To our stakeholders,

I am pleased to confirm that Unit4 reaffirms its support to the Ten principles of the United Nations Global Compact in the areas of Human Rights, Labour, Environment and Anti-Corruption.

In this annual Communication on Progress, we describe our actions to continually improve the integration of the Global Compact and its principles into our business strategy, culture and daily operations. We also commit to share this information with our stakeholders using our primary channel of communication.

Sincerely yours,

Mike Ettling,
CEO Unit4

Our efforts against to support human rights is encapsulated in Unit4’s Code of Ethics and Business Conduct, General Business Principles and our Business Partner Code of Conduct, as well as Anti Modern Slavery and Human Trafficking Statement, each of which are available on our website. Unit4 has a zero-tolerance policy in relation to slavery and human trafficking and is committed to acting ethically and with integrity in all our business dealings and relationships

General Business principles:

With due regard to the Universal Declaration of Human Rights, which states that all parties in society, including corporate entities, have a duty to respect and safeguard human rights, and within the framework of the legitimate role of business, Unit4 supports and respects human rights and strives to ensure that its activities do not make it an accessory to infringements of human rights.

Unit4 values its employees as a key resource. An atmosphere of good employee communication, involvement and responsibility is of central importance, and an employee’s personal development and optimum use of talents is encouraged.

5.1 Right to organize

Unit4 recognizes and respects the freedom of employees to choose whether or not to establish, or to associate with, any organization. Unit4 respects – within the framework of (local) law, regulations and prevailing labor relations and employment practices – the right of its employees to be represented by labor unions and other employee organizations.

5.2 Health and safety

Unit4 will do all that is reasonable and practicable to protect the health and safety of its employees.

5.3 Equal and fair treatment

Every employee has equal opportunities and will be treated equally in employment and occupation regardless of personal background, race, gender, nationality, age, sexual preference, disability or religious belief. The same applies to the recruitment of employees. Unit4 strives to offer equal pay for equal work performed at equal levels at similar locations. No form of harassment or discrimination will be tolerated.

5.4 Wages and payment

Remuneration and working hours shall comply with local labor laws and shall at least be in line with prevailing industry norms.

Business partner code of conduct:

The partner/supplier/subcontractor must refer to and abide by all recommendations issued by the International Labor Organization.
A result, the partner/supplier/subcontractor will ensure that its business does not use (directly or indirectly) or encourage:
2.3.1 Forced Labor
Unit4 partners/suppliers/subcontractors will not use forced or involuntary labor of any type (e.g., forced, bonded, indentured or involuntary prison labor); employment is voluntary.
2.3.2 Modern slavery and human trafficking
Unit4 is committed to acting ethically and with integrity in all our business relationships and to implementing and enforcing effective systems and controls to ensure that rights of individuals are observed. Through careful observance of our internal policies and processes, we are committed to ensuring that there is no modern slavery or human trafficking taking place in any part of our business.
Further, through effective due diligence and observing good practice when selecting our suppliers, we are committed to ensuring that to the best of our knowledge and belief there is no modern slavery or human trafficking taking place in any part of our supply chains.
2.3.3 Employment of children
Unit4 partners/suppliers/subcontractors will not use child labor. The term “child” refers to any person employed under the age of 15 (or 14 where the law of the country permits), or under the age for completing compulsory education, or under the minimum age for employment in the country, whichever is greatest. Unit4 supports the use of legitimate workplace apprenticeship programs which comply with all laws and regulations applicable to such apprenticeship programs.
2.3.4 Discrimination
Unit4 partners/suppliers/subcontractors will not discriminate in hiring and employment practices on grounds of race, religion, age, nationality, social or ethnic origin, sexual orientation, gender, gender identity or expression, material status, pregnancy, political affiliation, disability, handicap or any other distinctive features.
2.3.5 Psychological or physical coercion
Unit4 partners/suppliers/subcontractors will treat all employees with respect and will not use corporal punishment, threats of violence or other forms of physical coercion or harassment.
Moreover, the supplier/subcontractor will ensure compliance with all labor regulations, in particular with respect to:
• Wages and benefits
Unit4’s partners/suppliers/subcontractors will, at a minimum, comply with all applicable wages; overtime hours; piece rates and other elements of compensation, and provide legally mandated benefits.
• Working Hours (statutory direction)
Unit4’s partners/suppliers/subcontractors will not exceed prevailing local work hours and will appropriately compensate overtime.

