MERLIN Properties Annual Report 2023

MERLIN Properties | 115 • Knowledge sharing: MERLIN considers it a priority to share the knowledge accumulated by its professionals in different areas of expertise. For this reason, the Group provides annual “in-house training” courses given by MERLIN’s own staff to the rest of their colleagues. • Language Training Plan: MERLIN offers all its employees language training in English or Portuguese, in different modalities: face-to-face, online, conversation or preparation for official exams. The employee can choose the modality that they prefer. Relevance of each category of training, with respect to the company’s total training: • Training tailored to the needs of each employee : accounts for 75% of total training. • Language training : accounts for 15% of total training. • Knowledge sharing (training delivered by MERLIN’s own professionals): accounts for 10% of total training. In 2023, personalised training has put special emphasis on digital skills, representing 39% of this training category. Skills such as communication and team management have also been strengthened, and 7% of the personalised training focused on these skills. Knowledge Sharing has been on areas such as savings and investment, digital platforms, business skills and user management. Employee compensation Differential remuneration scheme Remuneration is a key tool for attracting and retaining the best talent. The Company’s remuneration scheme has a differential aspect in that it prioritises performance over any other variable when establishing remuneration and, therefore, employee evolution is monitored on an ongoing basis. MERLIN employees receive fixed annual remuneration along with annual variable remuneration tied to the fulfilment of the Group’s objectives and to each employee’s individual performance. 100% of MERLIN’s employees receive variable remuneration or bonuses, regardless of their professional category. This allows the company to reward performance and attract and retain the best talent, without it being a tool used only for a specific group. 15% of this remuneration is linked to compliance with various sustainability metrics, such as reduction of carbon footprint intensity and improvement in sustainability indexes (GRESB, CDP, SP Global, Sustainalytics, MSCI, etc.). Some 23% of employees are also on a long- term incentives plan, further strengthening the retention of key talent for the company’s business. Employee benefits In addition to MERLIN’s remuneration system, the Group offers all its employees employment benefits and alternative remuneration formulas. All Group employees have the same remuneration in kind conditions and social benefits: health insurance (for employees, spouse and children), life and accident insurance and language training.