Our Focuses｜Human Rights and Talent Management｜Human Resources Management

Human Resources Management

Winbond continues to enhance its human resource management system and optimize its human resource integration system, including recruitment, retention, compensation, benefits and talent development. Winbond is committed to promoting a people-centric corporate culture, increasing employee engagement with Winbond, and dedicating substantial resources to talent attraction and retention. In the face of global uncertainties, Winbond strives to maintain a strong competitive edge. Since 2021, we have conducted the “Employee Core Values and Engagement Survey” every two years to adjust company strategies based on understanding employees' perceptions of core values, job satisfaction, and engagement, aiming to strengthen the commitment between the company and its employees. In 2021 and 2023, the response rates for the survey among employees in Taiwan were 76% and 78%, respectively. In both years, over 97% of the employees expressed their willingness to fully dedicate themselves to improving the company and to remain with the company for the next five years.

Workforce Structure

Global Talent Deployment

As of 2023, the total number of employees at Winbond’s Taiwan headquarters is 3,546, including 2,844 executives in research and development/production, administration/sales, as well as 702 production support personnel. The total number of overseas employees is 809, which includes 603 executives in research and development/production, administration/sales, as well as 206 production support personnel.

Global Workforce Distribution

Unit: persons

Note: Employees classification according to GRI corresponds to fixed-term contract employees classified as temporary staff; indefinite contract employees classified as permanent staff. Winbond does not employ staff without guaranteed working hours.

Number of Global Employees for Previous Years

Distribution of Foreign and Overseas Employees for the Taiwan Head Office

Note: The proportion of foreign and overseas employees is calculated by dividing the number of foreign and overseas employees by the total number of employees at the Taiwan headquarters.

Talent Recruitment

Diverse Recruitment Channels

Winbond values inclusive and diversity workplace, and actively recruits talent through various channels such as Winbond career site, campus recruitment, social media, industry-academia collaborations, and internal referrals attracting outstanding individuals from different regions and age groups, Winbond also has an internal transfer system that encourages employees to rotate and develop their skills, allowing exceptional talents to flourish in suitable positions. Additionally, in response to the demand for advanced technical expertise from different countries, we hire professionals from Japan, South Korea, India, the United States, Malaysia, Indonesia, and other nation. This fosters a diverse and interactive work environment where employees can stimulate new perspectives innovative thinking.

Since 2018, Winbond has begun implementing digitalization in various processes, such as automated recruitment and training reports, to expedite the entire talent recruitment and onboarding process. This streamlining has significantly reduced the consumption of manpower and time, allowing us to focus more on enhancing the quality of recruitment and talent alignment. Additionally, we have introduced market-competitive compensation and a diverse rewards system as part of our efforts to retain talent, serving as compelling incentives for employees to stay with Winbond. Through our commitment to digital transformation and employee-centric practices, we position Winbond as an employer of choice, attracting and retaining exceptional talents within our workforce.

Recruitment channels	Explanation
Campus recruitment	Through campus recruitment events and interactions with students, we provide on-site job consultations and engage in mutual exchange. By leveraging social media platforms to promote our recruitment messages, we ensure that potential candidates have wider exposure to Winbond's job opportunities beyond geographical limitations.
Internal recruitment	The human resource department announces internal job vacancies based on the recruitment criteria provided by the respective hiring departments. This process facilitates talent mobility within the organization and supports employees in pursuing diverse career paths, ensuring the right fit for each position and promoting a culture of appropriate talent placement.
Job search websites and social media	Job vacancies at Winbond is posted on the official career site, job portals, and various social media platforms. This approach aims to reach job seekers from different regions and age groups, enabling them to access comprehensive information about job opportunities at Winbond. Additionally, candidates have the convenience of engaging in real-time job consultations with the Winbond recruitment team through fan pages and social media, providing them with immediate access to the necessary guidance and information.
Employee referral	Winbond invites its employees to recommend outstanding talent to join the company. By leveraging the employees' understanding and identification with the company, they can refer individuals who are a good fit for Winbond's corporate culture and job requirements.
Summer internship program	In 2023, Winbond opened 17 summer internship positions with a hiring rate of 88%. The aim was to attract outstanding students early on by offering them the same salary and benefits as full-time employees. This provided the students with a practical experience of workplace life and an understanding of job responsibilities, laying a solid foundation for their future careers.

