WORKPLACE

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Workplace

Primax considers employees to be its greatest advantage, and prides itself for having creative and pro-active employees as well as a top-performing management team.

Primax refers to international norms such as the RBA (Responsible Business Alliance) Code of Conduct, the United Nations Universal Declaration of Human Rights, and the International Labor Organization conventions to formulate our human rights policy. Human rights protection is considered the highest standard in labor management. Each operational location adheres to relevant local regulations to create fair, safe, and comfortable workplace environments and ensure that all individuals in the value chain are treated fairly and with respect.

Talent Recruitment and Retention

We value and care for employees' actual experiences in the workplace. The Company constantly observes new recruits and resigned employees, and evaluates the effectiveness ofexisting measures and welfare to determine whether it has accomplished its goal of creatingan equal and friendly workplace.

New Hiring
  • In 2022, Primax Group hired a total of 7,982 new employees.
Males

5,257

individuals

Females

2,725

individuals

Diverse and Complete Recruitment Channels
  • Certainly, internal talent is also a crucial partner for us. To address this, Primax has established a digital Talent Bank system to complement various talent recruitment, rotation,and retention programs, serving as a powerful tool for building a talent pipeline. We have integrated the Human Capital Management (HCM) system, performance management system,enterprise process management platform, and internal and external talent resumes upload to enhance the functionality of the Talent Bank. Additionally, we can also store the information of outstanding external candidates in the Primax Talent Bank.
The proportion of new hires completing personal resume updates during the probationary period.

100

%

In 2022, the number of keyword searches (including advanced searches) in the internal talent bank reached

2,065

times

Turnover Rate
  • Primax Group complies strictly with labor regulations with respect to the termination of employment. Any major change of employment term is duly notified according to laws andin compliance with the Standards Act of the Republic of China or Labor Law of the People'sRepublic of China.
  • 2022 Primax Group Departed Employee Overview
    In 2022 , Primax Group had a total of 8,755 employees who left the company.
Males

5,576

individuals

Females

3,179

individuals

Average Monthly Turnover Rate

6.33

%

Reasonable Compensation System

To enable employees to have a better quality of life, we provide a reasonable salary system and our human capital ROI is 7313.03. While complying with government policies in every aspect concerning salaries, we refrains from assigning employees to unsuitable positions just to reduce personnel cost. We also uphold fairness and justice in employment by awarding employees the titles and salaries they deserve, and making sure that everyoneis appropriately compensated to care for them and their families.
There was no gender discrepancy in terms of "entry-levelsalary to minimum salary ratio" within the Primax Group. Furthermore, the Company's lowest salary package remains above the local minimum salary, meaning that no employee is compensated below the minimum salary. The workers employed by the Group as per local regulations on entrylevel personnel and their salaries are paid in accordance with local policies.
Primax Group also strives to ensure equality in salary and eliminate gender discrimination in the workplace byreducing salary difference between genders as much aspossible. Our remuneration policies in various locations notonly comply with local regulations, but are regularly revised to conform with market levels. We gather local salary surveys to provide the basis for adjusting our remuneration policies; in doing so, we are able to maintain the competitiveness of our compensation package while at the same time ensuring fairness of remuneration internally.

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Employee Care and Benefit System
  • Primax has implemented comprehensive welfare systems at all of its operations. Although welfare systems may vary in detail, they nevertheless comply or exceed local regulatory requirements.

Group insurance package envied by industry peers

Flexible leaves

Pension plan

Group trip and leisure activities

Employee care

Parental Benefits
  • In 2022, there were a total of 72 eligible employees (60 males, 12 females) in Primax Taipei who qualified for maternity leave without pay. However, only 5 employees (4 males,1 female) applied for this leave. At the end of the leave period, there were 5 employees (4males, 1 female) expected to return to work, but only 3 employees (2 males, 1 female) actually returned.
Return Rate

60

%

Retention Rate

67

%

Pension Scheme
  • Primax Group cares for employees not only with respect to workplace communication, but also caters for their lives after retirement by maintaining pension systems in compliance with laws of local authorities.
  • Under the new scheme, the Company contributes 6 % of employees'monthly salary into their personal pension accounts. In addition to the 6 % monthly contributions made by the employer, employees may also choose to contribute anadditional 0 % - 6 % of their salary into their pension accounts. During the reporting period,
Employees were subject to the old scheme

0.22

%

Employees were subject to the new scheme.

