ESRS S1 Own workforce
Interests and views of stakeholders (SBM-2)
VP Bank promotes the exchange of ideas between management and the workforce via various channels. These include:
- Town halls with Q&A sessions for the Group and the individual locations.
- Members of Group Executive Management (GEM) offer meetings for exchanges of ideas with employees.
- There is an e-mail address that employees can send suggestions to. Among other things, these may include suggestions for improving the corporate culture or processes.
- News which can also be accessed on the intranet is sent to employees via internal communication channels.
VP Bank carried out a comprehensive employee survey in 2022, which was led and evaluated by an external agency. Management has held various workshops based on the survey to improve employee satisfaction.
Where possible, the insights gained from the exchange of ideas between management and employees are incorporated into the strategy either directly or indirectly.
Material impacts, risks and opportunities and their interaction with strategy and business model (SBM-3)
The actual impacts on the Group’s own employees stem from various factors, such as corporate culture, workload and working hours, job security and workplace ergonomics, which are characterised by predominantly office-based work. In addition to the respective specialists, the employees work in supporting areas such as Operations, Information Technology, Finance and Marketing. These are primarily employees of VP Bank, but they also include self-employed persons and employees of third-party companies. The material impacts are limited to the employees directly employed by VP Bank. All employees work in air-conditioned office buildings and perform hardly any physically demanding activities. As a result, the risk of physical overexertion is low.
Negative impacts can occur especially in the area of mental health and are usually caused by high workloads, long working hours, lack of appreciation, lack of development opportunities and insufficient work-life balance. Conversely, positive impacts can be achieved in terms of employee satisfaction and health, for example through measures designed to reconcile work and private life. These factors make an important contribution to the successful implementation of the corporate strategy and thus contribute positively to the profitability of the Group.
Risks such as increased staff turnover due to a lack of employer attractiveness are largely cushioned by attractive employment conditions with competitive wages and social benefits, as well as a positive work environment. The promotion of employee skills through various development measures that also increase the competitiveness of VP Bank is also worth mentioning in this context.
The negative impacts and/or financial risks associated with forced labour and child labour in the Group’s own workforce were not identified. This is due, on the one hand, to the industry in which the company operates and, on the other hand, to the strict national legislation at the locations where VP Bank operates.
Material impacts, approaches to managing material risks and pursuing material opportunities are described in chapter S1-4.
Policies related to own workforce (S1-1)
VP Bank has formulated principles of behavior in the Code of Conduct which apply to all employees, including the Members of the Board of Directors. The principles also govern the interaction among employees, which should be characterised by respect, fairness, support, professionalism and openness and should respect the dignity, personality and privacy of all. The Code of Conduct is issued to all employees and published on the website of VP Bank. All employees receive training with respect to compliance with the Code of Conduct. Breaches of the Code of Conduct or the regulations of VP Bank will be punished by disciplinary measures and consequences within the framework permitted under employment law. Employees who report an alleged breach to the relevant bodies in good faith will not face any disadvantages as a result. This also applies if it turns out that there was no breach.
An essential principle of action is to promote the individuality and diversity of employees. VP Bank is committed to avoiding any form of discrimination based on gender, colour, ethnic or social origin, genetic characteristics, religion, beliefs, membership of a national minority, birth, disability, age, marital status or sexual orientation. This applies to interactions in day-to-day work as well as when hiring employees. The introduction of the regulations on diversity and inclusion has created an additional tool to support this principle of action.
The remuneration policy of VP Bank is another key pillar that contributes to its attractiveness as an employer. It provides a binding group-wide framework for compensation practices. Employees must be paid in accordance with uniform guidelines and the principle that the same salary is paid for equivalent activities. The amount of the fixed salary is based on function and location, while the amount of variable compensation reflects Group performance, division or team performance and individual performance. The work performance of employees is assessed using a standardised tool and internationally uniform specifications and guidelines. The remuneration policy allows for fair and attractive compensation in line with the market to enable the bank to attract, motivate and retain qualified and talented employees.