1. Developing policy
We are committed to ensuring that there is no modern slavery or human trafficking in our supply chains or in any part of our business. We continue to work in line with the general business principles as outlined above, which encapsulate Unit4’s commitment to acting ethically and with integrity in all our business relationships and to implementing and enforcing effective systems and controls to ensure key rights to stakeholders are observed. Unit4 will continue to monitor and update (where necessary) its existing general business principles to reaffirm its commitment to ensuring slavery and human trafficking is not taking place anywhere in our supply chains. Unit4 has an experienced procurement department who endeavour to follow the Unit4 procurement policy and monitor compliance with this as well as overseeing individual supplier appointments.
2. Identifying and addressing risk
As part of our initiative to identify and mitigate risk we continue to hold meetings and discussion groups within the procurement, compliance, legal and human resources departments to further develop policy, systems and best practice.
We continue to look at implementing systems to:
• Identify and assess potential risk areas in our supply chains;
• Mitigate the risk of slavery and human trafficking occurring in our supply chains;
• Monitor potential risk areas in our supply chains; and
• Protect whistle blowers.
3. Supply chain due diligence and training
We will look to implement (where practicable) additional supply chain due diligence, consisting of completing practical exercises when selecting our suppliers and ensuring contractual commitment to anti-slavery and human trafficking legislation. Unit4 has a set of general purchasing terms which, if entered into by a supplier, require the supplier to comply with all applicable laws, have and maintain their own policies and procedures to ensure compliance with all applicable laws and comply with our Business Partner Code of Conduct.
We have representatives from legal, audit and compliance, human resources and procurement (across the business) involved in such compliance.
To further ensure a high level of understanding of the risks of modern slavery and human trafficking in our supply chains and our business, we will continue to augment and amend our existing training programme around ethics and good business practices.
Unit4’s recruitment team and human resources department continue to follow company policy in relation to direct recruitment and the use of recruitment agencies.

Unit4 follows a yearly review cycle, with period reviews by senior management and key metrics being reported at group level and to our stakeholders and private equity owners in the form of an ESG survey. Each incident and legal case relevant to human rights is being handled diligently by cross functional teams composed of legal, HR and functional/local leadership - the number of yearly cases reported is very low. Our sector does not involve manufacturing, therefore external human rights audits are not being performed at this point in time.

Our efforts against to support human rights is encapsulated in Unit4’s Code of Ethics and Business Conduct, General Business Principles and our Business Partner Code of Conduct, as well as Anti Modern Slavery and Human Trafficking Statement, each of which are available on our website. We also have a global health and safety policy in place.

General Business principles:

With due regard to the Universal Declaration of Human Rights, which states that all parties in society, including corporate entities, have a duty to respect and safeguard human rights, and within the framework of the legitimate role of business, Unit4 supports and respects human rights and strives to ensure that its activities do not make it an accessory to infringements of human rights.

Unit4 values its employees as a key resource. An atmosphere of good employee communication, involvement and responsibility is of central importance, and an employee’s personal development and optimum use of talents is encouraged.

5.1 Right to organize

Unit4 recognizes and respects the freedom of employees to choose whether or not to establish, or to associate with, any organization. Unit4 respects – within the framework of (local) law, regulations and prevailing labor relations and employment practices – the right of its employees to be represented by labor unions and other employee organizations.

