Working
responsibly

We value our talent

GRI 202, 401, 402, 405: 103-1, 103-2, 103-3
102-7, 102-8, 102-17, 102-22, 102-35, 102-36, 102-41, 202-1, 401-1, 401-2, 401-3, 402-1, 405-1, 405-2

We continuously assess our compensation plans in order to remain competitive

Given that much of our success depends on our associates’ commitment, talent and integrity, we invest in programs and tools that favor a safe, healthy and equitable working environment, and promote their professional development.

In every region we pay wages above the official minimum set by the National Minimum Wage Commission for the corresponding region and classification. The range of wages and salaries depends on the type of position and each person’s qualifications. In no cases are they determined based on gender, age, ethnic origin or social condition.

Pochteca’s compensation strategy is designed to offer our personnel remunerations based on individual competition, and we make sure that gender is never a factor in wage and salary decisions.

Average monthly salary by gender and region

Region Women Men
Bajio 14,633 16,319
Central 17,244 21,982
Central-south 13,390 13,480
Northeast 17,941 15,954
Northwest 14,132 16,680
West 14,426 18,008
Southeast 13,436 12,188
Total 15,029 16,373

1,412 employees throughout the Americas*

4% of woman associates took maternity leave in 2017, 93% were reinstated

Based on our compensation review we narrowed the pay gap between management, administrative and sales positions. Our Code of Ethics backs our firm dedication to promoting equal opportunities, and any breach of that commitment is dealt with through the various channels we provide our associates.

As an inclusive company, we support diversity and conduct our hiring without regard for gender, age, religious beliefs or sexual preferences. During 2017 the percentage of women in our workforce was 4% greater than in 2016, and two more women joined our Indicators Committee, the highest executive level at Pochteca. Moreover, 78% of the people we hire are from local communities.

We make sure all our associates can take maternity and paternity leave in compliance with both local regulations and Mexico’s Federal Labor Law. We also provide facilities for them to extend such leaves through a combination of flextime and time spent working from home as they resume their duties. To that end, we have made substantial investments in infrastructure and equipment while assuring associates have job-related connectivity at all times. The breakdown in equipment availability is as follows:

80%
portable
computers
60%
smart
phones

*Data corresponds to the total number of employees in Mexico, Central America and Brazil.

Furthermore, we have upgraded voice and data connections.

  • VOIP telephone service with call forwarding between the associates’ office extension and portable computer.
  • Being able to securely access their information from anywhere by means of a VPN.
  • Cloud-based information access and making it possible to access our internal company network “pochtecaNET”, for example.


Our decision to begin using the Join Me video conferencing tool has improved communication with branch offices and helped reduce the number of trips for business meetings as we can now conduct distance meetings and training sessions.

These conditions make it easier to extend maternity/paternity leave to our personnel and facilitate their return to work.

All of our associates receive a life insurance policy and are enrolled in social security.

total women 2017

353
women

14 work absence for maternity 4%


13 reinstated 93%

Given the importance of keeping our associates apprised of any significant change that could affect them directly and substantially, workers and their representatives are routinely provided four weeks’ notice before such actions are taken.

Our collective bargaining contract specifies negotiations take place in December of each year.

1,102 associates hired
Asesoría en Servicios Pochteca 370 Servicios Administrativos Argostal 209
Demser 149 Transportadora de Líquidos y Derivados 82
Pochteca Serv. Administrativos 218 Conjunto LAR 57
Pochteca Serv. Corporativos 17
Number of associates by employment contract
Permanent contract
Empresa Femenino Masculino Total
Asesoría en Servicios Pochteca 25 46 71
Demser 8 8 16
Pochteca Servicios Administrativos 20 25 45
Pochteca Servicios Corporativos 1 1
Servicios Administrativos Argostal 4 33 37
Transportadora de Líquidos y Derivados 17 17
Conjunto LAR 7 16 23
Total general 64 146 210
Temporary contract
Empresa Femenino Masculino Total
Asesoría en Servicios Pochteca 128 171 299
Demser 47 86 133
Pochteca Servicios Administrativos 76 97 173
Pochteca Servicios Corporativos 4 12 16
Servicios Administrativos Argostal 14 158 172
Transportadora de Líquidos y Derivados 65 65
Conjunto LAR 20 14 34
Total general 289 603 892
Number of associates by region and gender
Region Women Men Total
Bajio 32 86 118
Central 204 432 636
Central-south 28 58 86
Northeast 26 51 77
Northwest 33 43 76
West 19 28 47
Southeast 11 51 62
Total 353 749 1,102
Number of associates

