Promoting Golden Practices


Underlying Principles

In 2016, Fubon Financial Holdings formulated the "Golden Practices" strategy to accommodate the "Fubon ESG Visioning Project," a strategic blueprint drafted by Fubon Financial Holdings based on the UN's sustainable development goals (SDGs). The strategy aims to continue Fubon's promotion of a more diverse and equitable culture of "positive energy" and create a welcoming workplace environment that offers employees a sound work-life balance. Meanwhile, in light of the impact of climate change on the environment, Fubon remains committed to actively supporting government policies that promote environmental protection, energy conservation, and reduced carbon emissions and actively participates in the Carbon Disclosure Project (CDP). In addition, Fubon makes full disclosure of its carbon usage and strategies for climate change risk management for the whole world to see. Since 2013, Fubon Financial Holdings has participated in the Taiwan Corporate Sustainability Forum (TCSF), underscoring our dedication to creating a green finance brand and providing services rooted in green values. By expanding Fubon's communication and interaction with local communities and generating tangible results through our various policies and programs, we are fulfilling our corporate social responsibility and helping to promote sustainable development.

Establishment of Working Teams

In 2015, Fubon Financial Holdings established the ESG Task Force under the Corporate Governance and Sustainability Committee. The Task Force consists of six separate working teams and is overseen by an independent director. The Human Resources Division reports to the Employee Care Team of the ESG Task Force, and is primarily tasked with matters relating to employee compensation and benefits, talent development, labor-management relations, and the maintenance of a healthy workplace. The General Administrative Office serves under the Environmental Sustainability Team, and building management companies of Fubon's main office building management divisions have been retained to provide assistance and management support. The Environmental Sustainability Team is primarily tasked with handling environmental management and green purchasing, and helping Fubon become a low-carbon enterprise.

Meanwhile, senior executives from the Human Resources Division and the General Administrative Division are selected to serve as working team committee members and are responsible for summarizing the latest status of responsible investments executed by relevant departments of Fubon's subsidiaries and reporting their findings to the ESG Task Force on a regular basis. Moreover, the team provides periodic education and training to working team members in order to boost their knowledge and awareness of sustainability issues among working team members and ensure the effective promotion and implementation of ESG guidelines.

Formulating Effective Management Policies

In order to effectively make use of the Golden Practices strategy to promote various programs developed by the Employee Care Team, the Human Resources Division is responsible for attracting, incentivizing, training, developing, retaining, and accumulating the human capital needed to achieve sustainable operations in accordance with internal quality management policy. Furthermore, Fubon has set its sights on having the most innovative human resources team in Asia to provide professional human resources services within the Company. In addition, we have consulted the core standards articulated in the Universal Declaration of Human Rights and International Labor Organization declarations to formulate our own "Human Rights Policy" and Corporate Social Responsibility Best Practice Principles for suppliers, and in 2017 we comprehensively launched the "Fubon Financial Holdings Human Rights Due Diligence Survey" which is used to identify and analyze critical risks for different groups including suppliers, employees, customers, and investment targets as well as key groups which could pose potential risks. Management systems and mitigation measures currently in place are reviewed, and projected targets are set in order to ensure that all interactions between internal employees and external suppliers are handled in a manner that is equitable, respectful, and free of discrimination. To mitigate our impact on the environment, Fubon is continuing to promote various types of programs to conserve energy, reduce carbon emissions, and protect the environment. Aside from increasing environmental awareness among employees within the Company and encouraging employees to lead by example, we urge our external suppliers to follow the government's environmental protection policies. Our goal is to create a superior work environment and a green finance brand through various employee care and environmental sustainability programs and combine internal and external resources to achieve mutual prosperity for a better society.

Promoting Strong Management Practices

Fubon Financial Holdings strives to foster an internal corporate culture of equality, tolerance, and open communication. In addition to providing employees with solid career development options in the form of a structured, open-ended, and independent two track learning system, we aim to cultivate a stable and rewarding environment to retain talent, promote a safer and healthier workplace, and strike a better work-life balance. In terms of environmental sustainability, Fubon is dedicated to implementing programs to lower emissions and promote sustainable development. It is our sincere hope that continuing to implement our employee care and environmental sustainability policies will result in more positive energy at all levels of the Company and enable us to establish a model workplace.

