ESG

Sections

Address from the Chairman

Sustainability Commitments

Stakeholder Engagement

Ethical Corporate Management and Regulatory Compliance

Whistleblowing Treatment Mechanism

Corporate Governance

Green Industrial Chain

Friendly Environment

Diversified Workplace

Sustainability Report

Giving back

Certificates and Awards

Address from the Chairman

Sustainability Commitments

Stakeholder Engagement

Ethical Corporate Management and Regulatory Compliance

Whistleblowing Treatment Mechanism

Corporate Governance

Green Industrial Chain

Management of Material Topics

Material topic: Intellectual Property Protection & Competitive Behavior
Reporting requirements	Description of reporting requirements and examples
Reason for materiality of this topic	To accelerate the development of differentiated new products and technologies, we have specifically established relevant measures governing the internal control of R&D cycles. The R&D personnel conduct proposal evaluation work, prepare market feasibility evaluation reports, and then apply for relevant patents; in order to motivate the employees to actively engage in innovation and R&D through the utilization of the Company’s technical resources, and thus provide competitiveness for the products, the Company has established measures for rewarding the R&D and patent application of key products after the R&D personnel obtain their patent certificates. If competitors put same technologies in the market in the future, the technological development results of the Company can be protected according to the terms of relevant regulations (e.g., the Patent Act). The Company researches and develops products and applies for patents every year, not only promoting its own growth but also protect its professional project knowledge.
Policies/strategies	The internal control document of CD-16 patent right management work control in the R&D cycle of CD-100 is mainly used as basis for the intellectual property rights and competitive behaviors of the Company, to enhance and protect intellectual property.
Targets and objects	As for the protection of patents of intellectual property rights, the Company protects utility model patents 100% at any time as long as the patents are verified and issued 1. The Company obtained a utility model patent in 2022. 2. In 2023, six patents may be acquired as planned. The Company expects to apply for 1-2 patents every year.
Management and evaluation mechanism	Wendell executes the patent right management work of R&D cycle, and hands over the patent right certificates acquired to the document management unit for proper safekeeping. The Auditing Department audits each task reading R&D cycle every year based on the results of risk assessment. The Core Technology Department convenes irregular meetings to discuss patent projects.
Performance and adjustment	In 2022, in accordance with the patent right management work control of the Company, the personnel of the Auditing Department did not find the absence of patent right control work in its auditing work; in 2022, the patents verified and issued didn’t infringe upon any right. In 2023, this policy objective will be continually executed. The Company researched and developed Automobile Power Filter in 2022 to provide more convenient and effective EMC solutions with weak current power supply. In the future, other market needs will be considered to research and develop patent projects so as to improve the diversity regarding customers’ selection of products.
Preventive or remedial measures	New employees are required to sign a Confidentiality and Noncompetition agreement in accordance with the noncompetition clause in the confidentiality agreement signed by the Company with employees. All the technical data and documents shall never be used for any unauthorized purposes no matter the employees are in-service or not, in order to ensure the confidential information of the Company. Coordinate with the patent office to assist patent application, to prevent the occurrence of plagiarism of design contents in the future.

Material topic: Product Lifecycle Management
Reporting requirements	Description of reporting requirements and examples
Reason for materiality of this topic	Through the communication with stakeholders, we pay special attention to the negative environmental impact on the supply chain and actions taken, for the Company and its supply chain have always attached great importance to the possibility that the raw materials selected and used would generate hazardous substances to affect the environment. To this end, all the products provided by the suppliers to the Company must comply with PPM verification of hazardous substances in the EU norms. Also, the suppliers are required to provide a list of Substances of Very High Concern (SVHCs) under REACH. Hopefully, a highly resilient and continually operable sustainability supply chain can be established.
Policies/strategies	The Company follows ISO 9001: QM 84-01 Control of Externally Supplied Processes, Products and Services.
Targets and objects	When recognizing product P/N imported by new suppliers every time, we will require these new suppliers to fill out relevant data regarding supplier evaluation, data regarding hazardous substances in the products, and ESG investigation information according to QM 84-01 Control of Externally Supplied Processes, Products and Services. For the Company, the objective is always to complete the investigation 100%.
Management and evaluation mechanism	Wendell follows ISO 9001: QM 84-01 Control of Externally Supplied Processes, Products and Services, and conducts annual review of eligible suppliers once every year.
Performance and adjustment	The management approaches and targets will be completely confirmed before suppliers are introduced. No adjustment is needed since it is 100% certification. In the future, this policy objective will be continually executed.
Preventive or remedial measures	Wendell regards its suppliers as long-term favorable partners. When new environmental regulations or trends are learned from terminal customers, the Company will definitely notify relevant members of the supply chain in the hope that they can grow and learn professional knowledge together and stick to the path of sustainable management. When any supplier is engaged in illegal activities, we will investigate the facts and require this supplier to improve through our coaching. Therefore, we execute irregular audits over the suppliers every year. For vendors rated as class D will be required to make improvements within a certain time limit. In this case, we will reduce the order quantity until these suppliers improve. Then, normal order quantity can be resumed.

Products and Services

Products and Service Items

Wendell has established a full-time Legal Department. When formulating regulations and policies, we pay close attention to the influence imposed on stakeholders, and assist each unit of the Company to implement them; also, a full-time Auditing Department has been established with 1 audit officer designated to lead the auditing business of the Company’s internal processes/procedures, objectively assess the integrity of the internal systems of the Company, and review and audit the performance of responsibilities by the Company regarding these specifications or its governance.

During the report period in 2022, the Company didn’t suffer from any penalty due to its violation of regulations on the safety information labeling and marketing of products and services, or take any actions involving anti-competition.

Statistics of products or services acquired with safety certification items
Name of product or service item	Safety certification	Ratio of assessed products or services provided to customer (%)
Development, design and sales services of discrete components	ISO 9001 Quality management system	100
Sales services of discrete components	ISO 14001 Environmental management system	100
EMC and radio frequency identification laboratory	ISO/IEC 17025	100
Testing of hazardous substances in the chip	ROHS2.0 + Halogen report	100
Remark: Percentage = (Total quantity of assessed products or services provided to customer/Total quantity of products or services provided to customers)*100

Product Certification

All the products of Wendell, including upstream raw materials purchased and auxiliary materials and consumable used in processes, comply with the RoHS and REACH of the EU, standards regarding the prohibition/restricted use of hazardous substances. Besides, each product part number is provided with MSDS and disclosed on customers’ platforms. Therefore, customers and consumers’ interests can be guaranteed in a transparent manner; besides, epoxy used for encapsulation complies with the fire-resistant safety grade of UL94-V-0. Furthermore, in consideration of different product lines, IEC 6100-4-2/4-5 test has been conducted to ensure the conformity of the products to the electrical performance characteristics indicated in the specifications.

In addition, the Company also provides EMC testing services in accordance with customers’ different applications, so that customers’ systems can be smoothly sold to each country. Besides, our products are provided with designated markings which represent not only the products sold but also the conformity of product quality to the regulatory requirements. The completion rate of evaluation reached 100%. In 2022, the Company didn’t violate relevant regulations on the information and marketing of products and services and the marketing and communications of these products and services.

Customer Privacy

Wendell attaches great importance to customer privacy and customer data security. When signing procurement contracts with customers or suppliers, we will reach an agreement with them to sign a confidentiality contract, for the purpose of protecting the technical design/internal procedures of the three parties. Wendell adheres to the highest principle of not disclosing confidential information outside, and assigns its document management center to control the application and retrieval of any documents. Besides, the Company has also signed a contract of “Employee Confidentiality Contract with Noncompetition 11003 (V.02)” with employees to require the employees to bear the noncompetition obligation during work or after exit. In 2022, the Company didn’t lose any customer data.

Green Supply Chain

Supplier Management Policy

Type of contract	Region of procurement	2020		2021		2022
Type of contract	Region of procurement	No.	Ratio of procurement amount of this item in the total procurement amount (%)	No.	Ratio of procurement amount of this item in the total procurement amount (%)	No.	Ratio of procurement amount of this item in the total procurement amount (%)
Labor services (contracting and services)	Domestic	21	1.34	18	0.58	20	0.57
Labor services (contracting and services)	Foreign	8	0.43	7	0.24	6	0.43
Property (raw materials)	Domestic	43	18.12	45	19.14	38	14.49
Property (raw materials)	Foreign	34	80.10	35	80.04	32	84.52
Total		106	100%	106	100%	106	100%
Description: 1. “Domestic” refers to Taiwan; “Foreign” refers to regions beyond Taiwan (e.g., the United States, Vietnam, etc.) 2. The type of contract shall be filled out mainly based on the Company’s internal classification. It can be ignored if there is no predetermined item (labor services, projects, and engineering works).

