Operational Status | Compliance Program | ESG

Taihan is committed to the Fair Trade Compliance Program and all members of Taihan are actively involved.

Taihan regularly and occasionally implements a law-abiding education related to fair trade as a part of Compliance Program(CP).

Regular training

All employees are subject to training on fair trade laws (once a quarter)
Occasional training

It is conducted when a violation is detected, or in a department with a high probability of violation
New employee training

It is a basic training for new employees

Internal monitoring
It refers to monitoring of direct and indirect activities with competitors or business partners, such as information exchange or meetings. It includes preparation of pre- and post-reporting.
External monitoring
It refers to monitoring for unfair trade practices and violations of laws with suppliers and business partners.
Reporting system
The groupware and homepage welcome your report.
Contract review
It is a procedure to review the contract details in advance and confirm whether they are fulfilled afterward.
Others
Other relevant laws and regulations or matters deemed necessary by the compliance manager are monitored at all times.

Incentives are provided to employees or departments recognized for their contribution to fair trade and CP activities.

In mind cases	Relevant standards and protocols shall be established and implemented so that employees can clearly recognize and practice fair trade-related laws and regulations.
In serious cases	The HR committee issues a disposition in accordance with the company's reward/punishment regulations in the following cases In case the company bears monetary losses, such as penalty, fine, or liability for damages, from related organizations In case the company receives restrictions on bidding qualification from the relevant organization In case a warning or corrective action request has been issued twice or more within the last three years for the same minor case In case there are matters determined by the compliance manager to be significant among legal disputes such as complaints, accusations, and lawsuits Other cases deemed necessary by the Compliance Manager

In mind cases

Relevant standards and protocols shall be established and implemented so that employees can clearly recognize and practice fair trade-related laws and regulations.

In serious cases

Type	2023	2022	H2 of 2021
Violation of relevant fair trade laws and regulations	None	None	None

2023		2022
Regular Training	External instructors invited for training by department and position.	Regular Training	External instructors invited for training by department and position.
Explanation of Subcontracting Act Violations Introduction of company CP operating regulations Basic concepts of the Subcontracting Act and types of transactions	Introduction of major anti-corruption laws and notes Introduction of Fair trade policy trends Introduction of the new system in 2023 - Information exchange regulations and countermeasures Information Exchange Act - Delivery unit price linkage system and subcontract payment terms Disclosure system	Understanding Subcontract Act and Fair Agency Transactions Act Judgment Factors and Remarks regarding Subcontract Transactions Prohibited Behaviors and related Cases regarding Unfair Common Actions (Cartel)	Introduction to Fair Trade Act Essential Remarks on Fair Trade to Executives and Staffs Remarks on Subcontract Transactions