Focus Topics – Employee-related issues
Attractive employer
Impacts, risks, and opportunities
Impacts
Zehnder Group’s approach to workforce-related issues centres on mitigating the potential negative impact on employees of factors such as excessive workloads, limited development opportunities, and reduced engagement. Measures aimed at supporting a healthy work-life balance, providing access to development and training opportunities, and fostering an open feedback culture are intended to prevent stress, disengagement, and skills obsolescence, while maintaining employee well-being in the long term.
Alongside competitive benefits and transparent career paths, these measures help reduce the risk of employee turnover, labour shortages, and declining job satisfaction in a competitive labour market. While these actions primarily serve to mitigate negative impacts on the workforce, they can also contribute to higher engagement and stability within the organisation. This, in turn, supports innovation and customer satisfaction.
Risks and opportunities
A motivating work environment is essential for long-term success. Failure to meet labour standards poses regulatory risks and may undermine fair treatment. Limited development opportunities or poor work-life balance can cause dissatisfaction, raise turnover, and result in the loss of valuable expertise. This may increase recruitment and training costs, weaken Zehnder Group’s reputation, and make it harder to attract skilled talent. Lower engagement levels can also reduce productivity, quality, and innovation.
Conversely, prioritising employee well-being, development, and inclusion offers significant opportunities. A culture that promotes these aspects and encourages open communication can increase retention, reduce turnover, and strengthen Zehnder Group’s position as an employer of choice.
Management approach
Zehnder Group pursues an employer strategy built on engagement, growth, and care. The strategy aims to maintain high employee engagement; invest in people through lifelong learning; and promote health, well-being, and sustainable lifestyles. Biannual engagement surveys capture employee needs and identify improvement areas, helping us sustain engagement and address well-being needs. We strengthen skills and careers through continuous learning and development, aiming to fill two-thirds of leadership vacancies through internal promotions and to promote a holistic, sustainability-minded workplace culture.
Oversight is the responsibility of the Director of Group Human Resources (HR), who coordinates measures across the company; implementation is carried out by local HR teams and line managers. This setup enables tailored programmes based on employee feedback and regional requirements, ensuring actions are relevant, practical, and aligned with our ambitions.
Training and development
We foster a culture of engagement, learning and shared responsibility for sustainability. Our e-learning platform offers a wide range of courses to support skill development and career progression. We aim to make this platform accessible to all employees, reinforcing the company’s commitment to lifelong learning and internal mobility. We encourage our employees to get involved with our sustainability goals and the UN SDGs by providing targeted training and inclusive initiatives.
The sustainability training covers key areas including the fundamentals of sustainability at Zehnder Group, with practical examples. It also addresses employee-related topics such as fair wages, diversity, and OHS; environmental priorities such as climate action, pollution, and the circular economy; and societal issues including sustainable procurement, compliance, and human rights in the supply chain. A dedicated module on transformation and change consolidates the programme and provides leaders with the tools needed to manage sustainability-related change effectively.
Feedback and dialogue
Performance reviews are conducted regularly by managers to encourage a culture of continuous feedback. To facilitate effective feedback, Zehnder Group offers them relevant training. This ensures that employees are consistently recognised for their contributions and guided in their professional development.
Well-being and sustainable lifestyles
The importance of a healthy work-life balance is recognised by Zehnder Group, with well-being initiatives being promoted across its global sites. These initiatives are tailored to local cultures and needs, demonstrating the company’s sensitivity to regional differences. Zehnder Group also encourages participation in health- and sustainability-promoting activities, such as “Veganuary” and other programmes. These activities benefit employees and align with the company’s broader sustainability goals.
Implementation and outlook
Implementation of the above management approach and policies is structured around two focus areas with defined targets and KPIs.
Targets
Ambition: Maintain the level of engagement of our employees with Zehnder Group
Target: Address the top three improvement items from the employee engagement survey
- Status: Following the latest employee engagement survey, the overall engagement score reached 85%, a 1% increase compared with 2023, 6% above the industry norm, and 1% above the high-performance norm. The survey achieved an 86% response rate, meeting the target, and for the first time included employees from Siber. Leadership scores improved to 85%, reflecting strong role modelling of company values and support for employees.
The three key focus areas for 2023 evolved as follows: long-term confidence and digital transformation improved, while product know-how declined slightly despite the expansion of e-learning opportunities and the introduction of new training campaigns for internal and external sales teams in EMEA. During the Summer Meeting, the company’s Mission, Vision, Values, and Purpose were revised and presented to global management, with a full roll-out planned for 2026. This increased confidence in Zehnder Group’s long-term future. - Outlook: Based on the latest results, a number of action items have been defined for each business segment and location. Such tailored actions have proven to be the most effective way of engaging employees. These range from expanding the scope of the digital module for performance reviews and holding dedicated value workshops with leadership teams to creating further product training for our e-learning offering.
