Sustainability Report Balance

Organizational profile

GRI 102-1

Name of the company

Deutsche Lufthansa AG

GRI 102-2

Activities, brands, products, and services 

Balance 2018, page 4 f.

GRI 102-3

Location of headquarters 

Deutsche Lufthansa AG is filed in the Commercial Register of Cologne District Court under HRB 2168 and has its headquarters in Cologne, Germany. The majority of Group functions are located in Frankfurt and Munich.

GRI 102-4

Location of operations 

Balance 2018, page 4 f.

The airports served by Lufthansa Group airlines during the reporting year are located in 100 countries. For important locations pertaining to the service companies see Annual Report 2017, pages 57 and 60.

GRI 102-5

Ownership and legal form 

Annual Report 2017, page 10

The shareholder structure, updated quarterly, can be accessed at:
www.lufthansagroup.com/investor-relations

GRI 102-6

Markets served

Balance 2018, page 4 f.

Annual Report 2017, page 21 ff.

Given their materiality, the information presented in the sustainability report refer to the worldwide route network of the Lufthansa Group airlines.

GRI 102-7

Scale of the company

Balance 2018, page 2, page 4

Annual Report 2017, overview of performance indications, front cover page. For the Group consolidated balance sheet see page 104 f.

GRI 102-8

Information on employees and other workers 

Balance 2018, page 100 f.

No separation by gender and by region, as this data is not control relevant. No description of staff by employees and staff subject to directives, and no indication of the share recognized as permanent freelance employees, and employees and staff subject to directives of contractual partners.

GRI 102-9

Supply chain 

Balance 2018, page 8 f., page 31

In this report, the primary focus is on the product “flying” without upstream and downstream processes.

GRI 102-10

Significant changes to the organization and its supply chain

Balance 2018, page 1

GRI 102-11

Precautionary Principle or approach 

The management of opportunities and risks is integrated in all business processes, see Annual Report 2017, page 64 ff.

In order to meet its corporate responsibility as a large, globally-active company, the Lufthansa Group extended the scope of its risk management system in 2017 to effects of non-financial aspects on external stakeholders.

GRI 102-12

External initiatives

Balance 2018, page 27

An overview of the most important, voluntarily supported initiatives can be accessed at: www.lufthansagroup.com/responsibility

GRI 102-13

Membership of associations

An overview of the most important memberships can be accessed at: www.lufthansagroup.com/responsibility

Strategy

GRI 102-14

Statement from senior decision-maker

Balance 2018, page 3

GRI 102-15

Key impacts, risks, and opportunities

Annual Report 2017, page 64 ff.

Ethics and integrity

GRI 102-16

Values, principles, standards, and norms of behavior

Balance 2018, page 28 f.
The Executive Board of Deutsche Lufthansa AG adopted a Code of Conduct in 2017 that serves as a basis for the Lufthansa Group’s value system. It is binding for all bodies, executives and employees of the Lufthansa Group.

Governance

GRI 102-18

Governance structure

Annual Report 2017, page 13

The assignment of responsibilities for business areas within the Executive Board did not change in comparison with the preceding year. Further committees with regard to economic, ecological and social subjects are on page 20, page 40, page 63 and page 72.

Stakeholder engagement

GRI 102-40

List of stakeholder groups

Balance 2018, page 22

GRI 102-41

Collective bargaining agreements

Balance 2018, page 68

In Germany, almost all companies are subject to collective agreements (close to 100 percent). For the entire Lufthansa Group this statement is not possible at the moment.

GRI 102-42

Identifying and selecting stakeholders

Balance 2018, page 22, page 24

GRI 102-43

Approach to stakeholder engagement

Balance 2018, page 22, page 24

GRI 102-44

Key topics and concerns raised

Balance 2018, page 22, page 24

The Lufthansa Group considers the results of passenger satisfaction surveys as confidential information.

Balance 2017, page 19 ff.

Report profile

GRI 102-45

Entities included in the consolidated financial statements

Balance 2018, page 95
Annual Report 2017, page 174
A list of major subsidiaries, joint arrangements and associated companies can be found in the Annual Report, page 189 ff.

