Remuneration and Bene ts
Arcadyan's compensation policy is fair, transparent, and motivational, with a comprehensive system designed to ensure our pay is both competitive and compliant with all regulations. We allocate at least 5% of our pre-tax net profit as employee bonuses to share our operational success and foster mutual growth between our employees and the company.
All Arcadyan employees are entitled to basic protections as mandated by law, including labor and health insurance, and pension plans. We also implement the principle of fair compensation, ensuring salary treatment is not affected by factors such as race, nationality, age, social class, descent, religious belief, physical or mental disability, gender, sexual orientation, family responsibilities, marital status, or political affiliation. This commitment ensures that all employees can develop their full potential in a respectful and equitable work environment.
Living Wage Commitment
Recognizing the growing focus on global social responsibility, Arcadyan believes that fair and competitive compensation is fundamental to employee well-being and sustainable growth. To that end, we are committed to providing all employees with a living wage—a salary sufficient to cover their basic needs. This commitment helps us enhance job satisfaction, respect labor dignity, and promote organizational cohesion and a positive social impact.
In continuous efforts to optimize our compensation policies, Arcadyan references the living wage definition from international organizations such as the Global Living Wage Coalition (GLWC) and the Fair Labour Association (FLA). We apply their principle—that a living wage should be sufficient to cover basic living expenses, including food, housing, healthcare, education, and savings—and align with UN Sustainable Development Goal "SDG 8: Decent Work and Economic Growth." Accordingly, we regularly review and adjust our compensation structure based on local minimum wage, cost of living, and inflation rates. To ensure our compensation system meets local economic conditions and employees' basic needs, we have also established the "Arcadyan Technology Living Wage Commitment."
In a commitment to fair pay and decent work, Arcadyan initiated a living wage review in 2024 at both its headquarters and the Vietnam Manufacturing Center, encompassing roughly 94.4% of our employees. The review established a living wage benchmark based on the local cost of living in key locations such as Taipei, Hsinchu, and Hanoi, ensuring it is sufficient to support the basic needs of employees and their families.
The review found that all employees at our Vietnam Manufacturing Center meet the local living wage benchmark, demonstrating our commitment to fair compensation at our overseas sites. In Taiwan, however, 0.8% of employees (8 people) did not yet meet this benchmark. This was primarily due to the limited work experience and market conditions of newly hired administrative support staff.
Arcadyan is committed to ensuring that all employee salaries exceed the local living wage standard by 2028, and will publicly disclose our progress. We will regularly optimize our compensation system to ensure all employees receive fair compensation, enabling them to achieve a dignified and high-quality life.
Retirement System
Arcadyan is committed to protecting employees' retirement rights. We ensure sufficient pension contributions and financial stability through a Retirement Supervisory Committee, established regulations, and annual actuarial calculations by external professionals. In Taiwan, we adhere to the Labor Pension Act by contributing 2% of salaries for employees under the old system (with cumulative contributions of NT$154,626 thousand as of yearend 2024) and 6% for those under the new system. For our overseas manufacturing sites, we follow local regulations, contributing 16% of salaries in China and 14% in Vietnam.
In 2024, the total pension expense recognized by subsidiaries within Arcadyan's consolidated financial statements was NT 99,231 thousand. Labor and health insurance costs combined with employee welfare expenses totaled NT 358,330 thousand. These figures reflect the company's management and implementation of retirement responsibilities, as well as our ongoing commitment and investment in employee wellbeing.
Diverse Employee Bene fits
Supportive Parenting Measures
Arcadyan promotes a people-oriented human resources policy, strengthening family support initiatives and focusing on work-life balance for our employees. In response to government policies to encourage childbirth and support Taiwan's population growth,
Arcadyan headquarters established a childbirth bonus system starting in 2011, providing eligible employees with an NT$66,000 subsidy for each newborn. As of 2024, a total of 364 newborns have benefited from this program, with cumulative bonuses reaching
NT24,024 thousand, which reflects the company's ongoing commitment to family values and demographic issues.
In addition to financial support, Arcadyan partners with childcare and preschool institutions to offer employees diverse and subsidized services. These initiatives reduce the childcare burden, improve quality of life, and help employees achieve a balance
between their family and professional lives, realizing the dual goals of a happy workplace and enhanced productivity.
Recognition of Senior and Outstanding Employees
Arcadyan values employees' long-term commitment and exceptional contributions. Through a recognition program, we acknowledge their performance throughout their careers and foster a positive and motivational corporate culture. To enhance employees' sense of honor and belonging, Arcadyan headquarters holds an annual recognition event for
"Senior Employees" and "Outstanding Employees." Outstanding employees are nominated by their departments and selected through a comprehensive review by senior management. Their individual value and contributions are honored at a public awards ceremony, which encourages employees to utilize their expertise for stable growth and promotes the
continuous deepening of a positive workplace culture.
