To actively promote sustainable operations, ESG development, and corporate social responsibility through corporate governance functions, the Company established the "Sustainable Development Committee" in 2022 as the highest decision-making body for driving sustainability initiatives. The committee is chaired by the Chairman of the Board, with members comprising the Chairman of the Board and senior executives. Under the committee, the Corporate Sustainability Development Office is responsible for coordinating the implementation of sustainability tasks across cross-departmental teams within the Company. The task force consists of six working groups: Environmental Sustainability, Green Manufacturing, Green Supply Chain, Corporate Care, Social Care, and Corporate Governance. Members of these groups are drawn from various departments, including R&D, production, facilities, environmental health and safety, legal, and finance. By integrating resources, the Company effectively implements its sustainability strategies. Regular progress review meetings are held to assess the working groups' performance. The committee evaluates the outcomes of each group’s initiatives, holds ad hoc discussions on key sustainability topics, and formulates goals and strategic priorities. Progress is reported to the Board of Directors at least twice a year. The most recent sustainability operations report was presented to the Board of Directors on August 4, 2025.
(I)Has the Company developed its policies and procedures in accordance with laws and International Bill of Human Rights?
The Company’s management regulations (including employee welfare measures, retirement system, etc.) are all in compliance with Taiwanese labor laws and regulations. The Company also follows the International Bill of Human Rights and provides a working environment that balances work and life. Moreover. the Company has passed OHSAS18001 certification and attained occupational safety and health system certification, beneficial to the elimination or reduction of work risks for employees.
(II)Has the Company established and implemented reasonable measures for employee benefits (including remuneration, holidays and other benefits), and appropriately reflect the business performance or achievements in the employee remuneration?
The Company has established and implemented reasonable measures for employee benefits: Leave: A comprehensive leave system in accordance with labor laws and regulations is provided. The Company places great importance on female-friendly benefits such as maternity leave, parental leave, paternity leave. Remuneration: Not only are employees provided with stable annual salary and annual bonuses, rewards are also allocated for our employees depending on the operational conditions and their personal performance. From time to time, the Company offers promotions and pay rises in conjunction with employee performance appraisal. The Company began to implement an employee stock ownership trust program in 2018, aiming to increase the centripetal force of employees with a diversified remuneration system.
In 2020, the Company paid an average monthly salary of NT$67,700 per employee, higher than the average monthly salary of NT$54,320 per employee according to the 2020 statistics released by the Directorate General of Budget, Accounting and Statistics — the salary level we offer at CMMT is better than the national average.
Benefits: In addition to satisfying employees’ needs for food, clothing, housing, transportation, education, and recreation, the Company also provide employees with comprehensive insurance, including life insurance, accident insurance and free group insurance to give employees peace of mind. CMMT has also established an employee welfare committee, providing maternity, marriage, childbirth, funeral, leisure allowances, as well as birthday vouchers and vouchers for 3 major holidays in Taiwan.
The Company also has systems in place for company trips and retirement. The Company’s retirement system is fully in compliance with regulations stipulated in the Labor Standards Act and Labor Pension Act. Employees of the Company who meet one of the following circumstances may apply for retirement: Those who have worked for over 15 years and are at least 55 years old; those who have worked for over 25 years. The Company shall not enforce mandatory retirement on an employee unless the employee meets ones of the following circumstances: Those who are over 65 years old; and those who are mentally or physically incapacitated and are deemed unfit for work. The age specified in the preceding paragraph may be adjusted by the Company through the central competent authority for workers with work of a special nature such as that which is dangerous or requires physical strength, but they not shall be under 55 years old. The determination of the retirement age of employees shall be based on the household registration. The Company’s retirement system has been well implemented in accordance with the Labor Standards Act and Labor Pension Act. For employees who are eligible to claim the pension as stipulated in the “Labor Pension Act”, the Company contributes 6% of employees’ wages to their personal accounts each month. Number of people who applied for retirement in recent years:
| Year | 2018 | 2019 | 2020 | 2021 |
| Number of retirees | 0 | 0 | 0 | 1 |
(III) Does the company provide employees with a safe and healthy work environment? Are employees trained regularly on safety and health issues?
