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100

LISI 2016 FINANCIAL REPORT

Awareness-raising campaigns are also launched on certain sites such

as in Neyron in France with assistance from specialized associations.

The LISI Group is also continuing its partnership with the ESATs

(Establishment and Assistance Service through Work).

2.96% of LISI employees are recognized as disabled.

1.7

I

PROMOTION AND ENFORCEMENT

OF THE FUNDAMENTAL PROVISIONS

OF ILO CONVENTIONS

Aware of their responsibilities vis-à-vis the fundamental conventions

of the ILO, LISI oversees their application at each of the Group entities

worldwide.

Respect for freedom of association and for the right to collective

bargaining, the elimination of discrimination in respect of employment

and occupation, forced or compulsory labor and the effective abolition

of child labor, are issues that are monitored during the site audits and

to which management gives a great amount of attention.

LISI is also a signatory of the United Nations - Global Compact, which

includes these themes in its principles 3, 4, 5 and 6.

2

I

ENVIRONMENTAL ISSUES

2.1

I

GENERAL ENVIRONMENTAL POLICY

2.1.1

I

The organization of the Company to take

environmental issues into account and, where appropriate,

assessment or environmental certification initiatives

Nowadays, the improvement of working conditions such as reducing

the environmental footprint, are performance indicators that are as

important as the economic and financial indicators.

For several years, the LISI Group was fully engaged in placing social

and environmental issues at the heart of its corporate culture in order

to turn them into intrinsic values.

Like for Health and Safety at Work, the LISI Group Senior Management

is mobilized at the highest level and involved in the field of the

Environment.

The policy and organization put in place are based on the international

standard ISO 14001 (international standard governing themanagement

system of the environment).

Hence, at the end of 2016, apart from the three sites in the Forging

& Casting Business Group acquired in 2014, all of the LISI Group’s

manufacturing sites are ISO 14001 certified.

Certification at Group level is being prepared for 2017.

2.1.2

I

Employee training and information in terms

of environmental protection

The LISI Group relies heavily on the skills of all employees to achieve

excellence in Health - Safety at Work and Environment. Only each

individual behavior can help it build a genuine enterprise HSE culture.

That is why LISI has decided to continue investing in Human Beings.

In fact, 0.25% of the hours worked were allocated to training in the HSE

field in 2016, compared with 0.23% in 2015.

Actually, the men and women that make up a company are its key

ambassadors in all areas, and their dedication to the Company’s

operations is an asset on which LISI intends to capitalize.

2.1.3

I

The resources devoted to the prevention

of environmental risks and pollution

The consolidated amount of HSE expenditures by division is as follows:

DIVISION

HSE expenditures in

2016 - in €’000

Total

expenditures - in

€’000

% of

exependitures

devoted to HSE

LISI AEROSPACE

4,972

94,108

5.3%

LISI AUTOMOTIVE

2,702

32,580

4.7%

LISI MEDICAL

440

5,640

7.8%

LISI

8,114

132,328

6.1%

Corporate social responsibility

6