HERMÈS - 2018 Registration document

Corporate social responsibility communities: stakeholders and local integration

Close relations with local authorities to promote employment The sites all maintain close relations with local Job Centres and schools. The goal is to help train the new generations of craftsmen and women, aswell as showcase our offers andmétiers, allowhands-on practice, and explain leatherwork métiers to the young generations. Regardless of the site’s activity (leather, silk, or other métier) or its geographical location, this approach consists in: s s organising information forums with the Job Centre; s s student visits to the workshops to discover the leather métiers; and s s talks in secondary schools to present the métiers prior to the pupils’ choice of a career path. This year, we created 527 jobs in France. In addition to this direct impact, our establishments, which are often in rural areas, provide a major local boost to the communities concerned: stimulation of local consump- tion, real estate support, impact on community needs (maintenance of classes in schools, public transport support, etc.) and municipal resources via taxation. Our regional development also promotes the development of schools and local training schemes. In addition, the following operations were conducted in 2018: Leather Goods The Val de Seine Division maintains several types of long-term partnerships: s s with partner secondary schools and GRETA (national education esta- blishments that organise courses for adults in most métiers) within the framework of dedicated courses; s s with the Job Centre of Seine et Marne, which actively supports recruit- ment for dedicated courses, including outside the department; s s these partnerships are reinforced by a strong determination to increase local integration by creating a diploma course in leatherwork at a Montereau vocational college; s s information provided to the Maroquinerie de Normandie concerning urban community initiatives (housing, leisure, nutrition, etc.). Along the same lines, in Franche-Comté, the leather goods workshops organise regular visits to three production units – Maroquinerie de Seloncourt, Héricourt and l’Allan– in partnershipwith employment agen- cies and associations, as well as school and college visits. The Leather Goods workshops of the SavoieDauphiné division have thus developed a partnership with Maison Familiale Rurale (Saint‑André le Gaz), which involves exchanges to introduce junior secondary school pupils to the leatherwork métier through the creation of an object, and providing funding for two shared classrooms. These rooms serve as classrooms for Maison Familiale Rurale, as well as for some of our diploma training modules, as they are fitted with workbenches and sewing machines.

In addition, the Group ensures compliance with its sustainable construction guidelines, put in place by its Construction Development Department, through collaboration with local economic players (archi- tects, entrepreneurs, etc.). Moreover, a clause in the calls for tenders requires partners to promote occupational integration and work in collaboration with the local job centre. In order to contribute to the development of the host regions, site construction projects are prepared in cooperation with the local asso- ciation of municipalities. This makes it possible to examine impacts on aspects such as mobility (mobility plans, impacts on transport), as well as the industrial risk, in keeping with HSE regulations. Other criteria are also taken into account in establishing new sites, such as the availability of local labour for the recruitment of our future craftsmen andwomen. Our projects formpart of the history of the region, together with local authorities starting from the exploration phase by analysing the potential for creating connections in the region, developing partnerships, integrating with schools, etc.. The availability of housing for future craftsmen is taken into consideration, so these people can be accommodated properly. The search for brownfield sites is favoured, with the objective of contri- buting to revitalising the region’s economy. For example, Bordeaux has been chosen as the new region to develop a new Aquitaine division that will ultimately comprise three production sites. In every project, a temporary workshop is set up 18 to 24 months before the opening of the site, in existing buildings that have been renovated in accordance with our internal standards. Recruitment is carried out locally. Such temporary workshops are attached to a reference site. In-house trainers are tasked with passing on the savoir-faire . The first cohort of some 30 craftsmen and women was recruited on the basis of manual skills using a simulation-based method, devised in collabo- ration with the Job Centre. Every six months, a new group is brought on board and trained by in-house trainers. The craftsmen and women are then provided with continuous training from tutors. Upon opening, a leather goods production unit comprises some 100 operational workers, growing to 250 employees within an average of three years following the opening date. In order to preserve the craftsmanship approach and maintain close relations between employees and their managers, the sites’ workforce will average 250 craftsmen and women (a maximum of 300 people). Thetemporaryworkshopsofthetwo latest leathergoodsproductionsites — located in Montereau (Paris region) and Guyenne (Bordeaux region) — openedin2018.Theyarenowfocusingontrainingnew leathercraftsmen and women, selected following information campaigns conducted with the Job Centre. In Montereau, Hermès took part in a Recruitment Forum organised by themunicipality and is working on the creation of a diploma programme in leatherwork at the local vocational college. The Maroquinerie de Guyenne will be located in Saint Vincent de Paul. Here too, we look forward to working with the municipality in order to fit into its project and drive certain initiatives such as helping employees settle in the area (helping them find accommodation, nurseries, etc.), seeking to supply our company restaurant with produce from local farmers.

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2018 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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