In order to ensure its operation and effectively implement the supplier quality management system, Wendell sticks to the concept of sustainable management, and actively promote its performance in environment, society and governance. Also, the Company has formally included relevant standards and initiatives, including “RBA Code of Conduct”, “Tripartite Declaration of Principles Concerning Multinational Enterprises and Social Policy of the International Labour Organization”, and “Universal Declaration of Human Rights of the United Nations”, into its supplier sustainable management commitments.

In addition to the adoption of the existing QMS (ISO 9001) to evaluate and select suppliers, we have also asked suppliers to provide test reports of RoHS hazardous substances. Also, besides the investigation of conflict minerals of upstream suppliers, filling of a list of Substances of Very High Concern (SVHCs) under REACH and the signing of statement of green environmental protection, we completed the verification of suppliers’ certificate status through “ESG Evaluation Questionnaire”, and required the suppliers to sign “Statement of Supplier’s Sustainability Commitments”, so as to stablish a highly resilient and continually operable sustainability supply chain can be established. We perform irregular audits over the suppliers every year. Wendell has signed “Statement of Sustainable Management Commitments” and “Supplier ESG Evaluation Questionnaire” with 51 suppliers that had transactions with Wendell in 2021 and 2022 respectively. The signing rate reached 69%. It is expected that the signing rate will reach 100% in 2023.

For vendors rated as class D will be required to make improvements within a certain time limit. In this case, we will reduce the order quantity until these suppliers improve. Then, normal order quantity can be resumed. If a supplier adopts any illegal behavior, the facts will be investigated, requirements will be raised for improvement, and this supplier will be coached. If any illegal behavior is found, the following measures will be taken: 1. Propose investigation actions to the executive level in the management review meetings; 2. Determine the actual causes of cases with the suppliers’ management to confirm if illegal behaviors really exist; 3. Report to the Sustainable Management Development Group of the Company and require the suppliers to improve immediately; 4. If the breaching behaviors cannot be effectively improved as scheduled, relevant suppliers will be given disqualified scores according to the supplier evaluation measures. In 2022, we executed video audits over suppliers with potential risks, and didn’t find major inferior and disqualified vendors.

The evaluation process of the Company is shown as follows:

Friendly Environment

Management of Material Topics

Material topic: Environmental Sustainability (Greenhouse Gas Emission/Energy Management in Manufacturing)
Reporting requirements	Description of reporting requirements and examples
Reason for materiality of this topic	•Through the communication with stakeholders regarding degree of concern and analysis of impact, the topic of Greenhouse Gas Emission is relatively important for the Company. In response to the environmental protection and energy conservation policies and carbon reduction trends in the international communities, the customers have also successively investigated greenhouse gas emissions, and required suppliers to follow up their sustainability policies. Therefore, the execution of relevant carbon inventory and energy management can also improve the competitiveness of the products regarding sustainability topics.
Policies/strategies	•Adopt the sustainable environmental strategy of “Reduction of Waste and Assurance of Safety; Implementation of Environmental Protection and Cherishing of Resources”.
Targets and objects	•The year 2022 was adopted as the base year of greenhouse gas emissions. •Short-term target: Reduce 3% of greenhouse gas emissions within 3 years. Also, the Company expects to pass ISO 14064-1 greenhouse gas inventory third-party certification in 2025. •Mid- and long-term targets: Reduce 1% of carbon emissions year by year after acquisition of third-party certification in 2025.
Management and evaluation mechanism	•Conduct internal investigation of relevant environmental protection and energy conservation measures and carbon emissions in accordance with ISO14001, EF61-01 Wendell Carbon Inventory List and EF53-05 Target Management Table.
Performance and adjustment	•With the year 2022 as the base year, Wendell has established a short-term target of reducing 3% of greenhouse gas emissions within 3 years. In the future, we will pay continual attention to the implementation effect of energy conservation and carbon reduction measures, and make adjustments at any time.
Preventive or remedial measures	•The year 2022 was also a base year of Wendell for carbon reduction. In the future, the Company will pay continual attention to the implementation effect of relevant energy-saving measures every year. If the effect of carbon reduction is not as expected, we will immediately convene relevant units to communicate, discuss and cooperate.

Material topic: Water Resource Management
Reporting requirements	Description of reporting requirements and examples
Reason for materiality of this topic	•The shortage of water resources is no longer just a problem in Taiwan. According to the data released by the United Nations, nearly 50% of the global population is facing the challenge of water shortage. If this problem is not treated seriously, the risk of shortage of water resources will become increasingly serious. The impact of water shortage is extensive, and may cause problems like food shortage and social unrest. The chain effect of water shortage has changed it from an environmental risk to a social risk. Therefore, the Company attaches great importance to the issue of water resources despite its limited water consumption.
Policies/strategies	•Continue to promote water-saving and avoid wasting water resources.
Targets and objects	•As for water consumption, only household water is consumed at our offices. Although the water consumption is limited, we will continue to promote water-saving and avoid wasting water resources.
Management and evaluation mechanism	•Regularly review the change of water consumption, and monitor whether the reading of the water meter is abnormal on a monthly basis
Performance and adjustment	Performance of water resource management in 2022: (1) Total water withdrawal: 3.19 (Unit: 1,000,000L) (2) Total water consumption: 3.19 (Unit: 1,000,000L) (3) Percentage of water withdrawal in regions with High or Extremely High Baseline Water Stress: 0 (4) Percentage of water consumption in regions with High or Extremely High Baseline Water Stress: 0
Preventive or remedial measures	•Regularly review the change of water consumption, and monitor whether the reading of the water meter is abnormal on a monthly basis; also, dedicated personnel have been assigned to check if waste of water resources or water leakage exists.

Raw Material Management

The consumption of materials used by Wendell is presented as follows:

Name of raw material	Unit	Renewable or not	2020	2021	2022
Ambient Light Sensor	Gram	Non-renewable	9,629	23,704	22,681
Bead	Gram	Non-renewable	83,765	203,124	111,777
Bridge Diode	Gram	Non-renewable	398,500	496,857	313,922
Ceramic PTC	Gram	Non-renewable	2,037,776	2,014,278	361,500
CMF(CMF+ESD/EMI_ESD)	Gram	Non-renewable	404,883	774,007	537,469
Diode Arrays	Gram	Non-renewable	0	0	31,243
DIP Inductor	Gram	Non-renewable	349,601	710,661	564,769
EMI Reduction IC	Gram	Non-renewable	4569	11556	7430
ESD Diode	Gram	Non-renewable	1,041,814	1,868,438	1,164,961
ESD-OSAT	Gram	Non-renewable	37	153	323
Ferrite Inductor	Gram	Non-renewable	2,714	7,051	1,312
Fixed Resistors	Gram	Non-renewable	839,468	1,250,028	1,732,353
Fuse	Gram	Non-renewable	52,647	160,535	62,771
GDT	Gram	Non-renewable	4,644,857	5,285,078	5,274,770
High freq Inductor	Gram	Non-renewable	1,752	3,656	477
Industrial S/C	Gram	Non-renewable	3,121,123	7,400,090	4,709,666
IR Filter Switch	Gram	Non-renewable	9,027	16,728	8,568
IR LED	Gram	Non-renewable	9	272	77
KOMATSULITE	Gram	Non-renewable	153,157	59,499	2,987
LAN Transformer	Gram	Non-renewable	11,365,270	8,790,832	6,513,884
LED	Gram	Non-renewable	72,799	107,869	50,940
Ligitek others	Gram	Non-renewable	2	818,443	594,734
Magnetics	Gram	Non-renewable	9,853,250	20,606,426	26,461,120
Mosfet	Gram	Non-renewable	539,087	422,346	262,265
MOV	Gram	Non-renewable	1,012,126	892,661	871,414
Multifuse	Gram	Non-renewable	15,884,432	13,729,125	8,655,888
NTC	Gram	Non-renewable	24,476	15,118	34,841
Other	Gram	Non-renewable	394,459	165,774	5,283
Power Inductor	Gram	Non-renewable	4,159,928	7,366,868	4,990,680
Rectifier Diodes	Gram	Non-renewable	217,543	870,657	574,074
Resistor	Gram	Non-renewable	121	21,996	77,444
Resistor ICP	Gram	Non-renewable	0	36	2,176
Schottky Diode	Gram	Non-renewable	241,346	472,007	502,181
Surge LAN Trans	Gram	Non-renewable	1,109,857	979,160	151,551
Surge Varistor	Gram	Non-renewable	662,024	1,041,586	590,129
Switching Diode	Gram	Non-renewable	9,750	33,094	37,529
Thyristor	Gram	Non-renewable	1,499,172	2,349,175	1,212,580
Transformer	Gram	Non-renewable	60,498	8,066	1,054
Transient Block Unit	Gram	Non-renewable	51,183	86,518	99,000
Transistor	Gram	Non-renewable	49,813	161,831	62,193
Trimpot	Gram	Non-renewable	29,405,520	41,872,148	34,824,216
TSP	Gram	Non-renewable	2,203,220	3,037,838	1,248,377
TVS Diode	Gram	Non-renewable	4,334,426	9,049,280	8,598,574
Varistor	Gram	Non-renewable	89,893	110,065	20,751.
Zener Diode	Gram	Non-renewable	11,448	38,200	14,900
Remarks: 1. Types of materials include: Primitive natural resources like ore, iron, wood, and plastic particles; lubricating oil, semi-finished components or parts used in machines; packaging materials. 2. Non-renewable resources refer to resources that cannot be replenished within a short term, e.g., coal, natural gas, metals, minerals, and petroleum; renewable resources refer to resources that can grow again after being picked.

