As at December 31, 2017, the total workforce of the Enel Group numbered 62,900 employees, 49.5% of which within companies in Italy. This is a net increase of 800 employees during the year due, mainly, to the acquisition of Enel Distribuição Goiás in Brazil and of EnerNOC and eMotorWerks in North America. Of the total of 2,301 new hires, 18% were in Italy while the remaining 82% were distributed across the various countries abroad.

In 2017, Enel’s organizational model, which features a matrix of business lines and geographical areas, was enriched with a new, global “Enel X” Division in order to manage all products and services other than the commodities and to support Enel’s new business plan, one of the pillars of which is the central importance of the customer and the development of low-carbon technologies and services.

Enel is going through a period of transition that involves not only the introduction of innovative technologies, but also an actual cultural change that concerns everyone. In order to speed up the digital transformation of the entire organization, we launched a program of change management which began with three events (in Rome, Madrid, and Bogota) in order to promote the leading drivers of digitization. In September 2017, a specific survey was also conducted with all Enel personnel, with the participation of more than 25 thousand people, who offered some 40 thousand suggestions, comments and proposals. The three priorities that emerged (“My integration in the company”, “Knowing my colleagues, the organization and company procedures” and “My training program”) were addressed with specific actions including the interdisciplinary organization of work, real-time communication and constant interaction with the various corporate functions. This new and agile organizational culture is focused on people, involving them and holding them accountable with a view to rapidly creating value in a collaborative and effective effort.

In line with this context, the recruiting process focused on finding specialist profiles with high-level digital skills able to support the Group in the transformation process. Hiring mainly concerned the ICT, market, communication, infrastructures, and networks areas.

The Open Power model of values and conduct, applied to the various aspects of operations so as to increase the engagement and participation of all those who work at Enel, represents a point of reference for all processes of human resources and development.

The qualitative and quantitative performance-evaluation process in 2017 involved the Group’s workforce at various levels. More specifically, for the qualitative evaluation, 90% of the workforce participated in the self-assessment stage in 2017 and 99% in the evaluation stage, while 94% took part in the feedback interview with their supervisors.

Quantitative appraisals, in turn, were conducted for employees with variable salary components, which involved the assignment of targets and the assessment of those targets.

In order to ensure merit is properly promoted and managerial continuity is effective, the Enel Group also managed development plans in a manner aimed at promoting the identification and differentiation of succession profiles for management positions.

The process is aimed at ensuring adequate organizational controls while identifying the most strategic positions and providing each with a list of potential successors and the necessary development actions to support managerial growth, while also taking account of the Enel Group’s commitments in terms of diversity and inclusion.

In order to ensure the efficacy of this process, all of the Group’s management positions are analyzed based on the main variables of analysis according to an approach aligned with international best practices, identifying for each the successors that are ready now, ready over the short term, or in the pipeline, i.e. ready over the medium term, with a particular emphasis on young people, on women, and on taking advantage of international and cross-functional experience.

Talent management also supports this process, aimed at identifying development projects suited to the various individual, professional profiles and to the positions for which successors have been identified.

Following the most recent corporate-climate survey in 2016, which involved the Group’s entire workforce (with an 84% participation rate) and which pointed to a significant level of overall consensus within the organization concerning the various profiles analyzed, a detailed action plan to respond to the various needs that emerged was defined. In support of these outcomes, the group-wide action plan for 2017 called for the implementation of some 1,500 actions targeting the priorities identified in a range of areas: Work- Life Balance, Lifestyle Diversity and Work Environment, Open Power Culture, Working Relationships and Organization, Health and Safety, and Meritocracy.

Diversity and inclusion

Enel’s commitment to promoting diversity in all its forms – in terms of gender, age, culture and ability – continued in 2017.

Our global “Diversity and Inclusion” policies, which were approved in 2015, promote and ensure equal treatment on the sole basis of professional capabilities and skill in all decisions that concern the employment relationship, the ability to participate in the organization without hindrance, the importance of work-life balance, and support in the daily needs of our employees in all situations that may be encountered in the workplace. Application of these policies has enabled us to develop local and global projects to promote diversity and a common language and has increased awareness, throughout the organization, of the importance of diversity and inclusion for individuals and for our business. More specifically, Enel promoted solutions to improve the balance between private and working life and to support the real everyday needs of our people. The years 2017 was marked by significant progress in consolidating the culture of work flexibility and expanding smart working, which today involves nearly 9 thousand people in the various countries in which the Group operates. The impact of these policies is being monitored based on a detailed set of indicators associated with the various actions and contexts. More specifically, Enel has set the public objective of ensuring equal representation of the sexes in the initial stages of the selection and recruiting process (approx. 50% by 2020). In 2017, in line with the established trajectory, we reached the level of 35% women in the selection process.

Labor relations

Enel complies with the labor laws of the various countries in which we operate and with the International Labor Organization (ILO) conventions on labor rights (i.e. freedom of association and of collective bargaining, consultation, the right to strike, etc.), while systematically promoting dialog between the parties and seeking an adequate level of agreement on and participation in company strategies by employees.

Labor relations efforts at the Group level continue to be conducted in accordance with the model established under Enel’s Global Framework Agreement (GFA) signed in Rome in 2013 with the Italian federations and with the global federations IndustriAll and Public Services International.

This agreement is based on the principles of human rights, of labor rights, and of the best, most advanced systems of transnational labor relations for multinational corporations and international organizations, including the ILO. It has also been recognized and appreciated as an example of best practice among European and non- European multinationals. We have presented proposals for the renewal of this agreement, updated in line with the Group’s new Open Power philosophy and the values underlying that philosophy, including in relations with the employee-representative entities of every nation.