People

Progress 2024

The continued implementation of the performance program "Next Level" resulted in a reduction in the total workforce (FTEs) to 4 785 at December 31, 2024. Even so, Rieter was able to decrease the labor turnover rate by 0.9 percentage points to 4.5 percent in 2024 – and therefore hit the target of 10.0 percent again. This is a testament to the strength of Rieter’s company culture.

• The share of women in executive and management positions increased by 2.7 percentage points to 15.3 percent, thanks to the continuation of the diversity initiative “Women@Rieter” and the company’s mentoring program.
• The absolute number of occupational accidents fell by 34.1 percent to 29. As a result, occupational accidents per million hours worked improved slightly to 3.3 in 2024. This can be attributed to better preventive measures and the implementation of targeted safety training at Rieter sites.
• The absence rate for sick and accident leave increased slightly to 4.1 percent in 2024. This is well above the target of a maximum of 2.0 percent and a reflection of the difficult market situation in the reporting year.
• Training days per employee increased slightly to 2.0 in 2024, but remained below the target of at least 3.0 days. The company has offered a digital learning platform since 2023 in order to improve the personal and professional development of its employees.
• 2025: In 2025, Rieter aims to develop new social targets for 2030 in order to maintain its momentum in diversity and health & safety.

Social disclosures

Social topics, including diversity, equality, fair treatment and employee well-being, are crucial for fostering an inclusive, respectful and high-performing workplace. These issues drive organizational success by ensuring equal opportunity, promoting diversity, supporting employee growth and creating safe and healthy work environments that attract and retain talent.

Rieter’s Code of Conduct establishes ethical standards for equal treatment, non-discrimination and respect across the organization, promoting a culture where everyone has equal opportunities. The Supplier Code of Conduct extends these expectations to business partners, promoting respect for labor rights and fair treatment throughout the supply chain. Rieter’s Human Rights Policy further reinforces this commitment by highlighting the company’s commitment to upholding globally recognized labor standards defined by the United Nations and the International Labor Organization (ILO). They include the minimum working age, maximum working hours, freedom of association and safe working conditions, especially for vulnerable groups. The Health and Safety Policy prioritizes a safe and healthy work environment, complying with legal regulations and aiming to reduce accidents.

Working conditions and social engagement

Material impacts, risks and opportunities

Rieter’s employees are at the center of the company’s success. Attracting, developing and retaining a highly-skilled workforce is essential to Rieter’s business strategy. Working conditions are highly significant for an industrial company with worldwide operations, including sites in Germany, India, China, the Czech Republic and other countries, due to their direct impact on performance, legal compliance and reputation. Secure employment, adequate wages and working time regulation can reduce employee turnover, increase employee motivation and mitigate labor disputes, thereby lowering operational risks.

The implementation of the performance program "Next Level", which was launched in 2023, resulted in a reduction in total workforce, especially in Europe, as well as in a relocation of functions from Europe to China and India.

Despite the implementation of the performance program “Next Level”, Rieter was able to decrease the labor turnover rate by 0.9 percentage points to 4.5 percent in 2024 and therefore achieve the target of 10.0 percent again. Rieter measures the involuntary fluctuation of employees with the labor turnover rate.

In addition to the labor turnover rate, the Employee Net Promoter Score (eNPS) will be monitored from 2024 onward. The eNPS is a key indicator that reflects how likely Rieter employees are to recommend Rieter as a place to work to their families and friends. By definition, the eNPS ranges between -100 and +100. The participation rate of 68 percent was representative in statistical terms. In March 2024, the actual eNPS score on Group-level was -10, ranging from -75 to +62 on a subsidiary basis. Rieter’s long-term target is to reach a global eNPS-score of +60. The global and the local results were shared with the subsidiaries’ leaders and employees, and corresponding actions to improve the employee referral rate were implemented.

Methodologies and assumptions

The number of employees (headcount and full-time equivalent, FTE) includes all employees working for Rieter excluding apprentices and non-employees. Non-employees consist of staff hired through a third-party agency for a temporary period, as well as individual contractors.

The data on employee numbers by region (headcount and full-time equivalent, FTE) was collected in the consolidation system Business Objectives Financial Consolidation (BOFC), with the underlying data coming primarily from local human resource systems. The respective data includes all Rieter subsidiaries in line with the operational control approach.

In calculating the labor turnover rate, Rieter puts the focus on voluntary staff departures without taking redundancies into account. Voluntary staff departures include the number of Rieter employees who left Rieter on a voluntary basis because they found what they consider to be a better alternative. Retirements and early retirements are excluded. This allows Rieter to better measure employee satisfaction and the strength of its corporate culture. Voluntary staff departures are collected in the BOFC, with the underlying data coming primarily from local human resource systems. The labor turnover rate is calculated by dividing the number of voluntary staff departures through the yearly average headcount.

From 2024 onwards, the Group Human Resources Department will distribute, collect and evaluate the eNPS questionnaire on an annual basis. The survey is translated into all local languages to drive participation, and includes all sites and all permanent employees of subsidiaries.

Equal treatment and opportunity, and diversity

Material impacts, risks and opportunities

Equal treatment and equal opportunity are critical for a global manufacturing company as they directly influence workforce diversity and employee morale across sites in different countries. Ensuring non-discriminatory practices in hiring, promotion and compensation, regardless of gender, race, age or background, helps the company tap into a broader talent pool and foster innovation and resilience. Disparities in opportunity can lead to dissatisfaction, resulting in higher turnover.

