GF CRR 22
GF CRR 22
GF CRR 22
Table of
01 Company profile 08 Community support
and engagement
02 CEO letter
contents 03 GF stakeholders
and CSR priorities
09 Sustainable manufacturing
10 Responsible sourcing
04 Governance 11 About this report
GF’s differentiated services and technology Since GF’s founding in 2009, we have
and feature-rich solutions enable our cus- invested more than $23 billion in our
tomers to develop innovative products for company to build a global manufacturing
an increasingly wide variety of applications footprint with multiple state-of-the-art
profile
multiple dimensions, making their products their supply chains require. We currently
more intelligent and intuitive, more con- operate five manufacturing sites, called
nected and secure, and more powerful and fabs, in: Dresden, Germany; Singapore;
energy efficient. Malta and East Fishkill, New York; and
Burlington, Vermont. These world-
Semiconductor technology is central to class manufacturing sites across three
our global economy and vital to the fabric continents provide the scale, technology
of everyday life. GF's feature-rich chips are differentiation and geographic diver-
in the laptop computers, smartphones, sification that we believe are critically
smart devices and automobiles we use every important to our customers’ success. Our
day. They are in the high-speed wireless scaled footprint also gives us the flexibil-
networks, data centers and multimedia tools ity and agility to meet the dynamic needs
that enable video conferencing in our homes, of our customers around the globe, help
schools and businesses and help humanity them mitigate geopolitical risk, and
stay connected. As technology continues to provide greater supply chain certainty.
accelerate and yield incredible new innova-
tions and advancements, semiconductors
will remain at the heart of this progress.
01
Hsinchu
Austin, TX
Trusted foundry
complex challenges, we offer a broad range Research & development
From 2020 through early 2022, GF has been recognized for outstanding employment practices, and
for exceptional CSR (Corporate Social Responsibility) and EHS (Environmental, Health and Safety)
performance with the following awards:
ESG (Environment, Social and Talent: Workplace; Diversity, Equity & • Capital: Best Employers in Dresden (2020,
Governance) Inclusion 2021)
• Institutional Shareholder Services (ISS): • Business Council of New York State: • Capital/Ausbildung.de: Germany’s Best
"Prime" Corporate ESG Performance, April Workforce Innovation Award (2022) Companies for Vocational Training (2020)
2022
01
• Global Equity Organization Awards: Most • Frankfurter Allgemeine Zeitung: German
• Responsible Business Alliance (RBA): 200/200 Innovative Plan Award for Employee Stock Innovation Leaders (2020)
scores in Validated Assessment Program (VAP) Purchase Plan (2022)
Audits at Fab 1 and 9 (2021), Fab 8 and GF • WELT: Best Employers in Germany (2020)
• Great Place to Work® Institute Singapore:
Singapore (2020)
Great Place to Work – Certificate™ (2022) • Plan Sponsor Council of America/PNC
EHS (Environmental, Health and Safety) Bank: Signature Award Financial Wellness &
• Albany Business Review: Leader in Diversity, Communication (2020)
• EHS Today: America’s Safest Companies
Equity and Inclusion Award (2021)
Award (2020)
• HIRE Vets: Medallion Award, Large Community: Philanthropy and
• Albany Business Review: New York Capital
Companies, Gold (2021) Educational Partnerships
Region’s Healthiest Employers Award – Fab 8
• Hudson Valley Community College (HVCC):
(2020 and 2021) • HR Online: Employee Experience Awards – GF
Foundation Philanthropy Award for STEM &
Singapore (2021)
• Vermont Governor’s Excellence Award: Education Partnerships (2021)
Worksite Wellness – Gold level – Fab 9 (2021), • Gold (Best Organizational Upskilling &
• Community Chest Singapore: Community
Silver (2020) Reskilling Strategy), Gold (Best Learning
Spirit Gold (2020)
and Development Program), Bronze (Best
• Casella Waste Systems: Sustainability
in-House Certification Program) • Singapore Children’s Cancer Foundation:
Leadership Award – Fab 9 (2021)
Appreciation Award Silver (2020)
• HR Online: HR Excellence Awards – Talent
• New York Power Authority (NYPA): Corporate
Management (Gold), Leadership Development • Lake Champlain Chamber: Community Impact
Sustainability Leadership Award (2022)
(Bronze) – GF Singapore (2021) Award (2020)
02 CEO
has kept our industry at the forefront of the
global economy. of GFS started trading on the Nasdaq stock
exchange. The culmination of more than a
letter
For GF, this created both challenges and decade of work to build a profitable, at-scale
tremendous opportunities for our business global semiconductor manufacturer with
and for our 15,000-strong global team. strong technological differentiation, GF’s IPO
Throughout the year, we kept the health and was one of Nasdaq’s largest IPOs of the year
safety of our employees and communities our and its largest semiconductor IPO ever.
top priority, working in partnership to protect
each other, and I am proud to report that we For me and for GF, focusing on Environmen-
did not experience any COVID-related out- tal, Social and Governance (ESG) is not only
breaks or shutdowns in any of our facilities. the right thing to do it’s also about making
enduring profitable business. In this Corpo-
2021 was an outstanding year for GF. rate Responsibility Report, I am pleased to
Capitalizing on the vital role we play in the share the results of our focused efforts in this
global semiconductor supply chain, we space that are yielding positive results. The
accelerated our business plan. We expanded report includes details of our many ESG wins
our global manufacturing footprint with and forward momentum in 2021 and into
significant capacity expansions at our 2022. And as proud as we are of what we have
sites in Germany and the United States, achieved together, our goal is to become
and we broke ground for the first time in a even better.
02 program, GlobalGives, grew 77% last Over the past year, GF has named three ISS (International Shareholder Services).
year. Together, the GF team supported experienced leaders as independent The ISS score encompasses a wide range of
more than 1,100 individual charities, directors of our company’s board of ESG topics and metrics from operational
donating nearly $400,000 USD through the directors: Elissa Murphy, a vice president of eco-efficiency and climate change strategy
GlobalGives platform to support nonprofit engineering at Google; Dr. Bobby Yerramilli- to human rights standards, community
organizations. GF was proud to match Rao, chief strategy officer and corporate involvement, and reporting transparency.
these employee donations. Globally, GF vice president of corporate strategy at
and our team also supported critical causes Microsoft; and Jack Lazar, who brings more GF Technology Solutions for Humanity
including social justice, disaster relief than 30 years of experience in operational
and finance roles at several public and Our industry is expected to grow more
and STEM education. In total, GF and our
private companies. in the next decade than it did in the past
employees donated nearly $1.2 million USD
50 years, and GF is stepping up to do its
through GlobalGives in 2021, giving back
Perfect Responsible Business Alliance part as we work to address the growing
to our communities across the globe and
(RBA) Audit Scores demand for technology innovation for the
making a difference.
Our Fab 1 site in Dresden received a perfect betterment of humanity. As we focus on the
score (200/200) in its first RBA audit, the sustainability of our own operations, the
conducted in 2021. These comprehensive semiconductor solutions we manufacture
audits evaluate ethics, labor, health and also enable our customers to innovate
safety, and environmental programs and new products to help achieve their own
sustainability and efficiency goals.
GF stakeholders
03
and support Diversity,
surveys, investor engagement, CSR topics
equity &
04
responsibility for ensuring appropriate
executive officer of the company. The party transactions; GF’s ESG programs;
governance across the organization and
Board regularly meets in executive sessions cybersecurity, privacy, and information
establishing the “tone at the top.”
without management present. More details technology; and the independence,
The Board reviews and determines the about the Board of Directors, including qualifications, appointment, remuneration
company’s strategy; monitors and assesses Directors’ biographies and experiences and performance of the company’s external
the company’s financial performance and the Board’s practices are available in auditors. The ARCC regularly meets
and health (including financial and non- GF’s Form 20-F Securities and Exchange with the company’s external auditors
financial metrics); establishes and monitors Commission (SEC) Filing. without management present. Two of the
effective compliance systems and policies three Committee members have been
Board committees determined by our Board as “independent”
to ensure effective management of risks
Four Board Committees support the for audit, risk and compliance committee
and compliance with laws; determines
Board in carrying out its governance purposes as defined by the rules of the SEC
the structure and compensation and
responsibilities: Audit, Risk & Compliance; and the applicable rules of the Nasdaq.
oversees the performance of GF’s executive
People & Compensation; Nominating and The company intends to have a fully
management; and ensures that corporate
Governance; and Strategy & Technology. independent ARCC within one year from the
governance standards are implemented and
Each Board Committee operates pursuant effectiveness of our initial public offering
maintained and that obligations, including
to a separate charter adopted by our Board, registration statement, as permitted by
reporting, to shareholders, are met. All
and conducts regular self-assessments. applicable requirements.
Board Committees review their charters
annually.
04 annual basis.
Human rights
tions. We also believe in providing internally
equitable and externally competitive rewards
ESG governance and benefits that help foster employees’
GF is committed to protecting fundamental physical, financial and emotional well-being.
The Board oversees the Company’s human rights. GF’s Global Human Rights We follow applicable laws and meet or exceed
ESG matters and programs through Policy formalizes this commitment and wage and mandated benefits.
the ARCC. In addition to the oversight highlights the human rights principles that we
provided by the Board and the ARCC, incorporate into our operations: GF’s Human Rights Policy, together with
GF maintains a Stewardship Committee GF’s Code of Conduct, is aligned with the
which is responsible for setting strategic We provide a safe, fair and inclusive Responsible Business Alliance Code of
direction, conducting management reviews, workplace based on a culture of respect, Conduct (“RBA Code”), which is a set of
and providing guidance and approval dignity and integrity. GF strictly forbids all globally recognized social, environmental
regarding ESG related topics. These forms of child labor and forced, compulsory and ethical industry standards. As a regular
include GF’s EHS and CSR management or trafficked labor in the operation of our member of the RBA, we stand committed
systems, climate risk mitigation, Human business and in our supply chain. We respect to the RBA Code, continuous pursuit of
Capital Development, Diversity & the rights of employees to associate freely excellence in corporate responsibility and the
Inclusion, and Supplier Responsibility. and have a zero-tolerance policy against RBA Code’s escalation into our supply chain.