5.2 Health and safety

Unit4 will do all that is reasonable and practicable to protect the health and safety of its employees.

5.3 Equal and fair treatment

Every employee has equal opportunities and will be treated equally in employment and occupation regardless of personal background, race, gender, nationality, age, sexual preference, disability or religious belief. The same applies to the recruitment of employees. Unit4 strives to offer equal pay for equal work performed at equal levels at similar locations. No form of harassment or discrimination will be tolerated.

5.4 Wages and payment

Remuneration and working hours shall comply with local labor laws and shall at least be in line with prevailing industry norms.

Business partner code of conduct:

The partner/supplier/subcontractor must refer to and abide by all recommendations issued by the International Labor Organization.
A result, the partner/supplier/subcontractor will ensure that its business does not use (directly or indirectly) or encourage:
2.3.1 Forced Labor
Unit4 partners/suppliers/subcontractors will not use forced or involuntary labor of any type (e.g., forced, bonded, indentured or involuntary prison labor); employment is voluntary.
2.3.2 Modern slavery and human trafficking
Unit4 is committed to acting ethically and with integrity in all our business relationships and to implementing and enforcing effective systems and controls to ensure that rights of individuals are observed. Through careful observance of our internal policies and processes, we are committed to ensuring that there is no modern slavery or human trafficking taking place in any part of our business.
Further, through effective due diligence and observing good practice when selecting our suppliers, we are committed to ensuring that to the best of our knowledge and belief there is no modern slavery or human trafficking taking place in any part of our supply chains.
2.3.3 Employment of children
Unit4 partners/suppliers/subcontractors will not use child labor. The term “child” refers to any person employed under the age of 15 (or 14 where the law of the country permits), or under the age for completing compulsory education, or under the minimum age for employment in the country, whichever is greatest. Unit4 supports the use of legitimate workplace apprenticeship programs which comply with all laws and regulations applicable to such apprenticeship programs.
2.3.4 Discrimination
Unit4 partners/suppliers/subcontractors will not discriminate in hiring and employment practices on grounds of race, religion, age, nationality, social or ethnic origin, sexual orientation, gender, gender identity or expression, material status, pregnancy, political affiliation, disability, handicap or any other distinctive features.
2.3.5 Psychological or physical coercion
Unit4 partners/suppliers/subcontractors will treat all employees with respect and will not use corporal punishment, threats of violence or other forms of physical coercion or harassment.
Moreover, the supplier/subcontractor will ensure compliance with all labor regulations, in particular with respect to:
• Wages and benefits
Unit4’s partners/suppliers/subcontractors will, at a minimum, comply with all applicable wages; overtime hours; piece rates and other elements of compensation, and provide legally mandated benefits.
• Working Hours (statutory direction)
Unit4’s partners/suppliers/subcontractors will not exceed prevailing local work hours and will appropriately compensate overtime.

1. Developing policies
We have developed a health and safety and work-life balance policies to ensure the wellbeing of our employees.

2. Systems in place to support labor principles

Unit4 continuously measures people happiness and wellbeing through a weekly engagement survey through which people can voice their feedback. Consultation with employees are regular through work councils.
Unit4 offers its employees unlimited leave through our work life balance policy.
Unit4 respects – within the framework of (local) law, regulations and prevailing labor relations and employment practices – the right of its employees to be represented by labor unions and other employee organizations. As such, there are multiple work councils groups in the different countries we operate in (France, Germany, Netherlands, Spain, Sweden).
Unit4 prevents discrimination through diversity and incusing training made available to all employees.
Unit4 is using a system named the Global Job Framework where roles (jobs) are categorized based on the primary responsibilities using pre-built career structures and career levels and ensure comparable pay for comparable work.
Compliance, legal, human resources department as well as our leaders community are responsible in the protection of labour rights

Unit4 follows a yearly review cycle, with period reviews by senior management and key metrics being reported at group level including Diversity and Inclusion metrics specifically on gender and age, to our stakeholders and private equity owners in the form of an ESG survey. Each incident and legal case relevant to labour rights is being handled diligently by cross functional teams composed of legal, HR and functional/local leadership - the number of yearly cases reported is very low. Our sector does not involve manufacturing, therefore external labor rights audits are not being performed at this point in time.

