Talent

An Attractive Employer for Professional Talents

In order to create momentum for growth even amid continuous changes in the external environment, Nanya uses talent retention and cultivation to preserve competitive advantages. We also accept employee opinions to create a safe, human rights-based, and harmonious workplace and fulfill our business targets.

Statistics

  • 85.9 %

    Employee substitution rate for internal job openings reached 85.9%, up 1.7% compared with 2021

  • 76.2 %

    Employee Engagement Survey reached the average approval rate of 76.2%, up 4.2% compared to 2021

  • 200 points

    Full score of 200 points, RBA VAP Verification Plan

Strategy and Performance

2022 Performance

Talent Cultivation and Development

  • Annual planned course completion rate: 178.5% (Goals: ≧100%)
  • Percentage of key talent to total employees: 5.5% (Goals: ≧4%)
  • Internal employee substitution rate: 85.9% (Goals: ≧62%)
  • Received the Talent Development Quality Gold Award (Goals: TTQS Talent Development Quality Gold Award)

Talent Retention and Employee Care

  • Retention rate of key talent: 99.5% (Goals: ≧98%)
  • Voluntary turnover rate: 8.8% (Goals: ≦5%)
  • Average approval rate inf Employee Engagement Survey 76.2% (Goals: ≧75%)

Human Rights

  • No major deficiencies are found in external audits or labor inspections
  • Workplace violence:0 event (Goals: 0 cases)
  • Employees' educational training on labor ethics completion rate: 100%(Goals: 100%)

Occupational Health and Safety

  • Frequency of disabling injuries: 0 (Goals: <0.21)
  • Severity of disabling injuries: 0 (Goals: <6.8)
  • Internal and external independent inspection rate: 94.1% (Goals: >93.8%)

2023Goals

Talent Cultivation and Development

  • Annual planned course completion rate ≧100%
  • Percentage of key talent to total employees: 5.7%
  • Internal employee substitution rate: ≧65%
  • Received the TCSA Talent Development Leader Award

Talent Retention and Employee Care

  • Retention rate of key talent: ≧98%
  • Voluntary turnover rate: ≦6%
  • Average approval rate inf Employee Engagement Survey ≧75%

Human Rights

  • No major deficiencies are found in external audits or labor
  • Workplace violence: 0 event
  • Employees' educational training on labor ethics completion rate: 100%

Occupational Health and Safety

  • Frequency of disabling injuries: <0.19
  • Severity of disabling injuries: <6.5
  • Internal and external independent inspection rate: >93.9%

Strategy

Talent Cultivation and Development

  • Competency improvement: Formulate annual training and development plans, and plan diverse learning courses and channels
  • Key talent: Strengthen key talent development and increase the percentage of key talent
  • Personal development: Establish self-learning and employee individual development mechanisms to increase the employee substitution rate for internal positions

Talent Retention and Employee Care

  • Manpower stabilization: Implement talent retention plans to stabilize outstanding employees and increase the retention rate of key talents

Human Rights

  • Regulatory compliance: Comply with international human rights standards and apply relevant policies and standards in practice
  • Protect equality: Build workplace equality by establishing risk management and precautionary measures as well as designing diversified communication and complaint channels

Occupational Health and Safety

  • Early diagnosis and early improvement: Continuous PDCA improvements for the occupational health and safety system
  • Safety culture: Build employees' safety awareness and establish a high-quality safety culture
  • Cross-inspection: Cross-inspection by internal and external institutions to strengthen independent inspections

Attracting and Retaining Talent

Employees are not only the most important capital to Nanya, but also the key to supporting sustainable operations and innovative R&D within the Company. We strive to create a humane and comfortable office environment where new employees are subjected to systematic training and have access to diverse learning resources to help them quickly accumulate professional knowledge and skills for the semiconductor industry, and receive reasonable compensations in return. The Company also has an Employee Welfare Committee that organizes exciting and interesting recreation activities on a yearly basis to maintain employees' work-life balance as well as physical and mental well-being, and create a sustainably healthy workplace. We believe a competitive and stable workforce to be essential for improving the productivity and competitive advantage of the Company. We continue to design and provide an environment where talents may thrive. Through talent cultivation, we strive to become the best employer that looks after talents.

  • Diversified recruitment policy

    Since Nanya has business operations based in Taiwan and overseas, the nationalities of the Company's employees are quite diverse. In addition to Taiwanese staff, 111 employees of the following 15 nationalities were also hired in 2022. Our employees form an internationally diversified workplace. In descending order, the top five nationalities of foreign managers were American, Japanese, German, Chinese, and Indonesian.

