sustainable management

Leadership and people

Our main capital

Our employees are our major asset. The retention and engagement of intellectual capital is essential for the organization

The Avibras work force is the company's lifeblood. Their work, energy and willingness enable the company to generate and share value on an ongoing basis.

Avibras people management policy is focused on an effective partnership with employees, the organization's main asset, developing people to drive better results.

Our values express the essential principles that support our vision, guide our actions, define who we are and what we believe in.

Retaining and engaging human capital are challenges for the company, particularly due to the high level of specialization required by the business.

Avibras wants its employees to participate in the day to day running of the company, contributing freely with innovative ideas, focused on continuous process improvement.

The company also adopts an appraisal methodology that ensures equal growth opportunities for all employees, in accordance with their results and regardless of their length of service.

The essence of Avibras is its work force

Human capital indicators

G4-10

Total employees - by gender

Third-parties

Employees by functional level	2016		2015		2014
Employees by functional level	Men	Women	Men	Women	Men	Women
Directors	5	1	7	0	7	0
Management	30	0	32	0	32	0
Coordination	42	5	47	6	44	7
Supervision	23	5	27	5	30	5
Engineer/technician	494	68	486	70	432	62
Operational	815	27	706	25	548	19
Administrative	145	114	142	105	112	82
Apprentices	20	6	17	7	19	7
Interns	10	5	9	4	6	4
Total	1,584	231	1,473	222	1,230	186

Employees by type of work contract	2016		2015		2014
Employees by type of work contract	Men	Women	Men	Women	Men	Women
Fixed term	636	65	560	63	370	45
Permanent	948	166	913	159	860	141
Total	1,584	231	1,473	222	1,230	186

Employees by type of employment	2016		2015		2014
Employees by type of employment	Men	Women	Men	Women	Men	Women
Full-time	1.,576	219	1,466	212	1,223	180
Part-time	8	12	7	10	7	6
Total	1,584	231	1,473	222	1,230	186

Turnover

G4-LA1

Analysis of the data shows consistency in the numbers for age group and gender over the three years. In 2016, it was necessary to increase the size of the work force to fulfill the contracts in place.

In 2016, the difference between the number of admissions and terminations was 117. Admissions corresponded to 21% of the total, while the termination rate was 16%.

1,815
people make up the Avibras work force

Number of terminations by gender	2016	2015	2014
Men	230	124	199
Women	33	28	33
Total	263	152	232

Number of terminations by age group	2016	2015	2014
Under 30 years	103	71	90
From 31 to 50 years	101	62	103
Over 50 years	59	19	39
Total	263	152	232

Turnover rate by gender (%)	2016	2015	2014
Men	13%	7%	14%
Women	2%	2%	2%

Turnover rate by age group (%)	2016	2015	2014
Under 30 years	6%	4%	6%
From 31 to 50 years	6%	4%	7%
Over 50 years	3%	1%	3%

clear

Number of admissions by gender	2016	2015	2014
Men	338	367	307
Women	42	64	40
Total	380	431	347

Number of admissions by age group	2016	2015	2014
Under 30 years	207	226	174
From 31 to 50 years	160	183	147
Over 50 years	13	22	26
Total	380	431	347

New admissions rate by gender (%)	2016	2015	2014
Men	19%	22%	22%
Women	2%	4%	3%

New admissions rate by age group (%)	2016	2015	2014
Under 30 years	11%	13%	12%
From 31 to 50 years	9%	11%	10%
Over 50 years	1%	1%	2%

Our technological evolution is only made possible by highly trained professionals

Training and Education

G4-LA9, G4-LA10

Maintaining a highly trained and qualified body of professionals is what drives Avibras's constant technological evolution.

To ensure employees remained updated, the company promotes specific training identified via gaps in individual or organizational competencies. In 2016, training was focused on the skills necessary for the organization.

For 2017, Avibras will elaborate training programs oriented to the company's strategic planning, focused on developing critical competencies for the business, as well as recycling and developing leaders.

Employees are also allowed leaves of absence to take specific courses, including master's and doctoral programs.

