Social
Social Sustainability Strategy
The guiding principle of social sustainability is a respect for human rights and freedoms.
See Human Rights.
Social sustainability is one of the three pillars of Škoda Auto’s sustainability strategy. In collaboration with the social partner KOVO Unions, the Company is attempting to transition to a new approach based on Creating Shared Value (CSV) principles. CSV enables Škoda Auto to create a shared value between the Company and its stakeholders. This leads to a greater positive impact on society. The Company has identified five key focus areas: Education, Mobility, Volunteering and Employee Engagement, Well-being, and Diversity. For each of these focus areas, the Company sees significant points of interest concerning both external and internal dimensions. The internal dimension is linked to the support of the employees, and the external dimension is linked to sharing the know-how of Škoda Auto with its own partners, especially in the production regions. See Strategic Focus Areas.
Apart from the Strategy focus areas, Škoda Auto responds to current emergencies and provides immediate support. See Humanitarian Aid.
On a regional level, strong emphasis is placed on the attractiveness of the regions where Škoda Auto operates, i.e. Mladá Boleslav, Kvasiny, and Vrchlabí. See Community Engagement.
To independently monitor its activities in the field of social sustainability, Škoda Auto takes part in the regular IPSOS CSR and Reputation Research study. Two connected indicators of the study are the CSR Index and Corporate Reputation Index. The Corporate Reputation Index is based on questions measuring the trust and experience that the general public and customers have with the brand. Škoda managed to be the TOP 2 in 2021 and TOP 1 in 2022. The CSR index is calculated as the percentage of respondents who perceive the Company as definitely or rather socially responsible minus the percentage of respondents who perceive it as definitely or rather socially irresponsible. Škoda Auto ranked in the TOP 2 position in 2021 and 2022.
Strategic Focus Areas
Education
Support for education has a long tradition at Škoda Auto. It has historically relied primarily on the development of educational institutions. The tradition of Škoda Auto Vocational school dates to 1927. Since 2013, Škoda Academy has helped connect education of employees and students of the vocational school. In 2000, support for education was further enhanced by the establishment of Škoda University.
Externally, the Company intensively supports technical education and has long been cooperating with 17 universities, 40 secondary schools, and more than 40 primary schools. Part of the external support are projects such as Science Has a Future, EDU.LAB, EDU week for teachers, Technological Literacy and Technology Olympiad, Days of Technology, and Education for system developers. Internally, employees are being encouraged in the development of professional competences.
Science has a future
The Company is a long-term partner to the “Science Has a Future” programme, which promotes the motivation of teachers at primary schools. At the same time, the programme helps to popularise science and technical specialisations. In the reporting period, as part of the programme, 60 methodological materials (2021: 20, 2022: 40) were created for teachers to teach physics using a research approach.
EDU.LAB
The EDU.LAB project was established by Škoda Auto in 2021 to promote technical education among primary and secondary school students. By visiting the laboratory, students broaden their awareness of modern technology in the sphere of robotics, thermal vision, electromobility, artificial intelligence, virtual reality, and their use in practice.
The mobile educational laboratory EDU.LAB visited more than 3,000 pupils, teachers, and other interested technology parties on its roadshow around the country in 2021. In 2022, this figure doubled to 6,000, making its appearance at events focused on promoting technology, such as the NATO Days in Ostrava and the Maker Fair festival in Brno and Mladá Boleslav. For one week, the EDU.LAB was also available to students in Žilina and Bratislava.
EDU Week for teachers
In cooperation with Škoda Auto University and the Škoda Auto Endowment Fund, the Company organised the annual EDU Week of lectures and seminars for educators of all types of schools and educational institutions in 2021 and 2022. In-person workshops took place in Škoda Auto’s regions. Online webinars were accessible to participants from across the Czech Republic. Teachers learned about pressing topics, such as harmless communication, bullying, aggression, and social media approaches. A child psychologist focused on the mental well-being of children and educators, as well as lecturers from the non-profit organisation People in Need also participated. In 2021, 871 participants attended 18 online webinars. In 2022, when on-site sessions were organised, 568 educators participated in the free educational activities.
Technological Literacy and Technology Olympiad
The Company continued to support technical education in the Czech Republic by participating in the Technological Literacy and Technological Olympiad projects in the reporting period. These are a series of expert lectures with a subsequent nationwide competition for Czech secondary school students under the auspices of the Faculty of Electrical Engineering at the Czech Technical University in Prague and the Ministry of Education, Youth and Sports of the Czech Republic.
The Technological Literacy project aims to promote technological literacy and demonstrate that technology has broad future applications. At the same time, it seeks to show students that modern technology is not only related to programming and mathematics, but also to social sciences with implications for ethics. Škoda Auto, as the general partner, provided experts from technical development, who helped to create a standardized lecture for schools and provided financial assistance for the entire project.
Days of Technology
In June 2022, the Company held an extensive educational program called Days of Technology at the Kvasiny plant, which introduced students from local primary schools to the prospects of studying technical fields. During the four days, 269 students and teachers from primary schools in the region visited the plant and were able to get a close look at modern automotive industry technologies.
Education for system developers
Education plays a vital role in successful digital transformation. That was the main reason why Škoda Auto founded 42 Prague in 2021. 42 Prague is a peer-to-peer coding institution with a world-class curriculum empowering the next leading generation of tech talent in Central and Eastern Europe. Through the educational model, students are trained to become qualified software engineers, designing inclusive solutions for the challenges of today and tomorrow. Up to 450 future programmers will be trained here free of charge in the next 5 years as they prepare for new careers and professional roles. Based on peer-to-peer feedback and gamification, the most important software programming languages will be taught practically, with an additional focus on continuous learning and strengthening social skills.
Škoda Auto also supports the IT education of women and children. In cooperation with Czechitas, it organises short-and long-term courses for women and children who want to strengthen their IT skills.
Professional education and development
Professional training is a key instrument of Škoda Auto to advance the Company’s competitiveness and sustainable growth. Therefore, the Škoda Academy offers a wide range of on-the-job and off-the job measures for all employees to support up- and re-skilling, for example:
› digital competences and tech skills,
› technical education and e-mobility,
› language courses,
› specialised trainings for concrete target groups – foremen, managers, trainees, and experts,
› soft skills courses, team, and peer group workshops,
› leadership, cultural and mindset topics, mental, and physical health.
The Company considers the right skills and employee empowerment to be a major key to successful transformation. The Škoda Academy therefore sees its task as offering training courses that are not only relevant in terms of content, but also to motivate employees to learn independently and enable them to develop continuously.
