Human Rights Policy
Chicony Electronics deeply understands and respects human rights as the cornerstone of sustainable corporate development. We strictly adhere to the “Universal Declaration of Human Rights of the United Nations” and the fundamental conventions of the International Labour Organization (ILO). To further align with international human rights trends and the requirements of the IFRS Sustainability Disclosure Standards, Chicony comprehensively revised and released a new edition of its “Chicony Electronics Corporate Human Rights Policy” in November 2025, significantly expanding the scope of human rights protection and demonstrating senior management’s strong commitment to the implementation of human rights governance. The Policy applies to all global operations and the value chain of our products and services, clearly stating that we do not discriminate against employees in hiring, remuneration and benefits, performance evaluation, and promotion based on factors such as race, gender, age, religious beliefs, or political stance. We continuously monitor the global trends in human rights regulations to ensure that our Chicony Electronics Corporation Human Rights Policy and practices are aligned with the latest international standards, therebysafeguarding the equality and integrity of employees’ labor rights.
We are committe to creating a fair, non-discriminatory, and safe working environment through the comprehensive implementation of Chicony Electronics Corporation Human Rights Policy. All workers (including permanent employees, contract employees, trainees/interns, and disadvantaged workers) are treated with dignity and respect, ensuring that every member of Chicony can experience equal treatment, workplace safety, and a sense of belonging. We have established diverse and smooth communication channels to ensure the effective operation of the human rights complaint mechanism. In 2025, there were no human rights-related complaint cases or disputes, highlighting the soundness and implementation of our human rights management system.
Human Rights Due Diligence
At the end of 2024, Chicony launched a comprehensive human rights initiative.In 2025, we collected quantitative data from the Taipei Headquarters and overseas manufacturing sites using revised questionnaires, conducting in-depth analysis of key human rights risks. In 2026, we plan to expand the scope to cover the supply chain and local communities. By continuously strengthening our human rights management and reviewing related policies, we aim to meet stakeholder expectations and advance our vision of "respecting human rights, creating shared value.”
Human Rights Risk Identification Proces
Human Rights Risk Identification Results
| Issues |
Locations of Factories Where These Issues Are More Likely to Occur |
Mitigation Measures | Remedial Measures | Management Objectives |
|---|---|---|---|---|
| Excessive Working Hours |
Taiwan China |
Policies and Systems ● Establish a Chicony Electronics Corporation human rights policy committing to reasonable production planning and ensuring ade-quate rest periods for employees. ● Ensure working hour systems comply with local labor regulations. Communication and Training ● Conduct anonymous employee surveys; employees may report in-voluntary overtime through the questionnaire to ensure all overtime is voluntary. ● Provide working-hour regulation training for production line super-visors in China facilities. Implementation Measures ● Forecast production orders in advance to enable reasonable overtime planning and workforce allocation, avoiding excessive overtime. ● Implement attendance system alerts that automatically notify em-ployees and supervisors when working hours exceed defined thresholds. ● Conduct occupational safety and health risk assessments to identify employees with abnormal workload (weekly working hours ex-ceeding 60 hours), and include them in monitoring and survey fol-low-up. ● Continuously train employees in multi-skill capabilities to enhance workforce flexibility and balance workload distribution. ● The Taiwan Headquarters implements a flexible working hours system, allowing employees to review their working hours via an online platform for self-management. |
● Overtime must be voluntary and pre-approved by the relevant business unit or production supervisor, with ap-proval from the highest site-level authority based on overtime hours and workday reports to monitor working conditions.
