Human Resources Commitments

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    HUMAN RESOURCES COMMITMENTS

    Through its Declaration of Employees Fundamental Rights, Renault is committed

    to respecting employees worldwide and helping them to progress. It aims to

    foster a spiritofopenness, to ensure the full transparencyofinformation, and to

    be honest andfairin accordance with theRenaultCodeofGoodConduct,which

    commits the entire company to behaving in a responsible way. The human

    resources policy seeks to draw upon and develop the wealth of employee skills,

    which are key to Renaults performance. Personnel commitment, Group

    performance and social strategy are the three cornerstones of Renaults social

    strategy.

    Local HR function

    Human Resources is organized to have strong local presence, providing support

    for managers and listening closely to employees.

    Management quality

    Management quality is crucial to staff performance and commitment. Renault

    has a Group management system and corresponding training/coaching

    resources.

    Clear system for rewarding performanceThe annual performance review between employee and manager enables an

    objective measure of performance. For more consistency between results and

    remuneration, decisions on any changes are made directly after this meeting. At

    the same time, Renault has a motivating remuneration policy and profit-sharing

    agreement. Employees can also become shareholders, notably through the

    Group's savings plan.

    Collaborative innovationRenault stimulates practical ideas for progress and rewards employees who

    come up with best suggestions. The Renault Skills Programseeks to develop theskills of the future, which are crucial to the Groups competitive edge, the

    performance of its functions, and the employability of its staff. The Program uses

    several levers, including employment, mobility and training. The Group leads

    anactive employment policyto support international growth and pursue gains in

    productivity. Renault encourages mobility and ensures access to training to

    respond to Group needs and give each person the opportunity to realize his or

    her potential.Mobility support is strengthened by forward-looking resource

    management and the development of career paths.Employees worldwideis

    guaranteed access to training, regardless of age, status and job position.

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    Renaults social strategy respect Group employees. The principles of this

    strategy a strong factor of cohesion in a global group are based on

    the Declaration of Employees' Fundamental Rights. The Group fosters

    diversity and promotes equal opportunities for all its employees.

    Initiative for diversity

    Renault also encourages responsible,high-level social dialogueat all levels of the

    company.

    Relations with personnel representatives

    The Group looks after the health of its employees at all sites and provides themwith motivating work conditions

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    EMPLOYEE MOTIVATION PRACTICE IN RENAULT MOTORS

    - A PERSPECTIVE

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    V.KAVIN

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