Onward: for
People and Planet
2022 Sustainability ReportTable of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Appendix

24 Energy Consumption and Emissions

39 Our Employees

60 Giving Now Program, Community

65 Corporate Governance

82 UN Sustainable Development

29 Water and Waste Management

49 Diversity, Equity and Inclusion (DEI)

34 Environmental Health and Safety

53 Learning and Development (L&D)

03 About this Report

07 About onsemi

04 Message from

10 Our Values

11 Prioritization Assessment and

56 Employee Compensation

Stakeholder Engagement
16 Net Zero Commitment
20 Product StewardshipAppendixCommitting to a
Responsible Business

Protecting Our Planet
and Environment

10 Tomorrow, today

Committing to a Responsible Business

Impacting Our Community
Through Giving

Our Business

Our CEO

Impacting Our Community Through Giving

Ensuring Social
Responsibility

Introduction

05 Highlights

Ensuring Social Responsibility

58

Investments and Commercial Initiatives

67 Enterprise Risk Management
and Business Continuity
70 Ethics and Compliance

Goals & UN Global Compact

83 Triple Bottom Line
Performance Summary

and Benefits

72 Fair Treatment

90 Sustainability Accounting

Employee Engagement

74 Supply Chain

Standards Board (SASB)

77 Information Protection
78 Public Policy

Framework
92 Task Force on Climate-Related

80 Quality

Financial Disclosures (TCFD)

80 Customer Experience

Framework

99 Global Reporting Initiative(GRI) Index
109 Third Party AssuranceStatement

2022 Sustainability Report			Table of Contents |2

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

About this Report
Report Overview
Our 2022 Sustainability Report is the 10th iteration of

Current issue: FY2022, published in June 2023

our voluntary non-financial public disclosure of topics

Date of previous publication: June 2022

concerning Environmental, Social and Governance

Estimated date of publication for(ESG) initiatives at onsemi. This report was created to

the next issue: June 2024

transparently communicate our sustainability efforts with
our investors, customers, stakeholders and employees,

Feedback

serving as an important tool for disclosing sustainability

We welcome feedback on our activities

strategies, measurements, progress and achievements.

and performance outlined in thisAll financial figures throughout the report are stated inreport. Feel free to contact us at:

United States Dollars (USD) unless specified otherwise.
onsemiReport Scope
Data presented in this report covers our 2022
fiscal year, January 1 – December 31, 2022, andcontains information about onsemi worldwide
subsidiaries and joint ventures for which we have

Investor Relations and Corporate Development
5701 N. Pima Road
Scottsdale, Arizona 85250
investor@onsemi.com
www.onsemi.com

management control. This report includes year-overyear data disclosure to demonstrate quantitative
performance and allow for trend identification.

Reporting Principles
Our 2022 Sustainability Report was prepared inaccordance with the Global Reporting Initiative(GRI), Task Force on Climate-related Financial
Disclosures (TCFD) and Sustainability AccountingStandards Board (SASB) standards.

Reporting Assurance
Emissions information contained in this report has
been externally verified by a third-party assurance
agency, APEX Companies, in accordance with ISO
14064-3 and against criteria found in the Greenhouse
Gas Protocol, Corporate Value Chain Accounting
and Reporting Standard and IPCC 2019 Guidelines
on National Greenhouse Gas Inventories – leading
methodologies used by sustainability professionals forsustainability-related assurance. Our full assurance

Date of Issuancestatement can be found in the appendix of this report.

onsemi publishes this report annually. An electronic
version is available on onsemi’s website.

2022 Sustainability Report			Introduction |3

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Message from Our CEO
At onsemi, we believe that the work and contributions we do

Embedded in these successes is our unwavering commitment to

At onsemi, every employee makes essential contributions

today will have an impact on a better tomorrow. In 2022, we madesustainability and improving the communities where we live andto solving the world’s greatest challenges through technicalsignificant progress in several organizational and operational

work. onsemi is developing programs to address global climate

innovation and leading products with sustainability as a priority.

improvements. These changes strategically aligned our efforts withchange at a rate that surpasses the Paris Agreement by a fullThis is just the beginning. The changes we make both inour vision of technology breakthroughs for a sustainable future,

decade and reinforces our commitment to achieving net zeroand outside of the workplace today will propel us toward aleading to a year of tremendous growth and success.

emissions by 2040. To support our ambitious goal, we havebetter tomorrow, as we continue to prioritize sustainability

developed technology and semiconductor products that support aat every opportunity and drive practices that promote it

Despite industry-wide challenges, onsemi expanded its operations

sustainable ecosystem and enable our customers to achieve theirexternally through our partners, customers and employees.

in Roznov, Czech Republic; Bucharest, Romania; Bucheon, Southown corporate sustainability goals.

Korea; and Hudson, New Hampshire, USA. Our expansion was

We understand that every positive action makes a meaningful

made possible by the rollout of new and streamlined tools for

In December 2022, I personally signed a letter to the Science Baseddifference. I hope that our commitment will inspire,

employees that supported the launch of several new products,

Target Initiative (SBTi), committing to develop, submit and publish our

empower and accelerate a more sustainable tomorrow.

enabling customer and technology wins across the business.

near-term science-based targets in the next 24 months. I am proud

We also divested subscale manufacturing facilities, allowing us

to have made this commitment because we know it’s the right thing

to improve efficiencies and increase our capacity.

to do – for us, for our customers and for generations to come.

As a result of the structural changes we made to our business,

In addition, onsemi was awarded eight sustainability accolades

Hassane El-Khoury

onsemi was named a Fortune 500® company and was added toin 2022, including being listed on Dow Jones Sustainability Index

President and CEO, onsemi

the S&P 500® index, both monumental accomplishments achieved

North America for the fifth consecutive year; we were named Most

with laser focus and dedication of every employee across theSustainable Company in the semiconductor industry for the third

globe. At the heart of our success are the world-class employees

consecutive year by World Finance; and for the second consecutivethat make incredible contributions daily around the globe, taking

year, onsemi received EcoVadis Platinum rating, ranking in the top 1

to heart the mission of the company. It’s a true honor to leadpercent of companies screened.

such a team.

2022 Sustainability Report		

Introduction |4

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Highlights Awards and Recognition

Barron’s 100 Most
Sustainable Companies;
6 Consecutive Years
In March 2023, onsemi ranked #75 on
Barron’s 100 Most Sustainable Companies.
Companies are scored on five key
areas: shareholders, employees,
customers, community and planet.

EcoVadis Platinum
Level Recognition;
3 Consecutive Years

In November 2022, onsemi received an
82/100 score from EcoVadis, a leading
platform for environmental, social and ethics
performance ratings for global supply chains.
Overall, our company scored in the top one
percent of the 1,065 companies assessedby EcoVadis within the “manufacture ofelectronics components and boards” industry.

Sustainalytics ESG Risk
Rating Score of 22.6
In April 2023, onsemi received an overall
ESG risk rating score of 22.6/100 points (thelower the score, the better) by Sustainalytics,
a global ESG research and ratings firm. The
rating puts us at medium risk of experiencing
material financial impacts from ESG factors.

Institutional Shareholder
Services (ISS) ESG
Prime Corporate Rating;
3 Consecutive YearsIn April 2022, onsemi maintained a “Prime”
rating by ISS ESG, one of the world’s
leading rating agencies for sustainable
investments. Our company ranked in the
top 30 percent of the 91 companies rated
within the semiconductor industry.

Investor’s Business Daily (IBD)
100 Best ESG Companies of 2022;
2 Consecutive Years

MSCI ESG “A” Rating;
4 and 5 Consecutive Years
In March 2022 and March 2023, onsemi maintained
its ESG “A” rating from MSCI, marking four and fiveconsecutive years, respectively. We are among the
top five industry leaders for our ethical practices
related to sourcing raw materials from areas
associated with human rights and labor abuses.

In October 2022, onsemi ranked #52 on IBD’s
100 Best ESG Companies for 2022. Companies
are ranked based on profitability along with theirefforts in ethical and social responsibility.

World Finance Sustainable
Finance Award;
3 Consecutive Years
Dow Jones Sustainability Index (DJSI)North America; 5 Consecutive Years
In June 2022, onsemi was named the Most
Sustainable Company in the Semiconductor Industry.
This recognition emphasizes onsemi’s continued
focus to deliver on the promise of a sustainable future
through products and a commitment to achieving net
zero by 2040. World Finance recognizes companies
for being an agent of change for climate sustainability.

In December 2022, onsemi was one of six
semiconductor companies included in the DJSINorth America component. Companies are chosen
for excellent sustainability performance through anassessment of multiple criteria, including corporate
governance, customer relations, environmental
policy, working conditions and social initiatives.

Platinum Responsible Business Alliance (RBA) Validated Assessment Program (VAP) Recognition for Receiving a Perfect Score of 200 for Initial Recipient Sites
Throughout 2022, the onsemi manufacturing sites in Nampa, Idaho (USA) and Roznov (Czech Republic) received this recognition,
securing a minimum VAP score of 200 and having all priority, major and minor findings in the audit process closed.

2022 Sustainability Report			Introduction |5

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Our Business

Solving the World’s
Greatest Challenges
About onsemi
Our Values

Tomorrow, today
Prioritization Assessment and Stakeholder Engagement

Net Zero Commitment
Product Stewardship

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixTable of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

About onsemi
Company Profile

ON

Founded in

1999

Headquartered in
Scottsdale, Arizona on
Salt River Pima-Maricopa
Indian Community land

$8.326billion revenue in 2022
(23.5% increase YOY)

Publicly traded(NASDAQ: ON)

Hassane El-Khoury ispresident and CEO$6,454

million in triple bottom line revenue1

32,366
employees2

46%
female2

25.8%

minority workforce (U.S. only)2

10s

onsemi provides industry-leading intelligent power andincrease in electronic content for vehicle platforms, issensing solutions to help our customers solve challenging

reshaping the boundaries of transportation throughproblems with cutting-edge products. Our intelligent

safety and sustainability.

power technologies enable the electrification of theautomotive industry allowing for lighter and longer-

Together with our intelligent sensing technologies, ourrange electric vehicles (EVs). By empowering efficient

intelligent power solutions achieve superior efficiencies

fast-charging systems, our solutions propel sustainable

compared to our peers. This integration allows lower

energy for the highest efficiency solar strings, industrial

temperature operation and reduced cooling requirements

power and storage systems. Our intelligent power

while saving costs and minimizing weight. In addition, oursolutions for automotive allow our customers to exceed

power solutions deliver power with fewer dies per module

range targets with lower weight and reduce system costs

achieving a higher range for a given battery capacity.

through efficiency. Our intelligent sensing technologies
support the next-generation industry allowing for smarter

We serve a broad base of end-user markets, which

factories and buildings while enhancing the automotive

include communications, computing and consumer

mobility experience with imaging and depth sensing thatin addition to our focus markets of automotive andmake advanced vehicle safety and automated driving

industrial.

systems possible. The evolution of the automotive

22%

industry, with advancements in autonomous driving,advanced driver-assist systems (ADAS), EVs and thefemale Board of Directors3

31%

female executive leadership2of billionsof units produced per year40%of our 2022 revenue wasfrom the auto industry

20 manufacturing
sites worldwide

Leading provider of intelligent
power and sensing technologies
in the Automotive, Industrial, andCloud Power markets¹Please see page 21 for more information on triple bottom line revenue.
²As of December 31, 2022
³As of May 2023

2022 Sustainability Report			Our Business |7

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Worldwide Locations¹
A full list of our global locations can be viewed on our website.
Manufacturing Locations:
Canada, China, Czech Republic, Japan,
Malaysia, Philippines, South Korea, UnitedStates (ID, OR, PA, NH, NY) and Vietnam
Design Center Locations:
Belgium, Canada, China, Czech Republic,
France, Germany, India, Ireland, Israel, Italy,
Japan, South Korea, Philippines, Romania,
Singapore, Slovakia, Slovenia, Switzerland,
Taiwan, United Kingdom and United States(AZ, CA, ID, NY, OR, PA, RI, TX, UT, VA)¹As of December 31, 2022

Workforce by Region (percentage)
2022

74

3

12

11

2021

70

5

13

12

2020

69

6

12

13

0

20
APAC

Japan

40
EMEA

2022 Sustainability Report			

60

80

100

North America

Our Business |8

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

semiconductor products to distributors and direct
customers. We also generate revenue, to a much lesser
extent, from product development agreements andmanufacturing services provided to customers. Ourability to offer a broad range of products, combinedwith our global manufacturing and logistics network,

metal-oxide-semiconductor field-effect transistors

We delivered outstanding results in 2022 as we continued our(MOSFETs) and diodes, including silicon carbide (SiC)

transformation. Revenue for 2022 grew by 24 percent and non-2022

and insulated-gate bipolar transistors (IGBT), is further

GAAP gross margin expanded by 880 basis points. Our non-GAAP

expanding the use of semiconductor products.

operating income grew four times faster than revenue driven by our
focus on the secular megatrends of EV, ADAS, alternative energy andAdvanced Solutions Group (ASG)

industrial automation. We remain focused on our key priorities such

ASG designs and develops analog, mixed-signal,

as ramping up SiC in support of our long-term supply agreements.

provides our customers with single-source purchasing.
We are organized into three operating and(ASICs), radio frequency (RF) and integrated power

Group (PSG), Advanced Solutions Group (ASG)(ASSPs) and application-specific integrated circuit
solutions for a broad base of end-users in different
end markets. Our product solutions enable industry-and Intelligent Sensing Group (ISG).

leading active mode and standby mode efficiency

Power Solutions Group (PSG)

world. Additionally, ASG offers trusted foundry and

PSG offers a wide array of analog, discrete, moduleand integrated semiconductor products that perform
multiple application functions, including powerswitching, power conversion, signal conditioning, circuit
protection, signal amplification and voltage regulation
functions. The trends driving growth within our enduser markets are primarily higher power efficiency andpower density in power applications and the demand
for greater functionality and faster data transmission
rates in all communications. The advancement ofexisting volt electrical infrastructure, electrification of
power train in the form of EV/hybrid electric vehicles(HEVs), higher trench density enabling lower losses in
power-efficient packages and lower capacitance andintegrated signal conditioning products to support
faster data transmission rates significantly increase
the use of high-power semiconductor solutions. The
recent increase in the use of wide-bandgap (WBG)

Committing to a Responsible Business

Revenue by Market (Percentage)advanced logic, application-specific standard productreportable business groups: Power Solutions

Impacting Our Community Through Giving

2022 Financial Performance

Business Groups
onsemi generates revenue from the sale of

Ensuring Social Responsibility

now demanded by regulatory agencies around thedesign services for our government customers, whichleverages our broad range of manufacturing, integrated
circuit (IC) design, packaging and silicon technology
offerings to provide turnkey solutions for our customers.
Intelligent Sensing Group (ISG)
ISG designs and develops complementary metal-oxidesemiconductor (CMOS) image sensors, image signal
processors and single-photon detectors, including
silicon photomultipliers (SiPM) and single-photon

6,454

32

60

80

100

80

100

Other

4,500

6,000

7,500

60

20

40

Original Equipment Manufacturers

Triple Bottom Line Revenue
Due to a change in calculation methodology, there is an increase in triple bottom line
revenue in 2021. Please see page 21 for more information on triple bottom line revenue.