99.78

%

Pension fund assets are in excess of pension payable by

75

%

Comprehensive Career Development and Promotion System

Primax Group has a robust career development and promotion system available to cater for our employees from recruitment, transfer, to retention. These systems have been designed not only to support employees' career development, but also to inspire their potentials and open them up to whole new opportunities.

PRD (Performance Review and Development) system
  • The Company has implemented a PRD (Performance Review and Development) system to facilitate two-way communication between employees and their managers. This process allows employees to develop a thorough understanding about their work performance and the skill sets they are expected to develop in response to future challenges.

70 %

Annual Goal

Using the Balanced ScoreCard (BSC), managers, together with their subordinates, list at least goals/ responsibilities for the coming cycle. They also establish quantifiable measurements, assign weight by priority, and use them in performance evaluation accordingly.

30 %

Core Performance

Supervisors select and allocate weighting to at least three items for assessment at the beginning of the period, and assess them individually at the end, serving as an evaluation of job performance.

Career Development and Assessment Sheet

Employees are asked to create a list of their own strengths as well as skills that require further enhancement or improvement during year-end performance appraisal. With feedback from the line manager, they become employees' next objectives.

Performance Evaluation System
  • Primax Group offers full protection for employees' rights. Its human resource policies are fully compliant with the Labor Standards Act, and are supported by clearly defined performance evaluation and disciplinary systems.
    Primax Group outlines performance standards and evaluation criteria for each job role and evaluates employees' performance on a yearly basis, and the outcome affects year-end bonus and salary adjustment. In addition to using performance management tools to track employees' productivity, we also use agile communication methods, allowing employees and supervisors to adjust work pace and content through real-time feedback and dialogue.
Performance Planning

Emplyees and super visors engage in discussions and reach consensus to set their individual work targets for the year.

Feedback and Correction

Supervisor sprovide performance feedback to employees, who use this feedback to continuously improve their work performance.

Performance Evaluation

The achievement rate of employees' annual work objectives is reviewed, and performance ratings are given. Improvement plans, training, and development plans are formulated accordingly.

Flexible Career Development System
  • At Primax, we differentiate ourselves from other companies by introducing a flexible dual track career development system, allowing each employee to pursue their individual interests, leverage their strengths, and work towards their career goals, whether in management or professional roles. We provide equal and fair opportunities for advancement in both tracks.
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Internal Job Rotation Program
  • In order to foster a diverse pool of talents that our organization requires, Primax has developed the "Internal Rotation Policy." This program facilitates internal job rotations, allowing employees to explore their interests, develop their potentials, and broaden their career horizons within the company. Through these rotations, employees can continuously innovate and revitalize the organization while finding opportunities for personal growth and development.
STEP

01

Communication of rotation arrangement (between manager and staff)
STEP

02

Execute handover

STEP

03

Rotation Plan

STEP

04

Performance Evaluation

Diverse and Equal Talent Development Program
  • Primax Group upholds a fair and just talent development philosophy, where every individual can feel secure and free to unleash their potential and demonstrate their talents. As part of Primax Group, everyone is encouraged to grow and excel. In pursuit of this vision, Primax has dedicated efforts to promote gender equality and eliminate unfair barriers to career advancement in recent years.
Percentage of Primax Group's Female Managers in 2022
  • Percentage of Primax Group's Female Managers in 2022
Top Manager

9

%

Critical Executive

15

%

Middle Manager

20

%

Junior Manager

32

%

IDP is a Grassroots-Level Plan and the Group’s Shared Goal
  • We used to focus on KPI setting and require a strong link between targets and rewards. However, as we felt that the development of talents is an important part of the Company’s sustainable development, we implemented the IDP in stages from top to bottom, requiring each manager to formulate IDP for at least two employees (as the manager’s annual KPI), and we review them based on the performance management cycle, to use personal growth to drive the Company's growth.
2022 Primax Talent Development Plan
  • In 2022, a total of 92 talent development plans were successfully executed,
Job Expansions

30

colleagues

Receiving Promotions

17

colleagues

Diverse and Self-Motivated Learning Channels
  • We have planned a complete education and training structure and provided a variety of courses and seminars to help employees learn something, improve their work-related skills, or learn more what they are interested in outside of work.
Employee Career Training System
  • Primax's learning and development programs are centered on work-related skills. They are closely associated with the Company's future strategies and goals. The training system is divided into the following three categories:
Specialist Training

Enhance professional / technical skills in a customer-centric manner

Managerial Talent Training

Leadership enhancement and strategic thinking

General Skills Training

Diversified and inspirational learning

Diverse Learning Channels
  • Company courses
On-Job Training

Generally refers to training received while performing work activities. On-job training exists in various forms such as meeting participation, project (task) involvement, and job rotation.

