GRI-Index - 2023 Sustainability Report

Organizational profile (2-1 – 2-5)

GRI standard		Reference/Comment
2-1	Organizational profile	MTU Aero Engines AG
2-2	Consolidation scope	About this report
2-3	Reporting period, frequency and contact point	About this report
2-4	Restatements of information	About this report
2-5	External assurance	About this report

Activities and workers (2-6 - 2-8)

GRI standard		Reference/Comment

2-6	Activities, value chain and orther business relationships	MTU Aero Engines AG
		Supplier management

		Markets served are presented in the 2023 Annual Report: T67, P. 167
2-7	Employees	Collaboration and leadership Total workforce at fully consolidated sites including apprentices, interns, thesis students and doctoral candidates, students and holiday staff, temporary part-time employees on parental leave, and marginal workers, but excluding temporary workers and inactive employment contracts; as at December 31 each year. Active workforce: employees with permanent or fixed-term contracts, temporary part-time employees on parental leave, excluding students, interns, trainees/apprentices, short-term holiday workers, temporary workers and employees from external companies. Figures on part-time employees are only available for Germany due to available data.
2-7	Employees	KPIs according to GRI For employees with permanent/fixed contracts broken down by gender and region
2-8	Workers who are not employees	KPIs according to GRI MTU employs a small number of temporary workers.

Governance (2-9 - 2-21)

GRI standard		Reference/Comment

2-9	Governance structure and composition	2023 Annual Report: The Executive Board, p. 7ff.
2-10	Nomination and selection of the highest governance body	2023 Annual Report: The Executive Board, p. 7ff.
2-11	Chair of the highest governance body	2023 Annual Report: The Executive Board, p. 7ff.
2-13	Delegation of responsibility for managing impacts	Sustainability strategy and organisation
2-14	Role of the highest governance body in sustainability reporting	Sustainability strategy and organisation
2-15	Conflicts of interest	2023 Annual Report: Report of the Supervisory Board, p. 11, Corporate governance statement, p. 128
2-16	Communication of critital concerns	Sustainability strategy and organisation
2-16	Communication of critital concerns	Human Rights Well-founded complaints relating to discrimination
2-17	Collective knowledge of the highest governance body	2023 Annual Report: Corporate governance statement, p. 128-129
2-18	Evaluation of the performance of the highest governance body	2023 Annual Report: Corporate governance statement, p. 128-129
2-19	Remuneration policies	2023 Annual Report: Management Compensation Report, p. 19ff.
2-20	Process to determine remuneration	2023 Annual Report: Management Compensation Report, p. 19ff.
2-21	Annual total compensation ratio	2023 Annual Report: Management Compensation Report, p. 19ff.

Strategy, policies, and practices (2-22 - 2-28)

GRI standard		Reference/Comment
2-22	Statement on sustainable development strategy	Foreword by the CEO
2-23, 2-24	Policy commitments and their embedding	Compliance
		Supply chain management
		Human rights
		Human rights in the supply chain
2-25	Processes to remediate negative impacts	Sustainability strategy and organisation
		Stakeholder dialogue
		Compliance
		Human rights
		Human rights in the supply chain
2-26	Mechanism for seeking advice and raising concerns	Compliance
2-26	Mechanism for seeking advice and raising concerns	Stakeholder dialogue
2-27	Compliance with laws and regulations	Compliance
2-28	Memberships	Selection:
		Aviation Initiative for Renewable Energy in Germany e.V. (aireg)
		Bauhaus Luftfahrt e.V.
		Bavarian Employers’ Associations for the Metalworking and Electrical Industries (bayme)
		bavAIRia e.V.
		Bund der Freunde TU München
		German Aerospace Industries Association (BDLI)
		Federation of German Security and Defence Industries (BDSV)
		Deutsche Gesellschaft für Luft- und Raumfahrt – Lilienthal-Oberth e.V. (DGLR)
		Friends and Sponsors of the Deutsches Museum
		Deutsches Verkehrsforum e.V.
		German Aerospace Center (DLR)
		Enterprise for Health
		European Aerospace Quality Group
		Forum Luft- und Raumfahrt e.V.
		Gesellschaft für Datenschutz und Datensicherheit e.V.
		Hydrogen Europe
		IATA Strategic Partnerships
		Chamber of Commerce and Industry for Munich and Upper Bavaria (IHK)
		MINT-Campus Dachau
		Münchener Bildungsforum gem. n.e.V. (Munich-based network for employee training and HR development)
		Stifterverband für die Deutsche Wissenschaft (sponsors’ association for German science)
		Trace International, Inc.
		Bavarian Industry Association
		Bavarian Employers’ Associations for the Metalworking and Electrical Industries (vbm)
		UN Global Compact (signatory)
		Unternehmer TUM Solutions GmbH
		Association of German Engineers (VDI)

Stakeholder engagement (2-29 – 2-30)

GRI standard		Reference/Comment
2-29	Approach to stakeholder engagement	Stakeholder dialogue
2-30	Collective bargaining agreements	Collaboration and leadership

Data on material topics (3-1 – 3-3)

GRI standard		Reference/Comment
3-1	Process to determine material topics	Sustainability strategy and organization
3-2	List of material topics	Sustainability strategy and organization
3-3	Management of material topics	Sustainability strategy and organization The management of the material topics, their impact, measures and effectiveness are presented on the respective topic page.