64

40

0

9,000

58

36

2020

5,250

3,000

42

60
Distributors

1

Revenue by Region2 (Percentage)
2022

28

26

2021

27

31

2020

25

34

20

0

drivers for autofocus and image stabilization for a broadbase of end-users in the different end markets. Our

18

40

Hong Kong

Singapore

17

11

17

14

11

15

14

12

60
United Kingdom

80

100

United States

Other²Represents sales billed from the respective country or region.

broad range of product offerings delivers excellent

Revenue by Technology (Percentage)

systems capabilities. High-quality visual imagery is
becoming increasingly important to our customers
and their end-users, particularly in automotive andfactory automation and in applications powered by AI.

2022

48

2021

46

2020

19

20
Intelligent Power

33

16

42

0

2022 Sustainability Report			

43

40
Industrial

2022

avalanche diode (SPAD) arrays, as well as actuator

pixel performance, sensor functionality and camera

39

25

20

2021

6,740

755 1

1,500

2020

32

27

Automotive

8,330

5,011

0

34

28

Revenue Type by Channel (Percentage)

2022

2020

2021

0

Revenue (Dollars, millions)

2021

40

Appendix

38

17

40
Intelligent Sensing

41

60

80

100

Other

Our Business |9

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Our Values
MissionEnsuring Social Responsibility

Impacting Our Community Through Giving

Integrity
We’re creating a future we want to live in. The work and giving

Our company has set high standards for our products

we do today are essential for a better future tomorrow. How weand individual conduct. Our reputation depends on

work, impact the environment and give back make a difference inthe highest standards of ethical behavior. We are

our local communities and around the world. We are inspired by ahigh-quality and high-value products and services.

accountable for delivering our commitments on timecollective passion to drive change to make the world a better place.

Visionfacts and constructive feedback in a work atmosphere

Our efforts toward creating a better tomorrow through today’s

where we do not fear open discussion or questions.

impact are organized into the following four pillars:sensing technologies that solve the most challenging
customer problems. Our employees are inspired to go
above and beyond to increase stakeholder value throughDrive technology breakthroughs that deliverwith peak quality. We address issues objectively, using

on the promise of a sustainable future.

When a decision has been made, we work to support

Core Values

ourselves to the utmost standards of ethical conduct.

Our core values define who we are as employees andas representatives of onsemi. We are a performancebased company, committed to profitable growth, worldclass operating results, quality and delivering superior
customer and shareholder value. By putting our corevalues of integrity, respect and initiative into action, weeach do our part in making our company a great place towork. Each year, our Board of Directors and employees
receive training about our core values through the Codeof Business Conduct, which is available in the languages
that represent our worldwide workforce. These values
apply equally to us all - employees, global leadershipteams, executive leadership and Board of Directors alike.

Appendix

Tomorrow, today
We mean what we say and we say what we mean.

We push innovation to create intelligent power andCommitting to a Responsible Business

it. We comply with all legal requirements and hold

Respect
We treat each other with dignity and respect. We share
information and encourage different views in an open and

1. Protecting Our Planet and Environment
2. Ensuring Social Responsibility
3. Impacting Our Community Through Giving
4. Committing to a Responsible Businesshonest environment. We draw out the best in each other,recognizing that diversity of backgrounds and experience
are key strengths. We all win when we support each other.
Initiative
We value people who demonstrate a positive “can-do”

The Tomorrow, today campaign is categorized into four pillars:

attitude while collaborating to win. We work intelligently,
with a sense of urgency, while always maintaining ourcommitment to comply with applicable laws, regulations
and standards. If a problem exists, we see it throughto rapid resolution while acting in an ethical manner.

1

Protecting Our Planet
and Environment• Product Stewardship• Energy and Emissions• Water and Waste
Management• Employee Healthand Safety

2

Ensuring Social
Responsibility

3

Impacting Our Community
Through Giving• Diversity, Equity• Giving Now Programand Inclusion

Including Matching• Learning and Development• Employee Hiring

Employee Giving• Science, Technology,
Engineering, Arts

Committing to a

4 Responsible Business• Ethics and Compliance• Supply Chain Management• Fair Treatment• Information Protection

and Mathematics(STEAM) Education• Disaster Relief andResponding when
Crises Arise

2022 Sustainability Report			Our Business |10

Table of Contents

Introduction

Prioritization Assessment
and Stakeholder Engagement

Our Business

Protecting Our Planet and Environment

PRIORITY ISSUES

Ensuring Social Responsibility

Impacting Our Community Through Giving

DEFINITION

Committing to a Responsible Business

Appendix

REPORTING AND DISCLOSURE
Net Zero Commitment, pg. 16

Prioritization Assessment
onsemi’s transformation journey is underway with a focus on

SASB:

our business strategy and positioning in the semiconductor• TC-SC-110a.1 - Greenhouse Gas Emissions

industry. Our leaders and employees are dedicated to ensuring our• TC-SC-110a.2 - Greenhouse Gas Emissions

processes, policies, systems and operations are aligned with our• TC-SC-130a.1 - Energy Management in Manufacturingcorporate goals. With a massive transformation comes refocusing• TC-SC-410a.1 - Product Lifecycle Managementon what is important and prioritized within our company,
predicating the need to refresh our prioritization assessment
process and outcomes.

GRI:

onsemi updated its prioritization assessment within the past

• 302-2 Energy consumption outside of the organization

year with assistance from an external advisory firm. Our new• 302-3 Energy intensity• 302-1 Energy consumption within the organizationassessment considers the importance of environmental,social and governance (ESG) issues from the perspective of
impact on stakeholders and impact on onsemi. The results ofDecarbonizing onsemi’s operations

this assessment provide a foundation for best practice ESG

and supply chain

strategy and reporting. The assessment outcomes direct
our strategic focus to our most important sustainabilityrelated financial risks, strategic opportunities and stakeholder
impacts. It also helps us deliver a reporting suite that meets theinformation needs of investors, as well as others interested in
how we support wider sustainable development objectives.
onsemi’s Priority Issues

Decarbonizing onsemi’s operations (through energy efficiency, switching• 302-4 Reduction of energy consumption

to renewable energy and strategic swaps of high global warming potential• 302-5 Reductions in energy requirements of products and services

process gases, among other strategies), and engaging onsemi suppliers to• 305-1 Direct (Scope 1) GHG emissions

understand their carbon emissions and collaborate to decarbonize supplier
operations.

• 305-2 Energy indirect (Scope 2) GHG emissions• 305-3 Other indirect (Scope 3) GHG emissions• 305-4 GHG emissions intensity• 305-5 Reduction of GHG emissions• 308-1 New suppliers that were screened using environmental criteria• 308-2 Negative environmental impacts in the supply chain and actions
taken

The following table outlines onsemi’s identified priority
issues and where reporting on these issues can be found:

TCFD (transition risk)
UN SDGs:• 13 Climate Action

2022 Sustainability Report			Our Business |11

Table of Contents

Introduction

Prioritization Assessment Process
To frame our assessment, we first conducted a megatrend

Our Business

Protecting Our Planet and Environment

PRIORITY ISSUES

Ensuring Social Responsibility

Impacting Our Community Through Giving

DEFINITION

Committing to a Responsible Business

Appendix

REPORTING AND DISCLOSURE
Product Stewardship, pg. 20

analysis to consider how wider environmental and social changes
may impact onsemi’s strategy and operating environment.
Once relevant megatrends were identified, we interviewed

SASB:

key internal and external stakeholders to understand the• TC-SC-410a.2 - Product Lifecycle Management

viewpoints of a range of stakeholder groups regarding onsemi’s
positioning against the megatrends. Interview participants

GRI:

included members of onsemi’s executive leadership team, key
value chain partners and industry association representatives.
After incorporating feedback from the stakeholder interviews,

Expanding onsemi’s triple bottom line
revenuerefining the list of relevant megatrends and reviewing relevantContinuing to develop internal innovation capabilities to advance onsemi’s
triple bottom line revenue in pursuit of decarbonization and human safety
and wellbeing.

• 201-1 Direct economic value generated and distributed• 201-2 Financial implications and other risks and opportunities due toclimate change• 203-1 Infrastructure investments and services supported

company strategy papers, policies and reporting, we identified• 203-2 Significant indirect economic impacts

a list of potential priority issues. We assessed potential priority• 305-3 Other indirect (Scope 3) GHG emissions

issues for their financial and stakeholder impacts, with the• 416-1 Assessment of health and safety impacts of product and service
categories

most significant impacts shortlisted as onsemi’s priority
issues. This shortlist of priority issues was then reviewed• 416-2 Incidents of non-compliance concerning the health and safety
impacts of products and services

by our executive leadership team for confirmation.

Water and Waste Management, pg. 29
SASB:
Decreasing total water demand andincreasing water recycling in onsemi
manufacturing

Increasing the rate of water recycling (including water reuse) in the
manufacturing process while minimizing consumption.

• TC-SC-140a.1 - Water Management

GRI:• 303-3 Water withdrawal• 303-4 Water discharge• 303-5 Water consumption
Our Employees, pg. 39

Attracting and retaining talent through employee engagement, performance
Enhancing onsemi’s talent attraction

management and professional development – supporting onsemi’sand retentioncompetitiveness and resilience given labor/skills shortages that persist
in the semiconductor industry.

2022 Sustainability Report			SASB• TC-SC-320a.1 - Human Health Hazard• TC-SC-320a.2 - Employee Health and Safety Violations• TC-SC-330a.1 - Recruiting & Managing a Global & Skilled Workforce

Our Business |12

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

PRIORITY ISSUES

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

DEFINITIONREPORTING AND DISCLOSURE

Ensuring that board mandates, management

Climate Scenario Analysis and Risk Disclosure, pg. 68

committee mandates, roles, responsibilities,
Integrating sustainability-related risks,policies, procedures, incentive structures andopportunities and impacts into onsemi

other corporate governance factors support

corporate governancethe integration of sustainability-related risks,
opportunities and impacts into onsemi’s corporate

Appendix

TCFD (for climate-related issues)
GRI:• Management approach disclosures

strategy and risk management.
Designing resilience into operations to ensure
Building operational resilience throughpolicies, procedures and infrastructureenhancements

company’s infrastructure can sustain in instancesof extreme weather. For a global manufacturing

Climate Scenario Analysis and Risk Disclosure, pg. 68
TCFD (physical risk)

company like onsemi, failure to act may mean
increased costs of repair and recovery, lost
production time and physical danger to staff.
Diversity, Equity and Inclusion (DEI), pg. 49
Enhancing the diversity of onsemi’s workforce at all

GRI:• 202-1 Ratios of standard entry- level wage by gender compared to local minimum wage

Ensuring a diverse workforce and anlevels and maintaining an inclusive culture throughinclusive culture at onsemi

targeted initiatives and inclusive policies around• 202-2 Proportion of senior management hired from the local community

recruiting, training, promotions and benefits.

• 405-1 Diversity of governance bodies and employees• 405-2 Ratio of basic salary and remuneration of women to men• 406-1 Incidents of discrimination and corrective actions taken
Fair Treatment, pg. 72

Ensuring onsemi’s supplier selection, due diligence

GRI:

Upholding human rights in onsemi’sand engagement mechanisms consider humansupply chain

rights risk and remediate any human rights risks/• 408-1 Operations and suppliers at significant risk for incidents of child labor

violations that occur.

• 414-1 New suppliers that were screened using social criteria• 414-2 Negative social impacts in the supply chain and actions taken

Increasing hazardous and nonhazardous waste recycling

Water and Waste Management, pg. 29

GRI:

Continuing to innovate and improve performance

SASB:• 306-1 Waste generation and significant waste-related
impacts

regarding waste recycling, decrease waste directed• TC-SC-150a.1 - Waste Management

to disposal and decrease effluent discharge.

• 306-2 Management of significant waste-related impacts• 306-3 Waste generated• 306-4 Waste diverted from disposal• 306-5 Waste directed to disposal

2022 Sustainability Report			Our Business |13

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Stakeholder Engagement
At onsemi, we are set in our mission of driving technology

inspire, engage and partner with employees to innovate,

solutions to solve the problems of tomorrow, today toexceed expectations and pursue our purpose. All this isdeliver a more sustainable future. To do so, we proactively

done under a unified and powerful brand and common

engage stakeholders both internally and externally.

values, which are embodied thoughtfully in every

Thoughtful internal stakeholder engagement is critical tosingle engagement with our external stakeholders.

Spectrum of Stakeholder Engagement

2022 Sustainability Report			Our Business |14

Table of Contents

2022 Sustainability Report			Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Our Business |15

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Net Zero Commitment
At our Analyst Day in 2021, we announced our goal to achieve net zero emissions by 2040 (NetDISCLOSURE

Zero 2040) across Scope 1, 2 and 3 along with a commitment to use 50 percent renewable

UNITS

energy by 2030 and 100 percent renewable energy by 2040. This commitment will guide how

2022 Baseline Emissions1

we operate our business over the coming years and is essential to ensure we operate in a

Scope 1socially thoughtful and environmentally responsible manner. Scope 1 and 2 emissions cover

Scope 2

direct and indirect emissions under onsemi’s operational control, while Scope 3 emissions aredownstream emissions.

2022 will serve as our baseline year for greenhouse gas (GHG) emissions across Scope 1, 2 andinventory is more comprehensive than the year prior. Scope 1 emissions are calculated

1

based on discharged emissions, in line with the Intergovernmental Panel on Climate
2

Change (IPCC) Tier 2c guidance. Scope 2 emissions inventory now includes bothmanufacturing and non-manufacturing operations, whereas the previous emissions inventory

3comprehensively than previously. In 2021, onsemi tracked Scope 3 emissions related toPurchased Goods and1,414,941

Services (PG&S)
Capital Goods

102,663

related Activities

203,238(FERA)

our business travel. This year, onsemi’s baseline Scope 3 emissions include 10 applicable

Upstreamcategories out of a total of 15 potential categories, as defined by the GHG Protocol.

4

A total emission of 2,143,211 metric tons of carbon dioxide equivalent (MTCO2e) was

Transportation and

294,171

Distribution

calculated for Scope 3 alone, which accounts for 60 percent of our total GHG emissions.
All emissions from Scope 1, 2 and 3 were calculated based on the GHG Protocol.

5

To baseline emissions for Net Zero 2040, we have excluded facility divestitures that occurredin 2022. onsemi divested four manufacturing sites (various dates throughout 2022) located in
Oudenaarde (Belgium), South Portland, Maine (USA), Pocatello, Idaho (USA) and Niigata (Japan).

acquisition closing at the end of 2022, emissions from the site have not been included in this

Net Zero

Waste Generated in
Operations

MTCO2e46,705

6

Business Travel

5,556

7

Employee Commuting

17,4528

onsemi acquired our East Fishkill (EFK), New York Fab on December 31, 2022. Due to this2022 Sustainability Report			SCOPE 3 SUBTOTAL BY CATEGORY

Fuel- and Energy-

included only manufacturing operations. Scope 3 emissions are also calculated more

can be found in the Energy Consumption and Emissions section of this report, pg. 24.

