Employees, Customers, Suppliers and Creditors

Overview

Governance Statement Company Strategy and Objective Articles of Incorporation and By-laws

Board and Board Committees

Board Profile Board Structure Board and Board Committee Meetings Board Committees and Charters Board Training, Succession, Remuneration, and Assessment

Shareholders

Ownership Structure Rights and Equitable Treatment of Shareholders Annual Stockholders' Meeting Enterprise Risk Management Internal Controls

Stakeholders

Employees, Customers, Suppliers and Creditors Medium of Communication

CG Manual and Policies

Revised Corporate Governance Manual Code of Business Conduct and Ethics Anti-Bribery and Anti-Corruption Policy Board Diversity Policy Board Nomination and Election Policy Conflict of Interest Policy Corporate Disclosure Policy Dividend Policy Health, Safety and Welfare Policy Insider Trading Policy Protection of Creditors’ Rights Policy Succession Planning and Remuneration Policy Supplier Accreditation Policy Whistleblowing Policy

Compliance Reports

Annual and Sustainability Report Integrated Annual Corporate Governance Report (I-ACGR) Compliance Manual

Employees, Customers, Suppliers, Creditors and Communities

2024 Stakeholder Engagement Results

Effective stakeholder engagement aids JG Summit to identify critical issues and concerns that could affect its long-term success. By actively engaging with stakeholders, we gain valuable insights into expectations, values, and potential risks from our partners as it fosters collaboration in addressing common challenges and contributes to meaningful, positive outcomes.

Ultimately, stakeholder engagement plays a crucial role in driving continuous improvement, aligning business practices with societal expectations, and promoting sustainable and ethical business practices.

Stakeholders	Material Concerns	Modes of Engagement	Response
Investors and shareholders	Financial growth and profitability Ethical standards for governance and business conduct Commitment and targets related to social and environmental responsibility especially on Climate Change Resilience and strategy against key business and sustainability risks	Result briefings through Quarterly and Annual Reports Annual stockholder meetings Disclosures to the Philippine Stock Exchange and other pertinent agencies Meetings with investors Oversight of the Board through its Governance, Nomination, Remuneration and Sustainability Committee (GNRS) Correspondence with ESG rating agencies (e.g., CDP, MSCI)	Continuous development of business strategy to improve financial and operational performance Compliance with laws and regulations Adherence to good governance principles Incorporation of sustainability to business strategy Enhanced sustainability disclosure to include strategy to reach targets along with milestones Communication of received feedback to top management through Executive Leadership Council (ELC) meetings to further incorporate sustainability into business strategy Enhanced ERM policies, system and procedures
Employees	Competitive compensation and benefits Frequent career conversations between employees and their managers Exposure to career advancement opportunities Positive work culture driven by purpose, values and community	Town hall meetings Open dialogues Pulse Employee Engagement Survey	Continuous benchmarking to ensure up to date provision of competitive salaries, benefits, and employee growth initiatives such as formal training and e-training Strong partnership between HR and leadership on employees' performance management and development Setting of town hall meetings and other avenues for employee communication Adherence to good labor practices and workplace standards Purpose and values-driven initiatives to strengthen group identity, engagement, and community
Suppliers and service providers	Lasting business commitments Complying to sustainable policies of JGSHI Timely payment	Vendor audits Open line communication	Execution of purchasing ethics, strategic purchasing, and supplier relationship management Strict implementation of Supplier Accreditation Policy Practice of due diligence in processing liabilities
Regulators and government bodies	Legal compliance with laws and regulations Comments and improvements on legislative proposals Partnership in social and environmental responsibility Feedback and suggestions on existing policies, laws and regulations affecting our other stakeholders	Annual and Sustainability Reports Statement of compliance Licenses to operate Position Papers Corporate social responsibility programs Association and/or community engagement with discussion regarding policies, laws and regulations affecting the association members and/or communities	Compliance with laws and regulations Submission of official position papers on legislative proposals Implementation of initiatives to support government programs (e.g., Lingkod Pinoy Centers and tree planting) Drafting and submission of feedback and suggestions for and on behalf of the Association and/or community
Communities	Community engagement and development Responsible environmental management	Corporate social responsibility programs Environmental compliance programs	Continuous development and design of projects and programs that respond to community needs Compliance with environmental standards
Customers of SBUs	Product quality Health and safety Marketing and labelling Data Privacy	Open communication channels Customer Satisfaction Survey	Quality assurance for products and services of each SBU Implementation of environmental, safety, and quality standards and assurance systems Proper marketing and labelling for product content, usage and service inclusions Enhanced JGSHI-wide information security system to prevent any data leak and security breach

I. Employees

A. Health, Safety and Welfare

Foster the health and well-being of our people

Worker safety and well-being are of utmost importance to the Company. To support our employees’ physical and mental health, the Company continued to improve its office spaces and included areas where people can work, eat, and relax. To provide a space that caters to new workplace realities, workspace renovations took place. Aside from this, to strengthen the culture of well-being, monthly webinars were conducted on diverse topics from subject matter experts. To further support employees' mental health, the Company introduced a program offering a free initial consultation with a mental health professional. Additionally, the Company launched a wellness app in partnership with Rebel, providing employees with guided fitness and well-being resources. As part of this initiative, a twice-a-year step challenge was introduced to encourage movement and an active lifestyle. To check the health of employees, an Annual Physical Examination was likewise made available.

Leveraging Employee Feedback for Data-Driven Decision-Making

The Company actively monitored and responded to employee needs through structured listening initiatives. By leveraging surveys across various stages of the employee lifecycle, we identified key pain points in the employee experience. Coupled with robust analytics dashboards, we transformed these insights into data-driven, targeted action plans, ensuring tailored and meaningful interventions.