Offering equal treatment promotes an inclusive work environment where employees feel valued and are more motivated, resulting in higher performance and loyalty. Furthermore, companies that champion diversity and equal opportunity are often perceived more favorably by customers, investors and business partners, enhancing their brand reputation globally. From a financial perspective, investing in equality reduces the risk of lawsuits, costly settlements and reputational damage, while attracting top talent and potentially improving company performance through a more diverse and engaged workforce.

The share of women in executive and management positions increased by 2.7 percentage points to 15.3 percent. The diversity initiative “Women@Rieter”, launched in 2023, was continued successfully in 2024. The initiative helped raise awareness about recruiting women for management positions at all departments. The continuation of the mentoring program for aspiring female managers also contributed to this increase. Rieter is committed to continuing this initiative from 2025 onwards. At 19.9 percent, the share of women in the workforce remained stable in 2024.

Age distribution

The following table presents the percental distribution of the number of employees to age classes:

Methodologies and assumptions

Women in the workforce include women employed by Rieter, but excludes temporaries and apprentices. Management includes employees that are employed in the executive career band defined centrally by the Human Resources department. Data relating to women in the workforce, women in management positions and age distribution are collected in the BOFC, with the underlying data coming primarily from local human resource systems. The respective data includes all Rieter subsidiaries in line with the operational control approach.

Equal pay

The principle of equal pay is an important concern for Rieter, which is also set out in the company-wide Human Rights Policy. As announced in the 2023 Annual Report, Rieter intends to carry out a comparative analysis of remuneration for men and women at all its sites by the end of 2025. In 2024, an analysis was conducted at sites in Switzerland and China. The equal pay analysis revealed no structural differences in pay between men and women. Individual, non-explainable differences are being monitored and reduced through measures, such as regular salary reviews, standardized performance evaluations, unconscious bias training for managers, implementing clear and transparent promotion criteria and providing mentorship programs to support career development for underrepresented groups.

The equal pay analysis was conducted using the self-assessment tool “Diagnosis of Equal Remuneration” created by UN Women, the United Nations entity dedicated to gender equality and the empowerment of women. During this analysis, job roles with similar qualifications and requirements were grouped together. To improve transparency across all sites, job roles were standardized in the second half of 2024. For 2025, a job grading will be carried out on this basis to standardize the equal pay analysis process. It is planned that each operating site will carry out an analysis on a regular basis.

Health and Safety

Material impacts, risks and opportunities

Poor health and safety standards can result in accidents and costly legal claims. Furthermore, maintaining a healthy work-life balance and promoting a safe working environment can improve employee well-being and productivity, reducing absenteeism, and increasing efficiency. Non-compliance with local labor laws or international standards could lead to fines, reputational damage and strained relations with stakeholders.

Local Environment, Health and Safety (EHS) managers are responsible for ensuring healthy and safe workplaces at each operating site and in each situation.

The absence rate for sick and accident leave increased slightly to 4.1 percent in 2024, which is still above the target of a maximum of 2.0 percent. This is a reflection of the difficult market situation in which Rieter operated in 2024.

The absolute number of occupational accidents dropped by 34.1 percent to 29. As a result, occupational accidents per million hours worked improved slightly to 3.3 in 2024. The improved accident rate is attributable to more intensive preventive measures and the implementation of targeted safety training at Rieter sites. Each accident is investigated in detail and recorded in a case analysis that includes corrective measures. The results are communicated to all locations for implementation and adaptation. Monthly online meetings with all personnel responsible for occupational health and safety ensure a continuous exchange of knowledge. Rieter’s goal is to prevent all accidents at work.

Methodologies and assumptions

Rieter continuously tracks the number of accidents and incidents, as well as the absence rate, to identify risks in the workplace and ensure employee health, safety and well-being. Absences include lost working hours due to sickness or occupational and non-occupational accidents. A major accident is defined as one in which the person or persons involved are absent for more than three days. Accidents are considered “minor” if they result in no more than three days’ absence from work. The number of serious and minor occupational accidents was collected in the SEED database. The respective data includes all Rieter subsidiaries in line with the operational control approach.

Training and development

Material impacts, risks and opportunities

Continuing training and education are vital for the long-term success of Rieter. Well-trained employees are more efficient as they have the necessary skills and knowledge to complete their tasks faster and more accurately. Targeted training sessions enable employees to optimize their work processes, which leads directly to higher productivity. In addition, good development prospects may result in better job satisfaction for employees.

Group and local human resources departments are responsible for the implementation of the training and development approach within Rieter.

Training days per employee increased slightly to 2.0 in 2024, but remained below the target of at least 3.0 days. In order to improve the personal and professional development of its employees, Rieter launched a digital learning platform at the end of 2023. This platform offers around 2 700 courses on topics such as management and leadership, human resources and general business processes. In addition to digital training sessions, Rieter intends to collect the number of external or physical training and development sessions through this platform in future.

Methodologies and assumptions

Training days include the total number of training days of employees working for Rieter. This includes internal and external training where Rieter fully or partially pays the costs. The data is mainly from primary data from time recording systems or invoices from external training providers. Internal training, such as security or compliance training, is also included. Data in connection with training days is collected in the BOFC, with the underlying data coming primarily from local human resource systems. In 2024, internal data collection processes were improved. The respective data includes all Rieter subsidiaries in line with the operational control approach.