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Workplace Safety and Health

Material Topic: Occupational Safety and Health

Occupational accidents not only impair employees’ work capabilities but also affect their morale and sense of identification to the Company. As Taiflex regards employees as the most valuable assets, we are committed to safeguarding their physical and mental health, as well as constructing a safe and conducive work environment.

Effect and Impact

【Actual positive effect】

Economic:
Reducing workplace safety risks facilitates sustainable operations of the Company.

Social:
A safe work environment is conducive to the emotional well-being of employees and enhances their sense of identification with the Company

【Potential positive effect】

Social:
Supporting employees to maintain their physical and mental well-beings at work indirectly enhances the Company's image to the general public.

Policy and Strategy

Five major OSH policies are established based on Taiflex's OSH management concept for all employees and stakeholders to follow:

  • Regulatory compliance: Comply with occupational safety laws and regulations and enhance corporate image.
  • Full participation: Unite as a team in communication and cooperation and raise company-wide safety awareness.
  • Workplace safety: Commit to a sound work environment and promote the physical/mental well-being of employees.
  • Risk control: Identify occupational hazard risks and create a safe workplace.
  • Continuous improvement: Advance occupational safety management performance and achieve the goal of corporate sustainability.

Goal and Objective

【Short-term goals (2024)】
  • Major event and occupational accident (hospitalization): 0 incident
  • Maintain 0 incident of occupational disaster from chemical exposure
  • Disabling injuries frequency rate (FR) ≤ 1.5
  • Disabling severity rate (SR) ≤ 3.6
  • Voluntary participation in health promotion scheme > 40%
【Medium-term goals (2025-2027)】
  • Major event and occupational accident (hospitalization): 0 incident
  • Maintain 0 incident of occupational disaster from chemical exposure
  • FR ≤ 1.2
  • SR ≤ 3.4
  • Voluntary participation in health promotion scheme > 45%
【Long-term goals (2028~)】
  • Major event and occupational accident (hospitalization): 0 incident
  • Maintain 0 incident of occupational disaster from chemical exposure
  • FR ≤ 0.9
  • SR ≤ 3.2
  • Voluntary participation in health promotion scheme > 50%

Management Assessment Mechanism

  • Annual management reviews are conducted to evaluate the implementation performance and target achievement results.
  • Through the corporate sustainability promotion committee and its taskforce, we continuously monitor the implementation status and the degree of target achievement.

2023 Goal and Achievement

【Voluntary participation in health promotion scheme > 40%】
  • Achieved. A voluntary participation rate of 49.1% in 2023.
【Major event and occupational accident (hospitalization): 0 incident】
  • Achieved. Zero incident in 2023.
【FR ≤ 1.5】
  • Achieved. FR of 0.63 in 2023.
【SR ≤ 3.6】
  • Achieved. SR of 1.26 in 2023.
【Maintain 0 incident of occupational disaster from chemical exposure】
  • Achieved. 0 incident in 2023.

Prevention or Remedy Measure

  • We conduct semi-annual management review meetings to regularly assess our OSH performance and achievements, and formulate relevant improvement plans while continually building a safe and healthy workplace. If our OSH performance falls short of expectation, we would adjust relevant measures based on the actual situation, and seek communication and collaboration with internal and external resources.

Material Topic: Chemical Safety Management

In view of the fact that several companies in Taiwan had suffered major fires at factories in the past with loss of life or substantial financial losses which adversely affected their sustainable operations; and the causes for such incidents were personnel's unfamiliarity with materials or misunderstanding of proper handling procedures, we have included chemical/toxic substance management as a material topic.

Effect and Impact

【Actual positive effect】

Having correct knowledge of chemicals or toxic substances helps personnel remain relatively calm during emergencies and make informed decisions, thereby reducing casualties, minimizing financial losses to the Company, and mitigating environmental pollution risks.

【Potential negative effect】

It is widely recognized that toxic substances pose significant environmental hazards, and countries around the world intend to strengthen relevant regulations and standards for the management of such substances. Failure to diligently adhere to these regulations may diminish investor confidence, heighten risks of environmental contamination, and jeopardize human health and safety, thereby increasing the Company's operational risks.

Policy and Strategy

We have established a “Procedures for Handling Toxic Chemical Substances,” adopted the “ChemiCloud” system, and adhered to the four principles stipulated by the competent authority: “Permit, Declaration, Prevention and Labeling, and Reporting,” for the use, storage, disposal, and emergency response of toxic chemical substances. Furthermore, we carry out education, training, and emergency response drills with standards above the regulatory requirements.

