About this Annual Review

Level and scope of reporting

We report on the level of PwC Luxembourg, Société cooperative for the financial year that started on 1 July 2018 and ended on 30 June 2019. This report focuses on our strategy, our policies, our procedures and systems, and the associated disclosures relate to PwC Luxembourg. The scope of these disclosures can be found in the GRI table in the appendix.

GRI

This report has been prepared in accordance with the GRI Standards: Core option. Using the GRI Standards as a basis of our report encourages us to protect the environment and improve society, while thriving economically by improving governance and stakeholder relations, which enhances reputation and builds trust.

The GRI content index sets out the matters that are relevant to our stakeholders and strategy based on our materiality analysis. The table follows of the GRI Standards and lists the pages where the relevant information for each disclosure can be found.

Materiality analysis

In order to understand what sustainability means for us and where we can be most impactful in providing added value, we have performed a materiality analysis by asking our PwC management team and stakeholders to prioritise 15 sustainability challenges. In this report, we focus on those aspects that are of the greatest significance to our strategy and to our stakeholders.

This material references Disclosures 102-50 and 102-54.

GRI Content index

This report has been prepared in accordance with the GRI Standards: Core option. The below interactive index shows the disclosures that PwC Luxembourg addresses in this report and leads the users to the report sections containing this information.

For the Materiality Disclosures Service, GRI Services reviewed that the GRI content index is clearly presented and the references for Disclosures 102-40 to 102-49 align with appropriate sections in the body of the report.

For the GRI Content Index Service, GRI Services reviewed that the GRI content index is clearly presented and the references for all disclosures included align with the appropriate sections in the body of the report.

The material references Disclosures 102-54 and 102-55.

GRI Standard

Disclosure

URL(s)

Direct answers/comments 

GRI 101 Foundation 2016

General Disclosures 


GRI 102: General Disclosures 2016 

Organisational profile

GRI 102-1 Name of the organisation

What we do

 

GRI 102-2 Activities, brand, products and services

What we do  

GRI 102-3 Location of headquarters

 

2, rue Gerhard Mercator B.P. 1443 L-1014 Luxembourg

GRI 102-4 Location of operations

 

2, rue Gerhard Mercator B.P. 1443 L-1014 Luxembourg

GRI 102-5 Ownership and legal form

What we do

Ownership

 

GRI 102-6 Markets served

What we do

 

GRI 102-7 Scale of the organisation

PwC People - Key Statistics

 

GRI 102-8 Information on employees and other workers

PwC People - Key Statistics

 

GRI 102-9 Supply chain

Responsible Procurement

 

GRI 102-10 Significant changes to the organisation and its supply chain

 

There were no significant changes during the period covered by this report.

GRI 102-11 Precautionary principle or approach

 

This does not apply to us, as we do not have any real product with direct incidence on the environment.

GRI 102-12 External initiatives

 

The PwC Global Network has participated to the United Nations Global Compact since 2002 and submits yearly communication on progress. We are also founding member of IMS Luxembourg. 

GRI 102-13 Membership of associations

List of mandates

 

Strategy

GRI 102-14 Statement from senior decision-maker

Message from our CEO

 

Ethics and integrity

GRI 102-16 Values, principles, standards and norms of behaviour

Why we exist; 

Legitimacy & Ethics

Our five values are our guiding principles and are explained under ‘Why we exist. Our Code of Conduct, which is referred to in ‘Legitimacy & Ethics’, is based on our values. It outlines the principles, standards and norms of behaviours that define how we do business.

GRI 102-17 Mechanisms for advice and concern about ethics

Why we exist;

Legitimacy & Ethics;

Independence & Conflict of Interest


Our five values are our guiding principles and are explained under ‘Why we exist. Moreover, as explained in ‘Legitimacy & Ethics’ and ‘Independence & Conflict of Interest’, we have a Business Conduct & Ethics Committee in place, as well as independent Ethics Counsellors, who manage our whistleblowing procedures, take relevant complaints and give advice and escalate the matters.

Governance

GRI 102-18 Governance structure

Governance

 

GRI 102-19 Delegating authority

How we deliver on our purpose

Our CR & Sustainability Leader is appointed and supported by our CEO

GRI 102-20 Executive-level responsibility for economic, environmental, and social topics 

How we deliver on our purpose

Our CR & Sustainability Leader was appointed by our CEO and reports directly to him.

