SOCIAL
We are committed to a culture that embraces diversity, encourages equity and creates inclusion. We supportour employees, communities and clients to achieve greater together.
We recognize that employees are vital to our success, and take recruitment, development and retention of top talent seriously.
To achieve excellence in our recruiting efforts, we target our talent identification, sourcing methods and recruiting strategies to specific locations using a variety of channels including job boards, colleges, professional networks, associations and online social networks. We base hiring decisions on a variety of factors, including educational background, relevant experience, past accomplishments, professional licensing and strong evidence of integrity and ethical behavior.
We introduced several learning programs on managing bias in hiring for our talent acquisition teams and our hiring managers. Managing bias in hiring for LGBTQ+ talent in India has increased in focus. We also rolled out sensitivity workshops for recruiting managers on hiring women who have taken a break in their career.
In India, the returnship program for women who have taken a break in their careers has yielded more than 140 women who have been onboarded across different levels in the organization since 2018.
To support our diverse hiring needs and create a diverse talent pipeline, we announced the Head of Talent Acquisition–International would also serve as the global DEI lead for Talent Acquisition. This role works closely with Talent Acquisition leadership, regional DEI officers and business unit HR leads to deliver on the corporate DEI talent strategy.
In EMEA, our Talent Acquisition function works closely with the neurodiverse and disabled community in providing job shadow days, work experience opportunities, CV writing and interview support. We partner with the Guernsey Employment Trust (of which we are charter signatories), Specialisterne, Scope and Headway to provide support to job seekers. We have made permanent hires in Limerick following the partnership with Specialisterne. In Ireland, we are supporting Business in the Community’s Women@Work program to support women who have taken career breaks and are yet to find suitable employment.
Our support extends to networking, mentoring, role-modeling and skills-based training and support. We work closely with student affinity networks on our target university campuses across the globe to ensure we are connecting directly with diverse graduate talent.
We pride ourselves in attracting diverse talent, and have identified the development of our talent as a strategic priority. Our focus on well-being, diversity and a culture of trust, care and collaboration contributes to our employer brand. The talent management team is accountable for establishing policies, programs and practices focused on talent acquisition, learning and development, talent planning and performance management.
In 2022, employees consumed nearly 660,000 hours of training in a combination of self-paced, virtual and instructor-led formats.
LEARNING & DEVELOPMENTAn integrated partnership between our enterprise-wide and functional learning and development teams ensures we deliver holistic training solutions. Through our online learning portal, Northern Trust University, all employees can access a portfolio of professional and functional training offerings most helpful to their role. Our training content is dynamic as we regularly evaluate its quality and utilization, and we refresh and organize courses and resources to enable employees to develop skills most critical to servicing our clients and developing their careers. An emerging area of focus is helping expand digital, analytical and financial acumen skills across the enterprise. Many of our programs are interactive, include peer networking and offer direct access to expert facilitators. Training is offered through online libraries of self-study content and in both virtual and classroom instructor-led formats. In 2022, employees consumed nearly 660,000 hours of training in a combination of self-paced, virtual and instructor-led formats.
Our new Conversations of Management learning center focuses on enriching the engagement, performance and well-being discussions between managers and their direct reports to foster deeper trust. An online Career Development Planning tool was introduced to promote personalized career planning and skill development along with a set of self-paced building blocks to enable professional development on demand. We also developed a DIY Learning Circle program providing short videos with short discussion guides allowing any employee to host a social learning event. In partnership with a popular external online learning platform, we piloted a series of deep-learning curricula to promote upskilling in the high-demand areas of data and digital transformation. We also piloted an internal certificate program to help employees strengthen their business and financial acumen.
Northern Trust also encourages our employees to pursue further education outside of the organization. Our Education Assistance Program provides tuition reimbursement globally to employees who want to earn undergraduate and graduate degrees. We also support selected industry certifications through this program.
LEADERSHIP DEVELOPMENTNorthern Trust provides targeted development opportunities for employees transitioning into management, and throughout their management career. Our interactive programs include curated content from external providers, as well as internally developed content from our own thought leaders. Many programs include opportunities for peer networking and direct access to well-known expert facilitators. We also provide resources and programs to develop and equip a diverse pipeline of future leaders at all levels of the organization.
