Ethical Governance
Ethical Management and Anti-Corruption
THSRC firmly believes that thought-out, transparent, and efficient corporate governance is the foundation for pursuing steady development. THSRC had set up the Ethical Management Team, which is responsible for reviewing and improving the Company's integrity management policies and promotion measures. We regularly check the implementation status of dishonest behaviors and reporting mechanisms. Through the establishment of relevant internal codes of conduct, such as "Ethical Corporate Management Best Practice Principles", "Code of Ethics Conduct" and "Employee Code of Conduct", as well as solid education and training to enhance the anti-corruption awareness of all employees, and actively prevent dishonest behaviors that do not comply to the code of conducts. Please refer to page 121 of the Annual Report for more risk management details.
In 2024, the education training and written advocacy in prevent insider trading are listed as follows:
| Period | Object | Form | Content |
|---|---|---|---|
| 2024/01, 2024/05, 2024/08, 2024/11 | Directors | Document | Example for company insiders' violations of “Securities and Exchange Act” |
| 2024/09 | Directors | Document | Advocacy on preventing insider trading, which including relevant news cases, insider trading concepts, and legal responsibilities. |
| 2024/01, 2024/04, 2024/07, 2024/10 | Insiders and Quasi-insiders | Document | Stock trading during closed periods (30 days prior to public disclosure of annual reports and 15 days prior to public disclosure of quarterly financial reports) is prohibited for insiders (directors and managers) and inadvisable for quasi-insiders. |
| 2024/01, 2024/05, 2024/07, 2024/11 | Insiders and Quasi-insiders | Document | Important stipulations pertaining to Articles 22-2, 25, 157-1 of the Securities and Exchange Act, and the Corporation's Regulations for Management of the Prevention of Insider Trading. |
| 2024/8/23 ~12/31 | Employees | Online | Course on preventing insider trading, which including relevant news cases, insider trading concepts, and legal responsibilities. |
The Board of Directors did not conduct anti-corruption education and training in 2024, but written materials will be provided to the Board of Directors if the competent authority releases relevant anti-corruption information or new legal knowledge. The number of participants and hours of education and training related to ethical management and anti-corruption organized for new and existing employees are listed below (2024/1/1~2024/10/31):
- The total number of new employees participated in the anti-corruption policy promotion sessions was 396, accounting for 8.2% of all employees.
- A total of 4,190 people participated in the digital training courses on ethics, integrity, accounting for 86.7% of all employees, with a total of 2,095 hours. In addition, the Company's directors and senior management have signed the "Ethical Management Policy Statement."
- A total of 4,670 people participated in the digital training courses on insider trading prevention, accounting for 96.6% of all employees, with a total of 2,335 hours.
THSRC has set up the "Ethical Corporate Management Grievance Mechanism" and the "Regulation of Whistle-Blowing System for Unlawful, Unethical Conduct and Dishonesty Behavior," which are handled by the Company's spokesperson and the Internal Audit Office. Through these mechanisms, a comprehensive complaint channel has been established to promote the Company's culture of ethical management. In 2023, there were no material violations of regulations resulting in penalties imposed by competent authorities due to corruption, and no relevant complaints were received. In the future, we will continue to uphold the highest standards of integrity management.
In view of the fact that suppliers are THSRC's important partners, THSRC introduces the "Supply Chain Management Policy", "Principles of Handling Unusual Conduct Among Manufacturers", "Procurement Regulations" and related specifications with reference to international industrial standards to strengthen sustainable supply chain management, and indicates anti-corruption policies and procedures in the tender instructions to achieve bidding behavior complies with the principles of fairness, justice and openness. Suppliers may require to explain if there is any violation case found and particularly serious thereof may be listed as a prohibited Supplier. In 2023, THSRC announced the Supplier Code of Conduct which has incorporated ethics (including business Integrity, fair trade, avoid conflicts of interest and intellectual property, etc.) into the code. There are 1,185 public procurement cases related to anti-corruption policies this year, accounting for 61.91% of total procurement cases, and there are no cases of suppliers' violation of ethical management.
As regards the grievance mechanism for ethical management, grievances are accepted via THSRC's spokesperson mailbox, while the phone number is (02)8789-2000 ext.72710 and email address is Spokesman_MBOX@thsrc.com.tw.
THSRC has established the “Regulation of Whistle-Blowing System for Unlawful, Unethical Conduct and Dishonesty Behavior,” handled by the Internal Audit Office. The contact details are as follows:
- Hotline：02-8725-1188
- Fax：02-8725-1189
- Email address：ethics_MBOX@thsrc.com.tw
- Mailing address：15th Floor, No. 66, Jingmao 2nd Road, Nangang District, Taipei City 11568