Language: Chinese / English

Corporate Social Responsibility

Implementation of Corporate Governance

1. All Company operations adhere to the law and corporate governance is being progressively implemented. A set of “Corporate Social Responsibility Best Practice Principles” has been adopted and the Company shall constantly monitor and review developments in domestic and foreign CSR standards as well as changes in the business environment so that the CSR system established by the Company. A dedicated unit has also been established to periodically review CSR implementation.

2. “Corporate Governance” is governed by “Corporate Regulations” including “Corporate Social Responsibility Best Practice Principles”, “Rules of Procedure for Shareholders Meetings”, “Rules of Procedure for Board of Directors Meetings”, and “Remuneration Committee Charter”.

3. The President’s Office is the Company’s full-time unit for CSR promotion. The President assigns management units to CSR promotion tasks. Each department then provides any necessary assistance based on their respective functions.

4. Education and training for directors is regularly arranged by the Company. A variety of open channels are also used to promote corporate ethics.
All members of the Board of Directors undertake continuing education courses and provide the relevant proof of continuing education. Other management regulations such as employee work rules and internal controls on salaries and performance have also been adopted. The relevant laws, regulations and company rules are now applied to recruitment, performance evaluations, rewards and disciplinary actions.

Implementation Effectiveness

●2015 outcome: Ranked in the top 35% of the TPEx-listed companies in the 2nd Corporate Governance Evaluation.
●2016 outcome: Ranked in the top 20% of the TPEx-listed companies in the 3rd Corporate Governance Evaluation.

Development of a Happy Workplace

 

1. The Company has adopted employee work rules and implemented a pension scheme in accordance with the relevant labor laws and regulations to protect the legal rights of employees. An Employee Welfare Committee has also been established to manage employee benefits.

2. The Company provides employees with a safe working environment as well as safety and health training. These help to prevent occupational injuries by reducing the risks to employee safety and health. Employees are also enrolled in labor, health and group insurance schemes. Health examination organizations are engaged to conduct employee health examinations on a regular basis.

3. The Company provides employees with a fair and equal workplace free from discrimination and harassment.

4. The Company has open channels in place for employee communication. Employee are provided with information and the opportunity to voice their opinions on the Company’s business management, decisions and planning.

5. “Employee Benefits”

Employee Benefits and Implementation

  • Contributions to Labor Insurance, National Health Insurance and pension funds.
  • Festival bonuses/gifts.
  • Employee discounts.
  • Employee benefits such as birthday bonus, wedding bonus, childbirth stipend, funeral/bereavement condolence payment.
  • Employee health exams.
  • Opportunities to work overseas.
  • Sound career development opportunities.
  • Annual and performance bonuses.
  • Prenatal checkup leave for female employees and paternity leave for male employees.
  • Employee cafeteria and other measures.
 
Employee Development and Training
The Company offers a range of professional in-service training programs tailored to different competencies to enrich employees’ professional ability.
 
Pension Scheme and Implementation
The Group’s pension schemes are based on the local laws and regulations at each company location.
  • For companies within the Republic of China: 
    Regular contributions are made to the labor pension fund and deposited in a dedicated account with the Bank of Taiwan in accordance with the Labor Standards Act. A new labor pension system took effect on January, 2005. Under the Labor Pension Act, for those who select the new system the Company must make a contribution no less than 6% of the employee’s monthly salary to their pension account. Retirements must also be handled in accordance with the Labor Pension Act to safeguard employees’ life after retirement.
    Employees of the Company may apply for retirement under the following circumstances in accordance with the Labor Standards Act:
    • Those who have worked for over 15 years and are at least 55 years old.
    • Those who have worked for over 25 years.
    • Those who have worked for over 10 years and are at least 60 years old.
  • For companies within China: 
    The Company makes employee endowment insurance contributions in accordance with the local laws and regulations.
 
