GRI-Index

Both the printed and the interactive online versions of 360 degrees – facts on Sustainability 2008 are based on the guidelines of the Global Reporting Initiative (GRI). The GRI was established with the help of the UN in 1997 in order to create a globally accepted guideline for companies and organizations reporting on their environmental, social, and economic activities. The amended guidelines of 2004 (G3) serve as the basic framework for Daimler’s sustainability reporting.

The following system of links is based on the main reporting elements and performance indicators of the G3 guidelines, including the additional indicators for the automotive industry. As a result, you only need to click on a title to reach the associated G3 indicators. To access the corresponding sections of our report, click on the corresponding “Info” column. We frequently refer to certain indicators several times. In such cases, the left menu bar will contain a selection of several chapters and/or subchapters that contain the desired information.

You can also download a PDF file (520 KB) of the GRI Index.

Strategy and Analysis

		Global Compact	Info	Further information	Degree
C 1.1	Statement from the most senior decision-maker of the organization (e. g., CEO, chair, or equivalent senior position) about the relevance of sustainability to the organization and its strategy.		Link	–
C 1.2	Description of key impacts, risks and opportunities		Link	–

Organizational Profile

		Info	Further information
C 2.1	Name of reporting organization	Link	–
C 2.2	Primary brands, products and/or services	Link	–
C 2.3	Operational structure of the organization including main divisions, operating companies, subsidiaries, and joint ventures	Link	–
C 2.4	Location of the organization’s headquarters	Link	–
C 2.5	Number of countries where the organization operates, and names of countries with either major operations or that are specifically relevant to the sustainability issues covered in the report.	Link	–
C 2.6	Nature of ownership and legal form	Link	–
C 2.7	Markets served (including geographic breakdown, sectors served, and types of customers/beneficiaries)	Link	–
C 2.8	Scale of the reporting organization, including: Number of employees; Net sales (for private sector organizations) or net revenues (for public sector organizations); Total capitalization broken down in terms of debt and equity (for private sector organizations); and Quantity of products or services provided.	Link	–
C 2.9	Significant changes during the reporting period regarding size, structure, or ownership including: The location of, or changes in operations, including facility openings, closings, and expansions; and Changes in the share capital structure and other capital formation, maintenance, and alteration operations (for private sector organizations).	Link	Transfer of a majority interest in Chrysler. On August 3, 2007, the transaction transferring a majority interest in the Chrysler Group and the related financial services operations in North America is concluded: Cerberus takes 80.1 % of the new Chrysler Holding LLC; Daimler retains an equity interest of 19.9 %.
C 2.10	Awards received in the reporting period		Awards received are reported within the respective chapters.

Report Parameters

		Info	Further information
C 3.1	Reporting period for information provided	Link	–
C 3.2	Date of most recent previous report	Link	–
C 3.3	Reporting cycle	Link	–
C 3.4	Contact point for questions regarding the report or its content	Link	–
C 3.5	Process for defining report content, including: Determining materiality; Prioritizing topics within the report; and identifying stakeholders the organization expects to use the report.	Link	The GRI-oriented annual report “Facts on Sustainability” and the associated Internet presentation are created by means of a systematic process as an integral part of the work performed by the Daimler Sustainability Office. This office (the successor of the Sustainability Task Force) is a component of the governance structure that was newly established in 2007 and corresponds to the work level of the Sustainability Board (see here). The Sustainability Office brings together the units related to sustainability (corresponding to their membership in the Sustainability Board). Their work is coordinated by the Communications, External Affairs and Public Policy, and Environmental Protection departments. The definition and creation of GRI and sustainability-related content (keyword: Materiality) is thus carried out on the basis of stipulations formulated by top management, the Sustain- ability Board (including the Sustainability Office), and the responsible specialist departments. Reviews and discussions with external experts (above and beyond external statements), as well as coordination with top management, are also established elements of the overall process.
C 3.6	Boundary of the report	Link	–
C 3.7	State any specific limitations on the scope of the report	Link	–
C 3.8	Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities that can significantly affect comparability from period to period and/or between organizations	Link	See also Annual Report, pp. 34, 110–112, 114, 126
C 3.9	Data measurement techniques and the bases of calculations, including assumptions and techniques underlying estimations applied to the compilation of the Indicators and other information in the report	Link	–
C 3.10	Explanations of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement	Link	See the Report Profile
C 3.11	Significant changes from previous reporting periods in the scope, boundary, or measurement methods applied in the report	Link	See the Report Profile
C 3.12	Table identifying the location of the standard disclosures in the report	Link	–
C 3.13	Policy and current practice with regard to seeking external assurance for the report (including scope and basis of any external assurance provided, and explanation of the relationship between the reporting organization and the assurance provider(s))	Link	The external statements published in the Sustainability Report reflect the independent opinions of the respective external experts on a specific topic area (environment, employees). These independent opinions of the external experts do not necessarily reflect those of Daimler AG. The external experts base their statements on the information they receive from the company as well as on the findings gained and conclusions reached during their discussions with individuals from various departments at Daimler. To this end, the basis for each external statement is specified in a memorandum of understanding with the external expert in question. The organizations or individuals making the statements are in no way dependent on Daimler. The authors of the statements are not remunerated in any way. The company has merely reimbursed the travel costs that have accrued in the course of preparing the external statements.

