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Corporate Social Responsibility Policy and Implementation

1Corporate Social Responsibility Policy

The Company has set up the Corporate Social Responsibility Best Practice Principles to fulfill its corporate social responsibility on a basis of implementing corporate governance, developing a sustainable environment, maintaining social welfare, and improving disclosure of corporate social responsibilities.
The Company’s corporate social responsibility policy is as follows: compliance, freedom of employment, prohibition of child labor, humane treatment, prohibition of improper discrimination, establishment of a communication system, sound salaries and benefits, employee training, integrity, respect for intelligent property rights, care for the disadvantaged, and promotion of social responsibilities.

 

2Implementation Unit

To fulfill its social responsibility, the Company appoints the administration center of the head office as the unit in charge of promoting corporate social responsibilities. The administration center is responsible to call related departments every quarter to discuss and implement plans for corporate social responsibilities; the administration center is also responsible to supervise the implementation and report to the Board of Directors. The implementation status was reported to the Board of Directors on November 3, 2020.

 

3Implementation Status (Specific Results)

1. To strengthen corporate governance, the Company reviews the results of the recent corporate governance evaluation with recently released corporate governance evaluation indicators each year and makes an improvement plan to improve substandard items

2. To support national sports and employment of student athletes, the Company employs student athletes. With complete training and straightforward work SOPs, student athletes are trained to become independent customer service engineers within half a year.

3. The Company provides the internship programs in cooperation with National Taipei University of Technology for college students to learn the business operation before employment and gain competitiveness.

4. Environmental protection policy:
In the face of climate change, the Company takes corporate social responsibility as the prerequisite and promotes environmental protection policies as follows

4-1.Quantitative Goals for Greenhouse Gas and Water Management

(1)Greenhouse Gas Management
There are 6 types of greenhouse gases, among them, according to the data of EPA, CO2 accounts for 95.36%. The Company is engaged in R&D equipment and assembly equipment production without using other special gases. Therefore, the Company focuses on CO2 management. For the quantitative goals for the future, it is planned to adopt calculation logic of carbon intensity (carbon emissions/GDP) expressed as carbon emissions/annual turnover, and set a 50% reduction goal for the year 2025 compared with the one of 2016.

(2)Water Management
Water resource is a global issue, and a stable water supply is the goal of countries around the world. According to the regulations of the Science Park Bureau in 2017, corporates whose water consumption exceeds 1,000 tons per month shall be listed and supervised in terms of water consumption. In 2018 and 2019, the Company’s water consumption was 440 and 560 tons, respectively, which was far less than the 1000 tons threshold. However, to fulfill the Company’s social responsibilities and respond to the mission of improving global water resources, we will reduce our water intensity (total water consumption/annual turnover) by 30% by 2025 with 2016 as the base year to contribute to mitigating the climate change.

4-2.Implementation Measures

(1)For Greenhouse Gas

A.Air-conditioning: Control the available time for usage, turn off the air-conditioning during the off-duty period to avoid wasting electricity and energy.

B.Lighting Management:

● For the public areas requiring lighting, the motion sensors have been set for automatic turning on/off at regular intervals to reduce unnecessary electricity consumption.

● For lighting of office aisles at night, the motion sensors have been set for automatically turning off the light during daytime (if there is sufficient daylight) and turning it on when there is personnel moving at night, which could reduce unnecessary electricity consumption.

● Set switches for sectional turning on/off the lights to avoid unnecessary full-range lighting within the office areas. Warning signs are also placed near those switches to remind the staff of proper environmental protection concepts.

(2)Water Management
The garden within the Company is equipped with an automatic timing sprinkler system to reduce the need for manual watering.

4-3.Achievements

● Take 2016 as the base year, the carbon intensity in 2019 has been reduced by 37.04%.

● Take 2016 as the base year, the water intensity in 2019 has been reduced by 23.57%.

Climate Change Assessment and Response Measures
The 2019 Global Risk Report published by The World Economic Forum (WEF) considers extreme weather events and natural disasters as the top 1 risk. In the face of the impact of climate change on business operations, the Company regularly reports to the Board of Directors so that the Board and senior management level could understand the impact of climate change on the Company. From time to time, various departments within the Company also directly or indirectly respond to climate change by conducting work inventory and risk identification, and simultaneously analyzing the risks and opportunities to the Company’s operating activities from the impact of market demands and other social aspects. Based on the analysis results, the risk management strategic plans would be formed as the core of climate change actions. By adopting the aforementioned collected data, the Company’s climate change governance would be strengthened, and the financial relevancy would be systematically assessed to mitigate relevant risks and seize the business opportunities.

5. Community engagement, social contributions, social services, and social welfare: The Company responds to activities relating to the social disadvantaged and charity groups from time to time and provides socially disadvantaged groups jobs opportunities and care.

Community activities include

(1) Helped Eden Social Welfare Foundation promote social services.

(2) Offered donations to Hsinchu Renai Children’s Home.

(3) Sponsored cnYES’s donation event.

(4) Implemented the Little Apple donation for the disadvantaged and adopted 83 little apples.

(5) Raised funds with New Hope Foundation for the disadvantaged. There were 105 participants raising funds amounting to $82,273.

