LITE-ON Technology Corporation

Human Rights Policy

LITE-ON Technology Corporation (hereinafter referred to as “LITE-ON”) respects and supports internationally recognized human rights standards and principles, including the “Universal Declaration of Human Rights”, the “United Nations Global Compact”, and the “Declaration of Fundamental Principles and Rights at Work” of the International Labor Organization, and complies with local laws and regulations. According to the “UN Guiding Principles on Business and Human Rights”, LITE-ON formulates relevant company policies and measures.

Scope of Application

LITE-ON human rights policy is applicable to LITE-ON and its affiliated companies.

LITE-ON is committed to respecting, protecting, and remediating employees, suppliers, and partners, who may be subjected to human rights violation. In addition, LITE-ON expects its suppliers and contractors to act in accordance to the spirit and basic principles of this policy.

Commitments of Human Rights

1. LITE-ON believes that respecting and protecting human rights is the foundational to the sustainable development and operation of a corporation.
2. LITE-ON takes into account human rights issues in every link of its operational value chain.
3. LITE-ON provides stakeholders with accessible communication channels.

Principles of Management

LITE-ON builds up policies and regulations and executes the internal audit regularly and adopts the Code of Conduct of RBA (Responsible Business Alliance) as management framework.
According to the RBA audit process, internal and external audit are performed regularly. The human right issues to which LITE-ON attaches great important are the following:
1. Prohibiting any form of discrimination
2. Prohibiting forced labor and child labor
3. Providing fair and reasonable pay and working conditions
4. Providing a safe, hygienic and healthy work environment
5. Respecting employees freedom of assembly and association

RBA Framework

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 CSR 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.
2. Assessment

  • Operation

    There are two approaches to assess human rights risk of employees, including self-assessment and third party audit.

  • Supply Chain

    LITE-ON has implemented the "Supplier Executive Certification of Compliance" and “Supplier Code of Conduct” by referring the Responsible Business Alliance (RBA) Code of Conduct, United Nations Guiding Principles on Business and Human Rights, the International Labour Organization's Declaration on Fundamental Principles and Rights at Work, and the Universal Declaration of Human Rights 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.

3. Improvement

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.




For the comprehensive disclosure of our human rights risks management, please refer to “LITE-ON Technology Corporation Human Rights Due Diligence Report”

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