Organisational implementation of sustainability

The key sustainability principles of the Swiss Life Group and the roles and responsibilities within the sustainability organisation are set out in a directive, which forms part of the Group-wide directives system.

The highest management body responsible for implementing the sustainability strategy is the Corporate Executive Board, chaired by the Group CEO. The Board of Directors, as the highest authority for strategic issues, is regularly informed about measures and progress as well as reporting and due diligence obligations in the area of sustainability and is involved in the decision-making process.

Organisational structure

The sustainability organisation is aligned to Swiss Life’s multi-divisional organisation: it comprises sustainability delegates from all divisions as well as specialist delegates from various areas, including Group Finance and Risk. The sustainability delegates from the divisions ensure that the Group-wide sustainability strategy is implemented on site with corresponding measures and initiatives, taking account of local regulatory requirements. They also ensure that the management teams and divisional CEOs are involved in the decision-making process. Swiss Life has defined ten subject areas for specialist management which are assigned to corresponding specialist delegates and in which representatives of the divisions participate. In total, Swiss Life Group’s sustainability organisation comprised around 72 FTE in 2023.

The Swiss Life Group Sustainability team is responsible for the coordination, steering and implementation of measures at Group level. This team ensures that the focus areas defined by Swiss Life’s Group-wide sustainability strategy are integrated within and implemented by the divisions. Furthermore, the team ensures the involvement of the Corporate Executive Board as a steering body, reports on progress and engages in dialogue with key stakeholder groups at Group level. The Swiss Life Group Sustainability Team is part of the Corporate Functions division and reports to the Head of Group Communications, who in turn reports to the Group CEO.

With its Group-wide sustainability strategy, Swiss Life seeks to retain strong ESG risk management while exploiting opportunities and solutions. The Group CRO reports to the Group CFO and the chairman of the Investment and Risk Committee of the Board of Directors.

As an integral part of Swiss Life’s risk strategy and risk processes, sustainability issues are regularly addressed at the committees of the Board of Directors and by the Board of Directors as a whole. Sustainability topics are regularly discussed by the Board of Directors and its Investment and Risk Committee, particularly in the context of self-assessing the risk situation and capital requirements (Own Risk and Solvency Assessment, ORSA) and reporting to the Swiss Financial Market Supervisory Authority (FINMA).

Within the Corporate Executive Board, the Group CIO is, among other things, responsible for the investment strategy as well as the further development and implementation of the responsible investment approach of Swiss Life Asset Managers. Responsible investment governance at Swiss Life Asset Managers is geared to integrating ESG into the core asset management processes.

The ESG Board of Swiss Life Asset Managers deals with key ESG matters and advises the Executive Board of Swiss Life Asset Managers and other bodies on ESG-related issues, taking into account the multi-local organisation of Swiss Life Asset Managers. The ESG Board is headed by the Head of ESG at Swiss Life Asset Managers, who in turn reports to the Group CIO.

The ESG team at Swiss Life Asset Managers devises the responsible investment strategies and guidelines in collaboration with and according to the requirements of the divisions and the Swiss Life Group. In addition, the ESG team at Swiss Life Asset Managers supports the implementation of the investment policies and strategies within existing processes. The Swiss Life Asset Managers ESG team also plays a key role in sharing knowledge on sustainability in asset management.

The variable compensation components are linked to the strategic objectives of the Group and the individual divisions, and the associated financial and human resources related targets. Qualitative goals relate in particular to project, risk management or compliance goals and to leadership, sustainability and ESG requirements. Personal performance based on the specified quantitative and qualitative objectives is assessed annually in the employee appraisal procedure implemented throughout the Group (Group Performance System, GPS).

Further information can be found in the “Risk Management” section, in the Sustainability Report, available at www.swisslife.com/sustainabilityreport (“Sustainability Strategy” section), in the Responsible Investment Report, available at www.swisslife-am.com/rireport and in the Annual Report (“Corporate Governance” section).