HERMÈS - 2018 Registration document

Corporate social responsibility

People: teams

In 2018, 1,775 copies of the ethical charter were distributed to subsi- diaries. At the same time, the Group is continuing its efforts to demate- rialise these documents and has distributed electronic versions to all subsidiaries. Respect for human rights and the fight against corruption (see section 3.2.1.1) As detailed in section 3.2.1.1, the Hermès Group’s ethics policy aligns with the universal framework set down by themajor principles, standards and international agreements, and it notably adheres to the Universal Declaration of Human Rights, the Charter of Fundamental Rights of the European Union and the ILO, the OECD Guidelines and the OECD Convention on Combating Bribery of Foreign Public Officials. The Hermès Group policy is to comply with applicable laws and regula- tions in all the countries in which they are active as regards the respect of human rights and the fight against corruption. As a reminder, most of the Group’s activities are carried out in OECD countries. The tools s s Ethical Charter and code of business conduct The Group’s ethical charter, as well as the code of business conduct, described in sections 3.2.1.2 and 3.2.1.3, provide a clear framework for all employees. In 2018, training continued on these subjects. Training sessions are also organised by and for the House’s network of buyers. The training pertains to the Group’s purchasing policy, legal rules, and tools, but also relates to raising awareness of risk and how to evaluate it. s s Supplier undertaking handbooks On the legal front, Hermès asks suppliers for their formal undertaking that they will comply with their responsibilities, through handbooks on undertakings, which are updated on a regular basis (covering non-dis- closure, fair trading and corporate social, environmental and ethical poli- cies). In particular they include the following sections: • • Good labour practices This section deals mainly with the following subjects: child labour, forced labour, compliance with health and safety rules, respect for freedomof association, non-discrimination, working time, com- pensation, illegal work. • • Good environmental practices This section states our expectations in terms of compliance with environmental regulations, management of natural resources and consumption, effluent and waste materials, respect for biodiversity. • • Good ethical conduct This section covers subjects that include corruption and money laundering, as well as specific requirements for certain sensitive sectors, and recommendations on best practices in relation to subcontracting.

John Lobb provided an ESAT with several hundred wooden lasts, initially carved for creating bespoke shoes, to give them a second life. It is Hermès’s policy is to recognise and respect everyone’s talents, regardless of race, colour, age, religion, origin, gender, disability sta- tus, marital status, pregnancy, sexual identity or métier. This respect for differences is shared with all employees in the ethi- cal charter distributed to each employee and in the code of business conduct. This policy guarantees objectivity, equal opportunities and the promotion of diversity without discrimination in recruitment, career development and day-to-day management. It is communicated through specific training sessions for allmanagers (Alterego training). An alert mechanism (H-Alert!) is being deployed to report any breaches of this policy. 2.3.3.1 Policy The Company’s ethics policy is put forward by the Executive Committee and its main founding documents are signed by the Executive Management (Ethics Charter, code of business conduct and anti-cor- ruption code of conduct). The Group is very committed to the principles of acknowledging and res- pecting differences, presented to the employees in the ethical charter that safeguards objectivity, equal opportunity and the promotion of diver- sity without discrimination in recruitment, career development and daily management. The charter also includes a specific training segment on managing diversity for all managers. The Group shares its values and business project in different ways: the intranet, dedicated meetings and team initiatives. Measures implemented and results The House’s ethics are enshrined in a forty-page ethical charter , publi- shed in10 languages anddistributed to all employees. It aims to promote the corporate project and reaffirm the Group’s commitment to certain fundamental principles in Hermès’ relations with its stakeholders and wider society. It is given to all new employees when they join the House. The Director of Legal Compliance and Public Affairs oversees this area. A code of business conduct , available in 10 languages, sets out the House’s guiding principles on a range of operational matters. It lays out a matrix alert system by geography and by function. The content and operating modes in relation to these two documents are set out in sec- tions 3.2.1.2 and 3.2.1.3. These documents are published online on https://finance.hermes.com. 2.3.3.2 2.3.3 CHALLENGE: ETHICS AND SHARING VALUES Maintaining a corporate culture based on ethics and shared values.

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2018 REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

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