    Nanya also supports the government's policies of hiring people with disabilities as part of its workplace friendly diversity initiative. As of December 2022, Nanya hired a total of 36 employees with disabilities into Taiwan operations, which represented 1.01% of total employees. We continue to work towards hiring more people with disabilities and provide appropriate job positions. Through increasing job opportunities for people with disabilities, we intend to build a diversity-friendly workplace.

  • Stable workforce

    The semiconductor industry is both capital and technology intensive. It not only involves multi-billion-dollar plants and manufacturing equipment, but also requires a substantial number of outstanding engineering talents to join the production team of Nanya. Nanya has a very stable workforce structure. In 2022, the Company has a total of 3,685 permanent employees in Taiwan and in overseas subsidiaries (including 89 interns), in which 86.62% are specialists. Formal male employees totaled 2,670 (accounting for 72.5%), whereas formal female employees totaled 1,015 (accounting for 27.5%), representing a gender ratio of 2.63 (male) : 1 (female).

    In 2022, Nanya Technology Corporation had 27 female mid-level managers, which accounted for 14.14% of all midlevel managers; there were also 3 female senior-level managers, representing 5.26% of all senior-level managers.

    The average age of the Company's employees was 37.86 years old. The 30-50 age group was the most dominant of all, representing 67.41% of total employee size. Most employees had a bachelor or master's degree. All formal and informal employees are directly hired by the Company. The Company did not hire any part-time staff in 2022 and 100% of its employees worked on a full-time basis.

  • Attracting top talents

    The Company hired a total of 373 engineers in Taiwan in 2022. The Company recruits entry-level engineering talents through factory sites and campus recruitment programs. The Company approaches renowned local colleges each year to recruit engineering talents with various skill levels and matches them to open positions on-site. We invested approximately NT$1.3 million in recruiting in 2022, averaging NT$2,337 per person. As the COVID-19 pandemic gradually subsided, the number of college recruitment events increased to 15 in 2022. To encourage all willing students to pursue a dream career in the high-tech industry and contribute to semiconductor development in Taiwan. New recruits accounted for approximately 11.18% of the Company's total employees in 2022. Gender distribution of new recruits was approximately 4.02 (male) : 1 (female).

Talent retention

Enhanced work security

In response to changes in the industry and challenges in the business environment, the Company continues to not only push for fairness and reasonableness in various operations, but also prioritize the work rights and interests of employees. Under the human resource coordination system of the Formosa Plastics Group, employees are transferred first before they are made redundant. In order to motivate employees to achieve organizational goals and retain outstanding talents, the Company uses a quarterly incentive system to not only encourage employees to actively reach for business goals, but also share company profit. The voluntary turnover rate in 2022 was 8.8% (the male to female ratio of those who resigned is approximately 3.47 : 1). Compared to the voluntary turnover rate of 7.09% in 2021, there was a 1.71% increase in 2022, and it was also slightly higher than the average turnover rate of 8.3% in the industry. In response to this situation, the Company adjusted the starting salary of unexperienced new recruits, made an annual salary adjustment for all managers and employees, and made structural adjustments to the salaries of special departments and specialists in July 2022. This allows employees to work in a happy and safe environment.

Attractive compensations

The Company' s compensation and welfare systems have been developed through local salary surveys and discussions with regional salary associations, after taking into account factors such as industry competitiveness, macroeconomics, corporate culture and business sustainability. This process ensures the competitiveness of our overall salary package. We also offer additional bonuses and variable compensations based on employees' individual performance and accomplishment of organizational goals (or profitability), and in doing so, we reward employees for their excellent performance and share with them the profits we make as a group, regardless of their gender. In 2022, Nanya include in the Taiwan High Compensation 100 Index.

Terms of compensation that enhance talent retention

  • Nanya is a composition of Taiwan High Compensation 100 Index, indicating the strong competitiveness of the Company's compensations

  • Year-end bonus, festive bonus, Dragon Boat Festival/Mid-autumn diligence bonus, grade bonus

  • Long-term incentives: Include employee remuneration, employee stock option certificates, incentive bonus and annual salary adjustments

Enhanced work security

With a favorable working environment and lifestyle security, Nanya has won the trust and recognition of employees. The Company continues to promote various retention and incentive measures—including employee stock warrants, employee bonuses, incentive bonuses—to manage employee turnover risks and effectively retain talents. Even if external pull strengthens, the Company adjusted the starting salary of unexperienced new recruits, made an annual salary adjustment for all managers and employees, and made structural adjustments to the salaries of special departments and specialists in July 2021. The margin of adjustments was higher than competitors, and epidemic prevention measures implemented during the outbreak allowed employees to work in a happy and safe environment.

