Talent Attraction and Retention

Talent
Attraction
and
Retention

Manpower Structure

The total number of employees in 2023 is 859, 848 people (98.7%) are local hires in Taiwan and 11 people (1.3%) are migrant workers from other countries (Thailand) due to particular job demand. Except for 6 people and the 11 foreign migrant workers who have signed fixed-term contracts (a total of 17 people) to meet specific job requirements, the rest of employees in CGPC are on indefinite contracts. 2023 CGPC companies (including subsidiaries TVCM and CGPCP, and excluding overseas investment affiliates. 100% manufactured in Taiwan, and the same applies to this section and latter.

In order to provide employment opportunities to disadvantaged individuals, 14 people with disabilities in 2023, representing 1.6% of the total workforce. This percentage exceeds the minimum requirement of 1% set by the People with Disabilities Rights Protection Act.

Male
773people
90%

Female
86people
10%

Average age

years old

Average tenure

years

Average salary

thousand

Median

thousand

Education higher than technical colleges

Manpower Structure

We prioritize internal recruitment and rotation within the Group to fill vacancies or accommodate business needs, organizational planning, or personnel resignations. When conducting external recruitment, we utilize human resources websites and the government's employment services center to search for talent. For vacancies in Toufen or Kaohsiung, we give priority to local hiring as a way to contribute to the communities.

In response to technological advancements and to enhance efficiency, we have been replacing old equipment in our factories with new ones, requiring personnel with relevant academic qualifications and operational skills. In 2023, we recruited new employees to compensate for retirements, and the majority of our new hires held either a bachelor's or master's degree. CGPC employed a total of 46 new hires in 2023, accounting for 5.36% of the total employee count.

2023 New hires statistics table

Male
Female

21-30
years old

31-40
years old

41-50
years old

51-60
years old

Over 60 years old

Talent turnover

In 2023, a total of 24 individuals left the company (excluding retirements or contract expirations), all of whom were male. The turnover rate, calculated as the number of people who left divided by the number of people at the end of the reporting year, was 2.79%. In order to mitigate talent attrition, the human resources department has set a turnover rate target of less than 3% (excluding transfers or retirements) to retain talent within the company and reduce the brain drain rate.

Brain drain from 2021 to 2023

Male
Female

2021

2022

2023

Salary and welfare

The CGPC salary system takes into consideration employees' educational background, specialization, technical expertise, and tenure experience. It ensures that there are no discrepancies based on gender, religion, race, political party affiliation, and other factors. In addition to the base salary, employees are entitled to receive performance bonuses, allowances for their positions, transportation, shift rotation, and other related benefits. They can also receive full-attendance bonuses, overtime pay, fixed bonuses, and year-end bonuses. (Please refer to our official website: Salary and benefits, Retirement system, Employee grievance channels).

Due to the nature of the petrochemical industry, there may be slight salary differences between male and female employees in the company for certain positions. However, in order to ensure stability within our workforce and retain talented individuals, we conduct annual salary adjustments based on the price index and personal performance. We also participate in salary surveys within the petrochemical industry to evaluate market rates and make appropriate adjustments and plans for employee salaries. On average, employees received a salary increase of approximately 4.1% in 2022. Additionally, we provide special raises to exceptional individuals who demonstrate outstanding performance, ensuring that our salary offers remain competitive in the market.

Friendly Workplace

Diverse, Equitable, and Inclusive.

We are committed to creating a friendly workplace where everyone can reach their full potential by respecting diverse genders, ages, and cultures.

We foster a diverse environment by embracing individuals from various backgrounds, races, genders, sexual orientations, abilities, and perspectives. We provide equal opportunities and treatment to all employees in a fair and inclusive manner to bridge the gap between different groups, ensuring that every employee is respected and accepted, and can fully participate and contribute. We continuously promote gender equality policies and prevent workplace harassment through education and training, striving to provide our employees with a dignified and friendly work environment.

In 2023, we implemented maternal and infant protection measures, designated parking spaces for pregnant women at CGPC Main Plant, and conducted risk assessments and prevention measures for workplace harassment, as well as friendly environment review meetings. (Please see the Human Rights Policy and Management Program webpage)

Welfare of health care

We have annual physical check-ups for all the employees and also equipped with fitness equipment and shower facilities in the head office, while each factory site is staffed with qualified nurses who provide healthcare and medical assistance to employees. Female employees are entitled to menstrual leave and are provided with dedicated spaces for breastfeeding. CGPC also collaborates with childcare and educational institutions to offer childcare services.

The factory site in Toufen provides dormitories for local employees, both single and for those with dependents, to accommodate long-term residence. The dormitory area is equipped with recreational facilities such as a basketball court, a table tennis room, and a lounge. Additionally, we also has dormitories for foreign workers, which are managed by dedicated personnel and include facilities such as a sports field and an entertainment room.

In response to the government's active promotion of fertility incentive measures and to fulfill our corporate social responsibility, the Group has implemented employee fertility subsidies. Under this scheme, employees or their spouses are eligible for a subsidy of NT$10,000 per child. If both the husband and wife are employed by the Group, they can individually apply for the subsidy. Additionally, employees can apply for parental leave at any time before the child reaches 3 years old, with a maximum leave duration of 2 years.

