We ended the crop year with a team of around 30,000 employees in Brazil and Argentina, all engaged in a strong culture, translated by the elements of Our RAIZ (ROOTS)—a unique way of being, focused on respect, ethics, inclusion, safety, innovation, and the best results.

More information about our staff is available here. |GRI 102-8|

One of the priorities of people management in 2020 was the health and well-being of employees in connection with the spread of COVID-19. As soon as the World Health Organization (WHO) declared a pandemic, on March 11, we made a public commitment not to reduce our staff, and we put in place a complete management plan for business continuity and respect for people.

Most of the employees who work in the offices were able to perform their duties from their homes. We adapted the facilities and processes to guarantee the physical and mental integrity of those who needed to continue in the field, since our activities are regarded as essential, especially the production of alcohol to fight the virus and the distribution of fuel to keep the country moving.

We quickly adapted to the atypical context, with the support of infectious disease physicians and WHO consultants, by establishing strict protocols, updated for all our operations, ensuring safe environments, frequent testing, new online benefits, constant communication, and structured actions.

We also provided a Call Center for quick guidance regarding questions about COVID-19 symptoms and procedures to prevent the disease.

Specifically in Caarapó (MS), a municipality that is home to approximately 5,000 Guarani Indians, both Kaiowás and Ñandevas, and where one of our bioenergy parks units is located, hygiene supplies and equipment such as masks for individual protection were distributed. Indigenous workers living in this unit received personalized communications in the Guarani language, as well as a Call Center. Through transparent and close conversations with the community, all of the Indigenous workers on our team were put on furlough and were assured additional support for their labor rights. |GRI 411-1|

In Argentina, we were the first company in the fuel sector to implement risk mitigation protocols in service stations, including modification of work routines and the adoption of strict cleaning and distancing protocols, actions that minimized the risks of contagion and ensured the continuity of operations in a safe manner.

Since this is a scenario of constant changes, in addition to these actions, others are being taken to address the emerging challenges and ensure people's safety and health. We continue to assess and update our contingency plan as we monitor the pandemic's socio-economic developments and impacts. We use our blog to communicate initiatives—click here to access the channel. We are grateful to the entire team, who understood that many people depend on our energy at this delicate time.

Attraction

The doors to join our team open twice a year through the Talent Program, which includes the apprentice, internship, and trainee modalities and offers benefits that exceed the expectations of those starting their careers: competitive remuneration, professional development plans, and an environment of multiple opportunities, growth, and collaboration. In Argentina, the initiatives are similar, with adjustments made in accordance with the country's labor legislation. We do more than develop talent; we want to connect common purposes and goals so that young people can achieve much more than they imagine. Through the Talent Program initiatives, we guarantee that we will attract male and female candidates who will form increasingly diverse teams to help reach our maximum potential.

In a challenging year like 2020, the selection for the Talent Program was conducted 100% online, and with the support and approval of leadership, it was possible to maintain the quality of the process and the cultural fit. Compared to the 2019/2020 harvest, there was increased diversity in the attraction process. In the internship program, the number of women who applied increased by 5%, and the number of people who self-identify as Black and Pardo* increased by 12%. We also did not have any language requirements, nor did we limit our consideration based on educational institutions.

* In Brazil, Pardo is an ethnic and skin color category used by the Brazilian Institute of Geography and Statistics (IBGE) in the Brazilian censuses.

Young apprentices can start their careers through an initiative developed by us based on the Apprenticeship Law (Law 10,097/2000), aimed at the social and professional development of people between 16 and 22 years old who are enrolled in high school and/or in technical training courses. The idea is to offer a balanced journey between practical activities on our team and theoretical activities in partner institutions.

Undergraduate students can apply for internships. The development trail covers topics related to the behaviors of Our RAIZ (ROOTS) and to the technical skills at work.

To attract professionals with up to two years of undergraduate studies in any area of knowledge, we have developed the trainee modality, which consists of 152 hours of training and capacity building, covering collaborative work, innovation, and leadership, among other topics. The goal is to boost the participants' careers, with challenges aimed at expanding their potential through unique experiences.

