HERMÈS - 2020 Universal registration document

4

RISKS AND CONTROL RISK FACTORS

MANAGEMENT OF TALENT AND SAVOIR-FAIRE ●

4.1.1.5

DESCRIPTION OF THE RISK s

RISK MANAGEMENT s

The Group human resources department is in charge of identifying and developing talent in order to lay the groundwork for the next generation at all levels of the organisation. It is based on specific tailor-made courses and offers a training policy for new employees. Training, along with internal mobility, is one of the major levers to support employees throughout their careers in the House. The continuous improvement of craftpeople’s skills and savoir-faire is achieved through training and professional qualification programmes carried out in Hermès internal training schools (École du cuir, École des Tanneurs or École du Textile, among others), as well as through collaborations with external training structures. The promotion of crafts métiers and craftsmanship among younger generations is carried out with the support of partners: schools, training and apprenticeship centres, in order to ensure the knowledge and sustainability of savoir-faire . In addition, Hermès pays particular attention to the health, well-being and working conditions of its employees through an HSE policy formalised in 2003. Faithful to its family tradition and wanting to involve all employees in the Group’s long-term growth, Hermès has implemented different measures for sharing economic benefits: incentive schemes, profit-sharing, employee shareholding plans, etc. In the context of Covid-19, the House has continued its training by adapting its programmes. From the start of the pandemic, priority was given to training that could be followed remotely. Employees were also able to access online content via weekly newsletters and remote conference cycles with internal and external stakeholders, including well-being, posture and management workshops adapted to teleworking. All initiatives undertaken by the Group relating to the management of talent and the preservation of savoir-faire are presented in chapter 2 of this document.

The savoir-faire of craftpeople, and more broadly the development the potential of employees, is one of Hermès’ key assets. They are based on preserving, enriching and passing on this often exclusive savoir-faire in a context of growth for our métiers and our workforce. POTENTIAL IMPACTS ON THE GROUP s A loss of savoir-faire or the disappearance of exclusive craftsmanship métiers would have an impact on the Group’s operations and reputation, thus negatively affecting its financial results.

330 2020 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL