Talent Attraction and Retention

Employee Recruitment

• Attract diverse global talents to LITEON by enhancing recruitment platforms, online interview tools, brand image, and social media operations.
• Transition from offline to integrated online and offline recruitment strategies.
• Utilize channels like the 104 Corporation website, company website, LinkedIn, and Facebook.
• Communicate corporate culture and core values effectively.
• Commit to an open, diverse, and inclusive environment.
• Promote organizational transformation and development space for young employees.
• Extend recruitment beyond recent graduates through partnerships with universities and summer internships.
• Participate in government employment initiatives by hiring R&D substitute servicemen and providing full-time equivalent benefits.
• Recruitment practices that ensure effective onboarding and retention. LITEON integrates both traditional and innovative methods to attract talent, ensuring a seamless transition for new employees.
• LITEON places significant emphasis on an engaging recruitment process that helps identify candidates who align with the company’s values and goals.

Employee Retention

• LITEON promotes employee retention through extensive training, competitive compensation, and benefits. Key activities include:
  • Regular job description alignment during interviews: Ensures clarity and sets expectations for both the employer and the employee.
  • Ongoing support and updates for new hires: Facilitates smooth integration and adaptation to the corporate culture.
  • Analysis of resignation factors: Regular assessment and interviews with resigning employees to understand their reasons and enhance retention efforts.

• Key strategies include
• • Guaranteed Salary:
    • Competitive compensation packages that are aligned with market standards.
    • Starting salaries for direct labor must adhere to local regulations while remaining competitive within the industry. Currently, LITEON's starting salary for direct labor is about 1.12 times the minimum wage in Taiwan, 1.03 times in Mainland China, equal to the minimum wage in Thailand, 1.13 times in Vietnam, and equal to the minimum wage in India.
    • Regular compensation reviews ensure employee salaries are above average.

    • LITEON invests continuously in employee benefits to meet the needs of our workforce, including work-life balance, health, and safety. Apart from wages and salaries, our employees receive various non-work-related allowances and benefits for themselves and their families. By utilizing the Anker Methodology and Fair Wage Network database, we have been assessing whether our employees receive a living wage since 2023 and are in the process of expanding this assessment to include our suppliers and contractors. In 2023, all of our operations, except for non-disclosing sites for confidentiality and GDPR compliance reasons, implemented a living wage. LITEON remains committed to providing its employees with fair compensation and a living wage.

    • Commitment to non-discriminatory practices in salary setting, with no bias based on gender, race, or religion.
    • Overseas employee compensation is determined to be fair and competitive, taking into account local market conditions. In addition, we offer both long-term and short-term bonuses as additional incentives, aligned with local regulations and industry norms. Furthermore, overseas employees are enrolled in social insurance programs as required by local laws.
  • Employee Benefits:
    • Comprehensive family care programs, including parenting support initiatives.
    • Flexibility in work arrangements allows for remote work and flexible hours to accommodate personal needs.
    • Robust health and wellness programs aimed at improving overall employee well-being.

Compensation Structure

• Pay equity based on qualifications, experience, and individual performance to ensure fairness and transparency.
• Adoption of the Employee Stock Ownership Trust Plan to promote shared success, encouraging employees to think and act as stakeholders in the company.
  

• Launched Employee Stock Ownership Trust Plan in September 2021, this plan offers employees the opportunity to gain equity in the company, enhancing their sense of belonging and investment in the organization’s future.

Pension Schemes

• LITEON contributes to employees' pension funds according to local regulations worldwide, with 100% enrollment in pension plans.
• In Taiwan, contributions follow the Labor Standards Act, while in Mainland China, the company fully funds pension plans for retirement security.
• In Thailand, pension policies are established in compliance with local regulations.
• The HR department reviews soon-to-retire employees and assists with retirement and career planning.
• In Taiwan, pension schemes are governed by the Labor Standards Act (old scheme) or the Labor Pension Act (new scheme), allowing employees hired before June 30, 2005, to transfer service years.
• The old scheme includes a 2% monthly salary contribution to a pension account, totaling NTD 940 million.
• The new scheme features a 6% monthly salary contribution, with employees able to add an extra 0%-6%.

To effectively enhance employee welfare, we address their needs across various areas, including work, life, safety, and health, ensuring they receive appropriate salaries and compensation. Additionally, employees benefit from various allowances and perks for themselves and their families. These initiatives foster loyalty to the Company and the Group. The company also designs and offers a diverse range of welfare programs and initiatives aimed at promoting physical and mental well-being.

Family and Child Care Programs

• Maternal Health Protection & Family and Child Care Measures
  In addition to provisions for the paid leave(including maternity leave(8 weeks), periods of pregnancy checkups(7 days), pregnancy checkup accompaniment and paternity leaves(7 days), LITEON also provides comprehensive lactation room facilities and childcare subsidies (childcare contributions). The return-to-work rate after parental leave reaches 88%, indicating the effectiveness of the company's care for employees.