Goal and Objective

【Short-term goals (2024)】
  • Factories meeting the toxic substances classification threshold shall conduct education and training sessions twice a year and toxic substance drills once a year
【Medium-term goals (2025-2027)】
  • By 2025, complete the application for 16 areas within the factory as existing legitimate places pursuant to the transitional procedures under tightening regulations
  • Each factory shall conduct quarterly education and training sessions and toxic substance drills
【Long-term goals (2028~)】
  • Implement a fire and rescue system that provides real-time data on the current stock of chemicals on-site
  • Each factory shall conduct monthly education and training sessions, and proactively strive for chances to plan and organize large-scale regional joint defense initiative

Management Assessment Mechanism

  • Monthly on-site management audits are conducted in accordance with the “Procedures for Handling Toxic Chemical Substances.”

2023 Goal and Achievement

【Factories meeting the toxic substances classification threshold shall conduct education and training sessions twice a year and toxic substance drills once a year.】
  • Achieved. We completed education and training and toxic substance drills.
  • Achieved. Our effor ts were validated by the competent authorities and the international certification bodies with no deficiencies identified nor records of penalties in 2023.

Prevention or Remedy Measure

  • We conduct semi-annual management review meetings to regularly assess our OSH performance and achievements, and formulate relevant improvement plans while continually building a safe and healthy workplace. If our OSH performance falls short of expectation, we would adjust relevant measures based on the actual situation, and seek communication and collaboration with internal and external resources.

Occupational risk management

With the core philosophy of “people-oriented,”Taiflex strives to create a“fundamentally safe” work environment, aiming to build the best protection for employee health and safety while strengthening our industry competitiveness. With the ultimate goal of “zero occupational accidents,”We have formulated the following five major OSH policies:

Five Major OSH Policies

Regulatory compliance

Comply with occupational safety laws and regulations and enhance corporate image.

Full participation

Unite as a team in communication and cooperation and raise company-wide safety awareness.

Workplace safety

Commit to a sound work environment and promote the physical/mental well-being of employees.

Risk control

Identify occupational hazard risks and create a safe workplace.

Continuous improvement

Advance occupational safety management performance and achieve the goal of corporate sustainability.

Taiflex has established the Occupational Safety & Health Management Division to coordinate OSH management and planning, and continuously promote the safety culture at Taiflex. On-site safety and health tasks are carried out through cooperation between OSH personnel, the Industrial Safety Section of the Manufacturing Center and the safety and health personnel of each unit.

Safety and Health Unit

Taiflex's OSH Committee provides a formal channel for the management and employees to communicate face-to-face on OSH issues. Besides quarterly Committee meetings, department heads would hold monthly meetings of the same purpose in response to the growing scale of the Company for OSH management.

Composition of the OSH Committee
Factory / Personnel Management Representative Safety and Health Personnel / Technical Personnel Labor Representative
Taiflex 1 1 1 1
Taiflex 2 2 3 4
Taiflex 3 3 5 4
Taiflex 5 1 1 1

The Chairman is not included (for all factories).

Through the hazard identification team comprising of seed personnel of each unit, we proactively evaluate factors that may cause hazards with respect to unit operations, areas, equipment, and the physical and mental status of personnel, and statistically analyze the units with higher rates of disabling injuries and the prevalent types of occupational accidents. Units with higher accident severity and recurrence are prioritized as the focus of safety communications and management.

For hazards with medium-level risk or above (Level 3 or 4), the OSH Committee would request relevant units to develop corresponding control measures with progress reviews on improvements carried out semi-annually. We also delve into minor incidents and false alarm incidents to explore feasible and efficient improvement plans and build our own safety culture.

Taiflex takes the cause of each occupational injury seriously and has established response procedures, including notification, investigation and analysis, and subsequent corrective and preventive measures, to prevent the recurrence of incidents with specific and effective improvement measures.

In 2020, Taiflex adopted ISO 45001 management system and obtained relevant certification. In 2022, we took one step further and expanded the coverage to cover all of our factories. In 2023, we obtained the Taiwan Occupational Safety and Health Management System (TOSHMS) certification. which covers all production and non-production sites, areas, equipment and routine/non-routine operations within the Company's operations, as well as activities carried out by external parties on our premises (e.g., provision of facilities and equipment to be operated within the Company, caterers, security, equipment maintenance providers, etc.)

