To enhance occupational safety and health management (including fire safety management) and comprehensively implement the Occupational Safety and Health Management System (ISO 45001), coverage extends to workers (employees, contractors, and visitors) at all Taiwan plants (Hsinchuang, Yangmei, Taichung, Yenshui), Mainland China plants (Shanghai Walsin, Hangzhou Walsin, Jiangyin Walsin (Specialty Alloy Materials), Changshu Walsin, Yantai Walsin), the Indonesia plant (PT. Walsin Nickel Industrial), and CAS-affiliated facilities. Coverage encompasses 8,444 employees (including contract employees) and 9,160 non-employees (contractors/resident outsourcing), representing an overall site coverage rate of 86% for employees and 99% for non-employees (contractors). (Taipei Head Office, Nanjing Walsin (Real Estate), and Walsin Precision Technology have not yet applied for certification.)

All Group operating sites, regardless of whether they hold ISO 45001 certification, implement occupational safety and health management under the same management framework, strengthen worker participation and consultation communication, and promote dynamic review, improvement, and recurrence prevention through the PDCA cycle. Combined with annual projects, internal audits, drills, and performance indicator tracking, workplace safety is continuously improved. This year, the target of reducing the number of disabling injuries by more than 10% compared to the previous year has been achieved. The Company manages safety performance through dual active and passive indicators, including system promotion, senior management support, work injury accidents and regulatory inspection results, as well as general and special health examinations and other health management indicators. Meanwhile, each plant deploys sufficient fire safety management personnel as required, implements regular fire equipment maintenance and self-inspections, and regularly conducts company-wide fire evacuation and fire self-defense brigade drills to strengthen fire prevention and emergency response capabilities.

Walsin Lihwa has established a formal and diverse worker participation and communication mechanism to ensure that employees and contractors can exercise meaningful influence in occupational safety and health management:

All Group plants have established dedicated safety and health units with sufficient full-time personnel, and have formed Occupational Safety and Health Committees (TW) / Work Safety Committees (CN) and EHS Management Committees. Worker representative ratios all meet regulatory requirements, and regular meetings are held to discuss occupational safety, health, and environmental matters. Taiwan plants regularly convene safety and health committee meetings and complete statutory records. An EHS meeting records and electronic approval platform has also been established, and various resolutions and safety information are shared via the intranet and email to strengthen communication and management implementation.

Walsin Lihwa promotes hazard identification and risk assessment through a systematic process. Safe Job Procedures (SJP) use the Risk Matrix method, while machinery and equipment are analyzed using the LEC method (Graham method) to ensure consistency in operational and equipment risk management. In 2025, Taiwan plants identified 15,902 hazard risks, including 214 fire and explosion risks and 2,367 Level-3-and-above risks; Mainland China plants identified 3,011 hazard risks, of which 98 were fire and explosion risks and 1,677 were Level-3-and-above risks. In overseas locations, although not yet fully incorporated into the Group database, Indonesia has reported 347 items and CAS has reported 2,420 risk data items. For Level-3-and-above risks, the Company takes corresponding measures based on severity. High and critical risks (Level 4–5) require immediate or time-bound risk reduction actions, and operations may not begin or continue before improvement is completed; moderate risks (Level 3) are subject to continuous strengthening of improvement and control mechanisms to progressively reduce the risk ratio and ensure overall operational safety.

Walsin Lihwa strengthens Group safety resilience through systematic risk management and incident investigation systems. In 2025, an analysis was conducted on medium- and high-risk items and PPE usage and compliance in the Asian region from 2020–2024, and 41 safety educational videos were produced for promotion at each factory site to improve employees' safety awareness of "understanding, remembering, and being able to do". The Company also assisted each factory in aligning annual safety policies with performance indicators such as FR/FSI, and reviewed SOP/SJP implementation for 141 occupational accident cases to strengthen organizational implementation capability. All workplace safety incidents require immediate notification and investigation. Including a 1-hour action notification, system notification within 8 hours, preliminary investigation within 3 days, and case closure within 7 days. Event & Causal Factor Chart (ECFC) and Why Tree (causal tree analysis) are used for root cause analysis to clearly distinguish deficiencies at the operational, management, and decision-making levels and propose corrective and preventive measures. With the continued deepening of education and training, behavioral observation, and multi-level safety inspection mechanisms, Walsin Lihwa's overall Frequency-Severity Indicator (FSI) in 2025, while still below the annual policy target (0.4), has shown significant improvement compared to 2024, demonstrating that the Group's risk control and accident prevention measures are progressively taking effect.

Walsin Lihwa plants plan annual education and training according to the actual operational needs of each unit, covering new employee safety education, initial license training, refresher training, high-risk task training, contractor induction training, and more. Previous accident cases, operational risks, and management system audit results are also incorporated into training arrangements. Training frequency and target audience are planned according to job nature and license renewal cycles, with multilingual training provided when necessary.