The Stewardship Committee membership harassment, including sexual harassment, or GF’s Human Rights Policy aligns with inter-
includes executives representing the discrimination based on age, ancestry, color, national norms and standards, including the
04
with our customers and suppliers. GF
an extra level of security and integrity in
SHIELD integrates information security, The GF SHIELD Core Team (made up the production process. In addition, we
product security, operational security, of the GF SHIELD Regional Task Force maintain ISO 27001 (Information Security
and cyber security into a comprehensive leaders) coordinates strategy and Management) certifications for Fab 1 in
program that covers all phases of the tactical deployment of GF SHIELD Dresden, Fab 7 in Singapore, and Fab 8 in
customer experience. From the initial protective elements across the four Malta.
meeting, through development, design, disciplines of Information, Cyber, Product
fabrication, delivery, and even disposal and Operational Security. GF SHIELD
of product-related scrap—and every Regional Task Forces then work within
step between—GF SHIELD is in place to their geographic region to implement and
ensure a customer’s products and sensitive measure compliance to GF security policies
information remain secure. Annually, we at an operational level.
conduct comprehensive security training
for all employees, covering Information The GF SHIELD program leverages and
Security, Cybersecurity, Operational embraces GF’s experience as a Trusted
Security, and Product Security. Each Foundry and supplier of advanced
training module is updated at least annually, semiconductor to the U.S. government
and employees are assigned one of the four and the aerospace and defense industry,
05 Health, safety
The GF Journey to Zero emphasizes that all activities performed at GF manufacturing
injuries are preventable, and together we sites. It is certified to the ISO 45001
can create a culture where the expectation Health and Safety Management Systems
which was 0.2. During 2021 there were zero U.S. BLS 2020 Average
0.4
work-related fatalities or high-consequence Lost Time Injury Rate
0.19 (NAICS 334413)
work-related injuries2 affecting GF employees 0.2
0.09 0.10 0.10
or contractor employees performing work 0
at GF fab sites. For both GF employees and 2018 2019 2020 2021
contractors, the main types of work-related
injuries were struck by or against cases,
followed by caught in or between cases, as
well as slip /trip/ fall cases.
2
High-consequence work-related injury: As defined per GRI 403: Occupational Health and Safety 2018, this is a work-
related injury that results in a fatality or in an injury from which the worker cannot, does not, or is not expected to
recover fully to pre-injury health status within 6 months.
05
a comprehensive “Playbook” for GF regular communications from our CEO and
employees. GF follows at minimum his leadership team, and targeted questions
all applicable COVID-19 regulatory in our global ONEGF Surveys regarding our
requirements, including hygiene and social COVID-19 response.
distancing measures, employee testing
schemes and vaccination status tracking. Since the beginning of the global COVID-
We continuously monitor key indicators 19 pandemic in 2020, our health teams,
such as case rates normalized to regional in close cooperation with our Epidemic
populations, virus variant occurrence, Management Teams, continue to provide
testing volumes and test positivity rates, employees with assistance and information
and vaccination rates, along with regional on how to stay healthy and well, both
healthcare capacity. These indicators form physically and mentally. This includes
the basis of decision-making regarding offering COVID-19 vaccinations and booster
whether to increase employee populations shots to our employees, up to date tips
06 Technology connectivity, computing and many others. must be reduced. Chips designed and
manufactured with GF differentiated
Driving Progress in Electric Vehicles (EVs)
solutions for
technologies make possible new battery-
management systems (BMS) that address
The world is rapidly moving toward the
these needs in the harsh, real-world
electrification of vehicles, with the goals
humanity
environments in which vehicles operate.
of reducing the impact cars, trucks and
buses have on the world’s climate; reducing Edinburgh, Scotland-based Dukosi
localized air pollution; and using energy Ltd has developed an advanced BMS
resources more sustainably. According to based on GF technologies. Dukosi’s BMS
EV-Volumes.com, the electric vehicle world chipset transmits data on the health of
sales database, global EV sales totaled some an EV battery’s individual cells wirelessly,
6.75 million units in 2021, representing eliminating more than 95 percent of the
108 percent more electric and plug-in hybrid cables currently required to monitor the
passenger vehicles, light trucks and light temperature, health and state-of-charge in
commercial vehicles than the year before. EV battery packs. This allows designers to
Many automakers have announced plans to re-architect EV battery systems for higher
electrify significant portions of their lineups and more reliable output through greater
over the next 10 years. cell density while also reducing weight.
06 current needed by EVs, using components on-chip (SoC) for ADAS applications. rates, range and battery performance.
called AC-to-DC converters. These require Next-generation smartphones require
chips with specialized power-management Enabling better, more energy-efficient mmWave front-ends to connect over
features, and GF’s wide offering of such wireless devices and networks >24GHz frequencies for even higher data
solutions enables our customers to rates, and GF technology enables highly
design EV charging stations with high A veritable revolution is taking place in the efficient mmWave solutions for lower
levels of conversion efficiency and cost- use of wireless technologies to address average power consumption.
effectiveness. Higher efficiency shortens climate, sustainability and social needs,
the time needed to charge a battery and, and GF solutions are playing a big part of it. Smartphone innovations that maximize
therefore, enhances the market appeal of Our differentiated technologies are used to the user experience and thereby increase
EVs over traditional internal combustion create high-performance, energy-efficient user engagement are a big driver of the
engine vehicles. GF technologies are also RF front-ends, transceivers, display drivers, wireless revolution, and our technologies
being used for entirely new applications low-noise amplifiers, power amplifiers, are helping to drive them. For example, GF’s
designed to further increase the efficiency power management and other circuits customer Cirrus Logic uses our solutions to
of EVs. One is drive-by-wire technology, essential for device connectivity. They design low-power, high-performance audio
which uses an electrical signal rather than a are also used to modernize and enhance amplifiers for smartphones, giving users the
physical connection to connect the steering the capabilities and energy-efficiency of benefits of outstanding audio quality and
wheel to the wheels, reducing an EV’s bill of wireless network infrastructure, including longer battery life.
materials and its weight. reducing the physical size of infrastructure
06 of things
energy that otherwise would be required customer GreenWaves Technologies
for transportation and to power office uses GF technology as the foundation of
GF’s solutions specializing in low power, a low-power IoT processor for the fast-
buildings and campuses.
RF and system-on-chip integration also growing hearables market. Hearables is
GF’s solutions are also unlocking the vast enable our customers to develop new the term for electronic in-ear devices,
potential of 5G and future 6G wireless wireless Internet of Things (IoT) devices such as earbuds. GreenWaves’ GF-based
communication networks to meet climate, and applications that lead to greater processor makes possible the long battery
energy and social goals. One example operational efficiency, reduced energy use life, state-of-the-art sound quality and user
is the growing use of 5G technology to and conservation of resources. Smart utility experience, by significantly reducing the
route, track and monitor goods in real- meters for water, gas and electricity are one energy required for typical activities such
time. This real-time capability provides such application. as music playback, active noise cancellation
greater visibility into supply chains and and voice commands, and by using artificial
Smart meters measure and monitor
leads to major improvements in logistics intelligence to free up power to improve
consumption, and then communicate
efficiency. According to industry studies, audio quality.
the data wirelessly to utilities and
these improvements have the potential to
municipalities, who benefit in many ways. Energy-efficient solutions for
reduce annual emissions by 55 million tons
Utilities can reduce their distribution computing and control
of carbon dioxide equivalent (MTCO2e)
costs, minimize waste, increase production
emissions, through substantial reductions in
efficiency and accelerate cash flow. “The electrification of everything” refers
the use of gasoline and diesel fuels.
Municipalities can use the data to operate to the fact that electricity—increasingly
06 IoT networks and HVAC equipment, to home same chip with high-performance CMOS to develop new, much more efficient
automation, medical, automotive and other logic and RF functions. GF customers are computing architectures and algorithms
systems too numerous to mention. using GF Fotonix to develop next-generation to get around the power bottleneck,
optical interconnects for data centers, and to open up new AI horizons using GF
GF’s portfolio of differentiated technologies, taking advantage of the fact that photonic technologies.
and its sophisticated design tools, enable interconnects for data transmission is much
customers to develop highly integrated more energy-efficient than copper-based One way this could be accomplished is
microcontrollers with sensing, logic, memory, interconnects for high bandwidth data center with optimized processing accelerators
power management and communications applications. The technology ultimately will built to resemble memory architectures.
functionalities, along with high levels of enable the reconfiguration of data centers to Often referred to as “compute-in-
energy efficiency, for the control of electri- increase the total overall energy efficiency of memory” devices, they can perform
fied systems. data transport for machine learning/AI. computing operations in parallel, making
them ideal for AI computations but at
High-performance computing and GF is also developing the GF Fotonix platform
substantially lower total power. This will
artificial intelligence (AI) to enable new ultra-low-power photonic
enable a greater use of AI at the network
computing paradigms, including wafer-
edge, such as in IoT devices, where GF
Much of the world’s high-performance, scale photonic neural network processors
technology offers a strong combination
data-intensive computing takes place in data and photonic quantum computation. Both
of computing performance and energy
centers, which are heavy users of electricity. will offer substantial energy reduction per
efficiency.
Electricity use continues to rise as data centers computing task.
06
management can increase employee efficiency and safety than silicon, and one major area of growth
while reducing energy use and waste. for GaN technology is in systems called
GF’s differentiated technology solutions inverters. Inverters are used to convert DC
are being used to address climate, GF also offers augmented/mixed/virtual power from solar farms to AC power for use
sustainability and societal needs in many reality (AR/MR/VR) solutions for novel in homes and businesses, to control electric
other applications as well. Smart sensors HMI applications that can lead to new motors in EVs, and to make many other
are one example. A smart sensor is a device human-machine engagement paradigms. applications more efficient.
that takes information from its physical One possibility is to use these capabilities to
environment and uses its embedded logic reduce the need for business travel and its Meeting the needs of humanity
and wireless capabilities to monitor various associated emissions by enabling increasingly
scenarios and systems. GF technologies are realistic virtual meetings, with the goal of GF’s differentiated technology solutions
used to build many types of smart sensors achieving true “holographic telepresence.” offer compelling value to customers and
for automotive applications, such as remote To help make this and other applications to society at large. While the functional
sensing (radar or lidar, Light Detection possible, GF has formed a strategic attributes of our differentiated solutions
and Ranging), image sensing and motion partnership with Compound Photonics, a differ, what they all have in common is their
detection around a vehicle. By helping leader in microdisplay solutions for AR/MR ability to help customers address their most
drivers avoid collisions, these systems can systems. The goal is to develop a real-time pressing challenges in ways that minimize
save human lives, reduce traffic congestion holographic consumer AR experience, based climate impacts, use as few resources as
and extend a vehicle’s useful life. on smaller, lighter AR glasses that last longer possible, and help to create products and
systems that meet human needs.
