SCH2017_DRF_EN_Livre.indb

2 Sustainable development Committed to and on behalf of employees

At the end of 2017 this analysis covered over 85% of the global workforce helping countries to put in place appropriate corrective actions to close gaps. We will continue to extend this analysis globally.

To deliver on this ambition, the Group created a multi-hub model and systematically relocated global jobs to these hubs across the world to have a truly global leadership. Instead of having a single global headquarters, Schneider Electric has hubs around the world. Not only has this model helped to attract and develop local talent, it has been instrumental in the expansion of the business with localized decision-making.

Programs supporting women’s professional development

A specific program, “Women in leadership” (3,5 days’ coaching and 3 online coaching sessions) has been deployed in 3 regions (Asia, Europe and North America). At the end of 2017, more than 600 women had benefited from this program. More than 15 Schneider Electric local women’s networks have been created in different parts of the world. Supporting all diversities Schneider Electric continues to support all diversities recognizing that diversity of people and an inclusive work environment help drive greater engagement, performance and innovation. In terms of nationality, there is a focus on having a diverse representation of nationalities, including from new economies, in our leadership pool. In terms of generations, there are several initiatives focused on engaging and developing early career talents. Inclusion Finally, Schneider Electric is increasingly more focused on inclusion and creating an inclusive culture where the contributions of all diversities are leveraged and inclusive practices and policies are in place. Embracing and increasing the diversity of our workforce is critical to innovation and high performance. At Schneider Electric, it is recognized that diversity without inclusion simply does not work. To leverage the Group’s diversity and truly benefit from it, policies and practices have been developed and applied with an inclusive mindset so that everyone can feel that they are uniquely valued and belong. Global Family Leave Policy In September 2017, Schneider Electric announced its new Global Family Leave Policy. The policy places Schneider Electric as a leader in our industry, by providing fully paid parental (primary and secondary), care (for sick/ elderly) and bereavement leave in all countries. The Group’s countries are required to implement the global minimum standards while having flexibility to define eligibility and policy details per statutory and market requirements. By supporting our employees with personal time at the moments when it matters the most, Schneider Electric empowers its employees to manage their ‘unique life and work’ so that they can be at their best. Inclusive Teams and Hidden Bias Education In 2017, a comprehensive education approach on building inclusive teams and hidden bias was implemented, starting with senior management teams attending a half day Inclusion and Hidden Bias session. In 2018, the program will be extended to managers and employees through workshops (face to face and virtually) and e-learnings.

Due diligence and results A strong focus on gender diversity

In its Diversity & Inclusion policy, Schneider Electric places particular emphasis on equal career management for men and women as the best means to develop the values and skills required to meet the economic and societal challenges of the 21st century. Schneider Electric shares the conviction that gender differences in the workplace (leadership style and personality, among others) complement each other, foster innovation and provide a wealth of benefits to customers. Schneider Electric has supported and implemented multiple policies and actions that advance and empower women in the workplace. HeForShe In June 2015, UN Women selected Schneider Electric for inclusion in the pilot group HeForShe IMPACT 10x10x10. This selection followed awarding of the Leadership 2015 prize to Schneider Electric at the headquarters of the United Nations for its actions to promote gender equality, in line with the Women’s Empowerment Principles (WEP) of UN Women and the Global Compact. Initiated by UN Women, HeForShe is a solidarity movement to promote gender equality. The purpose of HeForShe is to encourage men to support change in favor of women’s rights and diversity. This campaign was launched internally, and by the end of 2017, almost 39,000 employees of Schneider Electric had joined the movement. As a member of the HeForShe IMPACT 10x10x10, Schneider Electric’s commitments were: E increase the representation of women across the pipeline – 40% at entry of new managers and technicians ( vs. 29% in 2015), and 30% increase in representation in key positions; E implement a salary equity process worldwide, covering 85% of the Group’s workforce by 2017; E involve Group leaders worldwide and create a governance body dedicated to this program. Gender pay equity As part of our continued focus on gender balance, Schneider Electric introduced a gender pay equity indicator which measures the percentage of employees who work in countries where there is an operating gender pay equity plan and where corrective actions are in place. Schneider Electric uses a common global standard methodology to identify gender pay gaps within comparable groups of employees and uses a country-driven approach to address gaps with appropriate corrective actions.

2017 REGISTRATION DOCUMENT SCHNEIDER ELECTRIC

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