LITE-ON has established its own RBA Code of Conduct audit procedures to ensure the adequacy, effectiveness and appropriateness of its CSR framework, and to monitor how progress complies with prescribed guidelines, goals and regulations. The audit procedures clearly outline the responsibilities, processes, principles and cycles of each audit, as well as what details are expected in an audit report and how audit findings should be followed up.
The RBA Code of Conduct covers a broad range of issues from employees' health and safety, environmental protection, to business ethics. The company follows these guidelines to conduct self-inspections at each of its plants every month, while plants located in Guangzhou, Dongguan and eastern China have all assembled RBA Code of Conduct committees to cross-audit each other and ensure 100% compliance. Any conduct that does not comply with the RBA Code of conduct is raised for discussion and improved upon within the given timeframe.
All LITE-ON plants are equipped with CSER project teams that follow the RBA audit program and perform regular internal and external audits. To ensure LITE-ON fulfills its corporate social responsibility, the teams are also responsible for reviewing the plants' performance in terms of the indicators, including employees, ethics, environment, and health and safety, and improvements in these areas.
Due Diligence on Human Rights
A process of building internal and external awareness and understanding of where our activities may have the potential to intersect with human right was build; three due diligence steps were outlined as evaluation framework, assessment and improvement for LITE-ON to identify, prevent, and mitigate impacts related to human rights.
1. Evaluation Framework
To identify, prevent, and mitigate human rights impacts from LITE-ON and its supply chain, two frameworks of risk evaluation were launched for both employees and suppliers in terms of RBA. For employees, LITE-ON conducted regularly the risk evaluation for each production site based on two risk matrix of the occurrence (O) and severity (S) that can be quantified. Regarding the suppliers, a survey and audit form in the field of human rights was established based on RBA to understanding of what significant risk may cause from supply chain.
There are two approaches to assess human rights risk of employees, including self-assessment and third party audit.
2.2 Supply Chain
LITE-ON defined a basic guideline applicable to suppliers in accordance with the RBA Code of Conduct and asked suppliers to sign the written management undertaking guaranteeing that they would strictly comply and take social responsibilities. We also stipulated the RBA audit regulations for suppliers. The essential elements of evaluation include: no child labor, protection of human rights, no discrimination, equality of treatment, legal working hours and pay, and environment management.
By integrating the finding of human rights assessment into relevant functions and processes, LITE-ON implemented the improvement for taking appropriate actions to mitigate human rights risk. This step allows LITE-ON to tracking the effectiveness of the response and communicating on actions to address impacts associated with human rights.
As at the end of 2018, LITE-ON had 41,801 employees worldwide; 55.9% of whom were male and 44.1% were female. There were 4,682 employees in Taiwan, while the remaining 37,119 were located throughout Mainland China and other overseas (including Thailand, Mexico, Brazil, Vietnam, Singapore, Europe and USA etc.). 97% of employees were in Asia.
LITE-ON offers a comprehensive range of training courses and compensation and benefits to encourage employees pursue self improvement and achieve career growth. Job descriptions given during interviews will remain consistent after recruits report for work. Managers and human resources officers will also try to reduce new hire turnover by interviewing new employees to find out how they are settling into their positions. New employees will be given assistance in the form of education and training to help them fit into the corporate environment. When an employee submits a resignation, the human resources department will conduct an interview and analyze key factors in retention and resignation in order to improve the retention rate.
In terms of compensation packages, LITE-ON has designed regular compensation reviews to ensure the company is able to retain talent while ensuring all employees receive above-average compensation. LITE-ON also encourages individual departments to implement reward programs to boost morale and improve business performance, effectively creating a win-win situation.
In terms of talent management strategies, LITE-ON has implemented a human resources management blueprint and an education and training system to provide courses on core management competencies and essential professional skills. These programs are intended to broaden the horizon for employees, enhance management knowledge and skills for managers, develop a common management language, create a healthy corporate culture, and lay the foundation for sustainable development.
Employee turnover rate
Employee Care ▸