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Gender Equality Index


Background

We have been measuring our gender equality index in France since March 2020. The equality index assesses inequalities between men and women.

Criteria

The equality index is composed of four main criteria, with each criteria weighted to provide a total score of 100. The criteria are:
• Gender pay gap (40%)
• Distribution of individual pay increases (35%)
• Percentage of women receiving a pay increase on return from maternity leave (15%)
• Gender distribution among the ten highest paid employees (10%)

To calculate the gender pay gap, we grouped our people by professional category (Bands) and age groups, before separating by gender. To be eligible for comparison, each grouping must include at least three men and three women.
As stipulated by law, this indicator cannot be calculated if the number of employees we are able to compare represents less than 40% of the total workforce.

Results

In 2022, and for this year 2023, due to changes of age and people within bands, we are not able to calculate the gender equality index as we can not compare at least 40% of the total workforce. Therefore, as per legal requirement, we had to use the standard categorisation system (grouping people by status Cadre/Employee).
As a result, our final gender equality index is 83/100. Here is the detail of each indicator:
• Gender pay gap: 23/40
Only Cadre colleagues in the age range [30-39] and [40-49] and [50+] are comparable. The gap is the most obvious in the age range [30-39], who represents 14% of our total comparable population, and is in favor of women. This is explained by the fact that within this age and status category, a wide range of roles are included, from executive roles to operations management.
• Distribution of individual pay increases: 35/35
81.3% of female colleagues received a salary increase in 2023, versus 88% of male colleagues. The few employees that have not been increased were newly hired at the time of our salary reviews.
• Percentage of women receiving a pay increase on return from maternity leave: We count 1 colleague returning from maternity in 2023, and she has been included in the salary reviews
• Gender distribution among the ten highest paid employees: 10/10
We have 4 women vs 6 men in the top ten highest paid employees.

Analysis and progress objective
For the year 2023 (Reference period from January 1, 2023 to December 31, 2023), our index is 83/100. We must therefore define progress objective on criterion 1 to achieve at least the score of 85 out of 100.

Only 2 socio-professional categories are represented at MG RB EUROPE SAS: “Cadres and Non Cadres”. However, as mentioned above, for the same category, there are numerous positions whose levels of responsibilities, skills and salaries vary enormously.
The Management and the CSE therefore decided to change the categories for the calculation of the Index using the internal classification method (by grades/bands), which they deemed more representative of the salary policy.
Unfortunately, for the 2023 reference period this method did not allow us to calculate the pay gap indicator, and as the texts provide in this case, we recalculated the Index using the categories proposed by default. In doing so, we obtained a score of 23/40.

Our progress objective is to get closer to 40 points by reducing the pay gap in order to ensure equal pay between women and men.

At the same time, the Company is continuing its analysis and updating of the annual Action Plan on Professional Equality and Quality of Life at Work. This integrates the measures aimed at achieving our progress objective.
These measures are fully in line with the Inclusion, Equality and Diversity strategy deployed by MG RB EUROPE SAS.