Water Resource Management

303-1	Interactions with water as a shared resource
303-2	Management of water discharge-related impacts
303-3	Water withdrawal
303-4	Water discharge
303-5	Water consumption

The business place of the Company is located in Xindian District, New Taipei City, and the main source of tap water supply is the Feicui Reservoir. In order to effectively manage water resources, the Company has employed water resource risk assessment tools. The assessment results indicate that the water resource risk of the Company is medium and low.

Compared to other industries, the Company is operated in an industry that does not consume much water. Also, we haven’t established any factory, and therefore no production water is involved. Our water consumption is only limited to the offices with limited water usage. Therefore, we do not discharge wastewater. With respect to water resource management, we mainly lower the hydraulic pressure of the faucets to avoid the waste of water resources. Besides, we regularly review the change of water consumption, and monitor whether the reading of the water meter is abnormal on a monthly basis; also, dedicated personnel have been assigned to check if waste of water resources or water leakage exists.

Year	2022
Water withdrawal (Unit: 1,000,000L)	3.19
Water discharge (Unit: 1,000,000L)	3.19
Water consumption (Unit: 1,000,000L)	0.00
Specific measurement of the organization (Unit)	Total number of employees
Specific measurement value of the organization	150
Intensity of water consumption	0.02
Notes: 1. Water consumption = Water withdrawal – Water discharge 2. Water recycling rate = Circulating water consumption in the plant/(Water withdrawal + Circulating water consumption in the plant) *100% 3. Calculation method of density of water consumption: Water withdrawal (Unit: 1,000,000L)/Specific measurement value of the organization 4. The organization complies with the regulations regarding units of measurement which are mainly not changed in each year in principle. The following units can be filled out: (1) Product unit (2) Output (e.g., ton, liter or watt) (3) Size (e.g., square meter of floor area) (4) Number of full-time employees (5) Monetary unit (revenue or sales)

Energy Management

302-1	Energy consumption within the organization
302-2	Energy consumption outside of the organization
302-3	Energy intensity
302-4	Reduction of energy consumption
302-5	Reductions in energy requirements of products and services

The consumption of energy sources used by the Company in 2022 is presented as follows:

Quantitative indicator	Unit	2022
Power consumption	kWh/year	517,931
Power consumption	GJ	1,864.55
Gasoline consumption	L/year	1,284.75
Gasoline consumption	GJ	41.93
Diesel consumption	L/year	3,710.98
Diesel consumption	GJ	130.42
Specific measurement of the organization	Unit	Total number of employees
Specific measurement value of the organization	Unit	150
Total energy consumption	GJ	2,036.90
Energy intensity	GJ/person	13.5794
Notes: 1. The calorific value of electricity is converted as 1kWh=0.0036GJ. 2. For the sources of conversion coefficients, the calorific value of fuels is calculated according to Greenhouse Gas Emission Coefficient Management Table 6.0.4 issued by the Environmental Protection Administration. The specific coefficients are shown as follows: 7,800 kcal/L for gasoline; 8,400 kcal/L for diesel; 8,000 kcal/m³for natural gas; 1 kcal=4.184 KJ. 3. Since the Company conducted internal pilot investigations in 2020 and 2021 according to ISO 14001, and the actual fuel used by the official cars was not calculated. An estimated value was adopted. Therefore, the fuel consumption was not accurate. In 2022, the base year, the actual fuel consumption of official cars was calculated.

Energy-saving Results

With the year 2022 as the base year, the Company established the following programs to reduce energy consumption and achieve energy-saving results:

Set up the temperature of air-conditioning system at 25℃.
Successively replace the lighting fixtures and emergency exit indicator light with LED energy-saving lamps.
Implement zoning control of lighting fixtures and power supply of air-conditioning system (cooling).
Reduce the quantity of lamps in places with relatively low demand for illuminance given that no safety risk exists.
Shut down unnecessary lighting equipment during the noon break. The Company provides table lamps for colleagues who need lighting during the noon break.
Gradually review and remove inefficient outdated equipment.
Purchase energy-saving equipment with high efficiency and products with “Green Label” with priority.
Regularly assign personnel to patrol and confirm whether the power of lighting, air-conditioning and projection equipment not used is shut down. Strengthen the colleagues’ awareness of shutting down power supply when leaving.
Require colleagues who get off duty at last to conduct patrolling of all the power supplies of the Company supposed to be shut down (lamps, air-conditioning, water dispenser, copying machine, coffee machine, etc.).
Install thermal-insulated curtains for cooling.
Give subsidies to colleagues for sharing taxies (Qizhang Metro Station-Company) in order to encourage colleagues to use public transportation during commuting.
Lower approximately 50% of hydraulic pressure of faucets to avoid the waste of water resources.

The fixed temperature of the air conditioner was adjusted to 25.5 degrees in 2023 and checks were being made every day to see if there were any abnormalities.Energy-saving related equipment is mainly in lighting fixtures, the old lamps are planning to be replaced with LED energy-saving bulb when the ones obsolete. The current replacement rate of the lighting fixtures is about 40%.Plans such as power supply zone control, daily inspection of power supplies that should be turned off, installing insulating curtains, sharing taxis and adjusting water pressure have been implemented and are being maintaine

Energy Consumption Reduction/Energy Conservation for Customers with Our Products

In response to the era of miniaturization of system products and emphasis on high-efficiency transmission, the issue of system heating becomes particularly important. In addition to the provision of products that comply with customers’ applications, we are also dedicated to developing heat dissipation programs to customers for their systems regarding the issue of system heating, so as to lower the power consumption of the customers.

In 2022, the Material Business Department of the Company successfully developed a composite product with the performance of EMI shielding and high heat dissipation. When the customers perform tests using our composite heat dissipation material under same conditions and scenarios, the temperature of CPU can be reduced by 5.591℃, and the application of a system can be reduced by approximately 11,797J.

Greenhouse Gas Management

Currently, simple calculation is adopted for the greenhouse gas emissions of Wendell. The calculation scope of the total greenhouse gas emissions of the Company includes Scope 1 Direct Greenhouse Gas Emissions and Scope 2 Indirect Greenhouse Gas Emissions. The greenhouse gas emissions of the Company in 2022 are shown in the table below:

Item	2022
Scope 1: Direct Greenhouse Gas Emissions (tonCO₂e)	12.7317
Scope 2: Indirect Greenhouse Gas Emissions (tonCO₂e)	260.0014
Total emissions = Scope 1 + Scope 2 (tonCO₂e)	272.7331
Total (tonCO₂e)	272.7331
Intensity of greenhouse gas emissions (tonCO₂e/Number of employees)	1.8182
Notes: 1. Scope 1 refers to emission sources directly owned or controlled by the Company, including fixed combustion sources, process emissions, mobile combustion sources of transportation, and dissipative emission sources. The emission coefficients are calculated according to the latest Greenhouse Gas Emission Coefficient Management Table 6.0.4 (IPCC Sixth Assessment Report) announced by the Bureau of Energy, the Ministry of Economic Affairs. 2. Scope 2 refers to direct energy emissions, including purchased electricity. 3. Emission types of greenhouse gases: Carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O). 4. The electricity emission coefficients announced by the Bureau of Energy, the Ministry of Economic Affairs are quoted for the purchased electricity. In 2019 and 2021, the electricity emission coefficient was 0.509 kgCO2e/kWh; in 2022, the electricity emission coefficient was 0.495 kgCO2e/kWh.

In 2022, Wendell didn’t emit substances that damaged the ozone or other major gases (e.g., NOx, Sox, TSP, VOC, etc.).