The Škoda Academy continuously supports the Company-wide effort of getting and retaining qualified employees especially in the following areas:
› Company founded university offering combined economic and technical programmes.
› Delivering a transformation portfolio based on product, digitalisation, factory and mindset, with corresponding working methods.
› Own vocational school (currently almost more than 800 apprentices).
› Mindset and culture measures and activities.
› Offering practical training for students.
› New cooperation with 42 Prague for high-level upskilling of Software and Coding skills.
› Attendance at student and apprentice job fairs, cooperation with primary, secondary schools and universities, support of student organisations, arranging of lectures and seminars.
› Area supports in project management, change management, agility.
› Development paths, evaluation, and performance support.
› Building-up an internal learning ecosystem.
The Škoda Academy supports and implements educational projects for getting the right qualifications – qualification for transformation, important topics for the development of future skills. Skills management enables a more flexible approach to identifying the potential for personnel development.
Examples of internal programmes for employees in 2021 and in 2022 were:
Digital productivity and skills programs (365 Academy, Junior Data Analyst, Digital Drivers license, Digi4Work, Digital boot camps for managers…).
Azubi Car 8 (Apprentice car) Škoda Afriq.
Sustainable Culture activities and Mindset Change activities (Open talks, Role model programme, Culture workshops, GreenFuture workshops, Screw Up Talks, Days for Foremen, Leader to Leader Programs, Culture Workshops for Leaders etc.).
Health and Preventive programmes.
Encouragement for eMobility programme (a programme for all employees of Škoda Auto).
Mobility
Škoda Auto is attempting to ensure barrier-free and safe mobility for all. The main ambition in the focus area Mobility is to enable accessible mobility to disadvantaged groups and promote road safety.
A car in the hands of a person with reduced mobility represents freedom of movement and significantly improves their quality of life. Accessible mobility for those who need it the most – that is Škoda’s goal. However, mobility should not only be accessible, but also as safe as possible. That is why, thanks to the expertise of the Transport Safety Research team, Škoda Auto helps the most vulnerable groups and employees to get the information they need to be as safe as possible when travelling, avoiding dangerous mistakes. This is where the Company’s responsibility is directly linked to the product. Škoda Auto employees should then play the role of ambassadors for the topic of road safety.
Traffic safety
Road safety is one of the most important topics in the Social Sustainability Strategy. Škoda Auto wants to contribute to improving the traffic situation on roads by being the leading brand on the market and by actively addressing the issues of traffic education and prevention, with a focus on risk groups, including children, young drivers, and the elderly.
Since 2018 Škoda Auto has been developing the Safe Friday initiative. The project draws on more than 12 years of experience of experts from Škoda Auto’s unique Traffic Safety Research team, which analyses in detail the causes, circumstances, and course of traffic accidents, evaluating how a vehicle can further avoid the consequences of an accident or how its driver or other road users can prevent an accident. During the reporting period, 12,890 children from elementary schools were educated in Traffic safety programme.
Škoda Auto contributes to the education of students and driving school instructors in the Czech Republic by participating in the Start Driving project, which includes workshops for instructors that focus on active and passive vehicle safety features as well as the latest assistance systems. In 2021 and 2022, more than 4,000 novice drivers and their parents were trained.
Barrier-free mobility
The Škoda Handy project has been supporting people with disabilities and their family members since 2010. Škoda Handy Centres assist clients in choosing a suitable car, provide tailored financing including specially designed insurance, help with car modifications and applications for state subsidies. The Company supports people with disabilities through a network of partners with whom it collaborates on projects that make life easier and more active for people with disabilities. These include cooperation with the Czech Paraplegic Association, the association „Cesta za snem“, and the rehabilitation institutes – Kladruby, Luže Košumberk, and Hrabyně, the Paraple Centre and the Fénix Brno Centre.
In 2021 and 2022, Škoda Auto developed the mobility of the handicapped through the grant programmes “Škoda NEŘÍDIT” and “Cycling Without Barriers”.
In the Škoda NEŘÍDIT grant programme, 11 people were awarded a grant in 2022 to obtain a driver’s license. The Cycling Without Barriers grant programme was opened in 2021. Under this programme athletes can apply for financial support to purchase a handcycle, tricycle or modified bicycle. In 2022, five disabled cyclists received this support.
In cooperation with the “Cesta za snem” organisation, a series of three lectures for drivers with disabilities took place directly in rehabilitation centres and institutions, which Škoda Auto has been supporting for a long time.
Volunteering
Volunteer activities is a strong part of the Škoda Auto values. The Company aims to enhance its focus on skill-based volunteering to maximize its positive impact. The Company is encouraging its employees to share their know-how through involvement in employee working groups or to become even more involved in the development of the existing employee volunteer community and participate in its direction. Currently, volunteering has 3 main pillars. Traditional large-scale events, ad hoc voluntary support during the year and single voluntary small-scale events realised by an individual unit.
Apart from contribution of time, effort and talent, the employees provide financial donations to various causes.
Employee collections
Employees of Škoda Auto provide financial support to selected projects of non-profit organisations through employee fundraisers.
In 2022, the employees and Škoda Auto donated CZK 8.9 million (CZK 8.2 mil. in 2021) to charitable causes. 1,613 employees (1,520 Employees in 2021) participated in these employee collections.
Since 2014, Škoda Auto has been one of the companies that offer its employees the opportunity to contribute significant financial support to a good cause, with long-term employee fundraisers being one of the most popular tools for promoting employee social responsibility.
10 non-profit organisations regularly receive financial support from Škoda Auto’s employees in the form of payroll deductions, with the amount chosen by the employee. Škoda Auto doubles these donations. Twice a year, each non-profit organization receives a donation equivalent to 80% of the amount donated by the employee, with the remaining fifth going towards supporting CSR activities around Škoda Auto’s plants in India.
Project objectives:
› Engage employees in social sustainability activities.
› Support activities in the four main priority areas: road safety, access to education, helping children and barrier-free mobility.
› Support local activities by contributing to regional development and employee care.
Large-scale events
The main long-term projects are connected to environmental and social areas.
Let’s clean up the world, let’s clean up the Czech Republic.
