Building a friendly workplace

MERRY provides compensation and benefits that meet the legal requirements of its operating locations. All full-time employees are entitled to statutory insurance and retirement plans. The company adheres to a policy of equal pay for equal work, without discrimination based on race, ethnicity, social origin, social class, ancestry, religion, disability, gender, sexual orientation, family responsibilities, marital status, union membership, political opinion, or age. It considers a comprehensive compensation system that includes salary, benefits, bonuses, and profit-sharing. All employees undergo annual performance evaluations, the results of which serve as a basis for rewards, appointments, promotions, and various personnel management decisions. Each year, MERRY participates in salary market surveys and assesses factors such as economic growth rate, consumer price index (CPI), company profitability, and industry benchmarks for salary adjustments in each operating location. The company also references the minimum wage announced by the local government and considers employee performance evaluations when planning salary adjustments. This ensures that the overall compensation system attracts and retains talent. Different bonus and employee remuneration systems are established based on the specific circumstances of each location. For example, at Taiwan HQ, year-end bonuses are distributed before or after the Chinese New Year. Additionally, employee remuneration is determined based on the company's operating performance, individual performance, and contributions. To effectively incentivize and retain outstanding talent, the company flexibly implements measures such as stock options, treasury stock, restricted stock plans, and employee stock ownership trusts. In 2023, the average annual salary increase at Taiwan HQ was 2% (excluding new employees with less than one year of service).

The four production bases of MERRY, including the one in Shenzhen, employ direct personnel whose salaries are determined based on their educational background, professional knowledge and skills, and job categories. The minimum starting salary for employees without work experience meets or exceeds the legal minimum wage standards in each location. The HQ and other operating locations do not employ direct personnel, and the starting salaries for indirect personnel are significantly higher than the legal minimum wage standards, so no statistics were compiled for them.

There is no difference in starting salaries or annual salary adjustments for new employees based on gender. The same recruitment criteria and salary scales are followed. However, due to factors such as job nature and seniority, the proportion of genders in each job category varies, resulting in differences in the gender pay ratio.

MERRY offers paid leave benefits that exceed labor standards, including paid family care leave, no attendance required on make-up workdays, spousal marriage leave, and maternity leave for pregnancies under three months, totaling approximately 5,527 days of paid leave by the end of 2023. To ensure a friendly workplace environment that meets the diverse needs of employees, all staff can arrange their working hours flexibly from 8 AM to 6 PM, ensuring a total of 8 hours of work. Additionally, the "Stay-at-home" model during the pandemic has transitioned into a long-term "Hybrid Work Model" combining remote and office work, allowing MERRY personnel to handle work and family emergencies more flexibly, reducing economic losses from career interruptions.

In addition to caring for employees with families, MERRY also aims to support those who are single. In MERRY Shenzhen, we organized an event called "Finding Love Nearby" for eligible single men and women, using a series of small games to bridge departmental gaps and bring employees closer together. The event saw enthusiastic participation, with a total of 94 registrants, resulting in not only new connections but also enhanced interdepartmental communication.
*As of 2023/12/31, the number of employees is 770.

Taiwan has established the "Parental Leave Without Pay Implementation Measures" and the "Gender Equality in Employment Act." In addition to implementing the parental leave system according to the law, employees can apply for parental leave until their children are three years old, with a maximum application period of two years. We also provide related leave options such as menstrual leave, prenatal check-up leave, maternity leave, companion check-up leave, companion maternity leave, rest during pregnancy, and family care leave for those in need. Moreover, we have set up breastfeeding rooms and implemented maternal health protection measures as part of our friendly workplace initiatives. We also partner with qualified and quality kindergartens to support employees' childcare needs from various aspects (Parental leave is a regulation exclusive to Taiwan's laws, so only relevant data on parental leave in Taiwan is disclosed).

Taiwan HQ has established a "Labor Welfare Committee," with committee representatives holding regular meetings to promote various employee welfare programs. These programs include holiday bonuses, meal and travel subsidies, as well as wedding and childbirth gifts, scholarships for employees and their children, emergency relief funds, and funeral condolences. The company also supports employees in organizing various recreational clubs and encourages family members to participate in activities, fostering a sense of belonging within the MERRY family