The Code of Conduct, the diversity and inclusion policy and the remuneration policy were issued by the Board of Directors. GEM is responsible for implementation and reviews compliance, which is also reported to the Board of Directors. As part of the management tasks, the provisions are conveyed to the directly subordinate employees and compliance is monitored. The control functions (Compliance, Audit, HR) are also embedded in the monitoring. All internal regulations are available electronically to all employees. Third parties can access the Code of Conduct and the two aforementioned regulations on the website of VP Bank.
The Code of Conduct implemented by VP Bank, the diversity and inclusion policy and the remuneration policy explicitly define specific human rights and how they are to be handled. This includes the prohibition of forced labour and child labour and human trafficking at all locations where VP Bank operates. VP Bank does not have a separate human rights policy that covers the implementation of the UN Human Rights Principles, the Principles and Rights at Work of the International Labour Organization (ILO) and the OECD Guidelines for Multinational Enterprises. Such regulations are to be drawn up and implemented over the next two years.
The risk of an occupational accident at VP Bank is assessed by management as low. As a result, there is no management system to prevent accidents at work. However, the principle applies that all locations are housed in premises that comply with the regulatory requirements regarding occupational safety that are binding for the Group and the respective country. VP Bank also provides accompanying preventive health measures such as flu vaccinations and sports programmes. Employees at the Liechtenstein, Swiss and Luxembourg locations have the opportunity to take advantage of employee and specialist counselling from an external service provider for operational, personal, health and financial issues (see external channel in S1-3).
Processes for engaging with own workforce and workers’ representatives about impacts (S1-2)
Group process for the direct involvement of the workforce
Even if there is no framework agreement between VP Bank and workers’ representatives at group level, group-wide employee surveys are conducted for the entire workforce to enable employee involvement. The most recent employee survey was carried out in 2022. Several target metrics are identified (commitment, satisfaction, employer attractiveness and recommendation of the employer). Potential and actual impacts on the workforce are evaluated by covering a wide range of issues, such as corporate culture, employee involvement and work-life balance. The survey ensures that anonymity is guaranteed. The results are presented and discussed at both GEM and Board of Directors level. Based on the findings, measures are derived and implemented at both group and division level. In this context, the effectiveness of previous measures is also reviewed and assessed. This is supported internationally and locally at all locations by means of town halls and dialogue with the CEO.
Local process for involving the workforce at the Liechtenstein location
Based on the local Employee Participation Act, VP Bank has an employee representative organisation at the Liechtenstein location. The organization represents the common interests of the employees and has various information and consultation rights. The employee representative organisation consists of five representatives elected by the employees. Employees can contact them in person or by e-mail. Concerns and topics are discussed at fortnightly meetings and personal feedback is provided. The necessary discretion is assured and guaranteed. The chair of the employee representative organisation discusses the key issues and potential impacts on the employer with the management of Group Human Resources / People & Culture on a quarterly basis. In addition, a direct dialogue takes place at least twice a year with the Group CEO, who is ultimately responsible for ensuring the operational implementation of concerns. The employee representative organisation also liaises with the local trade union (www.lanv.li) and the employee representative organisations of other banks in Liechtenstein.
The employee representative organisation is comprehensively informed by the management of Human Resources / People & Culture or the responsible Member of GEM about all company matters that they need to be aware of for the proper fulfilment of their duties. GEM must inform the employee representation organisation at least once every six months about the effects of the course of business on employment and employees. VP Bank supports the employee representative organisation in the performance of its tasks and makes rooms, tools and administrative services available for this purpose.
Local process for involving the workforce at the Luxembourg location
At the Luxembourg location, a works council is elected every five years by all employees with the corresponding voting rights (from 12 March 2024, two works councils, one for VP Bank (Luxembourg) SA with five members and five representatives and one for VP Fund Solutions (Luxembourg) SA with two members and two representatives). The works council assumes an intermediary role between the employer and employees. Its objective is to protect and defend the interests of all employees of the business in terms of working conditions, workplace safety and social status.