Governance Structure and Management Systems

		Global Compact	Info	Further information
C 4.1	Governance structure of the organization, including committees under the board of directors responsible for setting strategy and for organizational oversight	Principle 1-10	Link	–
C 4.2	Indication whether the Chair of the highest governance body is also an executive officer (if so, his function in the organization and the reasons for this arrangement)	Principle 1-10		According to German law, the role of the Chairman of the Board of Management and that of the Chairman of the Supervisory Board are strictly separated (see also Annual Report; www.daimler.com/corpgov_e).
C 4.3	Percentage of the board of directors that are independent, non-executive directors	Principle 1-10		According to German law, the role of the Chairman of the Board of Management and that of the Chairman of the Supervisory Board are strictly separated (see also Annual Report; www.daimler.com/corpgov_e).
C 4.4	Mechanism for shareholders and employees to provide recommendations or direction to the board of directors	Principle 1-10	Link	See Annual Report; www.daimler.com/corpgov_e
C 4.5	Linkage between executive compensation and achievement of the organization’s financial and non- financial goals (e. g., environmental performance, labour practices)	Principle 1-10	Link	The remuneration of BoM members consists of three components. These are non-performance- based, short-term performance-based, and performance-based elements that include medium and long-term bonus incentives (see Annual Report 2007). Because of Daimler’s voluntary commitment to sustainabil- ity, the success of the Group is inevitably linked to the corresponding content, which is thus an indirect component of the fundamental goals for achieving success.
C 4.6	Processes in place for the board of directors to ensure conflicts of interest are avoided	Principle 1-10		Within the Board of Management there are processes to ensure that conflicts of interest are avoided. These processes are documented in the Rules of Procedure for the Board of Management (see also Annual Report).
C 4.7	Process for determining the qualifications and expertise of the members of the board of directors for guiding the organization’s strategy on economic, environmental, and social performance	Principle 1-10	Link	In line with the recommendations of the German Corporate Governance Code, processes are in place to ensure high qualifications and professional expertise within the Board of Management. For Daimler’s Declaration of Compliance with the Corporate Governance Code, see Annual Report.
C 4.8	Internally developed statements of mission or values, codes of conduct, and principles relevant to economic, environmental, and social performance and their status of implementation	Principle 1-10	Link	–
C 4.9	Procedures of the board of directors for overseeing the organization’s identification and management of economic, environmental, and social performance, including relevant risks and opportunities, and adherence or compliance with internationally agreed standards, codes of conduct, and principles	Principle 1-10	Link	The Board of Management has processes that help it manage sustainability at the company. These processes are sustainably supported by the Sustainability Board, which was established in 2007. The Sustainability Board is headed by the Board of Management member for Corpo rate Development and reports to the Chairman.
C 4.10	Processes for evaluating the board of directors’ own performance, particularly with respect to economic, environmental, and social performance		Link	In line with the recommendations of the German Corporate Governance Code, efficiency evaluations are made on a regular basis. The performance-related remuneration of Board of Management members is disclosed in the Annual Report.
C 4.11	Explanation of whether and how the precautionary approach or principle is addressed by the organisa- tion	Principle 7	Link	–
C 4.12	Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses	Principle 1-10	Link	–
C 4.13	Memberships in association and/or national/ international advocacy organizations in which the organization is on the board, participates in projects or committees, provides substantive funding beyond routine membership dues or views membership as strategic		Link	–
C 4.14	List of stakeholder groups engaged by the organiza- tion		Link	–
C 4.15	Basis for identification and selection of stakeholders with whom to engage		Link	–
C 4.16	Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group		Link	Due to the multitude of stakeholder contacts at the local, national, and international levels in the different business units (and their departments), the frequency and type of contact are recorded centrally only in part. To find out about the further development of Daimler’s dialogue with its stakeholders, see also the goals section.
C 4.17	Key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its reporting		Link	–