CGPC employees applied for parental leave in 2023

Item
Male
Female
Total

Annual Status
Number of people who are entitled to parental leave in the current year

63

4

67

Actual number of people who used parental leave without pay in the current year

1

2

3

Reinstated Status
A) Number of people who should be reinstated after the parental leave of absence without pay and were reinstated in the current year

1

2

3

B) Number of people who should be reinstated after the parental leave of absence without pay

1

2

3

Reinstatement = A/B

100%

100%

100%

Retention Status
C) Number of people still employed 12 months after reinstatement in the previous year

0

0

0

D) Actual number of people reinstated in the previous year

0

0

0

Retention rate =C/D

Employee Welfare

CGPC and its subsidiaries TVCM and CGPCP each has an Employee Welfare Committee, and each company allocates 0.05% to 0.15% of the revenue every month as the funding for welfare programs. In addition to gifts and vouchers for members, there are allowances for employee trips, children education, marriage, maternity, medical assistance, funeral, injury and others.

Events and Festivals

Due to the COVID-19 pandemic, the Company suspended some of the events (year-end celebration banquet, Christmas lunch, Mid-Autumn Festival party, etc.) in 2022.

Chairman Wu specially awarded Vice Chairman Lin 10 Years of Service Commemorative Trophy
Chinese New Year group greeting ceremony
Commendation of senior employees
Commendation of model workers

Family day
Main plant Birthday party
Linyuan plant Birthday party
Organizing the Thai Migrant Workers' Songkran Festival

Presented healthcare products to female employees on International Women's Day
Presented healthcare products to female employees on International Women's Day
Mid-Autumn Festival party
Mid-Autumn Festival party

Improving the working environment and fostering cohesion

In order to make life better, The Company thanks every colleague for their efforts and lets us move towards the future hand in hand.

Wear-resistant coating for floors
in the equipment work areas of
Leather Division 1 and Division 2
new restrooms
Construction of toilets in
Soft Cloth Division
inspection of the air-conditioning
hoods of #35, #39, and #43Calender

Raw Material Storage and
Transportation Division – Powder
Warehouse Floor Paving
EPOXY Construction Project
Chairman Wu inspects
environmental improvement
CGPC's office building
in Toufen Main plant
Sample display area on the 1st floor

CGPC (since 1964) has more than 50 years of history. The old factories has left traces of aging, exuding an essence of simplicity. Through reorganization and planning, we have created a healthy and safe workplace for our colleagues, demonstrating the company's commitment to its employees and showcasing the renewed vitality of the company. We have been improving the working environment, including the offices, break rooms, visitor rooms, administrative areas, and conference rooms. After renovation and planning, we have built a healthy and safe workplace, so that employees can feel the Company's care for them.

Human rights and protection

In order to fulfill our corporate social responsibility and ensure human rights, we have formulated human rights policies applicable to our company and related entities of USI Corporation. These policies refer to internationally recognized human rights standards, such as the International Bill of Rights and the International Labor Organization's Declaration on Fundamental Principles and Rights at Work. The objective of these policies is to eliminate any violations and infringements of human rights in the workplace, and to ensure fair and dignified treatment of our employees.

Human Rights Management Achievements

No significant violations have been reported this year. For detailed human rights policies, management plans, and training content, please refer to our company website. Based on our human rights policy, a total of 14 human rights issues were identified this year. The 8 key human rights management items in 2023 included workplace inclusivity, forced labor, excessive working hours, sexual harassment, workplace misconduct, child labor, personal data management and privacy protection, and occupational safety management. (Please refer to Complete Assessment Report.) Mitigating and compensating measures have been implemented and continuous improvement efforts are underway to manage these risks. The table below outlines the mitigating and compensating measures for each human rights management item.

