4.1 Talent Retention

4.1.1 Composition of Employees

Human Structure Analysis

The head of each department sets appropriate qualifications and conditions for job vacancies as per the job requirements and recruits and appoints talents in accordance with the Company's Employment Procedures. We recruit personnel in accordance with the Labor Standards Act, the Employment Service Act, the Act of Gender Equality in Employment, and the People with Disabilities Rights Protection Act, to ensure fairness, justice, and human rights. In 2022, PSC’s staff encompassed 1,438 full-time employees and 6 part-time employees (4 men and 2 women). Part-time employees were hired based on each department’s operational needs. Among all, there were 8 employees with disabilities (1 managerial position and 7 non-managerial positions), accounting for 0.78% of all managerial positions and 0.53% of all non-managerial positions respectively.

Note: The total number of employees in 2021 disclosed in this report differs from the number disclosed in the 2021 Sustainability Report because the data has been updated after recalculation.

Stable Job Environment

PSC has always placed employees at its core, considering all colleagues family members, and is committed to providing a stable, harmonious, and diverse workplace environment. In the current year, 10.43% of all employees are PSCers, who are long-serving members. The high percentage demonstrates employee identification with the Company’s culture and their willingness to continue advancing with the Company. The average length of service among these employees is an impressive 13.12 years.

4.1.2 Salary and Remuneration

Employees are the most essential stakeholders of PSC and represent the Company's most significant asset. The Company will continue its efforts in planning employee benefits, promoting employee growth, creating a positive working environment, and establishing effective communication channels. At the same time, the Company strictly adheres to relevant laws and regulations, advocates against and prohibits any discriminatory practices, forced or compulsory labor, child labor, and actively promotes human rights awareness while enhancing the labor rights and benefits of its employees.

 

Salary Policy and System

PSC’s salary and rewards policy, as well as its benefits system, are determined through an external market salary survey. Based on the survey results and taking into account input from various stakeholders, the Remuneration Committee makes decisions and authorizes the President to review and approve them.

Salary policy/strong>

To attract outstanding talents to join, we motivate employees with great performance to stay, and the objectives of the salary policy are formulated in the principle of sharing profits with our employees. The details are as follows:
I. Compensate employees fairly and reasonably for their contributions to the Company.
II. Provide competitive salaries to employees compared with other businesses in the same industry.
III. Salary levels are in alignment with government regulations.
IV. Appropriately control the cost of salaries.

Salary system

We have set different ranges of salaries for different job levels, and the minimum salary is in alignment with the minimum salary standard of the Labor Standards Act. New employees’ starting salary is decided based on the job level, work experience, and education. Annual pay raise is based on employee performance evaluation results, price level, and operating performance for the year; the President will verify the adjustment. The average pay raise in 2022 was 1.42%.

Bonus and welfare system

PSC issues bonuses to sales and non-sales staff. For non-sales employees, bonuses are determined based on the Company's annual performance, employee tenure, job responsibilities, and performance evaluations. These bonuses are approved by the Board of Directors upon the recommendation of the President. All non-sales employees still employed on the bonus payment date are eligible for year-end and holiday bonuses. On the other hand, sales employees receive monthly performance bonuses based on their respective bonus schemes. They do not partake in the distribution of year-end bonuses and group bonuses. The Company distributed a total bonus of NT$2,139,192,000 to its employees in 2022, as a recognition of their hard work and dedication throughout the year

4.1.3 Welfare System

Leave System

We cooperate with the government’s policy on five-day work weeks. If the government agency adjusts the holidays, we handle it accordingly, while cooperating with other holidays designated by the Securities and Futures Bureau, FSC, Executive Yuan. In addition, the Company does not promote an overtime work culture. We place a strong emphasis on the physical and mental well-being of our employees, as well as their family life, by providing a vacation system that exceeds the legal requirements set by the Labor Standards Act, encouraging employees to take time off and relax properly after their hard work

Pension System

To encourage employees to remain in long-term tenure and professional positions while ensuring their rights and benefits, the Company adopts both the old and new pension systems.