Economy

		Global Compact	Info	Further information
EC0 DMA		Principle 1, 4, 6 and 7	Link	For further information about the economic management approach, see also the Annual Report (responsibilities of the Board of Management members; Corporate Strategy; internal financial controlling measures).
EC1 Core	Direct economic value generated and distributed, including revenues, operating costs, employee compensation, donations and other community investments, retained earnings, and payment to capital providers and governments		Link	See also the Annual Report
EC2 Core	Financial implications and other risks and opportunities for the organization‘s activities due to climate change	Principle 7	Link	Statements in the “Risk Report” of the Annual Report
EC3 Core	Coverage of the organization’s defined benefit plan obligations		Link	The GRI indicator EC3 refers to the type of pen- sion offered to employees. We think it unlikely that defined benefits to pensions can be more effectively assessed than defined contributions. By providing company pension schemes, a cor- poration has substantial long-term obligations toward its employees. It is crucial for the com- pany that the promised services are predictable, achievable, and low-risk. It is difficult to portray all of the pension-related data for the entire Group, because the pension plans in the various countries and companies differ greatly with regard to legal requirements and market needs. The figures for liabilities and coverage are taken from the Consolidated Financial Statements for 2007. It is also very questionable whether the pension plan’s sustainability can be assessed on the basis of the current funded status, since the funds are very volatile when they are invested in assets. Such fluctuations can result in a lower level of funding at the end of the year. The company offers retirement benefits in the form of pension plans. Daimler offers defined benefit pension plans as well as defined contri- bution plans. In Germany, it is illegal to offer retirement benefits solely as defined contribu- tion plans. Daimler AG offers defined contribution plans to its executives, and defined benefit plans to employees subject to collective bargaining agreements. Daimler provides retirement bene- fits through external measures as well as through direct offerings. The capital for covering the liabilities of the employer’s direct offerings are invested in separate, outsourced funds. As of December 31, 2007, the present value of the Daimler Group’s defined benefit obligations was € 15,686 million. Deducting fair value of plan assets of € 13,774 million leaves a funded status of € 1,912 million. The balance sheet lists € 3,038 million in provisions for pensions and similar obligations. In addition, there are provi-sions totaling € 790 million for post-employment health and life-insurance benefits. The figures were taken from the Notes to the Consolidated Financial Statements. According to Daimler’s Pension Policy, the Group’s pension plans should be designed to conform with the general market usage of the country in question. Since pension levels vary greatly worldwide, it’s not possible to say how high they generally are as a percentage of the employees’ wages and salaries. In addition, the Daimler Group also offers retirement benefits that are not dependent on an employee’s remuneration. General statements cannot be made regarding these benefits. In Germany, for example, all permanent employees of Daimler AG have a right to a pension. The figures were taken from the Notes to the Annual Report.
EC4 Core	Significant financial assistance received from government			Financial assistance can be provided not only by the German federal government but also by state, local, and municipal governments, and the form such support takes can vary (e. g. direct subsidies, sale of property at reduced prices, tax breaks, etc.). But a detailed provision of such information is strictly business confidential. See Annual Report, p. 137 f.
EC5 Add	Range of ratios of standard entry level wage compared to local minimum wage at significant locations of operation	Principle 1	Link	–
EC6 Core	Policy, practices, and proportion of spending on locally-based suppliers at significant locations of operation		Link	Reporting on the Group’s purchasing volume represents only one of many possibilities for quantifying procurement performance. In addition, there are several different ways to define and interpret such figures, which results in less clarity and transparency. Daimler therefore no longer reports on its procurement volumes.
EC7 Core	Procedures for local hiring and proportion of senior management hired from the local community at locations of significant operation	Principle 6	Link	As an international company, Daimler harnesses the diversity of its employees, without which it could not be as innovative and creative in its products and markets. The great majority of Daimler’s executives worldwide were developed and promoted from the company’s local management. These executives have gone through local, regional and, in some cases, international stages of development in a wide variety of the company’s competence and decision-making centers and divisions. Temporary regional and international assign- ments are crucial in this regard, as they not only enable the executives to gain the required knowledge and skills but also provide assistance to the business units that are in need of knowledge transfer and direct support. These assignments go hand in hand with the many successful and ongoing efforts to promote local talents and high potentials through direct recruitment and Daimler’s globally uniform trainee program CAReer.
EC8 Core	Development and impact of infrastructure investments and services provided primarily for public benefit through commercial, in-kind or pro bono engagement		Link	–
EC9 Add	Understanding and describing significant indirect economic impacts, including the extent of impacts		Link	–