Waste Management

306-1	Waste generation and significant waste-related impacts
306-2	Management of significant waste-related impacts
306-3	Waste generated
306-4	Waste diverted from disposal
306-5	Waste directed to disposal

During the Company’s operating activities, the most waste produced by the testing instruments includes tin slag and waste plates. The Company has also entrusted a qualified third-party cleaning and transportation company to assist the disposal of waste produced. However, since the weight of the waste was not enough, it was not cleaned and transported in 2022. Therefore, the waste will be disposed together with that generated in the next year.

Diversified Workplace

Management of Material Topics

Material topic: Employee Health & Safety
Reporting requirements	Description of reporting requirements and examples
Reason for materiality of this topic	•Wendell believes that a company can grow stably only when its employees are healthy, happy, and mentally and physically balanced. By creating harmonious labor-management relations and unimpeded communication channels, continually caring about the employees and establishing a safe and worry-free work environment, Wendell considers all its employees as the important asset for the Company’s sustainable development so that talent growth and innovation can be achieved and integrated to the corporate culture to inject vitality and promote operational efficiency for the Company.
Policies/strategies	•Provide treatment that is superior to standards specified in the Labor Standards Act, to create a friendly and healthy workplace environment featuring balance between work and life.
Targets and objects	•Short-term targets: 1.Import EAPS and start internally, focusing on not only employees’ work status but also their emotions 2.The reinstatement rate of employees from unpaid parental leave is 80% and above. 3.Convene at least two life balance courses in a year. 4.Continue to convene labor-management meetings and occupational safety meetings, to strengthen communication with employees and enhance workplace safety. 5.Increase the number of employees who make an appointment for onsite nursing. 6.Improve the equipment in the breastfeeding and milk-collecting rooms. •Mid- and long-term targets: 1.Introduce external resource EAPS to offer other communication channels for employees. 2.The reinstatement rate of employees from unpaid parental leave is 85% and above. 3.Import ISO 45001 system to improve the occupational safety grade. 4.Continually develop various platforms and increase complete and multi-directional employee communication channels.
Management and evaluation mechanism	•Convene labor-management meetings and occupational safety meetings regularly: The employees may reflect their problems and needs, and the management representatives shall give timely replies on the spot, and promise to handle such matters immediately. •Convene meetings of the Welfare Committee irregularly: Each department shall elect and assign representatives to plan various activities and amend the welfare, and then report to the management of the Company to jointly safeguard and create a Welfare Committee that complies with employees’ expectations. •Onsite services: The onsite services are provided according to the provisions of the Occupational Safety and Health Act. 24 nurse practitioner interviews/year and 2 doctor interviews/year are arranged. •Investigation of employees’ opinions: Employees will be asked to reflect matters to be improved by the Company based on the performance evaluation conducted twice a year, and such matters will be submitted to relevant departments for response.
Performance and adjustment	1.In 2022, 4 labor-management meetings were convened. The two sides communicated harmoniously, and no labor dispute happened (The labor representatives and the management representatives accounted for 50% respectively, superior to the ratio of 1/3 as stipulated in relevant regulation). 2.61 person-times participated in employee health management improvement and consulting, accounting for nearly 41% of the total number of employees of the Company. The appointment rate is expected to reach 50%. 3.6 door-to-door massage services were held every month with attendance of 648 person times. In other words, 1 employee would be served for more than 4 times every year on average. 4.The door-to-door influenza vaccination rate reached 60% and above. The vaccination rate will be increased in the future according to relevant policy. 5.With respect to the promotion rate of healthy bento, the average ratio of employees ordering bento on a daily basis reached 75%. 6.The hospital health examination rate reached 85%. In recent years, due to the influence of the epidemic, the health examination rate was relatively low. It is expected to adjust and increase this ratio to 90%.
Preventive or remedial measures	•The Company has established a sexual harassment prevention and control group to avoid the occurrence of sexual harassment incidents in the workplace; relevant personnel involved in illegitimate infringements will be communicated with according to 4 major plans established based on the Occupational Safety and Health Act. Nursing staff care about colleagues with doubts physically and mentally in advance; also, a whistleblowing system has been established, and external or internal appeal mailbox has been set up so that employees may use it when their interests are infringed upon or improperly disposed and the problems cannot be reasonably resolved.

Material topic: Recruiting & Managing a Global & Skilled Workforce
Reporting requirements	Description of reporting requirements and examples
Reason for materiality of this topic	•The turnover rate of employees is closely related to the Company’s stability. An excessive turnover rate will affect the organizational development. Therefore, we continue to take various measures to attract talents, listen to employees’ voice, increase new labor, and archive the suitable development and long-term retention of employees at the Company.
Policies/strategies	•Wendell provides competitive compensation and encouraging bonus according to the market salary level, and dedicates to giving bigger development space to talents. The Company sets aside distributable earnings to employees every year, and continues to improve employees’ welfare and work environment, so as to increase high-quality and stable manpower.
Targets and objects	•Short-term targets: 1.Increase the designated number of interns in accordance with the number of schools, and actively participate in industry-university cooperation plans of these schools. 2.Continue to maintain a balance of the ratio between male and female employees. 3.Check the work contents of each position, plan the manpower demand of the Company in the next 5 years, and improve the technical abilities of key talents. 4.Ensure that the Company is continually not involved in major labor-management disputes. •Mid- and long-term targets: 1.Develop online learning platforms and encourage employees to try and plan their learning blueprints. 2.Continue to extend and improve the excellent talent structure, stabilize the manpower structure, pass on experience, and encourage innovation. 3.The Company is not involved in major labor-management disputes.
Management and evaluation mechanism	•Further listen to employees’ voice, and strengthen their functions and working ability through annual employee satisfaction survey, employee probation interview, and performance evaluation interview.
Performance and adjustment	1.A remuneration system featuring equal pay for equal work: The ratio between remuneration of basic-level male employees and remuneration of basic-level female employees was 1: 0.99. 2.The employees’ salaries and welfare expenses accounted for 11% of the operating revenue. 3.In 2022, the resignation rate reached 18%. Therefore, it is a must to increase recruitment and appraisal tools, strengthen employee care, and adjust their salaries, so as to lower the resignation rate. 4.In recent years, the Company hired a total of 15 interns, including 12 from Lunghwa University of Science and Technology, 1 from Takming University of Science and Technology, 1 from Tungnan University, and 1 from National Taiwan University of Science and Technology respectively. 12 of them stayed at the Company after graduation, with retention rate of 80%. Besides, it is required to increase more highlights to retain talents, in order to further increase the retention rate. In 2022, our company hired one intern from Lunghwa University of Science and Technology. 5.In 2022, the Company didn’t receive any punishment from the Labor Inspection Department.
Preventive or remedial measures	•A whistleblowing system has been established, and external or internal appeal mailbox has been set up so that employees may use it when their interests are infringed upon or improperly disposed and the problems cannot be reasonably resolved.

Talent Recruitment and Retention

Workers who are not employees of Wendell are not the Company’s employees, including dispatch personnel, entrusted manpower, etc. In 2021, there were 4 workers who were not employees of Wendell. This figure remained the same in 2022.

Those serve as the senior management of the Company are the managers of the Company and supervisors at the division level or above. 100% of them are residents in Taiwan.

Complete Employee Welfare

Employees are the biggest asset of Wendell. We value our employees and establish favorable relations with them. In addition to the following benefits, we also regularly review our welfare system and listen to employees’ voice.
The employee welfare measures adopted by the Company include:

Welfare item	Content
Bonus/Cash gift	Cash gift for the Dragon Boat Festival, cash gift for the Mid-Autumn Festival, birthday cash gift, marriage cash gift, childbirth cash gift, elderly maternity bonus, hospitalization cash gift, funeral cash gift, full attendance reward, recommendation bonus, and seniority gold coins.
Travel allowance/leave	Travel allowance and leave
Full-pay leave that is superior to the standards specified in the Labor Standards Act	10-week paid maternity leave, birthday leave, paid family care leave, paid epidemic quarantine leave, paid epidemic care leave, and paid vaccination leave.
Activities of the Welfare Committee	Local tourism, year-end dinner for employees, lot-drawing activity, family day activity, employees’ sports meeting, employees’ club activities, department dining together, birthday celebration activity, and Christmas activities.
Employee insurance and health	Full coverage of labor and health insurance, full-salary pension appropriation, group insurance (including spouse and children), health examination, nursing practitioner health consulting, onsite massagist service, and free organize bento for launch.
Thoughtful work environment and measures	Rest area for pregnant women, comfortable nursing room, contract signing with child care centers nearby, taxi subsidy, business car pickup, subsidy for providing cold protection equipment for colleagues riding motorcycles, unlimited supply of coffee, sale of snacks, onsite insurance services, etc.

