SUNON's brand new ESG website is launched.

SUNON views corporate social responsibility as the cornerstone of sustainable development. From implementing greenhouse gas reduction, adopting green energy, promoting sustainable supply chains, to participating in social welfare and employee care, SUNON continuously integrates ESG principles into daily operations. SUNON believes that only by shouldering social responsibilities can a better future be created for future generations.

2024 Sustainability Report sustainable performance

Sustainable development

Sustainable Development

Sustainability Indicators and Policies

Sustainable Development

Indicators and Policies

Material Topics

Risks and Opportunities

Our Public Policy

Social Responsibility Policy

Social Responsibility Policy and Commitment Statement

1. Our company commits to and implements the following policy statement items:

Freedom to choose occupation - Prohibition of charging workers fees (zero fees), deposits, or confiscating documents. The use of involuntary and exploitative prison labor, contract-limited labor, debt bondage labor, forced labor, and human trafficking is strictly prohibited.
No child labor - establish child labor review and measures to protect against the misuse of child labor.
Appropriate working hours - comply with applicable laws, industry standards, and customer conduct regulations regarding working hours.
Reasonable compensation - The compensation given to employees meets the basic legal requirements (excluding any overtime pay and other allowances), and the working hours comply with the stipulated requirements, with a maximum of 60 hours per week.
Humane treatment - It is strictly prohibited to use punishment as a means, forced, or involuntary labor, and punitive management measures are also prohibited.
Non-discrimination - Eliminate discrimination based on race, color, age, gender, sexual orientation, gender identity and expression, ethnicity or nationality, disability, pregnancy, religion, political affiliation, group background, zodiac sign, blood type, place of origin, veteran status, protected genetic information, marital status, or filing complaints in matters such as employment, compensation, training, promotion, and dismissal.
Freedom of association - Respect for employees' rights to freely associate, join unions, and engage in collective bargaining.
Health and Safety - Committed to providing employees with a healthy and safe working environment, reducing hazards in the workplace.
Occupational risk control - providing employees with appropriate safety training and protective equipment, assessing the risks of workplace hazards within the company, and establishing emergency response plans to cope with disasters.
Resource conservation - comply with environmental regulations, save resources, establish management measures and conduct training, achieve the goal of energy saving and carbon reduction, and reduce safety hazards and environmental impact risks.
Integrity in Business - All personnel must not use any illegal or unethical methods to gain competitive advantages and improper benefits.
No improper benefits - must not receive or give bribes through one's position, nor profit by means that violate business ethics and cause conflicts of interest.
Information disclosure, intellectual property and privacy - disclose business information according to industry practices, protect intellectual property and the privacy of stakeholders.
Appropriate advertising and fair trading - adopt the principles of fair trading and competition in advertising, and shall not obtain benefits through collusion or monopolistic behavior that harms any third party.
Management System - Commitment to establish, maintain, and improve the company's social responsibility management system, and to provide employees with adequate training to understand the requirements of social responsibility.
Goal management and continuous improvement - set goals to enhance the effectiveness of the social responsibility management system and continuously improve.
Decentralization of authority and responsibility - Designated senior management personnel shall regularly review the company's policies, measures, and their implementation results in accordance with this standard and other regulations signed by the company.
Regulatory compliance and risk management - Regularly review regulations and confirm compliance, conduct regular risk management activities to effectively reduce risk events.
Internal audit management - Regularly review and examine whether the management system is sufficient, applicable, and continuously effective, and make corrections and improvements as necessary.
Communication, suggestions, participation, feedback - we are committed to publicly disclosing our company's social responsibility status and improvement plans to all employees, customers, cooperating suppliers, and other relevant parties through the company website, bulletin boards, promotional materials, and customer site visits, and to accepting public supervision or suggestions.
Supplier management - Control suppliers/subcontractors according to RBA standards and relevant customer conduct guidelines.

The provisions of this statement are for understanding purposes, and the detailed terms and any additions or changes shall be governed by the Responsible Business Alliance Code of Conduct.

[Responsible Business Alliance Code of Conduct]www.responsiblebusiness.orgObtain relevant information.

Policy issuance date: 2023/09/01

Information Security Policy

[Information Security Policy]

Strengthening personnel capabilities
Avoid data leakage
Implement daily operations and maintenance
Ensure service availability

[Information Security Goals]

Conduct information security education and training to promote awareness of information security among personnel and strengthen their understanding of related responsibilities.
Protect the information of the company's business activities, prevent unauthorized access and modification, and ensure its accuracy and completeness.
Regular internal and external audits are conducted to ensure that relevant operations are effectively implemented.
Ensure that the company's critical business systems maintain a certain level of system availability.