Internal Training

Available in three main categories (management talent, specialist, and general skills training), the courses offered cover anything from orientation, management skills, technical skills, quality assurance, general knowledge to English etc.

External Specialist Training

Employees are fully subsidized for training courses organized by external institutions. These subsidies are provided as an encouragement to continual improvement of professional skills, or development of secondary skills depending on employees' career potentials.

  • Self Study
Self Study

To encourage our colleagues to continue learning and improving work-related knowledge and skills, Primax offers flexible working hour arrangements and encourages self-driven on-thejob training.

Online Learning and Knowledge Platform

A Learning Management System has been implemented to provide forum and blog services that employees may utilize to exchange and discuss knowledge. This system is commonly referred to as "e-Learner". The system offers courses that can be studied online, such as general knowledge, basic professional knowledge, and English language.

Employee Education and Training
  • Primax Group values employees' career development, and all employees are entitled to receive training.
Training Overview of Primax Group Employees - 2022
  • In 2022 , employees of Primax Group participated in training courses organized by the Human Resources Department,
Total training duration

107,862

hours

Each employee received training for a total of

9.36

hours

Occupational Health and Safety Management

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To align with the international trends in occupational health and safety management and enhance regulatory compliance, Primax Group has proactively responded to customer concerns regarding occupational safety and health.

Our main production sites, including three facilities in China, one in Thailand, three facilities for Tymphany in China, and one in Thailand, a total of eight sites, have all implemented the ISO 45001 Occupational Health and Safety Management System(except for Primax Taipei and Tymphany Taipei office locations, which are in the process of adopting the system, as described in Appendix8 . 1 ). These sites have also obtained certification from a third-party verification agency, SGS.

Occupational Health and Safety Management Unit
  • To effectively safeguard the rights and interests of employees concerning health and safety, each Primax Group facility forms an Occupational Health and Safety Committee, consisting of representatives from both labor and management, in accordance with local regulations. Regular meetings are held to allow employees to raise issues they encounter or may encounter in their work environment, and to implement improvements and preventive measures for a safer and more comfortable workplace.
In Taiwan, employee representatives make up approximately

50

% of the committee

In China facilities, labor representatives account for

13

%

In Thailand facilities, labor representatives account for

45

%

Incident Reporting and Investigation Procedures

All plant sites of Primax Group have implemented "Safety and Health Incident Reporting Procedures" and "Incident Investigation and Resolution Procedures"; workers are able to escalate any work-related injuries, accidents, and close calls to the line manager/shift leader/head of production line/security staff upon occurrence.

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Occupational Hazard Identification & Risk Assessment Procedures

Primax identifies Occupational Health and Safety hazards and assesses risks by following the terms of ISO 45001:2018, which requires a separate hazard identification team to be assembled as part of the environmental safety and health management system.

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Occupational Injuries

In addition to correcting existing and potential workplace safety concerns, Primax Group monitors statistics such as employees' work injury, occupational illness, days lost, absenteeism etc.

Occupational Injuries and Occupational Diseases Statistics of Primax Group Employees in 2022
In 2022, all incidents were promptly handled. Primax Group recorded a total of

25

occupational injuries

Employee Health and Comprehensive Care
  • Primax Group has attached great importance to employees’ health. In addition to regular health promotion activities and health education awareness-raising events, each plant has set up a clinic to provide health consultation and health management services, with the aim of creating a healthy workplace.
Risk Mitigation and Preventive Protection Measures
  • To Primax Taipei, with an office-oriented work approach, promoting the physical and mental well-being of employees and maintaining a work-life balance are our main directions in mitigating workplace hazards and showing care for employees.
Identifying Employee Hazards Risks at Taipei Headquarters

The Taipei Headquarters has implemented plans to identify employee risk factors and develop risk reduction and preventive measures related to gender hazards prevention, prevention of abnormal workloads leading to illnesses, protection against unlawful harm in the line of duty, and maternal health care.

Implementing Comprehensive Employee Health Enhancement Plans

Referring to the 2021 employee health examination results, we have planned risk reduction measures for 2022. The analysis of colleagues' health examination results showed a significant risk of metabolic syndrome and hypertension. Therefore, in 2022, we are implementing comprehensive employee health enhancement actions, focusing on health awareness, a healthy diet, and health management. We follow the principles of soft promotion and daily integration to enhance employees' willingness to participate and implement preventive measures effectively.