For fire and emergency response training, regular fire safety lectures, fire evacuation drills, and emergency response training are conducted. Response procedures are strengthened according to the characteristics of each site, ensuring employees are familiar with fire handling, reporting, evacuation routes, and equipment operation. Some plants also produce scenario-based instructional videos as part of annual disaster-reduction projects to improve employees' ability to identify fire risks and their hands-on proficiency. All training costs are fully borne by the Company.

Walsin Lihwa plants conduct annual self-inventories of chemical substances in use, maintain a comprehensive chemical inventory, and manage Safety Data Sheets (SDS) and GHS (Globally Harmonized System) labeling in accordance with regulations to ensure accurate disclosure of hazard information.

Safety equipment within plants, such as fire suppression systems, is also regularly inspected and replaced when abnormal, ensuring proper equipment functionality. No fire accidents resulting in casualties occurred in 2025.

Walsin Lihwa plants have dedicated points of contact for medical, occupational safety and health, and human resources, and collaborate with various departments to promote worker health protection and promotion measures. Regular health examinations are also provided to employees, and through autonomous management controls, it is ensured that employees and workers do not engage in unsuitable tasks, thereby reducing health risks. Over the past nine years, Walsin has had no occupational disease fatalities, nor any confirmed occupational disease cases diagnosed by occupational medicine specialists, demonstrating the Company's effectiveness in occupational health management.

In 2025, there were 114 employee work injury accidents (0 fatalities; an additional 233 minor injuries are not included in the statistics). The recordable accident rate for employees was 1.16% (i.e., the number of work injury accident persons as a proportion of the total number of employees). Analysis shows that the main accident type was caught/entangled injuries at 16.67%, followed by cut/abrasion injuries at 14.91%, injuries caused by improper body movement at 14.04%, and falls from height at 11.4%. In terms of accident subjects (excluding CAS), the majority were frontline technical operation personnel, accounting for 92.5% of the total.

There were 20 non-employee work injury accidents (0 fatalities, excluding 17 minor injuries). The main accident type was falls from height at 25%, followed by struck-by and cut/abrasion injuries, both at 20%. All related accident risks and deficiencies have been promptly rectified through hardware protection and management measures. No fire or chemical spill incidents occurred in 2025.

In 2025, there were 4 penalty incidents involving violations of occupational safety and health regulations in Taiwan (with total fines of NT$ 600,000), and 1 penalty incident in China (Mainland) involving violation of work safety regulations (with a total fine of RMB 25,000). In response to all regulatory violations, the Company has incident and penalty review mechanisms were initiated, and improvement plans were proposed and fully completed, including:

Walsin has fully implemented the Walsin Lihwa Contractor Management Principles across all factories in Taiwan and Mainland China. Through institutionalized, standardized, and digitalized control processes, contractor work safety and operational risk management have been strengthened. All contractors must complete the signing of the Environmental Safety and Health (ESH) commitment letter and receive necessary training before entering the site, achieving a 100% compliance and adherence rate. The contractor management system is used to control entry/exit and record abnormalities, enhancing management transparency and real-time monitoring.

2025 Contractor Management Performance in Taiwan and Mainland China: In Taiwan, a total of 6,434 control permits were issued for contractor site access, with 2 occupational injuries, 456 non-conformities, and 21 penalty notices recorded, resulting in total fines of NT$ 653,500. In Mainland China, a total of 2,470 control permits were issued, with 4 occupational injuries, 59 non-conformities, and 93 penalty notices recorded, resulting in total fines of RMB 99,338.

The Company also promotes the Contractor OSH Management Guidelines, standardized operations, and insurance systems, supplemented by kick-off meetings, coordination meetings, and on-site audits, ensuring contractor work safety requirements are fulfilled. All identified non-conformities throughout the year were corrected, and targeted awareness campaigns were conducted for related issues. During 2025, no fire incidents (or fire alarms) or major accidents occurred during contractor operations within Walsin facilities.

Walsin Lihwa designs feasible employee health promotion plans each year. Based on risk management and on-site hazardous operations, special operation surveillance groups (noise, ionizing radiation, dust, high temperature, lead, manganese, nickel, n-hexane, vinyl chloride operations) are identified for health checkups and result analysis. Health protection plans for hazardous operations are established to ensure a good working environment and prevent occupational diseases. The 2025 follow-up results showed no work-related health abnormalities.

In 2025, through health promotion lectures and activities, employees' health awareness was raised, guiding employees to change health behaviors and habits and acquire correct health knowledge. In 2025, a total of 159 health education sessions were held with 5,092 participants, and 10 female employees received maternal health protection measures.