In addition, we curated the Inclusive Leadership Curriculum for Managers in 2022. In partnership with our DEI team, we launched videos, courses and activities to give managers a foundation in many of the topics and techniques needed for managing teams inclusively.
The curriculum has been deliberately designed across four pillars to allow managers the flexibility to move in and out of areas of interest:
• The Fundamentals of DEI includes knowledge on why diverse teams win and how to manage employees who are neurodiverse
• Build Self Awareness and Understand Bias includes managing bias in the hiring process and evaluating direct reports accurately
• Lead Inclusively includes creating the right environment for diverse teams and assessing your own inclusiveness
• Build an Inclusive Team Culture includes understanding diverse cultures, including those who are often overlooked
Northern Trust continually assesses our talent pool to ensure we have the breadth, depth and diversity of technical and leadership skills to execute our business strategies today and in the future. Managers conduct talent assessments annually, and business and regional leadership teams hold regular talent-review discussions focused on specific topics, such as workforce needs, retention risks, readiness for promotion, readiness to move and succession plans. Each year, a talent-review meeting is conducted with members of our senior management team. A formal talent review is also conducted with our board of directors each year, led by our chief executive officer and chief human resources officer. Our talent-management team oversees several processes that support organizational effectiveness, including performance management, internal mobility, engagement and recognition. Priorities are set by our chief executive officer and the executive leadership team, and communicated with each business team and individual. Managers are encouraged to provide regular feedback and coaching to elicit desired performance and results. We collect employee perspectives and ideas through our annual engagement survey and use this feedback to inform Northern Trust’s strategic priorities and measure progress of those efforts over time.
The Rotational Development Program helps entry-level employees build their technical and leadership skills in a specific career track—credit, finance, investments, asset servicing, cyber risk or technology. Rotations involve training, mentorship, speakers, community service and a case challenge.
Senior Leadership Development cohort comprised 36 participants of which 50 percent are women.
The Enterprise Talent Leadership Program prepares mid-level talent for leadership success. It includes assessments, career and development planning, access to executive coaches, mentorship, speakers, targeted development and exposure to senior leadership.
We added a new component called participant-led programs. Participant leadership teams crowdsource, plan, organize and facilitate multiple speaker learning events, along with identifying business problems and collaborating with subject matter experts to formulate and apply solutions. The 2022 cohort comprised more than 50 percent women globally, and racially/ethnically diverse participants in the U.S.
The A Approach for Managers Summit brings together senior level leaders for 2.5 days to engage in a dialogue with their peers about what it takes to succeed in their roles at Northern Trust. Through a business-owner lens, the cohort experience provides networking opportunities across business units and groups and focuses on ways to create an inclusive and psychologically safe environment where partners can do their best work. They leave the program with practical tools and a well-established network they can leverage on the job.
The Senior Leadership Development Program convenes a limited number of Northern Trust senior vice presidents annually to focus on evolving leadership skills, leveraging a global mindset to drive transformation while building an invaluable peer and executive network. A variety of immersive experiences are employed to challenge assumptions and allow for exploration and practice, including a digital transformation studio to provide opportunities to address real-life examples and experiment in a safe environment.
In 2022, based on 2021 participants’ feedback, we modified the program to include external thought leaders in the kick-off session, helping participants focus on emerging leadership needs and new ways to lead strategically; moderated panel discussions for business unit leaders to share their career journey and company impact; and provided flexibility in session offerings to ensure maximum participation in the interactive and experiential sessions.
Strengthening mental health and well-being creates a healthier and more inclusive workplace. Providing our employees with resources and support for their mental health is paramount to our joint success.
2022 PROGRAMMING INCLUDED:
“Together for Mental Health–Are You Really Okay?” was presented in commemoration of U.S. Mental Health Awareness Month (May), with session topics like Having Meaningful Conversations, Overcoming Isolation, and Happiness & Joy in the Midst of Hard Times.