GRI 102-21 Consulting stakeholders on economic, environmental, and social topics 

Our multi- stakeholder approach

 

GRI 102-22 Composition of the highest governance body and its committees

Governance

 

GRI 102-23 Chair of the highest governance body

Governance

John Parkhouse, CEO

GRI 102-24 Nominating and selecting the highest governance body

Governance

 

GRI 102-25 Conflict of interest

Independence & Conflict of Interest

 

GRI 102-35 Remuneration policies

Governance

 

GRI 102-36 Process for determining remuneration

Governance

 

GRI 102-37 Stakeholders' involvement in remuneration

 

Stakeholder views are not taken into consideration regarding remuneration.

Stakeholder Engagement

GRI 102-40 List of stakeholder groups

Our multi- stakeholder approach

 

GRI 102-41 Collective bargaining agreements

 

PwC Luxembourg is not subject to any collective bargaining.

GRI 102-42 Identifying and selecting stakeholders

Our multi- stakeholder approach

 

GRI 102-43 Approach to stakeholder engagement

Our multi- stakeholder approach

 

GRI 102-44 Key topics and concerns raised

How we deliver on our purpose

Societal Impact;

Client Satisfaction;

Independence & Conflict of Interest;

Legitimacy & Ethics;

Employee Journey;

Health;

Continuous Learning

See the sustainability challenges in our MaterialitGRI 102-46b Materialityy Matrix in ‘How we deliver on our purpose’ and more detailed information on them under each of our top 7 sustainability challenges.

Reporting Practice

GRI 102-45 Entities included in the consolidated financial statements

Ownership

We have different entities that are part of the consolidated financial statement.

GRI 102-46a Defining report content and topic boundaries

Our multi- stakeholder approach

Societal Impact;

Client Satisfaction;

Independence & Conflict of Interest;

Legitimacy & Ethics;

Employee Journey;

Health;

Continuous Learning

Our stakeholder engagements in 2016 and 2017 were used to define reporting content. The reporting boundaries are also defined by our stakeholder consultation, and will be explained in the individual sustainability challenges' sections.

GRI 102-46b Stakeholder Inclusiveness 

Our multi- stakeholder approach

Societal Impact;

Client Satisfaction;

Independence & Conflict of Interest;

Legitimacy & Ethics;

Employee Journey;

Health;

Continuous Learning

Information on our stakeholder dialogue can be found in the chapter ‘Our multi- stakeholder approach’. The material topics discussed in the individual sustainability challenges chapters are directly correlated to the outcome of the stakeholder engagement process. 

GRI 102-46b Sustainability Context 

How we deliver on our purpose;

Message from our CEO;

Societal Impact

The broader sustainability context in which we operate is described under 'How we deliver on our purpose'. The relationship between sustainability and the organisational strategy can be found in the foreword of our CEO and is further discussed under our 'Societal Impact'. 

GRI 102-46b Materiality 

How we deliver on our purpose

Societal Impact;

Client Satisfaction;

Independence & Conflict of Interest;

Legitimacy & Ethics;

Employee Journey;

Health;

Continuous Learning

A materiality matrix can be found in the 'How we deliver on our purpose' chapter, prioritising our relevant sustainability topics. The seven material challenges identified as priority define the content of the individual sustainability challenges' chapters, where we perform a deep-dive into these topics. 

GRI 102-46b Completeness 

How we deliver on our purpose

Societal Impact;

Client Satisfaction;

Independence & Conflict of Interest;

Legitimacy & Ethics;

Employee Journey;

Health;

Continuous Learning

An overview of the seven sustainability challenges can be found under 'How we deliver on our purpose'. A complete analysis of each material topic can be found in the individual sustainability challenges' chapters. The information included in the report follows the FY19 reporting period (1 July 2018 – 30 June 2019). 

GRI 102-47 List of material topics

How we deliver on our purpose

Societal Impact;

Client Satisfaction;

Independence & Conflict of Interest;

Legitimacy & Ethics;

Employee Journey;

Health;

Continuous Learning

See material topics identified in Materiality Matrix in ‘How we deliver on our purpose’.
For an explanation of each topic, see the individual sustainability challenges' chapters.