Škoda Auto was the main partner of the national clean-up campaign known as “Ukliďme svět, ukliďme Česko” (Let’s clean up the world, let’s clean up the Czech Republic) for the seventh consecutive year in 2021. The campaign runs throughout the Czech Republic and aims to clean up illegal dumps and waste in the countryside. The pandemic year of 2020 aside, Company employees put their efforts into cleaning up the areas around their production plants, as is now the tradition. In 2021, volunteers collected 700 kg of waste in the surroundings of the Škoda Auto plants in Mladá Boleslav, Kvasiny, and Vrchlabí.
In 2022, Škoda Auto mobilized 322 volunteers from all three of its plants, including dozens of refugees from Ukraine whom the carmaker is supporting in their integration into Czech society, to participate in the Clean Up the Czech Republic event. The April clean-up took place in the Milovice protected landscape area near Mladá Boleslav, followed by a May clean-up along watercourses near Harrachov, which was co-organised by the Krkonoše National Park Administration. The volunteers then headed to the Šerlich Hill area on the ridge of the Orlické Mountains, where the Czech Union of Nature Conservationists organised a litter pick. Overall, the volunteers successfully collected 18 tons of garbage from these three locations.
External Affairs Team
“We are most proud of how much our Company takes care of its employees even in tough times, while also paying attention to the people living in regions where we have production plants or people who have simply had a more difficult journey in life. Through our projects, we try to simplify and enhance their journey. In addition, we are now connecting the internal environment with the external one more than ever before, and we want to intensify this in the coming years. We understand that for corporate philanthropy to be truly credible, it must come from the people, which is why we want to further expand our volunteer community in the future. Join us, Škoda Volunteers.”
Škoda Trees
“Škoda trees” is a Škoda’s grant programme facilitated by the Partnership Foundation (Nadace Partnerství). Non-profit organizations, educational institutions, civic and interest associations, administrations of the protected landscape areas, and other organisations can apply for financial support for non-commercial forest planting in this programme. Since 2007, the Company has been planting one tree per every car sold in the Czech Republic. By the end of 2023, 1,244,080 trees will have been planted by Škoda Auto’s employees, trainees, and dealers at 200 different locations. There were 163,177 trees planted in the reporting period. More details about the planting initiatives can be found at hlaslesa.cz.
In the territory of the three Czech plants, the Company has been taking care of a total of 1,423 trees, 27,567 m² of shrubs, and 98,550 m² of local flowering plant species. The care for greenery is based on an annual certified arborist assessment of a dendrological survey. The Company takes care of regular maintenance (watering, weeding, cutting, raking, pruning), as well as additional care (educational, health and safety cuts or felling in the case of poor condition).
In addition to long-term care for vegetation, the Company maintains three green roofs, green facades and terraces (Technological Centre and Motor Centre in Česana and Škoda Auto Vocational School) and several trellises. Such projects are beneficial not only for the climate but also for biodiversity and ecosystems. See Biodiversity.
Ad hoc voluntary support
To coordinate ad hoc voluntary support, an employee group Volunteers Škoda was established in 2022. Through the internal platform, employees interested in helping during their free time and the demand for volunteers from local NGOs meet in one place. During the first year of operation, hundreds of volunteer hours were worked.
Small-scale events
The third pillar is based on teamwork and the motivation of managers and their departments to help. Škoda employees help mainly with tree plantings, clean-ups in nature, charity work, and financial collections. In 2021, 74 events with the participation of more than 1,000 employees were recorded. In 2022, volunteering activities were undertaken by 107 teams, with some teams participating multiple times, resulting in the realisation of 193 events/activities involving 2,038 individuals.
Teribear
During the reporting period more than 200 volunteers from Škoda Auto took part in the charity running event of Tereza Maxová’s Foundation Teribear, otherwise known as Fun Movement with the Bear. The Company is the general partner of this event which helps ensure the same starting line for all children.
Due to the anti-COVID measures in 2021, online participation was also allowed, which led to a higher number of participants and thus higher funds raised. The funds were allocated to help children from disadvantaged backgrounds.
Cooperation with the Tereza Maxová Foundation took place not only in the area of Volunteering but played a major part also in the Well-being focus area.
Well-being
Behind the next focus area of the Social Sustainability Strategy, Well-being, Škoda Auto primarily emphasizes life satisfaction, as well as physical and mental health.
Internally, Škoda Auto supports the holistic health of employees – care for physical health, as well as development of mental health. Externally, the Company advocates for the support of the well-being of disadvantaged children.
Disadvantaged children
The tradition of helping children from disadvantaged backgrounds at Škoda Auto stretches back to the days of Laurin & Klement. Škoda Auto is taking this idea further by not only educating children but also by supporting projects that aim to increase their well-being. Only when they find a balance can they learn and systematically develop their skills.
Get Going!
The Get Going! project, implemented as part of a long-term partnership with the Tereza Maxová Foundation, is specifically designed to help motivate children from children’s homes to get education, help them with their choice of future occupation, and support children in their relationship with their biological family. 131 children participated in the project in 2021. In 2022 the number of participating children was 82.
Medical Clown
Cooperation with the Medical Clown non-profit organisation also continued in 2021 and 2022. In 2021, The Company helped the organisation maintain its programme of regular clown shows for hospitalised children at 63 Czech hospitals and other special facilities.
On the occasion of the 20th anniversary of successful cooperation in 2022, the Company provided the non-profit organisation Medical Clown with two Škoda Enyaq Coupé electric cars.
A financial contribution of CZK 1 million was made both in 2021 and 2022. The cars will be used to transport health clowns during their therapeutic activities, which involve visiting children and seniors in healthcare and social facilities, and in the case of long-term sick children, also in their homes. The final appearance of the car was designed by the children themselves in the “A Car for a Health Clown“ (“Auto pro Zdravotního klauna”) competition.
Health and care of employees
The health and care of employees are integral and essential aspects of the well-being focus area. At Škoda Auto, there are programmes in place to support comprehensive health care while placing great emphasis on prevention.
Physiotherapy programmes
Škoda Auto intensively supports the physical health of employees, especially those in direct manufacturing roles, through programmes focused on physiotherapy. The attendance at these programmes was voluntary and almost 1,500 employees took part in it. Participants were very satisfied with the content of the programmes; the overall satisfaction was 96%. Physiotherapy programmes focused mainly on the prevention of aching muscles, painful back, shoulders, and arms. The goal was to provide participants with information on how to work while considering ergonomic principles.
Health day
Škoda Auto organised a company-wide campaign “Zdravá záda – Back in Play” in 2021 and 2022. The campaign included numerous events that focused on examining painful legs, physical abilities, and the mobility of the spinal column. Employees had the opportunity to seek advice from medical staff on improving their physical condition, avoiding pain, and receiving preventive recommendations.