equity &
perspectives of our team and communities. discrimination based on age, ancestry,
GF’s culture of inclusion leads to higher color, marital status, medical condition,
levels of belonging, engagement, retention, mental or physical disability, national origin,
inclusion
and ultimately higher-performing teams. race, religion, political and/or third-party
Our values of Create and Deliver speak affiliation, sex, sexual orientation, gender
to “what we do'' as a company while identity or veteran status. We also respect
development
encourages each individual to do their best
work and be the best version of themselves. inclusion as a company and as individuals,
we collectively share ownership in how
We are committed to leveraging, embracing DE&I are embedded in all we do. The core
and expanding upon the diversity of our foundational elements of GF’s strategy
team as a competitive advantage in our include:
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 34
the external and internal impacts of these issues. Employee Resource Groups (ERGs) are individualism while continuing to build an
We also facilitate listening circles and roundtables to another important element for creating a inclusive culture within GF that promotes
inform our strategy going forward. We are passionate culture of inclusion and to help support the recruitment, retention and professional
about our future and the company we are becoming, needs of under-represented populations. advancement of Black employees.
including taking action to embrace a more socially ERGs are voluntary, employee-led groups
conscious culture. GlobalFamilies provides a community for
that foster a diverse, inclusive workplace
employees and their families and shares
aligned with GF's organizational mission,
Increasing inclusive leadership and building helpful resources to promote work-life
values, goals, business practices and
a culture of inclusion is a key objective balance. It focuses on growing the GF
objectives. At GF, the benefits of ERGs
of our DE&I strategy. GF’s cornerstone community, connecting families through
include the development of future leaders,
executive education program, LEADING@ outreach, providing helpful resources such
increased employee engagement and
07
GF, includes custom Inclusive Leader as expecting parents bootcamp, and hosting
expanded marketplace reach:
training on unconscious bias, cultural special events for GF families to come
competencies, inclusion, allyship, social GLOBALWOMEN (GW), GF’s largest together.
tolerance and equity. All managers are employee resource group is an alliance
United States Veteran's Resource Group
required to take unconscious bias training of 1500+ women and men working in
(VRG) builds our veteran talent pool,
and a series of learning modules have been partnership to drive initiatives that support
fosters a professional network and supports
developed for managers to understand the professional development of women
veterans throughout the community. Their
where biases show up in promotions, at GF. Each of the company’s locations
motto is SERVE: Support, Empower and
performance management, hiring and has a local chapter, offering events such
Recognize Veteran Expertise.
everyday interactions. This training ensures as networking and mentoring, executive
all leaders know how to foster an equitable and guest panel discussions, professional Early Career and Tenure Resource Group
and inclusive culture and lead with humility. development opportunities, external cultivates a community that welcomes
It reinforces that our managers are the conference participation, and STEM employees within the first years of their
face of DE&I within their organizations community education programs for women. career by focusing on camaraderie, career
and that inclusion at GF means everyone’s growth and community.
contributions are welcome, all perspectives Black Resource Affinity Group (BRAG),
are heard and valued and every person has a whose mission is to foster an environment Hispanic/Latinx Resource Group, Unidos,
sense of belonging. that embraces diverse experiences of Black empowers and encourages Hispanic/
employees, provides a safe place to express Latinx employees through collaboration
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 35
and sharing across GF, serves as a resource for Employee engagement and feedback managers are required to build action plans
professional development and networking, fosters to address specific areas of improvements.
Our biannual engagement survey process takes
a community of support, respect and advancement
the pulse of employee sentiment with an 80 Workforce composition
and builds Hispanic/Latinx representation at GF.
percent participation on average. Each survey GF is committed to expanding the diversity
LGBTQ+ Resource Group, Pride@GF, is dedicated design focuses on engagement, employee sat- of our team, which leads to greater success
to providing an inclusive environment for members isfaction, belonging and manager effectiveness. in our global markets. The composition of
of the LGBTQ+ community and their allies, Other emerging themes are covered to ensure our global workforce by region, gender,
empowering employees to bring their full employee feedback is understood as we contin- employment type (regular / temporary)
selves to work, and informing and guiding uously develop actions to create and sustain the and nature of contract (full time / part time
GF to create a culture of inclusion. It offers work environment our people seek. The pulse contracts) is presented in Table 2, while
07
a safe space where members can voice survey provides quantitative and qualitative data Table 3 provides an overview of the compo-
concerns and take actions to foster a more on how we are building a culture of inclusion and sition of our global workforce by employee
supportive environment for LGBTQ+ engaging with our employees. Company results category and gender. Table 4 and Table 5
employees. Pride@GF aims to educate, and actions are shared with all employees at CEO provide additional information about our
raise awareness and share information quarterly Globalcast and townhall meetings. All U.S. workforce and leadership composition.
about issues that affect members of the
LGBTQ+ community at GF, while providing Table 2. GF’s workforce composition
opportunity for mentoring, networking
by region, gender, employment type and contract (as of December 31, 2021)
and cultural appreciation. Region All employees All employees Regular Temporary** Full time Part time
Male 77.7% 98.9% 1.1% 98.9% 1.1%
U.S.* 43.1% Female 21.5% 98.5% 1.5% 97.8% 2.2%
AAPI Resource Group, ASIA (Asian Society All 99.2% 98.1% 1.2% 97.9% 2.1%
for Inclusion and Awareness) together Male 65.5% 98.4% 1.6% 100.0% 0.0%
with their allies, is dedicated to creating Asia Pac 33.8% Female 34.5% 98.5% 1.5% 99.9% 0.1%
All 100.0% 98.4% 1.6% 100.0% 0.0%
an inclusive and socially just environment Male 82.5% 95.1% 4.9% 74.6% 25.4%
for Asian American and Pacific Islanders EMEA 23.1% Female 17.5% 92.8% 7.2% 67.8% 32.2%
by supporting and promoting interests All 100.0% 94.6% 5.3% 73.4% 26.6%
Male 74.7% 97.8% 2.2% 93.0% 7.0%
of the community through networking,
All GF 100% Female 25.0% 94.6% 2.4% 94.0% 6.0%
mentoring, awareness and action to affect All 99.6% 97.4% 2.3% 92.9% 7.1%
meaningful change in our community. * 0.8 percent of U.S. employees (equals 0.35 percent of total) have not self-identified or not disclosed their gender
** Temporary employee category includes contingent workers (equals 0.2 percent of total) as well as other employees,
such as apprentices, students, and interns (equals 1.9 percent of total).
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 36
Table 3. GF’s workforce composition by gender Table 4. GF U.S. workforce composition by ethnicity
(as of December 31, 2021)+ (as of December 31, 2021)°
07
Two or more races 1.4% +0.2%
Non-technical roles 74.4% 25.6% +0.5%
Native American / Alaska Native 0.3% 0.0%
All managers++++ 79.3% 20.7% +0.7%
Native Hawaiian or Pacific Islander 0.1% 0.0%
Directors and above 81.8% 18.2% +0.4%
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 37
Talent development strategy employee potential, creating future Leadership, employee, and
leaders and innovating solutions that technical development programs
People are at the heart of everything we do. We are changing the world. Between our GF’s talent development programs are
strive to build internal talent pipelines by providing enterprise-wide development and talent offered in every location around the world
our people with the right tools and support to management programs, our extensive and create an optimal infrastructure
proactively grow their careers within GF. We focus new hire orientation programs, required to enable internal skill building and
our efforts on talent enrichment platforms designed annual compliance training, and on-the-job career mobility to sustain our internal
to create the next generation of innovators, training, one hundred percent of our world- talent pipeline. We focus on leadership
promote a culture of curiosity and cultivate wide employees receive training every development, professional skill refinement
skills for powerful tomorrows. Our year. The typical path of training includes and technical innovation. We have a multi-
progressive, people-related development new hire orientation to start GF careers off tiered strategy for leadership development,
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 38
level. These programs provide deep subject matter outside organizations. Whether instructor led, web-based, on-the-job or professional
expertise for excellence in role and attainment development, training hours are equitably shared across genders and career ladders
of deep levels of technical mastery. The top yielding a consistent investment across all employee types.
technical training programs offered to technicians
globally include Maintenance Safety and Control
of Hazardous Energy, Factory Systems Training,
which provide specific software system training, and Table 6. Average training hours for active GF employees:
Module and Semiconductor Manufacturing Instructor led & web-based training
Process Overviews. Key curriculum for
engineers includes Statistical Process GF 2021 Global training hours statistics
Control (SPC), Semiconductor Process and
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 39
Some of our featured programs and learning a new topic to explore to improve to mentors and sponsors. Worldwide,
resources include: manager effectiveness and enhance several hundred employees participate
manager/employee relationships. With in our Global mentoring program with
• GF offers custom curated DE&I content the pilot complete and upgrades in development conversations focused on
to enhance belonging, inclusion, con- place, this program is positioned for technical innovation, leadership devel-
nectivity and cross-cultural awareness great impact in 2022. opment, global teamwork and numerous
while providing mandatory global other topics.
• GF partners with several universities
manager education on unconscious bias.
and external affiliates on talent • GF employees have access to thousands
Completion rates for assigned manager
management strategies which includes of online, self-paced courses in skill
training were above 90 percent within
continuing education for employees, development topics ranging from commu-
six months of assignment with the intent
07
leadership training, executive assess- nication to computer programming. New
to provide continuing education for all
ments and coaching, and specific courses are added weekly, and employees
GF leaders worldwide on these emerg-
programming that focuses on women are regularly challenged to expand their
ing and critically important topics.
globally and underrepresented minori- knowledge through a variety of recom-
• Global compliance modules are ties in the US. mended content and custom curated
assigned to all worldwide employees playlists. Over half of our workforce
• Engagement and Collaboration
and require annual recertification to actively engages in online learning with
offerings provide development options
ensure all GF employees are aware of nearly 14,000 hours of viewed content
designed to improve emotional intelli-
universal expectations that govern and more than 275,000 videos viewed
gence, communicating with clarity and
our work and behaviors. For additional annually.
impact, and proliferation of respect in
information on GF Code training, please
the workplace. Most popular online course topics:
see chapter 04 Governance.