Environment

		Global Compact	Info	Further information
EN0 DMA		Principle 7, 8, 9	Link	–
EN1 Core	Materials used by weight or volume	Principle 8		Not reported on, as it is not relevant for Daimler. Providing a simple figure of mass makes little sense in the automotive industry, because unlike the basic and raw materials industries, the automotive sector mainly processes complex elements which themselves consist of various types of raw material components.
EN2 Core	Percentage of materials used that are recycled input materials	Principle 8, 9	Link	Mass of approved recycled components
EN3 Core	Direct energy consumption by primary source	Principle 8	Link	–
EN4 Core	Indirect energy consumption by primary source	Principle 8	Link	Only consumption of secondary energy. (Because of the multitude of international locations, there is no itemization of all consumption of primary energy through the external production of heat and electricity. However, the CO calculation 2 takes into account the CO factors that differ in 2 terms of time and region.)
EN5 Add	Energy saved due to conservation and efficiency improvements	Principle 8, 9	Link	–
EN6 Add	Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives	Principle 8, 9	Link	–
EN7 Add	Initiatives to reduce indirect energy consumption and reductions achieved	Principle 8, 9		A Group-wide survey has not been conducted.
EN8 Core	Total water withdrawal by source	Principle 8	Link	–
EN9 Add	Water sources significantly affected by withdrawal of water	Principle 8		Water is not taken from areas with sensitive ecosystems.
EN10 Add	Percentage and total volume of water recycled and reused	Principle 8, 9		The water circulation systems are state-of-the- art and data on them is not recorded throughout the entire Group.
EN11 Core	Localization and size of land owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas	Principle 8		Not reported on, as it is not relevant for Daimler. Internal assessments of environmental risk conducted at Daimler list all the production facilities located in protected or environmentally endangered areas. At the moment, only the production plant in Rastatt, Germany, is located near a nature reserve (as defined by EU Directive 92/43/EEC of May 21, 1992 on the Conserva- tion of Natural Habitats and of Wild Fauna and Flora). Appropriate measures in this regard were decided upon during the planning stage for the production facility. The facility plan also set aside special areas at the location to accommo- date rare and endangered species. The associ- ated measures received a positive review from independent external auditors ten years after the launch of production activities in Rastatt.
EN12 Core	Description of significant impacts of activities, products, and services on biodiversity in protected areas of high biodiversity value outside protected areas	Principle 8		No direct effects on biodiversity.
EN13 Add	Habitats protected or restored	Principle 8		See the note to EN11
EN14 Add	Strategies, current actions, and future plans for managing impacts on biodiversity	Principle 8		See the note to EN11
EN15 Add	Number of IUCN Red List species and national conservation list species with habitats in areas affected by operations, by level of extinction risk	Principle 8		Not reported because it is irrelevant.
EN16 Core	Total direct and indirect green house gas emissions by weight	Principle 8	Link	–
EN17 Core	Other relevant indirect greenhouse gas emissions by weight	Principle 8	Link	Partially reported with regard to logistics.
EN18 Add	Initiatives to reduce greenhouse gas emissions and reductions achieved	Principle 7, 8, 9	Link	–
EN19 Core	Emissions of ozone-depleting substances by weight	Principle 8		In accordance with the Montreal Protocol on Substances That Deplete the Ozone Layer, as well as various national regulations, the use of substances that damage the ozone layer is limited to the amounts needed to maintain the operation of existing production equipment that requires them. The particularly dangerous substances R11 and R12 have been replaced worldwide with less critical materials. No measurements are made of the quantity of ozone-depleting substances used for the operation of existing production equipment at international production locations.
EN20 Core	NO, SO, and other significant air emissions by type and weight	Principle 8	Link	Only solvent emissions are reported on in the brochure; other airborne emissions are reported on in the Internet.
EN21 Core	Total water discharge by quality and destination	Principle 8		Not reported, because very few plants discharge waste water directly into surface waters and these plants have to meet widely varying requirements. (See the environmental state- ments for the plants in Wörth and Gaggenau.)
EN22 Core	Total weight of waste by type and disposal method	Principle 8	Link	Waste management is only differentiated with regard to disposal (dumping or incineration) and recycling.
EN23 Core	Total number and volume of significant spills	Principle 8		No significant incidents over the period under review; minor incidents are not recorded on a worldwide basis.
EN24 Add	Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention Annex I, II, III and VIII, and percentage of transported waste shipped internatio- nally	Principle 8		Waste is not exported as defined by the Basel Convention.
EN25 Add	Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected by the reporting organization’s discharges of water and runoff	Principle 8		The impact on bodies of water is negligible.
EN26 Core	Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation	Principle 7, 8, 9	Link	–
EN27 Core	Percentage of products sold and their packaging materials that are reclaimed by category	Principle 8, 9		No packaging for vehicles is needed.
EN28 Core	Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with environmental laws and regulations	Principle 8	Link	CAFE penalty payment for Daimler.
EN29 Add	Significant environmental impacts of transporting products and other goods and materials used for the organization’s operations, and transporting members of the workforce	Principle 8	Link	No Group-wide survey possible.
EN30 Add	Total environmental protection expenditures and investments by type	Principle 7, 8, 9	Link	The numbers are published on the Internet, although they have not been broken down by category.

