Implementation status

CHT has designated the Organization and Talent Development Department as the unit responsible for promoting ethical management, which reports to the board of directors on a regular basis (at least once a year). Such responsible unit reported its implementation status to the board of directors on February 24 and August 9, 2023.

1. Education and training:
   All employees, including part-time employees and contractors, are required to receive training courses related to CHT's ethical business principles and the Code of Ethics. We plan a series of training courses on laws, audits and risk management, which include basic legal knowledge, the Code of Ethics, Ethical the Corporate Management Best Practice Principles, operating procedures and other relevant regulations for employees to study.


2. Legal awareness and real-life examples:
   CHT's responsible unit implements education for all employees, organizes documents on ethical management, the Code of Ethics and material internal information and communicates noteworthy matters to employees through the digital learning platform and case sharing official documents.


3. Annual test:
   In order to improve business operations, every year, we promote corporate ethical management standards and conduct relevant tests, adopt a philosophy of integrity and ethics, strengthen corporate governance and risk management and build a corporate culture that pushes forth integrity. The scope of the test covers the Ethical Corporate Management Best Practice Principles, the Code of Ethics and the obligation to maintain trade secrets, among other topics.


4. Regular inspection
   We have formulated an Anti-Fraud Execution Plan and set up a dedicated department to monitor and track its execution, as well as ensure the operation of the overall mechanism through the internal control system and independent audits by the audit unit to jointly manage and prevent the occurrence of unethical conduct.


5. Whistleblower system and whistleblower protection
   (1). CHT has a robust whistleblower system in place to encourage internal and external personnel to report dishonesty or misconduct in the company and has assigned the Organization and Talent Development Department as the unit responsible for accepting reports.
   (2). The Communication Channels section on the official website provides effective communication channels for employees, shareholders, stakeholders and outsiders.
   (3). There is a protection system for whistleblowers. The identity of whistleblowers and content of reports are kept confidential. Whistleblowers are assured that they will be protected from mistreatment or retaliation for submitting reports.

Promotion effectiveness

1. From October 2 to October 31, 2023, the digital learning course "Comprehensive awareness training on the Code of Ethics and Ethical Corporate Management Best Practice Principles" was implemented for all employees and an online comprehensive test was conducted. The score of 100 points means completion. Except for those who did not take the test for valid reasons, the rest completed the test. The total number of testees was 19,839 people, the completion rate was 100% and the total training hours were 19,839 hours.
2. All employees are required to sign a declaration of commitment to abide by the Code of Ethics and Ethical Corporate Management Best Practice Principles. By 2023, 99.98% of employees had signed such declaration.
3. In order to implement the Code of Ethics, we obtained an external third-party declaration of conformity through the rigorous inspection process of SGS-Taiwan.
4. In 2023, the company accepted a total of 70 internal and external whistleblowing reports, and no major violations of ethical management were involved.