BOSTIN NEWS / IKEA Birmingham / 12 2018

BOSTIN NEWS IKEA BIRMINGHAM

Merry Christmas from IKEA Birmingham!

12 2018

Hej!

2

What's inside this issue?

CO-WORKER OF THE MONTH

4

CO-WORKER CHRISTMAS BREAKFAST

6

A great big thank you!

IKEA's 75th Birthday 25% staff discount continues...

7

IKEA Birmingham's Christmas Shop Opening and Promise Dreams Update

8

CO-WORKER CHRISTMAS PARTY

11

Get your Christmas shoping sorted...

Enjoy big, high-street bargains with iBenefits

12

2019 New Living Wage Rates

13

IKEA UK&IE Annual Summary Report FY18

14

Christmas at IKEA Birmingham: What's happening?

17

Re-enforcing our Returns Policy

18

Creating a better IKEA together

20

Human Rights Day 2018

22

NEFT Project: New Chip & Pin's

23 3

Giving our co-workers recognition for going above & beyond to help make the wonderful everyday a reality!

JACK CO OK IFS (BIS SEY TRO)

OCT

SHARON HAVELIN ACTIVITES

4

SE P

Here’s why our co-workers were nominated...

Jack: "Jack went above and beyond when a customer needed support purchasing her items after losing her bank card... after just moving from France."

"He clocked out after his shift and came back to pay for the items himself to help the lady... staying an extra 1 and a half hours to help."

Sharon: "Hard working and fun, Sharon lives our values every day!"

"Always smiling, always friendly with customers, always looking for opportunities to sell more to support growth."

"Dedicated and driven every day, supporting all department with Activities."

"She always comes into work with a great big smile on her face, and brings light and laughter to our everyday at IKEA - it wouldn't be the same without her."

"He paid for her shopping as she'd lost her card after being in the country for three days."

Want to nominate somebody for co-worker of the month?

Nominating someone is easy - simply fill out the form on the back of this magazine, tear it off and post it in the post box by the clocking in machine.

Did you know you can now nominate co-workers via our online form?

An easy, efficient, paper-less way to nominate co-workers to get recognised for their efforts in store.

Scan the QR with your smartphone, or enter the link below into your web browser. https://goo.gl/forms/HIN2ahEIeo0ymeaD2 5

CO-WO

RKER

CHRIST

MAS

BREAK

FAST

S A T M N !

X ESE AL E PR EV R

6

A GREAT BIG THANK YOU! This year we’re celebrating IKEA’s 75th Birthday.

To say thank you for your contribution over the past 75 years we will be offering co-workers the opportunity to pay 75% of the price for one complete transaction between 10th September 2018 - 1st December 2018.

Valid only with your Employee ID.

ntil u d e d xten 2019!

Now ea uary n J t s 31

Happy shopping!

25% BIRTHDAY DISCOUNT

*

Check your co-worker email for your voucher

* Discount available in-store for one complete transaction.

Including IKEA products and Swedish Food Market. Alcoholic products and services excluded from the offer. Same rules applies as for the IKEA Group Rule on Staff Discount.

If you have any questions regarding the voucher, please speak with your HR team.

7

IKEA Birmingham's Christmas Shop Opening and Promise Dreams Update

Last month saw the opening of our Christmas Shop, with special guest, Dave Hill from Slade!

We also raised a huge ammount for our local store charity, Promise Dreams, in the process.

8

This year it was Abi Wade from Comm&In's turn to take on the Christmas Shop! After weeks of planning and coordination, and help from the rest of the team, the shop was built and ready for its grand reveal. As many of you will have seen, this is one of, if not the best shops we've ever had and really bought the Christmas-spirit to our store and for our customers.

To make things extra special, we worked alongside our local store charity Promise Dreams to officially open the shop. Over the past year, we have already helped raise money to make dreams come true for 3 children and we were able to make a 4th come true with the money raised from this event.

Mason, a 5-year-old boy from Coventry, who has a rare form of chromosome deletion along with congenital cardiac anomaly and a cleft lip, is who we raised money for. Mason needs constant one-to-one care to prevent him from hurting himself or others and suffers with behavioural issues and severe learning difficulties. To help improve his quality of life at home, he needed a sensory corner which includes a bubble tube and other equipment.

This was very expensive and came in to over ÂŁ3,000 which the family were unable to fund themselves.

Together with Promise Dreams, we've helped fundraise and make this dream happen for Mason! So a huge thank you goes out to everyone who came along and supported/donated.

