IE 1.11. Total number of FTE employees during the previous reporting year

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The question concerns the total number of full-time equivalent (FTE) employees for the year preceding the reporting year. This measure gives an accurate view of the company’s workforce size, adjusted according to the actual volume of work.

1. How to answer this question ?

To answer this question, you must calculate the total number of full-time equivalent (FTE) employees at the end of the reference year. The reference year is the calendar year or the financial year immediately preceding the year for which you are providing data. To do this, add up all the FTEs of the employees, taking into account part-timers converted into full-time equivalents. For example, an employee working part-time will be counted as 0.5 FTE.

2. Why is it important ?

This measure is crucial because it offers a true picture of the company’s workforce in terms of work volume, rather than just counting the number of people. It allows for adjusted comparisons between companies or within the same company over time, especially in case of changes in work practices (like an increase in part-time work). It is also essential for assessing the company’s impact on employment and for correctly sizing other performance indicators related to staff.

3. Examples :

– Example A: If a company has 100 employees, of which 80 work full-time and 20 part-time, the total number of FTEs would be 90 (80 + 20*0.5).

– Example B: For a company with a financial year ending in June, if it reports for the year 2022, it would need to provide the FTE number for the period from July 2021 to June 2022.

Make sure you understand the reference period for which you are calculating FTEs and consider all forms of employment contracts within your company for an accurate assessment.

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