1 Life Is On | Schneider Electric www.se.com 2021 Sustainable Development Report In this sustainable development report A changemaker for sustainability 2 A n introduction by Chief Strategy & Sustainability Officer, Olivier Blum 4 1 S ustainability at the heart of our strategy 5 1.1 O ur strategic vision towards long-term positive impact 6 1 .2 T he Schneider Sustainability Impact, a unique transformation tool 7 1 .3 M easuring our contribution to a more sustainable world 1 2 1.4 I ntegrated and transverse governance of sustainable development 1 6 1.5 O pen dialog with stakeholders 1 9 1.6 M ain ESG risks and opportunities 2 5 1.7 K ey external frameworks and ESG ratings 3 3 2 D riving responsible business with Trust 3 6 2.1 T rust Charter, Schneider Electric’s Code of Conduct 3 8 2.2 E thics & compliance program 3 9 2.3 Z ero tolerance for corruption 4 5 2.4 C ompliance with tax regulations 4 6 2.5 H igh standards for the quality and safety of our products 4 6 2.6 D igital trust and security 4 9 2.7 H uman rights 5 0 2.8 E mployee health and safety 5 3 2.9 V igilance plan 5 6 2.10 R elations with project execution contractors 6 0 2.11 S ustainable relations with suppliers 6 1 2.12 V igilance with local communities 6 8 3 A cting for a Climate positive world 70 3.1 C limate governance 7 2 3.2 R oadmap towards a 1.5°C climate trajectory 7 4 3.3 D elivering a climate positive impact with EcoStruxure ™ 78 3 .4 D ecarbonizing our operations by 2030 8 0 3.5 D ecarbonizing our supply chain by 2050 8 4 4 Be ing efficient with Resources 8 8 4.1 P reserving the planet and its biodiversity 9 0 4.2 E co-efficient manufacturing 9 4 4.3 G reen offers 1 00 5 G reat People making Schneider Electric a great company 1 08 5.1 2 025 people strategy and vision 1 10 5.2 D iversity, equity, inclusion, and well-being 1 14 5.3 T alent attraction and development 1 21 5.4 C ompensation and benefits 1 26 5.5 S ocial dialog and relations 1 29 6 D elivering Social Impact for a just transition 1 32 6.1 O ffering better lives through access to green electricity 1 34 6.2 I nvesting for high social impact 1 37 6.3 E mpowering new generations with the Schneider Electric Foundation 1 39 6.4 D eveloping access to education and employment all over the world 1 44 7 M ethodology and audit of indicators 1 50 7.1 M ethodology elements on the published indicators 1 50 7.2 M ethodology elements on EU taxonomy indicators 1 60 7.3 S ustainability Accounting Standard (SASB) Correspondence table 1 62 7.4 T ask-Force on Climate Related Financial Disclosures (TCFD) correspondence table 1 64 7.5 I ndependent third party’s report on consolidated non-financial statement presented in the management report 1 68 8 Indicators 1 70 8.1 E nvironmental & Climate indicators 1 70 8.2 S ocial indicators 1 76 8.3 S ocietal indicators 1 84