UNITS

GHG Protocol Scope 3 Category

As a reflection of our commitment to continually improve, onsemi’s 2022 emissions

from EFK will be included as part of 2023 emissions. Annual reporting of our GHG emissions

2,143,211

DISCLOSURE

3 for our net zero target setting efforts.

emissions from divested facilities are calculated through the date of divestiture and emissions

686,475

MTCO2e¹Our 2022 baseline emissions do not yet account for emissions from EFK. We anticipate that our baseline emissions will increase when
we incorporate EFK emissions in our 2023 reporting cycle. These baseline emissions differ from our fiscal year 2022 emissions disclosed
in the Energy Consumption and Emissions section as our baseline emissions do not include emissions from sites divested in 2022.

Baseline Emissions Inventory

the next year and will report on its impact in our 2023 Sustainability Report. For annual reporting,769,179

Scope 3 Total

indirect emissions that occur in the value chain of the company, including both upstream andbaseline calculation. We will work to include EFK emissions in our 2022 baseline calculation over

EMISSIONS

10
12

Upstream Leased
AssetsProcessing of Sold
Products
End-of-Life Treatment
of Sold Products

913,992
44,484emissions by 2040.

Our Business |16

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Science Based Target Initiative Alignment

Climate Transition Plan

In December 2022, we submitted a commitment letter

We are working to create a climate transition plan tosigned by our President and CEO Hassane El-Khoury tomeet our Net Zero 2040 goal. We’re exploring the use

set near-term science-based emission reduction targetsof available levers for reducing emissions across Scopein line with the Science Based Target Initiative (SBTi).

1 and 2 internally at our facilities, along with pathways

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

for engaging suppliers and other reduction strategies
Science Based Targets (SBTs) provide a clearly definedin the value chain for Scope 3 emissions reductions

pathway for companies to reduce GHG emissions, focusing

outside onsemi’s direct control. We’re determining

on deep decarbonization of current business processes andthe appropriate milestone tasks, metrics and key

decoupling business and revenue growth from increased

performance indicators to use for our climate transition

emissions in the future. SBTi ensures our targets align withplan, allowing us to track our progress over time.

the latest science to limit global warming to 1.5 degrees
Celsius, as defined by the Paris Climate Agreement.
By December 2024, we will develop, validate and publish
near-term SBTs aligned with and approved by SBTi. These
milestones are important because they present an additional
level of transparency toward our Net Zero 2040 goal.

Scope 1 Emissions Reduction Strategy

We’re exploring ways to reduce emissions across Scope 1 and 2 internallyat our facilities, along with pathways for engaging suppliers and otherreduction strategies in the value chain for Scope 3 emissions.

Our Scope 1 emissions inventory consists of emissions

we opt for fluorinated gases with a lower global warming potentialfrom fluorinated greenhouse gases used in semiconductor(GWP) and higher efficiency rates, effectively reducing the

manufacturing processes (process gases), onsite combustion ofemissions intensity of our process and the absolute emissions

fuels such as diesel or liquefied petroleum gas and heat transferof our operations.

fluids. At onsemi, we have a tremendous opportunity to reduce
Scope 1 emissions through process gas swaps and utilization of

Point-of-use abatement systems will control remaining

point-of-use abatement tools to treat manufacturing exhaust andScope 1 fluorinated GHG emissions that cannot be eliminateddestroy residual GHGs.

from the semiconductor manufacturing process. Thesesystems utilize high temperature and/or plasma chemistry

Process gas swaps are our largest opportunity for emissions

to convert fluorinated greenhouse gases to non-GHG

reductions. While fluorinated gases are an essential ingredientproducts which are further treated using the factory air

to the semiconductor manufacturing recipe, there ispollution control and wastewater treatment systems.

interchangeability in which gas we choose. Where possible,

2022 Sustainability Report			Our Business |17

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Scope 2 Emissions Reduction Strategy

then strategize the implementation of short-, mid- andOur Scope 2 inventory consists of emissions from ourlong-term energy efficiency and system optimization

purchased electricity. To align with industry best practices,

projects that help reduce our overall energy use at our

we’re focusing on deep decarbonization before turning tofacilities. Typical short term energy efficiency measures

renewable energy instruments for our electricity-related

at our sites may include (but not limited to) LED lighting

emissions. Every ton of carbon dioxide equivalent (CO2e)

retrofits, smart t-stat controls, variable frequency drive

avoided through reduced electricity consumption is acontrols and pump overhauls. Mid- and long-term energy

ton we do not need to procure from renewable energy

efficiency measures typically include measures related

sources, which makes good business and sustainability

to equipment retrofits associated with space coolingsense. As such, we have developed a prioritization(chillers, cooling towers), heating (boilers, furnaces) andpyramid that will help us achieve Net Zero 2040.

process operations (compressors, pumps) at our facilities.

We will continue to develop standardized protocols for

After achieving optimal energy levels throughequipment testing, system assessments and meteringconservation, reduction and optimization projects,

equipment that will help us understand the energy use

we will shift our focus to distributed generation andthrough each of our systems at our sites. Following

renewable energy technologies, such as solar orthese, we will focus on energy conservation strategies

wind energy, to power our remaining energy load.

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Scope 3 Emissions Reduction Strategy
Since Purchased Goods and Services (Category 1 of Scope
3 emissions per GHG Protocol) account for a significant
percentage of our total Scope 3 inventory, we anticipate
reducing Scope 3 emissions by engaging with our supply
chain partners and encouraging them to disclose their own
GHG emissions and set their own science-based reduction
targets, per SBTi guidance. As we set near-term SBTi-aligned
targets for Scope 3, we will explore other Scope 3 reduction
pathway strategies.

that will involve no/low-cost improvements. We will

Scope 2 Prioritization Pyramid for Net Zero 2040

REI1 &
Distributed
Generation• Renewable Energy Credits (RECs)• Power Purchase Agreements (PPAs)• Solar, wind, etc.

• Water Conservation
System Optimization• Process Optimization• Temperature Setpoint Adjustment
Energy Conservation & Efficiency• Compressed Air Leak Mitigation• Pump Replacing/Rightsizing• Pump Testing

Infrastructure/Planning Protocols• Compressed Air
System Assessments¹REI: Renewable Energy Instruments

2022 Sustainability Report			Our Business |18

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Carbon Removals or Offsets

To mitigate these challenges and uncertainties, we’ve

Consistent with SBTi’s approach, we focus on reducing ourinvested in GHG calculation accounting software that enables

emissions as much as possible before relying on carbon

us to track, manage and report consistently across our entire

removal and offsets. For non-electricity-related emissions

enterprise. Our teams are developing education and trainingthat cannot be eliminated, onsemi will explore the purchase ofworkshops to be conducted across manufacturing facilities

certified carbon removal or offset credits equal to the remaining

and are working to insert climate-related data into more

emissions. Green-E and Gold Standard-certified removals

company processes for more informed decision-making, fromand offsets are the most credible and will be prioritized.

new product development and capital expenditure decisions
to mergers and acquisition due diligence assessments.

Plan Assumptions, Challenges and Uncertainties
In developing this climate transition action plan, someMore to Comeassumptions will be made including, but not limited to:With just 18 months of work under our belts since announcing(i) estimations of current emissions data where data is

Net Zero 2040, we’re at the start of our journey. As welimited, (ii) challenges around proper knowledge sharing

develop and validate our SBTi-aligned near-term goals, we’reby employees across the organization for implementationbuilding a more comprehensive climate transition plan thatof proposed solutions, (iii) duration of time needed towill estimate our milestone emission reductions over time,

hit key milestone tasks, (iv) uncertainties around theanticipate procurement of renewable energy and develop

availability of renewable energy and credible carbon

our strategy around carbon offsets. After we publish ourremoval/offset technology in different regions that we

SBTi aligned near term targets by December 2024, we plan

operate and (v) projected future organic and inorganic

to release a more comprehensive climate transition plan in

growth of the company through 2040. We’re aware ofour 2024 Sustainability Report, to be published in 2025.

these issues and will continue to mitigate them over time.
Additionally, there are challenges and uncertainties
associated with developing a transition plan, including:• Achieving full and accurate data collection due toinherent manual data entry processes.
• Facilitating a standardized approach on reduction levers
across our varied operations and balancing production
demands.

2022 Sustainability Report			Our Business |19

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Product Stewardshiponsemi is focused on innovation to create intelligent

While our new product development efforts continue

power and sensing technologies that solve theto focus on building solutions in areas that appeal tomost challenging customer problems. We havecustomers in focused market segments and acrosscomponents in medical devices, fitness trackers

high-growth applications, we regularly re-evaluate ourand smartwatches, autonomous and EVs, charging

research and development spending, to assess thestations, solar inverters and more. We innovate

deployment of resources and to review the funding

to deliver disruptive technologies to empowerof high-growth technologies. We deploy people anda strong triple bottom line product offering.

capital to maximize the return from our research anddevelopment investments by targeting innovative

Our product development efforts are directed towards:

products and solutions for high-growth applications• Powering the electrification of the automotivethat position us to outperform the industry.

industry with our intelligent power technologies
that allow for lighter and longer-range EVs andenable efficient fast-charging systems.
• Propelling sustainable energy evolution
with our intelligent power technologies
for the highest efficiency solar strings,
industrial power and storage systems.
• Enhancing the automotive mobility experience with
our intelligent sensing technologies with imaging

We innovate to deliverand depth sensing that make advanced vehicle

disruptive technologies tosafety and automated driving systems possible.

empower a strong triple bottom• Enabling automation and data exchange (Industry
4.0) with our intelligent sensing technologies

line product offering.

for smarter factories and buildings.

2022 Sustainability Report			Our Business |20

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Triple Bottom Line Revenue
In 2022, onsemi had over $6,454 million in triple bottom line revenue,

The “Planet” category refers to any product that helps reduce negative

representing 78 percent of total revenue. onsemi’s focus on intelligent

environmental impact throughout its use phase. Examples include

power and sensing technologies and newly implemented corporate

applications that reduce carbon emissions, aid in the transition to

strategy resulted in a redefinition of our triple bottom line productrenewable energy or enable resource conservation such as throughPeopleoffering in 2021. As a result, we saw a significant increase in triple

the reduction of waste and scrap in manufacturing processes. Our

Planetbottom line revenue from 2020 to 2021.

SiC technologies are designed to meet the demands of higher power

Profitand density, and direct current (DC) fast charging in the EV charging
Our definition of “triple bottom line” is revenue from products that fall

application. The “Profit” category refers to any product that contributes

under the intelligent power and sensing umbrella and products thatto an organization’s ability to provide economic benefit to society bycontribute to the triple bottom line – People, Planet, Profit. The “People”

enabling more efficient and productive operations. For example, ourcategory refers to any product that helps improve human health or saves

image sensors provide high-quality, global shutter imaging for factory

lives. For example, our image sensors go into ADAS and automation

automation applications including robotics and inspection systems.

DISCLOSURE

UNITS

2022

2021

2020

1,462

NR

NR

4,646

NR

NR

346

NR

NR

6,454

5,011

755

78

74

14

Triple Bottom Line Revenue$ (Millions)

Total
Percentage of Total Revenue
Percentage of Total Revenue

Percentage

systems leading to increased levels of safety in automotive applications.

We consider these products a key part of our triple bottom line product offering, which includes the following categories:

EV Charging

Factory Automation

ADAS Lidar

Vehicle Electrification

MedicalMachine Vision

Energy Infrastructure

Advanced Safety

Automotive Lighting2022 Sustainability Report			Our Business |21

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

ASPM16

Impacting Our Community Through Giving

EliteSiC

Committing to a Responsible Business

Appendix

Top-Cool MOSFETs

Triple Bottom Line Products
Our cutting-edge, sustainability-minded key technologies include:

ASPM16 – Exciter Module: EV train systems

This leads to reduced power losses associated with DC

rely on electromagnetic fields to operate. These

to alternating current (AC) conversion along with reduced

electromagnetic fields can be created using permanentsize and weight of the traction inverter, increasing

magnets or through induction technology. onsemi’s

performance and EV range by five percent.

ASPM16 Exciter Module enables the adoption of
induction technology for EV traction drive applications,With decades of superior packaging expertise in high-eliminating the need for permanent magnets. This isdensity power solutions for automotive applications,

important as permanent magnets require the mining of

onsemi differentiated power module technology delivers

rare earth elements such as neodymium and dysprosium,

industry-leading power traction solutions. Exceptional

both of which have high rates of waste in their mining

packaging technology alongside an evolutionary path

processes. According to Harvard International Review,

from planar to trench cell structures in SiC enables

approximately 2,000 tons of toxic waste is produced per

onsemi to provide highly robust and reliable solutions

ton of rare earth mineral.

to customers.

The average hybrid or electric vehicle requires between

Top-Cool MOSFETs: These devices feature top-side

two and five kilograms (kg) of rare earth magnets using

cooling to assist designers in challenging automotive

neodymium and dysprosium. With the ASPM16 exciterapplications, especially with motor control and DC/DC

modules sold in 2022, onsemi helped reduce overconversion. The thermal pad is on the top side which

662,000 metric tons of toxic mining waste by eliminatingallows heat to be dissipated directly into a heatsink rather

the need for permanent magnets in the EV application.

than via a typically printed circuit board (PCB). By using
both sides of the PCB and decreasing the amount of

EliteSiC – SiC Power Modules: onsemi’s high-powerheat going into it, the power density is increased and thedensity SiC power modules deliver the most innovative

improved reliability of the new design adds to an overall

package technology to minimize parasitics and thermal

extended system lifetime. This product received the “Bestresistance and offer robust package reliability usingin Show” award from Embedded Computing Design at theinnovative interconnects.

2022 electronica show.

2022 Sustainability Report			SiC CRYSTAL GROWSIN HIGH TEMPERATURE
FURNACE

SILICON AND CARBIDEPOWDERS PLACED INTO
THE FURNACESILICON CARBIDECRYSTAL BOULE
EMERGESTOP AND BOTTOM OF
BOULE REMOVED AND
PRIMARY FLAT ADDED

SiC – SiC is a key component of next-generation semiconductors
CRYSTXSILICON CARBIDE

that provides technical benefits and improves system efficiency
in many applications, including EVs, EV charging and energy
infrastructure. Our acquisition of GT Advanced Technologies (GTAT)WAFER SLICING

secures full control of the SiC manufacturing supply chain, startingwith the sourcing of silicon carbide powder and graphite raw

EPITAXY

material to the delivery of fully packaged SiC devices. This allows
us to provide our customers with the assurance of supply required

DEVICEFABRICATION

to meet the rapidly growing demand for SiC-based solutions.
SOLAR
POWER

WAFER DICINGDEVICE PACKAGINGCHARGING
STATION
ELECTRICVEHICLES

Our Business |22

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Protecting Our Planet and Environment

Breakthroughs for a
Sustainable Future
Energy Consumption and Emissions

Water and Waste Management
Environmental Health and Safety

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixTable of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Energy Consumption and Emissions
EnergyWe are dedicated to reducing our greenhouse gas (GHG) emissions, energy

categories of Scope 3 emissions. We know what gets measured, gets managed.

consumption and overall carbon footprint in alignment with our net zero by

Our emissions and energy management team has implemented policies and2040 goal (Net Zero 2040). As stated in the Intergovernmental Panel onprocedures to ensure our manufacturing sites are reporting accurate and

The use of energy across the organization consists predominantly of purchased electricity andClimate Change’s (IPCC) Sixth Assessment Report published in 2021–2022,

complete data on a quarterly basis for emissions and energy consumption.

to a lesser extent natural gas, diesel fuel, town gas, heavy oil and liquified petroleum gas (LPG).

it is unequivocal that human activities related to GHG emissions have warmed
the atmosphere, ocean and land. This warming has created widespread andAll emissions from Scope 1, 2 and 3 were calculated based on the GHG Protocol,

rapid changes around the world including rising sea levels, melting glaciers

an internationally recognized standard for quantifying and reporting GHG

and more frequent extreme weather events. Climate change is undeniable

emissions. onsemi divested four manufacturing sites (various dates throughout

and the main driver of climate change is human-based activities.

