3 An efficient and responsible Group Promoting a healthy, open and engaging work environment SAINT-GOBAIN UNIVERSAL REGISTRATION DOCUMENT 2021 113 Fostering employee commitment 4.3 Social dialogue 4.3.1 Saint-Gobain has made the quality of Social Dialogue an essential criterion for the performance of its HR policy. The principle of consultation and negotiation, either directly with employees or through their representatives, is universal, with the aim of translating this dialogue into collective agreements. Freedom of association is one of the values embedded in the Group’s code of ethics and respect for it is a prerequisite for quality Social Dialogue. Because Social Dialogue must provide concrete answers to the questions of working conditions, the specific expectations of employees, and the deployment of HR action plans, it is mainly carried out at local level in accordance with Saint-Gobain’s HR policy (see this chapter, section 4.1). Executives in each country meet with employee representatives periodically to discuss strategy and local issues. As such, nearly 3,000 agreements have been signed with employee representative bodies, of which more than 20% include criteria related to emloyee health and safety. Even though Saint-Gobain encourages social dialogue at a local level, Group coordination exists. So the Chief Executive Officer of Saint-Gobain meets with the central union coordinators several times a year and chairs the Group Committee at least twice a year. At European level, he chairs the Convention for social dialogue, which brings together 70 union representatives from 22 European countries annually. With the aid of an independent expert, this Convention makes it possible to supplement the national dialogue by dealing with subjects of common interest such as safety, corporate social responsibility or the trend of employment on European industrial sites. These subjects are raised in particular by the members of the Select Committee, which acts as spokesman for the Convention, who benefit from specific training to perform their role. The employee satisfaction survey conducted in 2021 (see this chapter, section 4.3.8) shows that 85% of respondents consider their working conditions to be good. Despite the persistence of telecommuting in the face of the pandemic, 81% of employees who responded to the survey said that the balance between personal and professional life was satisfactory. During the Covid-19 crisis, the historic quality of Social Dialogue in the countries and regions made it possible for Saint-Gobain to be responsive and flexible to the local pandemic situation. employees affected by workforce adjustments benefit from personalized support programs which may result in training associated with retraining, assistance for geographic mobility or support for the execution of a personal project, such as the creation of a business. In an uncertain economic context, the Group is committed, as far as possible, to implementing solutions to safeguard employment and only to making job cuts as a last resort. The aim is initially to reorganize to deal with situations on a temporary basis, as in the case of temporary lay-off, or to favor internal mobility agreements which, associated with incentive measures, make it possible to maintain jobs within Saint-Gobain. When restructuring is inevitable, the When companies are acquired, coordination is set up to align the HR policy of the new entities with the Group's principles. Wage policy and employee 4.3.2 benefits Wage policies are set by the countries in line with market conditions. In most of the countries in which Saint-Gobain operates, minimum wages are set either within the legal framework or by negotiating collective bargaining agreements. In 2021, less than 3% of employees were not covered by one or other of these provisions. The Group favors the collective bargaining strategy which is a way of guaranteeing a minimum standard of living for all employees depending on the local situation. A general framework called the Framework for wages sets out common rules and principles to ensure fair compensation for Saint-Gobain employees. It has been circulated within the HR network and is published on the Group’s website. In 2021, Saint-Gobain conducted a country survey to better identify the actions taken to ensure a decent wage, but also complementary elements to compensation such as individual and collective bonuses or social benefits. Less than 4% of employees are paid only the legal or negotiated minimum wage. Almost two-third of full-time employees have an individual or group bonus program. The survey also verified that more than 99% of employees receive retirement benefits under locally defined programs. At the same time, employee shareholding offers employees the option to become shareholders under preferential conditions, either directly as individuals or via involvement in a dedicated collective fund. The Group Savings Plan (GSP) enables them to acquire Saint-Gobain shares at a discount and, in some countries, an additional amount. In France, to encourage a team spirit and to associate each person with the success of the Group, Saint-Gobain favors the conclusion of collective profit-sharing agreements. In 2021, employee shareholding programs were available in 48 countries. 95.5% of Saint-Gobain employees have access to these programs, and in some countries, retirees are also eligible. In addition to these programs, Saint-Gobain has set up long-term compensation plans including, depending on the year, stock options, performance shares and performance units (see chapter 5, section 2.4.3).