GRI 102-46

Defining report content and topic Boundaries

Balance 2018, page 24

Balance 2017, page 19 ff.

Balance 2016, page 22 ff.

GRI 102-47

List of material topics

Balance 2018, page 24

Balance 2017, page 19 ff.
Balance 2016, page 22 ff.

GRI 102-48

Restatements of information

Balance 2018, page 95
For the reporting year 2017, the company Brussels Airlines was included for the first time.

GRI 102-49

Changes in reporting

Balance 2018, page 24

GRI 102-50

Reporting period

Balance 2018, page 1

GRI 102-51

Date of most recent report

Balance 2018, page 1

GRI 102-52

Reporting cycle

Balance 2018, page 1

GRI 102-53

Contact point for questions regarding the report

Balance 2018, page 113

GRI 102-54

Claims of reporting in accordance with the GRI Standards

Balance 2018, page 1, page 106

GRI 102-55

GRI Content Index

Balance 2018, page 106 ff.

GRI 102-56

External assurance

Balance 2018, page 99

In this report, the Scope 1-3 emissions data were subjected to an external audit. In addition, for the first time the Lufthansa Group published a combined non-financial report for the financial year 2017 in its Annual Report. This combined non-financial report was the subject of a voluntary limited assurance engagement in accordance with ISAE 3000 (revised). The management approaches and concepts published in it were adopted for this report and complemented with supplementary information.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 19 ff.

Annual Report page 16 ff.

GRI 201: Economic performance 2016

GRI 201-1

Direct economic value generated and distributed

Balance 2018, page 2

Annual Report 2017, notes to the consolidated financial statements, page 108 ff.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 28 ff.

GRI 205: Anti-corruption 2016

GRI 205-1

Operations assessed for risks related to corruption

Balance 2018, page 30

GRI 205-2

Communication and training about anti-corruption policies and procedures

Balance 2018, page 29

No further breakdown available.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 36 f.

The Lufthansa Group and its subsidiaries, both individually and across business segment boundaries, continuously work on product innovations as well as research and development projects.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 39 ff., page 43 ff., page 54

GRI 302: Energy 2016

GRI 302-1

Energy consumption within the organization

Balance 2018, page 96 f.

In line with the aspect of materiality, the product of “flying” is primarily considered without upstream and downstream processes. Therefore, the focus of reporting is on the fuel consumption and CO2 emissions of the Lufthansa Group airlines.
In addition, there is comprehensive reporting on the participation
in the CDP climate change report, see: www.cdp.net

GRI 302-3

Energy intensity

Balance 2018, page 95

The performance indicator for carrying a passenger over a distance of
100 kilometers is: liters per 100 passenger kilometers (l / 100 pkm).

GRI 302-4

Reduction of energy consumption

Balance 2018, page 51 ff.

GRI 302-5

Reductions in energy requirements of products and services

Balance 2018, page 43 ff.

The Lufthansa Group increased the fuel efficiency (l / 100 pkm)
by 4.5 percent compared to 2016.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 43 ff.

GRI 305: Emissions 2016

GRI 305-1

Direct (Scope 1) GHG emissions

Balance 2018, page 46, page 98

GRI 305-2

Energy indirect (Scope 2) GHG emissions

Balance 2018, page 46, page 98

GRI 305-3

Other indirect (Scope 3) GHG emissions

Balance 2018, page 46, page 98

GRI 305-4

GHG emissions intensity

Balance 2018, page 44 f.
Values for specific CO2 emissions in kilograms

per 100 passenger kilometers (kg / 100 pkm)

GRI 305-5

Reduction of GHG emissions

Balance 2018, page 51 ff.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 31

An evaluation of the management approach is planned in the medium term.

GRI 308: Supplier Environmental Assessment 2016

GRI 308-1

New suppliers that were screened using
environmental criteria

Balance 2018, page 31

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 57 ff.

Number of aircraft that meet or exceed the 10-dB criterium of the ICAO Chapter 4 standard.

Balance 2018, page 114

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 61 ff.