2022) located in Oudenaarde (Belgium), South Portland, Maine (USA), Pocatello,

Electricity emissions are considered Scope 2 emissions, while the other energy sources in this list
are direct emissions and are considered Scope 1. Efficient use of energy across our operations iscentral to our success.

Idaho (USA) and Niigata (Japan). For annual reporting, energy usage andFor years, onsemi has taken steps to reduce GHG emissions and energy
consumption throughout our operational footprint. We measure and report
Scope 1 and 2 emissions at all our operational sites along with relevant

emissions from divested facilities are calculated through the date of divestiture.

ENERGY CONSUMPTION BY SOURCE

UNITS

2022

2021

2020

1,487,074

1,548,009

1,529,279000

172,028

173,332

166,646

3,170

4,536

8,957

Town Gas

57,88325,422

24,304Heavy Oil

30,121

28,73424,993

LPG

2,006

1,652

1,240

100

100

100

Electricity
Renewable Electricity
Natural Gas
Diesel Fuel

Energy from Grid

MWh

Percentage

100%2022 Sustainability Report			energy from the gridfrom 2020 – 2022

Protecting Our Planet and Environment |24

Table of Contents

Introduction

Our total energy use in 2022 was 1,752,282 megawatt hours

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix• Isolation of compressed dry air pressure lines for specific process(MWh) out of which 1,487,074 MWh was attributed to purchased

equipment needing higher pressure than the common line pressure. This

electricity. This represents a two percent change in total energy

measure resulted in an annual energy savings of approximately 168,000

and a 29,403 MWh reduction from our 2021 levels demonstrating

kWh and $17,000 in annual costs savings at our ISMF (Malaysia) site.

Total Energy Consumption (MWh)our continued efforts for improvement in reducing our overall
energy use. Our facilities reduced over 5,000 MWh of purchased
electricity and 100,000 therms of natural gas (annualized
estimate) through the implementation of customized energy
conservation and energy efficiency measures at our existing
manufacturing sites. These projects represent a total of roughly
3,150 metric tons of carbon dioxide equivalent (MTCO₂e) savedwith an estimated investment cost of over $1,200,000 spentacross our enterprise. These include, but are not limited to:• Energy conservation measures associated with:• Reducing chiller operational hours by sequencing chiller
operations based on outside ambient temperature,
which resulted in an annual energy savings ofapproximately 750,000 kilowatt hours (kWh) and$88,500 in annual cost savings at our Carmona(Philippines) and Seremban (Malaysia) sites.
• Reducing cooling tower operational hours by replacing
inefficient fillers to help increase heat rejection efficiency.
This measure resulted in an annual energy savings ofapproximately 180,000 kWh and $20,000 in annual
cost savings at our Carmona and Seremban sites.
• Consolidation of vacuum pipelines across different
facility regions to enable the shutdown of two inefficientvacuum pumps in the line, resulting in an annual
energy savings of approximately 258,000 kWh and$36,000 in annual cost savings at our Carmona site.

2022 Sustainability Report			• Energy efficiency measures such as:• Building Management System (BMS) upgrades with chilled water2022

1,752,282

2021

1,781,685

2020

1,755,419

system controls to implement static pressure resets, supply air0

450,000

900,000

1,350,000

1,800,000

temperature reset and economizer optimizations within the air
handler units at our Gresham, Oregon (U.S.) site. These energy
efficiency measures resulted in annual energy and natural gas savingsof approximately 347,000 kWh and 15,000 therms respectivelytranslating to a total of about $28,000 in annual cost savings.
• Pre-heating of the deionized (DI) water loop using condenser heatrecovered from the chillers in one of the buildings of our Roznov (Czech

Energy Intensity (MWh per $ Million Revenue USD)
2022

reduction inenergy intensity

210

2021

264

2020

334

0

50

100

150

200

250

300

20%

compared to previous year

350

Republic) facility. This measure resulted in waste heat captured of around
4,000 gigajoules (GJ) per year which translates to approximately 36,000
therms of avoided natural gas use and an annual cost savings of $34,000.
• Replacement of 350 existing linear fluorescent bulb fixtures with lightemitting diode (LED) kits within specific areas of our buildings at our
Roznov and ISMF facilities. These projects resulted in annual energy
savings of approximately 100,000 kWh translating to $20,000 in annual
cost savings.
• Installation of waste heat recuperators to recover heat from processequipment at our Bucheon (South Korea) facility, which resulted in anannual avoided gas savings of approximately 65,000 therms and $65,000
in annual cost savings.
Our site personnel at each facility are committed to conserving andoptimizing energy use through operational best practices and/or leveraging
new technologies wherever possible, in alignment with the principle that“the cleanest energy is the energy that is not being used at our sites.”

Protecting Our Planet and Environment |25

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Scope 1 Emissions

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Scope 1 Emissions by Gas Type3 (Metric tons of CO2e)

Scope 1 emissions are direct emissions from company-gases within the semiconductor manufacturing process.

owned and -controlled resources. The largest

2022 is the first year onsemi is using this improved

source of Scope 1 emissions is from fluorinatedcalculation methodology for our public emissions

process gases used in manufacturing, with otherreporting, so there is a significant change in our reported

examples of sources that include: fuels used in

Scope 1 emissions compared to the previous year.

50,575 4

Carbon Dioxide (CO2)

17
31

29

Methane (CH4)00heating or furnaces and heat transfer fluids.
onsemi directly emits GHG emissions (Scope 1 emissions)onsemi Scope 1 emissions are managed jointly by

from fabrication and assembly and test locations. We

our corporate ESG and manufacturing site teams

work to reduce Scope 1 emissions from process gases by:across the globe. Our manufacturing site team

• Instating efficient manufacturing technologies andmembers are responsible for updating quarterly
usage data from our purchasing and consumption
activities for fuels and fluorinated GHGs. At the

29,72233,153

193,063

Sulfur hexafluoride (SF₆)

379,787
320,932

optimizing processes to reduce process gas usage.
• Substituting gases that are utilized more effectively

66,106 5

Nitrogen Trifluoride (NF₃)

1,262,444
1,080,020

in processes or have lower global warming potential

corporate level, we monitor the data submitted by(GWP), resulting in lower emissions of unused andour teams to check for quality and completeness.
onsemi uses an industry best practice calculation

28,408

Nitrous Oxide (N₂O)

40,261

Hydrofluorocarbons (HFCs)

45,499byproduct GHGs.
• Installing point-of-use (POU) abatement devices thatmethodology consistent with IPCC Tier 2c guidance totreat the exhaust of gases used in semiconductor

calculate our process gas emissions; the methodology is

manufacturing.

thorough and accounts for the destruction of fluorinated

32,012444,270

Perfluorocarbons (PFCs)

715,545
658,814

18,393Heat Transfer Fluids

NR
NR

0

Scope 1 Emissions Intensity (MTCO₂e per $ Million Revenue)
2022
2021

600,000

800,000

1,000,000 1,200,000 1,400,000

2020

the IPCC Tier 2c guidance. Per this guidance, we have claimed destruction of certain GHGs

369

2020

within our manufacturing process which lends to the large change in reported Scope 1 emissions

414

100

400,000

2021¹Starting in 2022, Scope 1 emissions are calculated based on discharged emissions, in line with101

0

200,000
2022

200

300

400

compared to 2021 and 2020 emissions.
500²Scope 1 emissions for fiscal year 2022 include emissions from our divested facilities up to thedate of divesture. Our Net Zero baseline for 2022 does not include these emissions.

Total Scope 1 GHG Emissions (Metric tons of CO2e)³Prior to 2022, onsemi reported Scope 1 emissions by gas type for its process gas usage only.
Starting in 2022, this breakdown also includes the Scope 1 emissions from fuel usage and heat

2022

1

transfer fluids, aligning with the Greenhouse Gas Protocol methodology for reporting emissions.

841,104 2

2021

2,485,870

2020

2,173,4510

520,000

1,040,000

2022 Sustainability Report			1,560,000

2,080,000

2,600,000

⁴Includes CO₂ emissions from fuel combustion which was not included in our CO₂ emissions
breakdown in previous years.
⁵Due to the claimed destruction values of NF3 within the semiconductor manufacturing process
per IPCC Tier 2c guidance., there is a large decrease in NF3 emission year-over-year.

Protecting Our Planet and Environment |26

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Scope 2 Emissions
Scope 2 emissions are indirect emissions resulting fromconsumed over 239,000 megawatt hours

the generation of purchased energy. For our purposes, this(MWh) in 2021 contributing to over 85,000

means our purchased electricity. onsemi indirectly emits

MTCO2e in onsemi Scope 2 emissions.

GHG emissions from electricity purchased for the operationsof our manufacturing and non-manufacturing sites. Our• Downsizing and consolidation of over 25,000
square feet of non-manufacturing spaces

global Scope 2 emissions intensity, normalized by revenue

comprised of offices and design centers throughout

for 2022, has reduced compared to our 2021 levels. This
has largely been made possible due to the implementationof energy conservation and energy efficiency/optimization

the world. These downsizing activities are
estimated to result in approximately 150 MWhof avoided energy translating to a reduction

practices at our sites (as mentioned in the Energy Sectionof about 51 MTCO2e from our 2021 levels.

of this report). In addition to these practices, we also

• Installation of energy-efficient equipment within

implemented the following strategic initiatives in 2022

Total Scope 2 GHG Emissions (Metric tons of CO2e)
2022

741,934 1

2021

782,7902020

774,8490

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000¹Scope 2 emissions for fiscal year 2022 include emissions from our divested facilities up to the date of divesture. Our Net Zero baseline for 2022 does
not include these emissions.

newly acquired sites and site expansions:to further reduce our overall Scope 2 emissions:• These include but are not limited to interior• Planned divestitures and downsizing of ourand exterior LED lighting systems; highmanufacturing and non-manufacturing facilities:• We divested from four of our existing manufacturing
sites located in Oudenaarde (Belgium), Southefficiency packaged/split heating, ventilation
and air conditioning (HVAC) systems; heatreclaim chillers; and dry cooling towers.

Portland, Maine (USA), Pocatello, Idaho (USA)and Niigata (Japan). These fab facilities

Scope 2 Emissions Intensity (MTCO₂e per $ Million Revenue)
2022

89

2021

116

2020

148

0

30

60

90

2022 Sustainability Report			

120

150

Protecting Our Planet and Environment |27

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Scope 3 Emissions
Scope 3 emissions are indirect emissions that occur in the

Scope 3 inventory, we anticipate reducing Scope 3 emissions

value chain of the company, including both upstream andby engaging with our supply chain partners and encouraging

downstream emissions. In 2021, onsemi tracked Scope 3

them to disclose their own greenhouse gas emissions

emissions related to our business travel. This year, onsemi’s

and set their own science-based reduction targets, perbaseline Scope 3 emissions are more comprehensive andScience Based Targets Initiative (SBTi) guidance. We areinclude 10 out of the 15 categories outlined in the GHG

in the process of setting science-based targets for Scope

Protocol. Through our baselining process, five Scope

3 and will disclose more information, including pathways

3 categories were concluded to be inapplicable tofor Scope 3 emissions reduction, after the process.

58%

of our total GHG footprint
was calculated to be fromScope 3 emissions

onsemi operations.
For 2022, a total emission of 2,143,211 MTCO2e was

GHG PROTOCOL CATEGORY

calculated for Scope 3 alone, which accounts for 58
percent of our total GHG footprint. Since Purchased Goods
and Services (Category 1 of Scope 3 emissions per GHG
Protocol) account for a significant percentage of the total

SCOPE 3 EMISSIONS CATEGORY1 (MTCO2e)

2022

2021

2020

1

Purchased Goods and Services (PG&S)

1,414,941

NR2

NR

2

Capital Goods

102,663

NR

NR

3

Fuel- and Energy-related Activities (FERA)

203,238

NR

NR

4

Upstream Transportation and Distribution

294,171

NR

NR

5

Waste Generated in Operations

46,705NR

NR

6Business Travel

5,556

617

1,565

7

Employee Commuting

17,452NR

NR

8

Upstream Leased Assets

9

NR

NR

10

Processing of Sold Products

13,992NRNR

12End-of-Life Treatment of Sold Products

44,484

NR

NR

Total

2,143,211

617

1,565

¹Applicable Scope 3 emission categories in line with GHG accounting standards from the GHG Protocol
22022 Sustainability Report			Not Reported

Protecting Our Planet and Environment |28

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Water and Waste Management
Below outlines the general process for creating UPW at our sites:

Water Stewardship
We’re committed to ensuring our operations haveAt this time, onsemi assumes that all watera positive impact on the communities where we

withdrawn is discharged. Since we do not haveoperate. We actively seek to avoid negative water-

granular data on water discharge, it is difficult torelated impacts and strive for transparency withcalculate water consumption. We plan to include thestakeholders, displaying deliberate stewardship oftracking of our water discharge and consumption

water as the important resource it is. We firmly believein our future exploration of implementing water-that our reduction in water usage protects the shared

related targets and goals for the company.

Step 1

Step 2

Step 3Pretreatment

Reverse Osmosis

Primary Ion Exchange

Step 4

Step 5

Step 6

Secondary Ion Exchange

UV

Final Filter

commons of water resources, while also reducing
the cost of processing. We continue to seek out
opportunities to reduce, reuse and recycle water.
At onsemi, these opportunities include our ultrapure
water (UPW) treatment process, mechanicalcooling systems and recycling of treated waterfrom wastewater plants (retreatment of process
reject water, reverse osmosis reject water toflush facility toilets and retreatment of water
after it’s used in manufacturing processes).
onsemi tracks water withdrawals at our manufacturing
sites, which account for approximately 20 percent of our
total facilities by count. Due to the massive amount ofwater used in our manufacturing processes, we estimatethat our manufacturing facilities account for 85 percent
or more of our total water use. We are exploring tracking
our water use at our non-manufacturing sites to ensure
we have the full scope of our water usage at onsemi.
In 2022, 515 megaliters of water were withdrawn
from high water-stressed regions, out of the total
13,692 megaliters of water withdrawn (3.8% of
total water withdrawn). As part of our commitment
to water-use efficiency, 5,776 megaliters of water
were recycled in 2022 (42% recycling rate).
2022 Sustainability Report			

Water Usage
UPW is a crucial ingredient in the semiconductor
manufacturing process and is defined as having one
to two parts of contaminating molecules per one
million water molecules. onsemi treats water received
from our municipal suppliers and other water sources
to ensure that water used in relevant manufacturing
processes meets this threshold. In 2022, onsemi
produced around 6,000 megaliters of UPW.
UPW is used in semiconductor manufacturing

WATER USAGE

Total Water Withdrawal

surfaces of wafers and packaged products, toSurface Water

dilute chemicals used in the manufacturing process

Groundwater (renewable)

critical applications. UPW can even be used as ahumidification source for our cleanroom environments.

