TECHNICOLOR_REGISTRATION_DOCUMENT_2017

5 - CORPORATE SOCIAL RESPONSIBILITY Employees and workforce

TRAINING POLICY [G4-LA9] [G4-LA10] [G4-LA11] [G4-DMA Training and education]

5.1.6

Such classification allows the Group to ensure the internal equity of remuneration packages; moreover, Technicolor participates to relevant salary surveys to assess the competitiveness of remuneration in the proper marketplaces. This provides Technicolor with sustainable, objective and equitable means of remunerating employees while closely controlling its wage bill. The total remuneration policy is structured around flexible and competitive fixed and variable compensation elements driven by market best practices and the Group’s objectives for long-term value creation appropriate to circumstances and goals: competitiveness: appropriate market benchmarks of total ■ compensation against comparable companies allow Technicolor to offer competitive compensation packages to employees in accordance with competitive pressures in the marketplace. This ensures that Technicolor continues to attract, motivate and retain high potentials and key contributors for which Technicolor competes in an international market place while controlling cost structures; equitable approach: Technicolor believes that it remunerates its ■ employees on an equitable basis in each of its geographical locations both in line with local standards and proposed corporate programs. The remuneration policy is set according to the Group’s “broadbanding policy” which allows consistent assessment of responsibility, contribution and levels of expertise on an international business basis across all businesses and functions. In addition, the remuneration policy of top executives is managed by Corporate Human Resources to facilitate consistency of various remuneration components and ease international and cross-business mobility; business and skills focus: the remuneration of professionals, ■ engineers and managers is a sound, market-driven policy and ultimately administered to stimulate business performance. A substantial part of the total remuneration package is composed of variable elements which drive a performance culture and support the Company’s strategy. These variable elements are meant to stimulate, recognize and reward not only individual contribution, especially innovation and risk-taking, but also and in particular, solid and consistent Group and divisions performances. In accordance with the principles and rules established by the Group, each Group entity is entitled to recognize the potential and encourage the development of its employees by means of various remuneration factors defined by the Group. At constant currency rate exchange (end 2017) and at constant population of employees (all employees present both in 2016 and in 2017), the evolution of the base salary payroll mass (without variable elements and social contributions paid by the employer) between 2016 and 2017 increased by 4.12%.

GRI

The objective of Technicolor training policy is to ensure the development of competencies and capabilities are aligned with the Group’s strategy and, simultaneously, support employee’s growth and development. Training priorities are set based on the evolution of existing jobs and technologies, on the identification of new capabilities to develop and on the individual needs of employees in terms of job performance and/or of professional evolution. The creation of specific learning tracks per job has been encouraged in each division, resulting in an optimization of training resources and in an increased number of training opportunities. In order to ensure the same quality level as well as alignment and consistency, development programs regarding Leadership, Management and Technical or Functional skills are coordinated at corporate level. To do so, Talent & Development Center of Expertise supports business heads and HR Business Partners in all aspects regarding Learning and Development. HR Business Partners coordinate the building and monitoring of the Development Plans at division or function. Training is implemented locally by the HR Competency Centers who are in charge of ensuring training actions are optimized between the divisions and that training complies with all local regulations. Overall training initiatives offered in 2017 encompass 292,534 hours of training for both employees and external persons working under the Group supervision, of which 278,304 delivered to 11,791 Technicolor employees. It does represent 23.6 hours per employee trained. Additional training hours of informal on the job training activities and discussion groups having taken place in 2017 are not reported. REMUNERATION POLICY 5.1.7 [G4-52] GRI Total remuneration is considered a key pillar of Technicolor’s Human Resources policy. The remuneration policy is tailored to acknowledge and fairly recognize an employee’s contribution to the short and longer-term success of the Group. Technicolor continues to incorporate a classification structure based upon Towers Watson methodology, with grades and bands that ultimately emphasizes and reinforces the strong link between contribution and remuneration. Technicolor is steadily reviewing its job definitions and levels and reflects the evolutions of the Group.

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TECHNICOLOR REGISTRATION DOCUMENT 2017