• Childcare Subsidies
  To foster a friendly workplace in Taiwan, we support employees in balancing their work and family commitments, alleviating the childcare burden for working parents. In January 2023, we implemented a childcare subsidy policy that provides a monthly subsidy of NT$5,000 to full-time employees with children aged 0 to 6.

  By the end of 2023, a total of 939 employees applied for this subsidy, benefiting 6,710 employees and 8,503 children. The total amount distributed in 2023 reached NT$45,855,000.

• Paternity Leave

  Employees can apply for paternity leave within 30 days before and after their spouse’s giving birth, which is in excess of the minimum legal requirement (15 days before and after).

Employee Well-being Programs

• Work-Life Balance & Well-being
  To enable employees to achieve a balance between work and life, LITEON provides an additional 7 days of paid leave called "Enjoy Fun Leave" and travel subsidies. Moreover, LITEON offers more than 50 clubs (including sports, outdoor activities, mixology, language learning, etc.) to enrich the well-being of employees. Family days and outdoor hiking activities are also organized to invite employees and their family members to participate, demonstrating our care not only for employees but also for their families.
• Physical Well-being
  When hiring new employees, LITEON provides pre-employment health checks and conducts regular health examinations for existing employees. To promote a culture of healthy living within LITEON and encourage employees to maintain physical well-being, various diverse thematic activities are organized such as healthy eating, nutrition seminars, and collaborative walking exercises with mobile apps. These activities aim to seamlessly integrate health knowledge and habits into employees' daily lives in a relaxed manner. Additionally, each facility has a workplace environment and occupational safety promotion teams to prevent occupational diseases and accidents effectively. In coordination with internal and external audits, these teams ensure that employees have a safe working environment.
• Provide Employees with Healthy Living Facilities
  Offer employees comprehensive healthy living facilities that encompass a variety of fitness equipment and professional training courses in Taiwan, such as weight training and classes like aerobics and Pilates; sports amenities in the PRC, including facilities for table tennis, snooker, and basketball; and designated rest and entertainment areas in overseas plants to ensure adequate relaxation and recreational opportunities.
• Workplace stress management​
  Regularly organizes health promotion and activities related to stress relief and pressure reduction, such as lifestyle, diet, and exercise information and activities, to alleviate employees' pressure generated at work.

• Flexible working hours & Working-from-home arrangements

  LITEON offers employees the flexibility of working hours, allowing them to plan their work schedules independently. This enables employees to address their needs, such as family care responsibilities or avoiding rush hour traffic, reducing commute stress. Employees have high autonomy to cater to their personalized requirements.

  In response to the multiple situations arising from the changing epidemic situation, our employees can apply for personal special leave, family care leave, quarantine leave, vaccination leave, and personal leave according to their personal needs and company regulations. If there is a need for work arrangements and the employee can provide labor services by working from home, the employee can apply for working from home.

Gender-Friendly Work Environment

• LITEON is committed to fostering a gender-friendly workplace and achieving gender equality. Employees are compensated and promoted based on their education, experience, professional expertise, seniority, and individual performance, without any gender bias. Additionally,
• LITEON provides various support for pregnant employees, including fully paid maternity check-up leave and nursing rooms. After childbirth, we also offer childcare subsidies to create a more supportive working environment for our female colleagues.

• Providing Facilities Beyond Legal Requirements for Nursing Rooms

  To encourage breastfeeding and allow employees to balance work and childcare responsibilities, we offer friendly and discreet standalone nursing environments. These spaces are equipped with comfortable personal sofas, bottle sterilizers, and breast milk-specific refrigerators to aid in breast milk storage. The fridge temperature is monitored with a thermometer to maintain it between 0-4 degrees Celsius for optimal milk preservation. Additionally, storage lockers and shelves are provided for nursing mothers to store personal items such as electric breast pumps and milk storage bags, reducing the inconvenience of carrying these items back and forth. Employee satisfaction with the facilities reaches a high of 100% according to the annual survey.

• The LITEON WoW Women's Club, initiated by female supervisors, implemented a total of 16 plans and activities, with a
  cumulative participation of 1,580 individuals.

Employee Turnover Rates

In 2023, LITEON experienced a notable turnover rate primarily among direct personnel, such as production line operators and related staff, particularly in Mainland China. This turnover was largely due to the upgrade of our intelligent production line and adjustments to the company's product offerings. To address this, we plan to integrate smart manufacturing and automated operations through advancements in digital intelligence, which aims to offset the natural attrition of direct personnel and enhance per capita output value, thereby reducing the impact of turnover. Additionally, we will conduct regular analyses of turnover rates to identify underlying causes and develop improvement strategies. Direct interviews with resigning employees will be implemented to gather valuable insights into their experiences and motivations for leaving.