HUMAN RIGHTS – THE WEAKEST LINK IN SUPPLY CHAINS? Exhibit 3: Escalating human rights issues at Starbucks August 2022 February 2023 March 2023 The Sustainability AllianzGI’s request to AllianzGI announced Research team highlights engage with Starbucks publicly that it intends to serious issues regarding did not resolve these issues. support the shareholder Starbucks’ union rights proposal on worker in the US. rights at Starbucks* Source: Allianz Global Investors, March 2023 *Read more on this engagement case Shaping human rights engagement 3. Prevention, mitigation, and remediation measures: these measures should be clearly identi昀椀ed in the risk Our proprietary framework for engaging with companies assessment. on human rights in supply chains draws from the OECD 4. Performance tracking and monitoring: periodic due diligence guidance for responsible business conduct audits of human rights performance using speci昀椀c key and is based on the 昀椀ve pillars of human rights action that performance indicators. we look for in companies: 5. Communication and reporting: a full disclosure on human rights due diligence including results of audits 1. Human rights policy: a clear commitment regarding the and remediation measures implemented. respect of human rights at the company and across the supply chain, with a clear governance structure. For each of these 昀椀ve pillars, we developed relevant 2. Risk assessment: a detailed and quanti昀椀ed risk questions that all companies should be able to apply (see assessment by country, organisation, activity and examples in Exhibit 4). These ensure a framework that product. enables companies to demonstrate the materiality of human rights in their supply chains. Exhibit 4: Sample questions from our human rights engagement framework Prevention, mitigation & Performance tracking & Communication & remediation measures Monitoring Reporting Human Rights Policy Risk Assessment What does the Has the company Has the company Has the company To what extent is the company say publicly identi昀椀ed and integrated human implemented company transparent about its commitment disclosed its actual rights issues in its risk mandatory audits for regarding its human with respect to human and potential human management? In all new suppliers? rights objectives and rights? rights risks by type and suppliers contracts? outcomes? correspondent risk level? Source: Allianz Global Investors, October 2023 Our engagement is focused on sectors that have a high metrics (eg, severity of human rights incidents, number of impact on the rights of workers, and is guided by the supply chain incidents and controversy 昀氀ags) to identify European Directive on Corporate Sustainability Due which of our investments are 昀氀agged for most extreme Diligence (see Exhibit 5). Using this sector analysis, we map controversies. our holdings across all asset classes to a combination of 4