CSR

Fulfillment of Social Responsibility

Item Implementation Status Implementation Status Difference from Corporate Social Responsibility Best Practice Principles for TWSE/GTSM Listed Companies and reasons
Yes No Description
Does the company conducts risk assessments on environmental, social and corporate governance issues related to the company's operations in accordance with the materiality principle, and formulates relevant risk management policies or strategies? v The Company utilizes multiple channels to communicate with stakeholders, and consolidates key areas of interest from various sources. A preliminary selection of key issues is identified based on sustainability, importance, completeness and stakeholder acceptance; the Company’s CSR Committee assessment team then applies AA1000 Materiality Test to further divide into two main categories, “Degree of impact on the organization”, and “Stakeholder degree of concern”. Finally, the results are organized into an array. For more information, please see the Company’s Annual CSR Report. No Difference
Does the Company set up exclusively (or concurrently) dedicated units to promote corporate social responsibility, and authorize high level managers to handle and report to the Board of Directors? v The company formally established Corporate Social Responsibility (CSR) in 2007. The organizational structure is under the office of the directors. The committee is chaired by Company Chairman Liu Young-Way; under which, an associate director Martin Hsing is responsible for the operation of the committee. We currently have 9 full-time officers in charge of CSR promotion and supervision of specific affairs. Each Business Group of the Company has set up a CSR branch; there are more than 400 part-time officers in charge of the CSR affairs of the Business Groups. At the end of each year is an annual CSR meeting to formulate CSR work plans and goals for the coming year. After being approved by the Director General to start promoting, regular internal audits of each plant’s annual CSR are carried out, to ensure that the plants are in line with the relevant CSR policies of the Company. Each Business Group also periodically reviews the operation of branch performance and reports to the Committee with issues concerning stakeholders for the year. Then the relevant written materials are compiled to produce an annual CSR report, which is submitted to the Board of Directors. No Difference
Environment Issues Does the company establish proper environmental management systems based on the characteristics of their industries? v In response to the international trend and customer requirements, the Company gradually established environment management systems for its business units, and passed the certification of ISO 14001: 2015 (received 2019/12/15, and valid through 2022/12/14), and certification of ISO50001:2018 (received 2020/05/25, and valid through 2023/05/01). No Difference
Does the company endeavor to utilize all resources more efficiently and use renewable materials which have low impact on the environment? v The Company actively advocates water recycling, and adopts some renewable/biodegradable raw materials to effectively reduce the impact of production and manufacturing on the environment.
Does the company assess the potential risks and opportunities of climate change on its present and future operation, and take measures to respond to climate-related issues? v Since 2020, the Company have referenced usage of Task Force on Climate-related Financial Disclosures (TCFD) framework to conduct risk and opportunity assessments to suggest corresponding strategies.
Does the company conduct assessment on greenhouse gas, water consumption and waste for the last two years, and establish company strategies for energy conservation and carbon reduction, greenhouse gas reduction, water saving and waste management? v Since 2010, the Company have actively participated in the Carbon Disclosure Program (CDP), and have closely monitored the greenhouse gas emissions of direct emissions (Scope 1) and indirect emissions (Scope 2) according to the “Green House Gas Protocol Initiative” (announced by World Business Council for Sustainable Development WBCSD, and World Resources Institute, WRI).
The company have examined the carbon dioxide emission since 2008. Some parts of our plant have passed the inspection and received certificate. In 2019, direct (Scope 1) GHG emissions for the four continents was 117,384 tCO2e, and indirect (Scope 2) emissions were 8,335,373 tCO2e; the total water consumption was 97.7 million tons. Carried out using ISO 14064-1 greenhouse gas verification; a total of 5,040.16 thousand tons of waste (hazardous and non-hazardous) were generated in the mainland China production plant.

In 2020, the direct global GHG emissions (Scope 1) were 152,601 tCO2e, the indirect GHG emissions (Scope 2) were: 5,410,149 tCO2e, and the Scope 3 emissions were: 102,140 tCO2e; The total water consumption is 86,736 kilotons, the recycled water is 7,029 kilotons, domestic sewage is 69,389 kilotons, the total sewage discharge is 81,662 kilotons, and the industrial wastewater in the mainland plant is 12,273 kilotons.