For the year 2022:

Gender ratio board members: 22% women
Gender ratio management: 36% women
Gender ration employees: 38% women

Our efforts against to support environment is encapsulated in Unit4’s Environmental and Energy policy as well as our Business Partner Code of Conduct.

Unit4 seeks to minimise waste, promote recycling, reduce energy consumption, and where possible to work with suppliers who themselves have sound environmental policies. On this basis, the following commitments have been identified as strategic opportunities for Unit4 to make significant impact on the company’s overall environmental performance.

Environmental policy:
• Our cloud data centres are already carbon neutral and will be 100% powered by renewable energy by 2025.
• We are working to have our office consumables sustainably sourced and recycled,and introducing a recycling scheme for our hardware and electronic appliances.
• We are planting thousands of native trees in South America, Africa and Asia. Each tree contributes towards protecting local biodiversity
• We work to embed sustainability in the sourcing and procurement processes, enabling our suppliers to be socially, legally, and ethically responsible.

Business partner code of conduct:

2.5 Protection of the environment
The partner/supplier/subcontractor will ensure that its business operations have no damaging impact on the environment or will provide visible efforts to limit or alternatively to reduce them. The supplier/subcontractor must be compliant with all local and international environmental standards and regulations.
The partner/supplier/subcontractor will promote and apply a policy to curb any excessive use of raw materials, energy and natural resources.
The partner/supplier/subcontractor will implement a policy to protect natural resources. To this end, the organization will adopt the best solutions in running its business operations (higher performance, lower impact) and manage the waste it generates.
The partner/supplier/subcontractor will avoid using or incorporating anything that is harmful (for the environment, a manufacturer’s employees or final users) in its manufacturing processes.
In an effort to contribute to environmental protection, the supplier/subcontractor will:
• Encourage the innovation and development of more environmentally friendly technologies.
• Incorporate recycling processes in its own supply chain.
• Deploy an appropriate transport logistics policy (packaging, storage, etc.).
• The partner/supplier/subcontractor will inform their customers of the best way to use their products to extend the product lifecycle.
• The partner/supplier/subcontractor will contribute to the promotion of sustainable awareness and practices within its own stakeholder’s activities.

Assessment of environmental footprint of the company:

Unit4 measures its Greenhouse Gas Emissions on a yearly basis, conducted by an external party. For the year 2021, our total GHG emissions globally where 3435.5 tCo2/a.

Our guiding principles for environmental protection

Continuous Improvement
• Commit to continuously seek to improve environmental performance
Employee engagement
• Promote a culture of awareness and participation in environmental matters, regular open workshops and updates via the internal intranet page
• Provide practical ways of conserving energy and water to employees through smart building technology in our offices and readily available resources for those workingfrom home. Educate our employees about Unit4’s mission and vision regarding the environment and provide accessible channels for employees to contribute ideas to the company’s approach
Cross Sector & Supply Chain collaboration
• Encourage staff and contractors to further highlight opportunities for energy savings
• Ensure that renewable energy is always considered as the preferred option when making supply procurement decisions
• Expect high environmental standards from all suppliers and contractors
Compliance
• Comply with the requirements of environmental legislation and approved codes of practice
Environmental Conservation
• Reduce the amount of waste produced and, where waste is unavoidable, to ensure its safe and effective disposal to prevent pollution
• Purchase and use environmentally friendly resources wherever practical
• Continually seek out ways of achieving more efficient use of resources across all functions, including in the workspace
• Optimize business travel in view of minimizing CO2 emissions
• Consider energy consumption and carbon emissions when purchasing, refurbishing and leasing properties
• Seek to use sustainable sources of energy where it is commercially feasible, to reduce overall carbon emissions
Review Performance & Transparency
• Monitor the progress and review environmental performance on an annually basis.
• Promote the Environmental & Energy Policy within the Unit4 group

