01 June 2018 1 Promotion - PowerPoint Presentation

01 June 2018 1 Promotion: Upward moment of an employee from their current job to another job that is higher within the organizational structure. This typically comes with increased responsibility, complexity, volume and/or compensation. Examples: PT Sales Associate at Oglethorpe Mall is promoted to the PT Sales Lead role FT Sales Lead at Palisades Mall is promoted to the Assistant Store Manager at Garden State Plaza Transfer: Lateral movement of an employee from their current job to another job that is comparable within the organizational structure. This typically comes with similar responsibility, complexity, volume and/ or compensation. Examples: The Store Manager at Oglethorpe Mall transfers to the Store Manager role at Hilton Head Tanger Outlets The PT Sales Lead at Palisades Mall transfers to the FT Sales Lead role at Garden State Plaza Please refer to the following pages for additional information on promotions and transfers What is Internal Mobility?

01 June 2018 2 PANDORA encourages all employees to apply for transfers or high level positions for which they qualify. Qualifications for a transfer or promotion are as follows: In role with O&O for at least 1 year Meeting company standards for individual performance metrics Satisfactory performance record Including but not limited to, no active CAF’s or PIP and a rating of “Key Contributor” or “Role Model” on most recent performance reviewAdditional qualifications for current ASM or SM:Current store must be in good standing Performance metrics must be meeting company standardsFully staffed or succession plan/ talent identified for backfill Application process: Employee must notify current supervisor and/ or District Manager before applyingEmployee must complete an internal application and submit to their DM and HR Recruiter, copying their supervisor and HR Generalist Current supervisor and/ or District Manager must validate qualifications and provide a recommendation Additional Notes All open FT jobs will be posted internal (Weekly Communication) and externally Internal and external applicants will be considered for all open roles Each application will be assessed on an individual basis depending on the needs of the store(s) and whether the employee’s skills fit the requirements of the desired job Exceptions to the qualifications may be made with VP and HR approval Internal Mobility guidelines

01 June 2018 3 Once the internal application is received: Current supervisor/ DM must ensure that the internal candidate meets all qualificationsCandidate goes through interview cadence belowAn interview evaluation form must be completed following each interview Internal candidates will not complete a Caliper AssessmentPromotion – interview process Position Applied For DM Interview SM Interview HR InterviewRSM OR VP of Retail Store ManagerX- If employee is viable candidate If employee is final candidate Assistant Store Manager X X If employee is final candidate - Sales Lead X X - -

01 June 2018 4 DM must solidify a transition date and timeline that ensures a seamless transition. The start date of their new position will be contingent on backfilling their current role If they are changing districts, hiring DM must partner with the employee’s current DM to ensure this transition plan does not compromise either store’s businessHR Recruiter will partner with Compensation team to discuss an offerDM will submit a proposal to hire to Vice President of Retail and HR Business Partner (HRBP), cc’ing RSM, HRR and HRG via email, including: Internal Application ResumeAll evaluation forms Information to support all qualifications are met Transition PlanCompensation data points: last incumbent’s rate of pay, the store’s ranges for this position Compensation proposalOnce receiving approval, the HRR will draft offer letter and HRBP will sign Hiring Manager will extend the offer Following the verbal offer, hiring manager will send the candidate an email with the offer letter cc’ing HRG and HRR (if applicable) Hiring manager will not approve any candidate requests (i.e. compensation negotiation, time off, etc.) without partnering with HR promotion – if internal candidate is selected as final candidate

01 June 2018 5 Once the internal application is received: Current supervisor/ DM must ensure that the internal candidate meets all qualificationsIf there is no change in hiring manager, no interviews necessary If there is a change in hiring manager, candidate goes through interview cadence below An interview evaluation form must be completed following each interview Transfer – interview process*if the employee is not changing districts, an interview with the DM is optional Position Applied For DM Interview SM Interview HR Interview RSM OR VP of Retail Store Manager X* - - - Assistant Store Manager X* X - - Sales Lead X* X - -

01 June 2018 6 DM must solidify a transition date and timeline that ensures a seamless transition The start date of their new position will be contingent on backfilling their current role If they are changing districts, hiring DM must partner with the employee’s current DM to ensure this transition plan does not compromise either store’s businessNo approvals are necessary, however, the DM will send an email to make the Vice President of Retail, the HR Business Partner (HRBP), RSM, HRR and HRG aware. The email should include: The candidate’s internal applicationThe candidate’s resume All evaluation forms (if any interviews took place)Information to support all qualifications are met Transition PlanThe HRR will draft offer letter and HRBP will signThe hiring manager will extend the offer to transferFollowing the verbal offer, the hiring manager will send the candidate an email with the offer letter cc’ing the DM, HRG and HRR The hiring manager will not approve any candidate requests (i.e. compensation negotiation, time off, etc.) without partnering with HRAdditional Notes: If there is a request to change compensation, additional approvals will be necessary If the employee is currently a PT Sales Lead and moving into a FT Sales Lead role, there is no pay change so it would follow the “transfer” process. An offer letter is required to reflect eligibility of benefits. Transfer – if internal candidate is selected as final candidate

01 June 2018 7 If employee is going from non-keyholder role (PT SA) to keyholder role (SL): New SM will create and submit a ZenDesk ticket to request a background check and drug screenHR will reply to the ticket with the results of the background check and drug screen A candidate is unable to start in their new role until HR has received satisfactory results of background check and drug screenBackground checks and drug screens cannot be expedited If the results are satisfactory, Hiring Manager will complete a PAF and submit a ZenDesk ticketAttached signed offer letter (if applicable) For all change in positions: Hiring Manager will complete a PAF and submit a ZenDesk ticketAttached signed offer letter (if applicable) HR Recruiter will submit an O&O Access to update the employee’s email and KWI Processing a transfer or promotion

01 June 2018 8 We want to create a culture that encourages internal candidates to explore new opportunities. However, if we do not choose these candidates for their desired role, we need to commit to giving them a better sense of why we made the decision we did - if we want to grow internal talent, we have to foster it.Hiring manager must turn down all candidates within 7 days of receiving an accepted offer. Remember the objective of this conversation is to let the candidate know they didn’t get the role and how they can get the role next time it becomes available.Provide open and actionable feedback.If the employee made it beyond the DM in the interview process, it is required that an IDP is completed by their current supervisor If the employee only interviewed with the DM, you can share feedback:Share the employee’s strengths that are essential to their success in desired role Share areas of development so that the employee can improve and increase their chances of getting promoted in the future. Commit to working with the employee to support their professional growth. Expand on the areas that prevented the employee from receiving the promotion, outline actionable ways to improve and how you can help themIf the employee is not on your team, share that their current SM or DM will follow up with them regarding this. Do not commit to anything that you cannot follow through on or guarantee will happen Be as specific as possible - A vague message can leave candidates feeling rejected and confused. We want to do all we can to help them maintain positive morale and retain them as an employee. Ensure they understand they’re still a valued employee even if they aren’t the right fit for the position These conversations can be difficult so it helps to be prepared – develop talking points, roleplay with a peer, your DM or HRG. If an internal candidate is not the final candidate