Growing with purpose Sustainability Report 2018 - Kelly Services
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Growing with purpose Sustainability Report 2018
Contents / 2
Contents
3 / Introduction 13 / Our Corporate Sustainability Strategy 47 / Materiality
4 / Message from our President and CEO 14 / 2018 Corporate Sustainability milestones 48 / Materiality process
5 / Q&A on our new Corporate Sustainability Strategy 16 / Corporate Sustainability policy
50 / Stakeholder engagement
6 / Our business: products and services 17 / Ethics and business conduct
51 / Stakeholder engagement matrix
7 / Mission, vision, and values 19 / Employees and people
8 / Global representation and value chain 24 / Diversity, inclusion, and equal opportunity 54 / UN Global Compact Commitment
10 / By the numbers 29 / Nondiscrimination and compensation philosophy
57 / About this report
11 / Mergers, acquisitions, investments, and divestitures 30 / Engagement
12 / Recognition 33 / Occupational health & safety and environment 59 / GRI Index
41 / Supply chain and customer relations
43 / Supplier Code of Conduct
45 / Diverse supplier strategy
Contents / 3 Message from our President and CEO Q&A on our new Corporate Sustainability Strategy Our business: products and services Mission, vision, and values Global representation and value chain By the numbers Mergers, acquisitions, investments, and divestitures Recognition Introduction
Introduction / Message from our President and CEO Contents / 4
Message from our President and CEO
Welcome to Growing with Purpose, transparent and competitive. To achieve these Sustainable Development Goals. While there is
Kelly’s Corporate Sustainability Report goals, we have produced the Growing with much more to do in this area, Kelly’s new strategy
Kelly Services® was built upon a heritage of strong Purpose sustainability report that follows, based puts us on the path to doing it. Kelly’s sustainability
ethical standards and a commitment to excellence. on six strategic pillars: strategy has the potential to change business as
Integrity, treating every person with respect, and • Ethics and Business Conduct usual, creating shared value for all our stakeholders.
always doing the right thing have been the guiding
• Employees and People We look forward to reporting to you regularly
principles that have sustained our business for more
• Engagement on the sustainable future we are creating as we
than 70 years. It is these principles that have led
continue to grow with purpose.
to the success Kelly’s enjoyed for almost three- • Occupational Health & Safety and Environment
quarters of a century.
• Supply Chain and Customer Relations
In recent years, corporate sustainability strategies • Communications, Evaluation, and Reporting
have continued to evolve and grow in their level
of sophistication. Many strategies now include We believe our approach to sustainability will
new focus areas and technology that our guiding enable us to do business in a socially responsible
principles need to address. Businesses like ours manner as part of an ethical environment. For us, George Corona
have come to realize that a formal corporate sustainability is a value that can be embedded President and CEO
sustainability strategy will produce guidelines in our everyday work practices. As of 2019, we
that create greater accountability, increase long- Kelly Services
started supporting the UN Global Compact and
term stakeholder value, as well as make us more we are committed to aligning our initiatives to its
Introduction / Q&A on our new Corporate Sustainability Strategy Contents / 5
Q&A on our new Corporate Sustainability Strategy
—Tim Dupree, Vice President and Managing Director, Global Service —Belen Benitez, Corporate Sustainability Lead
Q1. Q2. Q3. Q4.
Why did Kelly® decide to move from Corporate What were the Corporate Sustainability What are the biggest challenges you face when What outcomes are expected after
Social Responsibility initiatives toward a achievements you were most proud of in 2018? implementing the Sustainability Strategy? the Corporate Sustainability Strategy
Corporate Sustainability Strategy? What was the implementation, short and long term?
case for change? I am most proud of the level of commitment that There are several challenges involved when
we have been able to achieve across all levels implementing a Corporate Sustainability Strategy. We truly believe that connecting people to work in
It was based on the need to ensure that the of the company in response to the Corporate Our industry has a huge opportunity to make a ways that enrich their lives is Kelly’s purpose. To do
investments we are making as a company are Sustainability changes we introduced in 2018. social impact and that is our main focus, while so, we need to be coherent and socially responsible
aligned to our long-term strategy. Sustainability is We have established a Sustainability Governance still addressing environmental improvement in all ways possible. Therefore, our short-term goals
intended to create long-term value across multiple team who is actively engaged in aligning our opportunities. There is a learning curve involved in involve making sure Kelly is not only compliant,
dimensions—social, economic, environmental, policies to our strategy, as well as making business this process: business units need to understand how but also a leader in good, sustainable practices
and cultural. We want to ensure that the business decisions that integrate sustainability as a company their job connects to our sustainable performance internally. In the long term, we aim to be a reference
decisions we make every day are proactively value. Our initiatives reflect our commitment and also the importance of collaborative work with point in our industry for sustainable performance—
aligned to our noble purpose and business and are coherent with our sustainable proposal. other areas of the organization. We are part of the addressing environmental, social, and economic
strategy. As a result of our more proactive and For example, we have introduced Engage—our supply chain of 20,000+ companies worldwide, so challenges in the most responsible manner, while
disciplined approach, we will be able to clearly new volunteer program where our employees we need to create shared value for our customers creating a positive impact for society and the planet.
focus on ensuring compliance to our sustainability can take paid personal time to volunteer in in ways that are also aligned to their own business
commitments with transparency to our clients, their communities—which shares know-how in strategies. Therefore, we must be proactive
shareholders, and employees. alignment with our company’s strategic pillars, while and demonstrate that Kelly is, by all means, a
addressing community needs. sustainable business partner.
