Report on equal opportunities and non-discrimination

Huawei Technologies Norway AS

Report on equal opportunities and non-discrimination

1 Introduction
This report is a mandatory report required pursuant to The Norwegian Gender Equality and Non-Discrimination Act (Norwegian term: “likestillingsloven”), section 26a, paragraph 1; and the corresponding legislation.
In addition to the local employees (n = 62) described in this report, the workforce in Huawei Technologies Norway AS also includes Chinese expatriates and a few leased employees. Save for specific internal requirements for local employees, the Company strives to treat the whole workforce the same both in work, training, opportunities, and development.
This report is based on data and information collected by Huawei Technologies Norway AS hereinafter referred to as the Company. The report describes the diversity and inclusion status of Huawei Technologies Norway AS, and how Huawei Technologies Norway AS is working to ensure equal opportunities for all employees.

1.1 Definition of levels
Level 1: CEO & High-level Directors: CEO, Business Group Directors and other regional positions.
Level 2: Senior Experts & Directors: High level expert positions and senior directors.
Level 3: Senior Managers: Senior account managers, senior sales managers, and other senior positions.
Level 4: Managers: Project managers, technical managers, senior platform managers, and other manager positions.
Level 5: Senior Engineers: Senior engineers and staff engineers.
Level 6: Engineers: Product technology engineers and other types of engineers.
Level 7: Specialists, Advisory & Associate managers: Specialist positions, advisory & associate manager positions
Level 8: Entry level: Entry-level positions, fresh graduates etc.

Line (operational positions): By Line we mean operational positions, i.e. positions with profit and loss responsibility. Operational positions normally include, CEO, COO, CFO, Business Department Head, Country Head, Operations, Production, Sales, Markets and all client facing or billable work.

Staff (support positions): By Staff we mean support positions, i.e. positions providing support to the group executive management. Positions within HR, Communications, SHE, compliance, procurement, finance, admin, IT etc. are considered staff positions.

1.2 Checklist
The management have gone through the job titles with employee representatives and reached a common agreement on how the job titles are divided on the different levels, to ensure equal pay for equal job value, in addition to equal pay for equal work.

1.3 Gender distribution
Overall, women amount to 23% of our employees. Women amount to 60% of employees in staff positions and 15% of employees in line positions. Please see the tables below for more information.
We are continuously looking for bright minds. There is a lower share of women in our Company, and therefore we especially interested in bright minded women. The ICT (ICT = Information and communication technology) industry in Norway is to a high degree employed by men, and there is a strong competition for the women in this IT industry.

1.4 Base salary
The salary is shown as women’s salary compared to men’s salary at each level.
On higher level, women have higher salary than men. On lower level, women also have higher salary than men. On middle level, level 4, men have higher salary. This can be seen in the table below.
Higher salary to one of the genders within the same level, can be due to several factors. Even though the Company have grouped the employees into eight different groups, the employees within each group are not identical, and this can result in different salaries within each group. Each employee within a group can have different education, experience and expertise. Gender in itself is just one of several factors that can explain salary.
The Company’s policy is that gender in itself shall not impact salary. This means that any gender should not have any disadvantage or advantage towards the other gender, all other factors being equal.

1.5 Bonuses, overtime and other additional payrolls.
Bonuses, overtime and other additional payrolls are shown as women’s bonus/overtime/other additional payrolls compared to men’s at each level. Other monetary benefits include phone and car allowance which are given following internal policies for position level, and pension which is also given as a monetary benefit.
On level 7, women get paid more than men. On level 1 and 3, men get paid more than women. On level 4 the result is split between line and staff. This can be seen in the table below.
Higher salary to one of the genders within the same level, can be due to several factors. Even though the Company have grouped the employees into eight different groups, the employees within each group are not identical, and this can result in different salaries within each group. Each employee within a group can have different education, experience, performance, and expertise. Gender in itself is just one of several factors that can explain differences in bonus amounts.

(1) In Huawei, bonuses are solely performance and goal achievement based and never guaranteed. This is one of the main factors of the discrepancies seen in the report. For line positions in particular, the bonus compensations are also connected with projects, so there are also great differences between amount of bonus from department to department depending on the number of projects and revenue attained. The Company’s policy is that gender in itself shall not impact bonus, overtime and additional payrolls. This means that any gender should not have any disadvantage or advantage towards the other gender, all other factors being equal.

Other benefits
For level 3, 4 and 7; women and men receive the same amount of other benefits. This can be seen in the table below. Other benefits include insurance and canteen meal benefits. Pension is a monetary compensation in the Company.