．Old pension system

The Labor Pension Fund Management Committee was established and approved by the competent authority on October 11, 1994. Subsequently, in compliance with relevant regulations, the Labor Retirement Reserve Fund Supervisory Committee was formed in the following year. The organizational charter and retirement procedures have all been approved and filed with the competent authority. The retirement benefits are based on the actuarial calculations by actuaries, and a minimum of 2% or more of the salary is allocated monthly to the account at the Trust Department of the Bank of Taiwan. The total allocation in 2022 amounted to NT$ 23.506 million.

．New pension system

In response to the new pension system introduced by the government in July 2005 under the Labor Pension Act, PSC allocates 6% of employees' monthly salaries to the retirement account at the Labor Insurance Bureau, aiming to provide for the retirement needs of its employees. As of now, nearly 1,400 employees have joined the new pension system, and the retirement fund allocated in 2022 amounted to NT$ 71.706 million.

Retirement eligibility and pension payment principles:

．Voluntary retirement

Employees who are under any of the following circumstances may apply for voluntary retirement:
‧Those who have worked for 15 years or more and have reached the age of 55.
‧Those who have worked for 25 years or more.
‧Those who have worked for 10 years or more and have reached the age of 60

．Compulsory retirement

The Company may have the employees to retire if they are under any of the following circumstances:
‧Those who are over 65 years old.
‧Those who have reached the age of 55 with work involving special tasks, such as dangerous and manual work.
‧ Those who are psychologically or physically disabled and unable to work.

Employee Stock Ownership Trust

PSC initiated the employee ownership trust in January 2004. Under this plan, employees can determine their monthly contribution amount based on individual needs, and these contributions are used to purchase PSC stocks through a trust mechanism. The Company aims to encourage its employees to develop saving habits and retirement planning. The employee stock ownership plan has been in effect since January 1, 2004. As of December 31, 2022, the total inventory of shares held in trust was 46,572,942 shares, with a trust delivery fund of NT$ 454,358,672, a trust asset market value of NT$ 730,479,671, and net assets of NT$ 276,120,999. The cumulative return rate was 60.8%. In 2022, 1,165 employees joined the stock ownership trust, resulting in a participation rate of 69.9%.

Employee Group Insurance

We provide PSC employees with free group comprehensive insurance, covering life insurance, accident insurance, hospitalization insurance, and cancer insurance. Our benefits extend to free group insurance for their spouses and children, including hospitalization insurance and cancer insurance.

Welfare Committee

PSC contributes 1.5% of the total business revenue monthly to the Company's Employee Welfare Committee, and the contribution rate is the maximum limit as legally permissible. Using the employee welfare fund, the Welfare Committee organizes a variety of social events for employees from time to time, such as hosting employee family days, giving out Christmas roast chicken, New Year and holiday gifts and Mid-Autumn Festival gifts. Through these activities, employees can alleviate their work stress and enhance teamwork. Additionally, the employee welfare fund is also used for providing birthday allowances, as well as allowances or subsidies for marriage, funeral, childcare, travel, language, club, cultural and recreational activities, New Year and holiday gifts. In 2022, the expenditure took out from the fund was NT$ 20,776,843.

Various subsidies and allowances

Club Activity

PSC motivates employees to engage in leisure activities to alleviate their physical and psychological stress in their spare time. We encourage them to participate in club activities and have comprehensive club subsidy evaluation regulations in place to provide club subsidies as per the evaluation results. At present, there are a variety of clubs spanning different aspects, including the billiard, table tennis, aerobics, yoga, mountaineering, photography, badminton, and cycling clubs. The 2022 club subsidy totaled NT$ 141,660.

Emergency Relief

Since 2013, PSC has formally established the Emergency Relief Regulations for employees. If an employee encounters a major disaster or an employee’s family suffers a major accident, we will make a contribution from the employee emergency relief funds or set up a donation fund immediately to help them. We have raised NT$1,180,308 for the emergency relief funds since the regulations were formulated.

