BT Group
 
 
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Years ended 31 March 2001
'000
2000
'000
1999
'000
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Number of employees
in the group:
     
UK 117.9 126.0 118.9
Non-UK 19.1 10.8 5.8
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Total employees 137.0 136.8 124.7
At 31 March 2001, BT employed around 137,000 people throughout the world, with 117,900 in the UK, making us one of the UK’s largest employers. Additionally, we employed, on average, around 13,000 temporary people during the 2001 financial year. A total of 7,500 people joined the group from Telfort and Viag Interkom. These additions were offset by people leaving the company through voluntary means, including redundancy, moving to Concert, and joining e-peopleserve, our human resources (HR) joint venture, and other outsourced activities.
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As part of the continuing programme of reshaping the group, during the 2001 financial year, we ran a voluntary redundancy programme under which some 3,500 managers and professionals left the company. In February 2001, we launched NewStart, a new approach to managing our people resource, based around retraining and reskilling, rather than company-wide voluntary redundancy programmes.

In a move designed to bring significant value to BT, we have formed a joint venture with Accenture (formerly Andersen Consulting) to deliver outsourced human resources services to large organisations. The venture, e-peopleserve, came into being on 1 August 2000 and offers end-to-end, e-enabled, integrated global HR solutions to large companies.

Following the setting up of the venture, e-peopleserve has a five-year contract to deliver transactional HR services to BT. This is one of the largest HR outsourcing contracts agreed to date anywhere in the world. e-peopleserve is a natural product extension for both BT and Accenture and should enable BT to create value from an existing cost base. Enshrined in the agreement is a commitment by e-peopleserve to reduce transactional HR costs to BT year on year. There is also an incentive programme linked to their overall service performance, which places a heavy emphasis on the customer experience. The joint venture should deliver to BT new services of a high quality, as well as customer-friendly e-solutions to existing services, at reduced cost.

Our people are critical to our success and we believe that a reputation as a good employer helps us win and retain customers. As part of this responsibility, we take the wellbeing of our people seriously. The 2001 financial year saw the launch of an innovative `top down’ health and safety strategy, which maintains our commitment to set and achieve high standards in this area.

To help our people balance work and home responsibilities, we have a range of flexible working arrangements, including alternative attendance patterns, homeworking, part-time working and job sharing.

During the year, BT further developed its eBT portfolio. We have an award-winning e-HR programme, which provides BT people with an online, self-service approach to a broad range of HR products and services.

We encourage our people to acquire shares in their company to enable them to share in its success. The BT Employee Share Ownership Scheme is operated annually and a percentage of the pre-tax profits is set aside to purchase shares for employees, which are held in trust for three years. £32 million has been set aside this year for the allocation of shares to employees under the Scheme. Participants in the Scheme will be able to benefit from the rights issue announced on 10 May 2001. Employees also have the opportunity, from time to time, to buy shares at a discount under the popular BT Employee Sharesave Scheme, a savings-related share option scheme. Share options are normally exercisable on completion of a three or five-year save-as-you-earn contract. There is a similar savings-related scheme for employees based outside the UK, and an employee stock purchase plan for employees in the USA. Appropriate adjustments will be made to the allocation of shares under these plans to take account of the rights issue.

The BT New Ideas scheme, under which BT people are encouraged to put forward suggestions for improvements in the company’s activities, generated more than 8,000 suggestions in the year, contributing to savings of around £85 million.

We run CARE, an annual employee attitude survey, and encourage managers and their teams to put in place action plans to address the issues that it highlights.

Most BT employees are members of the BT Pension Scheme, which is controlled by trustees who are company or union nominees. On 1 April 2001, we introduced a defined contribution scheme for new employees after closing the BT Pension Scheme to new entrants. The defined contribution scheme has been established under a separate trust from the existing BT Pension Scheme, but also has company and union-nominated trustees.

An estimated 75% of the company’s UK employees belong to one of two main trade unions recognised by the company. We have a good record of industrial relations and continue to have constructive relations with both unions, built on partnership and mutual respect.

BT is an equal opportunities employer and is committed to developing a working culture that enables all employees to make their own distinctive contribution. BT seeks to realise the potential of disabled people to contribute to our business performance. During the year, BT supported the launch of AbilityNet’s London Centre. AbilityNet is a charity that brings the benefits of computer technology to adults and children with disabilities, both in BT and in the communities in which it operates. New BT people should benefit from pre-recruitment assessments designed to ensure that they have the most productive and comfortable equipment available as soon as they join the company. Existing BT people should also benefit from easier access to expert assessment and advice, and earlier provision of appropriate reasonable adjustments to their working environment.

BT prides itself on being a learning organisation. We spend around £200 million a year on the training and development of our people. They have access to a comprehensive portfolio of development and training options, including technical and commercial training, personal skills and management development. Increasingly, we are using the internet to deliver training and development programmes. The BT Academy is a web-based corporate learning portal that delivers world-class e-learning to BT people via the company’s intranet.

During the year, BT became the largest company to achieve re-accreditation as a Corporate Investor in People; a further demonstration of BT’s commitment to the development and growth of all our people.
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