Introduction / Our business: products and services Contents / 6
Our business: products and services
As the founder of the staffing industry, Kelly workforce solutions leader—delivering expertise In addition, we provide comprehensive workforce
has been connecting great people and great in a number of specialty services across education, management solutions globally to help many of
companies for the past seven decades. Small engineering, IT, finance, science, and beyond. the world’s largest companies plan, attract, and
and large businesses alike trust our expertise in These specialty services complement our expertise manage their workforce through our outsourcing
providing solutions that span the entire spectrum of in staffing for administrative/office clerical, contact and consulting group KellyOCG®—including
staffing, outsourcing, and consulting. We’re always center, and light industrial and electronic assembly. customized contingent, recruitment, and business
thinking about and defining what’s next in the Kelly supports a wide spectrum of industries; process outsourcing solutions. Additional
evolving world of work, and we help people ditch however, our main focus is on energy, life sciences, innovative solutions extend from talent advisory to
the script on old ways of thinking and embrace the consumer brands, industrial/manufacturing, and career transition services.
value of all workstyles in the workplace. financial services/insurance. We support both public
and private companies; local, state, provincial,
Over the past several decades, we have progressed territory, and federal government; school districts;
from a United States-based company concentrating and organizations of all sizes—from Fortune 100
primarily on traditional office staffing into a companies to small, local businesses.
Introduction / Mission, vision, and values Contents / 7
Mission, vision, and values
Our business is focused on improving the lives Our vision Our values
of our employees, our clients, our suppliers’
To provide the world’s best workforce solutions. Collectively and individually, we are judged by OUR REVITALIZED BRAND
employees, their families, and the communities the return we provide to our shareholders and Late in 2018, Kelly introduced our revitalized
where we live and work. After all, the future of work Our character stakeholders. We wish to include the following brand identity with the tagline: What’s Next. This
is really about the future of humankind. We are the authentic founders of the industry. We values as part of that return: identity signals that we will boldly approach the
believe in relationships, not transactions. We value future of work, while championing nontraditional/
• We are personally responsible for our actions,
teamwork, realizing that we are stronger together independent workers and workstyles and their
outcomes, and reputation.
than as individuals. We take the promises we value in the modern workplace.
make seriously. We are passionate, dedicated, • We build strong relationships and create Kelly
and driven to excel. With us it has never been advocates for life.
about being the biggest. It has always been • We own and resolve customer and candidate
about being the best and doing the right thing. issues with urgency.
At our core, we are a community. Each day we
• We treat every customer, employee, and supplier
welcome into our community the varied talents
with respect and integrity.
of all people who embrace our culture of service,
teamwork, and integrity. We offer the opportunity • We continuously seek opportunities to innovate
to work with the best companies in the world, and and improve the Kelly experience.
to make a difference in the communities in which
we live and work.
Introduction / Global representation and value chain Contents / 8
Global representation investments, and value chain
Our operations are divided into three principal Group segments into a single delivery organization, meet customer needs across the entire spectrum
business segments: Americas Staffing, Global triggering a change in our operating structure. We of talent categories. Using talent supply chain
Talent Solutions (GTS), and International Staffing. now provide staffing through our branch networks discipline, GTS helps customers design, execute,
In July 2016, we expanded our joint venture with in our Americas and International operations, with and manage workforce programs that enable them
Persol Holdings (formerly Temp Holdings) to form commercial and specialized professional/technical to connect with talent across all workstyles (full-
PersolKelly Asia Pacific (the JV) and moved our staffing businesses in each region. time, contract, temporary, etc.), gaining access to a
APAC staffing operations into the JV. vast network of service providers—achieving their
We also provide a suite of innovative talent business goals on time and on budget.
In early 2017, we restructured components of our fulfillment and outcome-based solutions through
previous Americas Commercial, Americas Professional our Global Talent Solutions (GTS) segment, which
and Technical, and Outsourcing and Consulting delivers integrated talent management solutions to
Introduction / Global representation and value chain Contents / 9
Kelly global footprint
AMERICAS EMEA APAC*
Temporary Staffing
Argentina Angola Libya Australia
Business and Professional Services
Brazil Armenia Luxembourg China Managed Service Provider
Canada Austria Netherlands Hong Kong Recruitment Process Outsourcing
Colombia Belgium Norway India
Costa Rica Croatia Oman Indonesia * Temporary staffing serviced through
PERSOLKELLY, Joint Venture with PERSOL
Mexico Czech Republic Poland Japan Group, or strategic partners
Puerto Rico Denmark Portugal Malaysia
Trinidad and Tobago France Russia New Zealand
United States Georgia Saudi Arabia Philippines
Germany Spain Singapore
Hungary Sweden South Korea
Iraq Switzerland Taiwan
Ireland Turkey Thailand
Israel United Arab Emirates Vietnam
Italy United Kingdom
Kazakhstan Ukraine
Introduction / By the numbers Contents / 10 By the numbers Kelly has approximately 1,200 employees at its We have a worldwide presence in 55 countries. We occupy a leading position in the K-12 Gross profit: 17.6% corporate headquarters in Troy, Michigan, and educational staffing market in the U.S. approximately 7,900 employees throughout our global network. Kelly provided employment to more than We rank as one of the world’s largest scientific 2018 revenue: $5.58 billion 500,000 in 2018. staffing providers in markets where we operate.
