Compliance

Compliance refers to all measures that ensure lawful conduct of companies, their management bodies and their employees with respect to statutory regulations and the company’s internal rules and prohibitions. The Lufthansa Group Compliance Management System is intended to prevent the companies, management bodies and employees of the Lufthansa Group from violating legal or internal rules and prohibitions, and to support them in applying these regulations correctly.

The Compliance Management System comprises the following elements: Competition, Capital Markets, Integrity (Anti-Corruption), External Workforce, Anti-Money Laundering and Embargo and Export Compliance. Central elements of the Lufthansa Group Compliance Management System include providing of legal advice on specific compliance-related issues, conducting an annual group-wide identification and evaluation of compliance risks through an IT-based compliance self-assessment, and implementing corresponding risk mitigation measures. Regular communication of compliance principles, risks and regulations through various channels, as well as risk-oriented employee training, foster appropriate risk awareness within the Lufthansa Group. A whistleblowing system enables reporting any suspicion of economic crimes or violations of the Lufthansa Group's compliance regulations through an electronic system and designated ombudspersons.

The Chief Compliance Officer, who reports to the Board member responsible for Human Resources and Legal and is supported by the Corporate Compliance Office, the central and local compliance committees of the Lufthansa Group and the compliance managers in the group companies, ensure that the Compliance Management System is implemented throughout the Lufthansa Group. The Audit Committee of the Supervisory Board receives biannual compliance reports regarding incidents and progress in the area of compliance, with additional updates provided on an ad hoc basis, if necessary. The Supervisory Board is informed annually about the development of the Compliance Management System.