Dear colleagues,

As outlined in the joint announcement communicated on 7 May 2025, we are pleased to share more details on the upcoming timesheet and payroll system enhancements.

What’s Changing?

• Monthly Salary Calculation:
  • Salaries, which were previously calculated on a biweekly basis, will transition to a monthly calculation.
  • An advance payment will be paid on the 10th of each month. The remaining salary, allowances, and any additional allowances will be paid on the 25th of the same month.
• Updated Timing for Allowances:
• Allowances and additional allowances, which were previously paid on the 10th of the following month, will now be paid on the 25th of the same month.

What’s Not Changing?

• The pay dates (10th and 25th of each month) will remain unchanged. Only the salary calculation structure will change.
• There is no change to the payroll cycle, which continues to cover the period from the 25th of the prior month up to the 25th of the current month.

When Is It Happening?

• The new payroll system will be effective from the 10 July 2025 payroll.

Why This Change? – Key Benefits

• These improvements are being implemented in response to feedback from employees and trade unions during the collective agreement negotiation.

As part of this change, the following improvements will be introduced:

• Salary calculation will be simpler and clearer, especially when it comes to calculating salaries during leave. Previously, site employees had to carefully plan their leave in consideration of their roster to optimise pay. With this change, leave planning will be more flexible and easier to manage at any time.
• When calculating the average hourly rate, it is based on six (6) half-month salaries, but with this change, it will be calculated using the previous three (3) full month salaries. This will eliminate any confusion regarding the calculation of the average hourly rate.
• Pay slips, along with social insurance and tax contributions, will be presented in a more transparent and easy-to-understand format.

Additional Notes

• Employees who typically rely on early-month income to meet financial obligations, such as loan repayments, may need to adjust their personal financial planning in response to this change. To support this transition, the company will notify partner banks about the payroll system update and request their flexibility in adjusting employee loan schedules. We kindly advise you to proactively contact your respective banks to discuss any necessary arrangements.

To Learn More

For more details about the improvements, please refer to the attached FAQs.
You can also watch the videos at the links below for a comprehensive overview of the changes:

• Salary Calculation Improvements
• How will these improvements impact employees

This improvement is the result of a collective effort, and we sincerely appreciate your valuable feedback and active involvement in making it happen. We believe these enhancements will lead to a more transparent and user-friendly payroll experience for everyone.

If you have any questions or need further clarification, please reach out to your direct leader, HRBP, the HR Support and Services team, or the Payroll team (ext: 4040).

Regards,