To help fundraise even more and make it a special event, we had a brilliant celebrity guest, Dave Hill! Dave was a member of the band Slade who had the huge Christmas hit "Merry Christmas Everybody" in 1973. He very kindly agreed to come down to the store to 'cut the ribbon' and open the shop and also took part in several fundraising activities such as "Pull a Cracker with Dave" and "Pluck a Tree".

We managed to raise a fantastic ÂŁ307 for Promise Dreams which went towards making the dreams of Mason come true.

Dave said via the official Slade Facebook page: "What a great afternoon spent opening the Christmas Shop at IKEA Birmingham today with a fantastic charity, Promise Dreams... lots of love, Dave".

Along with the fundraising, we also had food sampling with Stacey and Charlie from IFS and live music provided by Darryl, one of our Team Leaders from Checkouts.

Promise Dreams Update 9

Over the past year, we've raised an incredible...

£6493.50 for Promise Dreams!

Over the past year (and a bit), in total we’ve raised £6493.50 for the charity which has helped make dreams come true for 4 children in need and their families.

This is an incredible achievement and we just wanted to say thank you for everyone who’s helped in activities, fundraising events or even donated themselves.

A huge thank you to everyone who's supported Promise Dreams over the past year, and to everyone who's donated. It's going to an incredible cause and the work they're doing is priceless!

Let's continue the great work int FY19 and make even more dreams come true!

After the success of our Christmas Shop opening, and raising £310 which towards the dreams of 5-year-old Mason (IKEA Birmingham’s 4th dream) we even have £103 spare to go towards our next one!

Want to get involved in our charity work?

You can donate to Promise Dreams by simply visiting our online Just Giving page www.justgiving.com/ikea-promisedreams or by visiting their official website www.promisedreams.co.uk Or, if you'd like to get involved in-store and find out about what fundraising events we have coming up, please speak to a member of your Marketing Team.

10

IKEA Birmingham's 2018

INDIAN/ENGLISH FUSION MEAL ENTERTAINMENT 2 X FREE DRINKS*

DJ KARAOKE

Collect your tickets from HR now! *all drinks will be priced at £3.20

ty Here to par

11

Get your Christmas shopping sorted easily with our incredible employee discounts!

We've all experienced that last minute Christmas rush, so get ahead of the crowds and enjoy big bargains with iBenefits.

There are hundreds of the UK's best retailers waiting to give you amazing discounts on everything from the turkey to the tinsel.

Head to ikea.co.uk/rewardgateway today to check it out.

12

New 2019 Living Wage Rates The new hourly co-worker rate to be paid from January 2019 will be...

ÂŁ9.00 p/h

At IKEA we are proud to be the first country-wide major retailer in the UK to commit to implementing and paying the real Living Wage to our co-workers. We view the real Living Wage as a long-term investment.

The Living Wage Foundation has released the new rates for 2019.

From 1st January 2019, all coworkers, regardless of age, will receive an increase in their hourly pay. The hourly rates are set independently and updated annually.

They are calculated according to the basic cost of living in the UK. This commitment is just one part of a wider transformation IKEA is making into basic co-worker conditions, working closely with the IKEA Employment Standards.

Ask your HR team or Line Manager for more details. Read more on IKEA Inside & share your thoughts on Yammer using #LivingWage 13

IKEA UK&IE Annual Summary Report FY18 Creating a better everyday life for the many people

We continue to serve millions of customers

OUR BUSINESS We're growing!

ÂŁ1.965 billion Total sales in the UK

+5.9%

8.4%

59.8m

Growth

Market Share

Visits to store

+14.4%

+4.5%

199.3m

increase in online sales

increase in store visits

Visits to IKEA.co.uk

Our product range is more relevant than ever!

14

+17% Outdoor living

+12% Cooking

+10% Home office

+9% +8% Home Living room dec seating

OUR PEOPLE

We're creating a gender-equal workplace and closing the pay gap Accross the UK

Our co-worker and opportunities

49.8%

11,380 co-workers in Retail and Distribution. Including: 1,711 co-worker took a new job opportunity or moved stores.

50.2%

51.3%

48.7%

Accross the management level Everyone can be themselves

523 co-workers have been promoted We continue to pay a meaningful wage We've been a proud partner of the Living Wage Foundation since 2016.

Stonewall Diversity Champion and member of the Workplace Pride Foundation

ÂŁ9.00 per hour for our UK co-workers.

Flew the rainbow flag at each of UK stores to celebrate IDAHOT 2018.

