2024 universal registration document

4.7 Own workforce (S1)

4.7.4 Information on equal treatment and opportunities

4.7.4.1 Policies

4.7.4.1.1 Diversity, equity and inclusion policy

The Group sees diversity as an invaluable asset and a contributor to strong social and economic performance, and strives to create teams that reflect the diversity of its consumers, as well as a fair and inclusive working environment for all its employees.

The Global Chief Diversity, Equity & Inclusion Officer, who reports directly to the Chief Human Relations Officer, draws up the strategy and sets the policy's major objectives. A network of diversity, equity and inclusion Leads in each country, business and Division ensures that the policy is applied and adapted to local contexts.

The Group monitors the effectiveness of diversity, equity and inclusion initiatives through annual reviews based on specific indicators and the results of internal surveys such as the Pulse Self-ID ⁽¹⁾, enabling the measures to be adjusted where necessary.

The diversity, equity and inclusion policy is built around four main themes:

socio-economic and multicultural diversity: promote and increase socio-economic and multicultural diversity in the Group's teams;
physical, mental and social well-being: facilitate the inclusion of people with disabilities, by addressing both visible and invisible disabilities, mental health, chronic illnesses and neurodiversity, with a minimum target for the number of employees with disabilities in all countries;
age and generations: value and take into consideration people of all ages and generations; encourage dialogue and cooperation among employees of different generations;
gender equity and LGBTQIA+ inclusion: achieve gender parity across the company; contribute to the establishment of more inclusive environments in favour of the LGBTQIA+ communities worldwide; act against any type of harassment or violence, particularly sexism, sexual harassment and gender-based violence.

Recognition for the Group's diversity, equity and inclusion policy

L'Oréal's concrete commitments to diversity, equity and inclusion, have been recognised in several international indices and rankings, including the FTSE Diversity & Inclusion Index 2024 Top 100 and the 2024 Equileap Gender Equality Global Report & Ranking. The Group has also won recognition for its commitment to the inclusion of persons with disabilities, with L’Oréal being named a "Best Place to Work for Disability Inclusion" in several countries in the 2024 Disability Equality Index.

4.7.4.1.2 Equal pay HR policy

L'Oréal carries out a quantitative analysis of gender pay gaps in its aim to achieve equal pay. The Chief Human Relations Officer oversees this analysis, which is shared each year with the Human Resources and Remuneration Committee, the Board of Directors and the HR Directors of the different Zones.

L'Oréal aims to limit unjustified gender pay gaps to within a range of 5% above and below.

As different countries legislate on equal pay for men and women, the Group anticipates and analyses the various requirements in order to determine the most ambitious practices applicable to all countries.

4.7.4.1.3 Human rights policy: no violence or harassment in the workplace

In line with its human rights policy, which is based on the OECD Due Diligence Guidance for Responsible Business Conduct (see section 4.9.2.1) and on the Code of Ethics, L'Oréal is committed to providing its employees with a safe and respectful working environment. To do so, the Group:

aims to eliminate all forms of violence and harassment in the workplace, including sexual, psychological and physical harassment, as well as discrimination and intimidation;
undertakes to prevent violence and harassment by raising employee awareness of such issues and creating a corporate culture based on mutual respect; and
strives to ensure that all complaints of violence and harassment are dealt with diligently, confidentially and impartially (see the Speak Up programme in section 4.13.2.1).

L'Oréal’s ultimate aim is to foster a working environment where everyone feels safe, respected and valued. The annual “Pulse” survey features 50 questions for employees on various topics of the human rights policy and enables L’Oréal to assess how well this policy is being applied. The Group encourages its employees to report any acts of violence or harassment and undertakes to protect them from any form of retaliation.