Labor Agreements and Mechanisms for Safeguarding Employee Rights and Interests
All Company regulations are based on the Labor Standards Act and two-way communication with employees is emphasized. There has been no major labor disputes requiring arbitration to date but the Company will continue to strengthen communication and coordination between employees and the management. Employee benefits will also be enhanced as much as possible to promote more harmonious employer-employee relations and minimize the chance of labor disputes.
 
Working Environment and Personal Protection for Employees
  • The Company sets great store by a clean and comfortable working environment. Employee safety at work is emphasized as well. Safety measures include access control, building security, surveillance cameras, and floor restrictions on elevators. Benefits that help employees live a settled life are also used to build a relationship based on mutual trust and support.
  • Disinfection of common areas and fire drills are carried out every year. Safety & health education is conducted on an ad hoc basis. Annual fire safety inspections are also conducted.
  • Prospective employees undergo physical examinations in accordance with the “Occupational Safety and Health Act.” Employees also undergo regular general health exams. The data is then compiled by human resources units to check on employees’ well-being at appropriate times to emphasize the importance of employee health to the Company.

 

Protection of Public Welfare

In keeping with the philosophy of “giving back to society”, the Company considers CSR to be one of its core values. The Company therefore supports a variety of public welfare initiatives and actively sponsors related social welfare institutions, public interest organizations and disadvantaged groups. The sponsorship span fields such as charities, art & culture, sports, environmental protection and education. Related accomplishments are as listed below:

 
YearFiles
2016
2015
2011-2014

Disclosure

1. The Company has set up a website to provide disclosure on financial activities and corporate governance information.
Our corporate website is located at www.pili.com.tw. Dedicated personnel have been assigned to handle the disclosure of information related to financial, business and corporate governance activities.
2. Other disclosure methods used by the Company
The Company has established a comprehensive spokesperson system in accordance with the law. Chairman Wen-Chang Huang is the Company spokesperson with CFO Chung-Lin Kuo is the deputy spokesperson.
All presentations given by the Company when hosting or attending investor conferences will be published through the  Market Observation Post System website or our corporate website for public viewing.

Introduction

A set of “Corporate Social Responsibility Best Practice Principles” has been adopted by the Company to fulfill our corporate social responsibility and to promote the balanced, and sustainable development of the economy, society and environment.
The Company shall take social morals as well as the rights and interests of stakeholders into account during CSR fulfillment. Due consideration shall be given to environmental, social and corporate governance factors during the pursuit of sustainable development and profits. These factors shall also be incorporated into the management and operation of the Company. Open channels of communications shall be maintained with correspondent banks and other creditors, employees, consumers, suppliers, local community, or other stakeholders so that stakeholder feedback can be heard and responded to in a timely manner.

Communication Channels

  • (I) Investor Contact Information
    The Company has established a Shareholder Services Department (Contact: Ms. Lin, Tel: 02-8978-0555 ext. 2901) to serve as a bridge with shareholders. Information is provided to investors as part of our transparency efforts.
    To maintain sound relations with investors, a company spokesperson system has been set up to provide a point of contact for shareholders and institutional investors. In addition to investor inquiries (please click on Shareholder Services: Contact), the Company participates in investment forums held by local and foreign brokers. Investor conferences at also held on an ad hoc basis.

  • (II) Customer Service/Supplier Contact Information
    Customer service: Customer feedback is valued by the Company and are processed by a dedicated unit to provide customers with the best service and to safeguard their interests.
    Suppliers: The past environmental and social record of new suppliers are examined before acceptance. Suppliers must also adhere to the Company’s environmental policy and work together to enhance CSR through the environmental compliance of products.
    Contact windows (please click the following links):
    Customer Service
    Business Proposals
    Partners
    Advertising

  • (III) Consumer Contact Information
    The Company complies with the relevant laws and regulations on the marketing and labeling of products and services.
    Customer service center:
    Contact number: 0800-880-868
    Business hours: Mon ~ Fri
    9:00~12:30, 13:30~18:00
    Customer service e-mail: product@pili.com.tw

  • (IV) Employee Information
    Employees of the Company wanting to know about company regulations and announcements should refer to the intranet and internal notice board. Please direct any suggestions to the Human Resources Department (Mr. Reen, Tel: 02-8978-0555 ext. 1603).