Dissemination of Health Awareness
  • Health awareness is conveyed to colleagues through organizing seminars and workshops on physical and mental health enhancement. In 2022, through these seminars and workshops,
A Total of

142

individuals participated

  • In 2022, employees enjoyed fully paid vaccination leave, and in-house vaccination services were provided by Primax. Within the company,
A Total of

404

doses of vaccines were administered

Training and Injury Prevention

Its training program applies to all employees including senior managers and safety auditors, and covers a broad range of Occupational Health and Safety-related topics such as first aid, machinery safety,environment, safety and health risk identification, occupational health, and emergency response. Each production site has a safety officer who is regularly trained and certified.

Training and Injury Prevention
The safety-related training expenses of Primax Group amounted to

924,963

NTD

In 2022, Primax Group conducted a total of evacuation and emergency drills related to fire evacuation, chemical spillage, food poisoning, elevator entrapment, and emergency response for special equipment, totaling

23,639

individuals participated

Contractor Safety Management

In addition to complying with local regulations, Primax also assumes responsibility for the occupational safety of its employees and non-employed workers.
All plant sites have implemented "Contractor Management Procedures," and any accident that arises in relation to the works performed on Primax's premise, such as occupational hazard, fire, explosion etc., will be reported, investigated, analyzed, and recorded according to the Company's accident investigation and improvement procedures.
Primax Group encountered no work-related injury or safety accident involving any contractor in 2022.

01

All contractors are required to sign a "Contractor Statement" to be qualified to perform works for the Group.

02

All contractors that perform works on plant premises will have to be informed of "Work Environment and Hazards" and "Important Notes for Contractors Working within Plant Premise," and are instructed to comply with "Contractor Safety and Health Code of Conduct" and sign the "Work Safety Commitment."

03

Contractors are required to submit a "Safe Work Permit" and seek approval before commencing work

04

Once construction has been completed, the supervising unit will issue a "Completion and Safety Confirmation Form."

05

If the construction fails to meet safety rules, the responsible department will issue an improvement order and demand corrections to be made by the contractor within the given time.

Health Promotion Activities

Encouraging employees to move more, be willing to exercise, and adopt a habit of regular physical activity is our goal. In 2022, Primax Taipei organized various health promotion activities to help employees increase their vitality and prioritize their health while balancing their work commitments.

Colorful Clubs

As of now, Primax has seven employee clubs that allow them to participate freely. Each club is subsidized with a budget of 60 , 000 NT dollars per year for internal expenses and course-related activities.

Online Fitness Center

In 2022 , the online fitness center was established, considering the changes brought about by the pandemic and promoting an online mode for implementing health and wellness programs.

Charity Road Running

Since 2021 , Primax has been participating in the Love Earth Charity Road Run. In 2022 , the second Charity Road Running saw a gathering of 134 participants in response.

ESG Carbon and Fat Reduction Love Earth

The "Ten Thousand Steps a Day" activity was combined with ESG carbon reduction efforts, with a total of 184 participants. The entire team accumulated at least 38.77 million steps, resulting in a total reduction of 5,506 kilograms of carbon dioxide equivalent.

Stress-relief Massage Service

In 2022 , Primax hired visually impaired massage therapists to provide stress-relieving massage services, addressing common shoulder and neck pain issues resulting from prolonged office work. The service was used by a total of 2,200 people during the year.

Implementation of Healthy Diet
  • To achieve this goal, we have a spacious and well-lit employee cafeteria and coffee shop, offering meal subsidies and providing weekly menus in advance. We also label the calorie and nutritional information for each set meal, giving colleagues more choices.
  • 2022, due to the restaurant renovation in the first half of the year, meal subsidies were used in the second half of the year.
Total

36,411

meal subsidies were used

Mental Health Promotion and Caring
  • Primax places great importance on maintaining the psychological well-being of its employees, as creating a friendly and balanced workplace is the company's foremost responsibility. At the Taipei Headquarters, we have established an Employee Assistance Program (EAP) helpline to ensure that employees' medical, legal, and psychological issues are effectively addressed.
  • 2022 the first-stage consultation service
Total

278

employees

Further

29

employees utilized the second-stage service

  • In 2022, a total of employees participated in these workshops
Totaling

3,516

employees