www.se.com Schneider Electric Universal Registration Document 2021 336 Chapter 4 – Corporate Governance Report 4.2.4 Compensation of Group Senior Management (excluding Corporate Officers) Scope of Senior Management in 2021 On December 31, 2021, Group Senior Management is composed of 15 Executive Committee members. The Executive Committee is chaired by the Chairman and CEO and includes: • Executive Vice-Presidents of Corporate Functions: Finance, Supply Chain, Digital, Strategy & Sustainability, Innovation, Governance, Marketing, Human Resources. • Executive Vice-Presidents of Operations: North America Operations, China Operations, France Operations, Europe Operations, International Operations; • Executive Vice-Presidents of Activities: Industry Automation, Energy Management. With the appointment of the new Group Chief Innovation Officer (in May 2021) to the Executive Committee, 44% of the Group Senior Management (including Chairman and CEO) is composed of women (versus 38% in 2020). Compensation policy The compensation principles of Group Senior Management (excluding the Corporate Officer) and their individual analyses are reviewed by the Human Resources & CSR Committee for information and consultation with the Board of Directors. The Human Resources & CSR Committee may consult external experts for specific analyses. The compensation policy of the Group Senior Management follows the principles of competitiveness, pay-for-performance, and alignment with shareholders’ long-term interests, aligned with the principles applicable to the Corporate Officers as described in this report, with the following variations: • The competitiveness of the Group Senior Management compensation is considered using a relevant geographical panel and the scope of responsibilities as prepared by the consultancy firm Willis Towers Watson; • The proportion of variable components within their on target compensation package is around 70% versus around 80% for the Corporate Officer. On target compensation pay mix – 2021 30% 70% Variable Part Fixed Part Compensation paid in 2021 Gross compensation, including benefits in kind, paid by Group companies in 2021 to the members of Group Senior Management other than Corporate Officers, amounted to €25.2m, including €5.5m in variable compensation paid in the 2021 fiscal year. The performance objectives for the annual incentive for the fiscal year 2021 were: • Group organic sales growth; • Improvement of Group adjusted EBITA margin (organic); • Group cash conversion rate; • Schneider Sustainability Impact. Long-term incentive plans Performance shares were granted in 2021 to the Group Senior Management. As of December 31, 2021, as part of the Long-term incentive plan, Group Senior Management (other than Corporate Officers), held: • 696,839 conditional performance shares; • 0 options; • 0 Stock Appreciation Rights (SARs). Pension benefits Schneider Electric policy concerning pension benefits states that: • the Group’s Senior Management who are not subject to the French Social Security System are covered by pension plan arrangements in line with local practices in their respective countries; • the Group’s Senior Management subject to the French Social Security system, with the exception of Corporate Officers, are covered by the additional defined-contribution pension (Article 83) plans for employees, and/or Group Senior Management. Their defined-benefit pension plan (Article 39) was canceled on March 22, 2016. 4.2 Compensation Report