Introduction / Mergers, acquisitions, investments, and divestitures Contents / 11
Mergers, acquisitions, investments, and divestitures
Acquisitions 2017 Acquisitions 2018 Divestitures
Teachers On Call NEXTGEN In April 2018, we sold Kelly Healthcare Resources
A provider of substitute teacher staffing services A leading provider of telecommunications, to InGenesis®. In December 2018, Kelly Legal
for K – 12 public, private, and charter schools, and wireless, and connected technology staffing Managed Services was sold to Trustpoint One.
early child care centers. The acquisition further solutions to Fortune 500® companies, that would Resources from the sale supported investment in
expands Kelly’s leadership position in the K – 12 support the meeting of challenges in the ever- other areas in which Kelly specializes.
market, where Kelly Educational Staffing® (KES®) is changing tech landscape for our clients across the
the largest provider of substitute staff across the U.S. and selected global markets. Investments
U.S., filling more than 2.8 million classrooms in In June 2018, the Kelly Innovation Fund invested
the last school year and servicing more than 7,000 GTA in Kenzie Academy, a tech apprenticeship program
schools across 35 states. A leading provider of engineering, technology, that develops modern tech workers. In August
business consulting, and software solutions and 2018, Kelly invested in Business Talent Group,
services for the telecommunication industry. a U.S.-based marketplace that connects highly
skilled independent talent to some of the world’s
largest companies.Introduction / Recognition Contents / 12
Recognition
• KellyOCG was recognized as best of the • Human Resources vendor of the year 2018. • Kelly is named among Forbes’ list of America’s
best by IAOP®. IAOP’s The Best of The Global KellyOCG in Malaysia and in Singapore both best recruiting firms for 2018.
Outsourcing 100® list recognizes the world’s received the Gold level award in the category of
best outsourcing service providers, with this Best Recruitment Process Outsourcing Partner as • Intel® Supplier Continuous Quality
year’s list a culmination of the very best from the a Human Resources Vendor of the Year for 2018. Improvement awards. KellyOCG received the
last ten years. This is the third year in a row for KellyOCG in Intel SCQI award for Supplier Achievement.
Malaysia to place at the Gold level, and the first
• America’s top corporations for women’s • Women’s Business Enterprises National
year for KellyOCG in Singapore.
business enterprises (WBES) awards, Council (WBENC) named Kelly to its 18th annual
recognizing corporations that have • Michigan Minority Supplier Diversity Council list of America’s top corporations for Women’s
demonstrated a sustained commitment to the (MMSDC) Ace Awards. Kelly was recognized by Business Enterprises (WBES).
inclusion of female-owned businesses in their the Michigan Minority Supplier Diversity Council
supply chain. as a 2018 ACE Awards recipient in two categories:
“Corporation of the Year” Professional Services,
• Kelly was named to Flexjobs® 2018. For the the ninth time in 10 years; and our Principal for
sixth year in a row, we have been named as a top Global Diversity Solutions, Brenda Marshall, was
100 company for remote work, earning the #8 awarded National “Corporate Advocate” of the
spot on the list. Year for the second consecutive year.Contents / 13 2018 Corporate Sustainability milestones Corporate Sustainability policy Ethics and business conduct Employees and people Diversity, inclusion, and equal opportunity Nondiscrimination and compensation philosophy Engagement Occupational health & safety and environment Supply chain and customer relations Supplier Code of Conduct Diverse supplier strategy Our Corporate Sustainability Strategy
Our Corporate Sustainability Strategy / 2018 Corporate Sustainability milestones Contents / 14
2018 Corporate Sustainability milestones
Transition from Corporate Social Materiality assessment with We hired 8,094 veterans. 700+ employees participating in our
Responsibility responsive program participation of 238 internal and corporate volunteering program.
toward a Corporate Sustainability external stakeholders across This represents 5,000+ hours of
Strategy. 10+ countries where the service to their local community.
company operates.
KellyConnect® has engaged
approximately 400 individuals with
Corporate Sustainability disabilities for work opportunities. $142,000 contributed to
Strategy aligned to the Global We conducted our first formal social causes.
Sustainable Goals. stakeholder engagement to validate
our material topics, understand
their main concerns, and align our
Our Leadership in Action program
Corporate Sustainability initiatives 100 tons of material recycled.
reached approximately 800
100% of suppliers committed to our to respond more effective to their
participants—designed to develop
Code of Business Conduct. issues and concerns.
and build our internal talent
community.
Diverse supplier programs generated
$1+ billion in investments that
help them contribute to economic
sustainability in minority communities.Our Corporate Sustainability Strategy / 2018 Corporate Sustainability milestones Contents / 15
Kelly has always embodied the true spirit of
corporate social responsibility, and we are
for implementing internal actions toward these
ends. These guidelines provide procedures and
Transition from Corporate Social
committed to the highest standards of corporate tools to ensure the applicability of the strategy on a Responsibility responsive programs toward
citizenship. Our culture and values are rooted in
service, integrity, and taking personal responsibility
worldwide basis—guaranteeing the same standards,
metrics, and objectives for all our operations.
a Corporate Sustainability Strategy
for our actions, outcomes, and reputation.
This strategy has been developed with
Since 2017, we embarked on a transformation consideration given to the perceptions of our January Feb. – May July January February
from historically reactive Corporate Social stakeholders, as well as its impact on business 2018 2018 2018 2019 2019
Responsibility initiatives, toward a long-term operations. In early 2018, we conducted a
Corporate Sustainability Strategy aligned to our material assessment that helped us define
business core which contributes to the Sustainable the policies and guidelines of our Corporate Materiality Corporate Corporate Engage Kelly Services, Inc.
Development Goals. Responsibility Strategy. This helped us identify assessment Sustainability Sustainability program joins the United
the main concerns and actions on which we need Strategy design Strategy launch Nations Global
This new sustainability approach, rather than being and planning implementation Compact
to focus: namely, to support the Triple Bottom
philanthropic, is strategic to our business values. Line* of our business model, and to respond more
It is based on the concept of social investment, effectively to stakeholders.
which, instead of aiding on isolated occasions,
ensures the creation of future development Permanent monitoring of this strategy will be
capacities. We aim to guide all our subsidiaries and conducted on an annual basis by means of an
collaborators in the planning, management, and interdisciplinary perspective assessment involving
implementation of sustainable strategic approaches cross-functional areas within the company. Progress in
that create measured and impactful shared value to our Corporate Sustainability Strategy will be reported
all our stakeholders. on an annual basis through the Global Reporting
Initiative Standard (GRI), and Communications of
Our Corporate Sustainability Strategy is defined Progress (following the UN Global Compact), which
as an initial two-year, integrated decision-making was signed in February 2019.