Our ‘This Is Me’ campaign encouraged employees to continue bravely sharing their lived experiences in an effort to highlight the importance of storytelling and normalization of speaking about mental health experiences. In the spirit of senior leadership buy-in and support of this campaign, one of our business unit’s chief operating officer shared his personal story with employees.
Our DEI function in North America hosted a hybrid comedy break in commemoration of World Mental Health Day (October). The “If Laughter Is Healthy, Why Aren’t We All Okay?” presentation was focused on helping employees understand the role that laughter plays in promoting well-being and in-office interaction. The presentation was hosted in-person in Chicago, with more than 600 employees attending, either virtually or in-person, across 13 offices in North America.
We are committed to advancing an inclusive culture in which all individuals are valued, respected, supported and can fully participate in and contribute to our success. Our focus on DEI is rooted in our core values of service, expertise and integrity. Employees from diverse backgrounds with unique leadership styles and skill sets allow us to provide superior service to clients.
Our DEI strategy focuses on enhancing development programs and placement and advancing culture. It is designed to develop an inclusive workplace that reflects our values and allows us to grow our business. Enhancing the DEI dialogue and taking action beyond representation is critical to sustain inclusion.
We offer our employees equitable opportunities to participate in development programs focused on various stages of their careers. One area of focus is developing female leadership to help ensure long-term equality in our leadership teams.
Women in Finance Charter (U.K.) Northern Trust is a signatory to the Women in Finance Charter. Established by the HM Treasury in the U.K., the charter aims to bring companies together to build a balanced and fair financial services industry. We take great pride in aligning ourselves with this important initiative, and believe that such efforts are vital to our industry’s success. When we signed the charter in May 2017, we had 31 percent female representation in senior management. As of September 2019, we had 35 percent female representation in senior management, meaning we achieved our representation commitment more than a year ahead of the deadline. In November 2020 we announced a renewed target of reaching 38 percent by December 2023 in the U.K. As of September 2022, we reached 37 percent.
Women in Finance Charter (Norway)In June 2022, we signed Norway’s Women in Finance Charter. As a signatory, we remain committed to fostering gender balance and inclusion in our Norway branch. To recognize this, and given the small size of the Norway branch, we have set a target of 40 percent female representation across the business, and 30 percent females in senior leadership positions.
Women in Finance Charter (Ireland)In April 2022, we signed the Irish Women in Finance Charter. This is a collaboration between industry and government under the Ireland for Finance strategy, the government's blueprint for the development of the international financial services sector. Diversity is a key theme of the strategy. We set a goal of improving female representation at senior levels from 44 to 48 percent by December 2025. As of December 2022, we reached 45 percent.
The Women’s Leadership Development Forum is focused on the development of women at the middle management levels. This program addresses Northern Trust’s corporate need to grow and develop strategic thinkers and leaders.
In 2022, the U.S. program experienced a few firsts: it was executed in a fully virtual environment with participants across North America, and was revamped to pair both male and female senior vice presidents as co-leaders of facilitated discussions for their assigned cohorts. Racial and ethnically diverse women comprised 46 percent of the total women participants.
In India, the program is run in two cohorts of high-potential female talent each year. The junior cohort, comprised of entry-level managers, goes through a program called Stand Tall, focusing on self-exploration of personal power, assertive influencing and building and leveraging a powerful network for success. After the program, each partner is assigned a mentor for six months.
The second cohort, which consists of mid-to-senior level female employees, goes through a nine-month program called Women Leading from Within, grounded in the principles of mindful leadership.
The leadership learning journey consists of 12 modules, self-reflection exercises and assignments, a mentor network and one-on-one coaching sessions with a certified external coach. More than 2,100 women have participated in this program across the globe.
Lean In Circles Lean In Circles were created for junior female talent, based on the non-profit founded by Sheryl Sandberg, former chief operations officer at Meta Platforms, Inc. (formerly known as Facebook) and author of Lean In. These mentoring circles provide an opportunity for our employees to share experiences, build their network, strengthen confidence and learn from others. The circles are led by mid-to-senior-level female talent who are keen to support the next generation of female leaders and develop their own leadership skills.
We consistently work to promote a transparent, collaborative and inclusive culture with the aim of attracting, developing and retaining diverse talent.
