Human Resources and Social Responsibility

We would like to thank all our employees for their loyalty to the company, their dedication and their hard work to strengthen and enhance the competitiveness and esteem of the Freudenberg Group. They have made a valuable contribution to safeguarding existing jobs and creating new ones.

On December 31, 2003 the Freudenberg Group employed 28,479 associates, 786 more than the previous year. The payroll increase is primarily due to first full consolidation of Freudenberg Politex Nonwovens backdated to January 1, 2003 (+318) and the acquisition of Alucon/Hailo (+98) and O’Cedar (+305). Due to a management buy-out, the workforce at O’Cedar – with the exception of 33 associates – is only temporarily included in the Freudenberg payroll statistics. Running at 1,265 million Euro, personnel expenses remained almost unchanged (2002: 1,264 million Euro). Social security contributions and costs of pensions and assistance accounted for 265 million Euro of this sum, representing an increase of 12 million Euro on the previous year.

Europe (excluding Germany) accounted for the largest rise in the number of employees. Here, the payroll rose by 445 to 7,957. In Germany, Freudenberg had 66 fewer associates than the previous year. With 11,375 employees, Germany is still by far the region with the largest workforce. The increase in payroll in North America was 249 (total: 6,874), while the rise in Central and South America was 96 (total: 896). In Asia, Freudenberg employed 1,148 associates, an increase of 62.

The comparatively small number of employees in Asia is due to the partnership strategy, particularly with NOK and JVC in Japan, where Freudenberg holds minority interests. The workforce of these companies is not consolidated in the Group’s statement of accounts.

 Figure: Workforce by regions