HERMÈS - 2020 Universal registration document

CORPORATE GOVERNANCE FUNCTIONING OF THE SUPERVISORY BOARD

ETHICS AND COMPLIANCE – PERSONAL

3.4.4

Since 11 September 2018, the Supervisory Board’s rules of procedure have included new duties relating to CSR issues (Article 1.2.4.2.), following the revision of the Afep-Medef Code in June 2018. As a result, on 16 November 2018, the CAG Committee was entrusted with two new missions in terms of corporate social responsibility: assist the Supervisory Board in monitoring matters relating to CSR in s order that the Hermès Group better anticipate associated opportunities, issues and risks; assist the Supervisory Board in monitoring the Hermès Group’s social s policy and the policy of non-discrimination and diversity. On 16 November 2018, it was renamed the “Compensation, Appointments, Governance and CSR Committee (CAG-CSR Committee)”. Since 2019, the CAG-CSR Committee has devoted two meetings per year to in-depth reviews of CSR issues. In addition, since the incorporation of a CSR criterion into the Executive Chairmen’s variable compensation in 2019, the CAG-CSR Committee has been tasked with annually evaluating the achievement of the three indicators comprising it (see § 3.7.1.2.4 and 3.7.2.1.3). In order to comply with the recommendations of the HCGE (report of December 2019, page 51), starting in 2021, a joint meeting between the CAG-CSR Committee and the Audit and Risk Committee will be organised to present CSR risk exposure. This joint meeting will be held every year.

DATA PROTECTION

The systems implemented in the Group are described in chapter 2 "Corporate social responsibility", § 2.8.

ETHICS AND COMPLIANCE

3.4.4.1

Ethics and compliance issues as well as the related programmes have been shared regularly with the Supervisory Board since 2015. It is regularly informed about the ethics and compliance programmes and on the progress of the corruption prevention plan within the Group in compliance with law No. 2016-1691 of 9 December 2016, known as “Sapin II”. Since 11 September 2018, the Supervisory Board’s rules of procedure have included duties relating to the system for the prevention and detection of corruption and influence-peddling (Article 1.2.4.2.), following the revision of the Afep-Medef Code in June 2018. As a result, on 16 November 2018, the Audit and Risk Committee was assigned a new duty relating to the prevention of corruption: “ensure the implementation of a system for the prevention and detection of corruption and influence-peddling”. On 19 March 2019, it was accordingly renamed the “Audit and Risk Committee”. In 2020, the Director of Legal Compliance provided the Supervisory Board with an update on the corruption prevention program, in particular: corruption risk mapping; s training programme; s

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COMPENSATION AND REIMBURSEMENT

3.4.6

OF EXPENSES COMPENSATION OF THE MEMBERS OF THE SUPERVISORY BOARD

3.4.6.1

evaluation of third parties; s strengthening of controls. s

Information relating to the compensation of the members of the Supervisory Board is presented § 3.7.1 and 3.7.1.3.

PROTECTION OF PERSONAL DATA

3.4.4.2

EXPENSE REIMBURSEMENTS

3.4.6.2

A presentation to the Supervisory Board on the personal data protection system, in accordance with the GDPR (EU regulation No. 2016/679 of 27 April 2016), implemented in the Group, was made in 2019.

Supervisory Board members are reimbursed for travel, accommodation and restaurant expenses incurred to attend Supervisory Board meetings, upon presentation of substantiating documents or receipts. These reimbursements are capped and based on the rules applicable to Group employees.

CORPORATE SOCIAL RESPONSIBILITY

3.4.5

(CSR)

A presentation of CSR challenges has been made to the Board regularly since 2015.

2020 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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