The employee representation organisation is informed in a timely and comprehensive manner by the management of Human Resources / People & Culture or the responsible Member of GEM about all operational matters, knowledge of which is necessary for the proper performance of its duties.
Regular meetings (each quarter or as required) with the management of Human Resources / People & Culture, the local Executive Board and the works council help to ensure that concerns and changes are promptly reported on and responded to. All employees are invited to contribute questions and topics through the works council before these meetings. They will also be informed about the content of the meetings afterwards by means of the minutes taken at each meeting. The personnel delegation maintains a digital folder in which it makes information and updates available to employees on all topics about working in Luxembourg.
In general, discretion is guaranteed when employees contact the works council. Employees can contact the works council in person or by e-mail. VP Bank supports the personnel delegation in the performance of its tasks and makes rooms, tools and working hours available for this purpose.
The bank has an obligation to provide the works council with information on a strictly confidential basis, e.g. concerning illness statistics, reference payroll and further training, which it fulfils annually (in accordance with the collective bargaining agreement for the banking sector).
Process for involving the workforce at the Zurich, Singapore, Hong Kong and BVI locations
There is no dedicated employee representative organisation at these locations; this role is assumed by the employees of Human Resources / People & Culture. Human Resources / People & Culture employees are in constant contact with employees at all levels of the organisation thanks to their broad areas of responsibility. Any concerns are addressed and discussed on an ad hoc basis directly with the local Executive Board and in cooperation with Human Resources / Group People & Culture.
Processes to remediate negative impacts and channels for own workforce to raise concerns (S1-3)
Group-wide channel for raising concerns to address negative impacts on the workforce
There is a group-wide whistleblowing process, which is set out in the Group Whistleblowing Standard and is accessible to all employees on the intranet. It determines how and via which channels (anonymous) reports about possible or actual breaches of the Code of Conduct can be made. It also describes the processes of an investigation, which parties have which responsibilities in the process and how protection or anonymity is guaranteed. This channel can also be used to draw attention to discrimination or other negative behaviour for employees. In order to protect personality and ensure anonymity, the involvement of Human Resources / People & Culture is not involved in the whistle-blowing process, unless it is determined during the investigation that involvement is required. Should the investigation ultimately lead to sanctions, they will be implemented in cooperation with the local People & Culture teams. Nevertheless, the People & Culture department is available to employees as a reporting office, with the matter at hand subsequently transferred to the regulated process.
External channel (VP Bank locations in Europe)
VP Bank offers its employees in Liechtenstein, Switzerland and Luxembourg the opportunity to receive employee and specialist advice from the external service provider Movis (www.movis.ch). This company offers professional support for operational, personal, health and financial issues around the clock. VP Bank employees can contact this support centre anonymously and free of charge. The effectiveness of this channel is reviewed by means of annual feedback discussions between the relevant HR specialist unit and Movis representatives.
Channel via employee representation (social dialogue)
Employees have the opportunity to express their concerns and needs as part of a dialogue with the employee representation organisation (cf. S1-2). This is particularly concerned with aspects that may be relevant for a group of employees or for the entire workforce (aspects related to reorganisations, communication, etc.).
Mitigating actions in the event of material negative impacts
There is a group-wide process in place to ensure that sanctions against errant employees that result in reprimands or warnings are disclosed to and reviewed by line managers and at GEM level as part of the year-end process. This ensures that these sanctions are adequately taken into account in the respective processes (salary adjustments, bonus allocations, promotions) across the Group and are applied equally.
The channels listed above can be viewed on the intranet by all employees and are proactively communicated as part of events for new employees. However, there are currently no systematic processes in place to measure and assess the effectiveness of and trust in these structures and processes.
Taking action on material impacts on own workforce, and approaches to managing material risks and pursuing material opportunities related to own workforce, and effectiveness of those actions (S1-4)
This overview shows group-wide regulations and concrete measures that ensure fairness, equality and market-oriented and competitive working conditions for Group employees. These relate to the material impacts, risks and opportunities in relation to the prevailing working conditions for the employees of VP Bank.
IRO | Rules/standards | Concrete measures for managing material risks and pursuing material opportunities | Target achievement |
---|---|---|---|
Reasonable remuneration / fringe benefits |
|
| Implemented |
Secure employment |
|
| Implemented |
Working hours, work-life balance and workplace ergonomics / employee health |
|
| Implemented |
Lack of appreciation and feedback culture |
|
| Implemented |
Personal integrity / protection against harassment and discrimination |
|
| Implemented |
Social dialogue / existence of employee representation bodies |
|
| Implemented |
The effectiveness of at least some of the measures listed above is tracked and evaluated in employee surveys. The bank is currently not evaluating the financial resources used to manage material impacts.
Targets related to managing material negative impacts, advancing positive impacts, and managing material risks and opportunities (S1-5)
There are currently no time-based and result-oriented targets related to reducing the negative impacts on own workforce and/or advancing positive impacts on own workforce and/or managing the material risks and opportunities associated with own workforce.
Characteristics of the undertaking’s employees (S1-6)
Gender | Number of employees (headcount) | FTE |
Male | 613 | 591.2 |
Female | 411 | 354.2 |
Other | n/a | n/a |
Not specified | n/a | n/a |
Total number of employees | 1,024 | 945.4 |
Country | Number of employees (headcount) | FTE |
Liechtenstein | 673 | 615.5 |
Switzerland | 111 | 102.7 |
Luxembourg | 149 | 137.2 |
Singapore | 70 | 70.0 |
British Virgin Islands | 17 | 16.1 |
Hong Kong1 | 4 | 4.0 |
1VP Bank withdrew from Hong Kong in 2024. Employees are still on site as part of the winding-up process.
Female | Male | Other | Not specified | Total | |
Number of employees (headcount/FTE) | 411/354.2 | 613/591.2 | n/a | n/a | 1024/945.4 |
Number of permanent employees (headcount/FTE) | 396/345.8 | 587/574.7 | n/a | n/a | 983/920.5 |
Number of temporary employees (headcount/FTE) | 15/8.5 | 26/16.5 | n/a | n/a | 41/25.0 |
Number of employees without guaranteed working hours (headcount/FTE) | n/a | n/a | n/a | n/a | n/a |
Number of full-time employees (headcount/FTE) | 250/250.0 | 537/537.0 | n/a | n/a | 787/787.0 |
Number of part-time employees (headcount/FTE) | 161/104.2 | 76/54.2 | n/a | n/a | 237/158.4 |
FL | CH | LUX | SG | HK1 | BVI | Total | |
Number of employees (headcount/FTE) | 673/615.5 | 111/102.7 | 149/137.2 | 70/70.0 | 4/4.0 | 17/16.1 | 1024/945.4 |
Number of permanent employees (headcount/FTE) | 639/594.8 | 106/99.5 | 149/137.2 | 69/69.0 | 4/4.0 | 16/16.0 | 983/920.5 |
Number of temporary employees (headcount/FTE) | 34/20.7 | 5/3.2 | 0/0 | 1/1.0 | 0/0 | 1/0.1 | 41/25.0 |
Number of employees without guaranteed working hours (headcount/FTE) | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
Number of full-time employees (headcount/FTE) | 499/499.0 | 88/88.0 | 110/110.0 | 70/70.0 | 4/4.0 | 16/16.0 | 787/787.0 |
Number of part-time employees (headcount/FTE) | 174/116.5 | 23/14.7 | 39/27.2 | 0 | 0 | 1/0.1 | 237/158.4 |
1VP Bank withdrew from Hong Kong in 2024. Employees are still on site as part of the winding-up process.