Improved employee services via digitalization

Access to efficient employee services on an online platform was made possible through the Company’s internal Employee Service Portal. To provide a delightful employee experience, the Company’s business units continued to utilize the Darwinbox human resource management platform with modules in Recruitment, Performance, Career Development, and more. Implementation of the Darwinbox platform was also expanded to more business units.

Embraced the hybrid environment to engage and recognize its people

Connections were built through groupwide and localized engagement and recognition initiatives. Likewise, employees adapted by socializing their values and culture through hybrid events accessible to both onsite and online participants, resulting in better choices for the Company’s people.

Great Place to Work Recertified

Building upon the Great Place to Work certification from 2023, the company has been recertified for 2024, demonstrating an ongoing commitment to fostering an exceptional workplace.

From Culture Awareness to Culture Connectedness

In 2024, the culture team of the Company’s Corporate Human Resources Group strengthened the integration of Company Purpose, Values, and Ambition (“PVA”) into working ways through the Culture Connect program, which created meaningful and fun conversations with employees.

Blood Donation Drive with Philippine Red Cross

As part of the OSH initiatives pursuant to the Company’s advocacy to provide impactful ways for individuals to make a positive difference in the lives of others and contribute to the overall health and well-being of the community, an onsite blood donation drive in partnership with the Philippine Red Cross was held in 2024.

B. Performance-enhancing mechanisms for employee participation

Rewards policy that accounts for the company’s performance in the long term

The Company firmly believes that good governance is the cornerstone of sustainable success. As JGSHI strives to attain excellence in corporate governance, the crucial role that rewards programs play in aligning the interests of our employees and stakeholders with the long-term goals of the company is recognized. The Company’s commitment to fostering a culture of accountability, transparency, and ethical behavior is reflected in the design and implementation of our rewards programs, which effectively account for the company’s performance in the long term.

Performance-Based Compensation

The Company’s rewards programs are structured to emphasize performance-based compensation, ensuring that the financial incentives provided to employees are directly linked to the Company’s long-term success. JGSHI has implemented a comprehensive system that combines individual and team performance metrics with strategic objectives, enabling the Company to reward employees based on their contributions toward sustainable growth.

Balanced Scorecard Approach

To account for the Company’s performance holistically, the Corporate Human Resources Group has adopted a balanced scorecard approach in our rewards programs. Beyond financial metrics, a wide range of key performance indicators (“KPIs”) that align with its long-term strategy, including customer satisfaction, innovation, employee engagement, social responsibility, and environmental sustainability, is considered. This approach helps foster a well-rounded performance evaluation and rewards system, where employees are incentivized to contribute to the Company’s overall success across multiple dimensions.

Performance Assessment and Goal Setting

The Company’s performance management philosophy is anchored on the employee’s ability to deliver the committed Company objectives. The employee’s ability is honed through the creation of his annual Individual Development Plan, regular feedback giving, and appropriate development programs. The Company is committed to equip employees to perform and deliver with the highest standards. Career conversations is at the heart of the performance management process to ensure that employees know their achievements and areas for development to sustain the delivery of the Company’s long-term objectives. These conversations also ensure clarity and visibility of goals through the annual year-end performance management review.

Transparent Communication

Transparency is fundamental to the Company’s good governance, and open communication throughout rewards programs is prioritized. Employees are given clear guidelines and expectations regarding their performance assessments, rewards criteria, and the Company’s long-term objectives. Regular communication channels are established to share updates on progress and reinforce the link between performance and rewards, fostering a culture of trust and accountability.

At JGSHI, rewards programs are designed to account for the Company’s performance in the long term through salary adjustments and merit increases, reflecting its commitment to good governance and sustainable success. By embracing performance-based compensation, adopting a balanced scorecard approach, engaging in regular performance assessments, and promoting transparent communication, rewards programs effectively align the interests of our employees and stakeholders with the Company’s long-term goals. Through these efforts, JGSHI demonstrates its dedication to fostering a culture of accountability, transparency, and ethical behavior, which underpins our pursuit of excellence in corporate governance.

C. Employee Trainings

The Corporate Human Resources Group of the Company conducts various trainings for its key officers and employees, as follows:

Leaders’ Conferences - strengthens enablement of skills for CHRO, CRO and OCFRO functions held in 2024.
Executive Development Program - catered to over 160 graduates, such as i.) Navigate: Leadership Foundations Academy (25 leaders); ii.) Orchestrate: ADVANCE and Executive Coaching (75 leaders); iii.) Win: Executive Assessment and Programs (215 leaders).
Individual Development Plan - With a KPI of 75%, CCU adoption exceeded this target at 82% compliance and 243 employees who submitted their IDPs.
LinkedIn Learning - ensure continuity and reinforcement of leadership learning via the online platform that can also help support self-directed learning.

II. Customers’ Welfare

The Company adopts customer relations policies and procedures to protect the customer’s welfare. This includes providing and making available the customer relations contact information, who is empowered to address and attend to customer questions and concerns.

III. Supplier/Contractor Selection

The Company follows the Supplier Accreditation Policy to ensure that the Company’s suppliers and contractors are qualified to meet its commitments. Besides the accreditation process, suppliers and contractors also undergo orientation on Company policies and ethical practices.

Supplier Accreditation Policy

IV. Creditors

The Company honors its contracted obligations and ensures the protection of creditors’ rights. The policy is posted on its website and may be viewed at: Protection of Creditors Rights Policy.

V. Communities

The Company conducts various projects for its communities discussed in “Shared Success” of the JGS Annual and Sustainability Report SEC Form (17A).