2022

2021

2020

Megaliters

SeawaterThird Party Water

13,692

13,59914,332

0

0

0

1,129

885

1,031

0

0

0

12,563

12,714

13,301

operations outside of our manufacturing processes,
such as facility cooling and heat transfer, drinking water,
onsite kitchens and running our sanitary plumbing.

regions include Oudenaarde
from this site in 2022.
²High water-stressed regions for2021 and 2020 include Pocatello,
Idaho (USA); Suzhou (China); andTarlac (Philippines). For 2022,
Tarlac (Philippines) was considered
a medium-high water-stressedregion, a change from 2021
during which it was reported as

Water Withdrawal Intensity

onsemi also uses non-UPW in our facilities for¹Extremely high water-stressed(Belgium). onsemi divested

Water Withdrawal

for washing excess chemicals and materials off

or as replacement water in cooling systems for

UNITS

Revenue

Dollars (Billions)

Water Withdrawal Intensity

Megaliter per $Million Revenue

8.33

6.74

5.25

1.64

2.02

2.73

0

271

275

515

1,127

1,081

a high-water stressed region.

Water Withdrawal in Water-Stressed Regions
Extremely High1
High2

Megaliters

Protecting Our Planet and Environment |29

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Wastewater Treatment
All wastewater produced in our manufacturing facilities

The level of treatment is stringent and meets the local

is treated using advanced onsite wastewater treatment

government requirements in the areas we operate. onsemi

techniques before it is discharged to a municipality ormonitors various metrics associated with our wastewaterother discharge point. Our wastewater treatment systems

discharge to ensure compliance with pH, temperature,

are complex, as the chemicals used in semiconductor

chemical oxygen demand (COD), color, heavy metals, fluorine

manufacturing must be precipitated, removed andand other regulated discharge parameters. In addition to ourneutralized before the wastewater is discharged. The

discharge monitoring systems, we perform laboratory analysis

treatment process can include physical-chemical

on our water discharge under local regulations. The laboratory

treatment, pH neutralization, carbon absorption treatment,

analysis can occur on a weekly, monthly or quarterly basis

biological treatment and tertiary treatment including

depending on the region; however, some regions require real-

ion exchange treatment and membrane treatment.

time monitoring of wastewater discharge. onsemi is compliant
with all applicable local regulations and requirements.

onsemi monitors various metrics associated with our wastewater
discharge to ensure compliance with pH, temperature, chemical
oxygen demand (COD), color, heavy metals, fluorine and otherregulated discharge parameters.

2022 Sustainability Report			Protecting Our Planet and Environment |30

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Waste Management
Semiconductor manufacturing generates both hazardous and non-hazardous
waste, as classified under local government regulations. onsemi is committed
to compliance with all legal and other requirements related to our waste
management practices. We ensure there are processes and controls inplace to effectively manage our waste streams and we strive to reduce theWaste Diverted from Disposal

amount of waste directed to disposal through waste reduction and diversion.

We strive to maximize waste diverted from

Our manufacturing sites provide waste diverted from disposal and waste

disposal through the reduction of waste indirected to disposal data for both internal analysis and external reporting.

manufacturing processes, reuse, recycling andother recovery operations. onsemi categorizes ourwaste diverted from disposal as shown below:

Waste Diversion Rate (Percentage)

Total Waste Diverted from Disposal (Metric tons)
2022

3,600

2021

4,161

2020

40 1

2022

• Preparation for reuse – by way of checking,86
70

cleaning or repairing, materials that have become

2021

purpose for which they were conceived.

83• Recycling – reprocessing of materials that68

have become waste to make new materials.

73

2020
20
Hazardous40
Non-Hazardous

60

77• Other recovery operations – materials that76

have become waste are prepared to fulfill a

80

100

waste directed to disposal increased from 2020 to 2021. This lowered ourhazardous waste diversion rate.

2021

9,842

2020

16,923

5,000

5,000
Hazardous

10,00015,00020,000Non-Hazardous

Hazardous Waste Diverted from Disposal (Metric tons)

15,000Preparation for Reuse

1 | 0%

Recycling

158 | 2%Other Recovery Options
Fuel Blending for Fuel(not for incineration)

3,015 | 33%
426 | 5%

0

500

1,000

1,500

2,000

2,500

3,000

3,500

Non-Hazardous Waste Diverted from Disposal (Metric tons)• Fuel Blending (not to incineration) – mixing
waste and commercial fuel to meet the

Preparation for Reuse

107 | 1%

Recycling

983 | 6%

Other Recovery Options
Fuel Blending for Fuel(not for incineration)

13,408 | 79%
4 | 0%

0

2,500

5,000

7,500

10,00012,50015,00027,16723,265

15,145

10,000

Hazardous

17,61525,897

17,3258,120

0

purpose in place of new products that would

specifications needed for other use.

Total Waste Generated (Metric tons)
8,974

11,680otherwise have been used for that purpose.

Total Waste Diversion Rate

¹Due to a redefinition of waste categorization, the amount of hazardous

2022

18,515waste are prepared to be used for the same421

0

18,102

14,354

5,935

0Hazardous and Non-Hazardous:

14,50220,00025,00030,000Non-Hazardous

2022 Sustainability Report			Protecting Our Planet and Environment |31

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

3.11

2021

Waste Directed to Disposal
Due to local regulations or limited opportunities for waste
diversion, we must often direct the waste generated byour operations to disposal or incineration. We look forways to reduce the amount of waste directed to disposal/
incineration, as these solutions tend to reduce our waste

4.03

2020

4.43

0

1

2

3

Committing to a Responsible Business

Appendix

Total Waste Directed to Disposal (Metric tons)

Waste Generation Intensity (Metric tons per $ Million Revenue USD)
2022

Impacting Our Community Through Giving

4

5

2022

5,374

2021 1

5,682

2020

2,421
2,970

2,185

2,000

0
Hazardous

7,795

3,465

5,650

4,000

6,000

8,652

8,000

10,000Non-Hazardous¹Due to a redefinition of waste categorization, the amount of hazardous waste
directed to disposal increased from 2020 to 2021.

management costs, as well as avoid negative impacts onhuman and environmental health, making waste reduction
an overall good business strategy.
Hazardous and Non-Hazardous:

Hazardous Waste Directed to Disposal by Type (Metric tons)
Incineration (energy recovery)

457 | 5%

• Incineration (with and without energy recovery) –Incineration (no energy recovery)

475 | 5%

controlled burning of waste at high temperatures.

Landfilling• Landfill – depositing solid waste at, below or above

828 | 9%Other Disposal Options

3,614 | 40%
0ground level at engineered disposal sites.

500 1,000 1,500 2,000 2,500 3,000 3,500 4,000• Other disposal operations – operations without
recovery of materials sent to disposal.
• The waste definitions that onsemi uses are from

Non-Hazardous Waste Directed to Disposal by Type (Metric tons)

the Global Reporting Initiative (GRI) standards.
Incineration (energy recovery)

100 | 1%

Incineration (no energy recovery)

41 | 0%Landfilling

911 | 5%

Other Disposal Options

1,369 | 8%02022 Sustainability Report			

250

500

750

1,000

1,250

1,500

Protecting Our Planet and Environment |32

Table of Contents

Introduction

Our BusinessOur global reclaim objectives reflect

Non-precious metal bearing materials

our commitment to environmental

include copper and alloy 42 leadsustainability and resource conservation

frames, plastics, stainless steel,while optimizing our network, protecting

aluminum, silicon and copper wire

our intellectual property and maximizing

and tubing. Our manufacturing sites

and recapturing profits. onsemi’s

work with local vendors to sell or

manufacturing scrap reclamation

recycle the material recovered in theoperations are considered to operate

manufacturing scrap reclaim operation.

to industry best practice standards.
In June 2022, onsemi decentralized
Subcontractors are required to returnthe scrap reclaim process eliminating

dies (or wafers), trimmings in assembly

the need to ship reclaimed material

and rejected units from assembly

across the world for processing. We

and test fallouts that are considered

are working to aggregate our reclaim

onsemi property. The manufacturing

data at the corporate level since

scrap collected from this process isdecentralizing this operation. From

separated into two categories: precious

January through June 2022, prior to thismetals bearing material and non-decentralization, approximately 291,293

precious metal bearing material.

kg of scrap non-precious materials and602 kg of scrap precious metals from

Precious metal bearing materials include

our worldwide manufacturing facilities

scrap devices, spent bead blast material,

were processed, sorted and sold forgold targets, wire and evaporator metallic,reuse. The reclamation of these materials

platinum targets, evaporator metallic andrecouped more than $12 million.

have high intrinsic value and include gold,
silver, platinum, palladium and rhodium.

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Projects diverting waste from disposal include the following examples:

Reclamation Operation

printed circuit boards. Precious metals

Protecting Our Planet and Environment

Roznov (Czech Republic) – We use iron wire to cut
our silicon boules into raw wafers. These wires comeshipped on a coil that gets loaded into our tools foruse within our manufacturing process. Once the iron
wire is spent, the coils are removed from our tools
and repackaged to be returned to the supplier. The
supplier then reuses the coil for future shipmentsof iron wire. Each coil sent back to the supplierweighs approximately 48 kilograms (kg). In 2022,
onsemi returned 103 iron wire coils to our supplier,
diverting about 5,000 kg of waste from disposal.

Bucheon (South Korea) – Our manufacturing

Seremban (Malaysia) – A key component ofprocess creates waste in the form of wastewaterback-end semiconductor manufacturing issludge. Normally, this waste would be directed tothe plating process. In this process, metal isdisposal, but our team in Bucheon has partnereddeposited onto the surface of semiconductor

with a local cement manufacturing facility to

products, which protects against outside

recover the wastewater treatment sludge andelements, enhances electrical conductivity anduse it as a new material in the manufacturing

improves heat resistance. Through this process,of cement. Our wastewater sludge is high inwater is used to wash away excess metals

nitrogen, which makes it an attractive additivethat were not deposited onto semiconductorin the cement manufacturing process.

products. Used water is then sent to ourwastewater treatment plant to remove theThrough this partnership, we diverted 7,529

metal and undergo other treatment processes

metric tons of waste from disposal and realized

before it is discharged from our facility. Oncecost savings of over $182,000 in 2022.

removed, metals are recovered and turned
into metal hydroxide sludge that is diverted
to a local reclaim operation and turned into
metal concentrates, powders or ingots. In
2022, onsemi diverted roughly 202,000 kg of
metal hydroxide sludge from the disposal.

2022 Sustainability Report			Protecting Our Planet and Environment |33

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Environmental Health and Safety
The onsemi Environmental, Health and Safety (EHS)

The onsemi EHS Management System is audited andteam is committed to protecting people and ensuringcertified by a third party to ISO 14001 Environmental

compliance through our EHS Policy and Statement.

Management System and ISO 45001 Health and
Safety Management System standards.

EHS Policy
onsemi protects people and minimizes ourenvironmental impact through efforts toprevent injury, illness and pollution.

• 95 percent of onsemi manufacturing sites are
certified to ISO 14001 (26,277 employees).
• 90 percent of onsemi manufacturing sites are
certified to ISO 45001 (26,089 employees).

EHS Statement
onsemi consults with workers and encourages
participants to identify hazards and reduce healthand safety risks. We are committed to compliancewith all legal and other requirements wherever
we operate. We set EHS objectives and strive for

The elements of the onsemi global EHS Management System include the following:

continuous improvement. The EHS Policy andStatement is available on the onsemi website.

PLAN

EHS Management System

Identify Your
Problems

The onsemi global EHS Management
System is founded on the concept of Plan-

DO

Do-Check-Act (PDCA). The PDCA model

Test Potential
Solutionsprovides a framework for the following:• Plan: To establish objectives and to deliver results• Do: Implement EHS processes• Check: Monitor and measure performanceand progress to objectives• Act: Act to continually improve

ACT

Implement theBest Solution

EHS Management System Manual, including

EHS Training

EHS Incident Reporting and Investigation

the onsemi EHS Policy and Statement

Procedure to ensure EHS training is

Procedure that outlines how to

Manual and policy that establish thesatisfied, including maintaining a matrix

communicate incidents, investigate,

foundation of our EHS management systemof required training courses and what

identify root cause(s) and corrective

and adherence to ISO 14001 and ISO

employees are in scope to take training.

action(s) to prevent reoccurrence.

EHS Audit

EHS Management of Change

EHS Risk Assessment

Procedure to globalize the way EHS system

Procedure to ensure temporary, permanent

Procedure to identify risks andaudits are planned, performed, reported,or emergency changes, including changes

opportunities that need to be addressedfollowed up and completed by auditors.

to people critical to EHS compliance and45001 for manufacturing operations.

to ensure the EHS management system
can achieve its intended outcomes.

CHECK

Study Results

performance, are reviewed by EHS priorContractor EHS Activities

to implementation or assignment.

Establishes contractor EHS-related
EHS Legal and Other

activities, outlining procedures including

EHS Compliance Assurance

Procedure to ensure compliance

EHS communication, risk/hazard

Provides guidance to assure complianceobligations and other requirements are

identification and incident investigation.

with legal and other requirements.

identified, communicated and satisfied.

2022 Sustainability Report			Protecting Our Planet and Environment |34

Table of Contents

Introduction

Our Businessonsemi employees attend new hire orientation which includes:

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

EHS Standards and Expectations
In addition to the onsemi global EHS Management• EHS Policy and EHS Statement

System, global EHS procedures include:• onsemi responsibilities• Environmental (Air, Water and Waste)• onsemi Core Values of Respect, Integrity and Initiative• Industrial Hygiene (Hearing, Respirator, Radiation, etc.)• Safety Culture focused on hazard identification (e.g., unsafe acts

• Ergonomics

and unsafe conditions) reporting to prevent injuries and illnesses.

• Safety (Hazard Communication, Control of Hazardous Energy,• Incident reporting and investigation to prevent reoccurrence

Machine Guarding, Personal Protective Equipment, Electrical• Emergency response

Safety, Fall Protection, Hot Work, etc.)• Ergonomics• Emergency Preparedness• WasteAll onsemi employees are provided with the contact
EHSQuestions@onsemi.com, should any onsemi employee havean EHS question. This inbox is monitored daily to support onsemi
employees for any EHS questions, comments or concerns.

DISCLOSURE

UNITS

2022

2021

2020

Fatalities, employees

0

0

0

Fatalities, non-employees

0

0

0

0

2

NR

0

0

NR

Recordable¹ work-related injuries, employees

40

43

NR

Recordable¹ work-related injuries, non-employees

2

3

NR

Injury Disclosures

High-consequence work-related injuries,
employees
High-consequence work-related injuries, nonemployees

Incidents¹Recordable injury or illness as defined by the Occupational Safety and Health Administration

2022 Sustainability Report			Protecting Our Planet and Environment |35

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Breakdown by Type of Work-related Ill Health (Incidents & Percentage)0

1 | 7.7%

Fatalities due to work-related injury

4 | 30.8%

and ill health from 2020–2022.
Occupational Illness
Dermatitus
Respiratory Disorder8 | 61.5%
EHS Data
We track and report various environmental health and safety
metrics to understand the success and trends of our program
over time.

