Promote a Culture of Diversity and Equality

▣ Support Employee Diversity
KTB respects the uniqueness of each individual, recognizes the different perspectives and sparks that diversity can bring to a company. KTB provides an environment of gender equality (for details, please refer to section [Percentage of female employees of all groups in the past three years]), and has never discriminated against employees or their age, marital status, or family background (for relevant data, please refer to Appendix 8.4 Human Resource Management Indicators). In order to promote diversity and inclusion effectively, KTB introduced a mandatory course on "unconscious bias" in 2023. Our goal is to raise awareness among all colleagues and managers that bias can exist in everyone's values and beliefs, often going unnoticed but significantly impacting their actions, decisions, and emotional responses. By providing this opportunity, we aim to eliminate unconscious bias and foster a more welcoming and equitable workplace environment. Besides, KTB fully supports the employment rights of employees with physical or mental disabilities. We adjust and evaluates the work content appropriately according to the individual employees, and continue to hire new recruits with physical or mental disabilities through all available channels. In 2023, KTB has 10 employees with physical or mental disabilities.

▣ Sexual Harassment Prevention
In order to protect gender equality and dignity at work, KTB has formulated the "Guidelines for the Prevention, Correction, Complaint, and Punishment of Sexual Harassment at Workplace,” which has been disclosed on KTB'S official website - [Guidelines for the Prevention, Correction, Complaint, and Punishment of Sexual Harassment at Workplace], stipulating that all forms of sexual harassment at the workplace are prohibited. KTB also organizes sexual harassment-related education training to advocate the importance of sexual harassment prevention and eliminate the hostility originated from sex or gender, so as to protect employees, job applicants, and customers from the threat of sexual harassment. In 2023, the advocacy rate reached 100%.

KTB has established the sexual harassment complaint channel, complaint reporting method, investigation mechanisms, handling methods, and punishment. After receiving a sexual harassment complaint, KTB sets up the Sexual Harassment Complaint Handling Committee, and, when required, may retain experts or scholars as committee members to handle the cases independently, and report to the Board of Directors based on the circumstances. The investigation shall be based on the principle of protecting the privacy and dignity of the informer, and KTB promises not to terminate, transfer, or take any disciplinary action that is adverse against employees who personally file complaints or assist other persons to file complaints regarding sexual harassment. There were 0 sexual harassment complaint case received in 2023.

▣ Formulate and Implement Human Rights Policy
KTB supports and implements human rights policy, practices workplace diversity, and does not treat differently or discriminate in any form on the grounds of gender, sexual orientation, nationality, race, class, age, marriage, language, thought, party, place of origin, birthplace, appearance, facial features, physical or mental impairment, or trade union membership. In addition, KTB abides by laws and regulations and has never used child labor or illegal labor. KTB has established the "King's Town Bank Co., Ltd. Human Rights Policy," which was approved by the
Board of Directors with reference to the spirit and basic principles of human rights protection as outlined in various international human rights conventions, including the United Nations' "The Universal Declaration of Human Rights," "The United Nations Global Compact," "United Nations Guiding Principles on Business and Human Rights," and "International Labor Organization - Declaration of Fundamental Principles and Rights at Work." KTB carries out education training to advocate its spirit on a regular basis. In 2023, the total duration of human rights education training and sexual harassment prevention advocacy reached 1,944 hours, with a advocacy rate of 100%.

Perform human rights due diligence

In addition to formulating human rights policies, KTB conducts human rights due diligence investigations annually on all operational locations, including 66 branches and 3 credit centers. These investigations aim to identify potential issues and subjects at risk, disclosing the implementation status of subsequent risk mitigation measures to ensure the effectiveness of human rights policy execution. The completion rate for 2023 was 100%. Furthermore, the results of these investigations are reviewed and approved by the President and disclosed on the official website under the [2023 Human Rights Risk Assessment Management Table].

Implement Labor-Management Communication

KTB puts emphasis on the voice of employees and smooth communication. KTB has established diverse communication channels, where employees may give their valuable opinions to the President or heads of all departments through formal meetings, face-to-face conversation, regular surveys, or the President's mailbox. The President also leads the heads of related departments to organize regional seminars at the branch offices, to build an effective, efficient, and bilateral communication mechanism. There were 0 employee complaint case received in 2023.

Employee Opinion Collection

KTB conducts a bank-wide employee engagement survey every year, targeting supervisors and current employees of each department (including probationary employees, excluding part-time employees and interns). The survey focuses on salary and benefits, job duties, promotion and assessment, education and training, and organizational management, etc. The survey includes indicators such as feeling happy most of the time at work, feeling stressed most of the time at work, being completely satisfied with one's job responsibilities, and having a clear sense of purpose in one's work. It also examines the commitment and responses of colleagues in different age groups to various aspects. The feedback and suggestions provided by colleagues will be forwarded to relevant departments for evaluation and improvement. In 2023, the response rate was 95.21% and the employee engagement rate was 91.93%.