Unit4 follows a yearly review cycle, with period reviews by senior management and key metrics being reported at group level including environmental metrics specifically to our stakeholders and private equity owners in the form of an ESG survey. In addition Unit4's GHG emissions are being measured on a yearly basis by an external party. To date there has been no record of an incident or legal case related to environmental management, if it were to occur each incident and legal case is to be handled diligently by cross functional teams composed of legal, HR and functional/local leadership. Our sector does not involve manufacturing, therefore environmental audits are not being performed at this point in time.

Our efforts against corruption are encapsulated in Unit4's Anti-Bribery and Corruption policy, Unit4’s Code of Ethics and Business Conduct, General Business Principles and our Business Partner Code of Conduct.

It is Unit4’s policy to conduct business in an honest way, and without the use of corrupt practices or acts of bribery to obtain an unfair advantage.
Unit4 is committed to ensuring adherence to the highest legal and ethical standards and strives to operate with integrity at all times. This policy has been adopted
by the Company and is communicated to everyone involved in our business to ensure their commitment to it. Further, all employees are in addition expected to acknowledge and observe the Code of Conduct annually. The Company Directors place the utmost importance to this policy and will apply a ‘zero tolerance’ approach to acts of bribery and corruption by employees or by business partners. Any breach of this policy will be regarded as a serious matter by the Company and is likely to result in disciplinary action.

General Business principles:

8.0 Business integrity

8.1 Bribery.

Unit4 insists on honesty, integrity and fairness in all aspects of its business. Bribes in any form are unacceptable; commission payments and personal gifts or favors may only be made or accepted in strict accordance with internal regulations.

8.2. Records of transactions

Unit4 strives to comply with the highest levels of transparency and accountability. Records of transactions should be maintained in an accurate, complete and timely manner in accordance with Unit4 accounting principles. No unrecorded funds or assets should be established or maintained.

9.0 Observance of the General Business Principles

9.1 Sanctions

All Unit4 employees must comply with these General Business Principles. Violation may lead to disciplinary action, including dismissal, notwithstanding any further civil or criminal action that may be taken. An employee, who is accused of having violated the General Business Principles, has the right to be heard by his/her employer.

9.2 Whistleblower policy

Via the existing whistleblower policy and the online reporting tool, employees may submit complaints and report violations of these General Business Principles on an anonymous basis without fear of the complaints leading to disciplinary action.

9.3 Compliance

Compliance with the General Business Principles is monitored by the Compliance Officer under the supervision of the Board. Compliance processes and procedures are audited by Unit4’s Corporate Finance Department.

Business partner code of conduct:

2.2 Independence, bribery and corruption
2.2.1 Corruption
Unit4 will not tolerate any form of fraud, non-independence, bribery or corruption.
2.2.2 Conflict of Interest
Partners, suppliers and subcontractors of Unit4 are expected to disclose to Unit4 any situation that may appear as a conflict of interest.
2.2.3 Bribery
A bribe is an inducement or reward offered, promised or provided in order to gain any commercial, contractual, regulatory or personal advantage. It is not restricted to monetary transactions. Under the applicable bribery legislation, e.g. the Bribery Act 2010 in the United Kingdom, normal and appropriate hospitality given and received to or from third parties is not prohibited.

The giving or receipt of gifts or hospitality is acceptable, if the following requirements are met:
• it is not made with the intention of influencing a third party to obtain or retain business or a business advantage, or to reward the provision or retention of business or a business advantage, or in explicit or implicit exchange for favors or benefits;
• it complies with local law;
• it does not include cash or a cash equivalent (such as gift certificates or vouchers) and does not exceed a value of EUR 50,00;
• taking into account the reason for the gift, it is of an appropriate type and value and given at an appropriate time; and
• it is recorded and given openly, not secretly.