DISCLOSURE

Breakdown by Type of Injury (Incidents & Percentage)
RATE

CALCULATION

2022 Rate Calculations1(Number of lost time injuries
0.05

in the reporting period x 200,000)
Total hours worked in the reporting period

Lost time incident
severity rate
Total recordable incident
rate (TRIR), employees

0.009

0.108

Total recordable
incident rate (TRIR),

42 | 31.8%

Puncture

Lost time incident
rate (LTIR)

Sprain/Strain

0.005

non-employees(Number of days lost due to injuries x 1,000)
Total hours worked in the reporting period(Number of incidents x 200,000)
Total hours worked in the reporting period(Number of incidents x 200,000)
Total hours worked in the reporting period

3 | 2.3%

Laceration

26 | 19.7%

Inhalation

1 | 0.8%

Fracture

6 | 4.5%

Foreign Body

1 | 0.8%

Electric Shock2 | 2.3%

Cuts

2 | 1.5%

Cumulative Stress Disorder5 | 3.8%

Crushing

3 | 2.3%

Contusion

29 | 22%

Burn or Scale (heat)1 | 0.8%

Burn (Chemical)

9 | 6.8%

Abrasion

1 | 0.8%

0

5

10

15

20

25

30

35

40

Based on 74,084,225 hours worked in 2022.

1

2022 Sustainability Report			Protecting Our Planet and Environment |36

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Hazardous Substance Commitment

EHS Compliance

Process Commitment

Product Commitment

All onsemi processes are governed by our Process

All onsemi products, including packaging, are governed

All onsemi sites are committed to EHS compliance and sites with

Chemical Brochure, an internal policy. This brochure refers

by our Product Chemical Content Brochure. This

regulated emissions and effluents are required to follow local

to international environmental regulations concerning

brochure refers to international environmental

regulations. These legal and other requirements include:

chemicals in the manufacturing process. In addition, allregulations concerning chemicals in onsemi products• Permitssites are to ensure compliance with all local regulations

produced internally, as well as externally with ourin the manufacturing processes of onsemi products. The

manufacturing partners. We restrict the intentional• Monitoring and Measuring

environmentally restricted and reportable substances

use and presence of certain substances known to be• Preventative Maintenancedetailed in the Process Chemical Brochure include:

toxic or harmful to the environment in our products.

• Inspections• US EPA ozone-depleting substances• Regulatory Reporting• Restriction of Hazardous Substances (RoHS)

The onsemi Compliance Assurance program ensures that our sites comply
with local regulations. This program is maintained at sites and with regional andglobal accountability.

To ensure compliance, external manufacturers (e.g.,foundries, subcontractors, etc.) are to submit laboratory
analyses to verify product and packaging compliance.

• Registration, Evaluation, Authorization andRestriction of Chemical substances (REACH)• China-RoHS

Product material composition is available on theonsemi website. The environmentally restricted
and reportable substances detailed in the ProductChemical Content Brochure include:

In February 2022, onsemi received a notice of violation (for one of its
US facilities) for a one-time exceedance of its daily maximum limit for• RoHS

ammonia discharge that occurred on December 7, 2021. onsemi paid a $125

• REACHadministrative penalty fee on March 14, 2022. The underlying issue was• China-RoHS

identified and addressed. This is not anticipated to present an issue in the
future.

2022 Sustainability Report			Protecting Our Planet and Environment |37

Table of Contents

Introduction

Our Business

Ensuring Social Responsibility

A BetterTomorrow for All
Our Employees
Diversity, Equity and Inclusion (DEI)
Learning and Development (L&D)

Employee Compensation and Benefits
Employee Engagement

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixTable of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Our Employees
Employees are the heartbeat of onsemi. Our vision, mission,

Workforce by Region (Employees & Percentage)
Total Global Workforce (Employees)

values and culture create opportunities for everyone to makea difference in building a successful global business. The
core of our philosophy is embracing diversity, implementing
equitable processes and practices and building a culture

23,996 | 74%

3,576 | 11%2022

3,712 | 12%

32,3662021

of inclusion across the organization. Diversity of thinking

33,6902020

encourages the creativity and innovation necessary for us to

0

APAC

maintain a competitive advantage in the global marketplace.

34,5005,000

10,00015,00020,00025,00030,00035,000Japan
EMEA
North America

Our community of employees is located around the

WORKFORCE
BY COUNTRY

2022

2021

2020

WORKFORCE
BY COUNTRY

Austria

0.009

NR

NR

the United States. As of December 31, 2022, we had

Belgium

0.856

NR

approximately 32,400 employees operating globally.

Canada

0.454

China

world with major facilities in Belgium, Canada, China,
Czech Republic, Germany, Ireland, Japan, Malaysia,
Philippines, Slovakia, South Korea, Taiwan, Vietnam andWorldwide Workforce by Gender (Employees & Percentage)
14,892 | 46%

1,082 | 3%

Regular Workforce by Work Schedule (Employees & Percentage)
Full-time

29,140 | 9 9.6%

Part-time

110 | 0.4%

0Female

5,000

10,00015,00020,00025,00030,000Temporary Workforce by Work Schedule (Employees & Percentage)

Male

Full-time

3,011 | 9 6.6%

Part-time105 | 3.4%

017,474 | 54%2022 Sustainability Report			

500

1,000

1,500

2,000

2,500

3,000

3,500

2022

2021

2020

Philippines

25.311NR

NR

NR

Poland

0.012

NR

NR

NR

NR

Romania

0.386

NR

NR

16.554NR

NR

Russia

0.006

NR

NR

Czech Republic

7.310

NR

NR

Singapore

0.210

NR

NR

Denmark

0.003

NR

NR

Slovakia

1.313

NR

NR

Finland

0.012

NR

NR

Slovenia

0.031

NR

NR

France

0.244

NR

NR

South Korea

6.430

NR

NR

0.371

NR

NR

Spain

0.009

NR

NR

Hong Kong

0.207

NR

NR

Sweden

0.049

NR

NR

India

0.769

NR

NR

Switzerland

0.117

NR

NR

Ireland

0.294

NR

NR

Taiwan

0.714

NR

NR

Israel

0.053

NR

NR

Thailand

0.090

NR

NR

Italy

0.120

NR

NR

Turkey

0.006

NR

NR

Japan

3.343

NR

NR

United Kingdom

0.256

NR

NR

Malaysia

16.304NR

NR

United States

10.594NR

NR

Netherlands

0.009

NR

NR

Vietnam

7.551

NR

NR

Germany

UNITS

Percentage

UNITS

Percentage

Ensuring Social Responsibility |39

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Workforce by Contract Type (Employees & Percentage)

Management by Gender (Percentage)

3,116 | 10%

2022

RegularTemporary(contractors/interns)

21

79

2020

20

80

20

Committing to a Responsible Business

40

60

2022

29

80

71

20

0
Female

100

Male

40

60

80

100

80

100

80

100

Male

SVPs - SVPs not included in Executive category2 (Percentage)2022

29,250 | 90%

100

20

0
Female

40

60

Male

VPs - VPs not included in Executive category (Percentage)

Full-time Employees (Regular)
By Region (Employees & Percentage)

By Age (Employees & Percentage)

2022

By Gender (Employees & Percentage)

20

21,340 | 73%

4,750 | 16%

8,504 | 29%

Female15,982 | 55%

3,467 | 12%

80

20

0

3,407 | 12%

Appendix

Executives - CEO and Direct Reports to CEO (Percentage)

74

2021

FemaleImpacting Our Community Through Giving

Job Category1 by Gender

26

0

Ensuring Social Responsibility

40

60

Male

Senior Managers - Sr. Managers, Director, Sr. Director, Engineer Member ofTechnical Staff, etc. (Percentage)

APAC
Japan
EMEA

< 30 Years Old

Female30 – 50 Years Old

Male

2022

Female15,886 | 55%

2022 Sustainability Report			

13,158 | 45%

86

20

0

> 50 Years Old

North America

926 | 3%

14

40

60

80

100

Male

Job categories above defined in alignment with McKinsey Women in the Workforce1level definitions

All female Senior Vice Presidents report directly to the CEO and are captured in
the Executive job category.
2

Ensuring Social Responsibility |40

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Job Category1 by Gender

Part-time Employees (Regular)

Managers - Account Manager, Engineer, Manager, Section Manager, etc. (Percentage)

By Region (Employees & Percentage)2022

5 | 5%

21

79

20

0
Female40

60

80

Appendix

36 | 33%

13 | 12%

100

Male

33

APAC

67

20

0

Committing to a Responsible Business

By Age (Employees & Percentage)

1 | 1%

Entry Level - Analyst, Senior Engineer, Engineer I, Engineer II, Section Head, etc. (Percentage)2022

Impacting Our Community Through Giving

Female406080Japan (0%)< 30 Years Old

EMEA

30 – 50 Years Old

North America> 50 Years Old

100

Male

104 | 94%

61 | 55%

Frontline Hourly - Admin Assistant, Expeditor, Operator, etc. (Percentage)
2022

89

20

0
Female

40

11

60

80

100

Male

By Gender (Employees & Percentage)
59 | 54%

Frontline Salary - Admin Assistant, Expeditor, Operator, etc. (Percentage)
2022

56

20

0
Female

44

40

60

80

100

Male

FemaleMale

Job categories above defined in alignment with McKinsey Women in the Workforce1level definitions

51 | 46%2022 Sustainability Report			Ensuring Social Responsibility |41

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Contractors and Interns (Temporary)
By Region (Employees & Percentage)141 | 5%

164 | 5%

By Age (Employees & Percentage)

U.S. Workforce by Race and Ethnicity (Percentage)267 | 9%American Indian or
Alaskan Native
AsianBlack or African American
Hispanic or Latino
Native Hawaiian or other
Pacific Islander
Two or more racesWhite

725 | 23%

156 | 5%

APAC
Japan

< 30 Years Old

EMEA

30 – 50 Years Old

North America> 50 Years Old

0.5
17.4
1.5
4.2
0.3
1.9
55

Undeclared

19.2

0

10

20

30

40

50

60

2022

2,655 | 85%

2,124 | 68%

By Gender (Employees & Percentage)

1,433 | 46%

100%

FemaleMaleof senior managers
were hired from the local
community in 2022

1,683 | 54%2022 Sustainability Report			Ensuring Social Responsibility |42

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix2022 U.S. Workforce by Race and Ethnicity and Job Category1
Executives (Percentage)

64%

VPs (Percentage)

2%

29%

41%

5%
White

White

Asian

Asian

Undeclared

Undeclared

Hispanic or Latino (0%)

Hispanic or Latino

Two or more races (0%)

Two or more races (0%)

Black or African American (0%)

Black or African American

American Indian or
Alaska Native (0%)
Native Hawaiian or other
Pacific Islander (0%)

39%

7%SVPs (Percentage)

56%

American Indian or
Alaska Native (0%)
Native Hawaiian or other
Pacific Islander (0%)

13%

Senior Managers (Percentage)

22%

White
Asian

0.2%
1.5%
1.9%
3.2%
10.9%

Undeclared

0.2%

58.5%

White
Asian

Hispanic or Latino (0%)

Undeclared

Two or more races (0%)

Hispanic or Latino

Black or African American (0%)

Two or more races

American Indian or
Alaska Native (0%)
Native Hawaiian or other
Pacific Islander (0%)

Black or African American
American Indian or
Alaska Native
Native Hawaiian or other
Pacific Islander

22%¹Job categories are defined in alignment with McKinsey Women in the
Workforce level definitions. See Job Category by Gender for definitions.

2022 Sustainability Report			

23.6%

Ensuring Social Responsibility |43

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix2022 U.S. Workforce by Race and Ethnicity and Job Category1Managers (Percentage)
0.5%
1.7%
1.5%
3.7%
14.3%

0.2%

Frontline (Salary)2 (Percentage)

52.8%

White

0.7%

0.8%
2%
1.5%
5%
30%

53%

White

Asian

Asian

Undeclared

Undeclared

Hispanic or Latino

Hispanic or Latino

Two or more races

Two or more races

Black or African AmericanBlack or African American

American Indian or Alaska Native

American Indian or Alaska Native

Native Hawaiian or other
Pacific Islander

Native Hawaiian or other
Pacific Islander

7%

25.3%

Entry Level (Percentage)¹Job categories are defined in alignment with McKinsey Women in the

0.5%
1.2%
2.1%
4.7%
15.1%

0.2%

Workforce level definitions. See Job Category by Gender for definitions.

60%

2

From 2020-2022, onsemi did not employ any Frontline hourly

employees in the U.S. All U.S. Frontline employees are salary.
White
Asian
Undeclared
Hispanic or Latino
Two or more races
Black or African American
American Indian or Alaska Native
Native Hawaiian or other
Pacific Islander

16.2%

2022 Sustainability Report			Ensuring Social Responsibility |44

Table of Contents

Introduction

Recruitment and Retention

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

New Hires by Job Category1 (Employees & Percentage)

We proactively seek new candidates to add to our innovative andcustomer-focused organization. We look for talented individuals who
desire challenging, empowering and engaging careers. To diversify our

3 | 0.05%
2 | 0.03%

workforce and balance our company culture, we recruit university graduates¹Job categories are defined

12 | 0.21%
116 | 2%452 | 7.8%
1,188 | 20.51%

and candidates from diverse backgrounds and various perspectives. We

in alignment with McKinsey
Women in the Workforce level
definitions. See Job Categoryby Gender for definitions.

Executives

consider recent graduates to be individuals who have been hired by onsemi

SVPs

within two years of graduating from a reputable educational institution.

VPs
Senior Managers
Managers

New Hires by Gender (Employees & Percentage)

Entry Level
Frontline (Salary)

3,354 | 58%

4,020 | 69.4%

FemaleMale2,439 | 42%

New Hires by Region (Employees & Percentage)

5,793

Total New Hiresin 2022

New Hires by Age (Employees & Percentage)327 | 6%

1,208 | 21%394 | 7%

3,451 | 59%

APAC
Japan

< 30 Years Old

EMEA

30 – 50 Years Old

North America

47 | 1%> 50 Years Old

4,144 | 71%
2,015 | 35%

2022 Sustainability Report			Ensuring Social Responsibility |45

Table of Contents

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Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Recent College Graduates by Age (Employees & Percentage)
50 | 42%

Impacting Our Community Through Giving

Recent College Graduates by Region (Employees & Percentage)
25 | 21%

3 | 3%

Committing to a Responsible Business

Appendix

Recent College Graduates by Gender (Employees & Percentage)85 | 71%
34 | 29%

40 | 34%

APAC
18 – 21 Years Old

Japan

Female22 – 24 Years Old

EMEA

Male

≥ 25 Years Old

North America

54 | 45%
66 | 55%

Interns by Age (Employees & Percentage)79 | 20%

Interns by Region (Employees & Percentage)

Interns by Gender (Employees & Percentage)134 | 33%

129 | 32%

286 | 71%
115 | 29%
APAC
Japan

18 – 21 Years Old

EMEA

Female22 – 24 Years Old

North AmericaMale≥ 25 Years Old

167 | 42%
193 | 48%2022 Sustainability Report			100 | 25%

Ensuring Social Responsibility |46

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Retention Data
Employee Turnover1 by Age (Employees & Percentage)937 | 14%

Employee Turnover1 by Gender (Employees & Percentage)

Employee Turnover1 by Job Category2 (Employees & Percentage)

3,901 | 58%

2,910 | 43%

16 | 0.2%2,803 | 42%< 30 Years Old
30 – 50 Years Old

248 | 3.7%
761 | 11.4%
1,064 | 15.9%

10 | 0.1%

FemaleMale> 50 Years Old

2,857 | 43%

4,255 | 63.5%

Employee Turnover1 by Region (Employees & Percentage)
1,469 | 22%346 | 5.2%

Executives (0%)

Senior Managers

Frontline (Hourly)

SVPs (0%)

Managers

Frontline (Salary)

VPs

Entry Level

Interns

604 | 9%²Job categories above are defined in alignment with McKinsey Women in the
Workforce level definitions. See pg. 40 & 41 for definitions.

