Our first priority as a company is the safety, health and well-being of our associates around the world. As such, we provide competitive pay and a full range of benefits to help associates live healthier, balance work and family, and build a secure financial future. We are also continually working across our businesses to prevent occupational injuries and illnesses, striving for an incident-free workplace.
We are continually looking for ways to make PepsiCo a great place to work. One way we do this is by offering associates a comprehensive benefits package that is designed to help them live healthier and build a secure financial future. Benefits are designed to meet or exceed the standards of the competitive marketplaces in which associates work around the world.
In the U.S., we offer a full range of health care, savings and retirement benefits. Our health and welfare benefits include medical, dental, vision, prescription drugs, mental health, life and accident insurance, disability and flexible spending accounts. In addition to these benefits, the company provides access to services and resources that deliver expert medical advice and high-quality care to associates and their families who have serious or complex health needs, at no additional costs to associates. We also offer commuter reimbursements, adoption assistance, child and elder care referral and resources, smoking cessation programs, care and lifestyle management programs and family and medical leaves. Same-sex domestic partners who meet certain eligibility requirements may be covered under PepsiCo benefits. Eligible part-time associates receive medical, dental, vision and life insurance benefits.
Outside the U.S., benefits are provided through a combination of company-sponsored programs and state programs funded by payroll or other taxes. PepsiCo has adopted global standards designed to ensure all associates receive at least basic medical, disability, life insurance and retirement benefits, regardless of location. The company has an ongoing process in place to review and, if necessary, adjust practices in mature markets and shape practices in emerging markets against these standards.
Our global wellness strategy is designed to engage associates and their families in developing and sustaining healthy behaviors to improve their overall quality of life. To support associate wellness, we offer on-site health and wellness services in many countries around the world, including China, India, Mexico, South Africa, the U.K. and the U.S. These initiatives, which vary by location, include routine medical care at work sites, education programs on health, nutrition and exercise, programs on smoking cessation, on-site fitness centers and organized programs to encourage exercise.
In the U.S. and Canada, Healthy Living encourages associates and their families to focus on healthy lifestyles at home, at work and at play, and includes access to preventive screenings and rewards for participating in personal health assessments and for completing health improvement programs.
Healthy Living has also been a driving force in the company's investment in on-site clinics, which provide access to health-care professionals in 47 locations in the U.S. Through targeted communications, Healthy Living encourages associates and their families to seek routine, preventive care, make behavioral changes to reduce health risks and work one-on-one with a health coach to manage ongoing health conditions.
Healthy Living continues to expand across the globe. Outside the U.S., the company sponsors 53 on-site clinics and various local wellness initiatives. One example is in India, where PepsiCo has been providing health and wellness support to frontline employees in most of the plants. The wellness program has focused on "Formula3—Food, Fun & Fitness," with quarterly/half-yearly activities in all the locations, including fitness/yoga sessions, nutrition counseling and measurement of an individual's body-mass index, blood pressure, cholesterol, etc. The program has been a tremendous success, increasing the awareness and participation of employees in their health and well-being.
Healthy Money is a financial education program that provides tools and resources to improve the financial fitness of PepsiCo's U.S. associates. Through Healthy Money, associates have access to professional financial counselors and online tools that assist with building personal financial plans, decreasing debt, saving for retirement and much more. Healthy Money workshops and webinars have covered a broad range of employee financial concerns, including retirement and investing, funding college expenses, and cash and debt management. The program has also addressed timely topics, such as understanding foreclosure, and issues specific to certain segments of the employee population, such as financial planning for domestic partners.
Over the past five years, PBC has run an annual intra-company competition called the "Healthy Challenge" promoting health and financial well-being through biometric screenings, weight loss and exercise competitions, and on-site financial education seminars. In 2011, PBC expanded the Healthy Challenge to include nearly 100 locations and over 16,000 associates. In addition to completing a personal health assessment and a wellness coaching program, 5,000 associates participated in a Get Fit Exercise program averaging 85 minutes of moderate activity per week; 3,800 associates participated in the Why Weight? competition and lost 22,000 pounds (averaging 3 percent); and over 5,400 associates participated in a Healthy Money Cash and Debt Management workshop. In 2012, we hope the challenge will extend to include other PepsiCo divisions.
Gatorade associates have participated in Go for Your Goal—a simple program where associates declare a wellness goal and commit to accomplishing it by the end of the year. Goals have included losing weight, walking to work, marathons, half marathons, triathlons, iron mans, dunking basketballs, taking the stairs every day and yoga mastery. Last year the program received 100 percent participation across all Gatorade functions and levels.