Management Practices Results of Fubon Financial Holdings' ESG Policies in 2017
Pinpoint Fubon's Total GHG Emissions by Expanding the Scope of the GHG Inventory
  • Expanded the scope of environmental data collected for the GHG inventory (such as power consumption, water consumption, waste volume, employee travel, etc.).
  • Fubon Financial Holding and Fubon Insurance completed ISO50001 Energy Management System certification in 2017.
  • Since 2012, Fubon FHC and its subsidiaries (comprising eight headquarters buildings) have continued to implement ISO 14064-1 GHG Inventory certification guidelines, and ISO 14064-1 GHG Inventory certification was successfully obtained for all branch units of Fubon's four major subsidiaries in 2017, resulting in a coverage rate of 100%.
Minimize Waste and Maximize Recycling Continue to promote environmental education and training to encourage Fubon employees to implement waste sorting, reuse, and recycling.
Prioritize Purchases of Products Certified as Energy-efficient, Eco-friendly, or with Green Building Label
  • Priority is given to purchases of equipment and products that are certified as energy-efficient, eco-friendly, or have a green building material label; Fubon also participated in the "Green Purchase Pledge for Private Enterprises and Organization" initiative organized by the Environmental Protection Administration and Taipei's Department of Environmental Protection.
  • Approximately NT$290 million was spent on green purchasing in 2017.
Hold Energy Conservation Competitions, Highlight Environmental Issues, and Use Training to Increase Employee Participation & Affinity
  • The "environmental office competition" was held quarterly and the "energy conservation competition" was held annually for branch offices.
  • Major actions included: Promoting waste reduction, reuse, recycling, energy conservation, reducing carbon emissions, maintaining a clean working environment, and cultivating environmentally-friendly habits, enabling all Fubon employees to jointly participate in the Company's energy conservation program and keep good habits in daily routines.
Meet Government Policies & Environmental Protection Pledges, Continue Green Purchasing and Supporting Green Energy
  • Supporting the development of renewable energy: Since 2014, Fubon Financial Holdings has continued to support the government's various policies aimed at conserving energy, reducing carbon emissions, and supporting the development of renewable energy. Fubon has purchased green power for the past four years in a row and will continue to accommodate government policies in the future. In 2016 and 2017, we set our annual energy conservation target at a 1% reduction; beginning in 2018, the reduction target was raised to 2%. As a result, we are on track to reduce our total energy consumption by 8% over a three-year period by 2020.
  • Purchased a total of 1.96 million kWh of green energy in 2017.
  • Supporting green energy: In response to the alarming issue of global climate change, Fubon Financial Holdings installed solar panels on the rooftop of the Pingtung Fubon Insurance Building at the end of July 2017 and cooperated with Taipower to establish a connection to feed power back to the electrical grid. Currently, we are in the midst of installing solar panels at buildings owned and operated by Fubon in Taipei and Kaohsiung, and the installation is forecasted to be completed by the end of 2018, underscoring our commitment to fulfilling our corporate social responsibility.
Foster a Culture of Equality, Tolerance, and Open Communication
  • Completed a human rights risk assessment (HRRA) for all employees according to International Labor Organization's fundamental conventions.
  • To cultivate a workplace environment which embraces equality and tolerance, Fubon Financial Holdings has thoroughly implemented the "Maternal Health Plan" and "Plan to Prevent Unlawful Harassment in the Workplace".
  • Continued to promote gender equality; women account for more than 50% of Fubon's managers.
  • Employees with disabilities account for 1.4% of Fubon's total workforce, which exceeds the statutory hiring quota mandated by the government. In the future, we will continue to make more job opportunities available to employees with disabilities based on their specific skill sets in order to foster greater fairness and respect in the workplace.
  • Union membership rate is currently 35.3%, which is an increase over the previous year.
  • Held “Town Hall” meetings with Fubon’s chairman and vice chairman and shared "Positive Talk" posts.
Enhance Employee Skill Sets Via Structured Career Development
  • Held a total of 1,091 sessions of training classes with an average reported satisfaction rating of 4.6.
  • Continued to help supervisors refine their management abilities; nearly 4,800 supervisors completed leadership courses.
  • Including 2017, more than 580 employees have been certified through management trainee programs, and nearly 40% have been promoted to managerial positions.
  • A total of more than 220 MAs were recruited into the Company's MA training program.
  • A total of more than 660 employees were trained as internal instructors through more than 3,600 hours of classwork.
Foster a More Diverse and Autonomous Learning Environment
  • Continued to promote the mobile learning app and added nearly 400 new digital training programs, resulting in more than 280,000 logins.
Use Social Empowerment to Respond to latest Trends
  • The number of students in the training and development program has continued to steadily grow; a total of 1,138 students participated in the most recent year. In the case of Fubon Life, for example, the overall satisfaction rate reported by interns was 4.6, and outstanding interns are given priority during our hiring process to have an opportunity to become a full-time employee.
  • Continued to implement the "Rising Stars Scholarship Program"; this year, a total of NT$2 million was contributed to sponsor 40 underprivileged students.
Cultivate a Stable and Rewarding Environment to Retain Talent
  • The average compensation and benefits of non-managerial employees was approximately NT$1,356,000 per person, a 4% increase compared to 2016.
  • A total of 20,003 employees at the middle management level and below currently participate in Fubon's employee stock ownership plan (ESOP), accounting for nearly 90% of eligible personnel.
  • Fubon Insurance, a subsidiary of Fubon FHC, launched the "Middle Management Associate Program and Talent Pool Development Program".
  • Continued to hold the "FinTech Competition", which is enthusiastically participated in by the Group's affiliated enterprises and subsidiaries and helps spark greater innovation.
Cultivated a Positive Brand Image through Digital Technologies to Attract Top Talent Continued to hold large-scale on-campus recruitment drives and utilized more diverse hiring channels including social media platforms to successfully encourage 1,768 new individuals to join Fubon, accounting for 11.8% of all employees and resulting in a successful new hire rate of nearly 80%.
Promote a Safer and Healthier Workplace and Better Work-life Balance Marriage and Child Care
  • Provided paid maternity leave, maternity benefits, and childcare subsidies which all exceed legal requirements, enabling employees to receive more comprehensive resources and support during their important stage in life of having children.
  • A total of 536 “Fubon babies” were born in 2017, equal to a birth rate of 35.7 per 1,000 people. Of those that did take parental leave in 2017, 62.5% of them returned to work. Those that returned to work in 2017 have a retention rate of 85.8%, an indication of the program’s effectiveness.

