Salary and performance management

Tatung Due to the deterioration of the employment environment, the starting salary for freshmen is generally low in recent years. Tatung, as a deep plowing corporation for a century in Taiwan, well protects the salaries and benefits for her employees. Tatung enacts its rules and internal control to ensure the minimum salary is complied with regulation. Tatung discloses the structure of the salary and methods of payment on “Company Rules”, so that all the employees understand their rights and interests.

Based on the concept of gender equality, the basic salary between female employees and male employees is 1:1. For different employment types, the ratio of basic salary and legal salary for migrant workers and technicians are 1:1 and 1:1.04; for staffs is from 1.25~1.50:1 based on different job types, specialty and qualifications. In average salary, the female employee to male employee is 0.86~0.93:1 in 2021; the average annual salary is NT$730,052 and the median annual salary is NT$645,306 for non-management employees1 (2,572 employees in total).

Tatung takes great concern to the overall performance of individuals, departments and organizations, and encourages employees to perform better. Through the performance review counseling mechanism and career development, it helps to enhance and affirm the performance of employees. Employees are assessed according to the “Performance Management Method” regardless of gender. The purpose of the assessment is to identify talents with high performance potential and poor performance and effectively links the performance with bonuses, rewards or promotions. The employee ratio for performance review in 2021 is 95.83%2.

Ratio between basic salary and legal salary for different employment types
Note1 : Directors and top level managers are not included.
Note2 : Employees who were in probation period, leave of absence, and short-term contract were not included.

▼ Salary ratio between female and male employees (by employment type)

▼ Number of non-management employees, average salary, and median salary

Post-employment benefits

Tatung adopts “Defined contribution plan” and “Defined benefits plan” as its post-employment benefits. For “Defined contribution plan”, Tatung makes monthly contributions of no less than 6% of the employees’ monthly wages to the employees’ individual pension accounts in accordance with the Labor Pension Act. The cost of the pension contributions to the Labor Insurance Bureau for 2021 amounted to $73,075 thousand. For “Defined benefits plan”, Tatung contributes an amount equivalent to 4% of the employees’ total salaries and wages on a monthly basis in accordance to Labor Standard Act to the pension fund deposited at the Bank of Taiwan in the name of the administered pension fund committee. As of December 31, 2021, Tatung’s contributions to the pension funds which amounted to $1,411,473 thousand were deposited with Bank of Taiwan. For detailed post-employment benefits, please refer to Tatung 2021 Annual Report page 395~398.