strategy that provides comprehensive guidelines
*The Triple Bottom Line (TBL) is a concept that includes social and environmental considerations to the business model in addition
to the financial ones. It measures a company’s degree of social responsibility, its economic value, and its environmental impact.Our Corporate Sustainability Strategy / Corporate Sustainability policy Contents / 16
Corporate Sustainability policy
We consider sustainability to be a guiding
principle in strengthening the relationship with our
Corporate Sustainability Strategy
global workforce, suppliers, and customers. As a Kelly’s corporate sustainability commitments are built around six pillars:
leading provider of global workforce solutions, we
connect people with employment opportunities
and make a difference in the communities in Ethics and business
which we live and work. Through our programs conduct
and initiatives, we seek to contribute to improving
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the quality of life of our employees, their families,
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environmentOur Corporate Sustainability Strategy / Ethics and business conduct Contents / 17
Ethics and business conduct
Kelly is committed to doing the right thing, monitoring and communicating environmentally Employees must comply with the Code and
conducting ourselves in a legal, ethical, and and socially relevant topics, and for creating conduct themselves in a legal and ethical manner.
trustworthy manner, strictly upholding our strategies to address them timely and appropriately. They are also responsible for ensuring that our
regulatory obligations in every country in which suppliers, agents, and representatives are aware
we operate, and complying with both the letter Kelly complies with the listing standards of the of their obligations to do the same. The Code of
and spirit of our business policies and values. Nasdaq® Global Market pertaining to controlled Conduct is reviewed and benchmarked annually
Our commitment is to remain accountable for our companies. Our Board of Directors, management, to adjust it against best-in-class performers and
actions and to our goals. and the Kelly company are judged by the return business requirements.
provided to shareholders.
Governance We do not tolerate any form of unethical behavior.
Our Board of Directors is responsible for leading Diversity and inclusion are important to us and we We have implemented a reporting system, allowing
effective governance over the affairs of the company, expect to lead operations throughout our business employees at all levels, as well as suppliers, to
for the benefit of all our stakeholders. They are based on these principles. Diverse representation in report any wrongdoing anonymously and conduct
committed to acting in good faith, on an informed our board is important to ensure a better decision- investigations when required. This reporting system
basis, maintaining an honest belief that their decisions making process. Kelly has nine directors: three is administered by an independent third party.
are made in the best interest of the company. of which are female, and six are male. Two of our
directors are ethnically diverse. Kelly places great value in our partnerships; we
Our principles of corporate governance provide expect and require ethical behavior from our partners.
a framework of responsibilities and procedures Code of Business Conduct and Ethics We have spent considerable effort developing a vast
that guide the management of the Board. These The Board of Directors has adopted a Code of global network of partnering suppliers that work
principles, which are reviewed regularly, relate to Business Conduct and Ethics, applicable to all on a daily basis to support their client programs
the qualifications of our director, the criteria for employees at all levels, and at all locations of worldwide. This supplier network is one of our
independent directors, the size of our board, tenure, employment. The Code is intended to help all company’s strongest competitive advantages as well
planning for succession, compensation, and more. employees and collaborators identify and resolve as one of our greatest responsibilities.
ethical issues, deter wrongdoing, and to provide
The Sustainability Governance team is responsible mechanisms to report dishonest or unethical
for structuring and overseeing the Corporate conduct, as well as fostering a culture of honesty
Sustainability Strategy. This team is responsible for and accountability.Our Corporate Sustainability Strategy / Ethics and business conduct Contents / 18
Suppliers that work with us trust us to treat them • Anti-bribery/anti-corruption: All Kelly employees • Confidential and customer data privacy:
fairly and help them grow their businesses, and in are subject to anti-bribery/anti-corruption policies With each form of new technology, there is an
return we have developed a set of ethical conduct and have an obligation to comply with the U.S. increasing awareness of the need to ensure how
and business standards that we encourage all our Foreign Corrupt Practices Act (FCPA) as well as to confidentiality and personal data are managed and
partners and suppliers around the globe to meet. all other country-specific anti-bribery and anti- protected. This is especially true for companies
These standards are stated in our Supplier Code of corruption laws. Employees may not give, promise, such as Kelly, which have access to large volumes
Conduct, covering topics related to ethical business or offer anything—no matter how small in value—to of personal data from our employees, customers,
conduct, employees and people, human rights, and any customer, government employee, or other suppliers, and other stakeholders. In 2018, we
environmental sustainability. It is mandatory that all person for the purpose of improperly influencing implemented a standardized procedure order to
suppliers adhere to the Supplier Code of Conduct, a decision, securing an advantage, avoiding a comply with General Data Protection Regulation
and to recommit to it prior to taking on a new disadvantage, or obtaining or retaining business. standards (GDPR). We communicated those
assigned task. Each employee is required to annually certify procedures through obligatory trainings to all
compliance with the principles outlined in the code our employees and have amended the Supplier
Kelly Code of Business Conduct addresses areas as well as participate in FCPA and anti-bribery/anti- Code of Conduct with a statement regarding the
such as: corruption training each year. GDPR Data Privacy Agreement. This document is
• Conflicts of interest: Occur when a Kelly mandatory to all our workforce solution suppliers.
employee’s individual private interest interferes
with, or appears to interfere in any way, with
the interests of the company. Employees are
responsible for avoiding such conflicts and to
communicate any such situation in a timely manner.Our Corporate Sustainability Strategy / Employees and people Contents / 19
Employees and people
We take seriously our responsibilities to protect,
support, and prepare workers for successful careers
their lives—whether it is building upon their
existing expertise, learning new skills, or getting
New employee hires in 2018 (U.S.)