APAC
Japan
EMEA
North America

4,484 | 67%
147 | 2%
¹Represents distribution of a total of 20 percent employee turnoveracross these categories.

Employee Turnover
15% Voluntary
5% Involuntary2022 Sustainability Report			Ensuring Social Responsibility |47

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Internal Transfers and Promotions
In addition to our external recruiting efforts, we support internaltransfers and promotions to allow employees the opportunity

Committing to a Responsible Business

Appendix

Internal Promotions by Gender (Percentage)64%

to gain experience taking on a new role or responsibility.

36%

Equal Opportunity Employment
FemaleWe are an equal opportunity employer and maintain policies andMalepractices that are designed to prevent discrimination against any
qualified applicant or employee to the extent prohibited by federal,state and local laws and regulations. Discrimination based on race,color, religion, ancestry, national origin, sex, age, marital status,
sexual orientation, disability, medical condition, genetic informationand status as a Vietnam-era or special disabled veteran, politicalaffiliation, union membership, gender orientation or expression isInternal Transfers by Gender (Percentage)prohibited.
49%
Our policy of non-discrimination applies to all employment practices
including hiring, placement, promotion, compensation, benefits,
training and termination. Equal opportunity can only be achieved
through leadership, commitment and implementation of our Diversity,

FemaleEquity and Inclusion (DEI) and affirmative action programs.

Male

51%

2022 Sustainability Report			Ensuring Social Responsibility |48

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Diversity, Equity and Inclusion (DEI)
onsemi has long remained committed to DEI. We are strongest when drawing on
the diverse experiences, knowledge, cultures and backgrounds of all employees;

DEI Mission

we celebrate differences, promote equity and maintain an inclusive workplace for

To build a DEI culture across the organization

To have a culture where diversity, equity andthrough focused efforts across workforce

inclusion are embedded in everything we do.

our employees. DEI helps us continue to encourage the creativity and innovationnecessary to maintain a competitive advantage in the global marketplace.
We consistently strive towards a more diverse, equitable and inclusive workplace,

DEI Vision

diversity, workflow equity, workplace
inclusion and community partnerships.

which benefits our company and enables us to successfully meet the needsof our customers, suppliers, employees and shareholders worldwide.

Our DEI strategy includes an integrated plan consisting of five pillars:

Policies, Practices
and Procedures

Strongestwhen drawing on the diverse experiences,knowledge, culture and backgrounds

Learning andDevelopment

Measuring
Success

from all employees.
Talent andSuccession Pipeline
Communication
and Awareness2022 Sustainability Report			Ensuring Social Responsibility |49

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

onsemi strives to build a diverse talent pipeline. We understand this means more than just attracting a diverse
workforce. We train leadership on how to best mitigate unconscious bias during the interview and hiring process,as well as provide general unconscious bias and DEI learning for employees around the globe.
STEM Organizations

Diverse Hiring Programs

We participate in multiple diversity conferences andWe engage with multiple organizations to attract a more

career fairs across North America throughout thediverse workforce. Some of our partner organizations

year including (but not limited to) National Society

include:of Black Engineers, Society of Hispanic Professional• Historically Black Colleges and Universities (HBCUs)

Engineers (IEEE) Women in Engineering (WiE). We
also partner with organizations in Asia including
Women in Science, Engineering and Technology(WISET) foundation.

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Employee Resource Groups

Workforce Diversity

Engineers and Institute of Electrical and Electronic

Ensuring Social Responsibility

Our Employee Resource Groups (ERGs)

to understanding all generations in thehelp facilitate equity in the workplace.

workplace and connecting the company

They evolve through organic formation

with the evolving employee community.

and are business-facing groups that
support our recruitment, retention,

Black Employee Network (BEN)

development and advancement objectives.

BEN, established in 2019, fosters anenvironment that is conducive to theWErecruitment, retention and career

WE, established in 2014, focuses on

advancement of Black employees. Thisempowering and supporting women togroup is committed to promoting theto provide scholarships and internship opportunities.

succeed through professional development

company brand and emerging market• EMEA, Embedded partnerships with local universities:

in business, strategic and financial acumen.

penetration in the Black community.

Science, Technology, Engineering

Continuaand Mathematics for Underrepresented

Continua, established in 2020, works to

Populations (STEM UP)

cultivate an inclusive workplace where all

STEM UP, established in 2015, strives to

employees are free and encouraged todevelop and retain a diverse workforce,be themselves. This group advocates forwhich will positively impact our company’s

those who are - and who support - LGBTQ+

innovation and performance. This group’s

people in our company, in our families andprograms are focused on retaining

in our communities.

onsemi consults local universities on curriculums toprepare graduates for the semiconductor industry.
• India, onsemi alumni connections: Current onsemi

Succession Management

employees partner with their alma mater to

Succession management aligns with the company’sorganize pre-placement talks and showcase onsemi

business priorities and future growth strategy. It

technologies to attract top engineering school talent.

is an integrated process designed to identify anddevelop employees for growth into key roles within
the company.

employees and developing new talent in
the local area for the underrepresented

Veteran and Military Employees (VME)

population.

VME, established in 2020, helps recruit
veterans and military members, provides

We train leadership on how to best mitigate unconscious
bias during the interview and hiring process, as well as
provide general unconscious bias and DEI learning for
employees around the globe.

2022 Sustainability Report			

Cultivatetransitional assistance into the civilian

Cultivate, established in 2018, works

workforce, develops and retains theseto unite a group of diverse generations

employees and increases networking

who are committed to engaging thethrough community outreach.

workforce and enhancing our collaborative
company culture. This group is devoted

Ensuring Social Responsibility |50

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Workforce Inclusion
As a global employer, we must engage and address
the local needs of all employees regardless of theirrole or location.

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixCommunity Partnerships
The onsemi Giving Now program enables strong

talent to find their career and purpose in thealliances with external organizations to better understandmicroelectronics industry. Workforce and talent

the needs of our community members. We partner withpipeline development ensures faster time-to-better

leading organizations to expand our positive impact andbusiness results for the semiconductor industry.

advance DEI initiatives within our local communities.
The Global Diversity, Equity and
SEMI Workforce Development and DEI Council

Inclusion Benchmarks (GDEIB)

We are members of this council that guides strategy,

As a sponsor, we use GDEIB as a resource forprioritization, scope and desired outcomes toresearch and education to improve our diversity,

support pathways for both future and current

equity and inclusion practices around the globe.

DEI Benchmarking
onsemi participates in multiple industry-recognizedIndex, which tracks the performance of public

diversity surveys annually to ensure we are accurately

companies committed to disclosing their efforts

measuring our performance to internal initiatives andto support gender equality through policy

external benchmarking.

development, representation and transparency.

Military Friendly® Company
In 2023, onsemi was recognized as a Military Friendly®
Company for the fourth consecutive year. Military
Friendly® measures an organization’s commitment, effort
and success in creating sustainable and meaningful
benefits for the military community.
Bloomberg Gender-Equality Index (Bloomberg-GEI)For the third consecutive year, onsemi was

McKinsey Women in the Workplace
In 2022, onsemi participated in the McKinsey Women in
the Workplace study which provides an overview of HR
policies and programs, including HR leaders’ sentimenton the most effective DEI practices and explores theintersectional experiences of different groups of womenat work. Our participation helped inform the 2022 Reportand findings within the Technology - Hardware industry.

named to the 2022 Bloomberg Gender-Equality

2022 Sustainability Report			Ensuring Social Responsibility |51

Table of Contents

Introduction

Our Business

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

onsemi knows that it is imperative to infuse equity as the
UNITS

2022

2021

2020

integrator for seeking a diverse workforce and inclusive
workplace. Equity is creating access for our employees toGeneral DEI Disclosures
Employees with a disability

Ensuring Social Responsibility

Workforce Equity

DEI Data
DISCLOSURE

Protecting Our Planet and Environment

Percentage

0.39

0.28

NR

Number4

NR

NR

Percentage

29

NR

NR

Number0

NR

NR

Percentage

0

NR

NR

Number13

NR

NR

Percentage

20

NR

NR

Number

155

NR

NR

Percentage

14

NR

NR

Number

807

NR

NR

Percentage

21

NR

NR

Number

605

NR

NR

Percentage

24

NR

NR

Number

903

NR

NR

Percentage

17

NR

NR

have the same opportunities to develop skills consistent
with our business objectives and core values.

Women in Leadership and STEM
Women in Executive Role
Women in SVP Role (not alreadyincluded in Executive)¹
Women in VP Role (not alreadyincluded in Executive)
Women in Senior Manager Role

Women in Manager Role
Women in all management positions
in revenue-generation functions
Women in STEM-related position

903

Women in
STEM-related position¹All female employees at onsemi in the SVP role report to the CEO and are therefore categorized
as members of the Executive team.

2022 Sustainability Report			Ensuring Social Responsibility |52

Table of Contents

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Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Learning and Development (L&D)
onsemi is committed to providing career advancement and development
opportunities to employees. Employees are crucial to the success of ourcompany and it’s important for us to provide global programs that recognize,

LEAD Embark

LEAD Ascend

develop and enable employees to develop in their careers. We categorize

Our LEAD Embark program is geared towards

Our LEAD Ascend program is geared towards mid-level

our L&D offerings into three distinct categories: leadership development

new people managers and high-potential individual

experienced managers and high-performance leaders

training, professional development training and compliance training.

contributors at our company. The program consists

and critical talent at the company. The program consistsof 27 learning hours.

of 46 learning hours.

Employees are encouraged to partner with their manager to craft a

In 2022, 332 employees participated in the

During 2022, 314 employees participated in the

personal development plan that aligns with their career goals.

LEAD Embark program globally (Employees)

LEAD Ascend program globally (Employees)

Per our career development philosophy, employees own their careers
by leveraging the programs, tools and resources available to them.

15

26

Leadership Development Training

222

Leadership Exploration and Development (LEAD) Programs

116

84

183

We recognize that individuals at all levels are on their own leadership
journey. We are committed to providing our leaders with the tools
necessary to succeed. We have two programs under our LEAD
umbrella, LEAD Embark and LEAD Ascend. These longitudinal, cohortbased programs take new and mid-level managers through curated
instructor-led classes and self-directed courses, over nine months.
The LEAD programs are designed to help leaders develop new
capabilities, challenge their current mindset and change behaviors.

Americas

Key talent and new people managers at onsemi may be nominated to

APAC (including Japan)

EMEA

Americas

APAC (including Japan)

EMEA

participate in our flagship leadership training programs within LEAD.

Employees own their careers byleveraging the programs, tools andresources available to them.

2022 Sustainability Report			Ensuring Social Responsibility |53

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Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixProfessional Development Training
E-Learning

Instructor-Led Training

All employees have access to Percipio, our global online learning

Throughout 2022, onsemi continued to offer instructor-led professional

platform, which contains training content from third-party providers

development training sessions for employees. Given our global

and custom onsemi training content. Percipio empowers employees

footprint, our instructor-led training courses are offered in various

to take ownership of their development by offering a full range offormats and languages to ensure all employees can take advantage

video lessons, digital books, audio courses and curated “learningof and learn from these professional development opportunities.

journeys,” available 24/7 on any computer or mobile device.
By leveraging hybrid training and collaboration platforms, employees
In 2022, about 12,000 employees participated in the e-learning courses,

across the globe can participate in instructor-led and interactive training

completing around 60,000 courses – all together, making approximately

sessions, facilitated by professional, internally certified instructors.

73,000 hours of total course time across 3,000 unique course titles.
Percipio offers onsemi the capability to upload customized, curated
content for our employees to engage with, including content from HR,
finance, environmental health and safety and other departments.
Courses cover a wide array of professional development,
leadership, management, business acumen and technology

73,000hours

of total course time, across 3,000

training subjects. Global HR regularly promotes featured “learning

unique course titles, completed byjourneys” on our internal SharePoint site and regional HR leadership

12,000 employees in 2022.

recommends relevant courses to local employee groups.

2022 Sustainability Report			Ensuring Social Responsibility |54

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Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Compliance and Mandatory Training

Learning and Development Data

L&D coordinates the production and delivery of

Average hours of training per employee (Hours)

compliance training content across the company. New
employees at onsemi are automatically assigned a2022

package of e-learning modules upon hire, which must

5.9 1

2021

be completed within 45 days. These courses are also

3.5 2

2020

19.8 3

0

5

10

15

20

assigned to our employees annually.
• Workplace Harassment Prevention• Code of Business Conduct

Employees Receiving Training (Employees)• Corporate Social Responsibility

2022

12,405 1 | 38% 1

2021• Information Security Awareness

8,788 2 | 26% 2

0

2,500

5,000

7,500

10,00012,50015,000¹Data from E-Learning platform does not include technical training or hours from Leadership
Development programs. Based on a population of 32,366 employees.
²Data from E-Learning platform does not include technical training or hours from Leadership
Development programs. Based on a population of 33,690 employees.
³Calculated using the number of participants enrolled in L&D programs at the company.
Moving forward, average hours of training will be calculated using total employee headcount.

In 2022, our L&D team took ownership of our
New Employee Orientation (NEO) program andnow leads, designs and maintains the overall

12,405
employees received
training in 2022

program for new hires from 1 – 90 days of
employment. NEO is onsemi’s first opportunity
to engage with incoming talent and includes
touchpoints from many functional areas,
ensuring our new employees are set up for
success in their careers at the company.

2022 Sustainability Report			Ensuring Social Responsibility |55

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Employee Compensation and Benefits
We strongly believe that setting clear performance

These programs include competitive

expectations and goals leads to an overallbase salaries, performance-based cash

improvement in business performance. We

incentives and equity awards, an employee

encourage our managers to use fair performancestock purchase plan (subject to location),management processes by setting clear expectations,comprehensive health-care plans anddelivering regular feedback and identifying

company contributions to retirement plans,

career paths and development opportunities.

which ensure employees have the means toadequately prepare for life after onsemi.

Performance Management
onsemi’s performance management process reinforces

Benefits and Programs

our commitment to recognize and distribute rewards

onsemi offers a competitive benefits packagethat reflect each employee’s personal contributionthat meets the needs of our diverse workforce.

and ensures we distinguish top performers.

