The EWC in practice: Orange-France Telecom

1. The EWC in practice: Orange-France Telecom Carole Froucht –Group Vice President for Employee Relations Lisbon ,17th March 2012

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3. our international footprint on the fixed line, mobile and internet markets Western Europe Central and Eastern Europe Africa, Middle East Tunisia Jordan Egypt UK Mali Poland Belgium Senegal Niger Luxembourg Bahrain Guinea-Bissau RCA Guinea France Slovakia Cameroon Moldova Austria Uganda Côte d'Ivoire Equatorial Guinea Romania Switzerland Kenya Dominican Republic Armenia Madagascar Spain Mauritius Vanuatu Portugal Reunion Caribbean Botswana on 31.12.09: presentation model internal group usage - France Telecom Group restricted – internal communication

4. a social dialogue worthy of the Group's ambitions economic ambitions = social ambitions • The increasingly international nature of the Group - 43% of employees are now located outside France and 12% outside Europe - goes hand in hand with a range of initiatives to promote the development of a social dialogue which offers all Group employees representation and ensures that the same information is shared throughout the Group. • Following the creation of the European Works Council in 2004 and the signature of a global agreement on labour rights in 2006, in 2011 the France Telecom Group established a new body for social dialogue which covers all of the countries in its footprint, the Worldwide Works Council. • France Telecom Orange has thus reaffirmed its commitment to promoting dialogue with all stakeholders: employees, trade unions, employee organisations, professional organisations, governments and shareholders. the need to develop new tools for dialogue diverse stakeholders presentation model internal group usage - France Telecom Group restricted – internal communication

5. the Group policy on social dialogue social contract Orange People charter respect for the company and for people openness and transparency a constructive social dialogue based on negotiating in a calm environment complying with labour laws honouring commitments maintaining confidentiality fighting discrimination presentation model internal group usage - France Telecom Group restricted – internal communication

6. subsidiary subsidiary subsidiary subsidiary subsidiary subsidiary subsidiary subsidiary subsidiary our social dialogue bodies Worldwide Works Council European Works Council France Works Council Central Works Council of the France Telecom Orange SEU 35 French subsidiaries represented 20 European countries represented 23 countries represented France Telecom Orange France Orange Reunion Orange Distribution The European and Worldwide Works Councils complement the existing national employee representative bodies and are not intended to supervise or replace them. presentation model internal group usage - France Telecom Group restricted – internal communication

7. European works council • 19 countries represented: • Germany, • Austria, • Belgium, • Denmark, • Spain, • Finland, • France, • UK, • Greece, • Ireland, • Italy, • Norway, • Luxembourg, • Netherlands, • Poland, • Portugal, • Romania, • Slovakia, • Sweden, • established by an agreement signed on 14 April 2004 which applies to all European companies managed by the France Telecom Orange Group. Purpose • to serve as a forum for discussions in order to create a Europe-wide dialogue on cross-cutting economic, financial and social issues which affect multiple countries (industrial and innovation strategies, major investment programmes, acquisitions, employment, etc.). Constitution • members of Group management and 32 staff representatives from European countries elected for 4 years. • Representation is based on all France Telecom Group employees from all entities in each country. Meetings • at least 3 meetings per year and as required due to exceptional circumstances. presentation model internal group usage - France Telecom Group restricted – internal communication

8. A flourishing social dialogue • The EWC serves as a forum for discussions on topics with a major strategic impact which involve the entire Group as well as transnational projects • Executive committee members give presentations on major strategic issues • The Group CFO presents the financial results several times a year, a key opportunity to discuss the company's situation • Opinions issued on transnational issues • Jointly-owned DT-FT subsidiaries: e.g. in 2011 the purchasing project which led to the creation of the subsidiary Buyin • Organisational issues which affect several countries: e.g. pooling activities in a country (international business market back office, technical back-office) • The procedure for issuing opinions is being organised • The EWC monitors certain dossiers in order to remain informed of the follow-up on its opinions and the implementation of projects • The EWC set up a working group on stress which led to the roll-out and analysis of a stress questionnaire for all European subsidiaries presentation model internal group usage - France Telecom Group restricted – internal communication

9. European stress questionnaire • The launch of an European stress questionnaire was decided in September 2010 during the EWC meeting at the request of the EWCmembers who wanted a separate, independently managed approach • This questionnaire was sent to all the employees in countries within the scope of the EWC ( except France) in early May 2011 • The global participation rate is 23% (10,000 employees out of 38,000 responded) • This questionnaire is innovative as it is the first time that a similar study has been conducted on such a large population and in this form (use of the "General Health Questionnaire 12," known as GHQ 12). • Thus, it is neither a benchmark nor a barometer ( there is no "standard") but a survey which aims to identify warning signals and items for consideration allowing the implementation of action plans modèle de présentation usage interne groupe - interne Groupe France Télécom – communication interne presentation model internal group usage - France Telecom Group restricted – internal communication

10. Overall results • The overall results of the GHQ12 are globally good : 55% of employees are in good health( 0 to 2 symptoms) • But 12% of respondents display a high level of GHQ 12 (from 9 to 12) and are considered to be suffering. • 6 % of the 12% are experiencing a loss of self-confidence and respect and display high risks. • The survey focused on the correlation between situations ( repetitive work, isolation...) and their impact on health (GHQ 12) in order to identify problem situation and areas of discussion • The elements which predominate in these situations at France Telecom-Orange and consistently across all European countries are related to : • relationships with management (control by management seen as a source of tension, lack of recognition, work-life balance ) • lack of social support and the feeling of isolation (not only physical but also psychological ) • dissatisfaction with work (tasks) and work content ( job evolution, overwork, repetitive work, personal evolution) modèle de présentation usage interne groupe - interne Groupe France Télécom – communication interne presentation model internal group usage - France Telecom Group restricted – internal communication

11. Communication and action plans First step : Appropriation and communication of the results to the EWC members and to the country HR VP • Local HR can thus share analyses on the same basis with local employee representatives and engage in discussions at a local level Second step : Defining action plans • Each country or region will be able to decide on local actions plans focused on high-risk situations and populations, if needed • Follow up: exchanging best practices on action plans. We agree to follow-up on the project by leaving countries the possibility of presenting their work and action plans during EWC meetings modèle de présentation usage interne groupe - interne Groupe France Télécom – communication interne presentation model internal group usage - France Telecom Group restricted – internal communication

12. thank you