Manulife US REIT-Sustainability Report 2020

• Employees complete a self- assessment on their pre-set objectives for the year • Employees review the ‘how’ and the ‘what’ in achieving each objective • Performance ratings and comments are given by managers to employees • Recommendations are given to the employees, such as applicable training programmes to aid in their professional growth • Employees to acknowledge the ratings and comments from managers to help adjust objectives for the next review We have established a funded programme to support our employees in attaining accredited certifications, such as the Capital Markets and Financial Advisory Services (CMFAS) Module 10 certification conducted by The Institute of Banking & Finance (IBF) Singapore. This is to ensure that our employees can remain relevant and are knowledgeable on REIT management matters. In 2020, two of our employees obtained the IBF Module 10 certification with MUST’s full support. Staff also received subsidies to attain other certifications such as the Certified Public Accountant license. Monitoring Employee Performance Performance reviews are conducted semi-annually to monitor the progress of our employees and to measure the effectiveness of MUST’s training programmes. Employees are required to perform a self-assessment on their achievements for the year together with their senior managers. The topics covered work performance, challenges faced and applicable training programmes that would aid in their professional growth. Talent Retention Engaging our Workforce In order to understand the needs and concerns of our employees, we continued to select different groups to be the AoC. As the voice of the staff, the AoC gathers feedback and ideas from their colleagues on preferred activities as well as changes they would like to see in the workplace. Despite COVID-19 in 2020, regular company cohesion activities were organised. This includes BOTH, an initiative where employees provide feedback over regular breakfast Zoom meetings. BOTH allows senior management to engage with staff and share business updates in an informal setting. AoC and BOTH have been successful in engaging our staff meaningfully. During our annual employee engagement survey in 2020, we not only achieved a 100.0% participation rate, but our scores, as assessed by the independent provider Gallup, Inc., also saw a significant improvement over the previous year. MUST’s average monthly recruitment rate for 2020 stands at 1.5%, slightly below the industry average of 1.8% 1 . MUST also recorded an average monthly resignation rate of 1.0% for 2020, half of its resignation rate of 2.0% in 2019 and lower than the industry average of 1.6% 1 . In 2020, MUST's annual turnover rate was 5.7%. Encouraging Stock Ownership Starting from July 2019, all Manulife’s employees in Singapore, including MUST’s employees were eligible for Manulife’s Global Share Ownership Plan. Employees may apply up to 5.0% of their annual base earnings towards the purchase of common shares of Manulife Financial Corporation (MFC). MFC matches a percentage of the employee’s eligible contributions capped at a certain amount. All contributions are used to purchase common shares in the open market and can be vested immediately. This initiative received a positive response from our staff and 52.9% of MUST’s employees participated in this programme in 2020. By providing an opportunity for our employees to share tangibly in Manulife’s success, we were able to cultivate an ownership mentality within our workforce. Including staff who were granted Restricted Share Units under the Long-Term Incentive Scheme, 82.4% of MUST employees are enrolled in employee stock plans under MFC/MUST. Recognising our Employees MUST believes that appreciating employees is key to a productive and healthy workforce. To show our appreciation, 19 June 2020 was designated Thank You Day, where all employees worldwide had a day off. In addition, in view of the challenges faced during COVID-19, all employees are allocated five extra leave days in 2021. Another initiative that was launched in 2020 was a global recognition programme, Podium. Podium allows for staff to recognise and be recognised. Since its launch, many of our staff have shown appreciation by nominating their colleagues for the award and others have also received recognition for their great work. The awards are tied to a point system, for redemption of electronics, sports, health and dining vouchers and more. Self-assessment Manager Review Employee Acknowledgement 1 Source: Ministry of Manpower. Average monthly recruitment/resignation rate during a quarter is defined as the average number of persons recruited/ resigned in a month during the quarter divided by the average number of employees in the establishment. Annual figures are the simple averages of the quarterly figures. 86 SUSTAINABILITY REPORT 2020 HUMAN CAPITAL