Compensation Policy

Employee compensation is guided by the principles of internal equity and external competitiveness, comprising both fixed components (e.g., base salary, allowances) and variable components (e.g., operating performance bonus , employees’ remuneration). These bonuses are promptly distributed, allowing colleagues to share in the fruits of our operational achievements, thereby attracting, motivating, and retaining talented individuals. Individual compensation is determined based on job responsibilities and professional expertise, while bonuses and incentives reward a holistic evaluation of personal job performance and contributions.Winbond sets consistent overall goals for all employees based on the company’s annual objectives. Supervisors and employees are required to jointly set individual performance goals. Supervisors and colleagues are encouraged to engage in timely ‘Continuous Performance,’ allowing supervisors to discuss performance with colleagues at any time to reach a consensus on goals. This also helps in reviewing the achievement of team and individual goals and tracking areas for improvement in daily work. Winbond conducts performance evaluations twice a year using a performance management system that incorporates self-assessment and supervisor evaluation from multiple perspectives. This evaluation includes reviewing the Objective Completion , as well as assessing competencies and specific behavioral demonstrations. In addition to evaluating management and professional competencies, the evaluation also considers core competencies (Winbond‘s five core values: Conduct Business with Integrity and Ethical Behavior, Accountable Team Work, Enthusiasm of Learning, Aggressively Innovate, and Sustainable Contribution), this evaluation helps ensure that employees uphold their commitments, adhere to ethical standards, and contribute to society. Winbond has established a fair and impartial performance evaluation system aims to understand employees’ capabilities and identify talent gaps, emphasizing the long-term and future development of employees. Our commitment to human rights serves as an objective foundation, ensuring that compensation, benefits, evaluations, promotions, and other aspects do not discriminate based on gender, race, skin color, religion, political affiliation, sexual orientation, age, marital status, pregnancy, physical or mental disabilities, blood type, zodiac sign, or labor representation status.

In 2023, Winbond ensured that the basic monthly salary for inexperienced employees exceeded the statutory minimum wage. Additionally, an annual market salary survey was conducted to review and adjust salaries based on performance, rewarding and retaining valuable talent.

Employee Salary Ratio

Region	Type of Personnel	Female	Male
Taiwan	Management	1	1.2
	Non-Management	1	1.1
Overseas	Management	1	1.3
	Non-Management	1	1.2

Note: Management refer to employees who hold a position at the department head level or above and provide assistance and guidance to other department staff.

Generous Benefits

Winbond offers comprehensive benefits and measures for all employees, encompassing various aspects of their well-being. These benefits range from performance-driven incentives and bonuses in the workplace to living allowances and employee vacations. Additionally, we provide diverse social clubs to foster a vibrant work environment. By availing these benefits, our employees gain motivation, achieve work-life balance, and find a sense of fulfillment in both their professional and personal lives.

Flexible Working arrangements: The company regards its employees as its most valuable asset and is committed to fostering a diverse, equitable, and inclusive (DEI) workplace culture. We provide a supportive work environment that balances work and life. To enhance employee autonomy and productivity without compromising work, Winbond offers flexible working hours and work-from-home (WFH) policies for employees to apply.
(1)Flexible Working Hours: Employees can arrange their work schedules based on their individual needs. With prior approval from their supervisors, employees can adhere to flexible start and end times within the specified range while ensuring they complete the required daily working hours.
(2)Working-from-Home (WFH): Considering the varying nature and management needs of different departments, Winbond has established a "Working-from-Home (WFH)" policy. Departments can set specific application criteria based on this policy. Once approved, employees can engage in short-term or long-term remote work.