and to advocate on their behalf. Our efforts are a new opportunity with an admired company. Full-time internal employees / Total hires: 1,179
focused on providing career opportunities and Our commitment to people, in turn, drives our
resources to the global workforce, and to lead obligation to social responsibility. BY AGE Under 30 30 – 50 Over 50
by example in areas such as workplace safety,
Kelly maintains a number of initiatives that ensure 34% 53% 13%
health, wellness, diversity, inclusion, and training
and development. We believe in opportunity for our working conditions and promote our principles
all and are steadfast in our commitment to equal of good corporate citizenship in all our operations
employment opportunity, the protection of human worldwide. BY GENDER Male Female
rights, and the prevention of human trafficking. 32% 68%
Working/labor conditions
At Kelly—by the very nature of what we do— Our workforce is the most important asset of
talent is truly our business. No matter which our business. We have implemented worldwide
industry or client we are serving, our business standards to guarantee fair business practices along
hinges on delivering the best talent and skills. our supply chain, and we have the responsibility
Since many companies allocate nearly 60 percent to provide our workers with benefits and resources Employee turnover rate in 2018 (U.S.)
of their expense to talent, our partnerships with they need to grow. We are proudly ranked in the Total employees: 1,192
customers offer a critical resource through ongoing top five percent of the supplier’s assessment by
consultation and real-time workforce strategies. EcoVadis regarding fair business practices. Under 30 30 – 50 Over 50
BY AGE
Kelly provides employment opportunities to 20.5% 58% 21.5%
more than 500,000 individuals around the
globe. Our goal with these workers is to enrich
BY GENDER Male Female
33% 67%Our Corporate Sustainability Strategy / Employees and people Contents / 20
Number of employees in 2018, globally Employment in 2018, in Americas
Employed by contract, including permanent and temporary
BY GENDER Male Female
BY REGION Americas EMEA APAC
86%
70%
25%
75%
25%
14%
5%
Permanent employees: 7,729 Temporary employees: 556,000
NOTE: Excludes employees of the
PERSOLKELLY joint venture
Full-time employees
BY GENDER, in the U.S. Male Female
Full-time internal employees Total 4,693
30% 70%Our Corporate Sustainability Strategy / Employees and people Contents / 21
Standard benefits Parental leave Return to work and retention rates
We provide additional standard benefits for all
our full-time employees, including: life insurance; In 2018, our employees benefited from our paid parental leave program in the U.S.
BY GENDER Male Female
retirement plans; paid holiday, time off and sick
days; paid parental leave; disability income: basic BY GENDER Male Female
and supplemental; group term life and accidental
death and dismemberment; business travel
10% 90%
accident plan; health savings account; health care
spending; dependent care spending; transportation Participated in parental leave program: 60 employees 83% 93%
spending; vacation purchase; voluntary legal
plan; educational assistance; employee assistance
program; bereavement; paid volunteer day;
employee discount program; and group home and Returned to work after Returned to work after
auto program. taking parental leave taking parental leave
Kelly’s leadership
ranks are 67% 63%
53% female.
Retention rate Retention rate
(still employed) (still employed)Our Corporate Sustainability Strategy / Employees and people Contents / 22
Human rights with our partners and suppliers to guarantee our compliance with all applicable child labor laws— bargaining and social dialogue. All employees
Kelly has a global commitment to protect its labor practices and working standards which are including those relating to minimum age limits, shall be free to join, or to refrain from joining,
employees and candidates against any type of attached to our Supplier Code of Conduct. limitations of working hours, and prohibition trade unions or similar external representative
trafficking and will not partner with any organization against certain types of work—are mandatory. organizations. However, Kelly has not identified a
Human trafficking and slavery Kelly understands that opportunities may arise unionist workers’ association within the company,
that condones or has practiced any type of human
trafficking. We have stated our commitment to Kelly does not and will not permit its employees, for the placement of minors under the age of 18 nor in the industry.
addressing this issue through our Human Trafficking subcontractors, vendors, suppliers, or other entities and has therefore implemented a policy to ensure
doing business with Kelly to engage in any form its compliance with federal labor law and OSHA Kelly respects the rights of all employees to engage
Policy Statement, Code of Business Conduct and
of human trafficking or modern slavery. We have regulations. This policy is extended to all countries in protected activities, including those of freedom
Ethics, and the UK Modern Slavery Transparency
communicated specific guidelines on actions that of operation and respects all internationally of association and collective bargaining. Employees
Act statement. Kelly also conducts annual quality
may be considered as human trafficking and slavery proclaimed human rights. may engage in activities without fear of intimidation
audits to confirm and reinforce our regulatory and
that we do not accept under any circumstance. or reprisal, in accordance with applicable law.
corporate policy obligations related to compliance
In the U.S., Kelly complies with laws in all 50 states, Kelly believes in its policies and procedures, which
with the principles of human rights.
Kelly prohibits retaliation against anyone who files including the District of Columbia and Puerto Rico, encourage employees to work with their Kelly
Forced or compulsory labor a complaint or reports a suspected violation of this as well as federal laws regarding the employment representative to problem-solve potential disputes.
policy. Any employee or other party who violates of minors. Kelly thoroughly vets its placement of
Kelly has a zero-tolerance policy against any form or
this policy will be subject to appropriate discipline minors and does not permit them to be placed in
human trafficking or related activities, including any
by Kelly, including, but not limited to, disclosure of certain high-risk jobs, including manufacturing and
form of unlawful employee harassment, retaliation,
the violation to government officials, when required warehouse positions.
forced or compulsory labor, sex trafficking, child
by law or contract, and immediate termination.
