Financial intermediaries (FIs) are required to comply with the labour and working conditions requirements set out in Performance Requirement 2 (PR2) of the European Bank for Reconstruction and Development’s (EBRD) Environmental and Social Policy.1 These include developing and implementing an effective human resources (HR) management system that fosters sound employee relationships based on respect for workers’ rights. This guidance note explains PR2 policy requirements as they apply to FIs and provides practical examples of how FIs can demonstrate compliance. This guidance material is to be used in conjunction with the range of EBRD guidance notes designed to help FIs manage specific labour issues. This note refers to those documents as necessary throughout.