Policy issuance date: 2023/06/28

Energy Policy

Sunon Energy Policy

Sunonwealth Electric Machine Industry Co., Ltd. is committed to corporate social responsibility and sustainable management goals. All employees work together to promote the international standard ISO 50001 Energy Management System and adhere to the following policy commitments:

In compliance with energy-related regulations, energy-saving products should be purchased first.
Improve energy use efficiency and continuously enhance energy performance.
Review energy target subjects to ensure the acquisition of information resources.
All employees participate in energy saving and carbon reduction, continuously improving the energy management system.
Create energy value for enterprises and build a sustainable corporate culture.

Policy issuance date: 2024/09/11

Human Rights Policy

Our company is committed to supporting the Universal Declaration of Human Rights; the UN Guiding Principles on Business and Human Rights; the International Labor Organization Declaration of Fundamental Principles and Rights at Work, and other international human rights conventions. We implement the Responsible Business Alliance (RBA) Code of Conduct and establish various human rights policies, including non-discrimination, freedom of association for employees, prohibition of child labor, and prohibition of forced labor, to protect the basic rights of employees and stakeholders. To ensure that suppliers and contractors deploying external workers also implement our company's human rights protection policies, we have added human rights clauses to the social responsibility policy and commitment statement, requiring the aforementioned suppliers and contractors to sign and comply with the regulations. The company also conducts regular audits each year to ensure the implementation of human rights policies.

Social Responsibility Policy and Commitment Statement

Our company identifies human rights issues, assesses applicable subjects, and employs different due diligence methods to evaluate human rights issues and subjects that carry risks, thereby formulating human rights policies and risk mitigation measures such as compensation systems. The human rights issues identified in 2024 with potential risks include non-discrimination, freedom of association for employees, child labor, youth labor, and forced labor. Please see the table below for details:

Human rights issues	Non-discrimination	Freedom of association for employees	child labor	Youth labor	Forced labor
Management Procedures	Anti-discrimination and Anti-harassment Management Procedures	Freedom of Association Management Procedures	Prohibition of child labor and misuse of remedial procedures	Management procedures for underage workers, students, interns, and work-study students	Anti-punishment, forced labor, prison labor management procedures
Establishing levels	Chairman	Chairman	Chairman	Chairman	Chairman
Supervisory Unit	Global Human Resources Department	Global Human Resources Department	Global Human Resources Department	Global Human Resources Department	Global Human Resources Department
Audit frequency	Once a year	Once a year	Once a year	once a year	Once a year
Due diligence methods	Not implemented	Not implemented	Entry Check	Entry Check	The Human Resources Department tracks employee working hours monthly.
Risk assessment methods	Number of cases	Number of cases	Number of cases	Number of cases	Monthly Overtime Hours
Risk Level	Low	Low	Low	Low	Low
Preventive measures	In matters of hiring, training, salary compensation, promotion and salary adjustment, dismissal, or retirement, there shall be no differences based on gender, nationality, religion, health status, etc.	Employees may organize employee representative assemblies and various associations on their own without violating legal regulations, and the company shall not impose restrictions on this.	The global human resources department verifies identity and confirms that the age is at least 16 years old during recruitment.	Assess the working conditions and potential risks for underage workers, provide necessary safety education and training as well as labor protective equipment, and young workers shall not engage in dangerous or harmful work.	The Global Human Resources Department compiles monthly statistics on employee working hours, and supervisors appropriately adjust employee workloads to avoid issues such as excessive overtime or insufficient rest time, which can affect employees' physical and mental health.
Compensation measures	Employees can file complaints through various complaint management channels. Once verified, appropriate disciplinary action will be taken by the company, and in severe cases, the matter will be reported to the relevant government authorities for handling.	Handle follow-up matters according to internal reporting/external supervisory agency complaint channels.	If it is found that an employee under the age of 16 has been mistakenly hired, immediately stop their work, settle all their wages, and take remedial measures.	Regularly assess the physical and mental health of young workers. If there are any doubts about working conditions and management measures, they can report through internal complaint channels.	Employees can directly complain to the Global Human Resources Department / Management Department or the General Manager in verbal or written form, or submit a complaint letter to the suggestion box. The Global Human Resources/Management Department will conduct an investigation and respond within one week of receiving feedback or complaints.

Note: The human rights management procedures related to this table are internal documents and contain some confidential information, therefore they are not intended to be made public.

In order to implement various human rights policies and to help employees, workers, and suppliers understand the established human rights policies, the company regularly reviews and announces these policies to relevant personnel, and uses public activities, courses, or lectures to educate and promote them. The company also translates the procedural documents related to human rights policies into Simplified Chinese and English for foreign employees and suppliers to understand the company's human rights policies. The company has set up a platform for employee feedback and a colleague feedback mailbox, where employees can raise discussions if they have doubts or concerns regarding the human rights policies; external workers and suppliers can also report to the corresponding dedicated units (such as the Global Human Resources Department, Strategic Procurement Department, etc.) to ensure smooth communication regarding human rights issues for all workers and suppliers. To maintain a fair procedure for the review and investigation of reported cases, a cross-departmental team is formed by the Global Human Resources Department, responsible for investigating and reviewing the reports and formulating improvement measures. Additionally, the company arranges labor human rights education courses for new employees upon their onboarding to ensure that new personnel clearly understand their rights related to human rights.

