HTC 2013 Annual Report Download - page 79

AFFILIATE INFORMATION AND OTHER SPECIAL NOTES AFFILIATE INFORMATION AND OTHER SPECIAL NOTES
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for weddings / funerals, subsidies for club activities, access to employee exercise facilities and various
exercise classes, massage service, library, and book store coupons.
Open and responsive lines of communication
HTC operates an internal system to receive employee complaints. This system includes a hotline,
mailbox, and e-mail address dedicated to receiving employee complaints and suggestions as well as a
regularly convened joint labor-management committee. HTC regularly canvasses employee opinions.
Results are made available to executives and managers and used to measure changes in employee
satisfaction and commitment.
Regular activities and events
HTC holds regular sports rallies, family days, athletic competitions and artistic / literary contests to
increase opportunities for employees to enjoy informal interactions outside of their regular work.
Employee awards
On the basis of motivation and talent retention concept, HTC implements incentive and retention
program. HTC rewards individual employees who submit proposals for practical improvements or earn
patent awards. HTC also provides cash awards for the best entries in an annual competition designed
to solicit quality improvement ideas.
(4) Employee retention
Specialist retention plan: Incentives are offered to employees with special and critical skills to keep
them with the company and ensure they benefit from the results of their efforts.
Employee awards: Awards are presented to global best-performance teams, individuals, and
headquarter and arrange the symposia with management team.
Long service awards: Awards are presented at a company-wide ceremony that recognize employees
who have provided with 5-year, 10-year and 15-year of services.
Internal transfer assistance: In order to help enhance employees' professional experience and career
planning, HTC provides assistance to facilitate employee transfers within the company.
(5) Compensation and retirement benefits
HTC employees earn market-competitive salaries that take into consideration academic background,
work experience, seniority and current professional responsibilities / position level. HTC is a business
that values its people. Long term incentive is allocated to the talents who perform very best
performance and who are fundamental to our future growth and long term success. Additionally, the
amount of annual employee performance bonuses is proposed by the president and approved by the
board of directors based on current year business performance. Performance bonus is allocated based
on work performance and relative level of contribution in order to motivate employees effectively.
HTC's retirement policy has been in place, as required by law, since the company was founded. Starting
in November 1999, HTC began to contribute an amount equal to 2 percent of each employee's salary
into his / her individual corporate retirement fund. This system was replaced in 2004 when HTC began
contributing an amount equal to 8 percent of each employee's salary into a general labor retirement
fund managed by a labor retirement fund supervisory board. With the enactment of the new retirement
system on 1 July 2005, employees hired under the previous retirement scheme that opted not to
switch to the new retirement system were permitted, with supervisory approval, to adjust the current 8
percent contribution downward to 2 percent.
(6) Labor negotiations and measures to protect employee rights
HTC is committed to fostering an atmosphere of trust in its labor relations and places great importance
on internal communications. Labor relations meetings are convened once every two months (at least
6 regular meetings per year), with labor represented by seven elected employee representatives.
Meeting minutes are kept to ensure follow-on action and track results. HTC further offers employees
various channels through which to submit opinions, suggestions and complaints, which may be
delivered via a telephone hotline, e-mail address or physical mail as well as made known through HTC's
regular employee opinion surveys. During the most recent fiscal year and as of the printing date of this
annual report, labor relations management have been harmonious with no losses resulting from labor-
management conflicts; and no loss of this type is expected in the future.