Ergonomics
Škoda Auto recognizes the importance of ergonomics, particularly in the manufacturing department. The company has added new ergonomic tools, manipulators, and balancing tools. Most importantly, they have established controlled rotation, which serves to decrease the physical workload for employees exposed to higher occupational loads. Škoda Auto was awarded 1st place in the international competition “Safe Company – Good Practice” for the initiative “Controlled Rotation”.
In the context of ergonomics, Škoda Auto focuses on preventive ergonomics and increased cooperation in the innovation of new models. The Company not only conducted simulations using CAD data but also utilized virtual reality in the development of new models.
Mental health
Škoda Auto launched an extensive communication campaign called “Soul Matters” focused on mental health. The campaign aimed to raise awareness about the most common mental health issues. Participants were provided with information about the main symptoms and how to recognize when something is amiss. The campaign also introduced various resources for seeking help and advice. Each subtopic was accompanied by a podcast or video, self-examination tests, and advice and recommendations.
The most popular topics covered in the campaign were depression, burnout, anxiety, and psychosomatic disorders. This initiative garnered significant popularity, with the topics receiving 21,000 views within a span of 9 months.
Moreover, in cooperation with the Škoda Academy, Škoda Auto organized 136 courses on the topic of mental health, with a total of 1,414 participants.
Psychosocial risks are among the primary sources of workplace stress. Therefore, Škoda Auto evaluates the psychological demands of jobs. In 2022, a rating system for the psychological demands of office jobs was developed and published. The findings will be incorporated into the internal system, Hello Success.
For people to fully thrive physically and mentally, they need to feel good, included, respected, and welcomed. That is the point where the focus area of well-being transitions to the next focus area, which is diversity.
Diversity
To succeed in the future, it is vital to be aware of and promote individual diversity. The evidence strongly supports that more diverse teams achieve better results and are more innovative. That is why Diversity is one of the focus areas of the Social Sustainability Strategy. Škoda Auto supports diversity primarily internally, but it also acts as an ambassador of diversity outside the Company. The strongest example of external ambassadorship is the official partnership with Prague Pride in 2022.
Škoda Auto has been a gold signatory of the Diversity Charter since 2020. The company has actively participated in numerous professional conferences, further reinforcing its image as a leader in diversity and inclusion and as a responsible employer.
The Diversity Charter is available at diverzita.cz (available in CZ).
Discrimination and harassment are not tolerated in the internal policies. The policies prohibit discrimination and harassment based on race and ethnicity, colour, sex, sexual orientation, gender identity, disability, age, religion, political opinion, national origin or social origin and other forms of discrimination.
In May 2022, the 2030 Diversity Strategy was created and communicated. The new strategy defines the direction of diversity, equity, and inclusion until 2030. It introduces new KPIs and considers future legislative and Group requirements.
These are the key areas in the Diversity strategy:
› a human being is at the epicentre of interest,
› an inclusive workplace with a high level of psychological and physical safety,
› well-being and flexible forms of work are standard working conditions,
› monitoring and compliance with legal and Group requirements,
› DEI (diversity, equity, inclusion) is part of Škoda Auto’s corporate culture,
› best Role Model in Diversity and Trend Setter.
The vision of DEI: Škoda Auto – a place for everyone
Mission: Škoda Auto gives everyone the opportunity to develop and use their potential in a natural and safe environment with respect to their individual qualities.
Škoda Auto is committed to promoting gender equality and equal opportunities. By 2030, the company aims to have one in every four management positions filled by women. Additionally, Škoda Auto supports employees from the LGBT+ community, introduces measures to support colleagues with disabilities, encourages intergenerational cooperation, and implements pro-family policies. The Company is dedicated to actively supporting and strengthening Employee Resource Groups.
Škoda Auto's approach to equal opportunities is defined in its code of conduct. See Code of Conduct.
"We offer equal opportunities for everyone. We do not discriminate or tolerate discrimination on grounds of ethnic or national origin, sex, religion, views, age, disability, sexual orientation, skin color, political, views, social background or any other chracteristics protected by law. We embrance diversity, actively encourage inclusion and create an environment that fosters each employee's individuality in the interests of the Company. As a matter of principle, our employees are chosen, hired and supported based on their qualifications and skills."
Škoda Auto Diversity report 2021 can be found here.
Škoda Auto Diversity report 2022 can be found here.
A major shift in 2022
In May 2022, Škoda Auto celebrated the European Diversity Month under the theme “Each of us is unique. Diversity is what unites us.” As a result of this initiative, Škoda Auto was honoured with an award in the TOP Responsible Company 2022 competition.
For the first time, Škoda Auto became an official partner of the Prague Pride festival held in August, which is dedicated to promoting the rights of the LGBT+ community. The festival featured an extensive programme consisting of nearly 150 workshops, debates, theatre performances, and concerts.
European Diversity Month involved the participation of over 20,000 employees. Through wide communication across various platforms and the organization of more than 15 events, the Company was able to address several dimensions of diversity, including gender balance, family-friendly policies, LGBT+ inclusion, internationalization, and more.
As part of the support of diversity and inclusion in the Company, a dedicated diversity department was created where 2 full-time employees are working on the development of this area.
Community Engagement and Development of Škoda Auto Regions
Support for the sustainable development of the Mladá Boleslav, Kvasiny, and Vrchlabí regions has been a long-term priority at Škoda Auto. The Company has invested tens of millions of CZK in the focus areas during the reporting period. The implemented support was based on the identified needs and specificities of all three regions through regional development studies and public opinion surveys.
Škoda Auto employees have played a direct role in many of these initiatives. In the future, local activities and support will primarily be channelled through the Škoda Auto Endowment Fund. Projects under the Škoda brand, on the other hand, will mainly be implemented in other regions and abroad.
Škoda Auto Endowment Fund
The Škoda Auto Endowment Fund was established by Škoda Auto in 2018 to share the economic prosperity and enable sustainable growth to both Škoda Auto and surrounding communities. The aim of the 780 million CZK Endowment Fund is to use targeted investment to harmonise economic development at the Company with the development of the Mladá Boleslav, Rychnov and Vrchlabí regions. The Fund works hand in hand with local communities and other stakeholders to enhance the attractiveness of mentioned regions and ensure their sustainable development.
In the first phase of its operation, the Fund focused on systematically supporting the development of Mladá Boleslav. Gradually, it expanded its support to the regions of Vrchlabí and Rychnov. The Škoda Auto Endowment Fund has been a member of the Donors’ Forum since 2021.