Economic standards (201-1 – 207-2)

GRI standard		Reference/Comment
	Economic performance
3-3	Management approach	Sustainability strategy and organization
		Corporate social responsibility
		Climate impact of aircraft engines
201-1	Value generated and distributed	MTU Aero Engines Key figures are not broken down by market or region
201-1	Value generated and distributed	Corporate social responsibility
201-2	Financial implications and risks due to climate change	Climate impact of aircraft engines
201-2	Financial implications and risks due to climate change	2023 Annual Report: Risk and opportunity report, p. 76ff.
201-3	Defined benefit plan and retirement plans	2023 Annual Report: Pension provisions, p. 194ff. (Consolidated financial statements)
	Procurement practices
3-3	Management approach	Supplier management
204-1	Proportion of spending on local suppliers	Supplier management
	Anti-corruption
3-3	Management approach	Compliance
205-1	Operations assessed for risks related to corruption	Compliance
205-2	Information and training about anti-corruption	Compliance
205-3	Confirmed incidents of corruption and actions taken	Compliance
	Anti-competitive behavior
3-3	Management approach	Compliance
206-1	Legal actions for anti-competitive behavior, anti-trust and monopoly practices	Compliance
	Taxes (2019)
13-3	Management approach	MTU Aero Engines
207-1	Approach to tax	MTU Aero Engines
207-2	Tax governance, control and risk management	MTU Aero Engines

GRI Standards 2016, unless otherwise stated

Environmental standards (301-1 –308-2)

GRI standard		Reference/Comment
	Materials
3-3	Management approach	Environmental management
3-3	Management approach	Conservation of resources
301-1	Materials used by weight or volume	Conservation of resources
301-2	Recycled input materials used	Conservation of resources
301-3	Recycled products and their packaging materials	Conservation of resources
	Energy
3-3	Management approach	Climate action at our sites
302-1	Energy consumption within the organization	Climate action at our sites
302-4	Reduction of energy consumption	Climate action at our sites
302-5	Reductions in energy requirements of products and services	Climate impact of aircraft engines
	Water and effluents (GRI 2018)
3-3	Management approach	Environmental management
3-3	Management approach	Conservation of resources
303-1	Interactions with water as a shared resource	Conservation of resources
303-3	Water withdrawal	Conservation of resources
303-4	Water discharge	Conservation of resources
303-5	Water consumption	Conservation of resources
	Emissions
3-3	Management approach	Environmental management
3-3	Management approach	Climate action at our sites
305-1	Direct (Scope 1) greenhouse gas emissions	Climate action at our sites
305-2	Energy indirect (Scope 2) greenhouse gas emissions	Climate action at our sites
305-3	Other indirect (Scope 3) greenhouse gas emissions	Nonfinancial KPIs
		CO2 emissions that do not result from the use of energy by MTU in its on-site operations fall under Scope 3. These include upstream value creation at suppliers, downstream product use, and employee travel to and from MTU. We are not yet able to present Scope 3 in full. We have included a Scope 3 accounting project in our sustainability strategy. The aim is to record and evaluate significant upstream and downstream activities and to establish a corresponding management system at the fully consolidated locations.
		Climate impact of aircraft engines
305-4	Intensity of greenhouse gas emissions	Climate action at our sites
305-5	Reduction of greenhouse gas emissions	Climate action at our sites
305-7	Significant airborne emissions	Nonfinancial KPIs To evaluate emissions, we use the emission factors from the German Environment Agency’s ProBas database. Where we deviate from this: for sulfur dioxide we use emission factors from our own measurements for kerosene; for nitrogen oxide and carbon monoxide from the operation of engines we use MTU-specific factors (average values from NOx and CO emissions according to the ICAO database for all engines tested by us for the climb out operating point). For indirect emissions we use specific, locally adjusted emission factors based on ProBas.
	Waste (GRI 2020)
3-3, 306-2	Management approach	Environmental management
3-3, 306-2	Management approach	Conservation of resources
306-1, 306-3	Waste generated	Conservation of resources
306-4	Waste for recycling
306-5	Waste for disposal	Conservation of resources
	Supplier environmental assessment
3-3	Management approach	Supplier management
308-1	New suppliers that were screened using environmental criteria	Supplier management
308-2	Negative environmental impacts in the supply chain	Supplier management

GRI Standards 2016, unless otherwise stated

Social standards (401-1 – 419-1)

