Diversity and Inclusion at Jotun

At Jotun we measure on regular basis the status of diversity within the Group. Gender balance at different levels and across the global organisation, nationality distribution, as well as generational representation are some of the parameters that are frequently measured to track diversity within Jotun over time, between geographies and entities, as well as to compare us to our peers in the industry.

Jotun works to ensure that women are provided with the same opportunities as men. To ensure equal opportunity, Jotun has implemented uniform, professional and transparent recruitment procedures, policies, tools and practices. In addition, we have a structured approach to evaluating jobs, based on Korn Ferry Job Evaluation methodology. This ensures that the job level is set by the content of the job, regardless of who holds it. Based on the job structure, we operate with a global compensation policy which focuses on securing Right, Fair and Competitive remuneration for all our employees. Salary is reviewed once every year to analyse the situation in the company, and to discuss any discrepancies. We use Korn Ferry’s Market Salary Data to ensure compensation governance and do statistical analysis across pay grades, gender, age, seniority etc. If unjust discrepancies are discovered, a plan is put in place for extraordinary increase to decrease the gap. No major gaps linked to gender have been reported during salary review 2020.

Diversity has many dimensions and in order to keep focus and achieve results, certain dimensions have been chosen as company focus:

• Gender
• Age/generational diversity
• Ethnic/Cultural diversity
• Professions in Management

The choice has fallen towards these focus areas both because of research carried out that these are the areas that have strongest impact on business results, as well as due to the fact that these are areas that can be measured. However, diversity is a vast canvas, and although other diversity parameters are sensitive or forbidden to map and measure, Jotun’s works with awareness and bias mitigation to stimulate to a wide application of workplace diversity. We continuously work to update our policies and framework to promote diversity and inclusion both on global and local level of the organisation.  

Jotun’s values (Loyalty, Care, Respect, and Boldness) promote equality and value differences in people. These values are also the foundation for Jotun’s recruitment policy which clearly promotes equality and stands against discrimination. The policy is actively applied in all Jotun’s recruitment processes and information about the founding principles is communicated to employees and managers through different platforms – leadership training, Business Review sessions, internal communication campaigns etc. 

In 2018 we launched a new global employer branding under the title “Make Y/OUR Mark”. The purpose of the concept is to both strengthen our company’s brand and increase diversity. While governed by corporate functions to ensure one Jotun brand, it is actively initiated, adjusted and executed locally to serve the different needs of the global organisation and their different targets towards diversified workforce.

Jotun has a global recruitment policy, which focuses on reducing bias and ensuring that the competence is the key parameter of value in our recruitment processes, while also assessing and integrating the individual organisation’s need for diverse workforce. Our aim is to secure the best candidate for the position based on merit. Our policy has special focus on avoiding bias of any kind (gender, age, nationality to name some). In practice this means using a structured, competency-based approach when recruiting. None of the mentioned areas (Gender, Impaired functioning, Sexual orientation, Gender identity and gender expression, Religion and outlook on life, Ethnicity, Care tasks, Pregnancy, parental leave and adoption) are discussed in interviews or in any way used as a form for “selection criteria”. Recruitment training includes update on laws, rules and regulations as well as challenging bias and stereotypes.

Jotun invests in human resources and cooperates with several institutions towards facilitating training and adjusting work conditions for Jotun employees who, for different reasons (e.g., health, age, personal reasons), struggle with fulfilling usual working commitments. When needed, cooperation agreements are entered with relevant institutions to promote training, internship and work experience opportunities for people who struggle to enter the labour market.