15

OUR SOCIAL AND ENVIRONMENTAL IMPACT

Inspiring customer and co-workers to live a healthy and sustainable life at home Live LAGOM Programme has inspired 364 customers and 374 co-workers

Launched the new veggie dog - has a carbon footprint 7 times smaller than the original

84% of participants saved up to ÂŁ1,000 on energy, water and food bills

5,250 customers switched to a renewable energy tarrif this year

We continue on our journey towards a circular IKEA Zero waste to landfill in our operations for the third year running

Cut 157 tonnes of food waste in our operations

12,240 sofas, beds and appliances recovered for reuse and recycling

2 tonnes of textiles collected for charity partners through our textile takeback now rolling Nationwide

2

Tonnes

You can read the full report now on IKEA Inside.

16

Christmas at IKEA Birmingham: What's on in store?

IKEA FAMILY Member Exclusive Letter to Santa Join us in our 'Letter to Santa' writing station this Christmas and our elves will personally deliver your letter to Santa. You'll also receive a special reply from Santa himself!

22nd November-23rd December

Santa Lucia Buffet Join in the festivities and come in store on Thursday 13th December to enjoy a Smörgåsbord of Swedish treats.

Purchase tickets from the Restaurant • IKEA FAMILY members £6.75 • Regular price £9.50 • Children under 12 £4.50

IKEA FAMILY Member Exclusive Breakfast with Santa

KED

BOO Y L L FU

Bring the little ones to our very special breakfast morning with Santa.

Saturday 15th-Sunday 16th December Friday 21st-Sunday 23rd December For more info on events & booking, visit www.ikea.co.uk/birmingham or speak to a member of Marketing.

17

Adhering to our

Returns Policy We all know that costs are a major focus for us this year, therefore, please have a re-read of our Returns Policy as noted below and ensure that when serving customers you advise them to retain receipt as proof of purchase and make sure you are fully aware of the policy in case you are asked any questions.

By simply reducing the number of non-receipted returns we know we can hit our TT325 (Returns) goal this year, with everyone’s help!

365

Read the full Policies and Terms & Conditions at www.ikea.co.uk/returns

18

365 days to change your mind* It's important to us that you're happy with your IKEA purchase. If you're not totally satisfied you can return it within 365 days. We will give you a full refund by the same method as your original payment for products that are returned with proof of purchase in new and unused condition and, if possible, the packaging. You can return any product, even if you assembled it, as long as it's in re-saleable condition. Unless faulty, we may refuse the return or offer an exchange or gift card only if the returns criteria are not fully met.

If you purchased online and change your mind, provided you cancel your total order within 14 days of receiving it, we will also refund your delivery charge. *Terms & Conditions apply.

90

Love it or exchange it - your new mattress in 90 days* It takes time for you and your new mattress to get used to each other.

That's why we give you 90 days to be sure you're compatible. If the chemistry isn't right, simply come back and choose another mattress. When you've found your perfect match, you can sleep easy for years to come with our free 25-year guarantee. *Terms & Conditions apply.

MONEY ADHERING = SAVES US In FY18 we gave back around 4% of our sales in all returns alone - this is approx ÂŁ1.4m (in bad returns). These are all returns that could have been avoided and gone straight into our store sales. By identifying our most returned items and the reasons for their return, we can prevent losing out on money. By adhering the policy also means we're going to save money.

Speak to your Line Manager today to find out how you can help and be sure to have a clear understanding of the Returns Policty when selling to customers. Remember always keep your reciept!

If we reduce our number of returns by 20% in FY19 we could save ÂŁ995,000.00 in sales alone.

This works out to 1,337 co-worker hours per week that could be invested straight away to help departments in need.

Our Bedrooms Department have already reduced their return rate by 59% in just 7 weeks - imagine what we could all acheive as a store if we work together on tackling TT325's!

For more info contact Pete Walker or Dawn Lloyd from Customer Services 19

Transforming the business to meet more of the many people On Wednesday 21st November 2018, we took one more big step into the transormation of IKEA.

We are accelerating our transformation, increasing investments in new and existing IKEA stores and fulfilment centres, continuing our citycentre approach in London and focusing on our e-commerce platform, to better meet the needs of our customers and to be more convenient and affordable to many more people. At the same time, we've seen that our costs are often 20

increasing at a faster pace than our sales. Our customers are also changing the ways they are engaging with us.

Building on the many opportunities we have and to better meet customers' expectations, together, we will make some changes. One of the changes we will make is that we will simplify how we are organised.

Javi Quiñones​, Country Retail Manager IKEA UK and Ireland, said: "We have been in the UK and Ireland for more than 30 years and IKEA has revolutionised the way people live and shop. Today it is hard to imagine a home without an IKEA product. However, we are in a fast-changing retail environment and while we continue to grow, we are evaluating how we can remain relevant in the eyes of consumers – now and in the future. We recently announced our city-centre approach starting with London and we will continue to invest in being more convenient through our enhanced service offer and digitalisation."

