BASF Report 2021 Management’s Report – We Value People and Treat Them with Respect 100 Competition for talent To combat the shortage of skilled workers in production and techni- As of December 31, 2021, the BASF Group was training 3,028 peo- cal areas, due among other factors to demographic-related declines ple in 12 countries and around 50 occupations. We spent a total of Attracting and retaining the best employees is crucial to our in Ludwigshafen, Germany, we have strengthened our social media around €119 million on vocational training in 2021. success. Having an attractive and compelling total offer package presence, for example, to alert qualified specialists to new career For more information on careers at BASF, see basf.com/careers for employees is becoming increasingly important given the strong prospects at BASF. In addition, we cooperate with local radio global competition for the best qualified employees and leaders. This stations and the German employment agency to target skilled is why we are constantly working on measures to increase BASF’s workers at informational events. Learning and development attractiveness in the global labor markets. We once again achieved high scores in a number of employer rank- Learning and development are essential success factors for a We are increasingly using digital platforms such as our country- ings in 2021. For example, in a study conducted by Universum, strong company culture. The skills and competencies of our specific career websites as well as global and regional social net- young scientists ranked BASF as the second most attractive employees are critical for profitable growth and lasting success. For works to reach potential candidates. This enables us to appro- employer in Germany (2020: fifth). In North America, DiversityInc this reason, we want to further modernize our learning culture and priately address different target groups. named BASF as one of the top 50 companies for diversity in recruit- step up our efforts to promote continuous, self-directed learning ing for the ninth consecutive year. In Asia, Top Employer recognized and learning from others. Employee development at BASF is guided In light of the coronavirus pandemic, we primarily used digital solu- BASF China as one of the best employers for the twelfth time in by the belief that talent is in everyone. This means that development tions for our talent search activities in 2021 and participated in a succession. In South America, LinkedIn ranked BASF second in its opportunities and support are open to all employees. few in-person events. To also provide the best possible information list of top companies in Brazil. on BASF as an employer virtually, we are continuously developing In our understanding, there is more to development than a promo- our digital presence. For example, we are represented at digital trade The BASF Group hired 10,293 new employees in 2021. The tion or a job change – it encompasses the development of personal fairs and conferences, conduct digital excursions for students from percentage of employees who resigned during their first three experience and abilities. In regular development meetings, which are various universities of sites in Germany, and organize expert lectures years of employment – the early turnover rate – was 1.5% worldwide held as part of our annual employee dialogs, employees outline for future talent. This virtual contact enables a demand-oriented, in 2021. This turnover rate was 0.6% in Europe, 2.4% in North ideas for their individual development together with their leaders and flexible and location-independent approach. As a result, we were America, 3.4% in Asia Pacific and 2.5% in South America, Africa, determine specific measures for further training and development, able to continue to attract and recruit talented employees. Middle East. Our early turnover rate is therefore at a desirable low which focus on personal and professional competencies. Our learn- level. ing activities follow the “70-20-10” philosophy: We apply the In addition, we consistently take part in specific career events to elements “learning from experience” (70%), “learning from others” directly reach and attract talent from various disciplines, especially BASF Group new hires in 2021 (20%) and “learning through courses and media” (10%). Our learn- female candidates. We focus in particular on our female employees 2021 Of which women (%) ing and development offerings cover a range of learning goals: as role models with various initiatives such as podcasts, career fairs Europe 4,045 30.4 Starting a career, expanding knowledge, personal growth and and networking events aimed specifically at women, or on our social North America 2,551 29.3 leadership development. media channels. Asia Pacific 2,797 31.0 Digital learning formats play an important role in our development In 2021, we established a digital onboarding process at some sites South America, Africa, Middle East 900 48.4 offerings. Even before the coronavirus pandemic, training for leaders for new employees and their managers in the period up to the first Total 10,293 31.9 and employees was updated to meet the challenges of the digital day of work and beyond. The aim is to ensure a successful first day transformation and modern working life with appropriate learning at work and to build an early bond between the new colleagues and formats and content. For example, platforms such as the Digital their future team at BASF, for example by sending video messages Campus, Digitalization & Me and the Ways of Working portal were and information about the division and team. We want to continue enhanced and refined to support employees in all aspects of virtual to drive forward global implementation in 2022. collaboration and in building their digital skills. The continuous