Analysis of turnover rate in Taiwan and overseas in 2019-2022

  • Note 1: Calculating formula for turnover rate = (number of resignations in January/total number of employees at the end of January) x 100% + (number of resignations in February/total number of employees at the end of February) x 100% +...+(number of resignations in December/total number of employees at the end of December) x 100%
  • Note 2: Voluntary turnover refers to resignation initiated by the employee. The Company calculates turnover rate mainly based on voluntary turnover. Total turnover rate includes voluntary (including retirement) and involuntary turnover (including dismissal, redundancy, death etc.)
  • Note 3: In 2019, the calculation of turnover rate began excluding direct interns (personnel turnover due to expiration of internship contracts).
  • Note 4: We began excluding employees on unpaid leave from the voluntary turnover rate in 2020. Based on the calculation that excluded those who went on unpaid leaves, the adjusted voluntary turnover rate was 5.55% and the adjusted overall turnover rate was 5.89% in 2019.

Employee Engagement Survey

Nanya conducts an organization-wide Employee Engagement Survey annually to gain insight into employees' level of approval towards the Company on several aspects, including work, management, and organizational vision. This survey used 28 questions to collect employees' opinions on 6 aspects. The response rate of 93.4% was slightly higher than in 2021. The results showed that the average level of approval from all employees was 76.2%, an increase of 4.2% compared to the 72% in the previous year.

Average Approval Rate

  • Note: This survey uses a ten-point system. "Average approval" refers to 7 points or more. The percentages in the columns represent the percentages of survey responses that indicated 7 points or more.

Improvement and reinforcement measures in 2022

  • When the epidemic situation was the most severe, we implemented the two shifts two rotations mechanism for employees with school age children to flexibly arrange their work schedule and take care of their children

  • We made plans to meet the regular demand on transportation and shuttle buses in response to the expansion of the new fab, and reduced the inconveniences brought by the construction to employees. We also increased shuttle buses between Danfeng Station and A8 Station to provide employees living in Taoyuan Linkou and Taipei Xinzhuang and Taishan with a more convenient option for commuting to work

  • Communication group trainings for mid-level managers: Set up group trainings for mid-level managers to help them strengthen leadership and communication skills

  • We continued to improve promotion and compensation measures in hopes of increasing employee approval in the aspects

Talent cultivation

Comprehensive Talent Cultivation and Development

Talent Development Guidelines

Co-learning Gathering - We Together, We Learn, We Grow

As the impact of COVID-19 in 2022, we formulated the Talent Development Plan 2.0, building the resilience of our training system, and received TTQS Talent Development Quality Gold Award for three times. Continuing the talent cultivation project's theme of [Co-learning Gathering – We Together, We Learn, We Grow] in 2021, the theme of our 2022 talent cultivation action plan was [Work Together, Learn Together, Grow Together.] The framework consists of four talent development elements, including:

Diverse learning paths and environment

The Company has planned diverse learning channels and a complete environment for talent cultivation, life-long learning, and employees' individual development plans, in order to satisfy employees' needs for diversified learning.

Maximizing employee performance

The purpose of Nanya's performance management system is to maximize employees' potentials. In addition to providing good learning environment and implementing sound performance management systems, the Company also emphasizes productive interaction between line managers and their subordinates. Employees who exhibit good performance are rewarded; for those who exhibit poor performance, the system actively reminds their line managers to direct attention and provide assistance until there is significant improvement in performance. This treatment is not differentiated by gender in any way.

  • Multi-dimensional performance appraisal
    Subjects

    Plant and division managers and above Department managers/project managers/executive engineer Section manager/ project manager/project lead engineer Team leader/Shift leader

    Frequency

    yearly

    Evaluation method
    • 180-degree performance evaluation: To provide a relatively objective basis for performance evaluation, the frequency of communication and coordination with each unit is taken into consideration for section managers and above (inclusive), and 180-degree performance evaluation is conducted. The direct supervisor of related personnel selects 4-6 peers or managers that come in contact with each other in operations for the evaluation.
    • 360-degree performance evaluation: Feedback from subordinates on the subject's managerial skills is referenced.
  • Management by objectives
    Subjects

    Department managers/project managers/Section manager/ project manager/Team leader/Shift leader/engineer/manager/ Administrative, Technical, Business assistant