Out of 12,100 co-workers in IKEA UK and Ireland, we estimate that over the next two years approximately 350 jobs could potentially be redundant, with others being relocated or changed, albeit in some cases, the change is likely to be limited.

At this time, these changes do not impact the majority of co-workers in our stores and distribution units. Instead we will look at how we are organised in our global functions and service offices including other support areas. As ever, we will do this in collaboration with our social partners.

Co-workers are at the heart of our business and throughout this transformation we will have an ongoing dialogue on how to navigate these changes, to ensure we do this in a way in line with our values and ensuring that our co-workers feel supported. We are confident these changes will secure the future of IKEA and will benefit its customers and ultimately its co-workers."

As this is the start of our journey, more information will be shared with you as we move ahead.

Want to know more?

For more details on our transformation in the UK&IE, please visit the Business Transformation Hub on IKEA Inside.

We will keep this hub updated with news, videos, documents, Q&A's and more.

If you have questions, please connect with your Line Manager who will be able to support you over the weeks and months ahead.

Javi continued: "While the opportunities ahead of us are exciting, we know that some of the changes won't always be easy and in some cases, we will have to make difficult decisions.

21

We take a stand for equality and human rights.

Human Rights Day 10th December

10th December is Human Rights Day. It honours the day on which the UN General Assembly adopted the Universal Declaration of Human Rights in 1948. Consisting of 30 articles, it recognises the inherent dignity and absolute rights of all human beings on the foundation of freedom, justice and peace in the world.

At IKEA, we believe that everyone has the right to be treated fairly and provided with equal opportunities. This is stated in our Ingka Group Diversity & Inclusion Approach and is reinforced in our Code of Conduct. Equality is a key priority in the People Strategy 2020+.

We are committed to going all in on equality. We believe it is a fundamental human right and it is reflected in our values.

22

At IKEA, we stand for fair treatment and equal opportunities, and support the human rights of all people whatever their age, gender identity, sexual orientation, physical ability, ethnicity, race, nationality, religion, marital or family status, or any other dimension of their identity.

For us, supporting our coworkers’ right to be themselves is the only way forward as a humanistic, values-driven company.

We have committed to secure equal pay for work of equal value by 2020. We see this pledge as one more contribution towards equality – women’s rights are human rights.

Learn more about our work on equality and human rights on the UK&IE People Hub on IKEA Inside.

NEFT Project What is the NEFT Project?

NEFT stands for New Electronic Funds Transfer, which will contribute to a better customer payment experience by implementing a global, common in-store electronic payment solution through developing people, processes and technology.

Currently all IKEA stores accross the world use many variations of payment methods/banks which means we have little negotiating power when it come to changing or tendering for new suppliers and contracts. By switching to one, simple, solution we have control and are also able to negotiate the cost of card processing fees - saving the business money.

How does this effect our store?

Over the coming weeks we will see the complete replacement of all Chip & Pin machines accross Checkouts, Customer Services and on HFB's that have tills present. These new machines will be more secure, will accept many more payment service providers and will be more technically "up-to-date" New Chip & Pin Models...

When?

The project will begin over the next couple of weeks, with training to follow for co-workers who need it, in specified areas.

The official launch and full implementation will happen in Week 2, January 2019.

For more information please speak to Selina from Checkouts.

Ingenico Move 5000

Ingenico Lane 5000

Going live in Week 2 23

Pssst... a new co-worker survey is coming to town We are working on an improved co-worker survey called IShare, which will replace the VOICE co-worker survey in Spring 2019.

Following a global pilot in the Edingburgh store earlier this year, we will use the IShare co-worker survey instead of VOICE. This means that you will get to share your perception of how we are doing as individuals, as an organisation and in terms of leadership in the Spring instead of this Autumn.

Stay tuned for more information coming soon!

24

IKEA VALUE OF THE MONTH What is different with a meaning?

IKEA is not like other companies and we don't want to be. We like to question existing solutions, think in unconventional ways, experiment and dare to make mistakes - always for a good reason.

Is it better, or is it just different?

For all IKEA key values, visit IKEA oolbox: toolbox.inter-ikea.com/ ikeavalues

25

Tack för att du läser!

(That’s “thank you for reading” in Swedish)

Want to feature something in Bostin News?

Drop an email to liam.hill1@ikea.com or pop into the General Office for a chat!

26

27

NOMINATION FORM Name & Department of the co-worker you’d like to nominate:

Š Inter IKEA Systems B.V. 2018

Why do you want to nominate this co-worker?

How have they made a difference, grown the business or delivered results through exceptional performance and behaviour, in line with the IKEA Values?

Your Name & Department:

Date:

Tear off this page & post it in the co-worker of the month postbox by the clocking in machine.