6. Consumer rights: The Company strives to meet the goal of customer satisfaction. In addition to the focus on the quality of products, the Company sets up the service quality center in charge of after-sales service and customer complaints to ensure consumer rights.

7. Human rights: Every employee of the Company has the equal right to work, express opinions and develop freely regardless of race, gender, and age.

8. Work-life balance: According the law, the Company offers parental leaves without pay, paternity leaves and menstrual leaves and encourages employees to take days off. Travel allowances and regular health examinations are also provided.

9. Protective measures for the workplace and personal safety

(1) Access security

A. All-weather surveillance system.

B. Access system at each entrance/exit.

C. Contracted security company at night and on holidays for the safety of the plant.

(2) Equipment maintenance and inspection

A. Equipment or firefighting facilities (such as fire alarms or fire extinguishers) are maintained or repaired yearly, quarterly, or monthly on a regular basis to keep them best available for use at any time.

B. According to the regulations of fire service, a qualified fire inspection company shall be appointed to carry out the fire inspection in the plant every year.

C. The electricity system, air conditioning, firefighting facilities, hazardous equipment shall be inspected and maintained cycle by cycle.

D. According to the Occupational Safety and Health Act, the qualified inspection company shall be appointed to carry out the inspection of the work environment, including noise, lighting, CO2 concentration, and chemical concentration, every six months.

(3) Preventive and response measures for disasters

A. The Company sets up the Regulations Governing Preventive and Response Measures for Disasters, which specify the roles and tasks of the personnel at all levels in case of emergencies, major events, and general accidents for the prevention, treatment, and reporting of disasters, events, and accidents.

B. The Company forms the self-defense fire group, including extinguishing class, reporting class, evacuation guidance class, security class, and rescue class.

C. To maintain and manage the safety and health of employees, the head office is the Level 1 unit in charge of promoting the environmental safety and health.

(4) Community engagement, social contributions, social services, and social welfare: The Company responds to activities relating to the social disadvantaged and charity groups from time to time and provides socially disadvantaged groups jobs opportunities and care.

10. GHG Emissions and Water Consumption:

Item/(Unit) 2019 2020
GHG emissions/CO2e 585 586
Water consumption/L 5280 6725
Total weight of waste/Ton -- --

 

4Hum Human Rights Policy:

To fulfill corporate social responsibility and to protect the basic human rights of employees, customers and stakeholders, Machvision respects internationally accepted basic human rights in accordance with the Universal Declaration of Human Rights, the United Nations Guiding Principles on Business and Human Rights, the United Nations Global Compact and the International Labor Organization, including freedom of association, caring for vulnerable groups, prohibiting the use of child labor, eliminating all forms of forced labor and eliminating recruitment and employment discrimination, and complies with local labor laws and regulations. Based on the characteristics of the financial industry and business development strategies, Machvision regularly conducts risk assessments on human rights issues, incorporates external expectations and communicates with stakeholders, identifies important human rights issues and high-risk groups, and establishes due diligence procedures and implements mitigation measures and management objectives; the results of the aforementioned risk assessments will be publicly disclosed on a regular basis. Related risk issues are explained as follows:an Rights Policy:

1. Diversity and equal opportunity: Machvision does not have discriminative languages, attitudes or behavior due to gender, ethnicity, socioeconomic status, age, marriage, family status, language, religion, political party, nationality, appearance, facial features or physical and mental disabilities; Machvision ensures that employment policies are not differentiated and that employment, compensation and benefits, training, evaluation and promotion opportunities are implemented fairly and properly; Machvision also provides an effective and appropriate grievance mechanism to avoid any harm to and respond to employee benefits. Machvision is committed to creating a workplace of equal appointment and freedom from discrimination and harassment, and regularly tracking the implementation of diversity and equal opportunity.

2. Reasonable working hours: To ensure that employees are not at risk of working overtime, Machvision has set the standard for working hours and extended working hours, and regularly cares for and manages employee attendance.

3. Healthy and safe workplace: To avoid potential health and safety risks brought about by the practice of the financial industry, Machvision regularly reviews employee health and safety risks and conducts improvement plans based on the results of identification.

4. Freedom of association: The Code of Conduct clearly states that employees have freedom of association. Machvision establishes a diversity of clubs and encourages employees to participate.

5. Labor-management communication: Machvision establishes smooth communication channels and holds labor meetings on a regular basis to ensure the rights of both parties.

6. Privacy protection: To fully protect the privacy of customers and all stakeholders, Machvision has established a sound information security management mechanism and complies with strict management practices and protective measures.

7. Training:

Date

Location

Instructor

Course/Speech

Subject

2020/4/25

B1 Cafeteria

Su, Yi-Fan

Human Rights Protection Policy
(Explanation of the Act of Gender Equality in Employment)

All employees

2020/7/27

B1 Cafeteria

Physician
Hsu, Sheng-Ping

Communication skills in the workplace

All employees

2020/11/19

B1 Cafeteria

Attorney
Fu Ming

Introduction and response to the Labor Incident Act

All employees

2020/12/14

B1 Cafeteria

Fu, Alex

Workplace safety

All employees