Questions & Answers
Is this a three-way split or are non-guaranteed hours employees part of temporary/permanent employees?
- Employees permanent
- employees temporary
- employees non-guaranteed hours
Background
ESRS S1 paragraph 50 (b) requires the disclosure of: ‘(b) the total number by head count or full-time equivalent (FTE) of:
(i) permanent employees, and breakdown by gender;
(ii) temporary employees, and breakdown by gender; and
(iii) non-guaranteed hours employees, and breakdown by gender.’
Further information on how to present this information can be found in Table 3 and Table 4 in ESRS S1 paragraph AR 55, while ESRS S1 paragraph AR 56 also provides a definition of non-guaranteed hours employees as following: ‘Non-guaranteed hours employees are employed by the undertaking without a guarantee of a minimum or fixed number of working hours. The employee may need to make themselves available for work as required, but the undertaking is not contractually obliged to offer the employee a minimum or fixed number of working hours per day, week, or month. Casual employees, employees with zero-hour contracts, and on-call employees are examples that fall under this category.’
Answer
ESRS S1 paragraph 50 (b) requires a three-way split of employees as the text distinguishes between three datapoints, (i) permanent, (ii) temporary and (iii) non-guaranteed hours employees, and it specifies that a breakdown by gender is required for the three datapoints. In addition, ESRS S1 paragraph AR 55, Table 3 and Table 4 offer further guidance by providing the template for presenting information on employees by contract type.
ESRS S1 paragraph AR 56 specifies that ‘the definitions of permanent, temporary, non-guaranteed hours . . . employees differ between countries . . .’ and it also provides a definition of non-guaranteed hours employees. While permanent and temporary employment relationships define the duration of a contract, a non-guaranteed hours contract refers mainly to the expected working time. The defining characteristic of non-guaranteed hours contracts is that they do not guarantee a minimum or fixed number of working hours.
In some countries, non-guaranteed hours contracts may be further classified as either permanent or temporary according to national legislation. Hence, in these countries the undertaking reports those non-guaranteed hours employees under paragraph 50 (b)(iii) and also under paragraph 50 (b)(i) or (ii). The provision of contextual information in ESRS S1 paragraph 50 (e) requires explaining how the information is reported; for example, the undertaking would describe if non-guaranteed hours employees are also included within the permanent and temporary datapoints.
Relations
Paragraph | Content |
|---|---|
The definitions of permanent, temporary, non-guaranteed hours, full-time, and part-time employees differ between countries. If the undertaking has employees in more than one country, it shall use the definitions as per the national laws of the countries where the employees are based to calculate country-level data. The country-level data shall then be added up to calculate total numbers, disregarding differences in national legal definitions. Non-guaranteed hours employees are employed by the undertaking without a guarantee of a minimum or fixed number of working hours. The employee may need to make themselves available for work as required, but the undertaking is not contractually obliged to offer the employee a minimum or fixed number of working hours per day, week, or month. Casual employees, employees with zero-hour contracts, and on-call employees are examples that fall under this category. | |
The undertaking shall disclose the requested disclosures in the following tabular formats: | |
the total number by head count or full time equivalent (FTE) of: | |
The definitions of permanent, temporary, non-guaranteed hours, full-time, and part-time employees differ between countries. If the undertaking has employees in more than one country, it shall use the definitions as per the national laws of the countries where the employees are based to calculate country-level data. The country-level data shall then be added up to calculate total numbers, disregarding differences in national legal definitions. Non-guaranteed hours employees are employed by the undertaking without a guarantee of a minimum or fixed number of working hours. The employee may need to make themselves available for work as required, but the undertaking is not contractually obliged to offer the employee a minimum or fixed number of working hours per day, week, or month. Casual employees, employees with zero-hour contracts, and on-call employees are examples that fall under this category. | |
The undertaking shall disclose the requested disclosures in the following tabular formats: | |
the total number by head count or full time equivalent (FTE) of: | |
The definitions of permanent, temporary, non-guaranteed hours, full-time, and part-time employees differ between countries. If the undertaking has employees in more than one country, it shall use the definitions as per the national laws of the countries where the employees are based to calculate country-level data. The country-level data shall then be added up to calculate total numbers, disregarding differences in national legal definitions. Non-guaranteed hours employees are employed by the undertaking without a guarantee of a minimum or fixed number of working hours. The employee may need to make themselves available for work as required, but the undertaking is not contractually obliged to offer the employee a minimum or fixed number of working hours per day, week, or month. Casual employees, employees with zero-hour contracts, and on-call employees are examples that fall under this category. | |
The undertaking shall disclose the requested disclosures in the following tabular formats: | |
the total number by head count or full time equivalent (FTE) of: | |
The undertaking shall disclose the requested disclosures in the following tabular formats: |