Mitigation measures and compensation measures for the identified issues

Issue	Mitigation measures	Compensation measures
Occupational safety management	1. To protect the health and safety of employees and prevent occupational disasters, the Company regularly monitors the workplace (e.g., implementation of operating environment monitoring and certification) to ensure workplace safety. 2. Regularly conduct quality inspections for drinking water, carbon dioxide, lighting, and firefighting equipment in the workplace. 3. Regularly provide in-service employees labor safety and health education and training to improve their hazard identification awareness. 4. Regularly enhance occupational safety awareness through internal promotional materials. 5. The Company and its subsidiaries Taiwan VCM Corporation and CGPC Polymer have introduced the ISO 45001, an international occupational safety and health management system, and have successfully passed the third-party certification of BSI. 6. In addition to complying with legal regulations to provide a safe and healthy work environment, we have established a dedicated occupational safety and health unit and committee. We employ professional physicians and nurses and regularly conduct safety, health, and fire-related education and training. Necessary preventive measures are taken to prevent occupational hazards and reduce workplace risks.	In response to the actual impacts that have occurred, relevant occupational accident reporting and handling procedures have been followed, and employees have been provided with care and compensation in accordance with the law. 1. Initiate occupational accident reporting and handling procedures. 2. Take the initiative to provide care and relevant insurance information to help employees understand how to apply for relevant compensation. 3. Adjust work arrangements as necessary based on the employees'physical and mental recovery status.
Excessive working hours	1. Overtime is obtained with the consent of employees, and they are given the option to receive overtime pay or compensatory time off after working overtime. 2. The system daily asks employees to indicate whether the reason for staying beyond regular working hours is due to personal or official matters. 3. The Human Resources Department regularly reviews the overtime situation in each company and tracks the reasons for its occurrence.	1. Overtime pay is provided to employees in accordance with the law if they have worked overtime. 2. Understand the workload and reasons for overtime among colleagues and actively improve processes and optimize operations to enhance work efficiency. 3. Understand the workload and reasons for overtime among colleagues and actively improve processes and optimize operations to enhance work efficiency.
Sexual Harassment	1. Comply with laws and regulations related to gender equality and formulate the standard “Sexual Harassment Prevention Measures, Complaint, and Disciplinary Procedures” to provide employees, dispatched workers, and job seekers with a work and service environment free of sexual harassment, and take appropriate prevention, correction, and punishment, and handling measures to protect the rights, interests and privacy of the parties concerned. 2. Continue to conduct online courses on sexual harassment prevention and organize relevant physical courses from time to time to enhance the concept of gender equality among supervisors and employees and promote the Company’s determination to maintain a healthy workplace free of intrusiveness. 3. We have established grievance channels through which grievances can be made in words or in writing (such as the employee grievance form, hotline for sexual harassment complaints, and dedicated mailboxes), so that employees or the concerned parties can report and express their opinions immediately. 4. Complaints of sexual harassment shall be handled in a non-disclosure manner, reasonably ensuring the privacy of both parties concerned, and a Complaint Handling Committee will be formed to handle all cases.	Immediately take effective corrective and remedial measures in accordance with the Act of Gender Equality in Employment. 1. Initiate the investigation procedure and convene the Sexual Harassment Complaint Handling Committee to investigate the relevant personnel in the sexual harassment incident. 2. Adopting appropriate segregation measures to prevent recurrence of the complainant’s sexual harassment. 3. The perpetrator is to be accompanied by his supervisor, makes a visit to the complainant's contractor company to apologize in person and promise that he would not repeat the inappropriate behavior, and to gain the understanding of the complainant and his company. 4. If the sexual harassment is verified to be true, the perpetrator will be penalized with a demerit according to the employee work rules. 5. Education and promotion: All employees are required to complete the group employee code of conduct test (including sexual harassment prevention) - 1 hour. 6. Make announcements at relevant workplaces and publicly announce and promote the Company's zero-tolerance policy on sexual harassment.

Employee satisfaction

In 2023, the company conducted an employee satisfaction survey and commissioned a third-party independent agency to conduct the survey. The survey is conducted every two years to gain comprehensive insights into employees' perspectives on company management operations and identify key indicators for talent retention.

We will carry out the following improvement measures in 2023:

Review the employee career path: In order to attract talented individuals and ensure smooth employee advancement opportunities, we are developing schemes such as "establishing additional job levels" or "expanding job classifications within the employee structure".

Review supervisor's job allowances: We refer to the salary level of benchmark companies in the same industry, and take into account factors such as authority of position, scope of responsibilities, organizational functions and others to make internal salary adjustments to improve the internal fairness and external competitiveness of remuneration.

Management skills training: Conduct courses on "goal management and performance appraisal," "work instruction and subordinate development," "process improvement and innovation," and "time management."

In the future, we will continue to listen to employees’ feedback and implement improvement measures based on the report findings

Company
CGPC
TVCM
CGPCP

Participants
All employees

Title
The assessment includes 8 major dimensions and 28 sub-dimensions, aspects, supervisors, salary, co-workers, development, corporate culture, and organizational commitment.

Year
Number of Participants in the Survey
Response rate
(Note 2)
Satisfaction level
(Note 1)
Number of Participants in the Survey
Response rate
(Note 2)
Satisfaction level
(Note 1)
Number of Participants in the Survey
Response rate
(Note 2)
Satisfaction level
(Note 1)

2023
220
95%
4.64
79
100%
4.51
18
100%
4.88

2021
179
80%
4.78
72
95%
4.74
14
93%
4.66

2019
150
63%
4.56
42
58%
4.34
15
100%
4.65

2023 findings
•

Overall satisfaction: CGPC decreased by 2.9%, TVCM decreased by 4.9%, CGPCP increased by 4.7%

•

Highest overall satisfaction score in “Sustainability”, “Colleagues”, and “Job”

•

Lowest overall score in “Remuneration”, “Development”, and “Supervisor”

Note 1: Satisfaction level across all satisfaction dimensions (rated on a scale of 1 to 6).
Note 2: Response rate = Number of respondents / Total number of participants.

Performance evaluation

We conduct employee performance appraisal in January every year, hoping that it can help employees‘ personal development, as well as the Company’s human resources and skills management. The personnel to be evaluated do not include foreign workers and fixed-contract personnel. In 2023, as high as 97.2% of CGPC employees accepted performance appraisal.