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 |
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General Disclosures |
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GRI 102: General Disclosures 2016 |
Organisational profile |
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GRI 102-1 Name of the organisation |
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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 |
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GRI 102-4 Location of operations |
2, rue Gerhard Mercator B.P. 1443 L-1014 Luxembourg |
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GRI 102-5 Ownership and legal form |
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GRI 102-6 Markets served |
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GRI 102-7 Scale of the organisation |
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GRI 102-8 Information on employees and other workers |
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GRI 102-9 Supply chain |
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GRI 102-10 Significant changes to the organisation and its supply chain |
There were no significant changes during the period covered by this report. |
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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. |
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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. |
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GRI 102-13 Membership of associations |
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Strategy |
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GRI 102-14 Statement from senior decision-maker |
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Ethics and integrity |
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GRI 102-16 Values, principles, standards and norms of behaviour |
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. |
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GRI 102-17 Mechanisms for advice and concern about 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. |
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Governance |
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GRI 102-18 Governance structure |
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GRI 102-19 Delegating authority |
Our CR & Sustainability Leader is appointed and supported by our CEO |
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GRI 102-20 Executive-level responsibility for economic, environmental, and social topics |
Our CR & Sustainability Leader was appointed by our CEO and reports directly to him. |
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GRI 102-21 Consulting stakeholders on economic, environmental, and social topics |
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GRI 102-22 Composition of the highest governance body and its committees |
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GRI 102-23 Chair of the highest governance body |
John Parkhouse, CEO |
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GRI 102-24 Nominating and selecting the highest governance body |
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GRI 102-25 Conflict of interest |
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GRI 102-35 Remuneration policies |
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GRI 102-36 Process for determining remuneration |
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GRI 102-37 Stakeholders' involvement in remuneration |
Stakeholder views are not taken into consideration regarding remuneration. |
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Stakeholder Engagement |
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GRI 102-40 List of stakeholder groups |
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GRI 102-41 Collective bargaining agreements |
PwC Luxembourg is not subject to any collective bargaining. |
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GRI 102-42 Identifying and selecting stakeholders |
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GRI 102-43 Approach to stakeholder engagement |
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GRI 102-44 Key topics and concerns raised |
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. |
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Reporting Practice |
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GRI 102-45 Entities included in the consolidated financial statements |
We have different entities that are part of the consolidated financial statement. |
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GRI 102-46a Defining report content and topic boundaries |
Our multi- stakeholder approach |
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. |
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GRI 102-46b Stakeholder Inclusiveness |
Our multi- stakeholder approach |
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. |
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GRI 102-46b Sustainability Context |
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'. |
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GRI 102-46b Materiality |
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. |
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GRI 102-46b Completeness |
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). |
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GRI 102-47 List of material topics |
See material topics identified in Materiality Matrix in ‘How we deliver on our purpose’. |
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GRI 102-48 Restatements of information |
None |
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GRI 102-49 Changes in reporting |
None. The material topics and their boundaries remain the same. |
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GRI 102-50 Reporting period |
FY 2018-2019 (1 July 2018 - 30 June 2019) |
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GRI 102-51 Date of most recent report |
Oktober 2018 |
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GRI 102-52 Reporting cycle |
Annual |
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GRI 102-53 Contact point for questions regarding the report |
Youcef Damardji, Head of Communication. Email: youcef.damardji@pwc.com |
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GRI 102-54 Claims of reporting in accordance with the GRI Standards |
This report has been prepared in accordance with the GRI Standards: Core Option. |
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GRI 102-55 GRI Content Index |
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GRI 102-56 External assurance |
No external assurance |
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Material Topics |
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GRI 103 Management Approach 2016 |
Societal Impact |
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103-1 Explanation of the material topic and its Boundary |
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. |
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103-2 The management approach and its components |
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. |
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103-3 Evaluation of the management approach |
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”. |
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| 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 |
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103-1 Explanation of the material topic and its Boundary |
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. |
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103-2 The management approach and its components |
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. |
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103-3 Evaluation of the management approach |
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. |
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GRI 103 Management Approach 2016 |
Independence & Conflict of Interest |
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103-1 Explanation of the material topic and its Boundary |
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. |
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103-2 The management approach and its components |
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. |
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103-3 Evaluation of the management approach |
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. |
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GRI 103 Management Approach 2016 |
Legitimacy & Ethics |
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103-1 Explanation of the material topic and its Boundary |
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. |
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103-2 The management approach and its components |
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. |
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103-3 Evaluation of the management approach |
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. |
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GRI 103 Management Approach 2016 |
Employee Journey |
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103-1 Explanation of the material topic and its Boundary |
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. |
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103-2 The management approach and its components |
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. |
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103-3 Evaluation of the management approach |
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%. |
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| GRI 401: Employment 2016 | 401-1 New employee hires and employee turnover | Employee Journey | |
GRI 103 Management Approach 2016 |
Health |
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103-1 Explanation of the material topic and its Boundary |
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. |
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103-2 The management approach and its components |
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. |
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103-3 Evaluation of the management approach |
Our target is zero burnout. This year, we had 17 diagnosed burnout cases. |
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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 |
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GRI 103 Management Approach 2016 |
Continuous Learning |
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103-1 Explanation of the material topic and its Boundary |
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. |
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103-2 The management approach and its components |
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. |
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103-3 Evaluation of the management approach |
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. |
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GRI 404: Training and Education 2016 |
404-1 Average hours of training per year per employee |
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404-2 Programmes for upgrading employee skills and transition assistance programmes |
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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 |
FY |
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Car accident |
without work interruption |
23 |
7 |
with work interruption |
15 |
16 |
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total |
38 |
23 |
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Road accident (pedestrian) |
without work interruption |
7 |
3 |
with work interruption |
5 |
8 |
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total |
12 |
11 |
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Accident at workspace |
without work interruption |
1 |
6 |
with work interruption |
4 |
0 |
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total |
5 |
6 |
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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 |
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total |
57 |
41 |
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FY |
FY |
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Injury |
2.1% |
1.5% |
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Absenteeism rate |
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Women |
4.3% |
4.6% |
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Men |
2.5% |
2.1% |
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All |
3.3% |
3.7% |
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This material references Disclosure 403-2.