Material topic Valuing our human capital

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GRI 2-7 Employees

In 2023, 80% of our workforce were men and 20% were women. In 2021, the ratio was 81% men to 19% women. In 2022, 80% men to 80%. For details on the percentage of women in middle and senior management roles at Bracell, refer to disclosure GRI 405.

Total workforce by region and gender

  2021 2022 2023
Men Women Total Men Women Total Men Women Total
Bahia 1,235 356 1,591 1,342 436 1,778 1,434 470 1,904
São Paulo 2,592 523 3,115 3,412 715 4,127 4,501 986 5,487
Total by gender 3,827 879 4,706 4,754 1,151 5,905 5,935 1,456 7,391

Note: the total workforce in 2022 differs from the figure reported in the 2022 Sustainability Report as it excludes employees in our operations in Mato Grosso do Sul (a total of 392 employees; 310 men and 82 women). In 2023, our operations in Mato Grosso do Sul were merged into MS Florestal, an RGE group company, and therefore ceased to be part of Bracell’s operations.

Workforce by gender, location, employment type and contract type

  2021 2022 2023
CONTRACT TYPE Men Women Total Men Women Total Men Women Total
Number of permanent employees 2,627 805 3,432 4,785 1153 5,938 5,897 1421 7,318
Number of temporary employees 39 22 61 122 80 202 38 35 73
Non-guaranteed hours employees¹ 169 35 204 1,769 146 1,915 4,683 1033 5,716
Full-time employees 3,670 862 4,532 4,653 1133 5,786 5,735 1387 7,122
Part-time employees ² 0 0 0 72 58 130 17 23 40
Note: Permanent employees are non-temporary employees whose employment contracts are governed by the Brazilian Consolidated Labor Regulations, working either full time, part time or with non-guaranteed hours.
¹ Employees in specialist, coordinator, middle management and senior management positions;
² Young apprentices.

 

 

GRI 2-19 Remuneration policies

Bracell’s total compensation package comprises multiple remuneration components, including financial rewards based on employees’ roles, contributions, and achievements within the organization. In formulating total compensation, several factors are taken into consideration:

  • Applicable labor laws and regulations and collective bargaining agreements;
  • Job grading and the relative importance of each role within the organizational structure;
  • Benchmarked compensation practices;
  • Internal pay equity and external competitiveness, ensuring parity among roles of similar levels and importance;
  • Skill sets and competencies required for each position;
  • Organizational strategies;
  • Budgetary constraints and the overall financial health of the company;
  • The Company’s organizational structure;
  • Overall organizational performance;
  • Individual employee performance.

The salary structure is updated annually based on market benchmarks, including variables such as competitor compensation, regional economic factors, labor market conditions, unemployment rates, and turnover.

GRI 2-20 Process for determining remuneration

Bracell does not have an independent compensation committee responsible for overseeing the process for determining remuneration. Employee compensation comprises a base salary commensurate with their respective roles, supplemented by various benefits. Each year, the terms of collective bargaining agreements are incorporated into compensation packages following negotiations with unions representing employee categories within the workforce.

Salary structures are formulated based on legal requirements, market analysis, and biannual internal performance evaluations.

For employees in leadership positions (specialist and above), performance evaluations are conducted by a committee comprising Bracell leaders from relevant departments (learn more in disclosure GRI 2-19).

Bracell’s compensation and performance evaluation policies align with those of RGE.

GRI 2-21 Annual total compensation ratio

For strategic reasons, Bracell does not disclose information about the remuneration of senior executives.

GRI 2-30 Collective bargaining agreements

In our Bahia operations, all employees up to manager level are covered by collective bargaining agreements. Positions above manager level are not covered.

In our São Paulo operations, all employees up to coordinator level are covered by collective bargaining agreements. Positions above coordinator level are not covered.

Performance-based payments are governed by a profit-sharing agreement that is formulated annually between Bracell, an employee-elected committee, and the relevant union.

Performance-based payments made to employees and specialist, coordinator, manager and senior manager positions are governed by individual performance contracts and a corporate bonus program.