Each factory continues to manage pursuant to the OSH system, and actively sets performance indicators with regular measurements to ensure the effectiveness and feasibility of safety and health management measures.

OSH System Coverage Rate
Category Total No. of Persons Total No. of Persons Covered by the OSH System Coverage Rate
Employee 856 856 100%
Non-employee worker 23 23 100%

We attach great importance to occupational disaster management of all stakeholders. The monitoring scope covers employees in the Kaohsiung factories and warehouses (97%), as well as on-site external parties, contractors and other workers (3%). We also perform cause analysis on every occupational disaster, both internal and external, as the basis for risk control, incident prevention and continuous improvement of the OSH system.

All of our occupational injury data had met the internal objectives in 2023 with hard work from all employees, and there were no employee or non-employee fatalities or serious injuries due to occupational disasters. We will continue to reduce potential hazards and environmental risks through education and training, workplace inspections, hazard identification and risk assessment, internal/external audits and other mechanisms to achieve the ultimate goal of zero occupational accidents with FSI below 0.1. Please refer to Appendix I ESG Information - Social Data of this report for detailed information.

Occupational Injury Rate/Index 2021 2022 2023 Target (2023)
No. of reported incident 1 0 0 0
FR 0.63 1.82 0.63 <1.5
SR 4.4 3.64 1.26 <3.6
FSI 0.05 0.08 0.03 <0.1
Fatal occupational injury rate 0 0 0 0


  1. Occupational injuries exclude traffic accidents
  2. FR = Number of disabling injury / Total hours worked × 1,000,000
  3. SR = Number of working days lost (excluding the number of fatality) / Total hours worked × 1,000,000
  4. FSI =√( ((FR × SR)/1000))
  5. Fatal occupational injury rate = Number of fatality from occupational injury / Total hours worked × 1,000,000
  6. Taiflex's target of FSI < 0.1 surpasses the 3-year average of 0.16 and 0.14 of the electronic component manufacturing industry and the semiconductor industry, respectively. (Source: Occupational Safety and Health Administration of Ministry of Labor)

Occupational injury statistics over the years
Category Item 2021 2022 2023
Employee Working hours Total working hours of female employees 364,104 386,344 388,664
Total working hours ofmale employees 1,232,200 1,263,096 1,201,112
Total working hours 1,596,304 1,649,440 1,589,776
No. of recordable occupational injuries (including the number of fatalities and serious occupational injuries) Total number of female occupational injuries (times) 2 1 0
Total number of male occupational injuries (times) 1 2 1
Total number of occupational injuries (times) 3 3 1
Fatality rate of occupational injuries 0 0 0
Rate of severe occupational injury 0 0 0
Rate of recordable occupational injury 1.88 1.82 0.63
Non-employee Working hours Total working hours of female employees 2,710 11,520 0
Total working hours of male employees 13,713 42,240 32,206
Total working hours 16,423 53,760 32,206
No. of recordable occupational injuries (including the number of fatalities and serious occupational injuries) Total number of female occupational injuries (times) 0 0 0
Total number of male occupational injuries (times) 0 0 0
Total number of occupational injuries (times) 0 0 0
Fatality rate of occupational injuries 0 0 0
Rate of severe occupational injury 0 0 0
Rate of recordable occupational injury 0 0 0


  1. Fatality rate of occupational injuries = (Number of fatalities caused by occupational injuries / Working hours) × 1,000,000
  2. Rate of severe occupational injury = [Number of severe occupational injuries (excluding fatalities) / Working hours] × 1,000,000.
  3. Rate of recordable occupational injury = [Number of recordable occupational injuries (including fatalities and severe occupational injuries) / Working hours] × 1,000,000.
  4. Severe occupational injury means occupational injury that cannot be recovered from within 6 months.
  5. Recordable occupational injuries exclude ones from commuting.
  6. Type of recordable occupational disasters in 2023: 1 incident of burns.

Work disaster prevention

In order to eliminate potential operation hazards, the OSH Management Division carries out internal voluntary inspections on a monthly basis. Audits are conducted on five major areas within the daily operation, i.e., chemicals, machinery and equipment, on-site environment, fire safety equipment and waste treatment, to ensure the effectiveness of the existing management controls and monitor the improvement progress until it is completed.