The activities of the Endowment fund are aimed at achieving the Sustainable Development Goals (SDGs) defined by the United Nations focus on three program pillars:
Grant programmes to strengthen civil society, cultural life, education, and the development of social services.
Strategic projects developed with partners that contribute to the revitalisation of public space and historical monuments.
Philanthropic projects with a long-term impact, including support for community engagement, public fundraising, or the development of the quality of primary and pre-schools.
Grant programmes
Dozens of projects focused on developing civil society, culture, local heritage, leisure activities for children, and social care receive support through grant schemes. The objective of these schemes is to promote public involvement in regional development initiatives and address identified challenges. In the reporting period, Škoda Auto Endowment Fund supported more than 240 projects in 8 thematically specific grant calls.
Selected projects
That’s my home | Supporting activities developing community life and good neighbourly relations, overcoming anonymity, inspiring interest in public space, creating new and improving existing meeting places |
Municipal leisure facilities | To create new or improve existing facilities for meetings, leisure or physical activities for all citizens. |
Children matter | Improving the quality and range of leisure and non-formal educational activities for children aged 3 to 18, with a particular focus on supporting their all-round development, preventing risky behaviour and psychological problems, and supporting the integration of children from disadvantaged families. |
Green for Culture | Support of talented artists, inspiring events, to initiate bold and visionary projects with unique cultural content linked specifically to the region of Mladá Boleslav, Rychnov and Vrchlabí. |
Forgotten Stories | Building and preserving the historical memory of Škoda’s regions, to preserve even small stories of Škoda’s regions, which are provided by inhabitants themselves. |
Region without barriers | Helping to create safety nets in the regions and restore joy and dignity to people. Program focused on social inclusion, support to caregivers and home palliative care. |
Road safety and prevention | Builds the key pillars of prevention: educating at-risk groups, especially children, as well as eliminating risk areas based on tips from residents. |
Scholarships for high school students to study abroad | Providing support to talented high school students aged 15 and above, enabling them to participate in cultural and educational stays abroad. |
Sustainable development – strategic projects with partners
Biotop Kosmonosy | Revitalisation of an unused swimming pool and the creation of a leisure area. |
Bridge over the Jizera River | Support for the creation of a pedestrian and bicycle bridge over the Jizera river near Česana in Mladá Boleslav. |
Community tree planting | Launch of the Green Cities initiative in which 370 enthusiastic volunteers, along with other partners, planted a total of 413 trees and shrubs in 2021. |
Bike-sharing support | Support for bike-sharing in the regions and the development of new cycling paths. |
Philantropy
Cooperation with local schools | By supporting students and teachers, the Škoda Auto Endowment Fund develops the human potential in the regions. Programmes such as Škoda EDU or cooperation with the Škoda Auto University cover the entire educational cycle from kindergartens to continuing adult education. |
Znesnáze21 cooperation | Endowment Fund supports and shares public collections helping with difficult life stories from home regions to with the intention of encouraging public involvement in supporting others and emphasizing that it is normal to ask for help. |
Supporting the Klaudian Hospital | The Škoda Auto Endowment Fund helps the Klaudian Hospital, significantly shortening the necessary hospitalisation time and speeding up diagnosis thanks to new modern equipment. |
All current information regarding the Škoda Auto Endowment Fund, including the Annual Reports, is available at nfsa.cz/en.
Humanitarian Aid
Aid to South Moravia
In 2021, Škoda Auto held an employee collection to help South Moravia and the area of Lounsko, the area hit by the devastating tornado. The aim of this collection was to provide financial resources to those in need from the region.
The Foundation for the Development of Civil Society was entrusted with the administration of this one-time collection. Thanks to the support of employees, the KOVO Unions in Mladá Boleslav and the subsidiary companies ŠKO ENERGO and Digiteq Automotive, the total raised amount reached CZK 8.5 mil.
In addition to financial aid, the Company also rented more than 50 cars and donated bicycles to the people affected by the tornado.
Help to Ukraine
The Company reacted immediately following the outbreak of war in Ukraine in 2022 in cooperation with the KOVO Unions.
The Company had several suppliers in the Ukrainian and Russian markets, and over 600 Ukrainian employees working in the Czech Republic. In response to the critical situation the Company released more than CZK 20 million. The aid was focused in three areas – aid to Ukraine, aid to employees and their families, and aid to regions where Škoda Auto hosts refugees.
Direct aid to Ukraine
Direct financial support was sent to the Tjachiv Hospital and through the activities of the People in Need foundation. Rapid material assistance and logistical support to Ukraine was provided in cooperation with the Eurocar plant in Solomonov, where a centre for refugees was established. Škoda Auto transported approximately 20 trucks full of equipment donated by the public, the employees, and the Company.
Aid to Ukrainian employees
An information hotline was set up for employees and their families, transportation and accommodation in Company housing facilities were provided, as well as support with integration. This included specifically, obtaining visas, education, and ideally, in finding employment for their family members.
Integration of refugees in the Czech Republic
Immediate financial aid of CZK 2 million for the regions of Rychnov nad Kněžnou, Mladá Boleslav, and Vrchlabí was provided upon the arrival of Ukrainian refugees in the regions.
The Company focused on supporting the integration of Ukrainian refugees, including mental health care support “Safety Line”, integration of women and girls (e.g. IT and digital literacy courses), organizing volunteer and community activities, educational activities in cooperation with Škoda Auto University and Škoda Academy (summer camps for children and youths aged 6–15 with various activities, excursions and games, support for communication in the Czech language and also Czech language courses for Ukrainian students, adults, and healthcare professionals).
The Škoda Auto Endowment Fund was entrusted to implement humanitarian aid on behalf of Škoda Auto, KOVO Unions and Volkswagen Belegschaftsstiftung. Its support was primarily focused on increasing educational capacities, improving equipment for kindergartens and elementary schools, and providing support in the field of mental health. The aim of the Škoda Auto Endowment Fund’s grant calls was to promote the cohesion of the entire region, filling any gaps that were not covered by public resources. A total of 25 projects were supported with a total amount of more than CZK 5.4 million, which supported over 1,250 child and adult refugees in all Škoda Auto regions.
The story of a refugee Ekaterina Azizova can be found at Škoda Storyboard – Škoda World.