Health Promotion Efforts
  • Fubon Life, a subsidiary of Fubon FHC, led the way by launching the " Unit Health Officer "; each unit's Health Promotion Officers promote various activities and encourage colleagues to enthusiastically participate to strengthen their bodies and stay healthy.
  • Exercise Enterprise Certification was obtained for Fubon FHC and all of its subsidiaries.
  • Introduced the all-new " Wellness Cafeteria " to provide colleagues with a fully upgraded dining atmosphere and improved quality of ingredients.
  • Offered health checkups to all employees, resulting in a utilization rate of 94.9%, and implemented various health promotion plans featuring company basketball competitions, discounts and ticket giveaways for various sports events, health seminars, health club memberships, and various other types of healthy activities and clubs.
  • Implemented the " Plan to Prevent Unlawful Harassment in the workplace ".
  • Fubon employees and their families were encouraged to participate in hands-on wetlands activities, the "Fubon Social Welfare Ambassador" program, "Give a Wish, Build a Future" campaign, "Fubon EDU", employee cinema outings, a hunger awareness event, and other company activities; consequently, employees took paid volunteer leave a cumulative total of 519 times.

Safe work environment
  • Implemented the "Ergonomic Hazards Prevention Program" and continued to promote the safe work environment plan.
  • In 2017, the absentee rate (AR) was 0.55%.