GRI 3-3 Approach to managing the material topic valuing our human capital

Valuing our human capital is a material topic for Bracell encompassing initiatives and programs to develop and recognize our human capital (employees).

In 2023, Bracell announced its set of long-term sustainability targets and commitments titled “Bracell 2030”, which includes specific Empowering Lives targets:

Promoting equal opportunities for women

Fostering an inclusive work environment for diversity groups

Additionally, Bracell’s strategic priorities include attracting and retaining talent, through initiatives such as Trainee, Internship, and Young Apprentice programs. We also invest in the development and training of our employees and in leadership development (learn more in disclosure GRI 404-2).

Core values

Bracell operates in accordance with a set of core values established by RGE. It is our Group’s belief that in order to fulfill our mission and achieve our vision for the future, we must adhere to a set of core values known as T.O.P.I.C.C.

T
We are aligned by our common purpose and work together as a complementary Team.

O
We take Ownership to achieve outstanding results and seek value at all times.

P
We develop our People to grow with us.

I
We act with Integrity at all times.

C
We understand our Customers and deliver best value to them.

C
We act with zero complacency and always strive for Continuous improvement.

GRI 404-1 Average hours of training per year per employee

Throughout the year, 1,904 employees working in Bahia operations were trained, totaling 72,635.04 hours of training and an average of 38.15 hours of training per trained employee. In São Paulo operations, 5,782 employees were trained, totaling 36,4603 hours of training, with an average number of hours of 63.1 per employee trained.

Training data considers technical and operational training only, which are mandatory due to legislation and Regulatory Standards obligations. Bracell operational team are mainly composed of men. In 2023, there were a total of 1,904 employees in Bahia (1,434 men and 470 women) and 5,782 in São Paulo (4,718 men and 1,064 women). For this reason, training hours for men account for the majority of training carried out (read more in GRI Content 405-1).

BAHIA

Average hours of employee training during the reporting period, by gender
GENDER Total workforce Hours of training Average hours of training (h)
2021 2022 2023 2021 2022 2023 2021 2022 2023
Men 1,239 1,343 1,434 92,233.00 85,221.18 62,016.72 74.44 63.46 43.25
Women 357 436 470 11,218.00 10,538.12 10,618.32 31.42 24.17 22.59
Total 1,596 1,779 1,904 103,451.00 95,759.30 72,635.04 64.81 53.83 38.15

Note: training data considers technical and operational training only, which are mandatory due to legislation and Regulatory Standards obligations. Bracell operational team are mainly composed of men. In 2023, there were a total of 1,904 employees in Bahia (1,434 men and 470 women). For this reason, training hours for men account for the majority of training carried out (read more in GRI Content 405-1).

 

SÃO PAULO

Average hours of employee training during the reporting period, by gender
GENDER Total workforce Hours of training Average hours of training (h)
2021 2022 2023 2021 2022 2023 2021 2022 2023
Men 2600 3617 4,718 554,448.00 119,051.00 314,123.00 213.24 32.91 66.60
Women 530 818 1,064 26,803.00 13,040.00 50,479.00 50.57 15.94 47.40
Total 3,130 4,435 5,782 581,251.00 132,092.00 364,603.00 185.70 29.78 63.10

Note: training data considers technical and operational training only, which are mandatory due to legislation and Regulatory Standards obligations. Bracell operational teams are mainly composed of men. In 2023, there were a total of 5,782 in São Paulo (4,718 men and 1,064 women). For this reason, training hours for men account for the majority of training carried out (read more in GRI Content 405-1).

GRI 404-2 Programs for upgrading employee skills and transition assistance programs

Bracell offers employees a corporate education program that goes beyond the training requirements mandated by Brazilian legislation. This includes both in-person and online training, with professional development initiatives tailored to the challenges and goals of each department within the company.

Department managers are responsible for recommending, requesting, and encouraging Bracell employees to participate in training, in line with our Training Policy. We have developed dedicated career pathways for forestry, mill, pulp logistics, and supply chain operations.

