Hermès // 2022 UNIVERSAL REGISTRATION DOCUMENT

5

CONSOLIDATED FINANCIAL STATEMENTS NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

HEADCOUNT, PERSONNEL COSTS AND EMPLOYEE BENEFITS

NOTE 5

5.1 Headcount by geographical area and sector

Asia-Pacific (excl. Japan) 15%

Americas 7%

Japan 5%

Sales 36%

Production 48%

Europe (excl. France) 11%

France 63%

Support 16%

Total

Production

Sales

Support

31/12/2022 31/12/2021

31/12/2022 31/12/2021 31/12/2022 31/12/2021 31/12/2022 31/12/2021

8,561

7,633

1,554

1,376

2,245

1,960

France

12,360 10,969

760

711

1,060

995

272

254

Europe (excl. France)

2,092

1,960

-

-

821

766

79

76

Japan

900

842

77

74

2,552

2,287

325

314

Asia‑Pacific (excl. Japan)

2,954

2,675

71

68

1,028

868

281

213

Americas

1,380

1,149

TOTAL

19,686 17,595

9,469

8,486

7,015

6,292

3,202

2,817

5.2 Personnel costs Personnel costs in 2022 totalled €1,765 million, compared with €1,489 million in 2021.

5.3 Post‑employment and other employee benefit obligations

General and accounting principles Post‑employment benefit plans Defined‑contribution plans

The Group’s obligations are calculated annually by an independent actuary using the projected unit credit method. This method is based on actuarial assumptions and takes into account the employee’s probable future length of service, future salary and life expectancy as well as staff turnover and the inflation rate. Actuarial assumptions are reviewed annually. The present value of the obligation is calculated by applying an appropriate discount rate for each country where the obligations are located. The discount rates applied are obtained by reference to the yield on investment grade (AA) corporate bonds with the same maturity as that of the obligation. supplemental pension plans in France or abroad, notably in Switzerland. s

Under these plans, regular payments are made to outside organisations, which are responsible for their administrative and financial management. The Group is not committed beyond the contributions paid and these are therefore recognised as expenses by destination in the various lines of the consolidated income statement. Defined‑benefit plans The Hermès Group’s defined‑benefit plans include: benefits in the event of departure or end of career, mainly in France and Japan. These obligations are partially or entirely externalised depending on the country; s

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