Guided by a people-centered philosophy, PharmaEssentia is committed to providing employees with a safe and welcoming workplace. In 2025, we elevated our Environmental, Health and Safety (EHS) management unit to a dedicated first-tier unit reporting directly to the General Manager and maintained our record of zero major occupational accidents. We place a strong emphasis on protecting human rights. In 2025, we issued a new Human Rights Policy, approved and signed by the Chairman. For the first time, we undertook comprehensive human rights due diligence and risk assessments covering our own operations and suppliers, with reference to international standards, including those of the Pharmaceutical Supply Chain Initiative (PSCI). We actively promote equal pay for equal work, manage working hours, and safeguard workers' rights.

Achievement Highlights

Corresponding SDGs

01

Human Rights Assurance

Human Rights Policies and Commitments

Human Rights Management Systems

Human Rights Due Diligence

Human Rights Risks Assessment Results for 2025

Note 1: Percentage of total assessed (%): The scope of risk assessments conducted for employees and suppliers encompassed PharmaEssentia (Taiwan), Panco, PharmaEssentia USA, and PharmaEssentia Japan.
Note 2: Percentage of total assessed where risks have been identified (%): We identified five salient human rights issues faced by our employees and five salient human rights issues faced by our suppliers as priority issues of concern. The risk proportion refers to the proportion of salient issues to all identified issues.
Note 3: Percentage of risk with mitigation actions taken (%): PharmaEssentia (Taiwan), Panco, PharmaEssentia USA, and PharmaEssentia Japan have implemented mitigation and remediation measures for human rights risks faced by employees and suppliers.

Diverse Labor-Management Communication Channels

Note: PharmaEssentia Japan has not established a labor union. Therefore, all employees elected an employee representative to serve as a communication channel between employees and the Company in accordance with law.

Employee Workforce Structure

Employee nationalities

PharmaEssentia incident investigation process

Absentee Rate in 2025

02

Diversity and Inclusion

PharmaEssentia 2025 Diversity Indicator- Gender

第4章 Diversity Indicator

第5章 Percentage

Share of women in total workforce

50.3%

Share of women in all management positions

44.9%

Share of women in junior management positions

40%

Share of women in top management positions

45.1%

Share of women in management positions in revenue-generating functions as % of all such managers

39.4%

Share of women in STEM-related positions

48.3%

Note 1: The data covers PharmaEssentia (Taiwan), Panco, PharmaEssentia US, and PharmaEssentia Japan.
Note 2: 2030 target — PharmaEssentia (Taiwan), Panco, PharmaEssentia US, and PharmaEssentia Japan all aim for a female employee ratio of 50%.

2025 Employment Data

Metric

FY 2022

FY 2023

FY 2024

FY 2025

Total number of new employee hires

127

134

99

77

Percentage of open positions filled by internal candidates (internal hires)

45

42

18.03

68.14%

Turnover rate

FY 2022

FY 2023

FY 2024

FY 2025

Total employee turnover rate

8

10

12.9

12.59%

Voluntary employee turnover rate

8

6.8

12.5

11.03%

Coverage

81.25

100

100

100

Note: The data covers PharmaEssentia (Taiwan), Panco, PharmaEssentia US, and PharmaEssentia Japan.

03

Talent Development and Career Progression

Long-Term Incentive Plan for Employees

The Company offers a variety of profit-sharing and long-term incentive mechanisms to attract and retain outstanding talent, including employee stock options, participation in cash capital increases through employee share subscriptions, and new restricted employee shares. The long-term incentive plans primarily apply to newly recruited talent, key talent who have made special contributions to the Company’s strategic development, and outstanding talent. The allocation of relevant incentive resources is determined based on employee performance appraisal results, and the performance appraisal indicators include ESG indicators, ensuring that the long-term incentive mechanisms are linked to the Company’s talent attraction and retention objectives. In 2025, approximately 23% of employees below the level of senior executives participated in long-term incentive plans, including employee stock options and cash capital increases through employee share subscriptions.

04

Talent Attraction and Retention

Human Capital Return on Investment

Currency: New Taiwan Dollar

Metric

2025

Total Revenue

15,634,777,000

Total Operating Expenses

9,022,227,000

Total employee- related expenses

3,495,942,000

Resulting HC ROI

2.89149

Total Employee

712

05

Occupational Health and Safety

PharmaEssentia regards the safety of its employees and business partners as a cornerstone of sustainable operations. In alignment with the ISO 45001 Occupational Health and Safety Management System and international sustainability standards (GRI 403), the Company has established rigorous quantitative management targets for employees and value chain partners, supported by regular internal audits and performance evaluations.
As of December 31, 2026, the Company's management objectives and performance achievements for key occupational health and safety indicators are as follows:

Management Area and Quantitative Target

Performance Evaluation

Key Management Practices

Zero Major Occupational Injuries for Employees:

Pursue a strong safety culture through the core objective of zero major occupational injuries (including disabling and fatal accidents) and zero occupational diseases.

Target Achieved (100%):

The Company and all operational sites maintained a record of zero major occupational injuries.

Taichung Plant Injury-Free Work Hours Milestone:

From August 28, 2023, to December 31, 2026, the Taichung Plant continuously reported and successfully accumulated 779,064 injury-free work hours, achieving 857 consecutive days without occupational accidents, demonstrating the effectiveness of its proactive risk prevention measures.

Zero Occupational Accidents for Contractors:

Ensure that no occupational accidents or occupational disease incidents occur among contractors working at any PharmaEssentia or Panco facility.

Target Achieved (100%):

No occupational injury incidents occurred during contractor operations in either project-based or routine maintenance activities.

Strengthened Contractor Safety Management:

PharmaEssentia strictly implements a Permit-to-Work (PTW) system for high-risk operations, while the Occupational Safety and Health Committee conducts regular audits and on-site inspections to identify and eliminate potential hazards.

Based on the above performance results, PharmaEssentia has successfully translated its safety commitments into measurable outcomes through a systematic internal audit mechanism, including the designation of high-risk operations as key audit and awareness topics. Going forward, the Company will continue to strengthen safety awareness across the organization and work toward its long-term objective of maintaining a zero-harm and zero-accident workplace.

Human Capital Management and Development

PharmaEssentia has established a Human Rights Policy in line with international human rights standards to protect the rights and interests of stakeholders. We strive to create a diverse and equitable workplace where employees’ contributions and compensation are not affected by age, gender, ethnicity, geographic location, or other factors unrelated to their work. Our talent development focuses on three key areas: core values, management and leadership, and professional skills. Through a dual-track career development framework, we cultivate both managerial and specialist talent to develop high-performing employees and reduce the risk of talent shortages.

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