59 Life Is On | Schneider Electric www.se.com Chapter 2 – Sustainable development Strategic Report 2. Sustainable development 2 2.1 Sustainability at the heart of our strategy 61 2.1.1 Our strategic vision towards long-term positive impact 62 2.1.2 The Schneider Sustainability Impact, a unique transformation tool 63 2.1.3 Measuring our contribution to a more sustainable world 68 2.1.4 Integrated and transverse governance of sustainable development 72 2.1.5 Open dialog with stakeholders 75 2.1.6 Main ESG risks and opportunities 81 2.1.7 Key external frameworks and ESG ratings 89 2.2 Driving responsible business with Trust 92 2.2.1 Trust Charter, Schneider Electric’s Code of Conduct 94 2.2.2 Ethics & compliance program 95 2.2.3 Zero tolerance for corruption 101 2.2.4 Compliance with tax regulations 102 2.2.5 High standards for the quality and safety of our products 102 2.2.6 Digital trust and security 105 2.2.7 Human rights 106 2.2.8 Employee health and safety 109 2.2.9 Vigilance plan 112 2.2.10 Relations with project execution contractors 116 2.2.11 Sustainable relations with suppliers 117 2.2.12 Vigilance with local communities 124 2.3 Acting for a Climate positive world 126 2.3.1 Climate governance 128 2.3.2 Roadmap towards a 1.5°C climate trajectory 130 2.3.3 Delivering a climate positive impact with EcoStruxure ™ 134 2.3.4 Decarbonizing our operations by 2030 136 2.3.5 Decarbonizing our supply chain by 2050 140 2.4 Being efficient with Resources 144 2.4.1 Preserving the planet and its biodiversity 146 2.4.2 Eco-efficient manufacturing 150 2.4.3 Green offers 156 2.5 Great People making Schneider Electric a great company 164 2.5.1 2025 people strategy and vision 166 2.5.2 Diversity, equity, inclusion, and well-being 170 2.5.3 Talent attraction and development 177 2.5.4 Compensation and benefits 182 2.5.5 Social dialog and relations 185 2.6 Delivering Social Impact for a just transition 188 2.6.1 Offering better lives through access to green electricity 190 2.6.2 Investing for high social impact 193 2.6.3 Empowering new generations with the Schneider Electric Foundation 195 2.6.4 Developing access to education and employment all over the world 200 2.7 Methodology and audit of indicators 206 2.7.1 Methodology elements on the published indicators 206 2.7.2 Methodology elements on EU taxonomy indicators 216 2.7.3 Sustainability Accounting Standard (SASB) Correspondence table 218 2.7.4 Task-Force on Climate Related Financial Disclosures (TCFD) correspondence table 220 2.7.5 Independent third party’s report on consolidated non-financial statement presented in the management report 224 2.8 Indicators 226 2.8.1 Environmental & Climate indicators 226 2.8.2 Social indicators 232 2.8.3 Societal indicators 240