|
● 100% com-pletion rate of investigations into work-ing-hour re-lated com-plaints. ● 100% fol-low-up rate for employees identified as at-risk of ex-cessive working hours. ● 100% com-pletion rate of training for production line supervi-sors in China on work-ing-hour regulations. |
| Unequal Pay for Equal Work |
Taiwan China Thailand |
Policies and Systems ● Establish a human rights policy committing to equal employment opportunities, prohibiting all forms of discrimination, and ensuring fair and reasonable compensation and benefits. Communication and Training ● Include human rights policy communication in onboarding training to ensure employees understand their rights and related protections. Implementation Measures ● HR develops compensation strategies based on market benchmarking, taking into account job grade, expertise, responsibilities, and performance. ● Promote a performance-based compensation structure. ● Monitor pay equity indicators and regularly disclose gender pay gap data. |
● Establish employee complaint channels, including a whistleblowing mailbox and employee feedback system. In case of disputes or rights vi-olations, cases are handled in accord-ance with the “CEC Whistleblowing Mailbox Policy,” by the Audit Office. |
● 100% completion rate of annual human rights policy training for all employees. ● 100% completion rate of investigations into pay inequalityrelated complaints. |
| Workplace Harassment and Sexual Harassment/ Violence and Harassment |
Taiwan Thailand |
Policies and Systems ● Established the "Procedures for Prevention of Occupational Violence" and the "Workplace Sexual Harassment Prevention, Complaint and Disciplinary Management Regulations," assigning responsible units for unlawful infringement prevention and management. ● Established the "Procedures for Prevention of Occupational Violence" and the "Workplace Sexual Harassment Prevention, Complaint and Disciplinary Management Regulations," assigning responsible units for unlawful infringement prevention and management, and establishing formal procedures for handling workplace violence incidents and sexual harassment complaints. Communication and Training ● Promote zero tolerance for workplace violence, requiring managers to lead by example and strengthen supervisory roles. Employees are encouraged to immediately notify relevant units to commence an investigation upon discovering any incident of harm. ● Provide hazard prevention and communication skills training for new hires and existing employees; supervisors also receive training in communication and problem-solving to enable early detection and response. Implementation Measures ● Conduct risk assessments every three years to identify high-risk groups and establish corresponding control measures and timelines. ● Review whether the workplace's physical environment and facility design are safe and comfortable — for example, adequate lighting and noise reduction — to prevent these conditions from becoming potential triggers for unlawful infringement. ● Appropriately allocate workload and manpower to prevent unlawful infringement incidents caused by work-related stress or personal relationships. |
● When an employee encounters a suspected workplace unlawful infringement incident, we take immediate action, assisting the victim with relocation or medical treatment, initiating grievance procedures, and implementing disciplinary action against the perpetrator, such as reassignment or dismissal. ● Occupational health staff and HR supervisors follow up with the victim, offering work adjustment recommendations, psychological counseling, and medical assistance coordination. ● Following the incident, strengthen training on workplace and sexual harassment to help employees understand how to prevent and respond to such incidents |
● 100% annual completion rate of work-place harass-ment and sexual har-assment pre-vention train-ing (2 hours per employ-ee). ● 100% com-pletion of workplace vi-olence risk assessments every three years in com-pliance with ISO 45001. ● If any related grievance oc-curred, we ensures that 100% are investigated, handled, and closed. |
| Workplace Safety and Health |
China Thailand |
Policies and Systems ● Establish EHS policies and an occupational safety and health management system, maintained by dedicated personnel and certified under ISO 45001, CNS 45001, and GB/T 45001. ● Establish a safety production organizational structure to enhance safety management capability. ● Implement incident reporting, emergency response, investigation, and corrective action procedures to minimize impacts on people, property, and the environment. Communication and Training ● Provide occupational safety and health training, including injury prevention, emergency response, and personal safety. ● Conduct quarterly Top Interview meetings between senior management and frontline employees to collect feedback on operational needs. Implementation Measures ● Periodically assess whether the workplace environment and work area design are safe and comfortable, and whether required PPE is complete and functioning. ● Identify high-risk health factors to monitor employees' health status. ● Conduct regular health assessments and follow up on employees with abnormal conditions. ● Conduct irregular site audits, review results at monthly meetings, and issue timely reminders and corrective actions. ● Strengthen mechanisms for preventing unlawful workplace conduct. ● Promote mental health initiatives to strengthen employees' psychological resilience. ● Implement health promotion initiatives and facilities to encourage participation and well-being. |
