Groupe Renault - 2019 Universal Registration Document

RENAULT: A RESPONSIBLE COMPANY

ANNUAL GENERAL MEETING OF RENAULT ON APRIL 24, 2020

GROUPE RENAULT

CORPORATE GOVERNANCE

FINANCIAL STATEMENTS

RENAULT AND ITS SHAREHOLDERS

ADDITIONAL INFORMATION

INCLUSION

In 2019, the total amount of incentives invested in the schemes was €82.93 million, an increase of 2.64% since 2018. In 2018, Renault set up a shareholding offering reserved for the Group’s employees and former employees, “ShareTheFuture”, following the disposal of Renault shares by the French State in November 2017. This fully subscribed offer generated a 0.5% increase in the share of capital collectively held by employees, following the incorporation into the scheme of two new umbrella FCPE mutual funds, Renault France and Renault International. In addition, the total payments in 2019 amounted to €91.08 million. Renault has introduced a Group Retirement savings scheme (Perco), enabling employees to build up savings that will be available in the form of annuities or a lump sum when they retire. With this system, employees can pay their profit-sharing bonuses, voluntary payments or part of their individual time savings leave (CTI, up to 10 days per year) into the plan. In addition, Renault contributes the equivalent of 30% of the CTI days paid into the plan.

Employees can choose between free management of their savings, the funds proposed as part of the selected Group savings plan (with the exception of the Company share ownership funds) or management through the generational funds in the BNP PARIBAS PERSPECTIVES range. In 2019, total payments into Renault’s Group retirement savings scheme amounted to €14.67 million, of which 27.60% came from the cash-out of paid leave. The total value of Renault’s company savings plans at December 31, 2019 was €859.49 million (see Appendix 2.6.2). Since December 2015, BNP PARIBAS E&RE has managed the Company savings plan and collective retirement savings plan for Renault. Controlled development of personnel expenses f) The Group’s payroll costs stood at €6,706 million in 2019, of which €6,400 million was for the Automotive branch. This was stable compared with 2018. The “10 major countries” (Argentina, Brazil, South Korea, Spain, France, India, Morocco, Romania, Russia and Turkey) represent 89% of the Group’s payroll costs.

02

2019 Average cost 2019

Labor expenses by Region

2017

2018

GROUP Europe*

6,501.9 4,512.1 3,368.2 1,006.5

6,702.6 4,718.2 3,548.5 1,051.8

6,705.7 4,686.2 3,473.64 1,103.2

37.0 64.1 71.9 14.4 30.9 11.2 27.8 9.8

o/w France

Eurasia

o/w AVTOVAZ

450.0 435.2

460.5 399.8

466.1 374.8

Americas

China

0.2

0.4

0.4

Africa – Middle-East – India – Pacific

547.9

532.4

541.1

Europe including Renault-Nissan Global Management. *

Offer working environments with

drivers for improved skills, including recruitment strategies for finding new skills, training plans for the skills that need to be developed, career plans and coaching and mentoring programs. Skills to be developed cover both technical skills and cross-functional skills. The process is supported by the HR department, which adopts a global approach, challenges the business activities and identifies the areas for transformation common to the various entities to assess the impacts of these changes on jobs, localization and on the sharing of action plans. A range of methods is used to circulate information on anticipated skills changes. For example, a self-assessment tool has been available from the People@Renault platform since July 2019. In the segments in which it is deployed, this tool provides employees with an individual assessment of the skills that they have mastered, and those that they need to improve. Mapping of skills gaps for each entity provides managers with the tools they need in order to build and prioritize action plans. At the same time, as part of an internal networking process, each employee is invited to declare and promote their skills in People@Renault.

2.4.1.3

training and enlarge the teams Training and skills management are the essential drivers for supporting the Group in achieving its objectives. The car industry, still undergoing change, has complex jobs involved in providing electric, connected and autonomous mobility. The Company must therefore not only adapt its skills to develop its competitive advantage and still better serve its customers, but also promote development through training in new technologies, notably digital. Failing to have the necessary skills could affect the Group, causing a drop in the level of product quality and difficulties in innovating or in producing or distributing its services and solutions. Dynamic skills management A. Groupe Renault’s skills management system aims to define the strategic skills needed to implement appropriate recruitment, training and employee mobility initiatives in the relevant countries. These processes are applied to all Business activities, and form the subject of an annual report setting out the Group’s priorities. Skills are identified by business managers, supported by a network of internal and external experts. They also make recommendations on

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GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2019