Attractive workplace

Management of the material topic (GRI 3-3)

A total of 7,971 employees work at Galenica providing professional services to meet a wide range of customer requirements. As a key employer in the Swiss healthcare market, Galenica makes an important contribution to the Swiss economy and supports sustainable labour and economic growth. For Galenica, an attractive workplace is about more than just modern workplaces and employment conditions. In particular, it also means open and respectful interaction with one another. This has a positive impact on the well-being, satisfaction and motivation of employees. Motivated and satisfied employees are more loyal and productive. Furthermore, the emphasis on the corporate values – our three key values – an appreciative management culture and flexible working models (life-domain balance) play an important role. Employee motivation is also closely linked to training and continuous education, which enables both professional and personal development. Galenica therefore summarises all issues relating to the employment of competent and motivated employees under the aspect of employee motivation and development. Other relevant employee topics are listed under “Occupational health” and “Equality and diversity”.

The three key values

The three key values provide support for employees in all their work and form the basis for the joint understanding of the way in which they cooperate and interact with one another:

• We delight our customers.
• We act as entrepreneurs.
• We build trust.

Responsibilities and strategy

People & Culture is responsible for HR management and is an important partner for transformation and cultural development within the organisation. Its focal points include advice and coaching for managers, the promotion of young talent, targeted and sustainable personnel development, occupational health and the promotion of an inclusive corporate culture. Positioning Galenica as an attractive and modern employer (employer of choice) is critical in the context of the shortage of skilled workers as well as in terms of attracting young talent. Other relevant topics include promoting and using new forms and methods of work as well as increasing efficiency by digitalising HR processes. The Chief People & Culture has been a member of the Executive Committee since 2023. By making this appointment, Galenica is underlining the strategic relevance of human resources. In the reporting year, People & Culture restructured itself internally and moved forward with the digitalisation of HR processes.

Personnel Policy, Personnel Regulations and Working Time Regulations

The Personnel Policy of the Galenica Group is based on the above-mentioned corporate values and sets out the binding guidelines for human resources management (HRM). These guidelines apply to the entire Group. The Personnel Policy discusses how Galenica, as an employer, wishes to treat its employees and what it expects from its employees. Galenica’s Personnel Regulations and Working Time Regulations are aimed at all employees and contain information and rules regarding working hours, salaries and employee insurance.

Collective bargaining agreements (GRI 2-30)

At Galenica, no one is subject to a collective bargaining agreement. Galenica offers all employees fair and attractive employment conditions.

Balancing private life and work

Galenica offers flexible working time models to provide a better work-life balance for its employees. For example, employees are allowed to work from home, depending on their job and in consultation with their manager. Part-time work is particularly common in the area of Pharmacies Sales and it is possible to lead pharmacies as co-managers. Furthermore, female employees can extend their maternity leave with unpaid leave and male employees receive paternity leave of ten days, which is fully paid, in contrast to the statutory obligation.

Opinio employee survey

The “Opinio” employee survey is a permanent fixture at Galenica. Since 2020, it has been held annually rather than every three years, thus enabling Galenica to react more quickly and in a more targeted manner to changes in employee satisfaction and motivation. In 2024, 76% of all employees took part in the survey, meaning the response rate rose by 4% compared to the previous year. With a Group-wide score of 76¹⁾ out of 100 possible points, it is pleasing to see that employee motivation has been maintained and is therefore stable compared to the previous year. At 75 out of 100 points, the employee recommendation score is one point lower than in the previous year. Since 2023, the employee survey has only been conducted online.

¹⁾ ▶ 2024 data externally assured (limited assurance)

Promote interaction and commitment among employees

The staff committees are important points of contact for the concerns of all employees that are of general interest and are to be discussed with the Executive Committee. Conversely, the Executive Committee consults the staff committee or works committee on relevant personnel matters that concern all or most employees, such as conditions of employment. The works committee is made up of the chairs of all the local staff committees. The operations board and the Chief People & Culture meet twice a year. Depending on the agenda, other members of the Executive Committee may be invited. It addresses topics that go beyond the local concerns of the staff committees in the individual business areas. The staff committees generally meet several times per year and are also informed about the topics and resolutions of the works committee meetings.

Various communication platforms

Direct, personal interaction between employees from all language regions of Switzerland and over 85 countries lies at the heart of Galenica’s communication efforts, with the aim of actively promoting knowledge exchange and cooperation. The various physical and digital information events and management meetings within the business sectors and companies are a good way of ensuring that this happens. Information on current topics from all areas of the company is provided at events and via the intranet, G-Net. The employee magazine “Spot” is also published in digital form. It can also be accessed externally and allows partners and family members to keep abreast of developments in the Galenica world.

Promote knowledge and interaction among employees

When it comes to logistics and the sale of pharmaceuticals, employees and their specialist knowledge play a crucial role. As a successful company, Galenica wants to develop with the market and set trends. Galenica’s adaptability is based on the commitment and team spirit of all employees. In order to maintain this, Galenica provides continuous support for the personal and professional development of its employees. New employees are invited to an induction day (Discover Galenica) where the history, culture and strategy of the Galenica Group and its companies are explained. Continuous personnel development and the management work of the future are at the heart of the group-wide personnel development programme “Move”. It represents agility and flexibility and reflects the range of employee development options available. This comprises modules in the field of professional training as well as leadership and personal development on various levels. In 2024, Galenica conducted 31 modules with 505 employees.