We can take the following steps to assist in the prevention of bribery and corruption:

5.1 Risk Assessment
Each business area is responsible for having suitable controls in place to ensure that all foreseeable risks, including the risk of bribery and corruption, are identified and processes put in place to mitigate these risks. These controls may take many forms, for example, ensuring employees are employed with sufficient skills and knowledge, adequate supervision and management practices and the use of formal policies such as an Expenses policy and Information Security Policies.
5.2 Accurate Books and Record-Keeping
Many serious global bribery and corruption offences have been found to involve some degree of inaccurate record-keeping. We must ensure that we maintain accurate books, records and financial reporting. Our books, records and overall financial reporting must also be transparent and accurately reflect each of the underlying transactions. False, misleading or inaccurate records of any kind could potentially damage Unit4 and may be dealt with as an act of gross misconduct under the Company’s disciplinary procedure.
5.3 Effective Monitoring and Internal Control
Our business maintains an effective system of internal control and monitoring of our transactions through the use of policies and procedures. For example, Management regulations and the delegation of authority limits identify the appropriate levels of approval for company expenditure. Once bribery and corruption risks have been identified and highlighted as outlined in section 5.1, procedures can be developed within a comprehensive control and monitoring programme in order
to help mitigate these risks on an ongoing basis. The monitoring of these policies is achieved through quality, internal and external auditing.

Business partners :
Business partners who act on Unit4's behalf must be advised of the existence of and operate at all times in accordance with this policy. Where risk regarding a business partner arrangement has been identified, Management must:
 Evaluate the background, experience, and reputation of the business partner
 Understand the services to be provided, and methods of compensation and payment
 Evaluate the business rationale for engaging the business partner
 Take reasonable steps to monitor the transactions of business partners appropriately
 Ensure there is a written agreement in place which acknowledges the business partner’s
understanding and compliance with this policy
6.2 Gifts, Entertainment and Hospitality
It may be permissible to offer or accept certain items provided they fall within reasonable bounds of value and frequency of occurrence. If the offer or receipt of gifts, entertainment or hospitality is reasonable, of proportionate value and clearly in connection with matters related to our business they will normally be acceptable. These may include meals, tokens of appreciation and gratitude or invitations to events, functions, and other social gatherings

Never acceptable
Circumstances which are never permissible include examples that involve:
 A ‘quid pro quo’(offered for something in return outside of what is acceptable as part of a
normal business transaction)
 Gifts in the form of cash/or cash equivalent vouchers
 Entertainment of an inappropriate nature

As individuals who work on behalf of Unit4 we all have a responsibility to help detect, prevent and report instances not only of bribery, but also of any other
suspicious activity or wrongdoing. Unit4 is absolutely committed to ensuring that all of us have a safe, reliable, and confidential way of reporting any suspicious activity.

If people are concerned that a corrupt act of some kind is being considered or carried out – either within Unit4, by any of our business partners or by any of our competitors – they must report the issue/concern to their Line Manager. If for some reason it is not possible to speak to their Line Manager, please then report it to another Senior Manager, the Legal or HR department. In the event that an incident of bribery, corruption, or wrongdoing is reported, the Company will act as soon as possible to evaluate the situation and take appropriate action. Via the existing whistleblower policy and the online reporting tool, employees may submit complaints and report violations on an anonymous basis without fear of the complaints leading to disciplinary action.

The code of ethics and business conduct training is compulsory for all employees in the form of e-learning.

Unit4 follows a yearly review cycle, with period reviews by senior management and key metrics being reported at group level and to our stakeholders and private equity owners in the form of an ESG survey. Each incident and legal case relevant to anti corruption is being handled diligently by cross functional teams composed of legal, HR and functional/local leadership - the number of yearly cases reported is very low, and no incident has been reported since 2018.