GRI 102-48 Restatements of information

 

None

GRI 102-49 Changes in reporting

 

None. The material topics and their boundaries remain the same.

GRI 102-50 Reporting period

About this Annual Review

FY 2018-2019 (1 July 2018 - 30 June 2019)

GRI 102-51 Date of most recent report

 

Oktober 2018

GRI 102-52 Reporting cycle

 

Annual

GRI 102-53 Contact point for questions regarding the report

 

Youcef Damardji, Head of Communication. Email: youcef.damardji@pwc.com

GRI 102-54 Claims of reporting in accordance with the GRI Standards

About this Annual Review;

GRI Content Index

This report has been prepared in accordance with the GRI Standards: Core Option.

GRI 102-55 GRI Content Index

GRI Content Index

 

GRI 102-56 External assurance

 

No external assurance 

Material Topics


GRI 103 Management Approach 2016 

Societal Impact

103-1 Explanation of the material topic and its Boundary

Societal Impact

We have the ability and potential to make the best of our knowledge and expertise to contribute to solving societal challenges through the services we provide. As a large scale provider with global reach, we have a responsibility to support the transition to a more sustainable economy which protects societal and environmental capital by offering relevant services to our clients. 

103-2 The management approach and its components

Societal Impact

To invent this new "world" together with our stakeholders that will respect human and nature, and to act according to the framework set by the UN and Paris agreement, we have built globally and locally a strong team of experts who can help our clients not only deal with these challenges but also turn them into opportunities.

103-3 Evaluation of the management approach

Societal Impact

We did not set a specific target. We want to live and act according to our purpose “to build trust in society and solve important problems”. 

GRI 203: Indirect Economic Impacts 2016 203-1 Infrastructure investments and services supported Societal Impact Services developed to contribute solving societal challenges

GRI 103 Management Approach 2016 

Client Satisfaction

103-1 Explanation of the material topic and its Boundary

Client Satisfaction

The satisfaction of our clients with the services we provide is at the very foundation of our success as a firm. However, achieving true client centricity requires employee engagement. That is why we look at client satisfaction from two perspectives: clients and people.

103-2 The management approach and its components

Client Satisfaction

To make our more insightful decisions on how to ensure service excellence, we look at the results of both, our yearly Client Experience Survey and People Engagement Survey. We use them as a baseline to design appropriate actions.

103-3 Evaluation of the management approach

Client Satisfaction

It is our target to reach 100% satisfaction from both sides, our clients and our people. This year, we had a satisfaction rate of 83% from our clients and 74% from our people. 


GRI 103 Management Approach 2016 

Independence & Conflict of Interest

103-1 Explanation of the material topic and its Boundary

Independence & Conflict of Interest

In our work, we are faced with independence risks that can put at risk our license to operate. There are legal and regulatory independence risks, but also every conflict of interest potentially masks more serious compliance issues. Safeguarding our client independence and keeping our people free from interests that could compromise their ability to work impartially is key to safeguard our license to operate.

103-2 The management approach and its components

Independence & Conflict of Interest

We have in place tools, trainings and checks to safeguard our client independence, as well as channels for our people to declare and report all potential conflicts of interest.

103-3 Evaluation of the management approach

Independence & Conflict of Interest

It is our target to reach 100% transparency on declared potential conflicts of interest. This year, 10 conflict of interests were brought up and followed up by our Ethical Committee.


GRI 103 Management Approach 2016 

Legitimacy & Ethics

103-1 Explanation of the material topic and its Boundary

Legitimacy & Ethics

The public is questioning our ability to create societal impact and shows mistrust towards our services and practices. This puts at risk our license to operate. To safeguard it, we need to rehabilitate trust from two main interest groups: the public and our employees.

103-2 The management approach and its components

Legitimacy & Ethics

To measure the trust level of the public, we committed to conduct a regular Legitimacy & Ethics survey with the Luxembourgish society, which is done by an independent market research institute. The results are used to define our action plan.

103-3 Evaluation of the management approach

Legitimacy & Ethics

It is our target to increase the trust levels of the public by 5% per year. 

According to the survey results of 2016, 46% of the public trusts us. So far, we only ran this survey once, so we do not yet have comparative figures to evaluate a possible increase in public trust.


