Fiscal 2012 Sustainability Overview applicable laws and regulations, as well as with Ashland’s safety and health policies. All employees must abide by Ashland’s 10 Safety Expectations and proactively promote our zero incident culture. By incorporating a zero incident culture, our employees take responsibility for their actions around safety, because they are empowered to make informed decisions. Success depends on genuine commitment, basic operating principles, well-communicated visions and most importantly, a business atmosphere where all employees care for each other. Ashland employee benefits During fiscal 2012, Ashland employed nearly 15,000 individuals worldwide on six continents. The great majority of full-time U.S. employees in all major operational areas (excluding Valvoline Instant Oil Change hourly workers), are offered the following benefits: 401(k) savings; medical and dental insurance; Health Savings Account (HSA); vision cost assistance; flexible spending accounts; voluntary and occupational accidental death and dismemberment insurance; business travel accident insurance; employee, spouse and child life insurance; long-term disability and long-term care insurance; group legal; and group auto and home insurance. Part-time exempt employees working at least 20 hours, but not more than 24 hours, per week receive the same benefits, but pay different rates (2x) for medical and dental insurance. Part-time exempt employees working more than 24 hours a week receive the same benefits, but also pay different rates (1.5x) for medical and dental insurance. Executives receive financial planning services, non-qualified retirement benefits, and long-term incentives. Ashland also has some employees in unions whose benefit options differ slightly, in accordance with the terms of their collective bargaining agreements. Employee benefits in countries outside the United States are largely governed by national legislation and are often supplemented by a variety of company-sponsored plans, depending on the country. LA1 Total workforce by employment type, contract and region Ashland reported approximately 14,600 employees as of fiscal year-end 2012. Of these, approximately 94 percent were full-time employees. Regionally, approximately 61 percent were located in
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Ashland Inc. North America; 21 percent in Europe, the Middle East and Africa; 13 percent in the Asia Pacific region; and the remaining 5 percent in Latin America. LA4 Percentage of employees covered by collective bargaining agreements In North America, during fiscal 2012, approximately 1,255 fulltime-equivalent employees were covered by collective bargaining agreements at 23 work locations. This represented approximately 14.5 percent of the total North American workforce. In the U.S., most non-supervisory employees are able to organize and bargain collectively on wages, hours and terms and conditions of employment pursuant to the National Labor Relations Act (NLRA). Under the NLRA, Ashland may voluntarily recognize the union or request an election by secret ballot. Ashland’s labor philosophy promotes non-union representation as the company provides competitive wages and benefits for its employees. In addition, Ashland promotes open dialogue and reasonable workplace practices and policies for its employees without the intervention of a third party. However, for the locations that are unionized, Ashland recognizes the respective union as the exclusive representative of the employees in the bargaining unit and complies with all resulting legal and contractual obligations. LA5 Minimum notice period(s) regarding significant operational changes, including whether specified in collective agreements If the applicable Management Rights clause or provisions that specifically waive the negotiations process are absent, the NLRA would require that Ashland and the union meet prior to operational changes that affect or impact wages, hours, and terms and conditions of employment. There is no specific timing for such discussions, and actual time will vary based upon the complexity of the issue. Time specification is not required under law to be incorporated within a collective bargaining agreement, and none of the Ashland collective bargaining agreements provide for a specific period of time. All Ashland collective bargaining agreements contain a Savings Clause provision, which requires Ashland and the union to renegotiate any contractual provision during the term of the agreement if such provision is declared invalid due to changes in law.
Oct. 1, 2011, to Sept. 30, 2012