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John Lewis Partnership plc Sustainability Review 2014


Market-beating contribution and proposition

2 1

Meaningful work 3

Every Partner shares in the benefits of a co-owned business. Our ownership structure enables us to offer a comprehensive reward package including pay, Partner discounts, subsidised dining and leisure facilities, career development and a non-contributory final salary pension scheme. Partners also have a direct say in how the business is run. The Partnership is currently engaged in discussions with the Partnership Council on the level and form of future provision of pension benefits to Partners. More information on the review of pension benefits can be found on page 31.

In return, we ask Partners to show responsibility for the Partnership’s ongoing success by giving us their very best performance – from adaptive, innovative thinking and excellent customer service to a significant contribution to continuous improvement.

In focus To help increase the Partner advantage, we have introduced a Partnership-wide appraisal system called My Performance. Its core purpose is to show Partners how they are performing against consistent, business- wide criteria. In early 2014, we introduced a Partnership-wide Pay for Performance approach to clearly demonstrate how greater contribution can be rewarded.

Pay for Performance is our new Partnership pay framework, implemented in March 2014. Aligning with My Performance, it aims to link performance and pay more closely and consistently for Partners – no matter where they work. It does this by measuring a Partner’s annual performance rating against their position in the pay range to determine their percentage pay increase for the year.

and careers As the employment landscape changes and work practices shift, we need to develop the capabilities required to keep our competitive edge. We already have Partners from across four generations, and 59% of Partners have less than five years’ service. With the percentage of younger Partners expected to grow, we need to offer training that allows Partners of all ages and abilities to stay up to date with technological advances and new ways of doing business. By providing opportunities, we’re encouraging Partners to learn new skills – whatever stage they’re at in their working lives.

In focus This year, Waitrose introduced a new product specialist role in Fruit, Vegetables & Flowers, with an accredited Level 3 qualification from City & Guilds. 500 Partners completed the learning for the new specialist role. John Lewis offered Level 2 (the equivalent of a GCSE) Functional Skills qualifications in Maths, English and ICT for those Partners who wanted to brush up on literacy, numeracy and IT skills. To date, more than 300 Partners have taken advantage of this programme.

Across the business, more than 2,000 Partners completed vocational qualifications ranging from accountancy to procurement. We offered 95 apprenticeships and nearly 900 Partners took part in IPAR (Inspiring Performance, Achieving Results), our Partnership line management training programme.


OF PARTNERS SAY: “My job satisfies me.”

“Pay for Performance looks great in theory, and my managers have grasped it quickly but the test will be in calibration. There will be particular challenges in areas where there are currently a lot of existing pay models.”

says Nikki Donaldson, Partnership Councillor

Chris Coburn, Partnership Councillor and Chair of the Partner Group, explains,

“Pay for Performance is fairer because it rewards consistent performance. It is better than previous approaches because the annual Partner performance discussion will now just be about performance.”






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