Page 64 - Tata Steel One Report 2024-Eng-Ebook HY

Business Operation and Performance Driving Business Towards Sustainability
Corporate Governance Policy Financial Statements Attachments
Employee Retention
The Company believes that the foundation of organizational success lies in the employees who propel the Company towards its business objectives. Consequently, the Company fosters an environment where employees can operate at their full potential by enhancing employee engagement. To this end, the organization ensures that employees feel assured of the fairness and transparency of the Performance Management policy, offers challenging tasks, provides suitable compensation for their capabilities and performance, presents opportunities for development and career advancement, actively listens to employee feedback, and offers various welfare and benefits aimed at promoting happiness and improving quality of life.
Performance Management
The Company emphasizes a comprehensive approach to Performance Management, rather than solely assessing the performance of individual employees. The starting point involves defining the business operating strategy of TSTH Group, which includes the Long-Term Plan and the Annual Business Plan that facilitate the achievement of the organization's vision and goals. This strategy is then disseminated to the levels of Division, Department, Section, and Employees.
The Company has enhanced the Performance Evaluation System by integrating Sustainability goals into the KPIs for all Supervisory and Management employees, including Senior Management.
All Supervisory and Management employees are required to prepare a Performance Contract that includes KPIs and targets divided into three sections: (1) Key Business Results and Sustainability Measures, which pertain to Key Business Results and Significant Improvement tasks derived from the Annual Business Plan and Job Descriptions, as well as actions aimed at fostering a better and more sustainable future in economic, environmental, and social aspects, conducted as an integral part of regular work to support organizational sustainability; (2) Special Projects, Attitude, and Working Behavior; and (3) Other responsibilities in accordance with Company Policy,
which pertains to duties that employees must adhere to and align with the Company's direction.
Additionally, the Company encourages continuous self- development and the development of other relevant individuals to foster innovation within the organization. The Company's Performance Management System prioritizes two-way communication and collaboration in pursuit of target achievement, facilitated by regular communication and evaluations, including feedback that addresses strengths and areas for improvement, which will inform the development plan. In this context, the Company links the performance of each individual employee annually to salary increases and variable bonus payments, as well as to the employee's career progression, development, and training.
Workforce Compensation Management
The Company is committed to ensuring appropriate and equitable compensation management by aligning its compensation policy with the Company’s performance over both the short and long term. This alignment takes into account various factors, including the merit principle within the organization, the merit principle outside the organization, and individual merit. Further details can be found in the Human Resources Management section on Compensation Management.
Rewards and Recognitions
In addition to offering annual bonus payments as a reward for performance, the Company emphasizes the significance of rewards and recognition in various forms, including: 1. AcknowledgingandrewardingRoleModelEmployees,
Outstanding Employees, and providing a Quarterly Diligent Allowance.
2. Recognizing the accomplishments of committees or working groups that significantly impact the business.
3. Offering a Thank You Reward to employees who take on the responsibilities of colleagues who resign
62 Tata Steel (Thailand) Public Company Limited