To instill the culture of workplace safety and health, and to promote safety and health protection and operational safety awareness among employees, the Company regularly organizes on-thejob training for existing employees. New recruits are to attend the general OSH education and training when they report to work. Assessments would be conducted to establish fundamental occupational safety concepts. Please refer to Appendix I ESG Information - Social Data of this report for detailed annual training information.

Statistics of OSH Education and Promotion in the Past Three Years
Training Item No. of Trainees Training Fee (NT$)
General on-the-job OSH education and training in 2023 624 0
Training for prevention of rights violation at workplace in 2023 442 0
Traffic safety promotion in 2023 - Recognize signs and markings in the industrial park - safe driving 590 0
Fire safety training for new recruits 42 0
General hazard education and training 387 0
First aid training course (CPR+AED) 14 0
On-the-job training for supervisors of specific chemical substance operations 3 2,400
Training for operators of specific high-pressure gas equipment 2 9,600
Training for personnel transporting dangerous goods 1 3,200
On-the-job training for personnel transporting dangerous goods 1 3,000
Training for forklift operators 5 19,000
On-the-job training for forklift operators 10 5,000
On-the-job training for boiler operators 1 2,400
On-the-job training for supervisors of hypoxia operations 1 500
On-the-job training for operators of fixed cranes 3 1,500
On-the-job training for supervisors of organic solvent operations 2 1,600
On-the-job training for first aid personnel 2 1,000
Training for operators of fixed cranes under 3 MT 1 3,500
Preliminary training for security inspectors 1 2,700
Annual 3-hour radiation protection training 1 800
Total 2133 56,200

Trainees include both employees and on-site external parties.

In view of the fact that many occupational hazards do not happen to employees but to nonemployees, Taiflex strives to enhance the safety of our work environment. We collaborate with on-site lessors through mutual support with regular safety meetings held by both parties to strengthen the safety of the common operating environment. Personnel of contractors entering the premises must undergo safety and health education and training beforehand and be informed of operational hazards to ensure the overall safety within the factory.

Taiflex also conducts regular audits on all partners in accordance with the supplier management procedures, with strengthened supervision and management measures for contractors performing high-risk operations on site in particular. Deficiencies identified during audits shall be improved by the prescribed deadlines, otherwise there will be fines or penalties including work suspension. In 2023, we audited and provided assistance to four suppliers, with 14 negative observations identified.

  • Risk identification prior to work
    Hazard identification and operational safety analysis of the operating environment prior to work and to ensure all personnel receive relevant education and training prior to operations.
  • Annual contractor conference and daily safety briefing before work
    Annual contractor conference to explain the safety practices in the factory. Precautionary measures, work details, safety and health regulations, protective gears and associated risks are addressed in daily toolbox meeting.
  • On-job inspection
    Daily on-site safety inspections are carried out. The inspector has the right to interrupt the work and notify the responsible unit.
  • Documentation after work
    Once the work is completed, work forms of the day would be organized and submitted to the personnel in charge for reference.

The Company regularly conducts various emergency drills to assess the feasibility and applicability of the overall emergency response measures in the event of a disaster. Starting from 2021, we have included stakeholders such as contractors and lessors in our emergency drills to enhance the multi-hazard disaster response and prevention concept of both internal and external parties, thereby improving the effectiveness of our disaster notification and communication system. In 2023, we have continued with these practices to ensure comprehensive training for all types of workers in all factories, aiming to minimize the damage of potential disasters and accidents.

Observation and Training of Multi-hazard Disaster Responses

Observation and Training of Multi-hazard Disaster Responses

Firefighting and Rescue

Toxic Chemical Spills

Toxic Disaster Response

Accident Notification and Evacuation

Decontamination Procedures

Employee health management

At Taiflex, our goal extends beyond achieving zero workplace accidents. We recognize that employee health is fundamental to the stable operation of our business. Therefore, we provide comprehensive workplace health management services to our employees. Through various management measures, professional consultations, courses, and activities, we are committed to promoting the physical and mental well-being of our employees.

Unsafe work environment and practices may result in occupational disease or injuries. Besides direct damage on the safety and health of employees, it has an indirect impact on the Company's productivity. In order to improve the physical and mental health of employees, Taiflex conducts regular assessments on five major types of physical and mental injuries and implements improvement and enhancement measures to prevent the occurrence of occupational hazards and injuries.

