Investor Presentaiton

36 at the beginning of their careers, which pro- vides for adjusting the compensation of those who receive positive evaluations. Leaders are evaluated based on 360° assessments, the Performance Map and the Calibration Com- mittee (see performance analysis and career development in GRI Indicators). |G4-LA11| Through year end, the company invested R$14,298,941.00 in 625,416 total hours of training, which represents 34 hours per em- ployee (see average number of training hours per year per employee, as well as the total num- ber of employee training hours for human rights policies in GRI Indicators). IG4-LA9, G4-HR2| INTERNAL COURSES AND PLANNING FOR PRE-RETIREMENT |G4-LA10| 2016 2015 2014 Employees 90 90 116 Value invested (R$) 115,305.08* 80,000* 190,820 Grants awarded 90 90 116 * The 2015 program ended in 2016. The 90 participants of the 2015 program are the same in 2016. COMPENSATION AND BENEFITS |G4-DMA: Economic performance, G4-DMA: Market pres- ence, G4-DMA: Employment| Employees receive fixed compensation, established in accordance with the com- plexity of their functions aligned with sala- ries practiced on the market, and variable compensation, based on company results and individual performance (see variation of the proportion of the lowest salaries, gender discrimination, compared to local minimum wage in GRI Indicators). [G4-EC5| Brazilian employees have a benefits pack- age and may participate in the Embraer Prev complementary pension plan. Membership is voluntary, without restrictions, and time of service is considered for withdrawal. Con- tributors define a monthly value of up to 8% of their salary and the sponsor matches that amount. Abroad, benefits packages vary in accordance with the current legislation in each country. [G4-EC3, G4-LA2| HEALTH AND SAFETY |G4-DMA: Workplace health and safety| Concern with employee health and safety is the focus of the Environmental, Health and Safety Policy (MASS, in Portuguese), which aims to ensure a work environment that complies with labor and environmental law, in addition to complying with health, safety and ergonomic requirements. The initiatives are developed based on periodic medical exams (for all employees) in order to trace each department's epidemiological profile. With this information the company developed the Behavioral Program, the Tensional Reeducation Training Program (PERTO, in Portuguese) and the Prevention through Design program. Furthermore, emphasis is given to the Well- Being program, which aims to encourage the practice of healthy habits among employees. The Internal Accident Prevention Com- mittee (CIPA, in Portuguese) exists since 1971, and it is made up of representatives elected annually by employees, and an equal proportion of members are named by the company (87.26% representation), with the objective of ensuring safety in the operating environment. |G4-LA5| The company is also in dialogue with unions regarding terms related to employee health and safety. Clauses negotiated in collective conventions cover 100% of Brazilian employ- ees and include: offering Personal Protective Equipment (PPE); training and education re- garding this issue; complaint recording sys- tem; and accident audits and periodic visits with the participation of employees' repre- sentatives. |G4-11, G4-LA8| Internationally recognized certificates, such as the OHSAS 18001 (since 2001), accred- it Embraer operations with regard to adopt ed practices. Incident reduction and work condition improvement goals defined in the Master Sustainability Plan (see page 7) are supplemented annually. In addition, safety indicators are also monitored and analyzed monthly by the Board of Executive Officers and by the Board of Directors. For the year, the total number of accidents with lost time was 82, and the occupational sickness rate was 0.22% (see more infor- mation in GRI Indicators). [G4-LA6| MANAGEMENT OF ORGANIZATIONAL CLIMATE In 2016, various sector companies an- nounced cost and expense adjustments, including those related to the operating environment. In this context, Embraer ap- proved a plan for operational adjustments in continuity with the reviews of processes and the quest for efficiency (see page 30), which included a Voluntary Dismissal Pro- gram (PDV, in Portuguese). All applications were evaluated by the company, and the 1,463 people who were awarded received, in addition to their severance pay, com- pensation of 40% of the nominal monthly salary proportional to their time of service in the company, six months of health and dental plan coverage, and support through lectures and career qualification and/or transition workshops. |G4-LA10| A satisfaction survey was conducted with these employees, revealing that 85% of the respondents expressed their gratitude for the time they worked at Embraer. This data shows the respect with which the PDV was conducted and reaffirms the high satisfac- tion rates recorded in surveys over the last seven years. Every year between 2007 and 2015, Em- braer conducted an Internal Organizational Climate Survey, seeking to evaluate the de- gree of employee satisfaction. Because it is often above the market average, the compa- ny opted to improve practices in 2016, with a biannual engagement survey, which will take place in 2017, for the first time. w 37

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