    Frequency

    quarterly

    Evaluation method
    • First conduct self-assessment of colleagues, explain the work and their own views.
    • Afterwards, the immediate supervisor evaluates the work performance of the subordinates, and gives encouragement and suggestions for improvement and assistance to the employees.
  • Agile conversations
    Subjects

    Team members

    Frequency

    quarterly

    Evaluation method
    • Project evaluation is divided into top-to-bottom evaluation and peer evaluation.
    • Top to Bottom: The supervisor evaluates the performance of subordinates.
    • Peer evaluation: Peer evaluations in each project to understand whether the two parties have a consensus on teamwork and communication performance.
  • Team-based performance appraisal
    Subjects

    Direct employee and immediate supervisor

    Frequency

    monthly

    Evaluation method
    • The supervisor will conduct evaluations based on individual teamwork, cooperation, learning ability and other items.

W.A.K.E - A Friendly Workplace with an Energized Workforce

Nanya received the Ministry of Labor Work-Life Balance Award Employee Care Award for its complete EAP. In addition to providing salaries that are competitive for the industry, Nanya also promotes the Employee Assistance Program. It is combined with WAKE Up actions—a full range of employee benefit measures based on the themes of "wellness", "assistance", "kindness", "exercise". We hope to achieve the goal of creating a group of joyful technology talents through building a happy workplace.

  • Wellness

    The Company collaborates with professional medical team from Chang Gung Hospital to provide annual health check service for employees. A total of 1,184 employees had completed their health checks in 2022, for which the Company incurred total expenses of NT$1,734,804 in expenses. Employees who exhibit abnormal health check results are tracked on an ongoing basis and subjected to health management. All of our factories have a medical room with a physician stationed on site to provide employees with professional medical and consultation services. Seminars on spirituality and health and healthcare courses are arranged each quarter to meet employees' need for knowledge on physical and mental health.

  • Assistance

    The Company offers a wide range of benefits from dining, accommodation, shuttle bus to parking to improve the friendliness and convenience of the work environment for employees. The Company also has an Employee Welfare Committee available to arrange diverse benefits and activities for employees. The Employee Welfare Committee received approximately NT$40 million in funding in 2022; the majority of which was spent on incentive trips, festive gifts, birthday vouchers, children's scholarship, group insurance, entertainment, and childbirth and hospitalization subsidies, and the organized Family Day and Baseball Day activities with a total of 6,560 participants.Furthermore, to meeting the commuting needs of employees during the fab expansion period, the Company built three parking lots for cars and one parking lot for scooters nearby, and planned shuttle buses to and from the parking lots that start at 6:10 and end at 21:15, to meet the needs of employees that work different shifts. The shuttle buses are frequent with average waiting time of less than 10 minutes, reducing the wait time and allowing employees to commute to work without any worries.

  • Kindness

    In order to help new recruits, adapt to the new workplace as quickly as possible,a counselor is made available to offer regular assistance, counseling, and guidance services to new employees who have joined the Company for less. than two years, those who have taken the initiative to ask for help, referrals from supervisors, and employees who have taken long sick leaves. The goal is to reduce employees' feeling of insecurity caused by being in a new environment, and help them integrate into the Company as quickly as possible. Furthermore, we brought in the professional counseling institution "Teacher Chang Foundation." in 2019 to accompany employees in using scientific methods to determine the underlying cause when they find themselves in a dilemma, so that they will face the difficulty and further search for a solution. Employees may use the services. 6 times a month for an hour each time free of charge. In 2022, our employees used 67 times of Teacher Chang Foundation's Counseling Service, and scores of solving problems is 8.80(10-point scale).

    We also held 3 mental health and stress relief seminars with a total of 156 participants and 4.51 Satisfaction.

  • Exercise

    The Company organizes sport and entertainment activities from time to time to advocate work-life balance. By encouraging the creation of sport clubs and exercise space, we aim to promote sport habit and employees' physical as well as mental health.

    Encouragement of sport activities:

    Nanya organizes a variety of events to promote sports for the mental-physical balance of employees. We organized a series of "Sports Festival" activities in 2019. Departments and clubs submitted creative proposals to utilize sports venues and facilities for sports promotion, creative thinking, and creating a more lively atmosphere in the Company. These sports promotion measures allowed Nanya to be recognized with the Sports Enterprise Certification by the Sports Administration, Ministry of Education for the second time in 2022, showing that the Company has gained external recognition for its efforts in sports promotion.