Own Workforce
With an unwavering belief in the importance of its workforce, Škoda Auto consistently strives to improve the work environment and enhance the overall work experience for its employees. Employee engagement is crucial not only for financial performance but also for facilitating communication, feedback mechanisms within the Company, and innovation across all areas. As a result, Škoda Auto is involved in multiple projects in different domains to enhance employee engagement and the sense of belonging.
Škoda Auto recognises that acquiring and developing talents are key factors for the Company’s successful growth. The goal is to retain staff in the long term. Therefore, it is essential for Škoda Auto to address the evolving needs of its employees, both domestically and internationally. Škoda Auto aims to attract new prospective employees, who are interested in contributing to the positive development of the Company, from both domestic and international sources.
Emphasizing diversity, Škoda Auto upholds the principles of equal opportunities and fair remuneration for all employees. Furthermore, Škoda Auto strives to build lasting and close relationships with all its employees.
Policy and Ambitions
The policy ambitions concerning the Company’s own workforce are aligned with the Social Sustainability strategy. More details see Social Sustainability Strategy.
Actions
Actions related to Health and Safety play a prominent role in the efforts to enhance the overall quality of life of Škoda Auto’s workforce. Additionally, employee initiatives are designed to extend the positive social impact of Škoda Auto and foster a sense of solidarity among employees. The ZEBRA initiative specifically aims to engage employees in activities regarding improvements and innovations.
Health and care
Health and care are integral aspects of the well-being focus area at Škoda Auto. The Company has implemented programmes that support strong comprehensive healthcare and places a strong emphasis on prevention.
Škoda Auto has also established an Occupational Safety and Health (OSH) management system that surpasses legal requirements.
In 2022, after 3 years, the Company obtained a new certificate according to ISO 45001:2018 Occupational Health and Safety Management Systems, which it subsequently retained. This system encompasses internal employees, agency workers and employees of external entities.
The OSH strategy at Škoda Auto remains guided by the motto: “Healthy employees in a safe working environment”. The Company’s procedural and organisational documentation outlines the process of identifying and assessing risks, establishes a system for regular health and safety inspections, delineates the responsibilities of company management, and defines procedures for recording, reporting, and investigating workplace accidents.
Furthermore, the collective agreement, which governs individual and collective relationships between individual employees and the employer, includes a chapter dedicated to collaboration between the Company and the KOVO Unions in the realm of OSH. Regular employee training in this field is conducted are integrated into the organisational standard.
Data related to occupational accidents and incapacity for work
2021 | 2022 | |
Deaths of internal employees due to occupational accidents or illnesses | 0 | 0 |
Incapacitating work injuries | 46 | 35 |
The number of incapacitating work injuries per 1 million hours worked | 0.9 | 0.7 |
Recorded cases of occupational illnesses | 5 | 3 |
Days missed due to accidents at work | 1,688 | 978 |
Days missed due to occupational illness | 102 | 79 |
ZEBRA
ZEBRA is an incentive programme that encourages innovative thinking among employees and facilitates the implementation of ideas for savings and improvements within the Company. The successfully participating employees are financially and materially rewarded.
It is the oldest innovation programme at Škoda Auto and it is managed by the Idea management department, which works closely with the social partner. Improvements can actively influence all processes and activities in the Company. The programme regularly helps to save millions of Czech crowns a year and to implement thousands of small and large improvement ideas that cannot be quantified financially. The benefits are savings in materials, costs, and labour, improved efficiency of production processes, increased safety of employees, improved environment and ergonomics, higher product quality etc. Improvements help the Company respond to opportunities and risks related to changes in the market and directly support the efficiency, profitability, competitiveness, and sustainability of the Company.
The year 2022 brought one of the most significant transformations of the ZEBRA Improvement Programme in the last decade. Idea management is now clearly focused on the quality of proposals rather than the quantity, on the speed of delivery processing, and on streamlining the entire programme. As part of the change in strategy, staff rewards for implemented proposals were increased. Thus, authors can receive more than one million crowns for an improvement proposal.
Risks and Impacts Assessment
In the stakeholder dialogue, employee related topics were considered an essential part of the Company’s materiality topics. Stakeholders evaluated the Company’s relationship with employees and their health and care as material. See Stakeholder dialogue.
At the same time, the own workforce forms an integral part of the risk management system, being included for instance in the risk cluster on HR risks (e.g. health and safety related). Regular communication with its employees is the primary method through which the Company prevents risks and mitigates impacts in the realm of its own workforce. The main topics covered in the ongoing communication are employee relations, working conditions, remuneration and collective wage agreements, vocational and professional training, personal development and social commitment, diversity, health, and ergonomics.
The Stimmungsbarometer
The Group-wide employee satisfaction survey “Stimmungsbarometer” enables a fully digital and completely anonymous collection of feedback from all Škoda Auto employees. The questionnaire consists of a total of 24 questions thematically divided into five blocks, which are rated on a points scale with options ranging from “strongly agree” to “strongly disagree”. Given the one-year interval of the survey, a positive trend of increasing employee satisfaction over time can be observed. Continuous work with the results improves the situation in the teams and thus influences the results of subsequent evaluations.
The aim of collecting feedback from employees is to assess satisfaction, identify risks and negative impacts on employees.
Employees receive information on how to communicate complaints from their supervisors or via the employee intranet.
If a complaint is received, it is recorded in the system, given a specific label, an investigation team is appointed, and the case is subsequently investigated.
In addition, a summary of the investigation is prepared, the case is discussed in the Personnel Committee and the agreed conclusions are then implemented. The conclusion may be a recommendation or the implementation of disciplinary action. Everything, including the disciplinary action taken, is monitored, evaluated, and recorded. The procedure is specified in an internal methodological guideline.
Olga Fikarová
Currently in Compensation and New Work, with Škoda Auto since 2010
“I returned to work about a year ago after spending the last 5 years on parental leave. From my perspective, I can say with certainty that I see huge progress not only in the field of automotive technology, but above all, I see that Škoda Auto has been able to respond flexibly to changes in the market and has started to actively support the use of flexible forms of work and a work-life balance. Typically, this involves primarily the use of home office by employees whose job allows it. Furthermore, the company supports reduced working hours, which are mainly used by parents or employees who care for family members. We already have several employees in the company who share workspaces.”
Data and Specific Disclosures
Diversity
Škoda Auto’s current personnel system provides only two gender options, “male” or “female”. However, the Company is planning to implement a new system that offers more gender identity options.