In order to offer a talent management programme across the Group and at all levels, the “Executive Galenica” talent programme was conceived in 2024. This new format will start in 2025 and is aimed at members of the Senior Management. Participants benefit from personal and professional development facilitated by external coaches or training partners. The participants engage in project work to develop strategically relevant business cases. This programme is another important addition to our medium- to long-term internal succession planning.

The “Expert Galenica” talent management programme is for employees at management level and managing directors. The participants design their own personal course of development and are supported by individual workshops along their learning path. In 2024, 22 employees took part in the “Expert Galenica” talent management programme.

Furthermore, the “Explore Galenica” programme gives talented employees the opportunity to develop personally and professionally, get to know the Galenica Group better and thus expand their network. In 2024, 15 employees took part in this new talent management programme.

The creation of the “Pharmacies Academy” in the reporting year marked a major step towards providing centralised continuing education and training opportunities for pharmacy employees. This offer will be available from 2025 via the e-progress learning platform and is supported by revised and harmonised processes. In future, training priorities will be aligned with Galenica's strategic objectives in collaboration with stakeholders.

Galenica also supports employees with external training by giving them financial aid and/or allowing them the time, provided that the training is related to their current role and offers added value for the company. More information on this can be found in the section Training and education.

Retaining qualified employees

In Switzerland, the retention of qualified employees represents a major challenge, particularly in the healthcare professions and IT. In addition to the shortage of employees, the requirements in terms of training and skills are constantly increasing. For Galenica, retaining specialist staff plays a key role, particularly in the Pharmacies unit, as pharmacies need to be managed by good, qualified staff. As the Swiss healthcare system becomes increasingly digitalised, Galenica is becoming more dependent on IT and e-commerce professionals. We are committed to attracting and retaining skilled workers. This includes promoting and retaining them within the company as well as recruiting skilled workers from outside the company. In doing this, Galenica supports sustainable labour and economic growth in Switzerland.

Galenica reviews its recruitment activities on an ongoing basis and adapts to the constantly changing conditions and noticeable advancement of the shortage of skilled workers in the labour market. Galenica’s recruitment strategy includes measures relating to the company’s image as an employer, its positioning and university marketing for students. Galenica aims to make contact with students while they are still at university and encourage them to pursue a career within the Galenica Group. Recruitment activities have been centralised across the Group since 2023. In addition to positioning itself as a versatile and modern employer, the increased presence on social media will also strengthen community management in particular.

Employee profit-sharing programme

Galenica shares the success of the company with all employees. The bonus is calculated based on the Group result compared with the previous year. Every year, employees of Galenica living in Switzerland have the opportunity to purchase between 20 and 80 Galenica shares at a preferential price, regardless of their employment level. In 2024, 15.0% of employees participated in the programme (previous year: 19.8%). These shares are blocked for three years after the date of purchase.

Members of the Senior Management (SMT) and Management (MT) receive a profit-sharing bonus pro rata to the annual bonus. This is dependent on attaining quantitative and qualitative targets. The share-based remuneration programme LTI (see Remuneration report) for members of the Executive Committee and certain members of the SMT is geared towards long-term performance, whereby remuneration is withheld for a period of three years. Since 2023, Galenica has had joint bonus-related goals for the Executive Committee, members of the Senior Management and Management. As well as financial targets, these also relate to customer and employee satisfaction and are intended to strengthen the concept of networking and the focus on social objectives.

Employee benefit plans

The Galenica Pension Fund, which is independent of Galenica, offers its beneficiaries comprehensive second pillar protection against the economic consequences of old age, disability and death. The benefits are governed by the pension fund regulations and exceed the minimum benefits pursuant to the Federal Act on Occupational Old Age, Survivors’ and Disability Pension Plans (OPA). The pension fund is managed according to the defined contribution principle.

Objectives attractive workplace

↗  Realistic
→ Partially delayed/critical
↘  Critical
=  Achieved
×  Not achieved

As the shortage of skilled workers continued to worsen, the target could not be achieved. The time-to-hire for IT was around 126 days in 2024 and around 92 days for Pharmacies. Galenica will further optimise the recruitment process. The aim is to reduce the time-to-hire and thus contribute to retaining qualified employees.

Evaluation of the management approach and measures

• Key figures: Key personnel figures, such as employee turnover, are collected from across the Group and analysed every six months.
• Key figures: Other key personnel figures, such as time-to-hire, in connection with recruitment are regularly collected in order to check the implementation of the recruitment strategy and the achievement of targets.
• Employee satisfaction and motivation: The satisfaction and motivation of employees is evaluated as part of the annual employee survey. The Executive Committee examines the results, particularly the critical points, and defines effective measures based on their findings.
• Performance reviews: The performance of employees is evaluated and discussed at annual performance reviews. Further training also plays a key role in this.

Employment (GRI 2-7, 2-8, 401-1)