Recruitment of Employees from Diversified Ethnic Groups

The employment of of employees from diversified ethnic groups in the recent three years is detailed in the table below:

Year			2020	2021	2022
Item/Gender		Age	Number	Number	Number
Minority or disadvantaged groups	Male	Below 30	1	1	1
		30-50	0	0	0
		Above 51	1	0	0
	Female	Below 30	0	0	0
		30-50	1	1	1
		Above 51	0	0	0
Note: Minority or disadvantaged groups refer to groups with specific conditions or characteristics (e.g., economy, physiology, politics, and society). These groups may suffer greater negative impacts from organizational activities compared to other general social groups.

Talent Cultivation and Development

2-21	Annual total compensation ratio
202-1	Ratios of standard entry level wage by gender compared to local minimum wage
404-1	Average hours of training per year per employee
404-2	Programs for upgrading employee skills and transition assistance programs
404-3	Percentage of employees receiving regular performance and career development reviews
405-2	Ratio of basic salary and remuneration of women to men

Education and Training

The annual education and training programs of the Company are generally classified into education and training of new employees and in-service training.

Education and training of new employees: Through the planning of physical courses by each department, the lecturers will personally guide new employees to learn about the software and hardware needed for the work and regulations and safety specifications to follow. Also, teachers in the departments will offer one-on-one guidance aside. Therefore, the new employees can quickly blend in.
In-service training: The contents include management training (e.g., regulations and management) and professional training (e.g., professional skills). With reference to the needs for work execution and positions of each department, or in order to meet regulatory requirements, the supervisors shall select and assign colleagues to participate in various study and learning courses organized by professional training agencies.

Fair Performance Management System

The ratios of employees of Wendell receiving assessment are shown as follows. Since new employees who worked for less than 3 months, employees on leave without pay for more than 3 months and the Chairman were not included in the assessment, the ratios didn’t reach 100%.

Item	Management positions	Non-management positions	Direct personnel	Indirect personnel
Ratio of male employees receiving assessment (%)	86	90	82	95
Ratio of female employees receiving assessment (%)	100	93	0	93
Note: Since new employees who worked for less than 3 months, employees on leave without pay for more than 3 months and the Chairman were not included in the assessment, the ratios didn’t reach 100%.

Country/Region

Ratio between the total annual remuneration of the individual with the highest remuneration in the Company and the median of the total annual remuneration of employees (not including this individual) (%)

Increased ratio between the total annual remuneration of the individual with the highest remuneration in the Company and the median of the total annual remuneration of employees (not including this individual) (%)

Taiwan

8.70

3.99

Remarks:

1. The Chairman is not the individual with the highest remuneration unless otherwise the Chairman concurrently serves as President/CEO.

2. Calculation formula of ratio of median of annual remuneration: Annual pay of the individual with highest annual pay in the current year/Annual pay of an individual with the annual pay at the median in the current year.

3. Calculation formula of increased ratio of annual remuneration: Increased percentage of annual pay of the individual with highest annual pay in the current year/Increased percentage of annual pay of an individual with the annual pay at the median in the current year.

The remuneration system of Wendell does not differ based on gender. Employees’ remuneration is verified and determined based on their work contents and working ability, and unexperienced workers will not get paid differently based on gender. Their remuneration will be adjusted every year based on work performance. Besides, the Company would investigate the market salary level every year and then adjust employees’ salaries accordingly, to ensure that its salary level accords with the market. By doing this, the Company expects to attract and retain excellent employees, to improve the corporate competitiveness and overall operating performance.

In 2023, the average salary of female and male grassroots workers was 1.88 times the minimum wage in Taiwan.

The starting salaries offered by the Company comply with the basic salary standard stipulated in the Labor Standards Act regardless of gender. Since the salaries are paid based on seniority, work performance, etc., the pay ratios differ according to different positions. The annual pay ratios of the Company during the report period in 2023 are shown in the following table:

Pay ratio of each position	Number		Total annual pay (NT$)		Pay ratio (%)
Pay ratio of each position	Female	Male	Female	Male	Female	Male
Management position	4	7	9,231,566	22,569,940	0.72	1
Non-management position	88	58	69,056,959	48,499,096	0.94	1
Direct personnel	0	14	0	9,475,457	0	1
Indirect personnel	92	51	78,288,525	61,593,579	0.7	1
Remarks: 1. Ratio of basic salary and remuneration of women to men (annual pay ratio): Refer to “Average annual pay of female employees of this category/Average annual pay of male employees of this category”. 2. Since four people, including the Chairman (also the CEO), the President, and vice presidents, are all males, they had relatively higher annual pays due to their ranks. As a result, the pay ratio between male and female employees in the management positions was relatively high. Also, since these 4 people are indirect personnel, the pay ratio between male and female indirect personnel was also high.

Benefits and Retirement System

Employment Retirement System and Implementation Status

Wendell assists employees in handling retirement matters in accordance with the provisions of “Labor Standards Act”, “Labor Pension Act” and “Work Rules”.

For employees who comply with pension provisions under the old system, relevant amount will be sufficiently drawn to the pension reserve account of Bank of Taiwan under the old system on a monthly basis.
For employees who comply with pension provisions under the new system, 6% will be set aside to the employees’ personal pension accounts on a monthly basis. In addition to 6% of amount set aside by the employer as pension in a fixed manner, employees may choose pension with pension range from 0% to 6% based on their personal willingness, and then relevant amount will be drawn to their personal pension accounts.

Besides, in consideration of retired employees’ abundant experience, we also encourage these employees to be reemployed through job accommodation of the Company, and also healthy bento is provided for lunch on a daily basis so that the retired employees may continue to pass on their experience to the younger generation without burden.

In 2023, 0 employees applied for retirement.

Implementation Status of Unpaid Parental Leave

In accordance with relevant provisions of “Labor Standards Act” and “Act of Gender Equality in Employment”, an unpaid parental leave system has been implemented for the employees. Female employees enjoy prenatal check-up leave and maternity leave during pregnancy and before and after delivery, while male employees enjoy paternity leave upon the delivery of their spouses. Besides, employees will be arranged to go back to the original units and positions upon expiry of their parental leave, so as to actively assist them in reintegrating into the workplace. In 2022, 7 employees (1 male and 6 females) applied for unpaid parental leave, and the number of employees actually reinstated in the current year reached 5 (1 male and 4 females), presenting a reinstatement rate of 100%.

Minimum Period of Advance Notice of Operational Change

When the employment relationship shall be terminated due to major operational changes of the Company, we will observe relevant statutory and regulatory regulations including “Labor Standards Act” and “Act for Worker Protection of Mass Redundancy”.

According to Article 16 of “Labor Standards Act”, the period of advance notice is stipulated as follows:

Where a worker has worked continuously for more than three months but less than one year, the notice shall be given ten days in advance.
Where a worker has worked continuously for more than one year but less than three years, the notice shall be given twenty days in advance.
Where a worker has worked continuously for more than three years, the notice shall be given thirty days in advance.
After receiving the advance notice referred to in the preceding paragraph, a worker may, during hours of work, ask for leave of absence for the purpose of finding a new job. Such leave of absence may not exceed two work days per week. Wages shall be paid during such leave of absence.
Where an employer terminates the contract without serving an advance notice within the time limit prescribed in the first paragraph of this article, he/she shall pay the worker wages for the advance notice period.

Before a colleague goes through a job change, his/her direct supervisor will negotiate with this colleague several weeks in advance. The job change may be announced only after the colleague agrees to accept his/her job change.

Occupational Health and Safety

Wendell attaches importance to the safety of each employee, establishes code of practice for safety and health according to the provisions of “Occupational Safety and Health Act”, provides healthy work and operating environments that comply with regulations, regularly analyzes potential dangers and possible hazards existing in the work, prevents possible hazards in the safety work activities, and avoids the occurrence of various occupational disasters.