Year 2021 | Female* | Male* | Total |
Number of employees (head count/FTE) | 7,242 | 27,911 | 33,902 |
Number of permanent employees (head count/FTE) | 6,907 | 26,995 | 3,371 |
Number of temporary employees (head count/FTE) | 647 | 2,724 | 3,371 |
Number of non-guaranteed hours employees (head/count/FTE) | 147 | 162 | 309 |
Number of full-time employees (head count/FTE) | 7,149 | 27,903 | 35,052 |
Number of part-time employees (head count/FTE) | 93 | 8 | 101 |
* Gender as specified by the employees themselves
Year 2022 | Female* | Male* | Total |
Number of employees (head count/FTE) | 7,136 | 27,113 | 34,249 |
Number of permanent employees (head count/FTE) | 6,976 | 26,773 | 33,749 |
Number of temporary employees (head count/FTE) | 902 | 2,366 | 3,268 |
Number of non-guaranteed hours employees (head/count/FTE) | 134 | 136 | 270 |
Number of full-time employees (head count/FTE) | 6,997 | 27,101 | 34,098 |
Number of part-time employees (head count/FTE) | 139 | 12 | 151 |
* Gender as specified by the employees themselves
Year | 2018 | 2019 | 2020 | 2021 | 2022 |
Core staff | 32,738 | 33,881 | 34,514 | 35,153 | 34,249 |
Temporary workers | 2,789 | 3,232 | 3,262 | 2,120 | 2,768 |
Apprentices | 958 | 948 | 923 | 879 | 814 |
Summary | 36,485 | 38,061 | 38,699 | 38,152 | 37,831 |
Turnover
Contracts, financial rewards, and benefits
Škoda Auto implements an equal pay system to ensure that female and male employees working in the same or similar positions receive equal remuneration. This principle is applied globally across the Group. The wages of employees are determined by collective agreement applicable to all core employees of the Company in the Czech Republic. The wage system comprises a fixed base salary and a variable remuneration component. Additionally, the Company provides supplementary allowances such as those for overtime, on-call duty, and holiday work. The wages and benefits paid for a standard working week will not fall below the relevant national or industry minimum wage in the respective country. The remuneration policy is based on the Labour Code and other regulations under Czech legislation.
The collective agreement applies to all employees of the Company. It applies to all those who have a valid employment contract with Škoda Auto and applies to contracts for temporary work or agreements to complete a job.
The Agency Employment Charter regulates agency employment. However, employees with work agreements outside of the employment relationship are not covered by the collective agreement for rights related to termination, working time, rest periods, work obstacles, and remuneration.
Škoda Auto provides a wide range of benefits irrespective of the full-time/part-time working scheme. The system is being modernised emphasising digitalisation and flexibility, targeting the needs of each employee.
The compensation ratio for 2022 was 3.95.
Gender pay gap is 0.028.
The most frequently used employee benefits are:
› Škoda Cafeteria Benefits,
› contributing to the voluntary Pension Scheme,
› meal allowance in Company-internal catering establishments,
› working anniversary rewards,
› allowances for recreation or reconditioning stays,
› interest-free loan for housing or purchasing a Škoda car,
› operational leasing for Škoda cars,
› support of sports activities,
› preventive health programmes.
In 2022, the budget of the Social Fund for benefits exceeded CZK 381.9 million. The Company also provides various attractive benefits to agency employees (governed by the Charter for Agency Employment), for example special price offers for cars and accessories and for participating in selected trainings.
Social Fund for benefits budget in 2022
Purpose of use | thousand CZK |
Relaxation and recreation programmes › Relaxation programmes and package trips, prevention › Leisure time activities › Health benefits |
103,269 |
Work anniversaries | 125,400 |
Childbirth allowance | 16,000 |
Social support – retirement | 41,250 |
Food service | 95,590 |
Créche (day nursery) | 410 |
Social protection
Škoda Auto operates in the Czech Republic, where a strong social policy system is in place. This system provides employees with state support during maternity and parental leave, retirement, unemployment, as well as in the case of illness or incapacity for work due to injury.
Based on the collective agreement, the Company provides its employees with the following time off in the event of personal obstacles to work in addition to the applicable legal regulations caused by:
› the birth of a child to the employee’s wife (partner)
› death of close ones, attendance at a funeral,
› wedding/registered partnership ceremony participation,
› moving with own furniture regardless of location,
The company also provides time off for work related to the care of a child under the age of 12, time off for a family member of a ZTP/P card holder and time off for people with disabilities.
As part of its efforts to support parental care and employee families, Škoda Auto provides financial assistance to new parents. Parents who have been employed by the Company for at least 3 months are eligible to receive a payment of CZK 10,000 per child born to cover social expenses.
Seniority programme after 30 years of continuous employment offers:
› 1 paid day off every half-year
› a 14-day reconditioning stay with a subsidy from social expenses
› 5 paid days off per year for taking a reconditioning stay from the employer
Incidents
All complaints and actions relating to suspected breaches of labour law are recorded in an internal electronic system and dealt with:
(a) by the immediate supervisor in cooperation with the relevant personnel department
(b) an investigative team consisting of a labour attorney and a representative of the appropriate personnel department, which is then reviewed by the Personnel Committee, which meets weekly to decide on disciplinary actions and recommendations.
The procedure is described in an internal methodological guideline and regulates the responsibilities of supervisors and the departments involved in the investigation. Initial information about the existence of suspected misconduct may take any form (e.g. verbal/written communication or direct sensory perception of the event – seeing or hearing the event) and may come from a variety of sources, in particular:
› the suspect’s supervisor,
› colleagues of the suspect,
› an anonymous whistleblower,
› other employees of the Company or its bodies,
› Internal audit (especially because of an ongoing audit investigation),
› Governance, Risk and Compliance as a result of a decision by the Human Resources and Compliance and Integrity Steering Committee or other persons (in particular from the whistleblower system),
› HR Coordinator or HR contact person (from the complaints system),
› Corporate Security (e.g., as a result of orientation testing for alcohol or other drugs in the body, accident, fight, theft, or other property damage),
› other persons from the Group,
› a business partner or third party, or
› public authorities (e.g. from the Police of the Czech Republic in the event of a crime committed with a company vehicle).
In terms of the disciplinary process, Škoda Auto deals with suspected breaches of labour law obligations and punishes employees for proven breaches of these obligations according to the intensity and severity of the conduct. Financial penalties are not permissible in labour law.
The individual acts are classified in the categories established by the Group (see below).
