Human Rights Declaration
The value of human rights is universally recognized. FENC vows to protect employees’human rights and their interests.
The scope of our dissemination of human rights issues applies to all business stakeholders including employees, subsidiaries worldwide, business partners, suppliers, contractors of FENC, and the communities in each operation base. At FENC, labor rights take precedence in policy considerations for human resources. We acknowledge and comply with the principles and spirit set forth by International Labor Organization and in UN Universal Declaration of Human Rights. The Company has well-established complaint channels. In cases of any human rights violation, employees may file such claims through the human resources units of all FENC sites.
2018 | The Company established FENC Human Rights Policy, which is founded on the respect for local culture and customs at each FENC sites. |
2019 | Managers in charge of human rights promotion at all FENC sites have been fully informed of FENC Human Rights Policy, which has been signed and enacted. Meanwhile, the Company ensures employees’ understanding of this policy and awareness of their own rights through all means possible. |
2020 | FENC conducted human rights due diligence (HRDD) at all Company sites. Based on FENC Human Rights Policy, the risk assessment is further divided into 8 categories of human rights risks. HRDD focuses on “the likelihood of risks” and “the degree of impact on the Company”. A survey was administered to identify human rights risks, followed by investigation to determine their impacts on the Company. All FENC employees are covered in HRDD, and improvement measures have been implemented by human resources supervisors at all sites based on the HRDD report to protect employees’ human rights. |
2021 | In 2021, there were no grievance claims filed against human rights violations among employees and stakeholders. Nor were there human rights violations committed against employees and stakeholders. FENC production sites also conduct reviews on human rights, child labor and labor conditions through customers.
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2022 | To align with growing international awareness on corporate policies regarding human rights and anti-corruption, FENC has established the grievance policy in accordance with international ESG standards that are applicable to domestic and overseas FENC sites. With internal and external supervision, the Company continues to evolve within the scope of human rights protection.
All of our supervisors had complete training on the awareness of illegal violations in the workplace and the prevention of workplace violence in 2021. Managers, employees in purchasing departments, and plant supervisors who deal with communities are also educated on human rights policy, management of human rights and risk mitigation and remedy based on the company's human rights policy and external cases.
At the same time, we will educate, train and disseminate for the company's Speak Up policy and grievance mechanism to ensure that relevant stakeholders understand this channel: |
Framework for Human Rights Management
FENC Human Rights Policy and Implementation in 2021
Policy | Content | Target | Management Unit |
No Forced Labor |
| All employees | Each unit |
Bans Child Labor |
| Applicants | HR |
Meeting Minimum Wage |
| All employees | HR |
Work and Break Hours |
| All employees | Each unit |
Freedom of Association |
| All employees | Each unit |
Equality and Respect |
| All employees | Each unit |
Anti-Discrimination and Harassment |
| All employees | Each unit |
Maternity Protection |
| Female employees | Each unit |
FENC makes every attempt to meet all labor standards and put them into practice. The Company participates in seminars and advocacy groups that address labor standards regarding children, gender, forced labor, discrimination, women’s protection, poverty as well as occupational safety and health. While keeping abreast of the latest labor standards and updates from international labor organizations, the Company ensures compliance and the protection of employees and their families.
Far Eastern New Century's human rights management process includes the establishment of human rights policies, due diligence on human rights risks, mitigation and remedial measures for salient risk issues, education and training on human rights issues, and operation of grievance mechanism. The scope of our management applies to all business stakeholders including employees, subsidiaries worldwide, business partners, suppliers, contractors of FENC, and the communities in each operation base.
