Workforce

At year-end 2016, Vesteda employed 181 FTEs, an increase of 1.1% compared to the number of employees at year-end 2015 (179 FTEs). The number of employees had increased to 202 at year-end 2016 from 199 at year-end 2015.

FTEs

FTEs

2016

2015

2014

2013

2012

Year-end

181

179

189

227

253

Annual average*

179

179

211

235

275

  • *Average of 12x month-end balances

Employees

Employees

2016

2015

2014

2013

2012

Year-end

202

199

213

256

287

The average age of Vesteda employees remains approximately the same as the previous year and stood at 42.7 years of age in 2016. The largest portion (39%) of the workforce is between 35 and 45 years of age. The representation of the group between 45 and 55 years of age increased to 28%.

Workforce, by age

% of employees

2016

2015

2014

2013

2012

Younger than 35 years

20

20

19

20

20

35 to 45 years

39

41

39

37

38

45 to 55 years

28

24

26

27

28

Over 55 years

13

15

16

16

14

Total

100

100

100

100

100

The male/female ratio changed slightly in favour of the female population. At the end of 2016, 52% of the workforce was female, an increase of 1% compared to year-end 2015 (51%).

In 2016, 29 new employees joined Vesteda (45% female/55% male) and 26 employees left the company (35% female/65% male). Most of the departing employees either had to leave because they chose not to relocate to Amsterdam following the decision to close our Maastricht office or had to leave because of fixed-term contracts that were not renewed.

Following the appointment of Mr. Frits Vervoort as CFO of Vesteda, the male/female ratio within the Managing Board is 100/0. In 2016, Vesteda’s Supervisory Committee consisted of five members, four male and one female.

Vesteda recognises the importance of an equal distribution of male and female members of its Managing Board and Supervisory Committee, taking into account that the candidate’s qualification and suitability for the function profile are always the leading principle. Given the current composition and remaining term periods of the members of Supervisory Committee and the relatively fewer female candidates in the real estate sector, we do not foresee an equal distribution in the medium term.

Workforce, by gender

% of employees

2016

2015

2014

2013

2012

Male

48

49

47

45

47

Female

52

51

53

55

53

Total

100

100

100

100

100

Total remuneration

Total remuneration came in at € 11.9 million (92% fixed and 8% variable) in 2016, which was unchanged from the previous year (total remuneration 2015: € 11.9 million).

Bonuses

Vesteda has a bonus scheme with a collective component including criteria such as the realised operational result, tenant satisfaction and average occupancy rate. The variable remuneration also includes an individual component and in some cases a team component. Variable remuneration is only paid, in full or in part, if Vesteda’s realised results meet the targets to a sufficient degree. This requirement was met in 2016.

Organisation, employee development and training

The implementation of the new organisational structure started in October 2016. Vesteda’s organisational structure has been brought into line with the fully integrated business concept. Strategy, focus, core values and core activities were leading in the design of the new organisational structure. Processes have been clustered into departments based around our three core activities, Portfolio Strategy, Operations and Acquisitions. In 2017, we will continue the implementation of the restructuring, which we expect to complete in the second quarter of 2017. Employees who lose their position as a result of the new structure and the closure of our Maastricht office are eligible for the social plan, which provides for redundancy pay and outplacement.

In 2016, we continued with our company-wide culture and organisation change programme called ‘Vesteda Verbetert’ (Vesteda Improves), with the aim of transforming Vesteda into a High Performance Organisation (HPO).

The HPO philosophy has been shared with, and is supported by, our management and our employees. Activities are carried out for and by the staff members, guided and coached by ‘Verbeter coaches’ (improvement coaches from within the organisation). Vesteda Verbetert covers and has influence on all departments, teams and individual employees. It will lead to further synergies and continuous improvement in all business chains and processes.

The concrete actions we took in 2016 included the integration of the financial and technical departments, identifying Vesteda’s mission, vision and core values and the further empowerment of all employees, including Verbeter coaches and management.

In 2016, Vesteda Verbetert will continue as part of our efforts to further streamline the organisation and its processes and stimulate and enable cooperation. The relocation in 2017 to one head office in Amsterdam will help to enhance cooperation.

In 2016, Vesteda invested € 505,000 (or 4.2% of the gross payroll) in the education and development of individual employees, the teams and the project Vesteda Verbetert.

Absenteeism

Absenteeism fell to 2.3% in 2016 from 3.1% in 2015.

Absenteeism

Percentage

2016

2015

2014

2013

2012

Total absenteeism

2.3

3.1

4.4

3.9

5.5

Absenteeism excluding long-term leave (> one year)

2.3

3.1

4.4

3.6

4.8

Works Council

In the course of 2016, the Works Council and the Managing Board had various scheduled meetings. The meetings between the Managing Board and the Works Council were constructive and successful. Topics addressed were labour conditions and variable remuneration, implementation of the mobility policy, sustainability, and the whistle blower policy.

In June 2016, the Works Council was asked for an opinion on the new integrated structure, including the centralisation of the former head office in Maastricht and both locations in Amsterdam into one new head office in Amsterdam. The Works Council advised in September 2016. In December, preparations started for the election of a new Works Council in February 2017.