labor, or any type of debt peonage. Freedom of association and
Child labor collective bargaining
Kelly employs approximately 7,900 employees with
whom it has an “at-will” employment relationship. Our Code of Business Conduct and the Supplier Kelly states that partners and suppliers should
Our talent supply chain spans 55 countries across Code of Conduct state that in our business recognize the need to guarantee the right to
six continents, in which we have worked together practices, as well as in our partners and suppliers, freedom of association and to promote collectiveOur Corporate Sustainability Strategy / Employees and people Contents / 23
Career development opportunities • Some of the available training opportunities in • Currently, KLC also offers a “My Career” program,
and training KLC are: which provides management tools to help design
As a global employer, we play a major role in - SHRM Certification Program for selected business and career goals, as well as offering a
building future talent and shaping a diverse Partnered Staffing employees framework for the exchange of feedback. The
workforce that effectively responds to workforce program, as well as its objectives, is evaluated
- PMP Certification training in the learning annually by managers and their team members.
trends and opportunities in all industries where we
management system and a study session led However, for 2019, in conjunction with updated
operate. We are committed to providing today’s
by Kelly project management professionals competencies, we expect to improve our
talent with the resources and support tools necessary
to advance their careers and work opportunities. - Six Sigma Certification training curricula platform and intend to track and measure regular
(Yellow, Green, and Black Belt) performance and career development reviews
The Kelly Learning Center (KLC) provides a using a more formal and homogeneous process.
- AGILE training is offered
learning platform that offers employees the ability
to enroll in virtual instructor-led courses, web-based - Leadership Development program, offering
training, and videos/seminars to enable employees training on how to become a leader and
to learn and grow. This online learning community is enhance leadership skills, offers experiential
available for free to all employees, which consists of training, and learning from the framework of
a range of topics in which we constantly encourage others
employees to participate. The participation of our - Leadership Learning Circles, focusing on
employees in the KLC is as follows: specific leader skills, such as inclusion
• Approximately 19 hours of training per employee. - For promoted employees and new hires in the
first 90 days: new leader training program
- Transition assistance programs provided to
facilitate continued employability as well as
the management of career terminations due
to retirement or other causesOur Corporate Sustainability Strategy / Diversity, inclusion, and equal opportunity Contents / 24
Diversity, inclusion, and equal opportunity
Our diversity and inclusion (D&I) approach is a
multidimensional strategy across emerging and
2018 diverse impact summary
mature markets to maximize business results
and create opportunities in underrepresented $1+ billion 81%
workforces. This strategy covers supplier diversity,
workforce diversity, and workplace diversity. Diverse supplier programs generated $1+ billion in Diverse spend in STEM, operating in business
investments that help them contribute to economic professional categories (science, technology,
Today, we have a diverse workforce of more than sustainability in minority communities engineering, and mathematics), yields a greater ROI
half a million employees globally. It is important to
us that our workforce reflects the diverse regions,
industries, and customers that we serve. 27,000+ hires from 500 diverse suppliers
Kelly’s investment in D&I began in 1979 and
diverse suppliers An inclusive sourcing strategy ensures business
has evolved to become a key component of our The economic impact of diversity goes beyond opportunities where diverse suppliers can compete
business strategy with the formation of the D&I spend and extends to job creation in the on a level playing field
Executive Council in 2003 (formerly SDAC). community
Left to Right: Duane M. Green, Director, Diversity &
Inclusion; Hannah Lim-Johnson, Chief Legal Counsel; and
Brenda Marshall, Principal, Global Diversity Solutions.Our Corporate Sustainability Strategy / Diversity, inclusion, and equal opportunity Contents / 25
We offer a variety of specialized programs to day, 600 per month, and 7,200 per year. In 2018, program, which matches those who have served in
promote talent and address the unique needs
and capabilities of the disabled, minority groups,
Kelly hired 8,094 veterans. the National Guard and any of the Reserves to jobs
and careers.
In 2018, Kelly hired
women entrepreneurs, military members and their
families, young people, and the semi-retired.
Kelly Veteran Employment and Transition Services
(KVETS): our in-house recruiting program that aligns Kelly is committed to complying with the U.S. 8,094 veterans.
the military experience and skills of veterans to Americans with Disabilities Act and similar
Support for military veterans. While many learned customer-defined requirements. regulations around the world. We value having
skills and tools for success are industry-specific, a diverse population of employees, which
some highly valued traits are universally sought Government solutions team: made up primarily includes employing and accommodating those
across a variety of industries and occupations. of veterans, this team seeks to match veterans with with disabilities and creating opportunities for
Our clients seek universally accepted attributes open positions. Ninety-five percent of the team’s everyone to contribute their unique skills to our
such as leadership, adaptability, problem-solving, time is dedicated to recruiting service members, company for the benefit of our customers. We also
dependability, and persistence. These are often key veterans, and military spouses—both with and maintain relationships with vocational rehabilitation
attributes of current and former members of the without security clearance. organizations, professional networking associations
armed services. that support the disabilities community, as well as
U.S. Military Pipeline: a cloud-based solution
partnerships with government or publicly funded
To match those traits with job opportunities, we enabling veterans to locate jobs after fulfilling their
disability resource programs.
have created multiple initiatives to engage with military duties, allowing them to create candidate
U.S. veterans, current reservists, and military profiles that can be matched with employment
spouses. On average, Kelly hires 20 veterans per opportunities within our customer base. The U.S.
Military Pipeline also feeds into the Hero2HiredOur Corporate Sustainability Strategy / Diversity, inclusion, and equal opportunity Contents / 26
Women in Leadership: Kelly was founded in 1946, including recognition on the Michigan Women’s better equipped to deliver strong results. Through
at a time when women were beginning to enter the Leadership Index (a biennial snapshot on the status all of our initiatives, LIA strives to execute Kelly’s LIA’S EVENTS, 2018:
workforce in large numbers. The introduction of of women at the highest levels of governance in business strategy while exhibiting the company’s
• June 22, 2018
the “Kelly Girl” was the first true recognition of the Michigan’s largest 100 publicly traded companies). vision, values, and character.