In order to ensure the implementation of occupational safety, the Company has arranged regular labor-management meetings although no occupational safety and health committee has been established yet. Issues regarding occupational safety can be brought up and discussed in labor-management meetings. There are 7 labor representatives, accounting for 50% of all committee members. The employee representatives are elected and assigned by colleagues from each department. The committee members may put forward their suggestions on the safety of workplaces, propose disaster prevention, control and practice, and regularly update current regulations, launch advocacy and site inventory, and stick to zero occupational disaster by attending regular meetings on a quarterly basis. Besides, in accordance with labor health protection rules, onsite nursing services are provided every month, and onsite doctor services are arranged every half a year, I order to promote the balance between work and health, care about employees physically and mentally, and establish a more comfortable workplace environment. Furthermore, Wendell attaches importance to the work safety of each employee. In order to adhere to the concept of advance prevention to achieve zero incidents, we regularly require departments with relatively significant risks to identify hazards and assess risks, as well as discuss and modify the timeliness of such practice at due time. All colleagues are required to abide by the code of safety and health established. In addition to the safety and health training provided for new employees, review by supervisors and employees, risk assessment, and advocacy of new regulations will be carried out every 3 months. The supervisors of each department shall regularly update new knowledge on machinery operations as well as health education for colleagues.

When an incident occurs, in addition to the implementation of first aid and rescue according to the provisions of the emergency response plan, those who discover the incident shall immediately notify the supervisor, nursing practitioner, and occupational safety and health personnel as soon as possible; when any casualty accident occurs, relevant personnel shall immediately dial the dedicated emergency case reporting line, and assist the hospitalization of the injured. Relevant units of the Company shall notify the accident to relevant government departments and fill out relevant report form within 24 hours. Besides, when all employees encounter with emergencies that endanger their safety during work, they may take responsive measures, leave the workplaces, and ensure their safety. In this case, the Company shall not give improper punishments to these employees, including pay cut and dismissal, due to any of the aforesaid self-preservation factors.

Occupational Safety and Labor-Management Meetings

The Company has arranged regular labor-management meetings although no occupational safety and health committee has been established yet. Issues regarding occupational safety can be brought up and discussed in labor-management meetings. The labor-management meetings are convened once every quarter, and there are 4 labor-management meetings in each year. The tenure of the committee members lasts for 2 years. There are 14 committee members, including 7 labor representatives and 7 management representatives who account for 50% of all committee members respectively. The committee members will communicate, participate and update the requirements of the Occupational Safety and Health Act and relevant matters, review the occupational safety issues, discuss improvement plans, and strengthen the professional ability of personnel from each department regarding occupational safety and health. The personnel unit also contributes to the promotion of “Four Labor Health Protection Plans Established by the Ministry of Labor” through specially-appointed nursing practitioners and doctors. The personnel unit distributes questionnaires to colleagues for filling and submission every year. The nursing staff visits the Company every month from whom colleagues may make an appointment to inquire their problems.

The promotion of “Four Labor Health Protection Plans Established by the Ministry of Labor” is as follows:

Ergonomic Hazard Prevention Plan

Employees’ musculoskeletal problems can be found at an early stage through the musculoskeletal questionnaire survey. The medical team will evaluate whether employees’ work posture and workload would exacerbate their problems, and then take corresponding measures including the improvement of work site or work restrictions.

Abnormal Workload Induced Disease Prevention Plan

In accordance with physical examination reports of new employees, employee routine health examination reports and abnormal workload questionnaire survey, the medical team will calculate the risk of cardiovascular diseases among employees, consider employees’ workloads, learn about the risks of cardiovascular diseases possibly induced by their occupations, and make medical suggestions for them on this basis, or suggest the work deployment for these employees at the Company, so as to reduce the risk of cardiovascular diseases among employees.

Unlawful Infringement Prevention Plan for the Performance of Duties

Approaches like questionnaire survey, medical interview and each appeal channel are adopted to protect employees from workplace violence, including physical violence, mental violence, sexual harassment, and sexual assault. Measures that prevent language violence, mental violence and physical violence are taken to coordinate and deal with unlawful infringements as soon as possible. The medical staff will also continue to follow up and care about employees’ physical and mental health in the future.

Maternal Health Protection Plan

We provide health protection for female employees in their preparation for pregnancy, pregnancy, one year after delivery, and breastfeeding stage to avoid hazards in their work and environment. We check whether negative impacts and hazards will be caused to the babies in the workplace, and assist the improvement of work environment or adjustment of work contents.

Occupational Safety and Health Education and Training Activities

•Occupational Safety Education and Training

•The colleagues of the Company shall receive education and training on occupational safety and health. The training programs in the report period are listed as follows:

Name of training program	Trainees	Training expenses (NT$)
Safety and Health Education and Training for New Employees and In-service Employees	41	0
General Safety and Health Education and Training	1	1,200
Laboratory Certification Code ISO/IEC 17025 Training	4	28,800
Initial Training Class for Fire Protection Administrator Lecture and Study	2	6,400
Fire Protection Lecture and Study	14	0
Remarks: 1. Including employees and workers who are not employees but have their work and/or workplaces controlled by the organization. 2. Workers who who are not employees but have their work and/or workplaces controlled by the organization, e.g., security, cleaning staff, construction personnel, and other relevant contractors and outsourcers. 3. Occupational safety and health related education and training include general training or training on specific occupational hazards and dangerous situations.

•Employee Health Examination

The Company has established code of work for safety and health according to the regulations. Since the operating environment of the Company is relatively safe, and no special work and special health examination have been arranged, we attach great importance to relevant factors that can easily lead to the damage of employees’ health including incorrect work posture, “Three Highs” (high blood pressure, high blood glucose and high blood lipid”, maternal protection and unlawful infringements. We plan annual all-around health examinations for our employees that are superior to the requirements raised in the regulations to stay updated with the employees’ health condition and provide basis for self-health management. Onsite nursing practitioners will assist the colleagues’ consulting every month, so that employees’ work contents can be adjusted as appropriate, or their emotions can be cared for. Also, we irregularly advocate new knowledge on AED and CPR, in order to nip in the bud and create a safe and risk-free work environment.

Relevant Services and Measures for Employees’ Health Promotion

In order to promote employee health, Wendell provides many health promotion activities that are superior to those required in relevant regulations to assist employees in bettering their health and physical fitness. Therefore, each employee is able to work healthily and obtain favorable health promotion services. The effect of relevant contents of the health promotion activities is as follows:

Health Examination Superior to the Requirements Raised in Relevant Regulations

Through cooperation with Cathay Healthcare Management Center and Renyou Medical Clinic, we provide new employees and in-service employees with general health examinations. For general in-service employee health examinations, we have provided additional examination items in addition to those stipulated in relevant regulations. The examination rate reached 85%.

Employee Health Management Improvement and Consulting

Based on the four major plans of the Ministry of Labor mentioned above, we have adopted annual questionnaire survey and monthly initiative appointment and colleagues’ registration for consulting to take care of colleagues’ physical and mental health regarding ergonomic hazards, abnormal workload, maternal protection and unlawful infringements, and health guidance. Meanwhile, we actively care about the colleagues’ physical and mental health through questionnaire survey and based on the results of annual health examinations, as well as rely on external professional agencies to provide suggestions to colleagues. In 2022, we served 61 person-times in total.

Ergonomic hazard prevention plan: 9 employees were interviewed in total. The emphasis was mainly placed on the improvement of soreness in the work. This condition might be caused by incorrect work posture or incorrect height of desks and chairs.
Abnormal workload induced disease prevention plan: 3 employees were interviewed in total. These employees were under great work pressure, and therefore we suggested that the Company and their supervisors should care about these employees, or adjust their workload.
Maternal health protection plan: About 5 employees were interviewed in total. Health education and care were provided for employees who were about to deliver babies this year.
Health examination and guidance for dealing with “Three Highs”: 18 employees were interviewed in total. Information on correct diet and sports was provided for colleagues who were vulnerable to “Three Highs”.
Doctor health consulting: 7 employees were interviewed in total to help colleagues acquire consulting about their health issues in their daily lives.
Care about COVID-19 sequela: 4 employees were interviewed in total. Since some colleagues suffered from headache or difficulty in falling asleep, information regarding which department to register for during referral and suggestions on the adjustment of their daily routines were provided.
Health guidance for health examination of new employees: About 15 employees were interviewed in total. We would care about colleagues with red words in their health examination reports and evaluate whether their positions suited them.

Free Influenza Vaccination at the Company

We ask doctors and nursing practitioners to administer influenza vaccines to colleagues every October. In 2022, more than 60% of colleagues received influenza vaccinations, which lowered the risk of developing influenza and serious complications.

Healthy Bento

During lunch, healthy bento with less oil and salt is provided for colleagues. The dishes are evaluated and reviewed every month, and close attention is paid to the food quality presented by the merchants. Some merchants use organic ingredients with production and sales records for cooking. Currently, more than 10 bento merchants provide services every month, allowing our colleagues to eat healthily and have a variety of choices for different dishes. At the same time, we also support friendly bento merchants who produce food ingredients attentively.

