In 2024, selected suppliers, based on spend, were screened as part of the risk assessment process. In the supply chain in our Diagnostics business area, all direct upstream suppliers and approximately 80% of all indirect upstream suppliers to our Danish and Polish production sites were screened, based on the 2023 supplier base. In the supply chain in our Hearing Aids business area, 31% of direct upstream suppliers were screened, based on the 2023 supplier base, covering 99% of total direct spend. During 2025, we will implement the risk assessment process globally and align our due diligence efforts according to risk categories.

Employee Resource Groups (ERGs) are a way for our workplaces to become more inclusive. All ERGs are employee-led and formed based on specific traits that group members possess, want to support or work to enhance. Further, they are sponsored by a member of senior management, i.e. a Vice President or a Senior Vice President. ERGs provide an avenue for employees to have a sense of community, to raise concerns within specific DE&I-related issues in a safe space and provide input on actual and potential impacts on employees. ERGs are consulted on a regular basis and invited to provide input, which is invaluable for developing strategies to mitigate potential impacts on inclusion and equal opportunities, e.g. discrimination.

Our global recruitment platform contains embedded materials designed to prompt inclusive recruitment behaviour. Furthermore, we have expanded training in unconscious bias, inclusive leadership and psychological safety, and we have developed the capabilities of our HR leaders to drive DE&I-related topics and training locally. To support this, DE&I-specific themes of relevance for our employee performance dialogue have been part of the global process for performance dialogue since the beginning of 2023. This provides input to assess the effectiveness of our actions on DE&I, which is also evaluated through our Pulse survey, as it has specific questions regarding inclusion and fair treatment.

Our commitment to caring for people extends not only to our own employees, but also to workers that we impact indirectly in our value chain. We work to ensure that we have the appropriate processes in place to support the protection of rights throughout it.

We identify and assess our impacts on human rights on an ongoing basis. In the second half of 2024, we carried out a corporate wide human rights assessment, covering the full value chain of activities. The assessment included a review of our own operations, with consideration of the geographies where we operate and the industries we work in. We also mapped actual and potential impacts in our value chain.

The Executive Leadership Team is ultimately accountable for adherence to the Policy and to reaching our targets and commitments. We will fully implement the new Guideline through e-learning in 2025. Our global recruitment platform contains embedded materials designed to prompt inclusive recruitment behaviour. Furthermore, we have expanded training in unconscious bias, inclusive leadership and psychological safety, and we have developed the capabilities of our HR leaders to drive DE&I-related topics and training locally.

The target-setting process involved internal and external experts and was approved by Demant’s Executive Leadership Team and endorsed by the Board of Directors.

We track the development in employee engagement through our Pulse survey. The Pulse survey results provide twofold information: Firstly, it is a way of assessing whether, and to what extent, the current initiatives on well-being, flexibility, inclusion and engagement are working. Secondly, they serve as the starting point for the further development of specific actions related to those areas that need special attention.

We track the development in employee engagement through our Pulse survey. The Pulse survey results provide twofold information: Firstly, it is a way of assessing whether, and to what extent, the current initiatives on well-being, flexibility, inclusion and engagement are working. Secondly, they serve as the starting point for the further development of specific actions related to those areas that need special attention.

Demant aims to achieve a top-third level of employee engagement by 2030, corresponding to the 67th percentile or above in the Gallup engagement index. In 2024, Demant received 11 submissions to its whistleblower hotline related to discrimination and/or harassment. These cases were handled internally according to the Whistleblower Policy and Investigation Guideline. Having been addressed by the relevant internal organisation in collaboration with the affected individuals, 8 out of 11 claims have been closed. There were no severe human rights incidents in the period, and therefore no fines, penalties or compensation were paid.