Sustainable Issues

Rongchuang views its employees as the most important asset, adhering to a people-oriented corporate philosophy. The company is committed to creating a friendly workplace and providing a safe, healthy, and comfortable working environment, enabling employees to focus on their tasks. Rongchuang has established comprehensive compensation and benefits programs, complies with labor laws, upholds human rights policies, and strengthens occupational health and safety management to protect employee rights. The company also offers complete educational training to employees, fostering a secure and happy workplace.

Employee welfare measures

1. Employee remuneration
The Company provides employees with remuneration based on their educational background, professional experience, job title, market conditions, and the Company’s profitability. Establish and implement reasonable employee benefit measures (including compensation, leave, and other benefits), and appropriately reflect business performance or results in employee compensation to ensure recruitment, retention, and motivation of human resources, achieving the goal of sustainable operations.
2. Workplace diversity and equality
As of December 31, 2024, there are 475 female employees, making up 68.15% of the total workforce. Among them, 16 hold managerial or higher positions, accounting for 29.63%, a slight increase compared to last year (27.2%).
3. Leave
The Company’s leave system complies with laws. Employees who need child-care or with serious injuries or illnesses are entitled to leave without pay and reinstatement upon expiration of the leave of absence. The Company also has a flexible working system to accommodate work and family care needs.
4. Allowances, gifts and subsidies
The Employee Welfare Committee is set up to plan and provide various benefits of high quality to employees, such as: Three major holiday gift vouchers, birthday vouchers, wedding/funeral allowances, maternity allowances, hospitalization allowances, and employee and children scholarships, emergency subsidies, domestic travel subsidies, employee subsidies for club activities, in addition to regular employee health check-up, physical and mental health seminars, employee cafeteria and other benefits.

The Company has established a clear remuneration policy. In addition to the three-festival bonus, if the Company makes annual profits, it shall allocate no less than 5% of the remuneration to employees, and the remuneration and bonuses shall be allocated according to individual performance evaluation results to achieve the purpose of motivating employees.

Occupational Health and Safety (OHS) Operations

1. The Company has set up medical offices at Hukou Plant and Siwei Plant with professional nurses to provide employees with necessary health and first-aid facilities, health education, and regular health examinations. The “Health Promotion Label” issued by the Ministry of Health and Welfare has been obtained. The courses offered for employees in 2024 are as follows:

Name of the course	Number of course hours	Total participants	Total training hours
ISO14001&ISO45001	2	9	18
ISO14064(一)	6	12	72
ISO14064(二)	1	10	10
Hazardous Materials and Dangerous Goods General Knowledge Course	3	66	198
Occupational safety and health training for managers at all levels	3	126	378
EHS certification courses(一)	3	8	24
EHS certification courses(二)	6	10	60
EHS certification courses(三)	12	3	36
EHS certification courses(四)	18	1	18
EHS certification courses(五)	102	1	102
Total	156	246	916

2. Commission a qualified testing agency to monitor the work environment every six months, and plan various safety and health education and training, conduct factory site inspections to explore potential risks, fire prevention training, and evacuation drills. The Company has obtained ISO 14001, ISO 45001, and TOSHMS certification. Implement safety and health management through PDCA’s continuous improvement spirit.

3. In 2024, there were 7 occupational accidents involving employees and 7 employees were injured, accounting for 1.004% of the total employees. All of them encountered traffic accidents on the way to and from work. 1 were factory injuries, and 6 were commute traffic accidents.

4. There were no fire incidents in 2024. The company does yearly fire equipment checks, quarterly self-inspections, and random weekly inspections.

Career Development and Skills Training Program

The Company establishes effective training programs for employees’ career development:
1. Provide newcomers with education and training to help newcomers understand the working environment and related rules and regulations as soon as possible.
2. Formulate the license management system and related measures. Employees must complete relevant training and pass the certification exam before they can operate the production machines independently.
3. According to the Employee Education and Training Management Regulations, the Company organizes various professional training on engineering and quality control to ensure employees’ professional competence in performing duties.
4. Organize managerial training according to the level of management (basic, middle, and senior) to assist and strengthen their organizational management skills.
5. Organize work ability and skill improvement courses to cultivate employees’ improvement of work efficiency and self-management ability.
6. Employees may apply for external training according to their needs, so as to understand market trends and the latest knowledge and technology, in order to improve work ability.

Employee retirement system and implementation

1. Old system: The Company established the “Organization Charter Governing the Labor Pension Reserve Supervisory Committee” in accordance with the Labor Standards Act. According to this, employees who started to work before June 30, 2005 are entitled to the old retirement system or the new system. 2% of the monthly salary is appropriated to a special account in Taiwan bank under the old system pension fund, and is supervised and managed by the Company’s “Labor Pension Reserve Supervisory Committee.” In October 2022, it was approved by the employer and the employee at the Supervisory Committee to settle the old pensions in accordance with Paragraph 3, Article 11 of the Labor Pension Act. The pension is paid out of the dedicated pension fund account at the Bank of Taiwan after approval by the Company’s labor affairs competent authority in Hsinchu County’s labor division. And the remaining funds in the labor retirement preparation account were approved for withdrawal by the competent authority in May 2023.
2. New system: For the employees who started to work on July 1, 2005, and the employees who were originally applicable to the old system and have opted to join the new system, the Company allocates 6% of their total salaries into the pension fund on a monthly basis in accordance with the “Labor Pension Act.”