Associates in PepsiCo Americas Food participated in PepsiCo on the Go—a competition that engaged those in 18 countries in activities that reflect movement (walking, running, hiking, biking, swimming, etc.). The goal of this competition was to virtually travel from Canada to Chile and donate up to $1 million to food bank partners to help improve the health of people in the communities in which we operate. Over 30,000 miles were accomplished.
In 2010, PepsiCo conducted over 11,000 on-site biometric screenings; provided over 14,000 flu shots and over 2,700 on-site associate physicals, and conducted 200 Healthy Money workshops.
In the U.S., about two-thirds of our associates and their spouses/partners have registered for Healthy Living and 49 percent of them have completed the personal health assessment. More than 22 percent of individuals who completed a health assessment also agreed to participate in a wellness coaching program. Eighty-three percent of members with ongoing health conditions participated in disease management programs. Forty percent of those participating in a tobacco cessation program quit smoking.
In 2010, we conducted an inventory of our wellness efforts globally to help accelerate improvements, share best practices and grow beyond the 36 countries in which we currently offer programs.
PepsiCo also partners with organizations such as the World Economic Forum, National Business Group on Health, Health Enhancement Research Organization, Workplace Wellness Board, World Health Organization, Alliance for a Healthier Generation and Healthy Weight Commitment Foundation to improve workplace wellness.
We have adopted a risk management approach to manage health and safety risks at PepsiCo. All of our company-owned manufacturing plants are implementing the PepsiCo Global Environment, Health and Safety Management System (GEHSMS), which aligns with OHSAS 18001 and ISO 14001. In addition, independent third parties have recognized many of our plants for safety.
Currently, 25 of our plants are OHSAS 18001–certified and 37 of our U.S. facilities are OSHA Voluntary Protection Programs (VPP). While each business implements the framework in a locally relevant way, we are in the process of standardizing PepsiCo minimum mandates to address our greatest risks.
In 2010, we reaffirmed our global target of reducing Lost-Time Injury Rates (LTIR) by 10 percent—which was originally set in 2009 and exceeded. Because data collection is challenging, we expanded our online global metrics tool to include additional data elements and have built an online dashboard so our leaders can efficiently monitor health and safety performance. We collect health and safety data from 100 percent of company-owned plants and our 2010 data received third-party verification from Bureau Veritas (see below for more detail and link to certificate).
PepsiCo's commitment to occupational health and safety is described in the PepsiCo Occupational Health and Safety Policy. Communication about health and safety occurs at many levels within PepsiCo. Safety committees or coordinators are active in all company-owned manufacturing plants. We communicate information about significant hazards through an internal Safety Alert process and collaborate with our health and safety leaders via internal websites that foster teamwork, knowledge transfer and sharing of good practices. Our health and safety performance is communicated to the PepsiCo Executive Committee each quarter.
In 2011, we created a new Global Operations organization, which will help us strengthen health and safety governance in our supply chain as we leverage best practices across sectors while implementing locally relevant safety strategies.
The new organization builds on the progress we made with the creation of the PepsiCo Health and Safety Leadership Council in 2008 to ensure we have the strategies, frameworks and systems to effectively manage risks, build health and safety leadership capabilities, identify global metrics and track performance.
Areas of focus include machinery safety, fleet safety, activities requiring a permit to work and sales security. We globally track our health and safety performance and are in the process of integrating our two largest bottlers in the U.S., Canada, Mexico and Europe, and Wimm-Bill-Dann in Russia. All of this has increased the number of our manufacturing facilities, sales activities, associates and contractors worldwide.
As a diverse business with a workforce in beverage and snacks plants, a salesforce serving our customers globally, and a support team managing our business from offices around the world, employee health and safety are priorities. We aspire to an incident-free environment and believe occupational illness and injury are preventable. We continue to reduce LTIR while striving to improve other occupational health and safety metrics through best practices.
For 2010, we set goals of reducing our LTIR by 10 percent over 2009 metrics. In fact, we achieved a 12 percent reduction in LTIR. In operations, specifically, we achieved over 30 percent reduction compared to 2009, a year that saw a 25 percent reduction in LTIR over 2008, resulting in an LTIR decrease of about 50 percent in legacy PepsiCo operations over the past two years. South America Foods also reduced its LTIR in operations by 52 percent in 2010.
We can attribute this success to our rigorous safety training, Return to Work programs, which provide proactive medical management when injuries do occur, and effective plans that focus on the most appropriate hazard prevention techniques and risk mitigation projects, to avoid the most common injuries such as strains and sprains, and back and knee injuries, often caused by slips, trips and falls.
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