With an eye on people who are increasingly connected and on multiplatforms, in 2020/2021 we launched about 330 internship jobs, 230 apprentice jobs, 8 trainee jobs, and 12 leadership training jobs in the agriculture industry. We worked with several activations on the most varied social media, using a close language to strengthen our connection with the audience. In Argentina, during the same period, 33 interns and 8 trainees were selected 100% virtually.

We invest in different forms of attraction and selection by combining recruitment actions, an internal referral campaign, and partnerships capable of contributing to more assertiveness in hiring. Our goal is to promote a diverse, inclusive, and highly developed environment for our teams. For this reason, we look for ways to be more inclusive from the very first points of contact. We experimented with blind recruiting and started a pilot project to use Artificial Intelligence to help find people with attributes that are in line with our culture and eliminate unconscious biases in recruiters. We also entered into several partnerships to attract diverse male and female candidates.

⁵ For jobs in distribution terminals, airport bases, and industry, a minimum age of 18 is required. Some courses offered by partner training institutions also require the apprentice to be over the age of majority.

Diversity and inclusion |GRI human rights, diversity, and inclusion|

We are a team that offers different forms of energy to mobilize people. Respecting and promoting the diversity that makes us unique is part of Our ROOTS. Since 2019, employees from different areas and hierarchical levels, including leaders, have come together on the Diversity and Inclusion Committee to structure actions and disseminate this topic. The group is composed of chairs that represent the various business areas and a range of diversities, such as PwDs, women, race and ethnicity, and LGBTQIAP+. We guarantee a place for speaking and learning that we believe to be essential to evolve in this journey.

We understand that the process of fostering inclusion must also come from our people. Therefore, we gave voice to the organic groups within our team—the TransformadorEs (TransformerEs)—whose goal is to disseminate knowledge, exchange experiences, propose, and implement solutions. This group was also connected to the Diversity Committee, expanding our governance and enhancing results in relation to this topic. In 2021, we also launched the Respeito na Raiz de Tudo (Respect at the Root of Everything) campaign, inviting employees to share their experiences and strengthen good practices in order to create a welcoming work environment for everyone.

Since 2019, our leaders have been encouraged to combat unconscious biases that can influence decision-making. In 2020, we conducted an educational workshop about the concepts, behaviors, and responsibilities at all hierarchical levels of the team. This was a significant step toward building a trusting environment where each person has the space and security to expose their vulnerabilities and lack of knowledge about this topic. As a result, we have increased the level of awareness in our people so that we can continue to move forward.

These steps facilitated a new Recruitment and Selection Policy, with guidelines that involve participants with all types of diversity, without any distinction in the selection process. In addition, our Code of Conduct (see more here) provides clear guidelines for making decisions concerning employees such as hiring, promotions, and dismissals, based exclusively on objective factors of merit, qualifications, and performance.

We are making conscious efforts to increase the representation of all diversity groups at the various hierarchical levels. We have assumed, along with our shareholders, the goal of having 30% of leadership positions held by women, from management on up, by 2025. This commitment is in line with the Women 360 Movement, in which we participate, which includes more than 50 large companies engaged in diversity and in increasing female participation in the corporate environment. Additionally, we are in line with the seven UN Women's Empowerment Principles. |GRI 102-12|

As an Empresa Cidadã (Citizen Company), initiatives aimed at gender equality are already part of our management. Among the benefits we offer to our employees are a 180-day maternity leave, as an extension of the term provided by law (120 days), and breastfeeding rooms for female employees who return from leave. Also, there is no difference in remuneration practices between men and women. We also value active fatherhood and support fathers in nurturing their children’s development through their affection, love, and attention. For this reason, in addition to the legal five days of paternity leave, we grant an additional 15 days, for a total of 20 days.

We have initiatives in place to include People with Disabilities (PwD), such as a portfolio of résumés to ensure that this audience is actively targeted by the Human Resources area.

In addition to complying with the applicable laws in all the locations where we operate, we want to play a leading role in the enhancement of rights with teams whose diverse profiles make us even more multifaceted and ready for the current and future market challenges.

Learning and development |GRI 404-2|

We believe that we learn every day through work experience. In addition, several actions are concentrated in our Raízen University, currently composed of a Center and six Academies, four of which were created based on the nature of each business. The other two are focused on cross-cutting topics (leadership and innovation), which are of the utmost importance for the development of our team and the expansion of the business. The Center covers development initiatives focused on Health, Safety, and Environment (HSE), Ethics, Sustainability, and Our ROOT, which are elements of our Culture and prerequisites for everyone.