   1,102   
353
women
749
men
Number of associates by age and gender

Under 30
136
12%
247
22%
383
35%
Between 31 and 50
182
17%
394
36%
576
52%
Over 51
835
      3%
108
10%
143
13%
Number of permanent associates by company and gender
Company Women Men Total
Asesoría en Servicios Pochteca 153 217 370
Demser 55 94 149
Pochteca Servicios Administrativos 96 122 218
Pochteca Servicios Corporativos 4 13 17
Servicios Administrativos Argostal 18 191 209
Transportadora de Líquidos y Derivados 82 82
Conjunto LAR 27 30 57
Total general 353 749 1,102
Number of permanent associates by type of contract and gender
Number of associates by TYPE OF CONTRACT AND REGION
Region Permanent contract Temporary contract Total
Bajio 22 96 118
Central 118 518 636
Central-south 17 69 86
Northeast 15 62 77
Northwest 18 58 76
West 11 36 47
Southeast 9 53 62
Total 210 892 1,102
Number of permanent associates by type of contract and gender
Permanent contract Temporary contract
Company Women Men Women Men Total
Asesoría en Servicios Pochteca 25 46 128 171 370
Demser 8 8 47 86 149
Pochteca Servicios Administrativos 20 25 76 97 218
Pochteca Servicios Corporativos 1 4 12 17
Servicios Administrativos Argostal 4 33 14 158 209
Transportadora de Líquidos y Derivados 17 65 82
Conjunto LAR 7 16 20 14 57
Total 64 146 289 603 1,102

135 people (12% of associates) are covered by collective bargaining agreements

Number of associates covered by collective bargaining agreements
Company Women Men Total
Asesoría en Servicios Pochteca 2 81 83
Transportadora de Líquidos y Derivados 52 52
Total 2 133 135
Hiring breakdown by age, gender and region
Region Age Women Men Total
Bajio <35 8 32 40
35-50 5 18 23
>50 0
Central <35 58 124 182
35-50 19 42 61
>50 4 16 20
Central-south <35 10 21 31
35-50 4 9 13
>50 0 2 2
Northeast <35 11 31 42
35-50 2 11 13
>50 1 1 2
Northwest <35 6 27 33
35-50 4 9 13
>50 1 1
West <35 10 11 21
35-50 3 5 8
>50 0
Southeast <35 3 14 17
35-50 4 4
>50 0
Total number of hirings*

401-1

148 526 378

* At the end of December 2017 we had 526 new hires and 475 departures resulting in a total staff of 1,102 active associates.

Our incidence rate per 100 full-time warehouse workers remains well below the US Occupational Health and Safety Administration (OSHA) maximum level of 3.0

Occupational Health and Safety

GRI 403: 103-1, 103-2, 103-3
102-8, 403-2, 403-3

One of Pochteca’s priorities is to provide a safe working environment at all times. To that end, we conduct risk assessments for every job position and establish health and safety training programs for the proper realization of tasks. Moreover, we provide the Personal Protective Equipment (PPE) needed for each activity.

Due to the nature of our operations, many of the materials we manage have been catalogued as hazardous chemicals, so we make assessments before any new materials are delivered as well as risk assessments and development of accident prevention programs requested by SEMARNAT.

Our Safe Environment strategy has focused on minimizing unsafe conditions in our installations. During 2017, only minor accidents were reported, most of which consisted of minor injuries such as impacts and bruising resulting from carelessness on the job.

Our 2018 health and safety plan places special attention on the induction seminars and constant training of our associates to contribute to behavioral change and raise risk awareness to minimize accidents and incidents at all levels of the organization.

The following graph charts the accident and injury trends of recent years.

Number of accidents and injuries

Year Incidence rate
2013 1.381
2014 0.418
2015 0.650
2016 1.166
2017 1.182
Disability days
47 2014
49 2015
101 2016
123 2017

Our 2017 Health and Safety Plan results show no heightened work-related health risks to our associates.

Our investment in PPE appropriate for each activity, and training in the proper use of loading and unloading equipment and techniques is helping to avert job related sickness and injuries. We invested Ps 1.3 million in 2017 on PPE for all our associates who need it in keeping with the risk each type of activity entails.

Conscious of the psychosocial risks our associates face and in order to improve their quality of life, we provide them with an “Orienta” support line, which allows us to improve our associates’ quality of life. During 2017 we provided attention to the following issues:

General Report
General data

Type of User
11%
relative
89%
employee


Gender
72%
men
28%
women


Type of session
84%
first time
16%
follow-up


Referral

Affects Productivity
89.7%
yes
10.3%
no
Type of Demand

27.4%*
rate of use for the period
321
people who used the service
107
online visits to Orienta
General nature
Emotional

Emotional conflicts 16.7%
Sexuality 8.3%
Community 16.7%
Family 4.2%
Interpersonal relations 8.3%
Couple 25.0%
Courtship 20.8%
Legal

Social security 6.3%
Labor 12.5%
Mercantile 6.2%
Family 50.0%
Civil 18.8%
Administrative 6.2%
Medical

Orthopedic trauma 9.1%
Otolaryngology 18.2%
Dentistry 9.1%
Internal medicine 45.5%
GYOBN 9.1%
Surgical 9.0%
Family economy

Economic situation 25.0%
Investment 50.0%
Credit 25.0%
Nutrition

Calorie reduction program 25.0%
Diet plan 75.0%


* According to the EAPA (Employee Assistance Professionals Association), an international organization for employee assistance professionals that helps regulate employee assistance programs, a healthy rate of employee usage of EAP (Employee Assistance Programs) is between 8% and 10%. Our 30% rate last year is far superior to that range.

