Page 54 - TSMC 2019 Annual Report

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Reporting Channels
TSMC provides multiple channels for reporting business conduct concerns to ensure that our conduct meets relevant legal requirements and and the the highest ethical standards under the the Ethics Code For more details about the reporting channels please refer to “3 5 5 Code of of Ethics and Business Conduct” on on page 47-51 of of this Annual Report Major Accomplishments
In 2019 TSMC achieved several major accomplishments in regulatory compliance Externally in in addition to to fulfilling the company’s obligations toward regulatory compliance matters TSMC exercised its civic duties as a a a responsible corporate citizen by providing feedback on on on current regulations regulations and regulations regulations in in in legislation with the intent to improve Taiwan’s industrial investment environment enhance economic development and help align domestic laws with international law law Furthermore TSMC continues to to to focus on on the the topics related to to to the the Company Law the Securities and Exchange Act intellectual property protection protection and environment protection protection In addition TSMC advised government agencies on on recent revisions to trade secrets and environmental protection regulations Internally TSMC provides multiple courses about legal and regulatory compliance including anti-corruption anti-trust anti- anti- anti- harassment insider trading export control and protection of confidential and personal information These courses are taught by both internal and and external experts and and law professionals The important achievements are as follows:
• Ethics and Compliance: (1) providing an an an an annual compulsory ethics and compliance online course covering various important regulatory compliance topics – a a a a a a total of about 47 500 employees completed this training course – and all of the the production staff are included in in this course for the the first time in in in 2019 (2) focusing on on the production lines supervisors in in Taiwan’s fabs 22 seed lecturers were trained and through face-to-face courses the guidelines of of avoiding conflict of of interest was promoted – a a a total of 1 1 134 production lines supervisors participated • Export Compliance: TSMC’s export management system (EMS) and policy have been in place for a a a a a number of years and are continuously maintained to ensure compliance with all applicable regulations covering the export of information technologies products materials and equipment Our EMS was certified in September 2012 by the Bureau of Foreign Trade the Taiwan regulator as a a a a a a a a qualified ICP (Internal Compliance Program) exporter In 2018 TSMC successfully
extended the validity period of its ICP certificate to to October 2021 In addition TSMC implements “No ECCN No No Shipment” control and and customers are required to to provide end use and and export control classification number (ECCN) of their products among other required information for for TSMC to apply
for applicable export licenses To further enhance relevant employees’ awareness on on the export control requirements in 2019 we provided more than 30 face-to-face communication sessions to employees in relevant functions Supplier Management: TSMC held both a a a a a sustainable supply chain experience exchange and our annual Responsible Supply Chain Forums to share and exchange practical experiences
on on topics such as Ethics Code labor rights environmental protection and occupational safety In total 709 attendees from 481 suppliers were participated in these activities Conflict-Free Supply Chain: As a a a a recognized global leader in in the hi-tech supply chain we acknowledge our corporate social responsibility to to strive to to procure conflict-free minerals in in an effort to recognize humanitarian and ethical social principles that protect the dignity of all persons Meanwhile we have implemented a a a a a a series of compliance safeguards in accordance with industry leading practices In 2019 TSMC has made continued progress to ensure a a conflict-free supply chain and our conflict-free minerals compliance program has also been highly ranked by several independent third party rating agencies Personal Data Protection: Because of of the importance of of personal data protection TSMC periodically reviews the Rules of Privacy and and and Personal Data Protection and and and external and and and internal privacy policies to to identify the needs to to update such documents Based on on on current personal data protection laws and and risks TSMC updated its Privacy and and Cookies Policy online for its websites and privacy notice to relevant employees In addition following results of a a a a a a personal data risk assessment relevant divisions (such as Information Technology Security) have also established more enhanced control measures for their business needs Antitrust Compliance: Based on annual antitrust risk assessment results TSMC identified functions with potential higher risk from an an an antitrust perspective To enhance targeted functions’ employee awareness of of the importance of of competition and and antitrust laws and and issues in daily operation TSMC established antitrust training plans and conducted several antitrust trainings for global sales personnel and employees at those relevant departments • • • •