Employee feedback channels

In the first half of 2024, our company did not experience any incidents of discrimination, child labor, or forced labor that violate human rights. To maintain this environment, our company will continue to improve relevant training programs and supporting measures.

Training Policy

Sunon Training Policy

Training objectives are competency-oriented.
Cultivating employees to become professional elites
Create the highest value for sustainable management

The company is committed to building a team with high professional capabilities and excellent competitiveness. Therefore, we use "competency-oriented" as the core of our training, assisting employees in accurately mastering the skills required for their work through a systematic learning framework. At the same time, the company places greater emphasis on the in-depth cultivation of talent, hoping that each colleague can grow through continuous learning and practical application, gradually becoming a professional elite capable of handling responsibilities independently.

In response to the ever-changing market environment, we continuously integrate internal and external resources to create diverse training programs that not only enhance employees' professional skills but also cultivate innovative thinking and interdisciplinary collaboration abilities.

Through this development model, the company believes that talent is the most critical source of competitive advantage. Only by allowing employees to continuously grow and daring to break through can the enterprise maintain its lead in a fiercely competitive market, create the highest value for sustainable operation, and share long-term success with all stakeholders.

Policy issuance date: 2015/06/01

Occupational Health and Safety Policy

Environmental Policy

Water Resource Management Policy

Environmental Management Policy

Sunon currently implements the following practices in its environmental management policy, and will continue to improve and promote the environmental management policy in order to create a better and greener environment.

Reduce environmental pollution

Sunon fully implements energy saving, environmental protection, resource reuse, cost reduction, and reduction of carbon dioxide and other greenhouse gas emissions. Sunon will base its actions on ISO 14001 standards to effectively reduce industrial waste and promote resource recycling, while also controlling the generation and emission of waste gas, noise, and waste to mitigate the impact on the ecological environment.

To strengthen the management and transparency of greenhouse gas emissions, we have introduced and obtained certification for the ISO 14064-1 international greenhouse gas inventory standard, establishing a systematic emission inventory and internal verification process to accurately grasp the current emission situation. In the future, we will continue to plan and promote concrete and feasible carbon reduction solutions based on the inventory results, moving towards the long-term goals of low-carbon operations and net-zero emissions.

SUNON Green Product Management System

Sunon, in order to ensure that products fully comply with the EU RoHS Directive (2011/65/EU) and the REACH (Registration, Evaluation and Authorization of Chemicals System-Regulation (EC) No 1907/2006) new chemical policy's green environmental protection regulations, has established a dedicated green supply chain system for the Sunon Group. It has fully implemented a green procurement process, requiring material suppliers not to use or contain prohibited controlled substances (lead (Pb), cadmium (Cd), mercury (Hg), hexavalent chromium (Cr6+), polybrominated biphenyls (PBBs), polybrominated diphenyl ethers (PBDEs)) in production and products, and to provide relevant certification documents proving the non-use of harmful substances for review. Sunon strictly controls this process, demonstrating the environmental commitment guaranteed by Sunon's products. Sunon is very concerned about the social and environmental issues arising from the raw materials and processes used in manufacturing products. The Democratic Republic of the Congo has rich mineral resources, including gold (Au), tantalum (Ta), tin (Sn), and tungsten (W) (collectively referred to as 3TG), which are essential metals used in electronic devices. However, in these areas, the mining development process has led to many incidents of violence funded by the illegal trade of mineral products for profit, resulting in massacres and rampant human rights violations in conflict-affected areas. As a global citizen, Sunon respects international human rights and commits to not accepting metals sourced from conflict zones to ensure a safe working environment in the supply chain, where workers are respected and treated with dignity. We expect our suppliers, based on their responsibility to the environment and society, to avoid using conflict minerals, conduct reasonable investigations of their supply chains, and ensure that the materials provided to Sunon do not contain "conflict minerals," fulfilling their corporate citizenship responsibilities.

The purpose of the SUNON green product management system implementation.

Construct a dedicated green supply chain system for the construction and preparation group to enhance the effectiveness of green material control and the rigor of research and development approval processes.
Enhance the regulatory effectiveness of green procurement.
Implement the spirit of IECQ QC 080000 management through information systems.
Manage materials and suppliers in a systematic way to enhance customer confidence in SUNON's green materials management.

Performance Management

Sunon not only formulates specific greenhouse gas reduction improvement targets year by year, but also implements performance management, sets indicators to enhance management performance, and regularly discloses them, demonstrating Sunon's determination and perseverance in protecting the Earth's environment and implementing environmental protection policies.

Questionnaire

Based on the principles of openness and transparency, regularly collect and analyze the issues of concern to stakeholders.

Report Download

Provide the annual sustainability report, materiality assessment results, and governance information. You are welcome to read.

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