DEI TRAININGOur employees benefit from ongoing training to understand bias, and to practice and embody inclusive leadership. Our approach to DEI training is multi-faceted throughout our curriculum, and follows two main pillars:
Specific DEI training on assorted topics such as LGBTQ+ inclusion and allyship, bias in recruiting and managing remote teams inclusively
Integration of DEI concepts and skillsets into broader management training such as our A-Approach for Manager program, which has aspects of inclusive leadership woven throughout
In 2022, we continued to implement practices that allowed us to have deeper insight into creating a more inclusive workplace.
Inclusion Index: Leveraging our employee engagement survey and utilizing insights and benchmarks from industry experts, we launched our Inclusion Index in 2022 to better understand inclusion and our employees' sense of belonging across the organization. The index helps us identify gaps and opportunities to build on our strengths around inclusion.
Voluntary Self-Disclosure: Employees in the U.S. were provided the option to voluntarily self-disclose their sexual orientation and gender identity (SOGI) data in our HR system. Through this confidential and secure process, we can obtain and aggregate data to:
Help us better understand this population's needs in our workforce
Promote the inclusion of LGBTQ+ employees within our organization
Celebrate Great: Our focus on recognizing employees via Celebrate Great (our internal recognition platform) lends to an inclusive work environment as it facilitates social connections, everyday recognitions and an overall attitude of gratitude among our employee population. In 2022, employees increased their usage of the recognition system by 35 percent from 2021, with more than 154,000 individual recognitions sent across our global population.
BUSINESS RESOURCE COUNCIL (BRC) ENGAGEMENT Northern Trust offers 12 BRC which are employee-led and -governed groups that are open to all employees promote education and awareness through engagement-based activities:
North America BRCs and notable initiatives: Business Resource Council Advisory Council (BRCAC)Aligning the BRCs to our DEI strategy, this council fosters collaboration to recognize intersectionality, and provide guidance to create consistency across the BRCs. The BRCAC comprises all North America BRC leaders and is co-chaired by a DEI senior consultant and a senior-level business partner, with oversight by an executive leader. For the third consecutive year, in 2022, the BRCAC earned a spot on the Top 10 Strategic or Enterprise-Wide Employee Resource Groups Awards list sponsored by The Global ERG Network for its efforts to support our employees and the organization.
BRC Regional Inclusion Teams Complementing the work of the full-service BRCs listed above, we also offer Inclusion Teams in Canada, as well as the East and West regions in the U.S., as broad networks to support the employees in locations outside of our Chicago and Tempe locations. The focus of these Inclusion Teams is to amplify the work of the BRCs and help senior leaders align their efforts to the diversity plans in their various locations in North America.
The BRCs, Inclusion Teams and the BRCAC champion our DEI efforts, collectively executing more than 200 programs, initiatives and efforts in 2022.
ALIGNED TO THE BRC PILLAR FRAMEWORK OF OUR BUSINESS, OUR PEOPLE, OUR CULTURE AND OUR COMMUNITY, NOTABLE INITIATIVES INCLUDE THE FOLLOWING:
Our Business: Case ChallengeThe Advancing Professionals Resource Council (APRC) gives employees the opportunity to participate in an annual case challenge. In 2022, the case challenge focused on how employees can contribute to enhance the employee experience by shaping and enabling a culture of inclusion, holistic wellbeing or employee growth.
The challenge hosted five teams consisting of 31 employees across 11 cities for this internal, consulting-based competition, during which teams present business ideas to senior leadership for potential implementation.
The winning idea, a mid-career rotational program, has evolved to become a six-month modern learning event called the Mid-career Development Program (powered by APRC). The program is expected to launch in 2024.
Aimed at employees with five- to 15-year work experience, the Mid-Career Development Program will include immersive experiences in the business and business groups, keynote speakers and knowledge shares from board member(s) and senior leadership, seats at the table (listen in on executive meetings like Executive Vice President forums), group mentoring, individual coaching, networking and a cohort volunteer event, all supported by targeted development opportunities during and post program.
