Hermès // 2021 Universal Registration Document

CORPORATE GOUVERNANCE FUNCTIONING OF THE SUPERVISORY BOARD

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 § 3.8.1.2.4 and § 3.8.2.1.3). In order to comply with the recommendations of the Afep-Medef Code updated in January 2020 (Article 16.2), a joint meeting between the CAG-CSR Committee and the Audit and Risk Committee has been organised since 2021 to present CSR risk exposure. This joint meeting is held every year.

In 2021, the Director of Legal Compliance provided the Audit and Risk Committee with an update on the corruption prevention programme, and in particular: corruption risk mapping; s training programme; s third party evaluation system; s accounting controls; s internal control and evaluation system. s 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. In 2021, the Data Protection Officer presented to the Audit and Risk Committee the risks identified by the Group in terms of data protection and the actions implemented to address them. A presentation of CSR challenges has been made to the Board regularly since 2015. Since 11 September 2018, the Supervisory Board’s rules of procedure have included new duties relating to CSR issues (Article 1.1.3.2), 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, challenges 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. PERSONAL DATA PROTECTION 3.5.5.2 CORPORATE SOCIAL RESPONSIBILITY 3.5.6 (CSR)

COMPENSATION AND REIMBURSEMENT OF EXPENSES COMPENSATION OF THE MEMBERS OF THE

3.5.7

3

3.5.7.1

SUPERVISORY BOARD

Information relating to the compensation of the members of the Supervisory Board is presented in § 3.8.1 and 3.8.1.3.

Compensation policy for Board members

COMMITTEE MEMBER

60%

40%

BOARD MEMBER

64.54%

35.46%

COMMITTEE CHAIRMAN

100%

Position

BOARD CHAIRMAN

100%

0%

20%

40%

60%

100% 120%

80%

Percentage of compensation

Variable component

Fixed component

EXPENSE REIMBURSEMENT

3.5.7.2

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.

2021 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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