Social Responsibilities of Telecom Companies: Italian Perspectives and Efforts by Telecom Italia

1
Social Responsibilities of Telecom Companies
Italian Perspectives and Efforts by Telecom
Italia
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Corporate Social Responsibility in Europe

1. European Council in Lisbon. Summit (2000)
2. Promoting an European framework for Corporate
   Social Responsibility. Green Paper (2001)
3. Communication on Corporate Social Responsibility.
   A business contribution to Sustainable
   Development (2002)

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Corporate Social Responsibility in Italy
1. Third European Conference on CSR. The role of
Public Policies in promoting CSR. (Venice,
November 2003) 2. Multi-Stakeholder Italian Forum
for the CSR (2004) 3. Underwrite protocols with
associations of entrepreneurs and workers for the
spread of the CSR
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Corporate Social Responsibility
Companies integrate social and environmental
concerns in their business operations and in
their interaction with their stakeholders on a
voluntary basis.
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Objectives
The main objectives for the Italian Ministry of
Welfare are

• Diffusion of CSR culture and exchange of good
  practices
• Create a set of indicators for measure the
  performance on CSR (Social Statement)
• Support little and medium companies for the
  development of policies and strategies on CSR
• Support the exchange of good practices among the
  European States

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Social Statement (SS)
Shareholder
Consumers
Human Resource
Environment and natural resource
Company
Suppliers
Local communities
Business Partners
State and Public Administration
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Telecom Italia and CSR

• From 1996, Telecom Italia has been publishing an
  account to analyze the stakeholders satisfaction
• From 2001, in a particular section of the
  balance sheet, Telecom Italia has shown its own
  non-financial performance with the financial
  one.

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Results

1. The Global Reporters 2004 Survey
2. Dow Jones Sustainability World Indexes (DJSI
   World)
3. Dow Jones STOXX Sustainability Indexes (DJSI
   STOXX)

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System Legislation

• Working relationship between employer and worker
  is regulated by
• Civil code and others laws
• National collective labour agreement
• Company collective labour agreements
• Individual contract of employment.
• e.g. The labour law (art. 18 L. n. 300/70)
  foresees the nullity of any unfair dismissal and
  the individual contract of employment can not
  foresee something different.

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Collective labour Agreements

• Among others Telecom Italia has stipulated three
  important collective labour agreements with the
  Trade Union Organizations.
• The collective labour agreements are of
• 28 March 2000
• 27 May 2002
• 12 November 2004

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Agreement of 28 March 2000

• Tools for reduction of 13,500 employees
• Consensual Agreement or incentive towards early
  retirement
• Corporate lay off
• Incentive dismissal
• Agreement to reduce working time for the
  employees
• Industrial Relations Protocol
• Monitoring Mechanisms for the labour part of the
  CSR with the Trade Unions

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Industrial Relations Protocol
Strategic Forum
Commissions
Equal Opportunities
Training
Welfare
Observatories
System Legislation evolution
Market and Competition
Local communities
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Agreement of 27 May 2002

• Guide lines about investments, business and other
  questions to apply in each company
• Definition about the core business of each
  company
• The outsourcing programs must be coherent with
  the corporate policy organization
• Confirmation about the tools for dismissal of
  employees which were approved in the agreement 28
  March 2000.

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Focus on Outsourcing
Each company of the Group outsources some minor
activities of business. The labour laws foresee
for each outsourcing Information to the Trade
Union Organizations (Art. 47 L. n.
428/90) Regulation the working relationship
between the ex employees of Telecom Italia and
the new employer (Art. 2112 c.c.)
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Agreement of 12 November 2004

• On November 12, 2004, Telecom Italia signed an
  important collective labour agreement with the
  Trade Union Organizations which foresees a system
  of guarantees for the employees transfered with
  the activities of the company which have been
  sold off.
• For examples, the guarantees are
• preservation of the National collective labour
  agreement for the telecommunication operator
• exam of the right application of outsourcing
  program
• setting up of a new observatory on outsourcing

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Policies and strategy on CSR

• Project Woman
• Workers satisfaction and internal communication
• Assilt and Cralt
• Job Security
• ILO Conventions

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Project Woman

• Project Woman is a program for the
  individualization of initiatives in favour of
  professional growth of women and the diffusion of
  the equal opportunities withing the Telecom
  Italia Group, the following activities
• Creation of an internet portal dedicated to the
  project, adjourned with the activities promoted
  for the employees and full of information related
  to maternity/paternity and to the growth of their
  children
• Supply loan in aid of mothers the introduction
  in the business calendar of Childrens Day and
  the organization of numerous initiatives in
  favour of children of employees
• Introduction of the service of on-line shopping
• Greater facility for part-time to be able to
  reconcile private life with working appointments.
• Management politics are being studied to
  facilitate the re-entry in the Firm of employees
  after maternity leave and the opening of
  nurseries in some business centers.

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Workers Satisfaction and internal communication

• Project Work atmosphere
• Noi.Magazine ? a magazine dedicated to the
  employees
• Noi.Portal ? internet portal dedicated to the
  employees with information about projects,
  activities and work
• HR Newsletter ? newsletter dedicated to the HR
  workers

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Assilt and Cralt

• ASSILT ? Association for the sanitary attendance
  for the workers who beyond distributing
  reimbursements for sanitary performances it
  carries out campaigns of preventive medicine and
  of sanitary education
• CRALT ?Recreational circle that organizes
  character initiatives tourist, sport and cultural

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Job Security

• Project Work Environment turned to guarantee
  the garrison of the topics of work environment
  with the labour law principles.
• Project well-being in the call center turned
  to verify the relative topics to the health of
  the workers in the call center

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ILO Conventions

• Although Telecom Italia has not endorsed the
  Universal Declaration of Human Right or the
  Tripartite Declaration of Principles concerning
  Multinational Enterprises and Social Policy or
  other similar charters, the company observes all
  the Italians labour law.
• The juridical system guarantees all workers equal
  right, guardianships and the therefore to oppose
  any possible form of discrimination. In fact the
  principle law that protects the workers foresees,
  for examples, the nullity of any action (change
  of duties, promotions, transfer) directed by
  political discrimination, religious, racial,
  language, sex, handicap, age or based on sexual
  tendencies.