Enhancing FENC Human Rights Policy and Human Rights Due Diligence
Defining the Scope of Human Rights and the Highest Commitment and production sites | FENC assesses the current human rights management at all Company sites, conducts dialogue with managers at Corporate Management, procurement units and production sites, and fulfills human rights commitment with senior managers. |
Identifying Human Rights Risks | FENC compiles and lists human rights issues based on international standards, including:
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Analyzing Human Rights Risks and Collecting Data | Upon defining the human rights risks, the procurement, human resources and production units assess the risks, establish benchmarks; set up implementation measures and proposals for risk assessment; conduct discussions on gathering feedbacks from stakeholders including employees, suppliers and communities. |
Conducting Due Diligence | FENC conducts human rights training regarding key risks, performs human rights due diligence, establishes improvement measures based on the risk assessment and forms task forces as well as mechanisms for regular reviews and rectification. |
Gender Equality
FENC values gender equality. We are keen on creating gender-friendly workplace and system. While the conglomerate spans across industries from the upstream to downstream, the up- and midstream industries rely more on chemical related expertise where a higher concentration of the work force is male. The downstream, which consists mainly of the textile industry, is composed of a higher percentage of female employees. Overall, the ratio between female and male supervisors are 2:3, which is consistent with the industry chain distribution. Corporate expansion also expanded the number of supervisors by 52% in the recent decade. Among them, the number of female supervisors grew by 64%. The statistics reflect the Company’s acknowledgement of and fair treatment to the hard work put in by female supervisors with the reward they deserve. The Company is also determined to incorporate gender equality as part of its corporate system and culture.Each year, FENC measures its average annual regular salary of the company against the official statistics of average annual regular salary. In 2021, the average annual regular salary of the company offered by FENC is 29% higher than the local average. Average regular earnings for female employees, especially, averaged 36% higher than the local numbers, while those for male employees are 26% higher, which demonstrate FENC’s contribution to pay equity.
Salary Comparison to Market Rate by Gender
Note: Sources of market pay rates are: average salary in the manufacturing sector and minimum wage released by Directorate-General of Budget, Accounting and Statistics in Taiwan; average salary and minimum wage released by National Emblem of the People's Republic of China; average salary and minimum wage of District 1 released by the General Statistics Office of Vietnam; Bureau of Labor, Ibaraki prefecture in Japan; United States Census Bureau in the U.S. All numbers are compared with the data of the current year.
Gender Comparison by Position
Note: The percentage is derived by dividing number of female permanent employees by number of male permanent employees for the same rank of job.
Gender equality and applicable regulatory mandates are respected at all FENC business sites. We are consistent with the spirit of Act of Gender Equality in Employment in Taiwan as well as Regulations Concerning the Labor Protection of Female Staff and Workers in Mainland China. We protect the rights of female employees, offering parental leave and breastfeeding room at our facilities. We also limit overtime and prohibit tasks that may potentially harm mothers and their babies. Employees returning after maternity leave receive equal pay for equal work. We provide workplace environment ideal for pregnant employees, such as avoiding tasks that might affect their health and using specially designed chairs to reduce discomfort at work. FENC goes beyond the minimum regulatory requirements. As early as July 2021, the Company offered 7 days of leave for female employees to get prenatal checkup, which is more than the 5-day minimum stipulated in Act of Gender Equality in Employment at the time. It was not until December 2021 that a legislative amendment was passed to expand the 5-day minimum to 7 days. Female employees in Vietnam who are 7-month pregnant may reduce working time by 1 hour per day while receiving full pay. They are also entitled to 5 days off for prenatal checkups and 6-month maternity leave. The factories also designate lactation rooms as well as areas for storing breastmilk.
Application of Parental Leave and Returning Statistics in Taiwan
2019 | 2020 | 2021 | ||
Entitled to Parental Leave | Male | 332 | 317 | 304 |
Female | 149 | 143 | 130 | |
Total | 481 | 460 | 434 | |
Number Applied | Male | 4 | 2 | 6 |
Female | 22 | 48 | 21 | |
Total | 26 | 50 | 27 | |
Number Should Returned | Male | 1 | 0 | 4 |
Female | 19 | 41 | 19 | |
Total | 20 | 41 | 23 | |
Number Returned | Male | 0 | - | 4 |
Female | 19 | 35 | 17 | |
| Total | 19 | 35 | 21 | |
Return Rate | Male | 0% | - | 100% |
| Female | 100% | 85% | 89% | |
| Total | 95% | 85% | 91% | |
Returned over One Year | Male | 1 | - | - |
| Female | 15 | 12 | 16 | |
| Total | 16 | 12 | 16 | |
Retention Rate | Male | 33% | - | - |
| Female | 83% | 63% | 46% | |
| Total | 76% | 63% | 46% | |
Note: 2. Retention Rate = Returned over One Year ÷ Number Returned Last Year |
FENC has established measures to prevent, control and reprimand sexual harassment and provides channels for filing grievances. Employees may file such grievance claims through departmental supervisors or Human Resources Department. The unit receiving the claim shall establish a team within 5 days of receiving the claim with over 50% female members to initiate the investigation. The investigation shall conclude within 2 months and all information shall be kept confidential. The individual against which the claim is filed shall have the opportunity for rebuttal. We also conduct regular training for the entire staff to prevent any occurrence of sexual harassment.
