www.se.com Schneider Electric 22 2021 Trust Report 8.3.6 F uture evolution of safety at Schneider Electric Safety is a never-ending journey towards excellence. Schneider Electric goals and initiatives are to be the standard in safety excellence worldwide. This pursuit begins with the Group employees, starting with leaders. Safety is leadership led, and the Group’s ambition is to progress the entire community towards full empowerment as defined in the “S.A.F.E. First” Human Factors training, Safety Culture Assessment, and leadership action plans, which were developed in 2020 and implemented in 2021. In 2022, Safety Competency will be enhanced by strengthening our Health and Safety subject matter expert program “EDISON” in each and every region. They will contribute to our 2022 Global Health & Safety program deployment. While our quarterly health and safety spotlights will re-enforce the “S.A.F.E. First” pillars, our safety persona will be developed further to ensure employees understand and adopt “S.A.F.E First, we all have a role to play”. In 2020, Schneider set a 5 years safety target to reduce the Medical Incident rate to 0.38 based on 2019 MIR baseline performance. 2019 was selected as baseline year to mitigate COVID-19 impacts. The MIR performance has reduced from the baseline of 0.79 in 2019 to the result of 0.65 in 2021, which represents 34% of the 5-year target. 2021 shows an increase of MIR versus 2020, which was an exceptional performance, impacted positively by the pandemic. The employee safety engagement further improved in 2021 with 2.42 safety opportunities reported by employee, an increase by 23% versus 2020 and by 52% versus 2019. 0.38 or below Medical Incident Rate In Schneider Electric, we believe that all accidents are preventable, and Schneider Electric uses the MIR indicator to measure progress made against this target. Schneider Electric 2025 target of 0.38 MIR represents 1 accident per 1,450 employees per year, which is a big step towards Schneider Electric’s ambition of 0 accidents. Every accident that Schneider Electric avoids, prevents pain and suffering that Schneider Electric employees would have experienced. This KPI drives many Safety programs in Schneider Electric. For example, in 2021, after 3 years of Machine Safety program deployment, Schneider Electric have reduced machine related Medical Incidents to 3 in 2021, a reduction by 91%. Tr ust SSE #14 0.38 0.79 Baseline 2025 target 2021 Progress 0 100 0.65 9 Vigilance plan 9.1 Con text Schneider E lectric s eeks t o be a r ole m odel i n it s interactions w ith cu stomers, p artners, s up pliers, a nd c ommunities w hen it c omes t o ethics and the respect and promotion of human rights. The Group strives to have a positive impact on the planet and the environment by contributing to finding solutions to limit clima te change. The Group’s vigilance plan reflects this ambiti on. It also complies with the provisions of 2017 French law on Corporat e duty of vigilance. The plan includes: • A risk analysis specific to vigilance: risks that Schneider Electric poses on the ecosystem and environment; • A r eview of the key actions implemented to remediate or mitigate these risks; • A n alert system; • G overnance specific to vigilance. In this Registration document, Schneider Electric reviews the risk matrix analysis and some of the actions to mitigate these risks are described. When necessary, the reader will be directed to other sections of the report to get relevant and detailed information. For more comprehensive and complete information, the full vigilance plan of the Group is available as a standalone document and can be downloaded from Schneider Electric’s website at se.com 9.2 E valuation of the main risks towards Schneider Electric’s environment 9.2.1 Methodology Schneider Electric developed a specific risk matrix for the implementation of its vigilance plan which is reviewed annually. The methodology is consistent with other risk evaluations maintained at Group level but focuses specifically on the risks posed by Schneider on its environment and ecosystem. In order to enhance the existing risk matrix and cover a more comprehensive scope, in 2020, a review of the methodology for the risk matrix was done with an external consultant, Ksapa. This review led to a harmonization of the definitions, a sharper granularity of risk categories, a reorganization of the supplier categories, and a focus on local communities. In 2021, Schneider went further to deepen its analysis on local communities specifically. Other than this point, no further modifications were brought to the risk matrix or the methodology for its annual update. The scope of work covered is Schneider Electric and its subsidiaries, joint ventures, suppliers, and subcontractors. 9.2.2 R isk categories Four risk categories have been identified: human rights, environment, business conduct, and offer safety and cybersecurity. In order to be able to make a granular assessment of the risk level based on the nature of that risk and the magnitude of its impact on Schneider Electric’s ecosystem, each category has been divided into specific risk areas.