The above figures refer to the number of persons (employees) and their total full-time equivalent employment level. No persons without guaranteed working hours are employed. The figures were collected as of 31 December 2024, based on the data recorded in the international SAP HCM system. No additional assumptions or calculations were made. The employee figures are disclosed in the general part of the annual report in the employees chapter.
The turnover rate in terms of unintended departures (voluntary terminations) at group level was 7.6 per cent in the reporting period (1 January to 31 December 2024), which corresponds to 80 employees. The turnover rate in terms of intended departures (termination by employer or mutual agreement) was 5.3 per cent, which corresponds to 56 employees (including closure of the Hong Kong location). For the calculation, the average of the reporting period is taken into account, adding up the headcount at the beginning and end of the reporting period and dividing it by two. Employees with a fixed-term employment relationship are not taken into account.
Characteristics of non-employees in the undertaking’s own workforce (S1-7)
VP Bank Ltd accepts services from suppliers in very different contractual relationships and designates their employees as external employees (EXEM). EXEM comprises the entirety of employees who work with the bank and do not have a direct employment contract as internal employees. The use of EXEM can vary greatly, from a few days a year to the maximum possible annual working time. EXEM cover a wide range of activities, mainly in Group Information Technology (IT) and Group Compliance.
Prospective EXEM are subject to due diligence as part of the onboarding process, which allows the bank to treat external parties in the same way as internal parties. Contractors who are themselves subject to appropriate professional secrecy (e.g. lawyers, VP Bank auditing companies) are exempted from due diligence and the associated regulations for their activities within the scope of the relevant mandate. This is governed by the associated internal directive “External employees”.
VP Bank Ltd distinguishes between four categories:
Category | Definition | Explanation | Part of S1-7 |
Grey | No system access, accompanied | Grey EXEM undergo a greatly simplified onboarding process; they only have to sign a non-disclosure agreement. As they often work on a day-to-day basis, they are not included in the statistics. Example: lift mechanic. | No |
Grey+ | No system access, unaccompanied | The grey+ category typically includes the EXEM of the external cleaning company and our two partner companies for employee catering. | No |
Green | System access, unaccompanied | The green category includes by far the largest proportion of EXEM who have access to our IT systems and therefore have the same working tools as internal employees. | Yes |
Green unlimited | Similar to green with extended term | Same as green category, but without an expiration date | Yes |
VP Bank employed 198 external employees with system access (Green and Green unlimited categories) as of the end of 2024. Employees of the external audit company are not included in this.
Social protection (S1-11)
VP Bank is making use of the transitional provision and will provide quantitative information for the first time in the Annual Report 2025. In principle, it should be noted that employees at the Liechtenstein, Switzerland, Luxembourg and BVI locations enjoy comprehensive social protection. This includes social protection in the event of illness, unemployment, accidents at work and occupational disability, parental leave and retirement.
Work-life balance metrics (S1-15)
At all locations, there is a right to leave for family reasons (maternity/paternity leave, parental leave, carer’s leave, etc.) based on legal requirements and/or applied practice. The breakdown by gender is based on the percentage of employees who took such a period of leave between 1 January and 31 December 2024. The data is collected via the local absence detection systems (SAP HCM, Interflex, PayDay). The percentages represent the number of cases compared to the number as of 31 December 2024. The status as of 1 January 2024 (number of employees: 19) was used for the Hong Kong location due to the closure during the year.
Holiday family reasons / location | % entitlement | % claims male | % claims female |
Liechtenstein | 100 | 5.8 | 9.9 |
Switzerland | 100 | 7.1 | 0.0 |
Luxembourg | 100 | 15.8 | 26 |
Singapore | 100 | 56 | 57.8 |
Hong Kong | 100 | 0.0 | 7.1 |
British Virgin Islands | 100 | 12.5 | 0.0 |
Incidents, complaints and severe human rights impacts (S1-17)
Due to confidentiality requirements and to ensure anonymity, it is not possible to provide information on any incidents or complaints here.