  • (V) Whistle-blower Mailbox
    The Company expects honesty in all business activities. All forms of corruption and fraud are strictly prohibited. The “Code of Ethical Conduct” and “Procedures for Ethical Management and Guidelines for Conduct” have been adopted to provide Company stakeholders with a better understanding of our code of ethics and ethical business policy.
    Please contact us if you believe that an employee or representative of the Company may be engaged in behavior that breach our Code of Ethical Conduct or Procedures for Ethical Management and Guidelines for Conduct. A dedicated unit that reports to the Company’s Board of Directors shall be assigned to handle your report.

    Attention:
    》Please provide your personal details including name, telephone number and e-mail when making a report. This will helps us get into contact with you as part of the investigation.
    》Please do not make untrue claims out of malice or on purpose as you may be held legally liable.
    》Please provide as much information or documentation as possible to help us investigate and resolve the problem as soon as possible.
    》Please do not disclose any of our correspondence with you regarding the reported matter to other parties. Unless required by law, you may not use the contents of any Company correspondence with you as the basis or evidence for litigation.
    》The Company will take appropriate measures to safeguard any personal contact information you provide unless otherwise specified by law.

    If you understand and agree to the above conditions, please make a report through this e-mail address: public@pili.tw.
    Stakeholder Contact: Ms. Lin
    Tel: 02-8978-0555 ext. 2901
    Fax: 02-8978-0666

The Company shall adhere to the relevant environmental laws, regulations and international standards in protecting the natural environment in an appropriate manner. Operational and internal management activities shall also strive to accomplish the goal of environmental sustainability.
 

Environmental Policy

Environmental protection is an important component of CSR. Due to the impact of climate change on business activities, the Company takes an active interest in energy conservation, carbon reduction and greenhouse gases (GHG) reduction. The following management strategies have been adopted to provide all employees with a guide for compliance:
 
  • Cooperate with government environmental protection and occupational safety & health laws/regulations to fulfill our CSR.
  • Promote environmental protection, safety and health education as well as actively promote environmental and health management.
  • Actively remind employees to turn computers and lights off after work to conserve energy.
  • Identify management blind-spots through self-inspections or ad hoc audits. Engage in continuous improvement to enhance operational safety and environmental quality.
 

Environmental Safety Policy

Compliance is the basic requirement of Company controls. The sustainable development goals of the Company are the reduction of environmental pollution and risk of occupational injury, the effective utilization of resources, as well as providing employees with a safe and health environment. Continuous improvement is practiced to realize the above goals with a focus on:
 
  • Compliance with regulatory requirements
    Adhere to the relevant national environmental, safety and health laws and regulations while also pushing for compliance with environmental, safety or health regulations in the terms of contracts that the Company signs with suppliers.
  • Promotion of environmental safety awareness
    Conduct ad hoc environmental safety and health education to enhance employees’ environmental safety and health awareness as well as promote participation and implementation in environmental safety and health initiatives.
  • Consultation and communication
    Strengthen employee consultations to communicate policies and related information as well as provide appropriate feedback.
  • Continuous performance improvement
    Engage in continuous improvement to prevent injuries and unhealthy practices. Goals and plans are drawn up by the responsible units then education and promotion are used to achieve continuous improvements in environmental protection and occupational safety & health performance.
 

Energy Conservation and Carbon Reduction

To support the government’s goals on the promotion of renewable energy, the Company installed solar panels on the factory at Tuku, Yunlin, in 2015. The solar power generated is fed back into the grid to replace existing sources of electrical power. This will hopefully maximize our contributions to environmental protection and sustainable development.

Inventory of carbon reduction:

2016
Carbon reduction (kg)
Equivalent number of trees planted
Electrical tariff savings
Approx. 256kg
1,488 trees
Approx. NT$222,000

A 1% increase in energy conservation and carbon reduction over 2016 is planned for 2017.