• The GF Global Mentoring Program ∙ Business Software and Tools (2,385 hours);
• Leadership Foundations was a new utilizes an online matching software to
program launched in 2021 as a leader- ∙ Professional Development (2,091 hours);
connect employees with ideal coun-
ship competency development series terparts and supports the cultivation ∙ Data Science (1,836 hours);
designed to help front-line and mid-line of meaningful mentoring relationships.
managers grow and refine their skills, ∙ Software Development (1,836 hours);
We have built a mentorship campaign
network with other leaders and deliver in our succession and talent planning ∙ Leadership and Management (1,077 hours).
stronger results. Each quarter features which ensures mentees are connected
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 40
Workforce development: Growing future • College/University Internship programs Performance management at GF
GF talent (US, Germany, Singapore) enable Our performance management process
GF has a targeted approach to working with university students to gain valuable is designed to help GF employees and
educational institutions and local and regional paid experience in the semiconductor managers align and engage in goal setting
government organizations to grow and strengthen industry, while giving GF early access to and professional development planning
the STEM workforce in our regions. We engage with hiring this talent. to ultimately deliver results for our
all stages of the education pipeline, from primary/ • Through participation in industry company, and for our employees’ future.
elementary school through secondary/ advisory boards and curriculum advise- All GF employees participate in an annual
high school, technical education schools, ment, GF engages with local technical performance management process to
colleges and universities. education schools, community colleges, ensure clear goals and expectations
for business results. Our performance
07
and universities to develop and align
We have created numerous pathways into management process enables managers
curriculum that meets the needs of the
a career at GF, with many opportunities for and employees to partner to establish
semiconductor industry.
further growth and advancement once here. goals and development plans in January
• In 2021, GF Fab 8 donated $500,000 of every calendar year or within 90 days of
• Apprenticeship programs are a key to Hudson Valley Community College hire. Managers also use their one-on-one
pathway at our Malta, NY, Burlington, in NY to expand their north campus engagements with employees to monitor
VT and Dresden sites. With a high building to further expand STEM and review contributions and engage in
school diploma or equivalent, students degrees. The expansion will also support feedback throughout the year.
can enter GF enter as a full-time paid GF’s Apprenticeship program, where
Apprentice, receive on-the job-training, employees will be trained in related Feedback is required to be exchanged in
and attend college courses at no cost to instruction. the middle of the year and at the end of
them, towards a further degree. • To build excitement and inspiration for the year. Formal written documentation is
STEM careers, we engage in education maintained through goals forms housed in
• Technician Internships programs at
outreach in our local regions through our human capital management system. The
our fab sites in the US, Germany and
science and engineering fairs, STEM key components of this process include goal
Singapore give hands-on paid experi-
expos, career exploration events and setting, development planning, feedback
ence to students enrolled in a college
more, and by leveraging our external discussions, mid-year feedback exchange
program.
virtual resource STEM@GF. and an annual assessment. Performance
management also includes clarifying role
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 41
expectations and deliverables; providing constructive In addition to market competitive pay, work, alternative work hours, alternative
feedback on performance; highlighting employee we continuously evaluate our various HR work arrangements, vacation and time
strengths, identifying areas for improvement, and programs to ensure internal equity and off programs, world-class parental and
creating development plans to enable personal and fairness—because treating our employees other leave programs; career development
professional growth. It is through these important fairly is the right thing to do. This includes programs, such as educational assistance,
discussions that the manager/employee relationship regular review of our compensation global mobility opportunities, and
grows, skills are developed and refined, and high practices throughout the employee professional and career skills development,
performance and results delivery is unlocked. life cycle, considering factors such as and other location-specific benefits.
an employee’s role and experience, the
Compensation & benefits location of the job and their performance GF has designed solutions to address
and we make adjustments, if appropriate. the needs of the whole person to better
07
Our compensation philosophy is support our diverse workforce and offer
fundamental to the goals of our talent For our global benefits programs, our goal a more inclusive culture that allows
strategy in attracting, retaining and is to achieve a balance between global employees to better integrate their life into
motivating a talented and diverse standardization and local customization, work at GF and improve well-being. Our
workforce that results in differentiated while offering our employees protection and best-in-class paid maternity leave program
business performance. We provide robust flexibility with their benefit offerings. We provides our colleagues with a minimum
compensation and benefit programs, recognize that benefit environments vary by of 20 weeks across all locations. GF Flex
which consist of base salary and variable country, and therefore the type of benefit solutions address the needs of today’s
pay programs, such as annual bonus (based plans we offer reflect the prevailing local workforce by offering more flexible work
on corporate performance), quarterly market practices and employee needs. GF is solutions to support employees' work-life
performance-based manufacturing bonuses committed to offering high-quality benefit integration and well-being. GF Flex offers
and sales incentives. For eligible employees, options that are affordable, competitive remote work options, part-time, flexible
we also offer stock-based compensation and sustainable for employees and their hours and options for holiday use. We are
consisting of Restricted Stock Units and families across the globe. Benefits under this creating a culture that gives employees the
Performance Share Units. We conduct strategy include risk protection benefits, flexibility to integrate their career and home
regular and extensive market analysis to such as healthcare and life insurance; lives. GF Flex is an important offering to
ensure that our compensation levels and financial benefits, such as retirement savings retain critical talent and enhance work life
programs are market competitive. plans and in some countries pension plans; balance. GF is committed to developing and
flexible work programs , such as part time enhancing programs that focus on the whole
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 42
person, helping them better manage their work To support our employees during the global
and family. At GF we are most successful when our COVID-19 pandemic crisis, GF introduced
employees can contribute their value in a way that new and enhanced benefits for all
works for the business, themselves and their teams. employees, to help team members remain
healthy, care for family members and face
In 2022, we implemented a new Employee Stock other challenges arising from the pandemic.
Purchase Program (ESPP) for all employees in These include emergency paid leave for
all countries, and over 80 percent of our eligible employees who are unable to work on-site
employees currently participate in this or remotely, and quarantine paid leave for
ownership program. Also in 2022, our employees who are directed to quarantine
ESPP- was recognized by the Global Equity by their physician or health authority. We
Corporate Responsibility Report 2022: Human capital – diversity, equity& inclusion and talent development 43
GF is as committed as ever to our mission, vision and values. This includes our commitment
to community involvement and support for the well-established programs and teams
dedicated to enriching the lives of people around the globe. As ONEGF, we not only
deliver technology for humanity, but also pride ourselves in giving to and supporting the
communities we call home.
It is easy to live our mission, vision and STEM (Science, Technology, Engineering
values when it is convenient to do so, but and Mathematics) and digital skills
it is during the most difficult times that
GF pushes itself to rise to the challenge. From its inception, GlobalGives has held a
Our response to the needs of those in special place for STEM education, funding
08 Community
our communities validates who we are as localized programs in every GF location to
a company. Embracing our community is help foster a love of Science, Technology,
integral to our company identity, connecting Engineering and Mathematics in underserved
08
Schools, teachers, parents and students • “Jugend Forscht” (Youth in Science) in institutions to better address the
can explore hands-on activities and Saxony – in combination with the junior needs of underprivileged students.
videos to learn about different career program “Schüler Experimentieren Examples of 2021 programs include:
pathways into GF. STEM@GF is often Saxony” (Students Experiment Saxony),
∙ Equipment donations to establish a
augmented by additional site-specific Jugend Forscht is a regional competi-
science lab (Bangalore, India);
programs. For example in 2021, GF tion, sponsored by GF Dresden since
Fab 8 in Malta, NY donated Google 2009. It rolls up to the federal “Jugend ∙ Donations to Teach for Bulgaria
Chromebooks to schools in the New forscht” (“Young Scientists”) compe- Foundation, which aims to provide
York Capital Region to enable students tition. The renowned Germany-wide access to quality education to every
to participate in online and hybrid competition encourages young people child (Sofia, Bulgaria);
classroom learning as the pandemic with scientific and creative talents to
continued to plague school districts. put their ideas into practice (Dresden, ∙ Equipment donations that enabled
Germany). the launch of a new Robotics Club for
• GLOBALGirls – this annual summer
English as a Second Language (ESL)
STEM camp for middle school girls was • New York State Pathways in
Technology (P-TECH) - GF is a strong students (Santa Clara, CA).
launched in 2017 to help address the
gender gap in manufacturing and inspire business partner in this Early College
the next generation of female science High School program and provides
and technology leaders (Malta, NY; East mentorship and engagement with
Fishkill, NY; Burlington, VT). students in the areas of advanced
manufacturing
build new sites. They cover a wide range of
customers, suppliers, partners, academic environmental topics, including Air Quality,
and governmental bodies, and industry Climate Protection, Chemical Management,
consortia to drive continuous environmental Industrial Wastewater, Product Compliance,
improvement in semiconductor Resource Conservation and Pollution
manufacturing beyond the limits of our Prevention, Stormwater and Groundwater
own company. We engage internally and Protection, and Waste Management. They
seek employee participation because we are reviewed and updated periodically as
know that some of the greatest ideas for best practices evolve. The GF Global EHS
environmental sustainability are generated Standards are complimented by assurance
by our global workforce. programs that govern regulatory compliance
auditing and compliance assessments
GF’s Global EHS Policy and Standards are
focused on the “beyond compliance”
the foundation of our multisite ISO 14001
elements of the Standards.
certified Environmental Management
System. They are performance standards
09
Over the past three years (2019–2021),
and greenhouse gas emissions. to measure progress in environmental
GF realized the following annualized savings:
efficiency against our normalized targets.
Even further upstream of our direct Table 7 shows our achievements at year-end
operations, GF funds research 86.2 GWh electricity 2021 relative to the 2019–2021 resource
in collaboration with university conservation goals.
and industry partners to identify
innovations to further reduce
the semiconductor industry’s 1.486 million m³ water
environmental footprint. These
partnerships address some of
our most material environmental
56,300 metric tons carbon
topics, such as to explore novel
equivalents of GHG emissions
process chemistry solutions, 3
We normalize data from operations using an industry standard
Manufacturing Index (MI). The MI is derived from the number
explore innovative solutions for of wafers manufactured, the number of masking steps in our
GHG emissions reduction and fabrication processes (reflecting process complexity), and the
18,100 tons of chemical use and
abatement, as well as to identify total area of wafers produced. The normalized target rates are
corresponding waste generation reductions as compared to the 2018 baseline normalized rates.
new technologies for specific Following the divestiture of our former Fab 3E at the end of
wastewater treatment processes. 2019, the 2018 baseline normalized rate has been recalculated
by removing the Fab 3E contribution to correctly reflect the
change in operational boundary.
Achieve savings in annual electricity use of 86 gigawatt hours (GWh); Achieved annual savings of 86.2 GWh meeting goal value
Electricity Achieve 15 percent reduction of normalized electricity Achieved normalized reduction of 23 percent exceeding
consumption goal value
Achieve savings in annual water use of 340,000 cubic meters (m³); Achieved annual savings of 1,486,000 m³ exceeding goal value
Water Achieved normalized reduction of 22 percent exceeding
Achieve 10 percent reduction of normalized water consumption;
09
goal value
Recycle and reuse at least 65percent of non-hazardous waste Achieved a recycle and reuse rate of 64 percent of non-hazardous
generated across the company for our 2021 operations. waste in 2021 (98 percent of goal value)
09
GF extended our Journey to Zero theme to climate change, in August 2021 we
• Water: announced our Journey to Zero Carbon
and developed a new generation of resource
conservation goals to aggressively drive ∙ Improve water use efficiency by Initiative, building on GHG emission
our environmental efficiency through the achieving a normalized water use reduction strategies to conserve energy,
coming years: implement additional emission controls
of 0.32 liters /MI or less by 2025;
and develop renewable and lower-carbon
• Waste energy sources. We set a goal to reduce
∙ Achieve less than 0.9 grams /MI of
absolute Scope 1 and Scope 2 GHG
emissions by 25 percent from 2020 to
normalized total waste generation
2030—even as we significantly expand our
in 2022;
global manufacturing capacity.