1. Breach of working time
2. Property offences (theft, fraud)
3. Discrimination (mobbing, stalking)
4. Sexual harassment
5. Failure to perform work duties (not doing work)
6. Inappropriate behaviour
7. Environmental offences
8. Alcohol, drugs, smoking
9. Corruption, conflict of interest
10. Fraud against third parties (customers, authorities)
11. Personal data protection offences
12. Occupational health and safety offences
13. Damage to the Company’s reputation
14. Other (e.g. misuse of employee card or traffic offences)
Discrimination
Regarding discrimination there were no termination of employment contracts in the reported period.
No cases related to forced labour, trafficking in human beings or child labour were recorded during the reporting period. Furthermore, there were no violations of the UN Global Compact and OECD guidelines.
Jitka Šlejharová
Currently in Social relations and HR Compliance, with Škoda Auto since 2019
“The implementation of a disciplinary process and the establishment of a personnel commission at Škoda Auto have enabled us to approach offenses and suggestions transparently, ensuring equal treatment of all our employees, not just in the imposition of sanctions for similar violations of work discipline. I am proud that Škoda Auto has such a sophisticated process in place, which has made it possible to harmonize the individual steps related to the investigation of reports and create a safe space for all individuals involved in this process.”
Workers in the Value Chain
Škoda Auto recognises that the workers in its supply chain play a critical role in achieving the Company´s goals and makes sure that they are treated fairly and with respect. The Company believes that it has a responsibility to provide a safe and healthy working environment for its employees, ensuring fair compensation for their valuable contributions to the product’s value.
Policy and Ambitions
In terms of ensuring the protection of workers across its value chain, Škoda Auto is fully committed to its corporate human rights responsibility (see Human Rights). The Company’s approach follows the UN Guiding Principles on Business and Human Rights that further refer to the Universal Declaration of Human Rights and the ILO Declaration on Fundamental Principles and Rights at Work, and the OECD Guidelines for Multinational Enterprises.
Actions
Human rights due diligence
As part of the Company’s sustainable supplier management measures, Škoda Auto pays particular attention to the protection of those groups of people who experience a particularly high risk of human rights abuse. In this context, the Company is guided by the implementation of the due diligence processes required by the described policies. Due diligence in this sense means most importantly the process of continuous risk identification and the establishment of prevention and mitigation measures. To adequately respond to particularly serious human rights and environmental risks, the Company has implemented a Human Rights Focus System in its supply chain. The system, based on internal analyses, enables the Company to focus on supply chains associated with particularly high risks of a negative impact on human rights.
Raw material supply chains
The supply chains of raw materials are treated with particular caution by Škoda Auto. The way the Company organises the responsible sourcing of raw materials is driven by the requirements of the OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas. These contain guidelines for management approaches, risk identification and prevention, system of checking smelters, and communication and reporting instruments. In line with this approach, the Company has implemented the Raw Material Due Diligence Management System.
Risks and Impacts Assessment
Some of the most acute risks related to human rights were identified in the upstream supply chain. Škoda Auto minimises these risks by following responsible sourcing practices and implementing the described processes of human rights due diligence. The Company actively engages with its suppliers beyond Tier-1 to ensure social sustainability throughout its entire supply chain. The sustainability of the Company’s suppliers is assessed by the S-rating. See Business Conduct.
Consumers and End-Users
Customer orientation is a set of activities across the Company, through which it systematically works towards one clear and common goal – the development of relationships with Škoda Auto’s internal and external customers. The Company strives to understand its customers, partners, suppliers, and employees as much as possible in order to provide them with the best service and experience. Customer orientation is one of Škoda Auto’s priorities, which is why the Company has long supported training in this area.
Škoda Auto has been focusing on optimising all processes to evoke positive emotions in customers with regards to the Škoda brand. The Company recognises that more rigorous legislative regulations and changing trends, such as digitalisation and evolving customer preferences, frequently provide new prospects for business undertakings, creating opportunities for developing innovative products.
Customer safety
Customer safety is one of the main priorities for the Company. For that reason, intensive investments are made in innovative solutions and the latest technologies to increase passenger safety. The Company’s long-term goal is to increase the safety of all road users and to move the common technology to a higher level in the compact car segment. Škoda cars are among the safest vehicles in their segments. See Social Sustainability Strategy.
Policy and Ambitions
Consumer protection is an integral part of Škoda Auto’s business initiatives. The Company is committed to complying with all legal and internal regulations related to consumer protection. All customer initiatives and concerns received through the various communication channels (e.g. e-mail, mail, Infoline, car dealers, importers, and other company units) are processed by the use of a Customer Relationship Management (CRM) system. The Company has specific units responsible for addressing these concerns and initiatives. Each case is individually resolved, with Škoda Auto always considering the specific circumstances involved. The special needs of customers that may be particularly vulnerable and/or marginalized are resolved individually (for instance a car with an automatic transmission or with some other adjustment would be offered to a disabled consumer).
Actions
Škoda Auto engages with customers through the regular monitoring of customer satisfaction using various studies and Company applications. Customer experience and satisfaction is being monitored through an international study performed in the entire Group. This study is focused on learning about customer satisfaction with a product, the after sales service, and the dealership. Škoda Auto as such has recently been meaningfully increasing its rating through the project Škoda Customer Xperience.
Special attention is paid to the quality of after sales services. Satisfaction with the car repair shop services is regularly monitored. Customers are contacted by e-mail or SMS in one to three days after taking the car from the car repair shop and fill in a basic satisfaction questionnaire. Results from the questionnaire are immediately rewritten into the satisfaction reporting, allowing the Company to monitor the evolution of the customer experience in real time. The main attention is paid to those customers, who were not satisfied with the last visit to the car repair shop. Such customers are contacted by phone at the latest within 24 hours and are provided with sufficient explanation and a resolution of the issue.
In 2021, a project called Customer CentriCITY was launched to put the customer at the centre of the Company’s thinking and decision-making. For Škoda Auto, customer insight and feedback is important not only in the final product phase, but also in the development phase.
Risks and Impacts Assessment
In justified cases, Škoda Auto utilises all available means for the mitigation and remediation of material impacts on its customers and end-users, including its goodwill.
The Customer Care Department, as part of its activities, assesses risks arising from individual customer business partners and addresses concerns raised by importers. It assigns the appropriate priority to each case in the CRM tool and resolves them on an individual basis. If necessary, information is passed to other specific organisational units for processing.
Customer incentives and concerns are monitored and evaluated, relevant cases either start a deep car analysis or the process of elimination of defects. All cases with materialized damage or with the occurrence of a negative impact are resolved individually. The Company has created a special budget for such cases and related compensation.