When it comes to the training of new hires, the Company is in full compliance with the Labor Standards Act and OHSAS18001. The Company provides a full range of basic education and training to new employees, including environmental health and safety, fire safety, static electricity protection, aiming to increase employees’ basic safety awareness. In the event of an injury, employees are provided with a safety and healthy workplace through an abnormal accident management system. Employees are not only entitled to an annual health examination, the Company has also been putting an effort in investing in special protection programs and workplace health promotion events, hence the reason the Company was awarded with the “Badge of Accredited Healthy Workplace”. The number of work-related fatalities and occupational diseases among employees in 2020 was 0. 2020’s implementation of education and training:
| Training category | Total number of course | Total number of people | |
| Safety and Health | 401 | 1,383 |
(IV) Has the company implemented an effective training program that helps employees develop skills over their career?
The Company provides fixed education and training to internal employees each year to establish an effective career development training program, such as:
(1) ISO 9001 and QC 080000 Internal Auditor Training Course.
(2) ISO 14064 Greenhouse Gas Accounting and Verification & Auditor Training Course
(3) ISO 45001:2018 Occupational Health and Safety System and Internal Auditor Training Course
(4) Internal Process Auditor Process Failure Mode and Effects Analysis (PFMEA) and Control Plan Awareness Training
(5) Management Training Program (MTP) for middle level supervisors to enhance their management skills.
(6) Training Within Industry (TWI) for grassroots management skills - work coaching and work improvement.
(7) Awareness and promotion of Personal Data Protection Act: Practical Course for Information and Business Audits and Palo Alto Networks Firewall Hands-on Experience.
(8) How to make good use of the computer system to identify abnormal transactions
(9) Corporate Compliance Course: Major Labor-Management News Incident, Security and Supervisor Training Course
(V) Has the company implemented consumer protection and grievance policies with regards to its research, development, procurement, production, operating and service activities?
The Company’s products all follow applicable laws and regulations as well as international standards, and are RoHS compliant.
(VI) Has the company established supplier management policies demanding compliance with relevant regulations and their execution status regarding issues such as environmental, occupational safety, and health or labor rights?
Operating condition: Yes
The “Basic Supplier Information Form” signed with suppliers before a business dealing includes the question to the question of “whether the supplier’s historical record of environmental and social impact has been assessed”. The Company also established a “Supplier Social Responsibility Agreement” with major suppliers, including terms of termination or cancellation of the contract at any time if the supplier is involved in a violation of its corporate social responsibility policy and has significant environmental and social impact. In an effort to implement corporate governance, on November 11, 2015 and June 20, 2016, the board of directors passed the “Procedures for Ethical Management and Guidelines for Conduct”, which includes the “Declaration of Integrity for Suppliers”. The “Declaration of Integrity for Suppliers” and the “Supplier Social Responsibility and Integrity Commitment” can be found on the Company’s website: www.cmmt.com.tw (Corporate Responsibility → Corporate Governance).
(I) In an attempt to fulfill the Company’s social responsibility to protect earth, the main raw materials used are in accordance with the EU’s “Restriction of (the use of certain) Hazardous Substances”, which came into effect in July 2006. The hazardous substances are banned in production and all departments are informed of related information to ensure that the Company’s products meet the requirements of EU’s directives or customers. Furthermore, the Company has attained the ISO 14001:2004 environmental management certification - it is the Company’s ongoing dedication to make a difference in environmental pollution, energy and resource conservation and waste reduction to reduce potential environmental risks.
(II) The Company have also passed the OHSAS 18001: 2007 occupational safety and health management system. The Company insists on effectively eliminating or reducing risks for workers, while improving occupational health and safety and further reducing medical claims and insurance costs.
(III) It is in the Company’s nature to always lend a hand when there is a social crisis. In response to environmental sustainability, the Company supported a native species tree planting activity in 2016.
(IV) Promoting education and public welfare: To make good use of the Company’s power, it sponsored WHYIXD in 2019 in the “2020 X-site Program: X-Reality” - unique light and shadow effected were displayed through the optical properties of polarizing plates sponsored by CMMT. The work has also won the first-place prize among the total of 42 works in the exhibition.
(V) The Company partnered up with the Tainan Astronomical Education Area in organizing the “Science Kids Alliance and Pa-Ke’s Fantastic Science Exhibition” on November 22, 2020. CMMT sponsored polarizing plates for the work “Swamp Code”, revealing the hidden secret of the lotus swamp through the eyes (polarizing plate) of the black-faced spoonbill. CMMT implements the educational significance of corporate responsibility through the fun activities.
