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Cemig’s employees engagement and climate survey

.Cemig recognizes the importance of people for the success of the Company’s business strategy, competitiveness, and prominence in the sector.

The engagement of employees with the Company’s strategy is essential for Cemig to achieve its long-term vision. At Cemig, people management includes monitoring staff, training, and increasing employee productivity, reducing the average cost of payroll, meritocracy, accountability, and the health and safety of company employees.

Cemig’s people management model is based both in its strategic planning and in Human Resource Policy. The model guides initiatives and programs geared at adding value to the business, aiming at gaining efficiency in people management and at quality assurance and availability of staff to provide services to consumers and the population of Minas Gerais.

Below are listed some of the major initiatives from 2020:

• Management Staff Adequacy Plan: Established the conditions for joining the Scheduled Voluntary Severance Program (PDVP). The Plan included only employees who were removed from their leadership positions (superintendents and managers). The dismissal and the possibility of joining the PDVP aimed at adapting Cemig’s organizational and cost structure;

• Basic Staff: Maintenance of a quantitative and qualitative in-house and outsourced staff by area, without compromising the quality of the services provided, in line with the business results (tariff coverage and personnel costs);

• Hiring of employees via public tenders, aimed at restoring the Company’s staff, mainly in essentially technical areas. That measure aimed at maintaining operational safety of essential activities and also support corporate actions, so allowing for an ongoing search for an increase in productivity and operational efficiency;

• Strong involvement of senior leadership in the topic of health and safety at work, including the holding of online seminars (webinar) addressing technical, civil and criminal liability for occupational accidents for owners, managers and technical officers of partner companies;

• Adoption of a series of measures to safeguard the health and physical integrity of employees and other collaborators. The measures are detailed in item 5.7 of this report;

• Application, in February 2020, of the Engagement and Climate Survey, with the objective of learning the aspects that show bond, connection and engagement, in order to bring objectivity to themes that may interfere in the corporate climate. 61% of the in-house employee staff participated, with a 66.1% favorable opinion percentage and pointing out there are major points to be worked on to improve employees’ perception.

• Launching of the cultural empowerment program, called Novas Energias (New Energies), which seeks to identify and promote a new culture that makes it possible to meet needs and obtain organizational results. Cultural mapping was carried out in July 2020, with participation of 49% of the in-house employee staff. In was possible to identify the Company’s strengths and the main challenges and goals to be outlined in the coming years.

Regarding the results of the Engagement and Climate Survey and culture mapping, one of the strengths identified is the employees’ feeling of belonging. As points for improvement, recognition and accountability practices were pointed out, greater clarity about the Company’s strategic drives and the development of leadership, among others.