Areva - Reference Document 2016

17

EMPLOYEES

17.2 Work organization

17.1.3.1. BONUSES AND VARIABLE COMPENSATION The group’s variable compensation program, based on both collective financial performance and individual objectives, is gradually being brought into alignment and expanded to include all of the group’s entities around the world. The target percentages for variable compensation depend on local practices and are structured by level of responsibility. In view of the group’s financial and economic situation, the policy for the variable component was adjusted for the collective component and guidelines were given for the individual component as a reminder of the importance of the employee’s performance level in his/her evaluation. An HR information system tool interfaced with the annual performance interview is used to collect individual objectives. It is used by the majority of the group’s entities in Belgium, Canada, China, France, Germany, India, Slovakia, the United Kingdom and the United States. In Germany, non-tariff employees are eligible to participate in the group’s variable compensation program. Tariff employees receive variable pay based on the group’s financial objectives. In the United States, most employees (except for those of a few entities and those eligible for the variable compensation program) participate in the group’s financial performance under the All Employee Incentive Program (AEIP). Profits generated by the group at the regional level are redistributed to the employees if objectives are met. The amount of this incentive varies according to a regional and collective safety objective and based on each individual’s performance. In China, employees are eligible to participate in the group’s variable compensation program. The variable compensation system connects teamobjectives to individual objectives. 17.1.3.2. EMPLOYEE SAVINGS PLANS AND COLLECTIVE PERFORMANCE The group establishes collective compensation systems based on economic indicators and entity-specific criteria, according to local practices and legislation. In France, compensation based on collective performance takes the formof optional profit-sharing agreements and of mandatory profit-sharing plans applicable to the

group’s companies. The sums distributed in 2016 for 2015 represented a total of close to 74 million euros for the group as a whole. Employees chose to invest 72% of the optional profit-sharing remuneration and 76% of the mandatory profit-sharing paid in 2016 in the group’s savings plan. In addition, in view of the group’s difficult financial situation, 14 companies have decided to cap optional profit-sharing at 4% of payroll as from 2016. Additionally, a trigger for calculating optional profit-sharing based on a financial criterion was set up. 17.1.3.3. CORPORATE SAVINGS PLAN AND INVESTMENT VEHICLES In France, a Group Savings Plan (AREVA GSP) common to all of the group’s companies was created in 2005. The AREVA GSP consists of a complete range of funds covering all asset categories. It includes amoney market fund, a bond fund, an equity fund, a social responsibility fund and three diversified funds. A diversified pool of fund managers was sought to optimize investor returns. At December 31, 2016, the fundsmanaged in the AREVAGSP represent more than 826million euros. In Germany, a retirement plan including an employer fund and an employee fund is offered to employees. In addition, the group’s employees in Germany may put their variable compensation into a dedicated savings fund. In the United States, a 401(K) retirement plan allows employees to voluntarily save for their retirement. AREVA’s contribution to the plan comes to 3% of each employee’s salary. The company also matches 100% of the employee’s contributions for the first 5 percentage points of the employee’s contributions. The average amount saved by an employee is 10.5% of his/her base salary. 17.1.3.4. EMPLOYEE SHAREHOLDING In 2013, the group set up an employee share-ownership operation concerning France, Germany and the United States. In all, 14,700 people participated in this transaction. The employee shareholding transaction has not been repeated since then.

17.2.

WORK ORGANIZATION

17.2.1. ORGANIZATION OF WORKING HOURS

In countries in which the group is based, the average number of working hours per week is generally set by law. France and Germany in particular set up initiatives for a better balance between work and personal life by offering flexible work hours at the site or work at home. For example: p in Germany, full-time tariff employees work between 35 and 40 hours per week. A local company-wide agreement governs the work of tariff employees, who have flexible working hours;

p in France, on July 4, 2013, AREVA signed a telecommuting addendum to the group’s agreement on the Quality of Working Life of May 31, 2012. This addendum regulates the use of telecommuting while promoting a better balance between work and personal life. It helps improve the quality of working life and keeps disabled employees at work or in therapeutic part-time. At the end of 2016, more than 600 employees from all of the group’s sites benefited from this new work organization. At the end of 2014, an agreement on annualized part-time employment was signed in the AREVA NP company. Around sixty employees benefitted from this system in 2016;

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2016 AREVA REFERENCE DOCUMENT