GRI standard		Reference/Comment
	Employment
3-3	Management approach	Collaboration and leadership
401-1	Employee turnover	Collaboration and leadership
		Nonfinancial KPIs
		Diversity, equity and inclusion
401-2	Benefits provided to full-time employees	Collaboration and leadership
401-3	Parental leave	Collaboration and leadership
401-3	Parental leave	Nonfinancial KPIs
	Labor/management relations
3-3	Management approach	Collaboration and leadership
402-1	Minimum notice periods regarding operational changes	Germany: Agreements between the employer and the works council that are governed by collective agreements can be terminated with three months’ notice under Section 77 of the German Works Council Constitution Act (Betriebsverfassungsgesetz). As a rule, this is also laid down in the collective agreements. In cases in which the arbitration body’s decision can overrule an agreement between the works council and employer, the regulations governing the notice period remain valid until replaced. Also laid down in the collective agreements are the notice periods for the assertion of claims for employers as well as employees. Poland: In accordance with Polish law Indefinite and fix-term employment contract – 2 weeks up to 6 months; 1 month up to 3 years of employment; 3 months after 3 years of employment. Serbia: 4 weeks. Netherlands: 1 month. Canada: The standard notice period is two weeks. If the numbers of employees is greater than 10, consideration must be given and determination if 60 days notice to be given. USA: 60 days for reduction of 50% or more of the workforce under federal WARN Act.
	Occupational health and safety (GRI 2018)
3-3	Management approach	Occupational health and safety
403-1	Occupational health and safety management system	Occupational health and safety
403-2	Hazard identification, risk assessment and investigation of incidents	Occupational health and safety
403-3	Occupational health services	Occupational health and safety
403-4	Worker participation, consultation, and communication	Occupational health and safety The entire workforce of all our production sites is fully represented in the locally organized occupational safety committees, the composition of which reflects the legal requirements for employer and employee representation in the respective countries .
403-5	Worker training	Occupational health and safety
403-6	Promotion of worker health	Occupational health and safety
403-8	Workers covered by occupational health and safety management system	Occupational health and safety
403-9	Work-related ill health	Occupational health and safety
	Training and education
3-3	Management approach	Employee development
404-1	Average hours of training per year per employee	Employee development
404-2	Lifelong learning	Employee development
404-3	Percentage of employees receiving regular performance reviews	Collaboration and leadership
	Diversity and equality of opportunity
3-3	Management approach	Diversity, equity and inclusion
405-1	Diversity of governance bodies and employees	Diversity, equity and inclusion Active workforce: employees with permanent or fixed-term contracts, temporary part-time employees on parental leave, excluding students, interns, trainees/apprentices, short-term holiday workers, temporary workers and employees from external companies. Nationalities: We don’t track Nationalities on the US, but rather state-mandated diversity metrics based on ethnicity. Number of nationalities for the MTU Group therefore excludes MTU Aero Engines North America.
405-2	Ratio of basic salary and remuneration of women to men	Collaboration and leadership
	Non-discrimination
3-3	Management approach	Human rights
406-1	Cases of discrimination and corrective actions taken	Human rights
	Freedom of association and collective bargaining
3-3	Management approach	Human rights
407-1	Operations and suppliers for which the right to freedom of association and collective bargaining may be at risk	Human rights
407-1		Human rights in the supply chain
	Child labor
3-3	Management approach	Human rights
408-1	Operations and suppliers at significant risk for incidents of child labor	Human rights
408-1		Human rights in the supply chain
	Forced or compulsory labor
3-3	Management approach	Human rights
3-3	Management approach	Human rights in the supply chain
409-1	Operations and suppliers with significant risk for incidents of forced and compulsory labor	Human rights
409-1		Human rights in the supply chain
	Supplier social assessment
3-3	Management approach	Supplier management
414-1	New suppliers that were screened using social criteria	Human rights in the supply chain
414-1	New suppliers that were screened using social criteria	Supplier management
414-2	Negative social impacts in the supply chain and actions taken	Human rights in the supply chain
414-2		Supplier management
	Public policy
3-3	Management approach	Stakeholder dialogue
415-1	Political contributions	Stakeholder dialogue
	Customer health and safety
3-3	Management approach	Product quality and flight safety
416-1	Products and services for which health and safety impacts were assessed	Product quality and flight safety
416-2	Incidents of non-compliance concerning the health and safety impacts of products and services	Product quality and flight safety
	Marketing and labeling
3-3	Management approach	Product quality and flight safety
417-1	Requirements for product labelling and information	Product quality and flight safety
417-2	Incidents of non-compliance concerning product labeling and information	Product quality and flight safety
417-3	Incidents of non-compliance concerning marketing communications	In the reporting period, there were no incidents of non-compliance with the regulations.
	Customer privacy
3-3	Management approach	Compliance
418-1	Substantiated complaints concerning breaches of data protection	Compliance

GRI Standards 2016, unless otherwise stated

GRI Index

General disclosures

Organizational profile (2-1 – 2-5)

Activities and workers (2-6 - 2-8)

Governance (2-9 - 2-21)

Strategy, policies, and practices (2-22 - 2-28)

Stakeholder engagement (2-29 – 2-30)

Material topics

Data on material topics (3-1 – 3-3)

Topic-specific standards

Economic standards (201-1 – 207-2)

Environmental standards (301-1 –308-2)

Social standards (401-1 – 419-1)