Our training programs

To support employee development, we have implemented comprehensive and diversified initiatives within the following programs:

  • Leadership training initiatives:
    • Situational Leadership Training;
    • Leadership Development Program: focused on technical and functional capabilities, with selection criteria based on performance, leadership ability, and alignment with our organizational culture;
    • Leadership Journey Program: designed to build awareness, inspire and engage people around our T.O.P.I.C.C. core values;
    • Leadership Training Program: to develop a systematic understanding of Bracell’s different divisions;
    • Mill Manager Development: with a focus on potential successors in operations positions;
  • Acelera: operational training on pulp production.
  • Continuous Improvement Program: a program to foster a culture of process improvement among employees in our operations.
  • Core Values program: for activation of our organizational culture.
  • HR Academy: a training program for Human Resources department employees.
  • Trainee Program: comprising mentorship, projects, and coaching from specialized consultants.

Throughout the year, we ran a series of training initiatives and programs tailored to Bracell’s development needs, in line with the rapid growth and structure of the business. Some of the key initiatives in the year included:

  • Passport Program—a comprehensive learning track for operations employees in the mill, forestry, and logistics divisions. The program is designed to ensure that all employees are well prepared for their operational roles using a systematic approach, including onboarding, regulatory safety standards, and role-specific technical content.
  • Diversity and Inclusion: training delivered to the HR team and also for affinity groups focused on gender equity and people with disabilities.
  • Leaders in Action: aimed at developing soft skills for operational teams and employees, involving participation from operational supervisors.
  • Manager Training Program (MTP): implemented across all RGE group At Bracell, the program is managed by BLI (Bracell Learning Institute), with lecturers from different departments. The program covers topics such as Finance, Supply Chain, Lean Methodology, Procurement and HR.

Graduate and MBA programs

In partnership with universities and trade associations, in 2023 Bracell introduced opportunities for company employees to enroll in graduate and MBA programs in areas such as: Pulp Technology (offered by the Brazilian Pulp Association), Forestry Management (offered by the Federal University of Paraná), and Forest Fire Prevention and Response (offered by Faculdade Unyleya).

Bracell Learning Institute

Bracell has a knowledge and training hub hosted at the Lençóis Paulista site in São Paulo. The Bracell Learning Institute (BLI) provides courses and training sessions addressing business and operational needs, including technical and operational subjects such as workplace safety, Bracell’s values, company policies and guidelines, leadership development, as well as community training initiatives for prospective operations employees.

For further information, see the BLI newsletter available at MBA – Bracell Learning Moment.

Management of career endings

Bracell has implemented a retirement preparation program aimed at facilitating the transition for employees approaching retirement age, guiding them through the process of transitioning into post-career life. This program also supports knowledge transfer to successors in various roles within the organization.

Workshops and sessions cover a range of topics including knowledge management, physical and mental well-being, financial planning, future career options, entrepreneurship, and guidance on health insurance and private pension plans.

GRI 404-3 Percentage of employees receiving regular performance and career development reviews

Bracell uses an individual performance review process to inform employee development efforts and investments and identify opportunities to improve performance. Employees are also evaluated based on our T.O.P.I.C.C. core values (complementary Team, Ownership, People, Integrity, Customers and Continuous improvement).

Bracell employees undergo a Performance Review Cycle in which they are assessed across two dimensions: behavior and results. Performance reviews consider each employee’s individual potential and performance in the year and provide input into their development plan for the next year, with practical advice addressing career development and business needs.

In addition, through our People Management and Recognition Program, which includes our Profit-Sharing Program, we support, encourage and manage the professional development of our workforce.

Employees assessed

2021 2022 2023
Men Women Men Women Men Women
Bahia 77% 23% 77% 23% 76% 24%
São Paulo 82% 18% 82% 18% 81% 19%
Total by gender 80% 20% 81% 19% 80% 20%

Note: In 2023, the Performance Review process included active employees hired as of September 30, as well as terminated employees who had worked for more than 90 days. The percentage of employees who receive regular reviews out of the total workforce was 98% for men and 100% for women.