Massage Service

Office workers intend to sit in front of the computers for a long period of time. The great work pressure and long-time wrong posture, which easily leads to dizziness, headache, shoulder muscle tension and even discomfort when turning their heads. Therefore, Wendell cooperates with visually impaired massagists to provide colleagues with massage service every week. By using the appointment system, colleagues may make appointments for massage service when they are free, and relieve pain and ease the emotions of anxiety and tension due to excessive mental stress through local relaxation.

Irregular Health Electronic Newspaper

We irregularly advocate new knowledge on health to colleagues.

Regular Drinking Water Testing

Currently, we use barreled mineral water, and would ask vendors to provide water quality test reports every half a year to ensure the drinking safety. Also, we regularly clean the water dispensing machines to ensure that no scale remains.

Badminton and Yoga Club

The Welfare Committee has established a badminton and yoga club and provided it with club subsidies with the objective to encourage employees to cultivate an exercise habit.

Regular AED and First-aid Demonstration Course and Fire Drills

We regularly invite firefighters to demonstrate the latest first-aid courses every year, and arrange site drills to update colleagues’ new knowledge on first aid for unexpected needs.

Provision of Paid Vaccination Leave, Epidemic Care Leave and Epidemic Quarantine Leave in Response to COVID-19

In response to COVID-19, Wendell provided its employees with paid vaccination leave, epidemic care leave and epidemic quarantine leave, which substantially increased the vaccination rate upon the promotion of vaccination, and prevent the occurrence of critical infections. Also, colleagues were able to rest or take care of their children at home, which successfully mitigated the infection probability within the Company.

Provision of Air Filters in Offices and Meeting Rooms

We will regularly replace air filter screens. During the epidemic, we additionally purchased air filters with filter screens at HEPA level.

Motorcyclists may request the purchasing of cold weather outfits and products every year.

Due to the intensification of the extreme weather, eligible colleagues may apply for an amount below NT$ 1,000 to purchase cold weather products or outfits every year since nearly half of our colleagues are motorcyclists who travel to the Company in the biting cold wind or heavy rain. It is a benefit offered by the Company to keep our colleagues warm when coming to work.

Operation Status of Occupational Safety and Health Management

In order to prevent the potential hazards, risks and negative impacts imposed by the suppliers on the Company regarding occupational safety and health, Wendell currently takes management and audit measures only over third parties who haven’t filled out sustainability questionnaires and received appraisal management. Before renewing contracts, we will evaluate whether each vendor complies with relevant regulations every year, to replace doubted vendors with legal vendors. The occupational safety and health management rules and regulations formulated by the Company according to the Occupational Safety and Health Act cover all the employees and workers who are not employees of the Company (including 3 persons from the cleaning company), with coverage of 100%. No employees or workers who are not employees are excluded.

Our company adheres to the Occupational Safety and Health Act and has established safety and health guidelines to safeguard the well-being of employees. We have two on-site nursing sessions per month, addressing topics such as human factors, unlawful infringement, maternal protection, and abnormal workload to ensure the physical and mental well-being of our employees.

In 2022, the frequency of disability and injury was 0, with 0 cases of occupational accidents, meeting the set target of 0 incidents, achieving a 100% rate. Similarly, in 2023, the disability and injury frequency was 0, with 0 cases of occupational accidents, meeting the set target of 0 incidents, achieving a 100% rate.

To ensure the safety of employees’ work environment and to prevent exposure to hazardous substances or dangerous working conditions, we conduct an annual environmental inspection to identify potential hazards and perform annual maintenance on machinery and equipment to ensure their safe use by employees.

In 2022, we conducted 2 fire drills with a total of 28 participants; performed 2 fire safety inspections of the building and 1 temporary inspection, with no major violations. In 2023, we conducted 2 fire drills with a total of 36 participants; performed 1 fire safety inspection of the building and 1 temporary inspection, with no major violations.

Social Care

During the process of operation, Wendell also assesses each risk existing in the environment and local community. Therefore, Wendell hasn’t caused any actual or potential negative impacts on the local communities and environment. However, in order to fully pay back to society, we stick to the spirit of taking from society and paying back to society, and aim to enable the general public to see the multicultural social activities. Wendell actively cooperates with The Pearl S. Buck Foundation and dedicates to serving, fostering and supporting children of economically disadvantaged new residents and their families. Hopefully, we can help new resident families who aspire to start their own businesses build their dreams and live and work in Taiwan in peace and contentment.

Many new immigrants marry into disadvantaged families, lacking educational and environmental resources. Most immigrant mothers often take on multiple jobs to make ends meet, leaving little time to focus on their children’s growth and learning. Economically, they may struggle to provide extra tutoring or purchase reading materials for their children, leading to educational disadvantages over time.

At present, the second-generation immigrants account for over 7% of the student population. In order to provide more resources for learning, we annually support the adoption assistance project through the Sae-Jen Pearl Foundation. This project adopts 60 second-generation children from preschool to junior high school in the greater Taipei area, providing each student with a monthly scholarship of 1000 NT dollars. This enables the second-generation children to purchase necessary study materials and supplies.

Each department also has over 150 colleagues responsible for caring for the 60 children. Through volunteers, they stay informed about the children’s well-being and send letters, cards, or even small gifts to show care and encouragement. Through these correspondences, children can feel the support from the company’s donations and colleague encouragement, helping them find their interests and direction.

In 2022, Stably not only sponsored the adoption assistance project but also donated NT$300,000 to the Pearl S. Buck Foundation through a sponsorship from High Wealth Victory. This donation aims to help the foundation purchase equipment for frontline social workers and increase rewards for them, motivating them to engage more in caring for the second-generation descendants. The total amount of public funds in 2022 amounted to NT$1,190,070 and 2023 amounted to NT$1,020,000.

Sustainability Report

Giving back

Certificates and Awards

Human Rights Policies and Standards	Specific Practice
Gender equality	In accordance with the provisions of relevant laws and regulations, Wendell provides male employees with pregnancy checkup accompaniment and paternity leaves, and paid family care leave, and female employees with menstrual leave, maternity leave, prenatal check-up leave, etc. respectively. In addition, they may also apply for unpaid parental leave. In 2022, 33% of qualified male employees applied for unpaid parental leave, while 75% of qualified female employees applied for unpaid parental leave. The Company would initiatively care about these employees before reinstatement and assist them in reinstatement. As a result, the reinstatement rate reached 100%; also, the Company has signed contracts with child care facilities nearby so that colleagues would pick up children without having to go far; the Company has assigned specially-appointed doctors and nurses to offer regular consultation and pay attention to maternal protection. The nursing staff will continue to pay attention to the pressure of work and life imposed on female employees within 1 year after pregnancy and delivery, and make suggestions to the Company for adjustments as appropriate. Besides, the Company has also established sexual harassment control measures, mailbox and dedicated line. Upon receipt of appeals from employees, the human resources unit will immediately convene an investigation group to launch investigations.
Prohibition of employment of child labor and minors	Wendell does not recruit child labor aged below 16 according to law, which has been stipulated for the employment of new employees. Those who report for duty are required to present the originals of their identity certificates on the day of registration. The certificates will be returned immediately after being checked, to confirm that their age complies with the statutory and regulatory provisions.
Avoidance of forced labor	Wendell has never used forced, guaranteed, involuntary or exploitative labor. All the employees have been employed through the legal appointment procedures of the Company. Employees are required to sign employment contracts upon entry to agree on the working hours that comply with local regulations; if an employee needs to work overtime, he/she shall fill out “Overtime Application” in the system. “Timeout Reminder” will be provided regularly in each month to remind colleagues to apply for overtime in the system. If the overtime in the current month is considerable, we will remind the supervisors to care about the employees’ status. Furthermore, we would advocate relevant laws and regulations in the quarterly labor-management meeting to ensure that the supervisors and employees do not violate these laws and regulations.
Emphasis on laborers’ human rights	Wendell has established a Welfare Committee that comprises representatives elected by employees of each department. Employees may decide on the activities and welfare in the current year by means of discussion, voting, etc.; also, labor-management meetings are convened every quarter. The labor representatives are able to make suggestions to the Company regarding improvements. After receiving such suggestions, the management representatives shall immediately discuss them; as for the semiannual performance evaluation, employees’ suggestions on the Company are also inquired, and the Company will propose improvement schemes based on such suggestions.
Supplier Evaluation Questionnaire	In accordance with relevant human rights policies and standards issued by organizations like the International Labour Organization, Wendell has never used child laborer. In addition to the strict implementation of these policies and standards by the operations, we have also required suppliers not to employ labor or child labor below the minimum working age through the labor health and safety investigation items in “Supplier ESG Evaluation Questionnaire”. In 2022, the Company completed the investigation of 52 suppliers with transactions. If the suppliers have potential risks or deficiencies audited, Wendell will continue to require improvements. Employees who dedicate to the overall product supply chain will be protected by international human rights standards.