Ambition: Invest in our people, upgrade their skills, promote a culture of lifelong learning for all genders, and aim to fill two-thirds of all vacancies through internal promotions for all roles with leadership responsibility
Target: Improve the results of the employee engagement survey question “I receive regular feedback”
- Status: The engagement survey score for the statement “I receive regular feedback” improved by 1% to an overall 80% rating, falling short of the initial 3% target. As a supporting indicator, the proportion of employees receiving a regular performance and career development review was 90.2% in 2025. To strengthen feedback culture, the annual appraisal form was updated in 2025 and will be used for the first time in early 2026. This update reinforces the importance of performance management and regular feedback among managers and is supported by communication materials distributed through local HR teams. Group HR has developed a Performance Management e-learning module, available to managers to be completed before the next cycle in 2026.
- Outlook: The focus will remain on embedding feedback as an integral part of the performance culture. The new tools and training are expected to enhance managers’ feedback skills and improve future engagement results relating to communication and performance development. The ongoing rollout of SuccessFactors is expanding digital access to appraisals and objectives, supporting greater consistency and transparency in feedback processes.
Target: Provide access to e-learning for all employees
- Status: Access to e-learning platforms is now available to all employees in North America and EMEA (excluding Siber), covering approximately 85% of the total workforce.
- Outlook: E-learning access will be extended to Siber, ensuring full coverage across all EMEA and North American sites. This will complete the Group-wide digital learning rollout, enabling consistent access to training and development opportunities for all employees. China remains outside the current scope due to IT security constraints, with no rollout planned for 2026.
Ambition: Promote health, well-being, and sustainable lifestyles and become a role model for our employees
Target: Encourage employee engagement with the UN Sustainable Development Goals and the Zehnder Group sustainability ambition
- Status: The latest survey revealed that 91% of employees support our sustainability ambitions, targets, and actions, confirming a consistently high level of internal support despite a slight decrease of one percentage point versus 2023. The Sustainability Ambassador Programme was successfully launched and now meets monthly to exchange ideas and share progress on sustainability initiatives.
In addition, the Sustainability Snacks format was introduced, offering short learning sessions on sustainability topics. By the end of 2025, six sessions have taken place, with over 80 employees registered and an average of 30 live participants per session. Recordings are made available for all employees who cannot attend live. - Outlook: We aim to increase participation in the Sustainability Snacks and expand the Ambassador Programme by offering live training sessions to business units. These efforts will help deepen sustainability engagement and further align employees with the Group’s long-term sustainability goals.
Metrics
GRI 401: Employment 2016
Disclosure 401-1 New employee hires and employee turnover
New employee hires
Indicator description | Unit of measure | 2025 | 2024 | Change from prior year | 2023 | Change from base year | ||
Rate of new hires by age group – under 30 years old | % | 34.1 | 32.5 | 1.6 | pp | 34.2 | –0.0 | pp |
Rate of new hires by age group – between 30 and 50 years old | % | 52.6 | 54.0 | –1.4 | pp | 53.6 | –1.0 | pp |
Rate of new hires by age group – over 50 years old | % | 13.3 | 13.5 | –0.2 | pp | 12.3 | 1.0 | pp |
Rate of new hires by gender – female | % | 31.0 | 25.8 | 5.2 | pp | 32.4 | –1.5 | pp |
Rate of new hires by gender – male | % | 69.0 | 74.2 | –5.2 | pp | 67.6 | 1.5 | pp |
Rate of new hires by gender – diverse | % | - | - | - | - | - | ||
Rate of new hires by region – EMEA | % | 68.8 | 61.2 | 7.7 | pp | 70.8 | –2.0 | pp |
Rate of new hires by region – Asia-Pacific | % | 7.2 | 17.1 | –9.9 | pp | 10.1 | –2.9 | pp |
Rate of new hires by region – North America | % | 24.0 | 21.7 | 2.3 | pp | 19.2 | 4.8 | pp |
Rate of total new hires | % | 13.2 | 11.1 | 2.1 | pp | 11.1 | 2.1 | pp |