Getting to Know InForum
free-agent principle. Husbands and sons had left
LIA: Our commitment to leadership development Currently, LIA has 798 participants (499 females and 247 participants
to fight a war, leaving women to make ends meet
financially. We recognized this trend, providing is further exemplified in our Leadership in Action 299 males). In 2018, LIA has initiated a relationship
• June 27, 2018
opportunities for women to earn an income (LIA) business resource group. LIA was originally between Kelly and Best Buddies; solidified an
Connecting People to Work in Ways that Enrich
and balance their commitments outside of the formed over 10 years ago with a goal of helping already existing relationship between InForum® and
their Lives
workplace—a commitment that continues today. to support the advancement of women into higher Kelly; was one of strategic sponsors for the HAVEN
301 participants
levels of leadership. In the last few years, LIA’s clothing drive; and initiated the internal Inclusive
In 2016, more than 50 percent of our temporary purpose has evolved into fostering an environment Leader training, as well as Learning Circles, Mentor • October 9, 2018
employee base in North America was made up that is inclusive of all employees, where leaders programs, and intimate professional development Corporate Sustainability: how Kelly is creating
of women, many of whom look to Kelly to help can thrive and achieve personal growth, while sessions for Council members; a book club shared value in a sustainable business model
advance their careers. Our operations also reflect positively impacting Kelly’s business results. At session facilitated by highest-ranking Kelly female 296 participants
the growing role of women in the workforce: LIA, we are committed to creating an environment executive, Teresa Carroll, “How Women Rise”; and
women hold more than 40 percent of leadership where leaders can achieve success by following our a professional development session “Unconscious • Annual LIA planning session
positions at the global senior vice president level purpose of Leaders Lifting Leaders. Bias,” facilitated by Naticia Montgomery, director of
and above. Additionally, 30 percent of our board organizational effectiveness. • Quarterly LIA Steering Committee meetings
of directors is female. In fact, our efforts to recruit, LIA’s mission: We are dedicated to helping prepare
retain, and promote women leaders have resulted and develop Kelly’s current and future men and • Monthly LIA board meetings
in being recognized with a variety of honors, women leaders, knowing that strong leaders areOur Corporate Sustainability Strategy / Diversity, inclusion, and equal opportunity Contents / 27
Diversity and inclusion affiliations
COUNCIL OF
SUPPLIER DIVERSITY
PROFESSIONALSOur Corporate Sustainability Strategy / Diversity, inclusion, and equal opportunity Contents / 28
2018 diversity and inclusion awards and recognition
• Nissan® – Supplier Diversity • Women’s Enterprise USA Top 100 Leaders
in Supplier Diversity
• Baxter – Supplier Diversity
®
2014 – 2018
• Michigan Minority Supplier Development Council • Minority Business News USA Best of
– Corporation of the Year Professional Services the Decade
2000, 2003, 2009 – 2014, 2016, 2017, 2018
• “100%” Corporate Equality Index
• Women Business Enterprise National Council – 2018
Top Corporation
2009 – 2018 • “Bronze” Military Friendly® Employer
from GI Jobs
• Great Lakes Women Business Council – 2017 – 2018
Excellence in Supplier Diversity
• Intel Supplier Diversity Award
2018Our Corporate Sustainability Strategy / Nondiscrimination and compensation philosophy Contents / 29
Nondiscrimination and compensation philosophy
Kelly has implemented formal internal policies to
guarantee its commitment to nondiscriminatory
compensation practices. It’s the foundation for all
Kelly total rewards programs and it illustrates our
Kelly’s total rewards framework
practices and an equal employment opportunity ongoing commitment to pay equity and a Pay for Composed of five key components:
workplace. Our business practices ensure equal Performance culture.
employment in recruitment, selection, training,
compensation, promotion, job transfer, and It is applied using internal guidelines based on
assignments. factors such as: roles and responsibilities; employee
performance, skills, experience, and qualifications;
These opportunities, as well as other conditions, external benchmarking; internal equity; and Base salary
are communicated in our affirmative action policy, geographical location.
which states that all qualified applicants and
employees enjoy the same right to employment Kelly’s total rewards framework is designed to
and advancement opportunities, irrespective of attract and retain talent; provide differentiated
Relational Skills Knowledge
race, color, sex, age, religion, national origin, sexual rewards to recognize key talent; provide market- Short-term
rewards and
competitive and equitable compensation; align incentives
orientation, disability, veteran status, or any other recognition
category under applicable laws. with the budget and financial performance of the
company and business segments; and apply fair
Our Global Compensation Philosophy sets internal and equitable pay practices.
policies to guarantee equitable compensation
to all our employees. The philosophy formalizes This is an important step in our ongoing effort to
and enhances the transparency of our current advocate for our employees and create programs
and tools that reinforce our value as a destination
for top talent.
Benefits and Long-term
Performance Experience
employee incentives
well-being equity/stockOur Corporate Sustainability Strategy / Engagement Contents / 30
Engagement
Kelly understands that it takes all of us working • HAVEN: Kelly partnered with HAVEN to provide of people with developmental disabilities do
together to truly make an impact in the career preparation support and mentoring to not have a paid job in the community. Having
communities where we live and work. We partner HAVEN clients through our trained volunteers. a more robust inclusion program for those with
with local organizations to improve lives and HAVEN is the only comprehensive program for disabilities will enable them to become financially
society as a whole by engaging in activities such as victims of domestic violence and sexual assault independent through their own efforts and will
community service, social investment, and support in Oakland County, Michigan. The organization remove the need for government reliance or
for small or disadvantaged businesses, as well as provides shelter, counseling, advocacy, and parental support.
