Icelandair Group Equal Pay Policy

The purpose of the Equal Pay Policy is to ensure gender pay equality in the Company through the implementation of an Equal Pay System. Icelandair Group commits to ensure that equal wages are paid for jobs of equal value, irrespective of gender. Enforcement of the Policy and ensuring full observance of gender equality in decisions on wages is the responsibility of management. The Executive Board of Icelandair Group will annually establish equal pay objectives based on measurements derived from a pay analysis. The Director of People and Culture is responsible for continuous improvements of the Company’s Equal Pay System and for monitoring the Equal Pay Policy. Icelandair Group's Equal Pay Policy is an integral part of the Company’s Human Resource Policy. The Equal Pay Policy is prepared in accordance with Act No. 10/2008 and the Equal Wage Standard IST 85.

Icelandair Group is fully committed to:

• Implement, document and maintain a certified Equal Pay System based on the IST 85 Standard;
• Observe applicable legal requirements that are in effect at any time and relevant to the Equal Pay System and confirm compliance on an annual basis;
• Conduct an annual pay analysis to compare jobs of equal value and ascertain whether any difference in wages is measured by gender and take action when necessary;
• Respond to unexplained gender-based wage differences;
• Present the Policy annually to all the Company’s employees;
• Ensure that the Policy is accessible to the public on the Company’s website;
• Establish and review equal pay objectives annually.

This Policy extends to all employees of Icelandair Group and its subsidiaries.