We placed 29 Nitro-Strike fire suppression systems in 14 strategic locations capable of extinguishing any kind of chemical fire in less than 5 minutes without leaving any trace of hazardous waste while preventing fires from reigniting

Emergency Brigades

GRI 403: 103-1, 103-2, 103-3
403-1

We have health and safety commissions in each workplace in compliance with Mexico’s Federal Labor Law. Approximately 10% of our personnel are engaged in these commissions and receive training each year in:

  • Firefighting
  • First aid
  • Evacuations

Excersises are conducted to promote brigade formation and assess their response and action capabilities as well as the resources at their disposal. During this process responsibilities are assigned, and emergency drills are conducted, all of which are duly documented.

We had a clear demonstration of their effectiveness in their response to the September 2017 earthquakes, during which there were no mishaps thanks to the extent of brigade coordination and the willing response of our associates. Once the procedure was completed a visual inspection was conducted to detect any damage to installations.

Where possible damages were detected, professional inspections were conducted to determine the extent of the destruction and assure our associates’ safety.

Strategic Alliances

102-13, 403-1

We actively participate in PAMI, an industrial support group comprised of 13 companies in the Ecatepec-Tlalnepantla region. The association is dedicated to the prevention, management and control of industrial risk related to the sorts of activities in which affiliated businesses are engaged and which could affect their assets, those of their surrounding communities, their installations and the environment.

Since 2012 we have been partners of the Minatitlán – Cosoleacaque, Veracruz industrial zone’s Regional Integral Security Committee (CRIS). This industrial association tries to provide support to affiliated businesses by providing human and material resources to attend and control major emergencies so as to minimize harm to personnel and installations and reduce impacts on the environment and the community.

Training and Evaluation

GRI 404: 103-1, 103-2, 103-3
404-1, 404-2, 404-3

As part of our interest in our associates’ continuous development, we have designed an annual training and competency program in keeping with the following considerations:

  • Applicable laws
  • Pinpointing needs
  • Business strategies

Need detection process
Client needs
Personnel performance
Changes to or new
processes or systems
Audits and corrective actions

In order to enhance the effectiveness of associate training and management processes, our Human Resource department totally restructured itself to operate under a business partner model and by areas of expertise, thereby converting the Human Resource department in a strategic partner for operational processes for helping to achieve the business’ objectives and results.

We have a series of channels through which we impart courses and workshops, with the choice of channel depending on the type of program in question.

  • Virtually through UVP (Pochteca Virtual University)
  • On-site at the company
  • On-site outside the company


We also have built strategic alliances with specialized institutions that through their diploma, certification, seminar and workshop programs complement the professional development of Pochteca associates.

During 2017, as a result of the analysis of training needs, legislation, client requirements, corrective and preventive actions and induction seminars, various training programs were carried out, produced the following results:

Average training hours by category
Administrative 10
Directors 11
Managers 13
Hourly workers 12
Sales 11
Average training hours by gender
35
women
16
men

12,204 hours of training during 2017 at an average of 11 hours per employee

We attended job fairs at major universities with which we maintain cooperation agreements, and also list our job openings on the schools’ job notice boards.

Through our Pochteca Development Potential tool (DPP in Spanish) our associates receive periodic evaluations with objectives established at the beginning of the year. A feedback session is conducted at mid-year and the final evaluation is provided at year’s end.

The following table shows a breakdown of 2017 DPP evaluation results.

Results by job category
Administrative 77%
Hourly worker 22%*
Sales 93%
Managers 96%
Directors 100%

*This number of warehouse personnnel refers only to those with access to a personal computer; all others are evaluated using a similar mechanism but outside the DPP platform.

Percentage of participants in the DPP System by gender
75%
women
44%
men
Name of educational institution Month event held
ITAM February
ITESM March
UNAM March and September
IPADE March
LA SALLE May
UNITEC July
IPN April

Youth Development

GRI 413: 103-1, 103-2, 103-3
102-13, 413-1

We also implemented a program to attract and develop talented young people consisting of interns (who work and study part time) and trainees in order to prepare them in labor matters and provide them with an opportunity to begin their working careers at Pochteca.

During 2017, 18 interns and 25 trainees participated, who after concluding their studies over the course of the year have been joining the company as analysts, coordinators and/or executives.

Students and graduates of youth development programs totaled 28 in 2016 and 33 in 2017. They come from different sources including ANIQ and INROADS, the latter of which provides university scholarships to students in need and helps them find work once they complete their studies.