PSA_GROUP_REGISTRATION_DOCUMENT_2017

DECLARATION ON EXTRA-FINANCIAL PERFORMANCE Human Resources: Enabler of Performance

Groupe PSA is committed to rolling out its human resources policy worldwide, using as its basis of reference Groupe PSA’s global framework agreement on social responsibility, which was signed on 7 March 2017. This policy provides effective responses to the four key CSR issues identified by the Company: management of the business transformation and dialogue with „ the workforce appeal to and development of all talents „

health, safety and well-being at work „ diversity and equal opportunity „

This policy applies to all companies excluding Faurecia, which has complete management autonomy and specific policies described in Faurecia’s Registration Document. For further information on social achievements at Groupe PSA (Automotive Division and other activities excluding Faurecia), please refer to the Corporate Social Responsibility Report.

Social dialogue 2.4.1.

Groupe PSA has shown that co-construction by means of social dialogue within the company contributes to performance and protects employees. Based on a responsible relationship built on trust and transparency, quality social dialogue helps balance economic performance with social performance by implementing the most suitable and pragmatic solutions. This approach has become a competitive advantage for the Group, in an increasingly demanding environment. In France, this co-construction approach was reflected in the signature of the “New Momentum for Growth” agreement in July 2016, which strengthens the role of employee representatives for upstream sharing of the strategy, and thus construct the future together. This approach took on an international dimension when the new global framework agreement was signed with the industriALL trade union federations on 7 March, 2017. The aim is to propel this momentum globally and to apply the common principles of the human resources policy, with regulation of workplace relations based on dialogue and co-construction. The Group acknowledges the central role of unions in the Company’s social dialogue and cohesion. It actively supports employee freedom of association and representation and is committed to respecting the independence and pluralism of unions at all its facilities and implements an active collective agreements policy. 98% of the staff is represented by unions or by employee representatives. Employee representation is part of the Group governance (see Section 3.1.2). THE GLOBAL FRAMEWORK AGREEMENT ON CORPORATE SOCIAL RESPONSIBILITY DPEF.8 DPEF.14 DPEF.37 DPEF.38 DPEF39 DPEF.40 DPEF.41 DPEF.42 Groupe PSA has elected to get a wide range of stakeholders involved in the corporate social responsibility process by signing a global framework agreement on corporate social responsibility in 2006. On 7 March, 2017, Groupe PSA and the trade union federations IndustriALL Global Union and IndustriALL European Union signed a new agreement in Geneva. This new agreement reflects Groupe PSA’s desire to co-construct its future with employee representatives on a global scale and to involve all employees in its global human resources policy. It applies to all facilities and was contractually extended to its partners, suppliers and distributors. This agreement is made up of two parts. The first part gives a formal framework to Groupe PSA social responsibility policy, enrolls stakeholders and sets forth its social requirements in terms of supply chain. The second part adds the goal of introducing an international human resources policy that develops talent and skills, quality of life and well-being in the workplace, with respect for diversity and equality of treatment. In addition, the agreement reinforces the global dimension of the Group Works Council and its mission to share economic and social issues on a worldwide scale.

Groupe PSA thus has an adapted framework to efficiently and transparently implement the United Nations Guiding Principles on Business and Human Rights (“Ruggie Principles”) and the OECD Guidelines for Multinational Enterprises. Since 2006, the application of this global framework agreement is monitored and assessed on an ongoing basis using a structured system. IndustriALL and all unions exercise continuous vigilance and can report non-compliance, and their opinion is regularly sought on the application of the agreement’s commitments. Groupe PSA is committed to handling claims and complaints expressed in application of this agreement and ensuring due diligence with suppliers in the supply chain. The agreement has been translated into 14 languages. Employees are kept regularly informed of progress. The text of the agreement is public and available on the Internet. This global framework agreement applies to all Group companies controlled by the Group, excluding Faurecia, and promotes compliance with social and environmental requirements through action plans, exhaustive monitoring and support on a wide scale. GLOBAL WORKS COUNCIL Set up in 1996, the Group’s European Works Council is a body for dialogue and discussion between management and employee representatives. Dealing with the Group’s strategy, results and outlook, this body allows Executive Management to understand the concerns, expectations and suggestions of employees, and to build the partnerships necessary to carry out large cross-functional projects. During its annual plenary meeting, the Group’s European Works Council is expanded into a Global Works Council, with delegates from Argentina, Brazil, Russia and China. In 2017, the Group’s European Works Council and its Liaison Committee of officers met 11 times. THE JOINT UNION-MANAGEMENT STRATEGY COMMITTEE A body for dialogue and discussion, this Committee allows for more and earlier involvement of the employee representatives in Group strategy. It was launched as a result of commitments established in the company agreements. The Group has stepped up communication with the Committee with a view to increasing sharing, exchanges and transparency upstream in relation to strategic topics such as the product plan, the guidelines of the three-year medium-term plan and the industrial strategy. The French representative organisations and the main unions of the non-French European companies are represented on the Committee. The Joint Union-Management Strategy Committee met twice in 2017.

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GROUPE PSA - 2017 REGISTRATION DOCUMENT