minorities and women. educational programming to nearly 20,000
people each year. Kelly’s goal is to enable COMPASS will be launched in the Detroit
We also seek to engage with workforce suppliers HAVEN’s survivors to boost their confidence and Territory and Troy, Michigan, as a pilot that aims
who operate under socially responsible business achieve financial independence. We want them to benefit people with IDD in early 2019. Later in
practices, adhering to the professional code to walk away with actionable skills they can use to 2019, this strategy will deploy a U.S. nationwide
of conduct outlined by the World Employment conduct a job search, participate in an interview, outreach and share best practices to support our
Confederation. etc., as these are important next steps in the efforts in delivering a more inclusive workforce
journey to financial independence. and enable people with this condition to become
Community outreach financially independent. To date, KellyConnect
Our engagement pillar supports our stakeholders’ • COMPASS: This partnership between Kelly has approximately 400 individuals with disabilities
main needs and interests in their community and and Best Buddies was established to create a working on their programs. Questions about the
contributes to a stronger sense of commitment to sustainable employment model for individuals program can be sent to Jennifer Dollar:
our core business values by our employees. Our with Intellectual Development Disabilities (IDD), dollaje@kellyservices.com.
purpose is to create a significant shared value while fortifying Kelly’s commitment to social
through sustainable investment in our communities inclusion and development. Through Kelly’s
and our society. Kelly also supports several large- constant evaluation and research processes, we
scale, national organizations. have determined that approximately 80 percentOur Corporate Sustainability Strategy / Engagement Contents / 31
• Future Scientists Program and Scholarship: • March of Dimes: March of Dimes is a U.S. owner-occupied homes, and mobilizing 10,000
This program matches hundreds of college nonprofit organization that works to improve the volunteers to beautify 300 city blocks in six days.
students each year with science internships in health of mothers and babies. Through several Every phase is about people transformation,
companies within chemical, pharmaceutical, fundraising activities such as jeans days, VIP those served, and those who are serving. In 2018,
and biotechnology industries. We awarded parking spots, 50/50 raffle tickets, auctions, and a more than 120 Kelly employees from HQ and the
three scholarships in 2018 to the interns who walk, we raised approximately $52,000. Detroit Territory volunteered nearly 1,000 hours.
wrote the strongest essays on contemporary
science topics. Since the program’s inception • United Way: Kelly has a 40-year relationship with ENGAGE: our corporate volunteering program
in 2000, we have awarded 81 scholarships and United Way, an organization engaged in nearly Our employees actively participate in multiple
placed more than 7,200 interns on projects in 1,800 communities across more than 40 countries volunteer activities that support their commitment
biomanufacturing, quality control field research and territories worldwide. They are focused on in initiatives, focusing on three main areas:
studies, biology, and biochemistry. creating community-based and community-led • Diversity and inclusion
solutions that strengthen the cornerstones for a
• Future Engineers Program and Scholarship: good quality of life through education, financial • Talent, skills, and training for labor
We support and reward the enthusiasm and stability, and health. • Vulnerable communities and workforce reinsertion
dedication of thousands of engineering students
in the U.S. and Canada by providing a $5,000 • LIFE REMODELED: Life Remodeled exists Kelly has implemented the philosophy of the
scholarship annually to a second- or third-year to bridge people across divides in order to Engage program to provide guidelines and
college engineering student. The award is help transform each other’s lives—investing responsibilities to employees who participate in
provided based on a written essay, outstanding approximately $5 million in resources into one volunteer initiatives in their communities. We also
academic performance, and demonstrated Detroit neighborhood each year. Projects are offer our employees up to eight paid hours for their
potential for a career in engineering. determined by the community’s needs and participation in volunteer efforts to encourage all
vision. Life Remodeled partners assist in three employees to give back to their local communities.
areas: remodeling a community asset, repairingOur Corporate Sustainability Strategy / Engagement Contents / 32
Disaster recovery experiencing any type of disruption. Key We have also developed the Kelly Relief Fund—a
Kelly has developed a risk management program components of the programs include: nonprofit 501(c)3 organization, established after
in order to be prepared to respond as quickly • Global incident monitoring: Kelly invests in Hurricane Katrina—which provides short-term
and effectively as possible to situations such as state-of-the-art technology solutions that enable financial assistance to Kelly’s regular staff and
natural disasters, safety and security concerns, and us to globally track and monitor crisis events that temporary employees who have been severely
changing business conditions. These situations may may affect our employees and assets. impacted by natural and manmade disasters such
be critical to the health and safety of our employees as floods, hurricanes, tornadoes, earthquakes,
• Communications: We use a variety of methods and fires. This Fund is sustained through generous
and their families, the interests of our shareholders
to maintain communications with employees, donations from Kelly employees. In 2018, our
and customers, and the viability of our company.
customers, and vendors/suppliers before, during, disaster recovery program:
This program supports our operations and and after a crisis event.
• Planned and prepared for Hurricane Olivia. None
evaluates our readiness to respond to accidental • Emergency management team: We have a team of our employees were impacted.
or natural disaster situations that may impact our approach to decision-making in response to critical
customers, vendors, and employees. Advanced • Planned, prepared, and provided assistance from
events that affect our employees and facilities.
planning and quick action after the danger has our Kelly Relief Fund for employees affected by
• Continuity of operations: Based on the reach Hurricanes Florence and Michael.
passed have enabled Kelly to resume service to our
of our branch network as well as our integrated
customers and employees significantly faster than • Disaster recovery program contributed $34,500
information systems, Kelly has the ability to
would be possible otherwise. through the Kelly Relief Fund.
quickly re-establish business operations at an
Kelly utilizes a variety of scalable solutions alternative site if necessary.
and strategies to both ensure employee and • Emergency Operations Resource Plan: Our
their families health and safety, and to enable Emergency Operations Resource (EOR) Plan is
us to continue critical business functions after available to support field operations in the case of
major events, whether natural or manmade, which
significantly impact our ability to serve employees
and customers.You can also read