Labour Practice and Decent Work

		Global Compact	Info	Further information
LA DMA		Principle 1, 3, 6	Link	–
LA1 Core	Total workforce by employment type, employment contract, and region		Link	–
LA2 Core	Total number and rate of employee turnover by age group, gender, and region	Principle 6	Link	–
LA3 Add	Benefits provided to full-time employees that are not provided to temporary or part-time employees, by major operations			Basically, all benefits provided to full-time employees are also available to part-time staff. One exception here is the provision of company cars. If a manager at Daimler AG in Germany works less than 20 hours of the normal working time (full time) on average, he or she is not eligible for a company car. There are a number of special rules for temporary employees.
LA4 Core	Percentage of employees covered by collective bargaining agreements	Principle 1, 3	Link	More than 90 % of the Group’s employees in Germany are covered by collective bargaining agreements. Some of Daimler’s companies are not subject to collective bargaining agreements.
LA5 Core	Minimum notice period(s) regarding operational changes, including whether it is specified in collective agreements	Principle 3		The Works Council is to be informed by the company of all cases of significant operational changes. Depending on specific legally defined threshold values, the company is to negotiate a bargaining agreement with the Works Council concerning the operational changes and their consequences. All Daimler employees receive timely information (via internal communication media) concerning significant operational changes.
LA6 Add	Percentage of total workforce represented in joint management-worker health and safety committees that help monitor and advice on occupational health and safety programs	Principle 1	Link	The company has work safety committees that meet once every three months: – There is such a committee at every production location (11 in all, excluding those at LLCs) at the level of the plant director – There’s a committee at every retail branch (34 locations) at the level of the branch director The committees’ activities, resolutions, etc. are disseminated by location-specific organizations (e. g. unit work safety committees) and/or specific groups of employees (e. g. managers, safety officers). This approach ensures that all employees are notified. Because the committees contain representatives from management and the labor councils, all of a location’s employee groups are represented on the work safety committee. – Direct participants in the work safety committee: up to 25 % – Percentage of employees who are directly affected by the work safety committee’s activities: between 25 % and 50 % – Percentage who are affected by the committee’s decisions: more than 75 %
LA7 Core	Rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatali- ties by region	Principle 1	Link	Drawing up the report: 2.1 The following presentation of the accident figures for all Daimler AG locations in 2007 was made in accordance with the definitions laid down by the German automotive industry. The figures refer to the (previous) wage-earning staff. 2.2 Incl. minor cases, i. e. injuries without a visit by an accident insurance consultant (per 1 million hours): 145 2.3 Missed days are based on the (planned) number of working days – Missed days are counted from the day after the one on which the accident occurred 2.4 Note: excluding employees and workers from external companies. Figures for all Daimler AG locations in 2007: – Accident log cases (per 1 million hours): 171 – Minor cases (per 1 million hours): 145 – Total number of accident insurance con- sultant cases (per 1 million hours): 26 – Number of accident insurance consultant cases with missed days (per 1 million hours): 15.3 – Number of missed days (per 1 million hours ): 152 – Number of missed days (per 1 million hours ): 152 (The rates of absenteeism and work-related illnes- ses are not included in the work safety report) 2.5 Number of fatal industrial accidents in 2007: 0 (Note: 2 fatal accidents of employees from external companies) 2.6 The accident documentation/information system Cubus-Safety is used at most Daimler AG locations.
LA8 Core	Education, training, counselling, prevention and risk-control programs in place to assist workforce members, their families, or community members regarding serious diseases	Principle 1	Link	The measures against HIV/AIDS (including those outside South Africa) have already been explained in the section Facts/Goals. Additional information on the table regarding the support programs (2.1): South Africa (all categories should be answered with “YES”). The HIV/AIDS workplace program in South Africa encompasses education measures, advice for those diagnosed with infections, preven- tion and risk controls, and treatment. The target group includes employees and their family mem- bers. The program has also been expanded to cover suppliers and dealers. General practitioners, practitioners of traditional medicine, and peer educators in schools have been trained. In addition, support has been provided for social projects. In Germany, other indications, such as diabetes, are countered with awareness-raising measures, preventive examinations, and targeted prevention programs. Other national subsidiaries (e. g. China) also are conducting awareness-raising activities. The company is combating the dangers of stress (plant physician, employee health improvement programs, personal counseling).
LA9 Add	Health and safety topics covered in formal agreements with trade unions	Principle 1	Link	There are formal agreements with the Works Council that govern matters of occupational safety. The following formal general agreements are in place: 1. Framework directive for occupational safety management 2. Occupational health and safety guidelines 3. Occupational safety directive for noise abatement 4. Occupational safety directive for security personnel 5. Occupational safety directive for personal protective equipment 6. General Works Agreement on conducting hazard assessments 7. Works agreement governing working with monitors and computer displays The following local agreements are in place: 8. Local regulations regarding the committees 9. Voluntary General Works Agreement governing employee qualification programs Personal protective equipment (see 5.). Work safety committee (see 8.). Participation in occupational safety inspections, audits, ... (see 6.). Vocational training and development (see 9.). Complaint process (see 2.). The right to refuse unsafe work assignments (see 2.). Regularly scheduled inspections (see 6.).
LA10 Core	Average hours of training per year per employee by employee category		Link	–
LA11 Add	Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings		Link	The company essentially offers a variety of alternatives for qualification. The General Works Agreement “Qualifications”, for example, offers a wide variety of options for personal and career development. According to the terms of this company agreement, employees are entitled to take up to three years’ leave of absence from the company to continue their training or education. Similar opportunities are provided by the company agreement governing part-time employment, which also allows a limited leave of absence (sabbatical) from the company. Daimler AG offered professional outplacement consulting services to improve career prospects outside the Group for managers and employees affected by implementation of the New Management Model (NMM). More than 130 executive managers and about 150 non-exempt employees have taken advantage of this offer to date. Ninety percent of the individual consulting cases for managers were successfully concluded during the 12-month separation process that was contractually agreed on as part of the voluntary severance agreement. The average consulting period for individual cases was seven months. Sixty percent of the management personnel affected have taken jobs in various industrial sectors, and about 40 percent have elected to become self-employed.
LA12 Add	Percentage of employees receiving regular performance and career development reviews		Link	100 percent of managers (worldwide). Approx- imately 50 percent of non-exempt employees. Information regarding non-management foreign employees (worldwide) is obtainable only at a prohibitively high cost. Daimler AG uses the standardized LEAD process for the evaluation and development of its management personnel. All Group managers are covered by this process, which also covers office workers who have the potential to move into entry-level management positions. A goal for 2008 is to ensure that Daimler AG’s external communication measures on the LEAD process are even more transparent than ever before. The ERA remuneration will be in effect for Daimler AG’s non-exempt employ- ees, effective from 2008. The NAVI performance appraisal process is to be implemented for technical and administrative positions (approximately 50 percent of the workforce), with a variability of between zero and 30 percent of the basic scale salary. The annual manage- ment process also deals with qualification and career development. DFS Germany (Daimler Financial Services) uses a comparable performance appraisal for 100 percent of the non-exempt employees in Germany (= 5,000 employees). Until 2010 there will be a fixed remuneration structure in production and production-related areas of Daimler AG, and the NAVI performance appraisal process will not be in use until that time. Employee qualification measures will be planned and implemented within the framework of the production system.
LA13 Core	Composition of governance bodies and breakdown of employees per category according to gender, age group, minority group membership, and other indicators of diversity	Principle 1, 6	Link	Disclosure of the composition of the Board of Management and the Supervisory Board according to gender, age group, and minority group membership can be found on the Internet at www.daimler.com/corpgov_e, in the Annual Report (pp. 8–9, 124–125) and in Form 20F (p. 2).
LA14 Core	Ratio of basic salary of men to women by employee category	Principle 1, 6	Link	According to internal experts, the indicator LA 14 is not an appropriate factor. It would be preferable to begin with the fundamental question of whether all employees in a specific employee category are subject to the same remuneration system.