∙ Achieve 90 percent diversion of total
waste from landfill in 2022.
Grams CE/MI
34,050
a fourteen percent increase in Scope 1
MTCE
400,000 34,259 52,867 7.5
35,941 35,974
emissions and a reduction of Scope 2 50,183 25,197
09
62,535 60,910 21,495
emissions of nearly six percent. Increasing 20,511 19,744
09
C2F6, a PFC gas, for chamber cleaning to 9 to reduce GHG emissions. Over the
Our 300mm fabs in Dresden (Fab 1) and entire project, a total of 38 abatement
another CVD tool set that uses an NF3
New York (Fabs 8 and 10) were designed units are planned for installation. The
remote clean based with significantly
to produce extremely low emissions of annualized GHG emissions saved by the
lower emissions. This project achieved
F-GHGs by using low-emission gases 2021 projects implemented at Fab 9 is
annual GHG emissions savings of more
(specifically NF3) in CVD chamber cleaning, equivalent to 809 MTCE.
than 2,800 MTCE;
coupled with near-universal use of point-of-
use abatement equipment for F-GHG-using • Fab 10 performed a project that
∙ GF Singapore engineers successfully
processes. avoided emissions of fluorinated heat
eliminated one of two CVD chamber
transfer fluids through a robust, proac-
cleaning steps for a specific deposition
To enable the nearly 20 percent increase tive point-of-use chiller leak detection
process that uses C2F6 . Along with
in GHG efficiency from 2018–2021, GF and repair program. In 2021, the exe-
had executed projects that annually save optimizing the remaining use of C2F6, cution of the leak detection and repair
more than 56,300 MTCE—exceeding these improvements reduced annual program avoided over 7,800 MTCE of
our goal by almost five times the original GHG emissions by 4,635 MTCE. GHG emissions.
amount of our targeted savings. In 2021, • In 2022, GF Singapore commenced • In 2022, Fab 9 began a pilot project with
GF accelerated GHG reduction projects a multi-year project to reduce GHG Vermont Gas Systems, Inc. (VGS) and
as we began to implement our Journey to emissions by retrofitting a set of CVD the University of Vermont to produce
Zero Carbon Initiative. Key 2021 projects to tools. The retrofits enable use of an so-called "green hydrogen" on-site to
reduce Scope 1 emissions are noted below. NF3 remote clean for the CVD chamber reduce consumption of natural gas and
pe
09
Scope 3 GHG emissions in addition to relate to extraction, production and
Sco
F-GHGs
1: 5 1 %
Scope 1 and Scope 2 emissions. Scope 3 transportation of fuels and energy 21,598 MTCE
355,780 MTCE
comprises indirect emissions (not included purchased which are not already
Sco
Fuel and energy
pe
in Scope 2) that occur in our value chain, included in Scope 1 or 2 emissions.
pe
related activities
co
:2
upstream or downstream of GF’s oper- 95,378
S
6%
• The third largest, but not material, MTCE**
ational boundaries and control. Figure 4
contribution to GF Scope 3 emissions
52
shows GF’s 2021 extended GHG inventory Purchased
34,05
, 86
25,197 MTCE
was from upstream emissions of capital goods and services:
by subcategory. Our quantification iden-
7M
goods (our manufacturing tools). This 118,405 MTCE*
0 MT
TC
tified two upstream emissions categories
amounted to three percent of GF’s
E
CE
as the most significant contributors to our Non-material
estimated Scope 3 emissions in 2021. Scope 3 categories
FHTF
Scope 3 inventory. Scope 3 emissions in
other categories represent comparably • Other Scope 3 categories that were N2O Stationary combustion
minor contributions to the Scope 3 total quantified and considered not material
emissions, and therefore are not considered included emissions from upstream
material to the total inventory: logistics, waste logistics and treatment,
business travel, employee commuting
and emissions associated with leased
offices. * Estimated using major suppliers’ information obtained in
annual supplier RBA request.
** Quantified using GF’s own data on energy use and third party
average factors (Defra 2021, and EPA 2021).
09
• Fab 10 completed multiple electricity
In the last three years, GF has executed • GF Singapore upgraded the efficiency conservation projects that combined
projects that annually save more than of the chiller that provides Process saved 7,563 MWh and a corresponding
86 GWh. Key projects in 2021 included: Cooling Water (PCW) to Fab 2. amount of 220 MTCE in Scope 2 GHG
Efficiency improvements were imple- emissions;
• At our GF Singapore site, a major mented using a system-wide approach
chilled water plant optimization project affecting chillers, the chilled water • Fab 1 completed several projects to
that began in 2020 was completed in pumping system, the condenser water replace office and plenum lightning
mid-2021. These measures introduced pumping system and the cooling tower with energy efficient light-remitting
variable speed drives that optimize system. Annual savings are estimated diodes (LEDs), resulting in combined
pump flow rates for more efficiency. to amount to 1,793 MWh with a corre- annual savings of 1,156 MWh (equivalent
The completed project is estimated to sponding savings of 200 MTCE in to nearly 100 MTCE of Scope 2 GHG
save more than 13,900 MWh annually, Scope 2 GHG emissions; emissions).
which also saves a corresponding annual
amount of 1,557 MTCE in Scope 2 GHG
emissions;
KWh / MI
2,000 0.04
result, normalized electricity use decreased
GWh
more than 23 percent in 2021 compared
3,016 2,996 3,019 3,062
to our baseline year of 2018 and by more
09
• GF Singapore completed the Fab 7/7G
currently assessed with a baseline water fourfold. Key projects in 2021 included:
300mm “Century Water Reclamation”
stress5 of “Low”. Two GF manufacturing sites project resulting in significant water
• Fab 8 performed a further optimization
are located in areas with a baseline water savings as well as demonstrating the
of a project initially implemented in
stress of “Low to Medium” (Burlington, VT), feasibility of further water reclamation
2020 that installed a Reverse Osmosis
or “Medium to High” (Dresden, Germany). in GF Singapore’s 200mm fabs. This
treatment system (HFRO) for a site
No GF manufacturing site is located in project conserves 613,000 m³ of water
wastewater stream containing hydroflu-
areas assessed with a baseline water stress annually by reclaiming wastewater from
oric acid. This allowed for more efficient
of “High” or “Extremely High”, defined the Fab 7 and 7G condensate, slurry and
management of the waste stream,
respectively as a range from 40 percent to DI (deionized water) reject streams.
but also allowed the treated water to
80 percent and a ratio above 80 percent The wastewater now passes through
be reused in facilities systems. The
of total water withdrawals to available activated carbon, ceramic filtration
project conserved more than 175,000
renewable surface and groundwater and catalytic treatment before being
m³ of water annually. In 2021, the HFRO
supplies. Evaluating future water stress used in cooling towers and point-of-use
process was optimized, realizing even
scenarios for our GF manufacturing sites scrubbers. This project was funded by a
further water savings. These efforts
locations using the Water Risk Atlas shows grant from the Singapore Public Utilities
conserve approximately 308,000 m³ of
a greater than “High” water stress for Board (PUB).
water annually;
5
Baseline water stress is expressed as the ratio of total water
withdrawals to available renewable surface and groundwater
supplies. Higher values indicate more competition among users.
Thousand m3
Liter / MI
compared to 2018. When compared to our
initial company baseline, the first 12 months 26,338 27,240 27,247 26,798
09
10,000 0.20
(July 2015 – June 2016), our normalized
water withdrawal decreased by more than
40 percent. With a production growth of
67 percent (as expressed in MI) since our
previous baseline, this represents a significant 2018 2019 2020 2021
improvement in water efficiency.
Absolute water withdrawal
Thousand m3
Liter / MI
pretreatment. Fabs 9 and 10 discharge directly to 0.33
surface waters following a rigorous combination
09
22,350 23,205 23,553 23,549
of industrial and biological treatment processes.
10,000 0.20
In total, in 2021, we discharged 23.5 million
cubic meters of treated wastewater from all
0.07 0.08
manufacturing operations combined, of which 0.06
0.05
32.7 percent (7.7 million cubic meters) were
discharged directly to surface water. 2018 2019 2020 2021
09
GF carefully manages the waste generated acceptance and reuse of sulfuric acid
amount of annual waste was reduced by
from our manufacturing processes that cannot waste for pH neutralization in wastewater
900 tons;
be avoided. Semiconductor manufacturing treatment. This project installed a new
generates varied waste streams, ranging pumping system which allows the sulfuric • GF Dresden piloted a project to
from spent process fluids, spent solvents, acid waste stream to be used in place of recycle Deuterium. Deuterium (D2) is a
solids resulting from wastewater treatment new sulfuric acid, reusing 390 m³ (approx- hydrogen isotope that has an additional
to waste from construction projects and imately 590 tons) of sulfuric acid waste neutron in the atomic nucleus. In nature,
general office waste. Waste streams fall into annually; deuterium is rare and is therefore the
both hazardous and non-hazardous waste gas is very expensive. It is used in some
• In 2021, process engineers at our
categories. GF’s Global EHS Standards have annealing processes to improve device
Singapore site optimized chemical use in a
precise requirements for waste management, performance and reliability. To address
"pre-anneal" cleaning step. Prior to optimi-
including proper tracking, employee training its conservation, Dresden engineers
zation, the pre-anneal cleaning relied on a
and handling, as well as requirements for developed a basic principle of a recy-
mixture of hydrochloric acid and hydrogen
waste disposal and auditing of waste disposal cling plant that enables D2 separation
peroxide. During the optimization test
facilities. from the waste gas of the annealing
runs, it was found that the pre-anneal
process, followed by subsequent
clean could be done without hydrogen
Over the past three years, GF has executed purification, compression and reuse.
peroxide and nearly 290 tons of hydrogen
multiple projects that save chemicals and The pilot project is now implemented
peroxide can be saved each year;
reduce waste generation. Key projects in 2021 at production scale. We anticipate
include: effective reductions from 2022 on.
Grams / MI
generation rate decreased 23 percent. 7,572 6,554
MTCE
40,000 0.8
The reduction reflects significant progress
0.4
8
The classification of waste as “hazardous” is determined by the respective regulations that apply to our manufacturing sites.