Stakeholder	Significance of stakeholder for the Company	Communicating channels	Frequency	Communication effect
Shareholders and other investors / Financial institutions	Shareholders and investors have recognized the management philosophy and guidelines of Wendell for a long term. Financial institutions are indispensable partners for the flexible application of working capital. Wendell promotes the exclusive EMC one-stop integration services in the market, endeavors to acquire stable profits and return on investment for shareholders and other investors, and implements corporate sustainable management.	Board of Directors and Audit Committee	At lease once per quarter	In 2022, 7 meetings of the Audit Committee, 8 meetings of the Board of Directors, 4 meetings of the Remuneration Committee, and 1 meeting of regular Shareholders’ Meeting were held. The Company announced monthly revenue for 12 times, and released 35 major messages on MOPS. In 2022, the Company published 1 annual report and 4 financial reports. Reply to the questions raised by investors immediately. Update the official website and dedicated zone for investors at any time. Sign credit limit contracts with banks.
		Remuneration Committee	At least twice per year
		Regular Shareholders’ Meeting	At least once per year
		Investor conference	At least once per year
		Dedicated line for investors/Mailbox	Immediate
		Spokesperson system	Immediate
		MOPS	Immediate/Irregular
		Annual report	Once per year
		Financial reports	Four times per year
		Bank credit	Once per year
		Official website of the Company and dedicated zone for investors	Immediate/Irregular
Customers	Customers are not only the source of the Company’s main revenue but also the source of needs for product development and technical support. We will continue to provide innovative product and high-quality platform services, dedicate to becoming a partner trusted by customers, and guarantee to join hands with customers in a definite path of sustainability that complies with the market demand.	E-mail/Dedicated telephone line/Visit	Immediate/Irregular/Every 2-3 days or weekly	The Company has established a full-time department to provide customer services. Learn about the score and deepen customers’ stickiness through customer satisfaction/supplier audit of customers/general meeting of suppliers of customers. Enable customers to obtain the explanations for the questions raised within the short time through the quality system of Wendell. Conduct regular customer satisfaction survey every year. The result of customer satisfaction survey of the Company in 2022 was higher than the indicator of “Satisfied”.
		Communication software	Immediate/Irregular
		Meeting	Irregular
		Seminar	1-2 times/year
		Customer satisfaction survey	Once per half a year
Suppliers (or contractors / outsourcers)	They are the business partners of the Company. We need to cooperate closely with suppliers in terms of product quality, production and technical management, and after-sales services, for the purpose of establishing a developing sustainable supply chain. Besides, the appraisal and review of suppliers are an important process that benefits the establishment of a mutually beneficial model.	E-mail/ Telephone/Visit	Irregular/Every 2-3 days or weekly	Require the suppliers to abide by the Company’s quality code as well as requirements addressing the issues of hazardous environmental substances and sustainable development according to QMS Supplier Selection Measures of the Company. The Company immediately discusses and negotiates relevant solutions with suppliers who do not comply with the provisions, so as to properly manage and improve the problems. The quantity of cooperative materials may be added if the score in the vendor appraisal form is high.
Suppliers (or contractors / outsourcers)		Vendor appraisal form	Once per half a year
Employees and other workers	Employees are the most important assets valued by Wendell as well as a key to our successful operation. Employees may be fully cared for and concerned and grow vigorously together with the Company only when we provide them with a friendly employment environment, improve our systems, abide by laws, regulations and rules, and care for employees physically and mentally as appropriate, so as to realize the goal of attracting more professional talents. In addition, talent cultivation is also a goal we are exerting continual efforts for.	Welfare Committee meeting	1~2 times/quarter	In 2022, the Company held 4 labor-management meetings/Welfare Committee meetings, conducted 2 times of employee performance assessment, 1 time of employee health examination, 5 times of health consulting by physicians and nurse practitioners, and 24 times of onsite services, handled 25 cases of employees’ suggestions in a real-time way, and organized Family Day and employee tourism once, and 52 times of internal real-time advocacy and announcement.
		Labor-management/Occupational safety meetings	Once per quarter
		Performance assessment and feedback of suggestions	Once per half a quarter
		Onsite services	Once per month
		Family Day/Employee tourism	Once per year
		Employee health examination/Health consulting	Once per year/Irregular
		Appeal mailbox/Dedicated appeal line/Internal publicity channel	Immediate
Government	Wendell is employee-oriented. When any circumstance occurs, we guarantee to prioritize the compliance with laws and regulations and the safeguarding of employees’ interests. If employees’ interests are harmed, we will immediately manage to minimize the damages. In addition to the compliance with relevant regulations, the Company also conducts two-way communication with the competent authority.	Telephone/E-mail/Letter	Immediate/Irregular	We have already learned relevant regulations in doubt after communicating with relevant units. Wendell was not involved in any labor-management dispute as of 2022.
Social welfare organizations	Since its establishment, Wendell has not only focused on the growth and development of its main business, but also adhered to the concept of “Taking from society and using for society”, in the hope that we can become an excellent corporate citizen and give back to children and the elderly in need to spread the seeds of care.	Telephone/E-mail	Irregular	Encourage children adopted positively in their daily and academic lives, and the children will also share their recent conditions with us.
Social welfare organizations		Card writing	Twice per year
Academic and industry-university cooperation units	People are the most important assets of Wendell. We hope that more young students can be recommended by schools to apply the knowledge they have learned in practice through industry-university cooperation. Besides, we will help them find their interest as early as possible and expect that they will develop more creative ideas. Hopefully, these young students can get a stable job before graduation, and the employment rate of society can be improved.	Telephone/E-mail	Real-time	The Company has established full-time department and laboratory factories to provide teaching services. In the recent 5 years, the Company has hired a total of 15 interns from different universities, including 12 from Lunghwa University of Science and Technology, 1 from Takming University of Science & Technology, 1 from Tungnan University, and 1 from National Taiwan University of Science and Technology respectively. After graduation, 10 of them stayed with us, presenting a retention rate of 67%.
Academic and industry-university cooperation units		Conversion	Once every 2 months

ESG

Sections

Address from the Chairman

Sustainability Commitments

Stakeholder zone

Employees

Customers

Suppliers

Investors

Communicating Channels for Stakeholders

Ethical Corporate Management and Regulatory Compliance

Whistleblowing Treatment Mechanism

Corporate Governance

Green Industrial Chain

Management of Material Topics

Products and Services

Products and Service Items

Product Certification

Customer Privacy

Green Supply Chain

Friendly Environment​

Management of Material Topics

Raw Material Management

Water Resource Management

Energy Management

Energy-saving Results

Greenhouse Gas Management

Waste Management

Diversified Workplace

Management of Material Topics

Talent Recruitment and Retention

Complete Employee Welfare

Recruitment of Employees from Diversified Ethnic Groups

Talent Cultivation and Development

Education and Training

Fair Performance Management System

Benefits and Retirement System

Employment Retirement System and Implementation Status

Implementation Status of Unpaid Parental Leave

Minimum Period of Advance Notice of Operational Change

Occupational Health and Safety

Occupational Safety and Labor-Management Meetings

Occupational Safety and Health Education and Training Activities

•Occupational Safety Education and Training

•Employee Health Examination

Relevant Services and Measures for Employees’ Health Promotion

Health Examination Superior to the Requirements Raised in Relevant Regulations

Employee Health Management Improvement and Consulting

Free Influenza Vaccination at the Company

Healthy Bento

Massage Service

Irregular Health Electronic Newspaper

Regular Drinking Water Testing

Badminton and Yoga Club

Regular AED and First-aid Demonstration Course and Fire Drills

Provision of Paid Vaccination Leave, Epidemic Care Leave and Epidemic Quarantine Leave in Response to COVID-19

Provision of Air Filters in Offices and Meeting Rooms

Motorcyclists may request the purchasing of cold weather outfits and products every year.

Operation Status of Occupational Safety and Health Management

Social Care

Sustainability Report

Giving back​

News!! “Cheer for Dreams! Wendell and Gan Jia-wei Join Forces for Olympic Glory”

Scholarships

The next generation

Environmental Stewardship

Continued Care for the Environment

Talent building & nurturing

Long-term assistance and talent nurturing

Industry Academy Cooperation

Nurturing the next generation of Engineers

Social care

Disaster relief and care

Certificates and Awards

Certificates

Wendell EMC & RF Laboratory

Wendell Electrical Testing Lab

Shenzhen Qianhong Electrical Testing Co., Ltd

Awards

Friendly Environment

Giving back