Chemical / Physica
Sustainable management
  • Monitor the environmental concentration at operation areas containing chemicals to ensure safety, and measure the noise level and exposure risk
  • Health risk stratification for employees taking special health examinations
Enhanced measures
  • Reduce noise pollution with sound-proofing works, and bolster protective gears and training
Results
  • 100% compliance with environmental concentration
  • 100% health counseling rate
Ergonomic
Sustainable management
  • Regular examinations on musculoskeletal conditions of employees and monitor employee staking sickleaves for musculoskeletal disorders
  • Analyze and investigate the situation to conduct hazard assessment on possible high-risk workplaces
Enhanced measures
  • Install and optimize laborsaving devices
  • Health guidance and operation improvements for employees with suspected musculoskeletal disorders
Results
  • Continuous installation of labor-saving devices
  • 22 employees requiring management had received care guidance
Psychological
Sustainable management
  • Establish psychological consultation mechanisms
  • Conduct surveys regularly on the mental load of employees
Enhanced measures
  • Take the initiative in conducting interviews and referrals for employees with excess fatigue
Results
  • 6 referrals to professional psychologist counseling in 2023 (3 referrals in 2022)
Maternity Protection
Sustainable management
  • Regular inventory of the maternal hazard at workplace
  • Conduct maternal care interviews
  • Assess operational hazards
Enhanced measures
  • Unit heads take the initiative to adjust the work scope
Results
  • 7 employees requiring management in 2023
  • Job adjustment for a total of 2 employees with Level 2 risk

The Company engages accredited hospitals to provide employees who have been employed for more than one year with free annual health check-ups that are superior to regulatory requirements, as well as special health examinations for those involved in tasks with special health hazards to verify whether there is any health impact from their work environment or tasks. We take the initiative to arrange employees with abnormal health examination results, maternal employees, employees with excessive workloads as well as ones impacted by occupational disasters to consult with medical specialists. For employees classified as above the stratification, the on-site doctors would evaluate the health status and job functions of these employees to advise on the appropriateness of job arrangements.

For an effective implementation of health check-ups and as the foundation for workplace health promotion and occupational disease prevention, we provide health check-up leave with pay. Additionally, employees’ family members can undergo health check-ups at a group discount rate. We encourage employees to care about their health conditions. In 2023, the compliance rate with health checkup regulations was 100% with zero cases of occupational disease.

Number of Participants in Health Check-ups in the Past Three Years
Item/Year 2021 2022 2023
General health check-ups 680 692 755
Special health check-ups 120 107 99
Health Passport
  • Cardiovascular disease management
    72 high-risk employees received work-hour management and health guidance
  • Maternal health protection
    Assisted 7 maternity colleagues with work environment assessment and health care
  • Respiratory protection with physiological assessment
    Physiological assessment for 204 employees with respiratory protection needs
  • Occupational musculoskeletal symptom prevention
    Provide health education and guidance to 26 colleagues with suspected musculoskeletal symptoms
In 2023, we introduced reserved parking, identification cards, and special gifts for expectant mothers

Through the use of the internal employee portal, Taiflex electronically manages employee health and continuously improves healthcare efficiency. At the same time, we have established a Safety and Care Zone as well as an Employee Assistance Section to help colleagues detect physical and mental health issues, receive timely treatment, and adopt healthy lifestyles, thereby improving individuals’ health conditions. We also use the UOF mobile app to promptly notify employees of any health abnormalities along with comprehensive health education information, as well as offer updates on the latest health knowledge and resources available.

Activities Description
1 Provision of health information
  • Provided 33 pieces of health-related information
  • Total page views increased by 15% (compared to 2022)
2 Health seminar
  • 9 online seminars and courses
  • A total of 422 participants
3 Weight management & weight loss program (Based on statistics for 2023)
  • Number of employees achieving the target: 44 employees
  • Reduction in kg: 372.7 kg
  • Average weight loss in kg in the past three years: 2023 (8.5) > 2022 (7.8) > 2021 (7.3)
  • Weight maintenance rate after weight loss: 2023 (41%) < 2022 (46%) > 2021 (43%)
4 Blood donation events
  • No. of participants: 26 employees (including other stakeholders)
5 Free influenza vaccine administration
  • No. of participants: 10 employees (>3 employees in 2021)
6 Charity road race
  • A total of 68 participants
7 Basketball game - sports competition
  • A total of 273 participants (2 times)
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