GRI 401: Employment 2016

GRI 401-3

Parental leave

The compatibility of work and private life is an important element for the Lufthansa Group to provide long-term support to employees to maintain their ability to work and perform. During the reporting year, 28.6 percent
of the Lufthansa Group’s employees worked part-time, 72.9 percent of whom were women. Furthermore, numerous employees took family leave. A nuanced analysis of return rates is currently not yet possible, but is
targeted for the future.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 68 f.

GRI 402: Labor / management relations 2016

GRI 402-1

Minimum notice periods regarding operational changes

In accordance with the stipulations of Industrial Relations Law and in the sense of an active social partnership, the responsible bodies of code­-
termination and the Company’s publics are informed at an early stage.

Engagement Index (EI)

Balance 2018, page 69

Leadership Index (LI)

Balance 2018, page 69

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 72 f.

GRI 403: Occupational health and safety 2016

GRI 403-1

Workers representation in formal joint management–worker health and safety committees

Balance 2018, page 72

In Germany, work protection committees that include representatives of employees and employer are active at all relevant locations of the Lufthansa Group. They jointly optimize processes and agree on measures to improve work protection. All employees in Germany are represented in work protection committees.

GRI 403-4

Health and safety topics covered in formal
agreements with trade unions

Balance 2018, page 72

Occupational safety is regulated in Germany by the Occupational Health and Safety Act and other legal stipulations. Within the Lufthansa Group, occupational safety is regulated within the Company’s own responsibility and in cooperation between the divisions Occupational Safety and Corporate Medical Services, and the employees’ representations. Employment agreements were concluded concerning a number of subjects. The continued evolution in this area is ensured. The Medical Services and occupational safety provide comprehensive advice to employer and employee representations, for example in the context of implementing legal requirements or concluding collective agreements. They represent the employee representations in numerous health-related committees of the different Lufthansa companies.

Health Index

Balance 2018, page 73

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 70 f.

GRI 404: Training and education 2016

GRI 404-3

Percentage of employees receiving regular performance and career development reviews

Balance 2018, page 70 f.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 62 ff.

GRI 405: Diversity and equal opportunity 2016

GRI 405-1

Diversity of governance bodies and employees

Balance 2018, page 64 f., page 100 f.
The composition of the governance bodies is monitored with regard to the share of women and used for targeted control. An extension of this view to further diversity criteria, such as age and internationality, is planned as a perspective for management positions and the Executive Board / top management. Further differentiation is currently not control relevant for the Lufthansa Group.

GRI 405-2

Ratio of basic salary and remuneration of women to men

Balance 2018, page 65

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 68 f.

GRI 407: Freedom of association and collective bargaining 2016

GRI 407-1

Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk

For the reporting year it is assumed that no business activity of the
Lufthansa Group posed a risk for the employees’ free exercise of their rights concerning the freedom of association and collective bargaining.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 25, page 28 ff.

An evaluation of the management approach is planned in the medium term.

GRI 412: Human Rights Assessment 2016

GRI 412-1

Operations that have been subject to human rights reviews or impact assessments

Balance 2018, page 30

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 31

An evaluation of the management approach is planned in the medium term.

GRI 414: Supplier Social Assessment 2016

GRI 414-1

New suppliers that were screened using
social criteria

Balance 2018, page 31

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 88 ff.

GRI 416: Customer health and safety 2016

GRI 416-1

Assessment of the health and safety impacts of product and service categories

Balance 2018, page 88 ff.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 92 f.

GRI 418: Customer Privacy 2016

GRI 418-1

Substantiated complaints concerning breaches of customer privacy and losses of customer data

In 2017 the Lufthansa Group did not record a reportable violation of data protection as defined by Germany’s Federal Data Protection Act.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 84 ff.

GRI 103: Management approach 2016

GRI 103-1, GRI 103-2,
GRI 103-3

Explanation of the material topic and its Boundary / The management approach and its components / Evaluation of the management approach

Balance 2018, page 74 ff.

An evaluation of the management approach and the development of KPIs are planned in the medium term.