SDGs | Fitipower Integrated Technology Inc.

We believe that

technology not only drives civilization,

but brings us a better sustainable future.

ESG

Management

SDGs

SDG

Fitipower's Practice for SDG

When there is a need for meal or gift box orders, we prioritize ordering products from Children Are Us Foundation (boxed meals and bakery) to support the employment needs of vulnerable groups and positively influence the job market of these groups.
Hired visually impaired persons to offer massages to employees. This helped both the employment of a disadvantaged group as well as the physical and mental health of employees. In 2023, a total of 2,352 massages were provided to employees.

In the procurement of employee meals and holiday gift boxes, we have chosen to purchase agricultural products from local small farmers, not only reflecting our commitment to local care but also enhancing the income of small farmers.
Provide employees with food subsidies (including lunch and dinner), and employees only need to pay a small amount of expenses themselves.

In addition to labor insurance and national health insurance that must be provided as required by law, we also offer employees group insurance (the coverage includes life insurance, accident insurance, hospitalization medical insurance, accident medical insurance, and cancer medical insurance) and travel safety insurance.
Hired physicians and nurses to provide employees with one-on-one inhouse professional consultation. In 2023, a total of 192 consultations were applied.
In compliance with local laws and regulations, we provide employees with annual health checks to take care of their physical health. In 2023, a total of 526 employees participated the health examinations.
Other than holding health lectures from time to time, we also provide employees with a travel subsidy of NT$20,000 (annual) to promote physical and mental health.

Required the Board members to continue to participate in further education courses and provide courses on succession planning for senior managers.
Sound career development path and diverse training and learning channels and resources. In 2023, the average training hours for our colleagues reached 14.6 hours, the training cost per person was NT$1,287, and the number of in-house instructors was 80.
The “SDGs Promotion Project – Making the World Better” in collaboration with the Taiwan Library, and the release of a sustainable booklist in response to the United Nations SDGs, serve as a reference for book selection for primary and secondary school students in Taiwan. Relevant promotional activities were continued. In 2023, two exhibitions, two “Lesson Plan Design Workshops,” six demonstration reading corners in the libraries, six inclusive reading activities were held, and 52 episodes of “Big Ear Explorer” were broadcast, and five promotional videos on “Dr. Cong-Ning Huang’s YouTube Channel” were made.
In the “Campus Promoters for Environmental Sustainability” series of activities, we organize lectures on the environment, guided reading for children in remote townships, and summer camps, comprehensively nurturing students of all ages.
Responding to the e-Reading Future event organized by e-paper partner, E Ink Holdings Inc.

Committed to diversity and inclusion within the Board of Directors; with female directors accounting for 50% of all directors.
Released the policies on human rights and diversity and inclusion, as well as the regulations for prevention and management of sexual harassment, thereby prohibiting any form of unequal treatment toward female employees.
Promoted the “Maternal Health Protection Program,” which includes specific measures such as birth allowance, exclusive parking spaces for pregnant employees, the right to unpaid parental leave, and breastfeeding rooms.

Conducted drinking equipment testing, replacement of filters, and disinfection of cooling towers on a regular basis.
Continued to communicate water conservation to employees and purchase equipment carrying the Water Conservation Mark.

Provide excellent compensation for employees. In 2023, the median and average compensation of non-managerial staff were NT$1.946 million and NT$ 2.426 million, respectively, ranking the top among listed companies.
We have multiple recruitment channels, including online talent recruitment platforms, social media, talent hunting agencies, recommendations from family and friends, industry–academia internship program, R&D substitute servicemen, talent expos, and talent matchmaking meetings. The new employee rate in 2023 was 9.3%, the employee turnover rate was 15.5%, and the key talent retention rate was 87%.
We participated in the government's talent training program (The Youth's Employment Ultimate Program). In addition to fully returning the government’s youth evaluation grants to the employees, we provided an additional matching bonus. The employees who participated in the Program and have been with the Company for two years can receive a total of NT$216,000.

Fitipower continues to enhance its R&D capabilities, thereby expanding product applications in the fields of communications, automotive, IoT and AI. In 2023, besides an R&D team of 182 members, we invested a total of NT$2.25 billion in R&D, accounting for 13.8% of the overall revenue.
We are committed to breakthroughs in the development of modular, highly integrated, low-energy, and high-efficiency technologies, which are expected to significantly contribute to energy saving and carbon reduction in end-electronic products. Based on the chip shipments in 2023, approximately 290,000 metric tons of carbon emissions can be reduced, including one newly designed energy-efficient products.
Provided bonuses for patents, including bonuses for patent applications, bonuses for patent licensing, and bonuses for patent utilization to encourage colleagues to submit patent proposals. In 2023, there were five new patents approved, bringing the total number of valid patents to 77.
Organize the automation competition to enhance the efficiency of business processes and reduce costs in each unit. In 2023, a total of 20 projects received awards, and a total of NT$510,000 was awarded.
Organized the “Fitipower AI Green Technology Sustainable Innovation Competition,” leveraging Fitipower’s expertise in chip design to inspire students’ creativity and sustainability thinking. The competition aimed to integrate learning resources and information to implement smart and green product applications.

In accordance with international human rights norms and initiatives, such as the UN's “Universal Declaration of Human Rights,” we have released a human rights and diversity policy, which specifies that no differential treatment or discrimination is allowed in recruitment, employment, promotion, reward, and welfare due to their race, language, blood type, religion, political party, native place, gender, age, marital status, facial features, or other factors.

