People and Culture

People and Culture continued to implement strategic projects aimed at supporting the Company’s transformation and providing key human-resource services to employees. The most important tasks in terms of People and Culture in 2024 were, for example, preparing employees for the transformation, building their digital skills, managing the digitalisation of HR itself, and supporting diversity, as the path towards an open corporate culture, and agile thinking in Company staff.

Diversity - Proportion of Women in managment

MenWomen

Qualification structure of the Company’s permanent employees as of 31 December 2024

Primary school 7.9%Vocational school 40.9%High school with A levels 32%University graduates 19.2%

Company Workforce

748

Apprentices

total in 2024

33.467

Permanent

employees in 2024

34 215

Total 2024*

2023: 34,884 (1.9%)

748

Apprentices

total in 2024

33.467

Permanent

employees in 2024

34 215

Total 2024*

2023: 34,884 (1.9%)

* The actual number of employees as of 31 December 2024 in the Czech Republic, including apprentices, excluding temporary staff (2,690 employees), excluding subsidiaries.

People at the centre of attention

In 2024, the Company updated its People and Culture Programme to reduce complexity and maintain agility through the annual Top 10 Programme. This allows it to uphold its long-term vision and direction while also prioritizing the company’s current needs and be in alignment with group activities.

Employees are always a high priority for the company. Škoda Auto values their work and endeavours to create the best possible conditions for them, both at work and beyond, through a comprehensive package of benefits. In this regard, cooperation with its social partner, the KOVO trade union, is key for the Company.

Corporate culture is key to maintaining and developing competitiveness for the Company and affects the performance of individuals and teams, and overall business results. Reinforcing that culture allows the Company to create an environment in which people like to work, feel motivated, and enjoy their jobs.

Corporate culture as a pillar of brand success

In June, for the third time, staff at Škoda Auto had the opportunity to participate in the Cultural Mindset Index – CMX survey. The aim was to measure the current level and evaluate the progress of corporate culture using a set of questions, and to compare it with the target corporate culture – Excellence with Joy. A total of 7,075 people provided feedback, which is 9% more than in 2023.

Respondents appreciated the supportive environment at the company, which emphasizes staff development. At the same time, they would welcome more transparent communication, a reduction in bureaucracy, and a simpler implementation of new ideas.

Preparing employees for the future

In 2024, People and Culture set out several key priorities, which it decided to support using clearly defined projects.

Creating opportunities for Tech Talent

The Company implements targeted, skill-based recruiting strategies to attract digital talents with relevant automotive skills.

Advancing digitalization in HR

The Company advances digitalization in HR processes and data management while ensuring compliance with Czech legislation.

Promoting Social Sustainability and Diversity

Primary activities include initiatives across key diversity dimensions, such as empowering women in management, promoting intergenerational collaboration, supporting family-friendly policies, and driving internationalization.

New, more effective HR

In 2023, the operative HR function underwent a significant transformation, during which the agenda was divided into two key pillars: the HR Consulting Centre, focused on addressing the individual needs of tariff employees, and HR Business Partnering, which supports line managers in conceptual and strategic changes.

The HR Consulting Centre has streamlined access to HR services – employees can now utilize the centres in Mladá Boleslav, Kvasiny, or Vrchlabí, or contact HR electronically, by phone, or by email.

Since its establishment in July 2023 till the end of 2024, the team at the HR Consulting Centre tackled over 70,000 tickets, most commonly dealing with services through managerial and employee self-service, mobile work in light of the amendment of the Labour Code, a change of personal data, transfer, other changes in employment status, and the issue of proof of employment.

The analysis of customer feedback revealed a high level of satisfaction with the services provided by the centre.