Gender Equality Measures

PSC places great importance on gender equality in the workplace. The Company's personnel management policies treat all employees equally, ensuring that gender does not play a role in recruitment, promotions, salaries, or termination procedures. We are also dedicated to protecting the work rights and interests of female employees. Female employees are entitled to menstrual leave, and the Company has been offering maternity leave before the implementation of new laws, as well as miscarriage care leave, which exceeds the requirements of the Act of Gender Equality in Employment, all with full pay. For employees who are pregnant or have given birth, PSC offers parenting counseling services and provides comfortable breastfeeding room. In recent years, efforts have been made to improve the breastfeeding room, expanding and beautifying the space, which earned commendation allowances from the Ministry of Labor and the Taipei City Government. Employees with childcare needs can also take advantage of flexible work hours. Furthermore, in compliance with new regulations, the Company provides 7 days of prenatal and paternity leave. A smooth and transparent system is also in place for employees to apply for unpaid parental leave based on their needs, and they are all allowed to return to work smoothly after their leave.

4.1.4 Labor-Management Interaction

PSC has established and provided a smooth communication mechanism and channels for all employees, including the employee complaint mailbox and employee proposal mailbox. We also hold regular labor-management meetings with representatives from both labor and management, with each side having 5 representatives to maintain a 1:1 labor-to-management ratio. During these meetings, employee issues and concerns are thoroughly discussed to address their demands and safeguard labor rights. In 2022, a total of 4 labor-management meetings were held. In the same year, the Company also initiated a nationwide labor rights advocacy program, aiming to facilitate face-to-face communication with employees in various branches and listen to their needs. Furthermore, recognizing the hard work of logistical staff in branch offices, the Company provides a monthly snack allowance of NT$ 3,000 to these staff members.

Additionally, if employees wish to transfer to other departments due to unsuitable job content or work environments, the Company has a policy to assist employees in transitioning to their new roles smoothly through counseling, helping them become familiar with the new job responsibilities after the transfer.

If an employee is found to be unsuitable for their job after performance counseling, and the employment needs to be terminated, the Company will provide notice according to the following regulations:
I. Those who have worked for three months or more but fewer than one year shall be notified ten days in advance
II. Those who have worked for one year or more but fewer than three years shall be notified 20 days in advance.
III.Those who have worked for three years or more shall be notified 30 days in advance.
After receiving a notice, the employee may ask for leave during working hours to find another job. The number of leave hours shall not exceed two working days per week, and the leave is paid to best accommodate the employee’s needs in securing a smooth transition to other career plans.

Employee Proposal

To encourage employees to express their opinions and utilize their talents to actively contribute to operational improvements, the Company offers special rewards for those who continuously propose innovative ideas aimed at improving the current work situation. Since the revision of the Employee Proposal Procedure, PSC employees have collectively come up with many excellent proposals. Currently, three employees have submitted proposals that were considered effective solutions after evaluated by responsible units, and each of them received a proposal reward of NT$ 5,000. In the spirit of encouragement, even if their proposals are not adopted, they are also provided with a reward of NT$ 1,000. As of now, 14 employees have received rewards for their proposals.

Employee Complaint Channel

PSC has established employee complaint channels in accordance with relevant regulations such as the Labor Standards Act, Occupational Safety and Health Act, and Labor Inspection Act. If an employee discovers that their rights have been violated, they can file a complaint by telephone or in writing.

In addition, the Company has formulated the Sexual Harassment Prevention Complaint Investigation and Handling Procedure and established the Sexual Harassment Complaint Handling Committee responsible for handling and investigating sexual harassment complaints and making decisions related to such matters. The Company also has a dedicated gender equality webpage to promote gender equality policies, with the aim of preventing workplace sexual harassment incidents and providing a comfortable and safe working environment for all employees.

If any employee discovers that the rights of another employee have been unlawfully violated, including but not limited to bullying, discrimination, and harassment, they can report such incidents through the Company's complaint channels at any time. The responsible unit will initiate the investigation process within 7 days upon receiving the complaint and will handle the complainant's personal information with strict confidentiality to protect their rights. PSC’s compliant channels are as follows.