(2) The table below shows that men received more other benefits than women in level 1. The explanation for this is a small sample and one person’s special additional benefit.

Temporary employment and part time
The Company has only one temporarily employed employee, and this person is a woman. There are no part time employees in the Company and hence no involuntary part time employees in the Company.

Parental leave
All women and men in the Company have the right to have parental leave.
In average for 2021, men had 4.5 weeks parental leave, while women had 13 weeks parental leave. The calculation of weeks is based on a small sample of employees (5%), and reflects the number of weeks parental leave actually taken in 2021 and not a reflection of actual number of weeks per person.

2 Diversity and inclusion statement
This statement describes how the organization has been working with diversity and inclusion.

2.1 Routines and structures to promote equal opportunities and non-discrimination
Huawei Technologies Norway AS currently have the following principles, guidelines and routines in place to prevent discrimination and promote equality in the work place:

1. Provisions

Huawei Technologies Norway AS works consistently to make sure that the Company adheres to Norwegian work, equality, and other relevant national legislation.

2. Principles and guidelines

Employees have the right to a good and fair work environment. Unfair discrimination or harassment because of, for example, gender, age, disability, ethnicity, religion or sexual orientation shall not be accepted.

3. Recruitment guidelines

During recruitment, the focus shall be on previous experience, skills, and personal suitability; not on gender, age, or other matters not related specifically to the suitability for the job. This also applies when submitting position information and requirements to head-hunters.

4. Office facilities

Accessibility: Office has an elevator, access to accessibility bathroom facilities, office main door (double door) can be opened fully to allow access. Access to gender neutral bathroom facilities.
Extra equipment: Extra computer screen and computer equipment can be booked on a need-by-need basis. Most desks can be height adjusted. Ergonomic working chairs.
Quiet rooms/meeting rooms of varying size that can be used both for meetings and other purposes.

5. Targets

Ensuring good accessibility and work conditions for all employees no matter functional capability.
Continue to maintain a culturally inclusive environment.
Retaining and developing employees and giving equal opportunities for career development regardless of gender and other factors.

Risk and cause on equal opportunities and non-discrimination
We have identified the following risk in our work with equal opportunities and non-discrimination:

- Number of female employees

Some of the Company’s departments and some of the levels in the Company have an overweight of male employees. It is currently a difficult market for hiring the top minds in ICT sales and development, and unfortunately the market of women in this area is even smaller and this is a major factor for the uneven distribution in some departments. Through our formal recruitment channels, there are also fewer women who apply than men.

Measures to promote equal opportunities and non-discrimination
The Company has put into force the following measures to promote equal opportunities and non-discrimination:

- General measures

- Create clear and measurable objectives
- Create open and positive communication
- Provides practical information to everyone
- Provides rules and routines that can be applied in the workplace
- Have regular workplace meetings as a way to stem problems at an early stage
- Create opportunities for competence development for every employee

These measures are already in place, and they are continuously being assessed.

- Work and family life

In addition to following the Norwegian Holiday Act, the Norwegian Work Environment Act, and other relevant legislation, we offer three days leave, of which two are paid leave, for parents whose children are starting kindergarten or school.

- Recruitment, salary policies and promotion

Employees working in the field of recruitment receive company policy training which emphasizes focusing on experience, skills and fit with the company, and not consider gender, age or family status.

Huawei employs a salary policy pertaining to different job levels corresponding to task difficulty and level of responsibility. This policy gives a top and bottom limit to what annual salary can be in any given job level.

Considerations for advancement are done based on internal performance review results and suitability for the position in question and the aim is to keep considerations as objective as possible.

Evaluation of targets measures and results
Our conclusion is:

1. Number of female employees

The gender distribution in the Company is similar to that of other companies in the Norwegian ICT industry.

2. Salary

We cannot find any significant differences in salary between women and men that is directly linked to gender.

Bonuses are solely performance and goal achievement based and never guaranteed. The bonus compensations are also connected with projects, so there are also great differences between amount of bonus from department to department depending on the number of projects and revenue attained.

3. Type of employment

There is only one temporarily employed person in the Company, and this person is a woman. There are no involuntary part time employees in the Company. There are no part time employees in the Company.

Based on the above, we cannot find any significant deviation on equal opportunities and non-discrimination.

4. Parental leave

Women take more parental leave than men. Since the sample is small and only shows the exact number of weeks parental leave actually taken in 2021, the result only shows a specific moment in time, and it is difficult to come to a definite conclusion at this point.