55 2021 ESG Report Appendices Transparency Responsible supply chain Product impact Climate change Introduction Healthy workforce and communities Inclusion, diversity and equity We strive to make inclusion, diversity and equity (ID&E) a prominent and lived piece of our culture. We believe that when our associates are holistically healthy and feel included, they believe in their self-worth and feel a sense of belonging— they feel connected to people and the community. Supporting our associates in aspects of their personal and work lives enables them to thrive and realize their full potential. We are committed to working toward making all of our associates feel valued and find a welcoming and inviting place for their ideas—a place where they can be their authentic selves. Our progress Our ID&E foundation is built on systems, processes and tools that we use to drive action and accountability and to measure our progress toward achieving our goals. Engagement – voice of the associate surveys Surveying how our associates feel about working at BD is one of our best ways to measure our success. Over the last three years, we’ve been on a cultural journey to remove barriers and unleash our associates’ full potential. Our voice of the associate (VoA) survey in FY 2021 showed a 95 percent improvement in responses to comparable questions from our previous engagement survey in FY 2018. While associates have told us that culture is one of the best aspects of working at BD, our survey results clarify an overarching theme: we must empower our teams through belonging and agile decision making. Our results validate the direction we set with our strategy and show a highly committed and engaged workforce, but we still have work to do. We will continue to use interim pulse surveys to measure our progress in executing our action plans. Equal pay and gender pay parity We are committed to compensating our associates fairly and equitably. We take a pr oactive approach to gender and ethnic pay equity and continually monitor our compensation programs. Annually, we work with an independent third party to conduct a comprehensive pay equity review based on gender and ethnicity in the U.S. Our review assesses pay on a statistical basis and considers several factors that are relevant and known to impact compensation, including but not limited to tenure, role, career level and geographic differentials. Where necessary and appropriate, we take action and make pay adjustments to address any inconsistencies. We believe that pay equity is critical to our success in supporting a global, diverse and inclusive workforce. We have a history of conducting targeted annual pay assessments and have committed to expanding our assessment to BD associates globally on a biennial basis. In 2021, we conducted a global pay equity assessment for associates in 57 countries, representing approximately 70 percent of BD’s global salaried associate population. The results showed that BD associates are paid fairly and equitably, and that, on average, both women and men are paid within a range that would be expected after controlling for legitimate differentiating factors. Our female associates in 2021 earned an average of 99 cents for every $1 earned by male associates in the U.S., and 98 cents globally. We consider these results as a baseline for our commitment to achieving 100 percent pay equity and remain focused on managing our compensation processes with the goal of identifying and remedying any practices that may contribute to pay gaps now or over time. Training We value diversity of thought in solving challenges and driving innovation. Learning is how we transform ourselves and the organization, by connecting to our culture and building strategic capabilities. At BD, we believe everyone is a leader, and our culture of learning encourages and empowers all associates to reach their full potential. This year, in addition to our conscious-inclusion training, we also provided supplemental micro-learnings that continue to upskill our associates on topics such as active listening, being color brave instead of color blind, inclusion through storytelling and working together when you have differences.