Human Rights

		Global Compact	Info	Further information
HR DMA		Principle 1, 2, 3, 4, 5, 6	Link	Information on the management approach is integrated into individual subchapters (e. g. see p. 43 ff., p. 80 ff.).
HR1 Core	Percentage and total number of significant investment agreements that include human rights clauses or that have undergone human rights screenings	Principle 1, 2, 3, 4, 5, 6	Link	For a globally operating company like Daimler, the registration of such an index would only be possible with unreasonable effort. Generally we consider human rights issues in all our business engagements and relations. For a further improvement concerning human rights related issues in our company we recently established a task force. It must be pointed out that Daimler has coordinated the principles of social respon- sibility with the World Employee Committee. These principles include the requirement placed on suppliers and business partners to implement corresponding principles in their turn.
HR2 Core	Percentage of significant suppliers and contractors that have undergone screening on human rights and action taken	Principle 1, 2, 3, 4, 5, 6		Active communication with our suppliers is carried out via the Daimler Supplier Portal, mailings, and the Global Supplier Magazine. All suppliers also receive the Daimler Integrity Code and pledge to abide by it. There is no active monitoring of such compliance.
HR3 Add	Total hours of employee training on policies and procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained	Principle 1, 2, 3, 4, 5, 6	Link	Quantifiable data is not available here, as the expense and effort required to collect it cannot be justified. Daimler’s Principles of Social Responsibility are reflected in detail in internal guidelines such as the Daimler Integrity Code, which is provided to each new employee when he or she begins work. Executive management receives particularly extensive training in this area.
HR4 Core	Total number of incidents of discrimination and actions taken	Principle 1, 2, 6		On the basis of Daimler’s Principles of Social Responsibility and the Daimler Integrity Code, an initiative has been launched which is called “Fairer Umgang am Arbeitsplatz” (brochure available only in German). The BPO (Business Practices Office), which is responsible for receipt and documentation of complaints and information concerning suspected violations against legal regulations and internal rules, received very few complaints in 2007. If incidents occur the BPO provides professional advice on the appropriate treatment of conflicts of interest and other relevant BPO issues, and reports the results and measures undertaken by the Business Practices Committee to the Audit Committee and, if applicable, to the Chairman of the Board. The social counceling reported an infinitesimal amount of incidents. Concrete numbers are at hand but they are business confidential. For the implementation and reviews of compliance, please refer to the section on Compliance (p. 114 f.).
HR5 Core	Operations identified in which the right to exercise freedom of association and collective bargaining may be at significant risk, and actions taken to support these rights	Principle 1, 2, 3		Daimler recognizes the human right of workers to organize along the lines of national legal regulations. The right to freedom of association is assured even in countries where freedom of association is not protected. This policy is based on our principles of social responsibility. In the case of violations of this principle, the business partner in question is reminded that Daimler expects it to respect Daimler’s principles of social responsibility and to put the correspond- ing principles in place in its own organization. All reported cases refer to suppliers. For this reason we cannot give further information. In addition, these cases are regularly reported to the World Employee Committee (WEC) (cf. HR 1) and could be solved in the sense of the WEC.
HR6 Core	Operations identified as having significant risk for incidents of child labor, and measures taken to contribute to the elimination of child labor	Principle 1, 2, 5		As no cases of child labour occured we have no operations identified.
HR7 Core	Operations identified as having significant risk for incidents of forced or compulsory labor, and measures to contribute to the elimination of forced to compulsory labor	Principle 1, 2, 4		As no cases of forced compulsory labour occured we have no operations identified.
HR8 Add	Percentage of security personnel trained in the organization’s policies or procedures concerning aspects of human rights that are relevant to operations	Principle 1, 2	Link	No quantifiable data is available, since the compilation of it would require unjustifiable expenses.
HR9 Add	Total number of incidents of violations involving rights of indigenous people and actions taken	Principle 1, 2		not reported