9
We also include the category “byproducts beneficially recycled and reused”, which is applicable only to our U.S. sites because reclaimed material is excluded from the U.S. EPA definition of
hazardous waste. Examples of beneficially recycled and reused byproducts include the reuse of spent sulfuric acid as a raw material in the manufacture of fertilizers or production of aluminum
sulphate, or the reuse of spent solvents in other industries after external purification through distillation.
09
Recycled
,8
was at 98 percent of our 2021 goal.
e: 1 a
wast n-h
reused
,45 8 t o n s
including
No
beneficially
In 2021, 54 percent of GF’s total waste Incinerated for recycled /
fuel recovery: 1%
ts te &
Landfilled:
generated (including category of 5%
reused
byproducts:
: 53
byproducts beneficially recycled and
uc w as
51%
reused) was diverted to material recycling Incinerated: u
s
do d
9% be H a z a r ro
p
and reuse, and 90 percent was diverted n e fi c i a l b y
Waste type Diversion / Disposal Weight (Tons) Percentage Diversion path / Disposal path Weight (Tons) Percentage
09
Directed to disposal:
22,906 43%
diverted from landfill Treated offsite 18,229 34%
09 bases) and volatile organic compounds (VOCs). and customer-driven requirements. ance. Our certificates are available here.
We employ wet scrubbers to neutralize We extend these requirements to our EHS compliance
corrosive emissions and treat the scrubber manufacturing partners that provide
water in on-site wastewater treatment semiconductor foundry, assembly and test We are committed to a “Beyond
systems prior to discharge. For VOC emissions services. Applicable regulatory requirements Compliance” approach, seeking to exceed
reduction, most sites use thermal oxidation or include the EU Directive on Restriction of the requirements of applicable regulations.
carbon bed adsorbers. Fab 1 in Dresden, Fab Hazardous Substances in Electrical and We implement consistent and rigorous
7 in Singapore, Fab 8 in Malta, NY, and Fab 10 Electronic Equipment (RoHS Directive), its EHS standards, management systems,
in East Fishkill, NY have control technology sister directives in other jurisdictions, such as metrics, external reporting and compliance
in place that utilizes rotary concentrators China RoHS, and other legislation that regu- assurance programs. Our manufacturing
followed by thermal oxidation. This technology lates substances contained in products (also sites perform internal reviews as part of their
uses highly adsorbent zeolite materials to cap- called “articles”), and the EU Regulation on EHS Management Systems and are routinely
ture VOCs, which are subsequently desorbed, Registration, Evaluation, Authorisation and inspected by regulatory authorities. In 2021,
producing a low-volume exhaust stream with Restriction of Chemicals (REACH) provisions we received one notice of violation for a
a higher concentration of VOCs. This more on the presence of designated Substances of self-reported issue. No financial penalty
concentrated exhaust stream is then treated Very High Concern (SVHCs). resulted from the NOV, and no other financial
with greater efficiency through a combustion penalties resulted from government agency
process that destroys as much as 98 percent of Our specifications also require packing mate- inspections and regular compliance reporting
the VOCs. rial suppliers to meet applicable substance across our global locations.
Our manufacturing supply chain consists Our requirement that suppliers conform
primarily of suppliers of highly specialized with the RBA Code is included in our
10 Responsible
semiconductor manufacturing equipment standard contract templates, Purchase
and materials. We also work with suppliers Order Terms and Conditions, Global
of specialized business services ranging Supplier and Subcontractor Management
10
Suppliers in this category covered more than 70 percent of spend
10
masks) supplier sites supplier sites supplier sites suppliers
(96 percent) of the 2021 self-assessment
RBA 2020 site SAQs and equivalent information (total 156)
responses indicated a low risk for non-
RBA 2021 site SAQs and equivalent information (total 218)
conformance to the RBA code, while four
percent indicated a medium risk, and
zero self-assessments were scored at a Figure 12. Number of GF supplier RBA VAP audits and targeted document reviews
high risk. GF staff specifically reviewed all by commodity (2020–2021)
self-assessment information where self- 16 15 15 16
Valid RBA VAP audits in 2020 (total audits performed in 2019-2020: 10)
Valid RBA VAP audits in 2021 (total audits performed in 2020-2021: 21)
GF RBA targeted document reviews 2020 (total 20)
GF RBA targeted document reviews 2021 (total 19)
10
Table 9. Supply chain RBA non-conformities by RBA code section
achieved by VAP audit type in audits performed during
the last two years at major supplier sites. The increasing RBA finding Number Percentage
severity level of findings of findings Percentage of findings by RBA code category
audit scores from Initial Audits through Closure Audits
demonstrate supplier learnings and progress in closing Priority 4 2% 50% Labor (all audited through closure)
non-conformity 25% Health and safety (all audited through closure)
non-conformities. Initial Audits are the first audits in
25% Management systems (all audited through closure)
a VAP Audit cycle, Priority Closure Audits are used to
verify closure of any “priority”-level audit findings (the Major 100 60% 35% Labor
non-conformity 32% Management systems
most severe) and Closure Audits serve to verify closure
21% Health and safety
of any other types of findings (“major” or “minor”). 12% Environment
GF analyzes our major suppliers’ RBA VAP Audit findings Minor 63 38% 39% Health and safety
non-conformity 28% Labor
to identify the most relevant responsible sourcing risks
14% Management systems
in our supply chain. As shown in Table 9, of the RBA VAP 10% Environment
Audit findings, two percent were classified as priority 9% Ethics
findings (all of which were closed by the end of 2021),
60 percent were classified as major findings, and 38 11
GF considers RBA VAP audits valid for a period of two years.
percent as minor findings13. These findings pertained to 12
GF considers VAP audits with scores of less than 180 points (below RBA “Gold” Level) as needing corrective actions,
the RBA Code categories as shown in Table 9. confirmed through a VAP Closure Audit.
13
A priority non-conformity represents a grievous breach of RBA standards, a major non-conformity is a significant failure
in the auditee’s RBA conformance management system, a minor non-conformity is an isolated or random non-conformity.
• Labor—Working hours and consec- • Health & safety—Occupational • Labor—Freely chosen employment
utive days worked (12 percent of Health & safety (10 percent of (7 percent of findings): These included
findings): These included exceedances findings): These findings included findings of prohibited fees and penalties
on weekly working hours and consecu- missing health and safety permits (recruitment fee, educational bond,
tive workdays and missing procedures or licenses, ineffective measures to penalty to leave on short notice),
to effectively manage working hours. control worker exposure to potential withholding of personal documents,
One priority finding was identified in safety hazards, or lack of reasonable mandatory overtime and lacking policies to
this category, which has been closed in accommodation for nursing women. prohibit of any form of involuntary labor.
10 a subsequent audit.
• Health & safety—Emergency pre-
No priority findings were identified in
this category.
No priority findings were identified in this
category.
paredness (11 percent of findings): • Management systems—Supplier • Non-discrimination (7 percent of findings):
These findings included inadequate responsibility (9 percent of findings): Findings included lack of reasonable
emergency response planning, lack of These findings are related to missing accommodation for religious practices
effective emergency evacuation drills procedures to communicate the RBA and missing anti-discrimination and
or insufficient protective equipment Code requirements to next tier sup- anti-harassment policies. No priority
and training for emergency response pliers, as well as lack of a program to findings were identified in this category.
personnel. Two priority findings were monitor and verify next tier supplier
identified in this category, both have conformance to the RBA Code. One Approximately 90 percent of the findings
been audited through to closure. priority finding was identified in this have been closed or are proceeding towards
category, which has been audited closure as of April 2022. GF tracks the progress
subsequently as closed. of findings closure through the RBA-Online
platform.
11 About this Data presented in this report reflect calendar year 2021 where not
indicated otherwise. The data were compiled from facilities owned
report
or operated by GF during the reporting period and validated using
our internal processes. We perform internal due diligence to ensure
the accuracy of the information and data presented. We currently do
not seek independent assurance of non-financial data.
12 Site profiles
“GIGA+ Fab” and Fab 7/7G – Singapore Fab 10 – East Fishkill, New York, USA
currently counts approximately 2,500 high-tech Low greenhouse gas emissions Capital and Ausbildung.de. GF Dresden scored
well for our support and involvement of train-
companies with more than 70,000 employees.
12
Fab 1 was designed for extremely low emissions of ees, innovative teaching methods and excellent
PFCs, which is accomplished by utilizing low- overall quality of learning in the company.
Community relations
emission gases in CVD chamber cleaning, coupled • 2020 German Innovation Leaders: GF Dresden
Located literally fence-to-fence with its neighbors with near-universal use of point-of-use abatement was honored to be named a German Innovation
in the 800-year-old villages of Wilschdorf and equipment for PFC-using processes. Highly leader by Frankfurter Allgemeine Zeitung for
Boxdorf, the Dresden site participated in its efficient natural gas powered trigeneration plants our own inventiveness and for the influence of
first local town hall meetings back in 1996 and power Fab 1, along with a fraction of electricity our patents on other inventions.
continues to do so today. GF Dresden supports from the Dresden public grid. • 2020 and 2021 Best Employers in Germany:
various neighborhood associations and activities Newspaper WELT has assessed GF Dresden’s
such as local heritage societies, volunteer fire Wafer size: 300mm “very high attractiveness” as an employer in the
brigades and choirs. The Dresden site’s Community Technology: 22nm, 28nm, 40nm, 55nm industrial sector.
Affairs Program has a strong focus on educational Management system certifications: ISO 9001,
• 2021 Responsible Business Alliance (RBA)
youth projects. As a leading tech company, the IATF 16949, ISO 14001, ISO 45001, ISO 27001, VAP Platinum Recognition for achieving the
Dresden site is driving a considerable number of ISO 50001, Sony Green Partner maximum score of 200 in Fab 1’s first ever VAP
educational projects focused on STEM activities Audit in November 2021.
with K–12 students. Jointly with other long-term
partners, since 2009, GF Dresden is a sponsor of
12
from the COVID-19 pandemic.
Community relations to capture rainwater to reuse it for general non-
potable water uses. Moreover, 95 percent of the • 2020 Singapore Childrens’ Cancer
Since 2006, the GF Singapore site has held an annual water supply to GF Singapore is NEWater, which is Foundation Appreciation Award (Silver)
Hair for Hope fundraising event benefiting the reclaimed and treated wastewater supplied by the for the collective effort and giving of the
Singapore Children’s Cancer Foundation (CCF). This Singapore Public Utilities Board. Using NEWater company and our employees.
signature event serves to raise funds and promote supports Singapore’s water conservation strategy
• 2021 HR Online Employee Experience
awareness of childhood cancer. GF donated a total to reserve high-quality potable water for domestic
Awards: GF SGP won Gold in Best
of S$60,000 (~$45,000 USD) to the beneficiary in consumption.