Total Employee Care

Bonuses

Festival Bonuses

Special Bonuses

Operating Performance Bonus

Employee Remuneration

Motivation Fund

Winbond Star Bonus

Patent Bonus

Pension

Insurance

Childbirth Allowance

Marriage Allowance

Childcare Allowance

Group Insurance

Retirement and Transfer Program

Leave

LOHAS Leave

Unpaid Parental Leave

Lifestyle Support

Foreign Employee Care

Health Exam

Healthcare

Health Promotion

Club

Sports

Arts and Culture

LOHAS

Public Welfare

Bonuses

Winbond utilized a diverse incentive bonus system to encourage employees to be innovative and enthusiastic learners.

Diverse Incentive Bonuses

Winbond Star Bonus

Each quarter, individuals and teams who exemplify Winbond's work culture (Conduct business with integrity and ethical behavior, Accountable team work, Enthusiasm of learning, Aggressively innovate, Sustainable contribution) and have made significant contributions to the company are recognized and commended.

Special Bonuses

Winbond provides immediate rewards and recognition to employees who demonstrate outstanding performance in their job responsibilities or excel in special projects.

Operating Performance Bonus

Every quarter, Winbond shares the fruits of business achievements with employees based on the company's performance.

Employee Remuneration

Every year, the company's profits are shared with employees based on the company's regulations, determining the total amount to be distributed. The rewards are then given to employees based on their contributions to the company and individual performance, acknowledging their dedication and efforts.

Motivation Fund

Winbond provides funding for colleagues to organize activities and gatherings, fostering a sense of camaraderie and strengthening the bonds among team members. These events serve to boost morale, maintain a positive work atmosphere.

Patent Bonus

Winbond encourages colleagues to engage in creative inventions and innovations related to product design, manufacturing, testing, application, marketing, and other areas.

In 2023, NT$131,370,000 was awarded for the Taiwan area, and NT$273,611,000 for overseas subsidiaries through our diverse range of incentives and bonuses.

Childcare Allowance

In alignment with the government's initiative to boost birth rates in Taiwan, Winbond goes beyond offering 8 weeks of paid maternity leave and up to 2 years of unpaid leave by also facilitating the process for employees to obtain 24 weeks of insurance coverage. Additionally, Winbond provides enhanced paid maternity leave benefits in international locations, surpassing local standards. Winbond has been implementing the "Childcare Allowance" policy since April 2011. Under this policy, each newborn child of Winbond employees receive a monthly allowance of NT$6,000, which continues until the child reaches the age of 4. This initiative has significantly contributed to improving the birth rate among our employees. Since the policy's inception in 2011 until 2023, a total of 1,847 employees' children have received the allowance. Winbond has become a strong supporter for employees in caring for their families. This initiative not only eases the financial burden for new parents but also increases the retention rate of employees who choose to continue their careers while raising their children. As a result, our employees' overall happiness and well-being have been positively impacted, fostering a more family-friendly and fulfilling work environment.

Childcare Allowance Performance Statistics

Item	Explanation
Effect	Cumulative number of applications and subsidy amount for children: From the implementation in 2011 to the end of 2023, a total of 1,847 children of employees have benefited from this program, with a cumulative disbursement of NT$331,974,559. Total allowances in 2023: NT$ 33,141,686

Pension Fund System

Winbond follows the local retirement laws and regulations in Taiwan and overseas subsidiaries to ensure employees' retirement benefits. In Taiwan, Winbond sets aside retirement reserves for each full-time employee (old scheme) or contributes to retirement savings (new scheme). For those entitled to retirement benefits under the "Retirement Regulations" stipulated by the Labor Standards Act, they may apply for retirement with the company. The payment of employee retirement benefits is calculated based on years of service and the average salary for the six months before the approved retirement date and is paid within thirty days of the employee's retirement date. Employees with up to 15 years of service (inclusive) receive two units per year of service, while those with more than 15 years of service receive one unit per year of service, capped at a maximum of 45 units. In addition to contributing 2% of the monthly salary to retirement reserves, Winbond regularly reviews the contribution rate annually. If the balance is insufficient to cover the retirement benefits of eligible employees for the next year, the shortfall will be contributed to a special account held by the Labor Retirement Reserve Supervisory Committee at the Bank of Taiwan before the end of March of the following year. As of the end of 2023, Winbond's planned fair value of assets (consolidated) amounted to NT$2,490,778,000, and the amount required to be set aside for future legal obligations has been recorded as accrued retirement benefit liabilities, resulting in a net defined benefit liability (consolidated) of NT$ 1,683,585,000.