Average number of hours training per employee

Functional Category	2016
Functional Category	Employees	Hours	Hours/Employees
Directors	7	2	0.29
Management	31	144	4.65
Coordination	49	314	6.41
Supervision	30	1,897	63.23
Engineers/technicians	569	6,398	11.24
Operational	845	2,000	2.37
Administrative	261	2,862	10.97
Trainees	0	0	0.00
Apprentices	27	18,000	666.67
Interns	16	360	22.50
Terceiros	499	122	0.24
Total	2,334	32,099	788.56
Men	2,007	25,614	12.76
Women	327	6,485	19.83

Functional Category	2015
Functional Category	Employees	Hours	Hours/Employee
Directors	7	0	0
Management	32	432	13.50
Coordination	53	166	3.13
Supervision	32	576	18
Engineers/technicians	556	7,053	12.68
Operational	731	2,000	2.74
Administrative	247	1,286	5.21
Trainees	0	0	0
Apprentices	24	18,000	750
Interns	13	360	27.69
Terceiros	736	100	0.10
Total	2,431	27,973	829.49
Men	2,124	25,064	11.80
Women	307	2,909	9.48

Functional Category	2014
Functional Category	Employees	Hours	Hours/Employee
Directors	7	0	0
Management	32	80	2.5
Coordination	51	135	2.65
Supervision	35	487	13.91
Engineers/technicians	494	6,444	13.04
Operational	567	2,000	3.53
Administrative	194	2,017	10.39
Trainees	0	0	0
Apprentices	26	18,000	692.30
Interns	10	360	36
Terceiros	662	98	0.1
Total	2,078	27,621	767.31
Men	1,815	24,678	13.60
Women	263	2,943	11.19

Avibras also provides competency management and continuous learning programs that support ongoing employability for staff.

Programs offered	Description	Target Public
Internal training courses	Fire brigade and first aid Defensive driving Forklift operation Travelling crane operation Work in confined spaces and at height Writing techniques Reading and interpreting technical designs	Administrative and operational
Financial support for external training courses and education	English Postgraduate business management Project management Production management	Administrative and operational
Recycling for staff intending to continue working	Forklift operators Traveling crane operators Fire brigade Training in NR10 standard	Administrative and operational
Outplacement services
Assistance in transition to a life without work

Constant training: brigade members participate in an emergency drill

People management at Avibras is aimed at creating value, motivating and developing people

Remuneration and benefits

G4-EC5, G4-LA2

Avibras offers salaries based on surveys that make comparisons with companies in the same segment, having the same size and location.

The company also provides differentiated benefits designed to attract and retain talent. The objective is to promote employee well being and quality of life.

Benefits

In addition to mandatory benefits provided for by law, Avibras offers:

Life insurance
Health plan
Coverage for incapacity/invalidity
Extended maternity leave
Private pension plan
Dental plan

Remuneration: variation between the lowest salary and the minimum salary

	2016		2015		2014
	Men	Women	Men	Women	Men	Women
	Jacareí Unit¹
Lowest salary	R$ 2,081.20	R$ 2,382.60	R$ 1,795.20	R$ 2,173.60	R$ 1,716.00	R$ 1,716.00
Category minimum²	R$ 2,081.00	R$ 2,081.00	R$ 1,794.00	R$ 1,794.00	R$ 1,560.00	R$ 1,560.00
Ratio %	100%	114%	100%	121%	110%	110%
	Lorena Unit³
Lowest salary	R$ 1,841.40	N/A	R$ 1,680.80	N/A	R$ 1,526.80	N/A
Category minimum	R$ 1,636.02	R$ 1,636.02	R$ 1,410.36	R$ 1,410.36	R$ 1,125.14	R$ 1,125.14
Ratio %	113%	N/A	119%	N/A	136%	N/A

1. The minimum salary at the Jacareí unit is higher than at the Lorena unit.
2. Determined by federal or state legislation or unions.
3. There are no female employees at the Lorena unit.

Quality of Life and Safety

For Avibras, the professional fulfillment of employees is consolidated by a balance between the individual's professional excellence, safety, health and quality of life.

To ensure employee safety, Avibras adopts special measures in its infrastructure (read more in Our Products and Services - Operational excellence;).