Organizational Upskilling & Reskilling
2021 and altogether has raised more than S$1M over
Strategy, Gold in Best Learning and
the last 17 years. GF Singapore also supported CCF’s Wafer size: 300mm / 200mm
Development Program, and Bronze for Best
Hope Train campaign, which aims to raise awareness Technology: 180nm–40nm
in-House Certification Program.
of the therapeutic benefits of art for childhood Management system certifications: ISO 9001,
cancer patients. GF Singapore also supports regional IATF 16949, ISO 14001, ISO 45001, Sony Green • 2021 HR Online HR Excellence Awards:
STEM activities, providing insights into advanced Partner; UL Zero Waste to Landfill Certified, GF SGP won Gold in Excellence in Talent
technology for students from several tertiary Fab 2/7/7G: ISO 15408, ISO 27001 Management, and Bronze in Leadership
institutions. Development and HR team Collaboration.
• 2022 Great Place to Work-Certified™ by
Great Place to Work® Institute Singapore.
15
as compared to water withdrawal
12
themselves on being good neighbors, giving Additionally, Fab 10 employees contributed to
generously to the local community through our December 2021 Toys for Tots drive. A total of
charitable donations and volunteering in the 583 toys were donated, directly supporting 170
local community. In the past, Fab 10 employees local families and 426 children.
assembled bikes to donate to local children’s
not-for-profit organizations, collected hats, Sustainability features
gloves, and non-perishable food for the
community, provided gifts for Toys-for-Tots, and Fab 10 produces two commercial chemical
supported the “Treat the Troops” program to products for reutilization from the wastewaters
send homemade care packages to deployed U.S. generated by its 300mm manufacturing
military service members. Most recently, in 2021, operations. A sulfuric acid wastewater is
employees volunteered and completed a roadside segregated to produce a spent sulfuric acid
cleanup in East Fishkill to honor Earth Day. product and an ammonia wastewater is distilled
to produce an ammonium hydroxide solution for
The East Fishkill site has also participated in reuse in off-site catalytic air emission abatement
STEM activities, including “DiscoverE” school systems.
visits and National Manufacturing Day on-site
where students experience STEM problem solving Groundwater treated through IBM groundwater
skills and careers. The Fab 10 team continued remediation activities (approximately 25 percent
to partner with local school districts in a virtual of site water usage) is also reused in the produc-
environment on educating students about the tion of ultra-pure water.
semiconductor industry, GF and STEM careers.
12
Trust for the Disabled), that facilitates basic
Committee that oversees actions taken in • Donating to the Tribal Society of India to
health care, medical and rehabilitation for
support of the policy. GF India executes a successfully run 40 one-teacher schools (Ekal
persons with severe and profound condi-
wide range of CSR projects every year with a Vidyalaya) in tribal areas for the year 2021.
tions. The solar projects also enabled street
dedicated budget and tremendous support
• Provided school desks, school chairs, lighting for five villages.
from our employee volunteers. Our CSR projects
serve not only communities in Bangalore, but desktops and sewing machines as edu- Vocational training and skill building
also extend to the rural and tribal sectors in the cational support for underprivileged and • Donated sewing machines to five organi-
State of Karnataka. GF India donates to non- persons with special needs to Snehashreya zations for rural women under the women
governmental organizations and contributes Foundation, Ramamurthy Nagar, Bangalore. empowerment sustainable development
teaching aids for skill development, smart program enabled by SWASTI (a global public
class and computer lab setups, healthcare health organization committed to vulnerable
equipment and environmental solutions. As communities).
part of STEM outreach, GF India also organizes
field trips, 'Show & Tell' workshops, celebrates
National Science Day and engages children
from various underprivileged schools to spread
awareness about the importance of, and growth
opportunities in, Science and Technology.
102-4 Location of operations Company profile (page 4) 2021 GF Annual Report GF Form 20-F, “Information on the
Company”, pages 39–45
102-5 Ownership and legal form — 2021 GF Annual Report GF Form 20-F, “Information on the
Company”, pages 30, 38
13
102-6 Markets served Company profile (page 3) 2021 GF Annual Report GF Form 20-F, “Information on the
Company”, pages 30, 39
102-7 Scale of the organization Company profile (page 4) 2021 GF Annual Report GF Form 20-F, “Information on the
GRI 102: General Company”, pages 30, 39–45
Disclosures 2016 Human capital - diversity,
equity & inclusion and talent,
development (page 33)
102-10 Significant changes to the CEO Statement (pages 6–9) 2021 GF Annual Report GF Form 20-F, “Information on the On November 1, 2021, GF
organization and its supply Company”, page 45 announced closing of its initial public
chain offering. GF shares are listed on the
Nasdaq Stock Exchange and trade
under the ticker symbol “GFS.”
13
102-18 Governance structure Governance (pages 17–18) Corporate Governance Framework
102-23 Chair of the highest governance — 2021 GF Annual Report GF Form 20-F,
body “Directors, Senior Management and Employees”, pages 60–61;
https://gf.com/about-us/board-directors/
102-26 Role of highest governance Governance (page 14) 2021 GF Annual Report GF Form 20-F, “Directors, Senior
body in setting purpose, values, Management and Employees”, pages 67-69, “Code of Ethics”,
and strategy page 85
102-30 Effectiveness of risk Governance (pages 17, 21) 2021 GF Annual Report GF Form 20-F, “Directors, Senior
management processes Management and Employees”, pages 67–68;
Corporate Governance Framework
102-31 Review of economic, Governance (pages 17, 19) 2021 GF Annual Report GF Form 20-F, “Directors, Senior
environmental, and social Management and Employees”, pages 67–68
topics
102-43
Identifying and selecting
stakeholders
Approach to stakeholder
GF stakeholders and CSR
priorities (page 10)
102-45 Entities included in the — 2021 GF Annual Report GF Form 20-F, "Information on the
consolidated financial Company", page 38; “Financial Statements”, pages F-45 - F46
statements
13
(3) Percentage renewable 0.1%
102-53 Contact point for questions About this report (page 74)
regarding the report
102-55 GRI content index GRI content index This report has been prepared
(pages 82–93) in accordance with the Global
Reporting Initiative (GRI) Standards:
Core option.
Management Approach
13
103-3 Evaluation of the management — — Covered in topic related report
approach sections.
Material Topics
Economic
201-1 Direct economic value Company profile (page 4) GF Q4 2021 Earnings Presentation, page 5
generated and distributed
GRI 201:
Economic
201-2 Financial implications and other Sustainable manufacturing 2021 GF Annual Report GF Form 20-F, “Key Information”,
Performance 2016
risks and opportunities due to (pages 51–52) D “Risk Factors Summary”, pages 16, 22
climate change TCFD Table (pages 98–100)
205-1 Operations assessed for risks — In 2021, the company’s Ethics &
related to corruption Compliance team conducted an
enterprise risk assessment. The
company also monitors its reporting
mechanisms available to internal
and external parties for corruption
related matters. No significant
GRI 205: Anti- risks related to corruption were
corruption 2016 identified.
13
about anti-corruption policies
and procedures
Environmental
Energy
Water
13
(page 61)
305-7 Nitrogen oxides (NOX), sulfur Sustainable manufacturing Our 2021 fabs’ combined corrosive
oxides (SOX), and other (page 66) emissions were approximately
significant air emissions 75,000 kg (this value is based on air
emission measurements conducted
annually at each fab).
13
Our 2021 fabs’ combined VOC
emissions were approximately
74,000 kg (this value is based on air
emission measurements conducted
annually at each fab).
Waste
Social /
Employment
13
Employment 2016 time employees that are not equity & inclusion and talent
provided to temporary or part- development (pages 42–43)
time employees
403-1 Occupational health and safety Employee health & safety and
management system well-being (page 23)
GRI 403:
403-3 Occupational health services Employee health & safety and
Occupational
well-being (page 26)
Health and
Safety 2018
403-4 Worker participation, Employee health & safety and
consultation, and well-being (pages 23–24)
communication on
occupational health and safety
13
Occupational 403-9 Work-related injuries Employee health & safety and GF does not report data for b.iii.
Health and well-being (pages 24–25) and b.v. because we do not have full
Safety 2018 access to data on hours worked by
employees of supplier companies
who perform work at GF premises.
403-10 Work-related ill health — — During 2021 there were no cases and
no fatalities of work-related ill health
or fatalities affecting GF employees
or contractor employees performing
work at GF fab sites.
Please also note: GF does not have
full access to data on hours worked
by employees of supplier companies
who perform work at GF premises.
GRI 405: Diversity 405-1 Diversity of governance bodies Human capital – diversity, 2021 GF Annual Report GF Form 20-F, “Directors, Senior Employee age group information is
and Equal and employees equity & inclusion and talent Management and Employees”, page 60 not disclosed.
Opportunity 2016 development (pages 36–37) GF considers age data for
employees attorney-client privileged
information.
GRI 407: Freedom 407-1 Operations and suppliers in Governance (page 19);
of Association which the right to freedom Responsible sourcing
and Collective of association and collective (pages 70–71)
Bargaining 2016 bargaining may be at risk
GRI 408: Child 408-1 Operations and suppliers at Governance (page 19);
Labor 2016 significant risk for incidents of Responsible sourcing
13
child labor (pages 70–71)
GRI 409: Forced 409-1 Operations and suppliers at Governance (page 19);
or Compulsory significant risk for incidents of Responsible sourcing
Labor 2016 forced or compulsory labor (pages 70–71)
GRI 412: 412-1 Operations that have been Governance (page 20)
Human Rights subject to human rights reviews
Assessment 2016 or impact assessments
GRI 413: Local 413-1 Operations with local Community support and
Communities community engagement, engagement (pages 44–47);
2016 impact assessments, and Site profiles (pages 75–81)
development programs
GRI 419: 419-1 Non-compliance with laws and — — In 2021, GlobalFoundries was not
Socioeconomic regulations in the social and assessed any significant fines or non-
Compliance 2016 economic area monetary sanctions.
Greenhouse Gas (1) Gross global Scope 1 Quantitative MTCO2e TC-SC-110a.1 (1) 2021 Scope 1 GHG emissions: 1,715,613 MTCO2e (equals: 467,894 MTCE, see
Emissions emissions and (2) amount Figure 3 in section 09 Sustainable manufacturing)
of total emissions from
(2) 2021 Scope 1 perfluorinated compounds emissions: 1,249,306 MTCO2e (equals:
perfluorinated compounds
340,720 MTCE). Perfluorinated compounds emissions provided here include PFCs
(perfluorocarbons) such as CF4, C2F6, C3F8, C4F8, as well as NF3 and SF6, but not HFCs
(hydrofluorocarbons), such as CH2F2 and CHF3.