Society

		Global Compact	Info	Further information
DMO Society		Principle 10	Link	–
SO1 Core	Nature, scope, and effectiveness of any programs and practices that assess and manage the impact of operations on communities, including entering, operating, and exiting		Link	–
SO2 Core	Percentage and total number of business units analysed for risk related to corruption	Principle 10	Link	In the process of setting up our compliance organization, we first identified the risks of corruption within the Daimler Group. We then classified and prioritized the resulting tasks in line with the scale of the risks. This was carried out according to countries and business units. In the months that followed, the resulting compliance measures plan, which was agreed upon with the supervisory committees, was systematically implemented. Since the beginning of 2006, for example, we have conduced “compliance reviews” in more than 30 sales companies and business units in over 25 countries. In 47 sales companies and/or business units (including 20 units in 2007) we established standardized control systems that help to ensure behavior that is in keeping with the highest legal and ethical standards. Following the successful introduction of new processes and control systems, the affected business units are once again subjected to our internal auditing measures. The relevant risk parameters are regularly determined by means of central databases, so that the compliance status that has been achieved is also sustained. Compliance due diligence measures are used to check the integrity of new sales partners. The relevant information is collected, processed, and analyzed by means of questionnaires and in-depth background research. When this preliminary investigation is concluded, a clear recommendation is issued by Corporate Compliance Operations and the Legal department. In addition, all general distributors, dealers, and agents have anti-corruption clauses in their contracts.
SO3 Core	Percentage of employees trained in the organization’s anti-corruption policies and procedures	Principle 10	Link	In the last two years, Daimler AG has conducted in-depth classroom courses for approximately 9,000 employees, approximately half of whom were managers. In addition to a precisely defined e-learning program, which more than 3,000 employees have completed, an animated compliance communication tool available on the intranet uses clear examples to convey the principles and aims of an effective compliance program. Over 26,000 employees have already used this intranet tool, and at the beginning of 2008 it was made available in six additional languages, giving the training program an even wider range. As of December 31, 2007, about 14 percent of the Groupcs 272,000 employees had received the training. Compliance-related content is also an integral element of the Group’s management training programs, information events, and specialized qualification programs.
SO4 Core	Actions taken in response to incidents of corruption	Principle 10	Link	To provide even greater assurance that legal regulations and voluntarily applied principles are complied with, at the start of 2006 we began to develop a worldwide compliance organization, which today employs over 50 people. In addition, more than 40 local compliance managers have been appointed and trained. The extensive array of measures includes courses and training programs, a program of active communication and information for the benefit of employees and management, a comprehensive expansion of services and consulting, the creation of hotlines, the establishment of a worldwide network of compliance managers, a process of supple- menting guidelines and standards and making them even more precise, and the appointment of a high-ranking external consultant for the Supervisory Board, the Board of Management, and the Audit Committee. The employment of several managers and employees has been terminated as a result of routine internal investigations.
SO5 Core	Public policy positions and participation in public policy development and lobbying	Prinicple 1-10	Link	–
SO6 Add	Total value of financial and in-kind contributions to political parties, politicians and related institutions by country	Principle 10	Link	–
SO7 Add	Total number of legal actions for anti-competitive behavior, anti-trust, and monopoly practices and their outcomes			see Annual Report
SO8 Core	Monetary value of significant fines and total number of non-monetary sanctions for non-compliance with laws and regulations			Fundamental legal disputes and proceedings as well as the connected risks are reported in the Annual Report

