Labor Practices Programs have been established at Chunghwa Telecom to address multiple aspects, from compensation and benefits, working hour control, and gender equality to collective bargaining and professional development. The programs are in place to ensure employees receive living compensations and comprehensive protection. In response to industry and climate transition challenges, the training and reskilling resources are strengthened as well. Through systematic management and transparent communication mechanisms, Chunghwa Telecom safeguards labor rights, promotes workplace fairness, and creates a work environment that is safe, healthy, and sustainable, fulfilling its corporate social responsibility.

Ensure Adequate Wages Meet or Exceed Cost of Living Benchmarks

Chunghwa Telecom, committed to providing compensation above the cost of living, ensures employees and their families enjoy stable and sufficient financial security to thrive. According to the data released by the Asia Floor Wage Alliance in 2024, the estimated living wage in Asia is 1,750.54 PPP$ per month. Based on the OECD’s 2023 Purchasing Power Parity (PPP) index for Taiwan, which is at $13.57, the approximate living cost in Taiwan translates to NT$ 23,755 (Data source: Calculating a Living Wage – Asia Floor Wage Alliance).

The starting salary for full-time employees at Chunghwa Telecom is NT$ 37,730, with an average salary of NT$ 72,204. Both figures are significantly higher than the aforementioned living wage standard. The compensation level is sufficient to cover daily expenses for employees and their families, including food, housing, transportation, healthcare, education, and clothing, demonstrating the Company’s great emphasis on and strong commitment to employee well-being.

To attract and retain brilliant talent, Chunghwa Telecom has formulated a market-competitive and transparent compensation policy. The compensation structure is reviewed on a regular basis to examine compensation levels across various job roles and ranks. Through systematic management and data analysis, all employees are warranted with pays no lower than the estimated cost of living, securing and strengthening their quality of life and career stability.

Robust Working Hour and Overtime Management Measures

In compliance with relevant provisions of the Labor Standards Act to prevent excessive working hours and mandatory overtime, a comprehensive work hour warning and management mechanism has been established at Chunghwa Telecom. In addition to real-time monitoring of daily and monthly overtime through the attendance system, the overtime limits are specified in line with the laws: a maximum of 4 hours per day on regular workdays, 12 hours on rest days, and no work on regular leaves, with the total monthly overtime hours no more than 46 hours.

Furthermore, the “Abnormal Workload-Induced Disease Prevention Plan” has been formulated at the Company. For employees whose monthly overtime exceeds 30 hours, the health management mechanism is proactively initiated. A professional health manager provides care and follow-up, offering health consultations and necessary assistance, to ensure the employees’ working hours and workload remain within a reasonable range, safeguarding their physical and mental well-being and workplace safety.

Safeguarding Overtime Rights

Chunghwa Telecom, pursuant to the relevant provisions of the Labor Standards Act, pays overtime wages and offers compensatory leave as an alternative, all to safeguard its employees’ rightful entitlements. After employees complete their overtime work, the system will integrate overtime requests and attendance records monthly for the accounting system to automatically calculate and disburse the payable overtime wages on time. If an employee opts to take compensatory leave for his/her overtime hours, and those hours are not used by the end of the current year, the Company will follow the same calculation process to disburse the remaining compensation as overtime pay after the year concludes, ensuring full and complete overtime compensation for all employees.

Regularly Engaging in Collective Bargaining and Improving Working Conditions

Chunghwa Telecom attaches importance to harmonious labor-management relations. One employee director sits on the Board of Directors on behalf of employees in corporate governance and major decision-making to protect their rights and benefits. The labor union has been established at the Company per laws, with which the Company has signed a collective bargaining agreement that covers 99.59% of its employees, demonstrating a high level of maturity in labor-management negotiation.

To promote sustainable communication and working conditions optimization, the Company regularly calls labor-management meetings and engages in collective bargaining for topics including but are not limited to working conditions, employee welfare measures, occupational health and safety, and work environment improvement, so as to strengthen mutual understanding and trust between two parties.

In addition, starting in 2024, multiple employee retention and incentive measures were introduced to the Company, including offering an “Additional ESOT Bonus” program to enhance the long-term engagement of employees. Meanwhile, an additional monthly meal allowance of NT$ 2,400 is available to boost overall employee well-being and job satisfaction.

Routinely Monitor the Gender Pay Gap to Achieve Equal Remuneration

With the principle of equal pay for equal work in place at Chunghwa Telecom, all employees in equivalent positions with comparable contributions, subject to no discriminatory treatment on the basis of gender, age, race, marital or family status, religion, or any other identity or factor, are entitled to the same compensation and promotion opportunities. The entry-level personnel of the same ranks enjoy the same starting salary. Also, for individuals with relevant professional qualifications and work experience, compensation is determined on a flexible basis in line with their education, experience, expertise, and certifications upon acceptance. In addition, through regular pay structure reviews and compensation data analysis, the pay structure at the Company is examined to ensure no discrepancies arise due to gender or ethnicity.

Expand Social Protection Coverage for Workers Beyond Public Programs

Chunghwa Telecom is dedicated to creating an inclusive and supportive work environment. Numerous employee health and family care mechanisms that exceed legal requirements are in place, helping employees achieve a work-life balance.

The Employee Assistance Program (EAP) is established at the Company, offering consultation services by professional consultants such as psychologists, lawyers, and social workers, tailored to individual needs of employees. Each employee can access up to 5 free external professional consultations annually, demonstrating the proactive care of Chunghwa Telecom for their mental health and life stress. Also, various health benefits are available, including regular health check-ups, access to 26 employee hostels across Taiwan for accommodation, free flu vaccinations, on-site health consultations with medical doctors, and 18 health service centers nationwide staffed with full-time nurses for immediate health care.

For family care and childcare support, employees may apply for maternity allowance through the HR system and add their newborn as a dependent, after which a monthly childcare allowance of NT$ 1,000 will be automatically disbursed. Where an employee’s child attends the childcare center set up by Chunghwa Telecom, the extended care fee is subsidized in full by the Company. In addition, an education subsidy of up to NT$ 35,800 is available per instance.

Regarding financial needs during parental leave without pay, the Company offers a parental allowance that exceeds legal standards. In addition to the subsidy from the government’s labor insurance for the first 6 months, the Company provides an additional subsidy at 50% of the average monthly insured salary from the 7th to the 24th month for up to 18 months, with a cumulative maximum of NT$ 410,000, significantly surpassing the current statutory requirements in Taiwan.

Furthermore, the maternity leave policy at the Company also exceeds legal requirements, offering a total of 91 days of maternity leave (regular leaves, rest days, and national holidays included), which is more than the current legal requirement of 8 weeks. Also, 10 days of pregnancy checkup leave, pregnancy checkup accompaniment leave, and paternity leave are available, which exceed the statutory 7-day requirement as well, demonstrating the emphasis on gender equality and family support of the Company.