PERNOD-RICARD - URD 2021-22 EN

4. Risk management Risk factors

5. Personal health and safety (1)

RISK IDENTIFICATION AND DESCRIPTION

POTENTIAL IMPACTS ON THE GROUP

Preventing and managing occupational risks is something the Company owes its employees. The notion of “occupational risk” can be defined as all threats to the health of employees encountered in the context of their professional activity. They may result in an accident or a so-called “occupational” illness. A non-exhaustive list of occupational risks Pernod Ricard is committed to preventing is as follows: risks relating to falls and slips; risks relating to noise and vibrations; electrical risk; fire and explosion risk; road risk; risks relating to the use of certain machines or work equipment; and psychosocial risks. In addition to these traditional risks related to the industrial environment and work in a company, the Covid-19 pandemic may have affected the physical and mental health of Group employees. Despite the implementation of demanding health protocols and the compliance with isolation and quarantine measures, some employees contracted the disease. In addition, repeated lockdowns and prolonged periods of work from home have created disruption to social links and affected the work-life balance.

Personal injury is one of the main potential impacts for the Group. The most serious potential impacts are: the death of one or more employees, subcontractors, visitors or other third parties; permanent disability of employees, subcontractors, visitors or other third parties; and occupational illness. Reputational impact related to inadequate management of working conditions must also be taken into account. The active and widespread circulation of a virus such as Covid-19 could lead to repeated absences due to illness, the implementation of home working measures or the temporary stoppage of certain sites leading to potential production losses for the Group.

RISK CONTROL AND MITIGATION

The Group has embarked on a process to reduce occupational accidents by launching a comprehensive inventory of industrial sites with the greatest potential for improvement at the end of 2017. The main sites are now assessed by an external company in accordance with specific criteria in terms of both the safety culture and the ISO 45001 (Occupational Health and Safety) management system. Thanks to this inventory and the commitment of Senior Management, the Group announced its ambition to become the leader in the Wine & Spirits sector in terms of Health and Safety by 2025, which resulted in a programme called Taking care of each other, comprising the following three strategic areas: develop a culture where safety is central to the Group’s values of conviviality; engage, motivate and empower all employees and subcontractors on the issue of safety; and improve our operational efficiency through excellence in Health and Safety. This programme, which is closely monitored by the Group’s Top Management, is part of the Group’s CSR strategy and has gradually been extended to all affiliates. Finally, the protection of the Health and Safety of its employees lies at the heart of the Group’s decisions by rigorously applying the recommendations of local authorities and those of the World Health Organization. Several initiatives have been put in place, in affiliates and at head office, to prevent psychosocial risks linked to prolonged isolation in the context of a pandemic, such as:

dedicated mental health hotlines; partnerships with medical centres;

virtual moments of conviviality through fun activities (dancing, cooking); and strict rules regarding over-connection and meeting and working hours.

Note that this risk is also covered in Subsection 3.3.2.3 of the Non-Financial Information Statement. (1)

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Pernod Ricard Universal Registration Document 2021-2022