GRI 103 Management Approach 2016 

Employee Journey 

103-1 Explanation of the material topic and its Boundary

Employee Journey

As a service provider, our main asset is our staff. They differentiate us from our competitors and in order to be a successful firm, we need to attract and retain the right candidates, provide them with the necessary skills and knowledge to serve our clients, and provide them with the adequate work culture they are demanding. 

103-2 The management approach and its components

Employee Journey

We aim at building a meaningful journey for all our people. Our Global People Survey is our key indicator to determine how our firm is doing in this regard. Specifically, we use our People Engagement Index, as well as the Purpose and Values results of our Global People Survey as baseline to measure our success and to define appropriate actions.

103-3 Evaluation of the management approach

Employee Journey

Our target is to improve the results of our People Engagement Index, Purpose and Values by 10% per year. This year, we had a 1% decrease in people engagement, a 5% increase in purpose results and results increases for our 5 values by 1% to 4%.

GRI 401: Employment 2016 401-1 New employee hires and employee turnover Employee Journey  

GRI 103 Management Approach 2016 

Health

103-1 Explanation of the material topic and its Boundary

Health

Due to the nature of our business, our people’s health is mainly determined by mental wellbeing factors. As such, burnout is the ultimate indication that the health of our people is at risk. Both, professional and personal factors can lead to burnout. As our work can expose our people to high levels of stress, we have a contributing role to the emergence of burnout.

103-2 The management approach and its components

Health

We aim at creating a working environment, in which the health of our workforce is protected, and where individuals who suffer from health problems are supported. We measure the health level of our overall workforce through a Wellbeing Index and use it to design appropriate actions. Moreover, to raise awareness among our people regarding psychological pressures at work and how to deal with it, we work closely with the ASTF Luxembourg.

103-3 Evaluation of the management approach

Health

Our target is zero burnout. This year, we had 17 diagnosed burnout cases.

GRI 403: Occupational Health and Safety 2016

403-2 Types of injury and rates of injury, occupational diseases, lost days, and absenteeism, and number of work related fatalities

Occupational Health and Safety

 

GRI 103 Management Approach 2016 

Continuous Learning

103-1 Explanation of the material topic and its Boundary

Continuous Learning

As the nature of our work evolves continually, and client and stakeholder needs and expectations are evolving as a result, it is imperative for us to gain new knowledge and learn new skills throughout our professional lives.

103-2 The management approach and its components

Continuous Learning

Working towards a culture of knowledge innovation that fits the business models of tomorrow, we started to upskill and future skill our teams. We are enhancing the  set of skills and capabilities of our people around new emerging needs on the market and responsible business.

103-3 Evaluation of the management approach

Continuous Learning

It is our target to bring awareness and give trainings to 100% of our staff on sustainability issues.

So far, sustainability is not brought to our people as a one-off training event, but as a sustained messaging across the major learning events within PwC.  Relevant learning content is incorporated in New Joiners training, through to New Manager, New Director and New Partners trainings. Moreover, we are offering internal training on selected sustainability topics, such as ESG, Circular Economy, and GRI-compliant sustainability reporting.

GRI 404: Training and Education 2016

404-1 Average hours of training per year per employee

Continuous Learning

 

404-2 Programmes for upgrading employee skills and transition assistance programmes

Continuous Learning

 

Appendix

List of mandates

Organisation

Function

ABBL (Association des Banques et Banquiers Luxembourgeois)

Member

ABIAL (Association of British and Irish Accountants in Luxembourg )

General Secretary

ACA (Association des Compagnies d'Assurance)

Member

ACFE (Association of Certified Fraud Examiners), Luxembourg Chapter in formation

Director

AFIDI (Association de la FInance DIgitale a.s.b.l.)