    • The multi-purpose sports and recreation center includes air track, basketball court, badminton court, KTV, pool table, table tennis, aerobics room, massage chair, and fitness equipment.
    • 40,702 participants. Number of visits to the sports and recreation center in 2022.

Employee Human Rights Protection

Nanya places great emphasis on employees rights and has established "Labor and Ethics Policy". The Company complies with relevant international human rights standards, including the behavioral guidelines of Responsible Business Alliance (RBA), Social Accountability 8000 Standard (SA8000), International Labour Organization (ILO),The Universal Declaration of Human Rights, The UN Guiding Principles on Business and Human Rights, General Data Protection Regulation (GDPR) and local government regulations. By implementing human rights risk assessment and management, the Company hopes to create an inclusive and diversity-friendly workplace. Read More

All employees have been hired with employment terms established under the free will, consent and consensus of both parties; no employee was forced or coerced to perform work activities unwillingly. In addition, there were no anti-discrimination incidents in 2022. "2022 Policy and Code of Conduct Training" and "2022 Unsafe Workplace Behavior and Prevention Training" are some of the training courses related to human rights policies and procedures in 2022, and the trainings mentioned are compulsory for all employees. The percentage of employees who have received the trainings is 100%, and the total person-hours of training is 10,809 hours.

Statistics on human rights policies and procedures training hours from 2019 to 2022

  • Note: Human rights policies and procedures training include the Company's labor and ethical regulations, the RBA Code of Conduct, unsafe workplace behavior and prevention, and the training mentioned is arranged for all employees. The scope of training and teaching methods was redefined in 2020, and the total number of training hours increased due to the increase in employees.

Human Rights Risk Management

Nanya assesses human rights risks using RBA and workplace health principles. The Company has an internal audit system in place to regularly assess employees' risk exposure and devise mitigation measures accordingly, and comply with the laws and regulations of the country at each business site. We constantly identify human rights issues, susceptible parties and departments, and perform human rights risk assessments on a regular basis. Risk values are calculated to reflect the percentage of people at risk relative to total employees; based on the assessment results, the Company is able to devise annual improvements and set mitigation targets for human rights risks in the future. Also, we independently issued Human Rights Protection and Due Diligence Report to expose the above.

Occupational Health and Safety

Safe, Healthy, and High Quality Work Environment

The president of Nanya Technology Corporation has signed a safety and health policy commitment to continue to improve and promote a safety culture. The Taiwan plant obtained ISO 45001 Management System certification (covers all workers: employees account for 85.1% and other workers that are not employees account for 14.9%),and the NDAZ-0002 EHS Management Manual was established to provide a safe, healthy, and excellent work environment to all workers at the Company. The Company is committed to ensuring that all workers of the Company have the ability to recognize hazards when engaging business activities so that occupational injuries can be prevented, in hopes of achieving zero occupational injuries and zero occupational disease. Read More

Nanya Technology Corporation sets out from the identification, assessment, and control of hazards in the workplace:

Nanya occupational accident prevention goals

NTC Accident Investigation Process

  • Note: Members of the incident investigation team include: 1. Head of the department of the incident, 2. Operators of the department of the incident, 3. Industrial safety personnel, 4. Other (nurse, contractor, construction supervisor, or other personnel), 5. Labor representative.

Achievement in 2022

  • Provided 254 hours of safety and health training for 4,362 participants

  • organized construction safety supervisor certification training (a total of 112 employees obtained the certification)

  • 36 themes Monthly on-site SWATs at the workplace of various teams based on

Statistical Analysis of Safety and Health Organization, Accident Investigation, and Disabling Injuries

Nanya places great importance on occupational safety and health. Occupational safety and health committee meetings are held every month at a regularity higher than what is required by the law. Each meeting is directed by the executive vice president, while the whole process is participated by senior managers, department heads, and committee members. Labor representatives make up 39.7% of the committee members. They jointly review the achievement statuses of various safety and health management goals, accident investigations, and the performance of safety and health projects. To strengthen communication on health and safety issues, in addition to existing channels of the Company (e.g. opinion box on the homepage), each department has appointed dedicated personnel to collect inquiries from employees, matters requiring participation, and proposals through department meetings, SWAT, and the Safety &Environment Event Tracking System (SETS). The personnel directly contact, receive information from, respond to, and consult the Safety and Health Division, establishing smooth channels for safety and health management and communication.

Disabling injury frequency rate (No. of disabling injuries/Million work hours) and severe disabling injuries rate (No. of lost work days/Million work hours) were both 0 in 2022.

For more information, please read Talent Chapter

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