The waste electronic components, scrap materials, and nonconforming products (including wafers and packaging materials) generated during Fitipower's operations are all entrusted to qualified contractors for clearance and treatment. Cartons and domestic waste are sorted before handing over to the park cleaning team for recycling and subsequent disposal. In 2023, the overall production of waste was approximately 34.6 metric tons, with an overall recycling rate of 57.3%
To ensure that all of our products don't contain restricted substances or chemicals, and comply with the RoHS, REACH standards of different countries.
Respond to green procurement initiatives. For procurement of cyber communication equipment, priority was given to products with a green label. In 2023, the ratio for green procurement of cyber communication equipment reached 98%.
Continued to release a sustainability report and refined the quality of information disclosure.
Through the “Campus Promoters for Environmental Sustainability” project organized by Fitipower's foundation to launch a series of circular economy activities. In 2023, we organized the activities of “Environmental Protection Booths,” “Non-Pollution Materials Week,” “Environmental Volunteers during Electrical Engineering Week,” “Circular Second-hand Market,” “Environmental Promotion for Children in Rural Areas,” “Environmental Education Promotion for Senior High School Students,” “Non-native Species Removal” and “Hand-making Trail.”

Established the “Fitipower Environmental Foundation” to gather social power and expand its influence and dedicated to the mission of “Circularity to Restore the Earth” based on the four core pillars of “Ecological Conservation,” “Climate Change,” “Circular Economy,” and “Disaster Relief.”
Provide multiple options for the lunches of the employees. In addition to the meat diet containing rice or noodles, we supply vegetarian and fruit meals to take care of the employee’s dietary health and reduce CO2 emissions.
Released the Company’s GHG inventory planning schedule and gradually established the Company’s operational carbon emission database used as a management basis for subsequent net-zero targets and actions.
Planned to implement a comprehensive Task Force on Climate-related Financial Disclosures (TCFD) to understand the specific financial impacts used as a consideration for the planning of subsequent operational strategies.
We plan to introduce the greenhouse gas inventory system (ISO 14064-1) as the basis for our carbon reduction management.
Built the Product Carbon Reduction Platform to evaluate the carbon reduction benefits of the Company’s energy-saving ICs at end-use as a reference for chip design.

As part of the “ Campus Promoters for Environmental Sustainability “ series, we organized seminars on ocean sustainability and engaged in related discussions with students. A lecture titled “Climate Change – Blue Carbon Coral” will be held in 2023.
Fitipower has sponsored the “Knowing Horseshoe Crab – Protecting the Horseshoe Crab” series of activities at the National Museum of Marine Science and Technology, which combines environmental education, with the restoration and release of the juveniles. In 2023, a total of 800 young horseshoe crabs were restored and released into their natural habitats.

We promote a “green office culture.” To reduce paper use, besides promoting used paper reuse, we progressively implemented the online approval system to replace traditional paper document approval, e-payroll system, and e-learning courses to reduce paper use.
Invested in the development of technologies associated with the application of products such as electronic paper and electronic labels to accelerate our paperless initiative, further reducing forest land loss.
“Removal of Exotic Species – Louisiana Crawfish” was organized by students of National Tsing Hua University in a series of “Campus Promoters for Environment” activities organized by Fitipower Environmental Foundation, to protect native species and biodiversity.
The “Hand-making Trail” activity organized by the Fitipower Environmental Foundation featured Fitipower volunteers along with students from Tsing Hua University and Yang Ming Chiao Tung University who maintain the trails in the mountains and forests by hand method using natural materials to reduce environmental impact.

Supported the Responsible Minerals Initiative (RMI) to ensure that 3TG minerals are acquired from RMI-certified smelters. In 2023, 37 suppliers' materials contained 3TG. According to the result of the investigation, all of the suppliers used 3TG minerals from RMI-certified smelters.
Provided courses related to ethical corporate management and integrity to enhance the quality of employees while also building a corporate culture. In 2023, the total training hours for employees reached 1,652 hours.
Complied with the requirements of the “Ethical Corporate Management Best-Practice Principles for TWSE/TPEX Listed Companies,” the “Personal Data Protection Act,” the “Trade Secrets Act,” and the “Fair Trade Act.” We also have internal regulations in place and regularly conduct audits and reports. In 2023, we did not receive any reports regarding violations of ethical corporate management and integrity and we did not violate any laws or regulations; no deficiencies were found in internal audits.
Established a full-time regulatory identification unit and assign responsible staff to solve legal problems.
Internal auditors shall maintain integrity and independence to carry out their duties objectively and impartially and periodically report the audit outcomes to the Audit Committee.
Established a comprehensive performance appraisal system. In addition to conducting two performance evaluations of employees each year, we have formulated the “Board of Directors Performance Evaluation Regulations” to ensure the sound operation of the Board of Directors.

Joint five industrial and academic organizations to facilitate the collaboration of the companies in the semiconductor industry and strengthen the overall development of the industrial system. In 2023, NT$620,000 was invested.
Collaborated with domestic elite institutes of electronics by combining the industry–academia resources. Through knowledge and technology exchange, we accelerated the R&D, enriched the outcomes, and enhanced efficiency. We also provided students with future employment opportunities. In 2023, NT$6.4 million was invested.
We connect with Taiwan’s academic, medical, and educational institutions through the Fitipower’s Foundation to invest in resources for relevant projects and activities to promote a vision of social inclusion and environmental sustainability. In 2023, NT$3 million was invested.