Discussion of long-term and Discussion and n/a TC-SC-110a.2 We disclose our GHG emissions over time as well as short and long term strategy in
short-term strategy or plan analysis section 09 Sustainable manufacturing of the report and in the TCFD Table.
to manage Scope 1 emissions,
Short term targets (2019–2021) for combined Scope 1 and Scope 2 GHG emissions were:
emissions reduction targets,
and an analysis of performance • Achieve savings in annual GHG emissions of 11,900 metric tons carbon equivalent
against those targets (MTCE);
14
• 18 percent reduction of normalized greenhouse gas emissions
At YE 2021, GF had substantially exceeded (by almost five times) the original amount of
our target to save annual GHG emissions of 11,900 MTCE by implementing projects that
save more than 56,300 MTCE annually, with the vast majority (more than 49,000 MTCE)
being Scope 1 GHG emissions.
Normalized Scope 1 & Scope 2 emissions decreased 19 percent from 2018 to 2021 —
achieving our normalized GHG reduction goal.
Long-term strategy: In August 2021 GF announced our "Journey to Zero Carbon"
Initiative, which builds on our long history of proactive investment in Greenhouse Gas
(GHG) emissions reduction. We are setting a goal to reduce absolute GHG emissions
by 25% from 2020 to 2030 by enhancing manufacturing (emission) controls, further
improving energy efficiency, and sourcing renewable and lower-carbon energy - even as
we significantly expand our global manufacturing capacity.
Energy Man- (1) Total energy consumed, (2) Quantitative Gigajoules (GJ), TC-SC-130a.1 (1) 15,301,627 GJ
agement in percentage grid electricity, (3) Percentage (%)
(2) 62.5%
Manufacturing percentage renewable
(3) 0.1% (self generated solar electricity)
Water Management (1) Total water withdrawn, Quantitative Thousand cubic meters TC-SC-140a.1 (1) 26,798 Thousand m³
(2) total water consumed, (m³), Percentage (%)
(2) 3249 Thousand m³
percentage of each in regions
with High or Extremely High Zero percent of GF water withdrawal or consumption is in regions with high or extremely
Baseline Water Stress high baseline water stress per the World Resources Institute’s (WRI) “Aqueduct Water
Risk Atlas”
Waste Management (1) Amount of hazardous Quantitative Metric tons (t), TC-SC-150a.1 (1) 53,457.74 Tons (In combination with hazardous waste per applicable legal definitions,
waste from manufacturing, (2) Percentage (%) we also include the category “byproducts beneficially recycled and reused” in this total.
percentage recycled This category is only applicable to our U.S. sites because reclaimed material is excluded
from the U.S. EPA definition of hazardous waste.);
(2) 51 % (the rate combines the categories “recycled /reused” with “byproducts
beneficially recycled and reused")
Employee Health Description of efforts to assess, Discussion and n/a TC-SC-320a.1 We disclose our management approach to employee safety and health in this report's
& Safety monitor, and reduce exposure analysis section "Health, safety and well-being", including our enterprise certification to
of employees to human health ISO 45001.
hazards
Total amount of monetary losses Quantitative Reporting currency TC-SC-320a.2 None (0 USD)
14
as a result of legal proceedings
associated with employee health
and safety violations
Recruiting & Percentage of employees that Quantitative Percentage (%) TC-SC-330a.1 (1) GF is proud to employ a highly diverse, multicultural workforce across our global
Managing a Global are (1) foreign nationals and (2) locations with more than 92 nationalities across 13 countries. GF does not disclose the
& Skilled Workforce located offshore number of employees that are foreign nationals.
(2) GF discloses our workforce composition by region in Table 02 in report section 07
Human capital - diversity, equity & inclusion and talent development.
Product Lifecycle Percentage of products by Quantitative Percentage (%) TC-SC-410a.1 We disclose our management approach to product stewardship, including product
Management revenue that contain IEC 62474 material content compliance, in section 09 Sustainable manufacturing. We do not disclose
declarable substances percentage of products by revenue that contain IEC 62474 declarable substances.
ALL GF manufactured finished die pattened wafers comply with applicable regulatory
requirements, including the EU Directive on the Restriction of Hazardous Substances
in Electrical and Electronic Equipment (RoHS Directive), its sister directives in other
jurisdictions, such as China RoHS, and other legislation that regulates substances
contained in products (also called “articles”), the EU Regulation on Registration,
Evaluation, Authorisation and Restriction of Chemicals (REACH) as well as Toxic
Substances Control Act (TSCA) provisions on the presence of designated substances in
articles.
Processor energy efficiency at a Quantitative Various, by product TC-SC-410a.2 We disclose our general management approach to product energy efficiency in report
system-level for: (1) servers, (2) category section 06 Technology solutions for humanity.
desktops, and (3) laptops6
Materials Sourcing Description of the management Discussion and n/a TC-SC-440a.1 GF’s approach to responsible sourcing of certain conflict minerals is described in section
of risks associated with the use analysis 10 Responsible sourcing, subsection Responsible minerals sourcing. These include gold,
of critical materials tungsten, tantalum, tin and cobalt.
Securing and protecting the ongoing supply of strategic and critical materials and minerals
(including the subset of the "Rare Earth" elements that are important to our industry)
ensures continuity in our manufacturing operations and most importantly, delivery to
our clients. As such, GF's Global Supply Management organization has implemented a
rigorous Business Continuity Planning (BCP) process that considers multiple factors of
risk with corresponding proactive mitigation plans and actions.
This BCP process is global in scope and is reviewed on a regular basis to maintain a
constant state of readiness. Proactive measures are undertaken to ensure the protection
of our supply both in the short and long term. Our global footprint, with fabs on three
continents, helps us to diversify our supply chain and gives us the flexibility to cross-
qualify our fabs as well as leverage alternative sources for key supplies. We are not totally
14
immune to global shortages, but our footprint provides us with more insulation.
Intellectual Total amount of monetary losses Quantitative Reporting currency TC-SC-520a.1 None (0 USD)
Property Protection as a result of legal proceedings
& Competitive associated with anticompetitive
Behavior behavior regulations
Governance Disclose the organization’s governance around Oversight of Environment, Social and Governance (ESG) matters, including Governance (pages 17,19)
climate-related risks and disclosures. climate, is within the charter of the Audit, Risk and Compliance Committee
GF 2021 Annual Report on Form 20-F, page 71
(ARCC) of our Board of Directors. The full Board also receives regular updates
on our climate change initiatives, including progress towards meeting goals
established through our Journey to Zero Carbon initiative.
ESG and climate matters are overseen by our Stewardship Committee,
which includes Manufacturing Operations, Finance, Legal, Global Supply
Management, and Technology, Engineering and Quality. Our CEO receives
regular ESG updates and approves major initiatives.
15
Strategy Disclosure of the actual and potential impacts of We recognize the critical global environmental challenges, specifically climate GF 2021 Annual Report on Form 20-F, see the Risk
climate-related risks and opportunities on the change, impacting the environment, human society, and the worldwide Factors section, specifically pages 16, 22
organization’s businesses, strategy, and financial economy. As an important step to align with climate science and minimize
We also describe our climate-related risks and
planning where such information is material. longer term exposure to climate change, in August 2021 we announced
opportunities in Sustainable manufacturing, pages
our Journey to Zero Carbon Initiative, building on GHG emission reduction
51–52; and Technology solutions for humanity,
strategies to conserve energy, implement additional emission controls and
pages 28–32. Additional detail will be provided in
develop renewable and lower-carbon energy sources. We set a goal to reduce
the 2022 CDP Climate survey.
absolute Scope 1 and Scope 2 GHG emissions by 25% from 2020 to 2030 - even
as we significantly expand our global manufacturing capacity.
In early 2022, we conducted a TFCD-aligned climate risk assessment and
a qualitative scenario analysis that utilized selected low and high emissions
scenarios. While climate modeling is complex and different outcomes are
possible, based on this qualitative scenario analysis, we do not expect any of
the evaluated risks to present material impacts in the short-term (1-2 years)
to mid-term (3-5 years). Our manufacturing sites are located in generally
low-risk geographies for natural hazards, and the scenario analysis did not
indicate a significant risk to our operations from extreme weather events well
into the middle of the century. We are evaluating additional steps to refine
the qualitative analysis, including potential future application of quantitative
scenario analysis.
Risk management Disclose how the organization identifies, GF’s approach to risk management and our risk factors are described in Governance see “Risk management and
assesses, and manages climate-related risks. our Annual Report on Form 20-F. Please see additional information on risk business continuity” page 21; and Sustainable
management and our efforts to reduce our climate change impacts, included manufacturing, pages 51–52
in this Corporate Responsibility Report, primarily in Chapter 4 (Governance)
GF 2021 Annual Report on Form 20-F – See “Key
and Chapter 9 (Sustainable manufacturing, see subsections: GHG emissions –
Information”, section D “Risk Factors Summary”
climate risk mitigation, Energy and Water).
beginning on page 3
Potential risks associated with climate change are evaluated as part of
our overall risk management process. Our TFCD-aligned climate risk
assessment and qualitative scenario analysis utilized selected low and high
emissions scenarios. The transitional risks included pricing of GHG emissions
through carbon taxes and fees, and costs for lower emissions technology in
manufacturing operations. The physical risks included increased severity of
extreme weather with the potential to impact GF manufacturing operations in
Germany, Singapore and the Northeast region of the U.S., or our suppliers, and
15
rising mean temperatures.
Metrics and targets Disclosure of the metrics and targets used to Our Scope 1, 2, and 3 emissions data and our climate-related metrics, goals and Technology solutions for humanity, pages 28–32;
assess and manage relevant climate-related risks targets, are included in this annual Corporate Responsibility Report. We also and Sustainable manufacturing, pages 49–55
and opportunities where such information is plan to participate in the 2022 CDP Climate Survey.
material.
Our GHG goal from 2018-2021 was to achieve savings in annual emissions of
11,900 metric tons carbon equivalent (MTCE), while also achieving an 18%
reduction of normalized greenhouse gas emissions. Our results achieved savings
of 56,300 MTCE and a 19% normalized reduction.
Our electricity goal from 2018-2021 was to achieve savings in annual electricity
use of 86 gigawatt hours (GWh) with a 15% reduction of normalized electricity
consumption. We achieved 86.2 GWh savings with a 23% normalized reduction.
GF provides manufacturing services for many “fab-less” or “fab-light” customers.
Our Scope 1 and 2 emissions can be considered Scope 3 emissions for our
customers. GF calculates customer-specific emissions based on the relevant
manufacturing locations, technologies and production volumes.