Friendly Workplace
Workplace Diversity and Human Rights Policy
The Company respects and supports internationally recognized human rights norms and principles, including the Universal Declaration of Human Rights, the UN Global Compact, and the International Labor Organization's Declaration on Fundamental Principles and Rights at Work, and complies with the laws and regulations of the jurisdiction where the Company is located. In accordance with the United Nations Guiding Principles on Business and Human Rights, the Company has formulated the human right policy. The Company’s human right policy applies to the Company’s subsidiaries, foundations to which the Company’s cumulative direct or indirect contribution of funds exceeds 50 percent of its endowment, and other institutions or juristic persons that are effectively controlled by the Company (hereinafter referred to as “group enterprises and organizations”). In accordance with relevant laws and regulations, the Company regularly takes inventory of related forms and documents and reviews the legality of various operation processes.
| Workplace Diversity and Human Rights Policy |
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1. Diversity, Inclusion, and Equal Opportunity
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2. Safe and Healthy Work Environment
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3. Freedom of Assembly
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Compensation Policy
| Compensation Policy |
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1. Employees remuneration policy
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2. Managers remuneration policy
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3. Directors remuneration policy
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4. Independent Director remuneration policy
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Distribution of Employees
To establish a harmonious, friendly, and healthy working environment, Tung Ho Steel hires employees in accordance with Labor Standards Act, Act of Gender Equality in Employment and Occupational Safety and Health Act. As of the end of 2023, the total number of employees in Tung Ho Steel was 2,075, including 1,785 full-time employees (1,604 males and 181 females) and 290 males temporary employees Note 1. Senior management Note 2 are 100% Taiwanese nationals, and all employees are full-time employees. In addition, there were 5 staff members without guaranteed working hours and 258 non-employee workers note3.
The Company hired 63 indigenous employees (accounting for 3.1%) and 26 employees with disabilities (accounting for 1.3%), higher than the 1% standard of the government’s employment quota prescribed in the People with Disabilities Rights Protection Act. However, due to the characteristics of the iron and steel industry, there are more male employees, and the gap between the number of male and female employees is large. The number of people employed by the Company’s important operating bases in Taiwan increased by 137 compared with 2022, mainly due to the increase of the operating needs and the active investment in talent development.
Labor-Management Communication
The Company does not hinder the right to freedom of association Except for the Daya Works, enterprise unions have been established in all operating bases, with labor-management meetings being regularly held. Trade union members can elect labor representatives to participate in labor-management meetings for labor-management communication, coordination of labor-management relations and promotion of labor-management cooperation. In 2023, more than 93% of employees in the Company joined the trade union. In accordance with the Collective Agreement Act, the Company started a collective agreement negotiation meeting with the enterprise union in Miaoli Works in September, 2019, discussing matters concerning labor conditions, welfare measures, occupational safety, employee grievance systems, labor union organization operations, and the use of enterprise facilities. After nine negotiation meetings, the two parties signed a collective agreement on December 17, 2020. The validity period of the collective agreement was from the signing date till December 16, 2023, with a period of 3 years. A collective agreement renewal negotiation meeting was held in September, 2023, and the new collective agreement was signed on May 8, 2024. The Company has set up the Employee Welfare Committee and the Supervisory Committee of Workers' Retirement Fund, both of which have representatives elected by the enterprise union to serve as the committee members to supervise and protect the employees’ rights and interests.
Employee Benefits
Tung Ho Steel regards employees as the most important assets of the Company. In order to take full care of the employees and provide great working conditions to satisfy employees’ needs, we not only provide basic protection in accordance with legal requirements but also specifically provide or sponsor the promotion of welfare programs with establishment of the Joint Employee Welfare Committee among the major operating bases (including the Head Office, Taoyuan Works, Miaoli Works, Kaohsiung Works, Daya works, Taoyuan Fabrication Center, and Taichung Harbor Logistic Office) to organize various employee welfare activities and subsidies.
Talent Cultivation
To stimulate the potential of our employees and enhance their professional capabilities, we have provided diverse learning resources and channels, including the orientation training for new recruits, technical and professional training for various functions, management training for supervisors at all levels, and general education courses like languages and courses in arts and humanities. It is hoped that all employees can be in appropriate job fit through a complete education and training system to enrich the human resources of the Company. To encourage our employees to continue on-the-job learning to obtain more knowledge and skills, the costs for participating in education and training at home and abroad of the employees are 100% covered by the Company in accordance with the Education and Training Regulations. If the education and training courses are held beyond normal working hours, the employees can apply for overtime or switch shifts as prescribed.
For unfit employees, the Company has set up relevant measures for performance improvement. The supervisors assist the employees to jointly establish the improvement plans and take corresponding measures, and three to six months will be provided for improvement. We aim at achieving the purpose of enabling employees to be in appropriate job fit.
Employee career education and training system |
Orientation training for new recruits
Management training Professional functions training License training Safety and health training Human rights and corporate social responsibility-related training General education courses like languages and courses in humanities and arts |
Retirement System
The Company has set up the pension plan for the employees Note in accordance with the Labor Standard Act and Labor Pension Act and has approved the establishment of the Supervisory Committee of Labor Retirement Reserve. Actuarial calculation of the labor pensions of the old system is made year by year ( from 2015 to 2017 the allocation rate was 7%, and starting from 2018, the allocation rate was adjusted to 10%), and a meeting is convened regularly to protect the employees’ rights and interests. As of the end of 2023, the pension reserve has been sufficient to cover the pension of employees who are qualified for retirement in a year. A 6% of monthly contribution to the individual pension account in accordance with the Monthly Contribution Classification Table is made for employees eligible for the new pension system, and the voluntary contribution percentage ranges from 0%~6%. As of the end of 2023, employees applicable to the pension system accounted for 86%. Temporary employees are specific fixed-term contract personnel, and do not apply to the pension system.
Note: Please refer to P41 of the Individual Financial Statement for Q4/2022 for detailed information concerning labor pension.