In Jotun, we are convinced that diverse, inclusive working environments with opportunities for career mobility, provide benefits for all stakeholders. In 2020, we therefore launched a comprehensive Diversity and Inclusion initiative. The initiative is consistent with the UN Sustainable Development Goal number 8: Decent work and economic growth. Diverse, inclusive working environments provide benefits for all stakeholders. Moving forward in a constantly faster-paced world, a diverse workforce with different cultural, professional, ethnic, gender and age backgrounds will give fresh perspectives, helping enable Jotun to tackle future challenges and opportunities with a more open, informed and innovative approach. A diverse organisation is also better suited to cater for diverse customers and translates to better solutions and hence a direct competitive advantage. In addition, a diverse and inclusive organisation promotes a sense of involvement, unity and commitment, with a desire to add value wherever possible.

In order to succeed on our way to diverse workforce, we need to work with managers on all levels to anchor our company’s D&I approach, increase their awareness and develop action plans. Throughout 2020 D&I workshops were held across Jotun, cascading from the top management level throughout managerial levels across the global organisation. It is critical for ensuring deeply rooted practices, that managers at all levels and from all backgrounds have a common understanding towards the importance of diversity and their role in ensuring both diverse and including work environment. 

Jotun believes career mobility is essential to building optimal business understanding and delivering long-term results. Therefore, Jotun encourages employees to gain cross-functional, cross-segment and cross-border experience to develop their careers and lay foundations for the next generation of company management. This is achieved by the creation and promotion of strategic recruitment, competence development and global and intra-regional mobility programmes. This is a long-term strategy, that we have kept firm throughout a challenging year for business and travel. In 2020, 168 employees participated in mobility programmes. 

Gender distribution Jotun A/S
Among the 945 permanent employees at the end of 2020, there were 293 (31 %) women and 652 men (69 %)

Gender distribution – managers
Among these employees there were 194 managers. 62 of those (32 %) women.

Gender distribution – top management
There are 10 direct subordinates to the President and CEO. 3 of them (30 %) are women.

Part-time employees
At the end of 2020 there were 39 permanent employees (4.1 %) not working in 100 % positions. 25 of those (65 % of total) were women. It is important to note that part-time positions are not part of Jotun A/S recruitment policy – all employees working less than 100 % have chosen to do so voluntarily, most common reasons being family-work life balance, approaching retirement age and other personal circumstances.

Temporary employment
At Jotun we strive to employ in permanent positions, however, certain reasons may call for temporary employments. Some of the most common reasons are – temporary recruitments to cover for maternity/paternity leave absence, temporary recruitments to cover for long-term illness absence, temporary project work.

For short assignments opportunities are given to younger students, as well as there are approximately 30 apprentices hired at any given point in time, most of which have 2-year contracts.
At the end of 2020 there were in total 10 temporary employees with agreements of length between 6 and 18 months. 6 of those were women and 4 were men.

Services of a third-party recruitment agency may also be used, in case of temporary need for resources.

Parental leave 
In 2020 there were in total 27 employees at Jotun A/S who during the year have been on parental leave (17 women and 10 men). Among women average number of absence days due to parent leave in 2020 was 106, while 69 among men. These numbers are taken only for calendar year 2020 and thus omit possible absence days for the same employees in 2019 or further on in 2021.

Nationalities
By the end of 2020 there were 945 permanent employees at Jotun A/S. These employees represent 35 different nationalities. Nationality is the best way we have found to measure diversified ethnical identity. Within our employees who hold a majority identity, there are also people with diversified cultural background. Jotun is proud of our culturally diverse workforce and believe this to be a competitive advantage and a crucial trait for a Head quarter of a global company.

Age
Average age at Jotun A/S by end of 2020 was 48.

Equal Pay 
Jotun A/S uses Korn Ferry’s Market Salary Data to ensure compensation governance and do statistical analysis across paygrades, gender, age, seniority etc. If unjust discrepancies are discovered, a plan is put in place for extraordinary increase to decrease the gap. No major gaps linked to gender have been reported during salary review 2020. We are launching a new HR Management system in 2021. This will support us to dive deeper into HR analytics and closer monitor any potential pay discrepancies. The results will be followed up closely and published as part of the annual report of 2021.