Total number of new hires: 459 new hires in 2025, 391 new hires in 2024, and 407 new hires in 2023
GRI 401: Employment 2016
Disclosure 401-1 New employee hires and employee turnover
Employee turnover
Indicator description | Unit of measure | 2025 | 2024 | Change from prior year | 2023 | Change from base year | ||
Rate of employee turnover by age group – under 30 years old | % | 22.2 | 32.1 | –9.9 | pp | 27.8 | –5.6 | pp |
Rate of employee turnover by age group – between 30 and 50 years old | % | 11.1 | 15.3 | –4.2 | pp | 15.1 | –3.9 | pp |
Rate of employee turnover by age group – over 50 years old | % | 10.0 | 10.8 | –0.8 | pp | 11.0 | –1.1 | pp |
Rate of employee turnover by gender – female | % | 12.1 | 17.1 | –5.0 | pp | 14.7 | –2.6 | pp |
Rate of employee turnover by gender – male | % | 11.9 | 15.2 | –3.3 | pp | 15.6 | –3.7 | pp |
Rate of employee turnover by gender – diverse | % | - | 100.0 | –100.0 | pp | - | - | |
Rate of employee turnover by region – EMEA | % | 10.0 | 13.6 | –3.5 | pp | 13.5 | –3.5 | pp |
Rate of employee turnover by region – Asia-Pacific | % | 18.2 | 26.3 | –8.1 | pp | 18.2 | –0.0 | pp |
Rate of employee turnover by region – North America | % | 18.6 | 18.4 | 0.2 | pp | 25.1 | –6.4 | pp |
Rate of total employee turnover | % | 12.0 | 15.7 | –3.7 | pp | 15.4 | –3.4 | pp |
Total amount of employee turnover: 415 employees in 2025, 553 employees in 2024, and 564 employees in 2023
GRI 404: Training and Education 2016
Disclosure 404-1 Average hours of training per year per employee
Indicator description | Unit of measure | 2025 | 2024 | Change from prior year | 2023 | Change from base year | |||
Average hours of training that our employees have undertaken, by gender – female | h | 17.0 | 21.0 | –4.0 | 17.3 | –0.3 | |||
Average hours of training that our employees have undertaken, by gender – male | h | 13.2 | 15.3 | –2.1 | 20.7 | –7.5 | |||
Average hours of training that our employees have undertaken, by gender – diverse | h | 41.0 | 40.0 | 1.0 | 8.0 | 33.0 | |||
Average hours of training that our employees have undertaken | h | 14.2 | 16.8 | –2.6 | 19.8 | –5.6 | |||
GRI 404: Training and Education 2016 Disclosure
404-3 Percentage of employees receiving regular performance and career development reviews
Indicator description | Unit of measure | 2025 | 2024 | Change from prior year | 2023 | Change from base year | |||
Percentage of total employees who received a regular performance and career development review | % | 90.3 | 93.4 | –3.1 | pp | 89.7 | 0.6 | pp | |
Internal promotion
Indicator description | Unit of measure | 2025 | 2024 | Change from prior year | 2023 | Change from base year | ||
Rate of internal promotions vs. external hiring by employee category – management positions (L1–L4)1 | % | 63.9 | 50.0 | 13.9 | pp | 33.3 | 30.6 | pp |
Rate of internal promotions vs. external hiring by employee category – non-management positions2 | % | 16.2 | 23.4 | –7.2 | pp | 31.7 | –15.4 | pp |
Rate of internal promotions vs. external hiring for employees with leadership responsibility3 | % | 62.0 | 63.4 | –1.4 | pp | 47.9 | 14.1 | pp |
1 L1–L4 refers to leadership levels 1 to 4. The company Siber, acquired in 2024, is excluded from this KPI as no leadership levels have been assigned to Siber employees yet. The higher internal promotion rate in 2025 is primarily attributable to the restructuring of the Commercial EMEA division, which took effect in January 2025.
2Non-management positions are positions beyond leadership level 4.
3An employee with leadership responsibility is formally responsible for and supervising at least three other employees.
Employees with access to e-learning
Indicator description | Unit of measure | 2025 | 2024 | Change from prior year | 2023 | Change from base year | ||
Rate of employees with access to e-learning | % | 88.0 | 73.3 | 14.7 | pp | 73.6 | 14.4 | pp |
In 2025, access to e-learning was extended to employees from Filtech, Caladair, and North America.
Employees that support the Zehnder sustainability ambitions and targets
Indicator description | Unit of measure | 2025 | 2024 | Change from prior year | 2023 | Change from base year | ||
Rate of employees that support the Zehnder sustainability ambitions and targets | % | 91.0 | n/a | n/a | 92.0 | –1.0 | pp | |
The rate of employees that support the Zehnder sustainability ambitions and targets is based on the employee engagement survey.
The survey is conducted biannually and did not take place in 2024.