Additionally it promotes actions beyond the mandatory programs, such as the Specialized Safety Engineering and Occupational Medicine service (SESMT), complementing the Environmental Risk Prevention program, the Hearing Conservation program; the Respiratory Protection program; the Internal Accident Prevention Committee (CIPA); the Defensive Driving course and sun block dispensers located around the company premises.

Quality of life is based on pillars such as family, social interaction, the environment and financial health, among others. To ensure this, the company participates in the “Sesi Healthy Industry” program, aimed at creating a work environment that enables employees to adopt a safe, healthy and productive life style, through the offer of integrated health promotion and quality of life services for employees.

Additionally, the company maintains anti-smoking programs; breast cancer prevention campaigns and others for diseases affecting women and men; guidance on financial health; guidance on pensions and social support for employees' families.

Safety performance

G4-LA6, G4-LA7

The injury rate for men increased by approximately three points between 2014 and 2016. To a significant extent this was due to the increase in the work force during this period. The figure was also affected by the injury rate among employees working in their function for less than a year.

Employee health and quality of life: permanent subjects on the Avibras agenda

Health and safety rates

by employee and gender	2016		2015		2014
by employee and gender	Men	Women	Men	Women	Men	Women
Injuries	17.3	0.4	15.1	5.1	15.7	4.0
Occupational diseases	0	0	0	0	0	0
Days lost	1,112	15	765	0	766	1
Absenteeism	2.0%	2.2%	2.4%	2.6%	2.2%	2.5%
Fatalities	0	0	0	0	0	0

Taxas de saúde e segurança de trabalhadores

Worker health and safety rates	2016			2015			2014
Worker health and safety rates	F1	F2	F3	F1	F2	F3	F1	F2	F3	F4
Injury rate	40.8	18.3	4.5	0.0	13.9	17.8	0.0	15.0	12.6	12.77
Occupational disease rate	0	0	0	0	0	0	0	0	0	0
Total Days lost	2	1,120	0	0	750	15	0	717	13	37
Absenteeism rate	0.9%	2.7%	0.0%	0.0%	2.0%	0.7%	0.0%	2.9%	0.6%	0.5%
Total Fatalities	0	0	0	0	0	0	0	0	0	0

F1: Avibras Installation 1 located in São José dos Campos;
F2: Avibras Installation 2 located in Jacareí;
F3: Avibras Installation 3 located in Lorena;
F4: Avibras Installation 4 located in São José dos Campos (this facility was closed in 2014, and its activities were transferred to F2. This is the reason the installation does not appear in 2015 and 2016).

Target

For 2017, Avibras has the target of reducing cases of injury, as well as to start monitoring cases involving third-parties who provide services for the company.

The company has rigorous safety measures in place to protect the physical integrity of its employees. The same attention is given to security measures designed to preserve its installations, products and confidential information.

Avibras invests in programs to ensure employee health and well being

Complaints and grievances related to labor practices

GRI G4-LA16

	2016	2015	2014
Filed	15	10	8
Addressed to the sector responsible	15	8	8
Resolved	1	3	1
Filed before the period and resolved during the period	3	3	6

Performance appraisal

Initiated in October 2015, the objective of the Performance Appraisal Program is to monitor employee performance and promote their development as well as that of the company over time. This represents an opportunity for interaction and feedback for all.

The initiative is part of the “Avibras + 50” program, aimed at developing strategic measures to guide the company's sustainable development over the next 50 years.

The program is aimed at generating shared value for the entire business chain and the stakeholder groups with which the company has relations.

Valuing employees and enabling them to visualize their prospects for growth, in addition to emphasizing the importance of their development, drives value creation, motivation and professional development.

An exclusive communication channel with employees at all the company's installations

Satisfaction in the work environment

G4-LA16

As a company Avibras is evolving constantly. To remain abreast of the changes and challenges, it needs professionals who are intensely committed to its culture.

The results of the work done by each employee reflect their choice and their commitment to the future. Employees seek to grow with the company, learning every day and investing in their personal and professional development.

The company's strategic planning provides for the implantation of a formal process to measure levels of satisfaction in the work place. This will be introduced in the near future.

Currently, the company has an indicator that measures complaints about labor practices, managed by the Human Resources area. In 2016, the questions most frequently addressed concerned occupational diseases, overtime and work accidents.