Under the contemporary Labor Pension Act scheme, Winbond contributes 6% of each employee's monthly salary to their individual retirement fund, corresponding with the salary grade. Employees are also encouraged to make voluntary contributions within the 6% limit to their retirement accounts based on personal preference. In 2023, the combined expenses for the retirement reserve (old scheme) and the retirement fund contributions (new scheme) reached NT$264,053,000. Further information can be found in Winbond's consolidated financial report for 2023.

Executive Compensation

The policies, systems, standards, and structures for the performance evaluation and compensation of directors and managers, as well as individual compensation, are determined and reviewed by the company’s Compensation Committee, which submits its recommendations to the Board of Directors for discussion.

The salary levels of Winbond's managers must be competitive within the industry to attract outstanding external talent and retain excellent internal talent. Individual salary levels for managers are differentiated based on responsibilities and performance to encourage them to take on responsibilities and achieve results. Managers are responsible for operational performance, and incentives should balance the company’s short-term and long-term performance.

Item	Explanation
Fixed compensation	Fixed compensation is determined based on the responsibilities and performance differentiation of senior executives.
Variable compensation	Variable compensation for senior executives is measured using indicators that include financial metrics (such as gross profit and gross profit margin, operating profit and operating profit margin, pre-tax net profit, etc.) as well as ESG-related indicators (such as tCO2e reduction accumulated and electricity saved). These serve as important criteria for the distribution of variable compensation for senior executives, and are determined based on the execution status of the operational strategies and objectives they are responsible for.

Talent development and learning outcomes

Winbond annually designs and implements various training and development programs based on the company's strategy, vision, business decisions, and core culture. These programs are tailored to different organizational levels, professional competencies, and specific target groups. The training initiatives are determined through surveys to assess training needs. Under the "dual-track" talent development system, employees have the flexibility to choose between enhancing their managerial skills or deepening their expertise in specific technical fields, based on their individual development goals and job requirements. Winbond provides a wealth of training resources, including both physical and online courses. In response to the COVID-19 pandemic in 2022, the company continued learning initiatives without interruption. Winbond continuously optimizes its cloud-based learning platform and increases the interactivity of live-streamed courses. By offering a diverse range of courses and learning methods, the company aims to empower employees to strengthen their competitiveness, achieve personal growth, and enhance their job performance.

Training Effectiveness Evaluation

To track and ensure the effectiveness of training programs, Winbond employs a four levels education and training evaluation model based on the nature of the courses. This evaluation process examines whether the training align with their intended objectives. Moreover, Winbond encourages employees to apply what they have learned directly to their work. As part of this approach, certain training include assessments, post-training assignments, project presentations, and one-on-one interviews to reinforce the principle of adult learning, which emphasizes the immediate application of acquired knowledge and skills.

Satisfaction with Talent Cultivation Courses in 2023

Average rating for courses held in person

4.6 /5

Average rating for digital courses

4.2 /5

Orientation Training

In 2023, Winbond used an online learning platform to provide new employees with online training courses when they reported to work, including life guidance, culture promotion and introduction of various company policies. 21 courses were provided in total. The average satisfaction rating for all training courses in 2023 was 4.23 (out of 5) and the completion rate was 100%.

Differences Lead to Outstanding Achievements

In 2023, Winbond promoted a diverse and inclusive workplace environment through language assistance measures, training programs, and seminars.

(1)The average ESG-related training hours per person were 1.75 hours, aiming to enhance understanding and integration of ESG values into daily work.

(2)To encourage cross-language communication, Winbond continued to offer language assistance in English, Japanese, and Korean, providing 50% subsidy for language training upon achieving learning outcomes. Employees could also apply for rewards upon reaching language proficiency levels.

