HERMÈS - 2019 Universal Registration Document

CORPORATE GOVERNANCE SUPERVISORY BOARD'S' REPORT ON CORPORATE GOVERNANCE

NON-DISCRIMINATION AND DIVERSITY POLICY WITH RESPECT TO THE BALANCED REPRESENTATION OF WOMEN AND MEN IN THE GOVERNING BODIES AND DIVERSITY IN THE 10% OF KEY MANAGEMENT POSITIONS

it is the responsibility of the Executive Management to set gender s balance objectives and the time frame for attaining them, as well as to determine how these objectives and the action plan are implemented; the Supervisory Board ensures compliance with and monitoring of the s this recommendation. It is informed annually by the Executive Management the results obtained so that they can be included in the corporate governance report. Companies are recommended to do their very best to set and publish gender balance objectives this year. The Executive Management presented these company gender balance objectives to the Supervisory Board on 25 February 2020. The scope of the governing bodies selected includes the committees established by the Executive Management several years ago to regularly assist it in exercising its general duties, namely: Executive Management has set itself the goal of securing gender balance in governing bodies in the long term, so that each gender represents at least 40% of the members. For several years now, the Company has been encouraging female representation among Senior Executives, which should help achieve this goal. The Supervisory Board noted the gender mix objectives set by the Executive Management as well as its implementation methods (action plan and timeframe within which these actions will be carried out). The outcomes obtained in financial year 2020 will be described in the corporate governance report to be published in the 2020 Universal registration document in 2021. Executive Committee (role and composition page 205); s Operations Committee (role and composition page 208). s

3.3.2.4

Gender balance policy in governing bodies In accordance with the provisions of Article L. 225-37-4, 6° of the French Commercial Code ( Code de commerce ), as amended by law 2018-771 of 5 September 2018 “for the freedom to choose one’s professional future”, we describe how the Company seeks balanced representation of men and women on the committee established, where relevant, by the Executive Management in order to regularly assist it in exercising its general duties and the results in terms of gender balance in the 10% of key management positions. Since 2018, the Supervisory Board has been tasked with ensuring that the Executive Chairmen implement a non-discrimination and diversity policy in the governing bodies. This policy was presented to the Supervisory Board in late 2018. Pursuant to Article 7 of the Afep-Medef Code, updated in January 2020, Boards are recommended to set gender balance objectives within governing bodies. The HCGE implementation guide published in March 2020 stipulates that in sociétés en commandite par actions (partnerships limited by shares):

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Gender balance in governing bodies The table below illustrates gender balance on the governance bodies, on the Supervisory Board and in the Senior Executives category:

As at 31 december

2019

2018

Governing bodies (Executive Committee and Operations Committee) Proportion of women

13/24 11/24

54.2% 45.8%

10/21 11/21

47.6% 52.4%

Proportion of men

Overall female representation Supervisory Board (Excluding the employee representative on the Supervisory Board)

50.0% 45.8%

50.0% 44.0%

Senior executives 1

This category comprises the 83 positions with the highest levels of responsibility according to the classification used by the Group. (1)

Gender equality index Pursuant to law 2018-771 of 5 September 2018 “for the freedom to choose one’s professional future”, on 5 March 2020 Hermès International published its 2019 gender equality index, with a score of 99/100.

This index measures the gender pay gap within a single company. It takes into account all components of a compensation package and must be calculated each year, thereby serving to identify any points of progress: the gender pay gap; s the gap in the breakdown of individual pay increases; s the gap in the breakdown of promotions (only for companies with s more than 250 employees);

2019 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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