● Follow internal procedures for reporting, investigating, and reviewing occupational accidents. Provide appropriate support based on severity—medical assistance, job adjustments, or financial compensation—and implement corrective measures to prevent recurrence. ● Enhance protective equipment, safety measures, and work methods based on incident analysis, and strengthen safety promotion and policy development for relevant colleagues. |
● Establish KPI indicators for Frequency Rate (FR) and Severity Rate (SR) at Headquarters and sites. ● FR and SR indicators were incorporated into 2026 EHS KPIs, with benchmarks based on national statistics released by the Ministry of Labor in 2024. ● New employees receive three hours of occupational health and safety training, achieving a 100% completion rate. ● Achieve a 100% investigation rate for occupational accidents to fully identify and understand incident causes. ● Maintain the site's 100% compliance with ISO 45001. |
Note: Based on relevant international human rights research reports, and considering that Taiwan and Thailand commonly use different terminology for this human rights issue, the topic “Workplace Harassment and Sexual Harassment/ Violence and Harassment” is respectively referred to as “Workplace Harassment and Sexual Harassment” and “Violence and Harassment.
Employee Communication
Chicony Electronics upholds a communication culture of "openness, transparency, and responsiveness," and has established comprehensive employee communication and grievance mechanisms. We believe smooth, effective communication is a core foundation for sustainable talent management and organizational health. We are committed to establishing diversified, effective communication and consultation platforms across all global operating sites in accordance with local regulatory requirements, and where necessary, exceeding regulatory standards based on operational needs — ensuring everyemployee's voice is fully expressed and meaningfully addressed.
Chicony fully respects employees' rights to freedom of association and collective bargaining. These rights are explicitly protected as core employee rights under our "Human Rights Policy," reflecting our active implementation of the UN Guiding Principles on Business and Human Rights (UNGPs) and the Responsible Business Alliance (RBA) Code of Conduct. We adopt a "localized implementation with equivalent protection" approach, establishing legally compliant communication mechanisms tailored to the legal environments and cultural characteristics of each location while ensuring equivalent employee protection. The four manufacturing sites in China have established grassroots labor unions in accordance with local regulations, demonstrating full legal compliance. Taiwan HQ and CET have established statutory alternative communication mechanisms, ensuring collective bargaining rights are not diminished in the absence of labor unions through balanced employee representation. At CEZ, consultation is implemented through the Human Resources function and government-regulated wage frameworks.
Labor Union Operations in Various Factories
| Factory | Taiwan | CEM2 | MR | CEM3 | CEM5 | CET | CEZ | ||
|---|---|---|---|---|---|---|---|---|---|
| Total number of employees |
|
574 | 1,530 | 6,830 | 2,131 |
No labor union established; however, Employee Welfare Committee meetings are regularly convened for employee communication. |
The Czech plant has not established a labor union; employees pursue salary adjustments through HR or the Czech government. |
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Representative of the Committee or Union Chairperson |
Union Chairperson: 1 person Chief Auditor: 1 person
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15 | 11 |
Union Chairperson: |
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| Contact person for labor union in factories | Union Chairperson: 1 person Union Chairperson: 1 person |
Union Chairperson:
Union Chairperson: |
Union Chairperson:
Union Chairperson: |
Union Chairperson:
Union Chairperson: |
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Through diverse and systematic communication and grievance mechanisms, Chicony Electronics is committed to fostering an open and transparent organizational culture that protects employees' rights to expression and labor protections, promotes harmonious labor relations and sustainable development, and embodies the Company's people-oriented values.
Employee Engagement Survey
As a corporate citizen committed to sustainable development, we firmly believe that employee well-being is fundamental to our long-term business sustainability. Chicony upholds the core value of being "people-centric," regularly listening to employee voices and continuously creating a superior work environment.