(3)Throughout the year, seminars in English and Japanese covered cultural understanding, conversation skills, and leveraging AI tools to strengthen language proficiency, facilitating smoother cross-cultural communication.

(4)A “Cross-Generational Dialogue and Leadership” course was conducted to promote understanding and respect for employees from different generations, enhancing communication quality and relationship building. The course received a satisfaction rating of 4.88 out of 5.

(5)An “Unconscious Bias Elimination” course was held to help supervisors recognize and address biases, with practical exercises to apply learning in daily work, achieving a satisfaction rating of 4.6 out of 5.

(6)In recognition of the importance of women’s influence, Winbond organized special seminars and training courses in 2023 to help female employees recognize their importance in the workplace, build confidence, and challenge themselves.

Employer-Employee Relations

Open Employer-Employee Communications

Winbond respects employees' freedom of assembly and collective bargaining rights, as stated in the "Corporate Social Responsibility Management Procedure," detailing employees' rights. While Winbond has not established a labor union, it facilitates various functional, regular communication meetings, including quarterly labor-management meetings, supervisor management discussions, production management meetings, and quality retraining sessions. The company offers diverse, open, and transparent communication channels, such as physical suggestion boxes, the 75234 ("I want to complain") hotline, the “Care” Employee suggestion mailbox, the Sexual Harassment Employee Complaint Committee, employee welfare committees, and environmental and safety committees.

Winbond employees have the option to express their opinions or offer suggestions either anonymously or by name through various communication channels. The company employs confidential measures tailored to each channel's nature for the handling, processing, and content of complaints, ensuring that the complaint handling process and content remain strictly confidential. Individuals responsible for addressing complaints or reports are obligated to maintain absolute confidentiality regarding the identity and content shared by complainants/reporters. Cases are treated and managed as confidential projects, with identities disclosed only with the complainant/reporter's consent. Moreover, Winbond actively gathers employee feedback, both regularly and irregularly, through focus groups and individual interviews, utilizing this input as a foundation for enhancing management policies and service quality. Additionally, training sessions are organized for all newly hired employees or unit managers to guarantee comprehensive awareness of the available communication channels.

Diverse Channel for Employee Feedback

Suggestion Boxes

Near the employee cafeteria and production line restrooms, there are suggestion boxes provided for all employees to share their feedback and suggestions related to work and life.

Grievance Hotline

Winbond has established the "75234 (I Want to Complain)" hotline for employees to provide their feedback and complaints. To file a complaint, employees are required to complete the "Internal Complaint Form" and submit it either in writing or by mail to the human resource department or the designated "Employee Feedback Box." A dedicated team is responsible for handling and addressing these complaints. Furthermore, in order to safeguard the rights and interests of employees and job seekers and to ensure a work environment free from sexual harassment, Winbond has established the "Workplace Sexual Harassment Prevention Measures" in accordance with the Gender Equality in Employment Act. The company has set up a "Sexual Harassment Prevention Awareness Website" and formed the "Sexual Harassment Complaint Review Committee" to handle sexual harassment cases.

Factory Communication and Discussion Meetings

Every six months, factory supervisors host communication and discussion meetings with direct personnel to engage in two-way communication on management and production issues, as well as online operations. Additionally, there are also focused re-education courses on quality or Responsible Business Alliance (RBA) Code of Conduct to ensure compliance with industry standards and guidelines.

Labor-management Meetings

Compliant with regulations, each plant in Taiwan holds labor-management meetings every quarter. These meetings, which form part of the company's collective bargaining agreements, involve employee representatives, elected by all employees in Taiwan, who discuss issues of concern with management, achieving a 100% coverage rate for Winbond employees in Taiwan. For each meeting, the company addresses the suggestions and concerns raised by the employee representatives by requiring the relevant departments to investigate and respond to these issues after the meeting. This process ensures that a consensus is reached with the employee representatives and maintains open communication channels. In 2023, the company's response rate to the suggestions made by the employee representatives was 100%.

Management Conference

The purpose of management conferences is to facilitate direct two-way interaction between all managers and the Chairman and President. The main objective is to engage in open discussions and communications on on various aspects of company operations, management systems.