were identified at Algar Telecom.
