2022 Annual Report 24 30% Club France Investor Group Debunking Myths on Gender Diversity We have debunked six myths on gender diversity. Conf ronting these pre-conceived biases enables investors to better deal with core issues that are impacting women f rom reaching top positions. Myth 1: “Women appointed because of positive discrimination obtain these positions due to their gender not their merit.” This myth was first debunked by Deborah Gilsan, founder of the 30% Club. Meritocracy is often used as an excuse to protect the status quo as people utilize overly narrow definitions of merit to hire candidates like their predecessors. There is no evidence showing that women obtain their positions solely because of their gender and not their skillset and merit. On the contrary, hiring f rom a more diverse pool will help ensure a company finds the best talent based on merit. Myth 2: “It is hard for our industry/company to find competent women, especially for top positions.” When companies across different sectors try to recruit women and provide them with proper tool and training, those women are found to be as competent and qualified as men for top positions. The 30% Club France Investor Group observed that companies in industries suffering f rom the lack of female employees achieve stronger progress on women representation in the top management level. Myth 3: “We need more time to set an achievable target.” It is important to first analyze the current constraints and cultural biases against gender diversity within an industry before setting a detailed action plan. We observed that the most efficient way to achieve the gender diversity goal is by setting ambitious targets – targets that seem unachievable at first are often surpassed in the end. We encourage companies to adopt aspirational targets for diversity as we believe measured targets are more likely to be achieved 1 . Myth 4: “We’re committed to diversity, but we’re waiting for it to happen organically.” If companies wait for female employment to grow organically, they may fail to attract and retain diverse talent. Women often leave an organization due to the lack of promotional opportunities. Therefore, accurate and comprehensive data is crucial as it helps companies identify problem areas (such as too few female senior managers) to implement targeted solutions. An oversight team is necessary to monitor the recruitment, retention, and promotion of women1. Myth 5: “Women just don’t want the top job.” While not everyone wants the top job regardless of gender, companies need to ensure that they offer a level playing field for diverse talent so that those who want the top job are provided with equal chance without biases and glass ceilings. If diversity and inclusion is a true strategic priority for a company, its culture will ensure that the best people can succeed regardless of gender1. Myth 6: “Women are not interested in networking and mentoring/being mentored.” There are several reasons why women ask for training and mentorship to advance their careers less often than men. One of them is that women tend to have additional responsibilities outside of their work f rom their homes and families. Nevertheless, companies should not draw the conclusion that women are not interested in building successful careers. Companies should provide proactive career development advice and consulting as well as appropriate work/life balance policies (e.g., maternity/ paternity leave) to help nurture new female leaders. 1 Myth first debunked by Clare Payn, former Investor Group Chair of the 30% Club UK and Senior Global ESG & Diversity Manager, LGIM; https://www.lgim.com/landg-assets/lgim/_document-library/capabilities/debunking-corporate-myths- about-diversity.pdf