Corporate Social Responsibility

Sustainability

MARS’s sustainable business philosophy

Since its establishment, Mars has not only pursued corporate growth to create economic value but also focused on creating social value and sustainable operation to continue to bring positive influence to society. With the goal of “a full-scale professional supplier of wireless audio and video transmission and cloud intelligent services”, we are committed to implementing corporate governance in various roles such as the board of directors, corporate professional managers, and external independent directors, and provide the most appropriate wireless SoC solutions that comply with RoHS regulations The plan is based on the three major ESG aspects of developing a sustainable environment and giving back to social welfare. Strengthen the disclosure of information on sustainable business operations, and create shared value among employees, shareholders, customers, suppliers, society, and the environment.

Talents are the most important asset of MARS. Creating a good working environment and providing employees with physical and mental health activities are the company’s beliefs. For example, holding employee tours every year can deepen local culture and provide more social employment opportunities. And actively plan to care and give back to social groups every year.

Performance in promoting regional revitalization

Performance in Promoting Regional Revitalization Mars Semiconductor Corp.’s headquarters is located in the Hsinchu Science Park, deeply rooted in the Science Park for many years.

The “Jifu Temple,” located in the heart of Jinshan Street within the Science Park, combines the traditional beliefs of the Hakka people with the customs of major technology companies, resulting in perpetual incense and worship.

To strengthen the connection with local culture, Mars utilized the advantages of next-generation interactive light offerings and donated over 2,000 light offerings to Jifu Temple on Jinshan Street in the year 2024.

These next-generation light offerings use low-power OLED lamps, saving at least 40% of electricity compared to traditional bulb light offerings. Along with the automated control of the backend system, they further enhance energy efficiency to achieve carbon reduction, significantly reducing the workload of the temple’s management staff.

Planning related social welfare activities

-Sponsor Taiwan Fund for Children and Families(TFCF) and donate the nursery needs.

-Caring for and supporting domestic small farmers, buying agricultural products directly from small farmers in the producing areas as employee benefits, and also helping the domestic small farmers’ economy.

-Encourage and arrange employees to participate in public welfare activities. For example, social welfare activities such as beach cleaning and mountain cleaning.

Environmental protection

-Our IC sales are mainly produced by outsourcing. In addition to entrusting the production of factories that pass the inspection and meet the requirements of environmental protection laws, the production process also requires environmental testing standards.

-In response to the implementation of the European Union’s Restriction of Hazardous Substances (RoHS) directive, our company appoints a person to be responsible for RoHS-related requirements and implementation countermeasures, and regularly requires foundries to provide qualified data reports and forward them to customers for reference in order to facilitate the implementation of a green supply chain.

Water and Waste Usage

As a fabless IC design company, we are not major producers of water usage or waste. Due to the company’s premises being rented facilities (including the Hsinchu headquarters office, Taipei office, and Taichung office), it is impossible to calculate the total public water consumption and waste.

The table only lists:

1.Water Usage Calculation Method:

The water usage is estimated based on the average daily living water consumption per capita announced by the Water Resources Agency, which is 288 liters/day in the year 2022 and 287 liters/day in the year 2023. This is combined with the number of employees at each location, the company’s daily working hours (8 hours), considering that out of 24 hours per day, about 8 hours are for sleep and the actual water usage is 16 hours, thus the proportion of water usage during working hours is 50%, and the number of working days in the year (total days of the year – public holidays announced by the Directorate-General of Personnel Administration).

2.Total Waste Weight Calculation Method:

The waste generation is estimated based on the average daily general waste generation per capita announced by the Environmental Protection Administration, which is 1.32 kg/day in the year 2022 and 1.359 kg/day in the year 2023. This is combined with the number of employees at each location, the company’s daily working hours (8 hours), considering that out of 24 hours per day, about 8 hours are for sleep and the working hours account for 50%, and the number of working days in the year (total days of the year – public holidays announced by the Directorate-General of Personnel Administration).

Item	Water Consumption (Unit: Million Liters)	Total Weight of Waste (Unit: Kilograms)
112	2.39	11,336.10
111	2.41	11,055.00

Employee benefits and systems

-Salary and reward system

1. Guarantee salary for 14 months.
2. Every year, our company distributes bonuses to employees based on operating surplus.
3. Every year, our company adjusts employee positions, grades, and salary standards based on industry market conditions, operating results, financial status, and employee performance appraisal results. The implementation date of the annual salary adjustment is the month of employment each year and employees who have made major contributions will be applied for salary adjustment or bonuses by its contract.

-Welfare system

1. Various allowances and subsidies for weddings and funerals (three festival gifts, birthday gifts… etc.).
2. Holding year-end party activity.
3. A fixed subsidy for group travel of domestic and foreign employees.
4. Provide employee parking spaces for motor vehicles and motorcycles.
5. Quarterly fixed meal fee

-Insurance and health system

1. Take out labor insurance, national health insurance, and pay regular monthly pensions in accordance with the law.
2. Provide free comprehensive insurance for employee groups, including life insurance, accident insurance, medical insurance, etc.
3. Every year, regular health check-ups of employees are conducted.
4. Statutory Infectious Disease Health Insurance
5. Statutory Infectious Disease Vaccine Insurance

-Employee personal safety and workplace environmental protection measures

1. Regularly schedule office environment cleaning and fire safety inspections (including i. building public safety inspections every 2 years, ii. fire safety inspections annually, and iii. joint fire safety training for fire teams every 6 months) to maintain the safety of employees’ work areas and their personal health.
2. The office is equipped with round-the-clock access control and a comprehensive security system to ensure the safety of company personnel and data.
3. In the year 2023, the frequency of disabling injuries was 0, with a total of 0 occupational accidents (including fires) reported.
4. A Class Labor Safety and Health Officer is appointed (with retraining required every 2 years).

–Human rights protection policy and specific management plan

Our company has established a human rights policy in reference to international human rights conventions. We will continue to focus on human rights protection issues and promote relevant education and training to raise awareness of human rights safeguards and reduce the likelihood of related risks.

Human Rights Management Policy	Specific Initiatives
Prohibition of forced and compulsory labor	Implement a leave system and encourage employees to maintain a balance between work and personal life.
Fair wages and working conditions / Healthy and safe workplace	Disclosed on the company website under "Employee Benefits and Policies"
Harmonious labor-management relations	1.Communicate and engage with employees through email and suggestion boxes. 2.Address employee needs through mechanisms such as communication, education, and motivation.
Prevention of workplace sexual harassment	Provide a work environment free from sexual harassment, safeguarding and protecting employees' rights. Through related efforts, no incidents of sexual harassment occurred in 2024.