Our People: BRC LeadershipLearning SeriesThis six-part virtual learning series was a blended learning forum that incorporated internal and external trainings designed to help employees in a BRC leadership role apply learned skills to their day jobs. During the series, the BRC leadership teams piloted the DIY Learning Circles, a Northern Trust Learning & Development initiative that allows employees to lead a group discussion on how to apply concepts learned on four topics: Grit, Collaboration, Goal Setting, and Influencing Without Authority. This new organizational initiative provided peer learning opportunities as well as professional development skill-building for those leading the discussions.
Our Culture: LGBTQ+ Allyship Program and Black History MonthThe LGBT+ Allyship program is a flagship program of the Northern Trust Pride BRC that aims to build a community of trained allies who will serve as catalysts in creating an inclusive and safe working environment for LGBTQ+ employees across Northern Trust offices in APAC. In 2022, a total of 260 employees from different levels signed up to be part of the Allyship programs in Australia, Hong Kong, the Philippines and Singapore.
In India, more than 300 employees have attended this program, facilitated by the Pride BRC. In 2022, the BRC launched an awareness session titled “Trans 101,” to educate employees about the basics of transgender inclusion and the challenges faced by the transgender community.
To mark Black History Month UK in 2022, the Black Business Resource Council welcomed a panel of experts for a candid conversation sharing experiences and personal insights on the contributions and challenges faced by Black women in finance, and what can be done to advance Black women within the financial services industry. Moreover, this BRC works in close partnership with London-based charity, the Hebe Foundation, to create innovative and engaging projects to inspire young people aged 13-20 to help them discover and use their talents, and increase their access to quality education and employability opportunities.
Our Community: Achieving Greater Together and Donations for DoersWith Corporate Philanthropy being deeply rooted in Northern Trust’s heritage, the BRCs and their membership played a role in supporting the organization’s overall community efforts. In 2022, BRC members volunteered 16,220 hours to support approximately 400 organizations through either organized volunteer events or individual volunteering efforts. Supporting Northern Trust's annual volunteer campaign in October, the BRCs and Regional BRC Inclusion Teams hosted 27 volunteer events and BRC members volunteered 5,544 volunteer hours, or about 22 percent, of the 25,000 hours volunteered by employees globally during that time.
BRCs and their members also made a financial impact. The Donations for Doers program was launched in 2022, and creates an opportunity for full-time employees who volunteer five or more hours in a quarter to earn funds to donate to an eligible non-profit organization of their choice. Introduced as part of a global BRC Campaign to End Homelessness, BRCs invited employees to consider directing their earned Donations for Doers funds to organizations that support those experiencing housing insecurity and that align to BRC's mission and/or target demographic.
We are committed to a culture that embraces diversity, encourages equity and elevates inclusion, and we support our employees, communities and clients to Achieve Greater Together.
Northern Trust’s enduring principles of service, expertise and integrity are foundational to that support. We partner with mission-aligned organizations to improve access to resources and opportunities in local communities. For employees and clients, we are continuously creating a diverse and inclusive culture in which all individuals are welcomed, respected, supported and valued so they can fully participate in, and contribute to, realizing their goals and achieving greater for our clients, our business and society.
Since our founding in 1889, Northern Trust has actively advanced a culture of caring and a commitment to invest responsibly in the communities we serve worldwide.
Global Philanthropic StrategySince 2020, we have worked toward a philanthropic strategy that focuses our contributions on four key areas of fundamental impact proven to improve financial futures: educational excellence, food security, accessible healthcare and affordable housing.
Our goal is to support those who have been marginalized with more opportunities to achieve long-term financial success. The support comes in a variety of ways, from providing shelter for children in India to ensuring internet access and laptops for low-income students in London to, through the Northern Trust Foundation, expanding access to resources that address mental and physical health needs in Chicago's South and West sides.
In 2022, Northern Trust donated more than $19 million, bringing our total giving over the past decade to nearly $170 million globally. Please visit the 2022 Philanthropic Impact Report to learn more about our philanthropic efforts.
Community engagement opportunities and paid time off for volunteerism enhance our communities, put our values into action and help make us an employer of choice.