Product Responsibility

		Global Compact	Info	Further information
DMA Product Responsi- bility		Principle 1 and 8	Link	Due to the complexity of multiple brands within the Group, information on the management approach is integrated into different subchapters of this section (see, among others, the sections on vehicle safety, customer relationship management and goals).
PR1 Core	Life cycle stages in which health and safety impacts of products and services are assessed for improvement, and percentage of significant products and services categories subject to such procedures	Principle1	Link	–
PR2 Add	Total number of incidents of non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services during their life cycle, by type of outcomes	Principle 1		Daimler makes extensive information available on all its products. This is carried out in accordance with clearly laid out principles within the individual business units. Representatives of automakers and suppliers worldwide have compiled a shared handbook on the EU regulation REACH (Registration, Evaluation, and Authoriza- tion of Chemicals). Daimler is currently in contact with suppliers in order to ensure that this regulation is being implemented within the Group and in the supplier chain actively and in line with legal requirements. Starting in mid-2008 the suppliers are required to previously register with the European Chemicals Agency in Helsinki all of their pure substances which will be put on the market in the EU.
PR3 Core	Type of product and service information required by procedures, and percentage of significant products and services subject to such information require- ments	Principle 8		As a manufacturer of motor vehicles, Daimler AG is obligated to provide the users of its products with appropriate information regarding the proper utilization of such products and the risks associated with their use. The company must also warn users of the potential dangers associated with its products, particularly in relation to incorrect utilization — to the extent that such improper use can be foreseen. Safe, responsible, and secure operation of Daimler AG products is ensured by the provision of an operating manual that conforms to the level of knowledge possessed by the user. This owner’s manual is supplemented by additional information on how restraint and driver assistance systems function, as well as by technical information available on the Internet. One particular challenge here involves explaining how to operate ever-more complex functions and systems in a clear manner and working to ensure that the associated customer literature doesn’t become too difficult to understand. Effectively addressing this challenge ensures that customer acceptance of products will remain high. One approach used here is to reduce the amount of labeling on vehicle components — especially in the interior — to the minimum allowed by law.
PR4 Add	Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes	Principle 8		A publication approval process that includes specialist and legal assessments of customer literature ensures that requirements with regard to product liability are met in such publications, in particular in vehicle operating and maintenance manuals.
PR5 Add	Practices related to customer satisfaction including results of surveys measuring customer satisfaction		Link	see PR2
PR6 Core	Programs for adherence to laws, standards, and voluntary codes related to marketing communica- tions, including advertising, promotion, and sponsorship		Link	–
PR7 Add	Total number of incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship			Sustained communication activities are indispensable for our premium brand, Mercedes-Benz. Important milestones in the overall communication development process have taken the form of various measures that ensure standardization of communication with both internal and external customers. More specifically, this involves adherence to a code of ethics when discussing assignments and the implementation of various approval processes in cooperation with the Legal Affairs department and other internal experts. We also ensure the appropriateness of our advertising measures by conducting an extensive series of tests. All employees involved in sponsorship activities and events are required to coordinate with the Compliance Hotline in advance. In addition, each project manager must participate in a special compliance training program.
PR8 Add	Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data	Principle 1		With its data protection guideline, “Data Protection and Privacy — The Daimler Code of Conduct”, the Group has created a standardized level of data protection for the entire organiza- tion. This guideline, which applies to all personal data relating to employees, customers and suppliers, complies with the provisions of the European Data Protection Directive and other national regulations. The code defines the conditions under which data may be compiled, processed and used, as well as the regulations that are to be observed when conducting such activities. Under the direction of the Chief Corporate Data Protection Officer, a worldwide network of local data protection coordinators ensures compliance with the regulations. Customers’ increasing sensitivity with regard to this issue is reflected in a growing (but still low) number of inquiries and complaints. All complaints are investigated immediately, but only a few individual cases of actual violation of privacy have been discovered. All information gained from such activities is used to optimize data protection processes.
PR9 Core	Monetary value of significant fines for non- compliance with laws and regulations concerning the provision and use of products and services			Fundamental fines and non-monetary sanctions are disclosed in the Annual Report, if they occur in a significant amount. (See Annual Report 2007)

Automotive Supplement

		Info	Further information
A4	Numbers of vehicles sold, broken down by type, fuels, power train technologies, and region. Explain definition used for different vehicle types.	Link	–
A5	Breakdown by region/country of the compliance of vehicles sold with the respective existing and next defined emissions standards.	Link	Proportion of the Mercedes-Benz and smart diesel passenger cars sold in Europe in 2007 that satisfy currently valid and future emissions standards
A6	Average fuel economy by type of vehicle* broken down by region, as applicable. Explain definition used for different vehicle types (apply same definitions as used in indicator P1).* For manufacturers of commercial vehicles “type of vehicle” refers to vehicle segment.	Link	Fleet fuel consumption in Germany 1990–2007, Daimler CAFE value for passenger cars and light trucks and vans 1996–2007 in the United States
A7	Average carbon dioxide emissions by type of vehicle* broken down by region, as applicable. Explain definition used for different vehicle types (apply same definitions as used in indicator P1).* For manufacturers of commercial vehicles “type of vehicle” refers to vehicle segment.	Link	Average development of CO₂ emissions in Daimler’s European fleet 1995–2007
A8	Breakdown by region/country of compliance of vehicles sold with the respective existing and next defined noise standard	Link	All legal requirements and standards are complied with.
A10	Weight of vehicle and percentage breakdown of generic, recyclate, and renewable material of a best selling vehicle		–