In April 2025, the Company's ESG Sustainability Office conducted the 2024 annual employee opinion survey for the Taipei headquarters, facilitating in-depth communication and interviews on critical issues and formulating improvement plans. The employee opinion survey covered five key dimensions: compensation and benefits, work environment, career development, workplace culture, and well-being and engagement. The survey scope included all employees at the Taipei headquarters, achieving 100% coverage in the Taiwan region with a total of 551 colleagues participating, resulting in a response rate of 71.47%.
This marks the Company's first comprehensive employee satisfaction survey, establishing baseline year data. Survey results indicate an overall satisfaction score of 3.75 (on a 5-point scale), with the work environment dimension performing most impressively at 4.01 points, demonstrating our dedication to creating a friendly workplace environment. We also recognize areas for continuous improvement, particularly in career development and compensation and benefits. In response to the survey findings, the Company has formulated concrete improvement plans, with special focus on enhancing career development and compensation and benefits dimensions, to continue building a superior work environment and implementing our people-centric core values.
Survey Information
- Target: All employees at Taipei headquarters
- Topics: Compensation and benefits, work environment, career development, workplace culture, and well-being and engagement
- Number of respondents: 551
- Coverage rate: 100%
- Survey administrator: ESG Sustainability Office
- Survey frequency: Annual
- Survey period: January 1, 2024 to December 31, 2024
- Overall satisfaction: 3.75 points (minimum 1 point, maximum 5 points)
- Survey results: This is the Company's first comprehensive employee satisfaction survey, with an overall satisfaction score of 3.75 points. Performance by dimension: Work Environment (4.01 points), Workplace Culture (3.84 points), Well-being/Engagement (3.71 points), Compensation and Benefits (3.63 points), Career Development (3.56 points).
Based on the latest annual employee opinion survey results and addressing issues of employee concern, the following improvement measures were planned and implemented in 2025:
- Optimization of Attendance and Working Hours System:
Overseas Business Trip Overtime Reporting Mechanism: To address employee feedback regarding difficulties in reporting overtime hours during overseas business trips, the company has planned a new processing method. In the future, employees may use travel certificates and overtime forms as the basis for applying for compensatory leave.
Implementation of Flexible Attendance Mechanism: A flexible working hours system is provided, allowing employees to independently adjust their working hours within the company's designated flexible time slots according to individual needs and job nature, balancing work efficiency with personal time management. - Employee Physical and Mental Health Care:
To safeguard employee physical and mental health, the company has implemented an Employee Assistance Program (EAP), proactively partnering with professional psychological counseling institutions to provide confidential psychological, health, legal, and financial counseling services to employees, in compliance with Article 13 of the Occupational Safety and Health Act's Regulations on Worker Health Protection. Through professional support, we reduce employee psychological stress, create a friendly workplace environment, and enhance work efficiency and retention rates. - Leave and Attendance System:
To demonstrate care and emphasis on new employees, the company provides benefits superior to those mandated by the Labor Standards Act, offering new employees three days of special leave immediately upon employment without requiring tenure accumulation. This considerate measure allows new employees to properly manage personal affairs while adapting to their new environment, helping colleagues achieve work-life balance. - Career Development and Training System:
To encourage colleagues to pursue continuing education and enhance professional competencies, the Human Resources Department will proactively remind department supervisors to reassess the salary levels of employees who have completed academic advancement or obtained professional certifications. Supervisors may, based on individual circumstances, submit salary adjustment recommendations through the approval process to incentivize employees to actively participate in professional training and apply their learning to current work and future career development.
We not only pursue operational performance growth but also emphasize comprehensive employee development and well-being enhancement. Through systematic satisfaction survey mechanisms, we continuously review and optimize human resources policies, building a more inclusive and supportive workplace culture. As a responsible corporate citizen, we commit to transforming survey results into concrete action plans, working hand-in-hand with all colleagues to create a better work environment and realize a win-win vision of sustainable development for both the enterprise and employees, ensuring that every employee not only works here but also actualizes personal value and grows together with the company.