Member of the Board of Directors + Secretary

AGERE (Association des gestionnaires de Réassurances)

Representative member

AIMA (Alternative Investment Management Association)

Member

ALCO (Association Luxembourgeoise des Compliance Officers du Secteur Financier)

Member

ALFI (Association Luxembourgeoise des Fonds d'Investissement)

Member

ALFI (Association Luxembourgeoise des Fonds d'Investissement)

Chairman

ALFI (Association Luxembourgeoise des Fonds d'Investissement)

Co-chairman

ALRIM (Association Luxembourgeoise de Risk Management)

Board member

ALUPSE (Association Luxembourgeoise De Pédiatrie Sociale)

Member of the Board of Directors

American Chamber of Commerce in Luxembourg

Member

American Chamber of Commerce in Luxembourg

Board member

APSI

Member

Association Metz Lorraine Japon

Treasurer

Association Moulins Energie, asbl

Treasurer

Association pour le Progès du Management

Member

Association Sportive Kikuoka Country Club ASBL

Auditor

Association Vauban

Administrator

ASTF (Association pour la Santé au Travail du Secteur Financier)

Board member

British Chamber of Commerce in Luxembourg

Member

Burgundy School of Business - BSD Education

Board member

Caritas Enfants et Familles ASBL

Administrator and  Secretary

Caritas Jeunes et Familles ASBL

Administrator and  Secretary

Chambre de Commerce Française au Luxembourg

Treasurer

CNC, Commission des Normes Comptables

Member

Commissariat aux Assurances

Member

Commission de Surveillance du Secteur Financier (CSSF)

Member

EFAMA (The European Funds and Asset Management Association)

Member

European Contact Group (ECG)

Luxembourg representative

European Impact investing committee

Administrator and vice-president

FFCEL, a.s.b.l. (Fédération des femmes cheffes d'entreprise)

Auditor

Genossenschaft Deutscher Grün-Energie Erzeuger eG

Board member

H2 Erneuerbar Versorgt GmbH & Co.KG (SME/Renewable Energy Production)

Director

ICN

Board member

IFA Luxembourg (International Fiscal Association)

Board member

ILA (Institut Luxembourgeois des Administrateurs)

Board Member

ILA (Institut Luxembourgeois des Administrateurs)

Member

ILEA (Industrie Luxembourgeoise des Equipementiers de l'Automobile)

Member

INREV (European Association for Investors in Non-Listed Real Estate Vehicles)

Member

INREV (European Association for Investors in Non-Listed Real Estate Vehicles)

Chairman

Institute of Internal Auditors, Luxembourg Chapter

Board Member

IRE (Institut des Réviseurs d'Entreprises)

Member

Ireland Luxembourg Chamber of Commerce

Board member

Isalmic Finance Professional Association

Board member

LPEA, Luxembourg Private Equity and Venture Capital Association

Member

Luxembourg Arab Business Association

Founding Member

Luxembourg Capital Market Association a.s.b.l

Board member

Luxembourg Government

Member of the "Climate Finance Task Force"

Luxembourg Private Equity Association

Co-chairman

Luxembourg School of Finance

Lecturer

LuxFLAG

Member

OEC (Ordre des Experts Comptables)

Member

Personal Officer Group (POG) , Femmes Leaders

Member

PwC EU Services EESV

General Manager

Russian Business Chamber of Commerce

Member

Solvay Business School of ULB-Mastere Special en Gestion Fiscale

Member

The Institute for Global Financial Integrity, a.s.b.l.

Director

Toutes à l'école Belgique

Administrator

Toutes à l'école Luxembourg, a.s.b.l.

Administrator

Toutes à l'école Luxembourg, a.s.b.l.

Auditor

Toutes à l'école Paris

Administrator and vice-president

This material references Disclosure 102-13.

Occupational Health and Safety

   

FY
2019

FY
2018

Car accident

without work interruption

23

7

with work interruption

15

16

total

38

23

Road accident (pedestrian)

without work interruption

7

3

with work interruption

5

8

total

12

11

Accident at workspace

without work interruption

1

6

with work interruption

4

0

total

5

6

Injuries during outdoor activities (football, golf, …)

without work interruption

0

1

with work interruption

2

0

total

2

1

Total

without work interruption

31

17

with work interruption

26

24

total

57

41

       
   

FY
2019

FY
2018

Injury

 

2.1%

 1.5%

Absenteeism rate

Women 

 

4.3%

 4.6%

Men

 

2.5%

 2.1%

All

 

3.3%

 3.7%

This material references Disclosure 403-2.

Contact us

Valérie Arnold

CR & Sustainability Leader, PwC Luxembourg

Tel: +352 49 48 48 2285