Due to the COVID-19 pandemic, which intensified the need for learning solutions in the digital environment, we launched a new knowledge management platform and increased our offering of online training in the 2020/2021 harvest with more than 100 new titles.

We also utilized the digital format in the training process during the off-season, reaching more than 2,300 employees who received upskilling and reskilling actions to prepare for the challenges of the next harvest.

To strengthen our learning culture, the exchange of experiences among professionals from different areas is constantly stimulated. An example is the Disseminadores do Conhecimento (Knowledge Disseminators) Program, in which employees are organized into groups to share knowledge, information, and experiences, allowing 80% of the learning actions to be taught by this group.

In short, we offer opportunities for the continuous improvement of hard, soft, and future skills, as well as scholarships for languages and academic incentives, always aiming at the development of our people.

We have developed a performance management program that encourages meritocracy and constant feedback for the development of the professionals. The potential and performance of the entire team is periodically evaluated in a process that monitors the learning curve, goal achievement, and interests of each person. This allows us to ensure that the right professionals are in the right places, are targeted for future positions, and are motivated for the best results.

The teams in Argentina also benefit from Raízen University. As an example, we offer functional training and other training common to all: training in Ethics and Compliance; Digital Tools; Health, Safety, and Environment (HSE), and interpersonal skills. We also launched the Leadership Academy, with an exclusive program that respects the local reality.

More information on capacity building and development can be found here.

Remuneration

Our remuneration practices are based on the Total Rewards concept, in which we offer our employees a combination of monetary and non-monetary rewards such as fixed remuneration, short- and long-term incentive programs (variable pay), benefits, recognition, and development. All of this is aimed at retaining, motivating, and developing talent in line with our strategy.

We believe that linking environmental, social, and governance (ESG) performance to remuneration is a key tool for holding executive management accountable for delivering sustainable business goals, such as:

• Diversity in hiring
• Safety of teams and operations
• Conscious consumption of energy and resource conservation

These goals are distributed to different groups of executives in order to ensure comprehensive reach and power of execution.

We are the world's largest producer of first- and second-generation ethanol, and we promote large-scale decarbonization for our customers and help position them at the forefront of a low-carbon economy. We measure the greenhouse gas emissions avoided from the consumption of our renewable products—ethanol (1G and 2G), biogas, pellets, etc.—and as of 2021, we established a target measured in tCO2 avoided, which will be achieved by increasing production of renewables and reducing the carbon footprint of the products. The target will be linked to the variable pay of 100% of employees.

To ensure that our strategy is competitive in light of the growing challenges of the job market, we work in partnership with consulting firms specializing in salary surveys. Regarding the governance of our remuneration policies and programs, we have a Remuneration and People Development Committee composed of our shareholders Among its duties, this committee supports the strategic management of this topic and the necessary approvals to ensure good governance.

Volunteering

We seek to generate a positive social impact throughout our value chain, especially for the communities in the vicinity of our operations. Through volunteer actions, we provide meaningful experiences for employees, boosting a network of solidarity.

The Raízen Volunteers in Action (Voluntários em Ação Raízen - VOAR) program is an initiative aimed at strengthening a culture of volunteering as a means of helping our employees fulfill their individual purpose. In 2020/2021, an atypical period marked by the COVID-19 pandemic, the actions were adapted to the virtual format, strengthening the message that, when it comes to embracing and generating smiles, there are no borders.

Approximately 1,300 volunteers participated in the VOAR actions during this period. As one of the highlights, we formed a group of 372 employees to act as social mentors in one of Raízen Foundation's youth program. In all, this group held more than 1,000 sessions with the mentees, totaling 5,169 dedicated hours. To learn more, access the Raízen Foundation's Activities Report.

The program should evolve over the coming harvests, when we intend to expand the number of participants and further enhance the recognition of their actions.

As we integrate volunteering into the experience of our employees and into our Plans for Relationship with the Surroundings (see more here), we increase our social impact and the satisfaction of those who are part of this chain of goodness.