Popular benefit programme

Cafeteria Škoda Benefits

The introduction of a system of equal pay facilitates fair wage rates for people with similar jobs, a concept which applies globally throughout the Group. Wages are set in a collective agreement for all core employees of the Company in the Czech Republic. The wage system comprises a fixed basic wage, variable pay components, and premiums for overtime work, on-call time work, and work on public holidays. The wages and benefits paid for a standard working week will not drop below the relevant national or trade-union minimum wage in the relevant country.

The remuneration policy complies with the Labour Code and other regulations according to Czech legislation. The Charter of Agency Employment, meanwhile, governs the work done by agency staff.

The most commonly used benefits include the Škoda Benefits Cafeteria, a MultiSport card, a contribution toward supplementary pension plans, a contribution toward meals in Company catering facilities, rewards for having worked at the Company for a certain number of years, contributions toward recreational or rehabilitation holidays, an interest-free loan for housing or for purchasing a Škoda car, and preventive health programmes.

The Company also provided a variety of attractive benefits to agency staff, such as special prices on cars and accessories or participation in selected education courses.

Health

56%

Culture

sport and travel 37%

Pension

savings 75%

More about benefits

The Company focused on flexibility as one of its main priorities in 2024. The aim was to retain and find motivated and qualified people on the labour market and boost the employer’s brand image.

Promoting flexible forms of work

Flexibility

The aim was to retain and find motivated and qualified people on the labour market and boost the employer’s brand image.

Desk Sharing

Desk Sharing has changed the way in which almost 15% of indirect staff work.

Mobile work

Nearly ten thousand people used this option in 2024.

Škoda Auto, outstanding reputation

According to a survey by HR consultancy Randstad, in 2024, Škoda Auto was again the most attractive employer on the Czech market in the automotive industry.

On top of that, the Company came second in the Pluxee Employer of the Year 2024 poll, also taking the Best Employer in the Central Bohemia Region award. The awards are presented by the Employers’ Club, which praised such aspects as the long-term support provided to employees and their families.Other Czech students would appreciate the opportunity to work at Škoda Auto as well. According to the Top Employer 2024 study, the highest number of university students would like to work at the Mladá Boleslav–based car manufacturer when it comes to the Automotive and Engineering Industry. In the special category of First Choice, in which pupils at secondary schools and grammar schools voted on spontaneous knowledge of employers, the Company ranked second.Škoda Auto also took first place in the announcement of the SDGs Awards 2024 in the area of Diversity, Equality, and Inclusion with a Sheltered/Profile Centre to help Company staff with health or social constraints.

ZEBRA is the oldest innovation program at Škoda Auto, which successfully continued in 2024 with its strategy focused on quality, efficiency, and customer orientation.

More room for

Idea Management

The program concentrated on optimizing processes and system, enhancing communication, and expanding consulting services. Idea Management has successfully transformed its role within the company – from reactive to proactive, becoming a collaborative tool that strengthens connections with other company activities and goals. In 2024, thanks to the long-standing collaboration and support of the KOVO Unions, new tools were introduced to streamline improvement and support further development.The success rate of employee proposals remained high in 2024, reaching 47%. These improvements resulted in record savings of €17.4 million. Among the highest-impact proposals that contributed to this historic result are employee solutions that optimize production processes or materials used, having a positive impact on production efficiency and quality or waste reduction. Additionally, there are proposals that make it possible to reuse equipment for new purposes, instead of disposing of them, that bring smart solutions to streamline activities and minimize rework, or that optimize the storage and subsequent handling of parts. The financial savings were complemented by other incalculable benefits in areas, such as increased efficiency in production processes, personnel safety, environmental and ergonomic improvements, and enhanced product quality. These initiatives enable the Company to respond more effectively to market changes and directly support its efficiency, profitability, competitiveness, and sustainability. Employees who engage in the improvement process are not only financially or materially rewarded but also actively contribute to the Company’s success.

Sustainable HR

Sustainability is a top priority at Škoda Auto, part of its DNA. To develop this, the Company set out five pillars that focus on employees: diversity, education, general health, employee volunteering and engagement, and mobility.