Employee volunteerism options are a strong priority for college graduates considering future employers, and Northern Trust employees have volunteered more than 1 million hours of their time to charities over the past decade. Nonprofit and civic board involvement is integral to talent management, as it provides employees with a means of improving the world around them, leadership experience, skill development and networking opportunities beyond the scope of their roles.
To enhance environmental efforts in our communities, our Asset Servicing business partnered with the Sustainability Network and our philanthropy team to curate “Earth Quarter 2022.”
500 employees signed the carbon pledge and committed to making small changes in their daily routine to decrease their carbon emissions.
388 volunteer hours were logged by employees worldwide
Two employees who logged the most hours and will split the $10,000 donation to their selected charities:
Community Development & InvestmentAt Northern Trust, we believe creating long-term sustainable change in communities requires direct investment of capital using investments that prioritize social impacts rather than the maximization of financial return. Our Community Reinvestment Act (CRA) designation as a wholesale bank allows us to concentrate efforts and resources on investments that provide access to capital, helping to create and expand community wealth. The Corporate Governance Committee of the board of directors receives an annual CRA and fair lending report and approves our policies in these areas. Northern Trust has maintained an Outstanding CRA rating for 27 consecutive years, and as of Dec. 31, 2022, our community investments portfolio exceeded $3.9 billion and serves the following priorities:
OBJECTIVE: Support the creation and retention of affordable home rentals and homeownership in partnership with mission-driven lenders and developers.
Since 1910, Catholic Charities USA has been a voice for the vulnerable, and an advocate for at-risk communities across the United States. With an investment of $10 million, Northern Trust was able to help with the launch of their Affordable Housing Gap Loan Pilot Program. This program utilizes low-interest loans to provide gap financing to support the construction of affordable housing properties built by Catholic Charities affiliates. As one of the nation’s leading affordable housing providers, Catholic Charities is an impactful innovator in their service to under-resourced communities.
OBJECTIVE: Provide long-term capital and equity for the development of community and educational facilities and programs such as charter schools, health clinics and daycare centers.
As an early adopter of Social Impact Bonds/Pay-for-Success programs, Northern Trust was asked to participate in a transaction that supports the training and retention of approximately 350 new teachers in the city of Denver and its surrounding communities, using the Public Education and Business Coalition (PEBC) Teacher Residency Program. As the lead investor, Northern Trust is providing up to $1.2 million over a five-year period, along with the Gates Family Foundation, Denver Foundation and the Colorado Department of Education. PEBC has trained new teachers for nearly 30 years, and is the largest residency and alternative licensure pathway. The financing will provide for the expansion of the program, and allow school districts the ability to pay for a portion of the program through success fees based upon teacher retention.
OBJECTIVE: Invest in Community Development Financial Institutions (CDFIs) and community credit unions that provide capital to meet the needs of the unbanked, underbanked and underserved members of our communities.
Latino Community Credit Union (LCCU) is a Community Development Financial Institution with the mission of supporting local communities through ethical financial tools, and the training to foster economic prosperity for generations to come. In addition to having their Minority Depository Institution (MDI) certification, LCCU is bilingual and federally insured so as to directly engage with and support low-income communities. Northern Trust committed a $5 million investment to provide capital support and education to both underserved Latinos and immigrants in North Carolina and throughout the Southeast. LCCU is one of the fastest growing credit unions, and it strives to create economic opportunities with fair and affordable financial products and accessible education.
OBJECTIVE: Support mission-driven micro-loan origination programs and the expansion of businesses and job creation.
With a Northern Trust equity investment of up to $5 million in New Market Tax Credits, IndieDwell in Brawley, is creating a new facility that will be used to manufacture affordable, sustainable modular housing to meet unmet housing needs in the southwest United States, with a commitment to carbon neutrality. While the construction of affordable housing is important, the creation of over 190 full-time jobs that provide easy entry pathways for those with employment barriers is the real differentiator of the IndieDwell social enterprise model. The jobs will provide a living wage, essential training in construction trades, comprehensive benefits, as well as profit sharing and retirement plan options. In addition, after three years of working within the new facility, the full-time employees may participate in a designated employee ownership program and be eligible for dividend distributions.
