60-70% or so, limited by battle size also, I think.
Full damage on.
When on horse and armed with a bow/xbow with unlimited arrows supply the infantery (with no ranged option) can't do much.
There was a formation one could use (against archers) that protected against the initial volleys but that in not realy made to use against horse archery and also the unlimited arrow supply is a bit of a cheat (I realize that).
The most effective formation against the initials archery volley involved forming very closed rows of infantry,making them kneel-bend, with the first row having the shield stuck to the ground to protect the body from the front while the rest of the rows are using the shield above the head horizontaly to cover them (and the 1st row too).That's the most effective formation I know for the infantry to use at the start of the battle to protect against initial archery volley.I guess something like this would be hard to implement.
Against mounted archers infantry without ranged options can't do much, but they should spread and try to hinder the enemy movement and eventualy get to abrupt land or patch of woods.Or use the "thight wall/cover" I described here until the enemy runs out of arrows(but this doesn't happen in the game for me
). In this game the shields are leaving the head and sometimes the feet(depends on the shield) uncovered, but it's ok, no unit should be 100% fool proof against any of the other units - for balance.
It's called turtle formation I think, here's a pic
They're in movement here and they sacrifice some protection, but in the no moving(men semikneeled) version no arrows can harm this.
And description :
http://en.wikipedia.org/wiki/Testudo_formation