It is planned to achieve the goal of net zero emissions by 2050; in 2021, the Longhua plant in mainland China will fully implement the zero waste, and then gradually implement to other major plants.
Social Issues Does the company formulate appropriate management policies and procedures according to relevant regulations and the International Bill of Human Rights? v The Company has set employees codes of conduct in accordance with labor laws and related personnel regulations, to protect the legitimate rights and interests of employees. As a member of the Responsible Business Alliance (RBA), the Company references: RBA policies, Universal Declaration of Human Rights (UDHR), International Labour Organization (ILO), to formulate the “Foxconn Principle of Social and Environmentally Responsible Code of Conduct”, and discloses policies that protect labor and human rights. According to the Principle and relevant labor policies, the Company will identify high social, environmental, and moral hazard factories every year, and conduct social, environmental, moral on-site audits. No Difference
Does the company formulate and implement reasonable employee benefits measures (including remuneration, vacation and other benefits, etc.), and appropriately reflect operating performance or results in employee compensation? v According to the Article 28 of the Company’s “Articles of Incorporation” adopted by the Board, 5%-7% of the Company profit shall be set aside for employee remuneration. The Company has set performance bonuses, employee compensation and other rewards systems. The Company’s operating profit is distributed to employees in accordance with employee performance, in order that the employees and the Company may grow together. In addition, the Company has set a code of employee ethics, employee self- discipline, performance evaluation and reward system, leading employees to behavior in line with the Company’s corporate social responsibility policy.
Does the company provide a healthy and safe working environment and organize training on health and safety for its employees on a regular basis? v The Company has formulated the safety and health policy and promised to achieve the goal of zero injury, zero occupational disease and zero accident so as to create a best working environment for all employees.
The Company updated Health and Safety Management System in 2019, and have received SGS Certifications ISO45001 (received 2019/11/24, and valid through 2022/11/23), and CNS45001.
The Company regularly hosts health promotion training during training for new recruits. For the 2020 health promotion training, a total of 39 sessions were held this year, totaling 19.5 hours, and a total of 39 sessions of labor health education training, totaling 58.5 hours.
Does the company provide its employees with career development and training sessions? v The Company’s Career Development unit is tasked with the planning and implementation of the Career Development Program.
Does the company comply with relevant regulations and international standards on the health and safety of customers, customer privacy, marketing and labeling of products and services, and formulates relevant policies and procedures to protect consumer rights and handling complaints? v On health and safety and protection of customer privacy and rights for complaint for customers, the Company complies with relevant regulations and establishes procedures based on international standards. Detailed procedures and codes can be found on the company's official website.
Does the company formulated and implement supplier management policy, requiring suppliers to follow relevant regulations on issues such as environmental protection, occupational safety and health, or labor rights? v The Company has established supplier management policies. Requiring suppliers to adhere to environmental, occupational health and safety, and labor rights guidelines, and supervises and audits accordingly. For relevant implementation status, please refer to chapter four of the Company's CSR report.
Does the company compile corporate social responsibility reports or reports that disclose the company's non-financial information based on international CSR compiling standard or guidelines? Does the report accredited from accreditation agency or third-party verification organization? v The Company CSR Report is compiled according to “Sustainability Reporting Guidelines” of The Global Reporting Initiative (GRI), with the previous report receiving confirmed third-party accreditation. No Difference
If the Company makes its own corporate social responsibilities principles according to the Rules of Corporate Social Responsibility Best Practice Principles for TWSE/GTSM-Listed Companies, please state the differences: No difference
Any other important information that helps to understand the conduct of corporate social responsibility: Adopted new processing system to enhance the capacity to recover wastes and sewage. The new system has been installed and put into operation in some areas in the plant. Based on the respect to employees, the Company emphasizes that it does not hire child labor, does not force employees to work overtime. Managers are prohibited to discriminate or harass against employees. All these measures are all announce officially. The company has Health and Safety Department, examining the facilities, providing training to employees on industrial safety and health and conduct performance review on a regular basis. The company has a supplier management department, providing audit and trainings on corporate social responsibilities to suppliers. The Company participate in the events relating to development of society, charity groups and domestic governments via donations:
  • Donated NT$142,365,155 to the Hope Elementary School for academic counseling.
  • Sponsored NT$33,250,000 for scholarship programs for Foxconn Education Foundation.
  • Sponsored NT$6,000,000 to the Kaohsiung City Table Tennis Association - Player Training Program.
  • Sponsored NT$3,000,000 to the New Taipei City Culture Foundation's music promotion project.
  • Donated NT$6,503,658 to NPOs and NGOs.
  • Jointly with Taiwan Blood Services Foundation (Taipei), the Company hosted a blood donation event and contributed 95,250ml to the blood bank, with 238 people in attendance.
Other information regarding “Corporate Responsibility Report” which is verified by certifying bodies: The Company’s 2019 Corporate Social Responsibility Report certified with AA1000 by the British Standards Institution (Taiwan).
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