Implementation of labor-management meeting

Rongchuang has a proven track record of harmonious labor-management relations. To further strengthen this relationship, we hold quarterly labor-management meetings where employees and management can discuss and address issues of mutual concern.

● Labor-Management Council

∨ Management Representatives: Appointed by the company from among senior executives.

∨ Labor Representatives: Elected by representatives from each department.

∨ Number of Representatives: An equal number of representatives from both labor and management.

∨ Term of Office: Four years for each term. Labor representatives are eligible for re-election.

∨ Meetings: Held quarterly. Meeting minutes are posted for all employees within one month.

Employee Care

Rong Chuang has established an Employee Welfare Committee based on the “Regulations for the Organization of Employee Welfare Committees” issued by the Ministry of Labor. This committee is responsible for managing the funding allocated for employee welfare and implementing various welfare measures. The committee plans a diverse range of welfare programs aimed at care, concern, and individual well-being. Examples include club activities, sports events, and Family Day, among others.

01. Improved Welfare Allowances

● Gift vouchers for Spring Festival, Dragon Boat Festival, Mid-Autumn Festival, Labor Day, and birthday vouchers.
● Provide marriage bonuses, funeral assistance, childbirth subsidies, hospitalization subsidies for illness or injury, and emergency relief funds.

02. Retirement System

● Old System: The company establishes a Labor Retirement Reserve Committee and a special account for labor retirement reserves per the Labor Standards Act. It allocates 2% of the total monthly salary of eligible employees into a trust account at Taiwan Bank, where the account balance is annually actuated. Employees meeting retirement conditions (1) with over 15 years of service and aged 55 or older, (2) with over 25 years of service, or (3) with over 10 years of service and aged 60 or older, can apply for retirement. The retirement amount is based on years of service and the average salary over six months prior to retirement, not exceeding 45 base amounts. The company ensures timely payment of retirement funds within 30 days post-retirement.
● New System: With the implementation of the Labor Pension Act starting July 1, 2005, the company contributes 6% of the employee’s insurable salary to the individual retirement account managed by the Labor Insurance Bureau. Employees can also voluntarily contribute within 6% of their monthly insured salary and deduct it from annual income.

03. Partnered Stores

● Partner with selected vendors to provide discounts and promotional information periodically.
● Offer gift vouchers for purchase.

04. Diverse Activities

The company regularly organizes various sports competitions, including basketball tournaments, bowling contests, and softball matches, promoting teamwork and camaraderie among employees.
● AOT Bowling Cup
● AOT Sports Season – Fun Baseball
● AOT Sports Season – Fun Volleyball Match

05. Rich Club Activities

AOT provides funding for clubs to promote health and leisure among employees, allowing them to find joy outside of work.

06. Family Day

The company invites employees and their families to participate in Family Day activities, emphasizing the importance of leisure and family bonding.

07. Annual Employee Health Checkups

Recognizing that excellent employees are the company’s greatest asset, AOT places significant emphasis on health, exceeding the labor health protection regulations for annual employee health checkups.

08. Flu Prevention Vaccination Activity

In response to the flu season, the company collaborates with medical units to provide flu vaccinations, strengthening employees’ immunity and reducing severe risk.

09. Blood Donation Activity “Donate Blood~Share Love~

AOT is committed to fulfilling its corporate social responsibility and regularly organizes blood donation drives every year. The company encourages employees to actively participate in these events, rolling up their sleeves to contribute to a good cause and offer heartfelt support to help save patients in need.

10. Awareness and Prevention Lectures on Ergonomic Hazards

AOT conducts health and injury analysis based on medical office reports and organizes relevant seminars and activities according to potential health risks to promote the physical and mental well-being of employees. Based on the analysis, a significant portion of employees reported muscle soreness. To address this, the company organizes seminars on ergonomics and injury prevention, educating employees on the importance of correct posture to prevent musculoskeletal injuries caused by improper positioning.

11. First Aid and AED Training Seminars

AOT has installed AED devices within the factory and conducts regular maintenance management. In addition, the company organizes annual first aid and AED training to equip employees with basic emergency response skills and knowledge. This ensures that employees are prepared to handle emergencies effectively, minimizing the risk of missing the critical window for rescue, and fostering a safe and healthy work environment for all.

12. Women’s Health Cancer Screening Activity

AOT is dedicated to establishing a gender-equal and friendly work environment, empowering women with their rights. In celebration of Mother’s Day in May, the company collaborates with the National Health Service and local health centers to offer free women’s cancer screenings. This initiative serves as a reminder to eligible female employees to take care of themselves, ensuring they don’t overlook important health checks.