To ensure we are strategic in our offerings, benefits are

We do this through our year-long performancehandled at a regional level. This allows us to cater ourmanagement cycle, which will look different for eachpackages to employee values and culture, no matter

employee based on their role. The cycle includes

where they are in the world. Our HR team keeps agoals, quarterly check-ins, self-assessments, 360

pulse on benefits trends to ensure we are offering a

feedback, performance appraisals and annual

well-rounded and competitive benefits package. We

performance conversations with a manager.

benchmark our benefits plan across the largest andmost credible benefits survey data in the industry.

In 2022, all eligible employees received andWe annually review benefits from a plan design andcompleted a performance appraisal.

cost perspective to ensure that they are at market.

Compensation and Awards
To recognize employees who make a positive impact at
onsemi, we offer a variety of reward and performancerecognition programs.

2022 Sustainability Report			All regions offer a range of health and/or wellness
programs, time off and savings benefit programs. Most
programs are open for all employees from their first dayof employment, although some apply a vesting period
or minimum requirement of working hours per week.

United States Benefit Program Highlights:
Domestic Partner Coverageand their family members at no cost.

providers and institutions, sorting out

onsemi employee’s domestic partner andLyra provides confidential mental healthclaim questions, billing and payment

their domestic partner’s children are eligible

support to all employees and their spouses,

arrangements and related administrative

for benefit coverage once the appropriate

domestic partners and dependents.

issues, secure second opinions to help

paperwork has been submitted. Coverage

provide peace of mind and much more.

includes medical, dental, vision, life

Lyra offers expert and compassionate support

Health Advocate is provided to employees

insurance, voluntary benefits and more.

for all types of needs and preferences. Lyra

and their family members at no cost.

can help with burnout, anxiety or depression,
Lyra

caregiver stress, racial stress/trauma or even

BlueCare Anywhere

onsemi believes that our employees andsuggest ways to improve relationships; Lyra

For employees and dependents enrolled

their family’s emotional health are vital

has a care option that is right for everyone.

in the company’s high deductible healthto an employee’s productivity and overallplan with BlueCross BlueShield, telehealthwell-being and that sometimes expert

Health Advocate

services are available through BlueCareassistance can help an employee deal

Health Advocate offers confidential support

Anywhere. This service makes it easy forwith household difficulties. The company’s

to help make sense of health care. Services

members to talk to health care providers

employee assistance program (EAP) offered

are provided by Personal Health Advocates,

immediately, from any location using theirthrough Lyra provides a variety of services

typically registered nurses, backed up by acomputer, tablet or smartphone. It is an

to help employees and their families

team of medical directors and administrative

affordable alternative to urgent care anddeal with problems that life might throwexperts who will aid in a variety of topics

costly ER visits when immediate care istheir way. EAP is provided to employees

including identifying leading health careneeded or for routine health conditions.

Ensuring Social Responsibility |56

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

APAC Benefit Program Highlights:
Wellness Program, Malaysia

Onsite Clinic, Taiwan

onsemi in Malaysia engages a third-party company toonsemi in Taiwan provides an onsite clinic for employees to use.

deliver wellness talks on health risks, balanced diet and

Employees can be seen by the attending doctor or nurse depending

physical fitness to employees. onsemi Malaysia organizedon the severity of their illness.

a weight loss challenge program to encourage employees
to maintain a healthy weight. Employees who lose weightWellness Program, Philippines (Carmona, Tarlac, Cebu)

to achieve a healthy weight are rewarded for their efforts.

onsemi in the Philippines provides and facilitates health andwellness-related education to employees on a monthly basis.

EAP, China Sales & BU

Topics include mental health awareness, anger management,

Sales and business units in China provide a full range

burnout and how to manage stress in the workplace. A yearlyof high-quality EAP services for employees, including a

medical and physical checkup is also required for all employees.

mental counseling hotline, one-on-one professional mental
counseling, live mental health lectures and activities,
a mental health self-assessment and recorded mental
health courses employees can take when needed.
Badminton Club, China, Shenzhen (ONSC)
The onsemi ONSC labor union has partnered with a local
badminton club to provide employees with free accessto the venue every Tuesday. This benefit is paid by the
ONSC labor union with no cost to employees. This benefit
supports employee wellness by incentivizing physicalactivity and allows employees to explore a new sport.

EMEA Benefit Program Highlights:
Meditation Space, Germany
Meditation and relaxation rooms onsite for employees
to use throughout the day.
Green Commuting, Belgium
For employees who are entitled to a company car, they are
required to choose an electric vehicle. Employees who are notentitled to a company car are entitled to a bicycle allowance.
Wellness Subsidy, Czech Republic
All employees receive monthly contributions/credits to be used
for their well-being activities. Employees receive debit cards
that can be used to pay only for well-being activities (sports,
cultural activities, wellness, health products, etc.). Credits areadded monthly, amounts are based on employee seniority.
Bike Storage Onsite, Slovakia & Romania
Employees are encouraged to bike to work to boost wellness,eliminate carbon emissions from commuting and reduce
traffic congestion. Bike storage and showers are available
onsite for employees to use once they arrive at the office.

2022 Sustainability Report			Ensuring Social Responsibility |57

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Employee Engagement
We are committed to optimizing the employee

One way to ensure we understand employee sentimentexperience for team members around the globe to

and focus on the right improvement actions is to look at

ultimately provide optimal customer experience. To do

the progress made in the previous survey’s focus areas.

this, employee feedback highlights what we are doing
well and where we need to focus. In 2022, we had two

The company exceeded target scores for theimportant touchpoints: a monthly onboarding survey

two 2021 focus areas: mitigate obstacles (goal 81

for new employees at their 90-day anniversary and apercent; actual 84 percent) and improve cross-total company pulse survey at the end of the year toorganization communication (goal 78 percent; actual

monitor progress on key initiatives and focus areas.

84 percent). Several actions were implemented
during 2022 to impact these focus areas.

New Hire Onboarding Survey Highlights
In 2022, we launched a 90-day onboarding survey tocheck in on how things were going with our new hires.
The purpose of the survey was to identify what wasworking well and what improvements were needed as
we introduced new employees to the company. From
the feedback collected, there was consistency in new
employees understanding how their work contributed
to company business objectives and feeling very
positive overall about their onboarding for the first 90
days. Areas of improvement that were identified fromthe feedback included needing equipment, tools andresources to do their job effectively and providing
information more readily to do their job. Improvement
actions were taken to target the issues identified.

A new Goals Planning system was implemented tobetter align employee goals across the organizationand enhance employee understanding of how
their work supports the company strategy.
A new Memo tool was deployed to document
important information and decisions to be sharedacross organizations. This tool serves as a knowledge
management system that is searchable and keeps ahistorical record for current and future reference.
Another improvement came with the deployment of
the Beekeeper Mobile App for global employees. Thisapp provides a platform for broadly communicating
relevant company-wide information as well asbuilding customized streams to communicate with

Pulse Survey Highlights

specific groups. And most importantly, it connects

In 2022, the total company pulse survey was

employees without regular access to a computercompleted by 75 percent of our employees

to company and site-specific news and updates.

representing all company locations across the

Employees overall are satisfied with the company andglobe. The overall engagement score was 90

would recommend it as a good place to work. They

percent, a two-point increase from the previous

also enjoy good relationships with their peers and are

year’s score, suggesting that employees continuealigned with the mission and vision of the company.

to feel very positively toward the company.
2022 Sustainability Report			Ensuring Social Responsibility |58

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Impacting Our Community Through Giving

Creating Meaningful
ChangeGiving Now Program, Community
Investments and Commercial Initiatives

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixTable of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Giving Now Program, Community
Investments and Commercial Initiatives
Combined with our mission to propel the world forward

protecting our planet and the environment, adheringwith intelligent technology and a goal to achieve net zero

to responsible business practices and serving ouremissions by 2040, we understand that how we work, impact

communities through the investment of resources.

the environment and give back makes a difference to thecustomers we serve and the communities in which we live.

onsemi supports giving activities through the ON

onsemi invests in our communities in three broad ways:

Semiconductor Foundation (the Foundation), which is part ofthrough our corporate philanthropic Giving Now Program,the onsemi Giving Now program. The Foundation, which wasCommunity Investments and Commercial Initiatives.

created in 2019, is overseen by an employee-based Boardof Directors, who manage its daily operations and approve

We have a passion to drive change and make the world arecommendations from global employees acting as local grantbetter place, building trust with stakeholders by empowering

advisors.

people through technology and advancing social impact
initiatives. We demonstrate our commitment to social impact

Since 2016, onsemi has funded more than $9 million in grants,

through our Giving Now philanthropic program, investments

disaster relief efforts, employee matching and dollars-for-doers

in our communities and commercial initiatives.

for employee volunteerism, etc. Through our diverse networkof grant advisors, we can carefully select our community

The Giving Now program was launched in early 2022

partners based on need, while also considering cultural,as part of our Tomorrow, today campaign. Thisinstitutional and operational differences across regions.

campaign includes championing social responsibility,

The Giving Now program drives positivity forward by creating meaningfulchange for our planet and the global communities where we have apresence. The Giving Now program prioritizes giving in three simple ways:

1

Give to Donate
Match employee giving

2 Give to Educate

STEAM (Science,

3 Give to Help

Provide local disaster relief

and support volunteerism

Technology, Engineering,and revitalize communities

for causes they care

Art and Math) Education

after emergencies.

about most.

grants to help students inunderserved communities
achieve their dreams.

2022 Sustainability Report			Impacting Our Community Through Giving |60

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Give to Donate
To further engage employees in our social impact work, we also support

With these expanded benefits being offered globally in 2022, many

employees in their monetary giving efforts by matching donations dollar-of our sites hosted days of service to our employees to give them thefor-dollar up to $1,000 (or country equivalent) per year, per person, withability to volunteer their time conveniently and in a meaningful way.

a minimum of $1 (or country equivalent), to qualified organizations.

Learn more here.

We understand the importance of having the company and its

onsemi also held special activities during Global Volunteer and Earthemployees not only perform well, but also make a positive impact

Months in April 2022. The environmental, social and governanceon people’s lives. To increase employee engagement and enrich(ESG) team organized local in-person events in partnership with

communities around the world, we expanded volunteer program benefits

previous grantees for headquartered employees in Arizona.

to employees in Asia and Europe. We initially introduced the employee

Employees packed School Readiness Kits with the Valley of thevolunteer program in North America in 2017, inspiring employees to

Sun United Way, cleaned the Rio Salado Habitat Restoration

volunteer their time, talent, energy and effort in their local communities.

Area with the Arizona Sustainability Alliance and kept public
lands clean at the Lower Salt River with Natural Restorations.

Through our employee volunteer program, employees may volunteer
with eligible organizations during company time for up to one day,In addition to these in-person events, onsemi organized global virtual

traditionally eight to 12 hours per year depending on their role at thevolunteer events in partnership with Visit.org, including having

company, while receiving their typical pay for the time spent.

employees volunteer to learn more about how to make a positive impact

Employees are also encouraged to participate in volunteer eventsby practicing environmentally friendly habits for one month and meetingorganized by the company.

with a climate scientist to deepen their knowledge around climatechange. In one of the online sessions, onsemi employees learned about

To incentivize these positive contributions, we also match employees’

five focus areas created by Ecochallenge using the United Nations

volunteer efforts through a dollars-for-doers program, where onsemi

Sustainable Development Goals. Each focus area contained 11 actions

donates $10 (or country equivalent) per hour to approved charities

that individuals can take daily to integrate sustainability into their lives.

and educational institutions for each hour volunteered up to $1,000 (or2022 Sustainability Report			country equivalent) per year, per employee (this equates to a volunteer

Overall, we doubled employee impact with over $235,000 in matching

matching grant, which goes directly back to the cause they supported

support tied to these programs. These initiatives allowed us to harness

as a volunteer). These employee volunteer program benefits are now

the collective goodwill of our people and channel it to make a difference

offered to all employees globally and over 1,800 hours were logged byin the world while also enabling our employees to have a powerful

employees in 2022.

impact as a volunteer.

Impacting Our Community Through Giving |61

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix2022 GIVING, COMMUNITY INVESTMENTS AND COMMERCIAL INITIATIVES SUMMARY

Give to Help
We provide local disaster relief support, helping

Additionally, we matched our employees’ donations dollar-

to revitalize communities after emergencies. In

for-dollar and these campaigns resulted in more than2022, we supported these efforts with direct$65,000 being given to causes globally that helped during

donations of $195,000 to various agencies.

these disasters to provide shelter, food and medicine.

In February 2022, we aided the humanitarian crisis in

Give to Educate

Europe. We not only assisted the Ukrainian people but
those affected by other ongoing humanitarian crises
around the world and provided $150,000 in support for twoorganizations providing immediate relief and assistance.
The Global Giving Foundation’s Ukraine Crisis Relief
Fund received $100,000 to support impacted communities
in Ukraine and surrounding regions, including Romania,
Slovakia and the Czech Republic, where Ukrainian refugees
fled. The U.S. Association for UNHCR received $50,000 to
support the United Nations (UN) Refugee Agency, whichworks in 132 countries and territories providing disaster
relief and support for the over 82.4 million people aroundthe world who have been forced to flee their homes.

onsemi, through the Foundation, is committed to building
brighter futures through funding science, technology,

AmountPercentage
of Total

Give to Donate

Give to Educate

Give to Help

Charitable
donations1, 4$733,000

33%$733,000$0$0Community
investments2, 4$933,00041%$0$738,000$195,000

Commercial
initiatives3, 4$585,000

26%

Not Applicable

Not Applicable

Not Applicable

Totals$2.251 Million

engineering, the arts and math (STEAM) activities forunderprivileged youth in underserved communities. These
efforts help to inspire young scholars to get excited about
STEAM. In Fall 2022, the Foundation was able to award
approximately $738,000 in grants to 39 organizations
globally. Funding for various STEAM projects included
afterschool programs, field trips, summer camps, experiential
learning for students and educator/teacher upskilling. Learn
more about the organizations that received funding during
the fall 2022 grant cycle here.

Total Employee andCompany MatchDonations ($)

Cause Country

Cause Category

CLOVEK V TISNI, O.P.S.
(PEOPLE IN NEED)$52,000

Czech Republic

International, Foreign Affairs
and National Security

UNICEF USA$21,000

United States

International, Foreign Affairs
and National Security

AMERICAN NATIONALRED CROSS$19,000

United States

Public Safety, Disaster
Preparedness and Relief

GLOBAL GIVING
FOUNDATION$16,000

United States

International, Foreign Affairs
and National Security

INTERNATIONALMEDICAL CORPS$15,000

United States

International, Foreign Affairs
and National Security

2022 Sustainability Report			$1.6 Million - tied to Giving Now program initiatives¹Charitable donations: One-off or occasional support to good causes in response to the needs and appeals of charitable and community organizations, requests from
employees, etc., and includes matching employee donations.
²Community investments: Long-term involvement and partnership with community organizations to address social issues including grants.
³Commercial initiatives: Business-related activities in the community that promote the company and its brand, in partnership with charities and community-based organizations,such as support for universities as well as research and development.
⁴Adapted from guidance tied to the London Benchmarking Group model for documenting types of philanthropic activities at companies.

TOP FIVE GLOBAL PHILANTHROPIC CAUSES SUPPORTED BY EMPLOYEE AND COMPANY MATCH DONATIONS
Cause Name

Giving Priority

Category

TOP FIVE PHILANTHROPIC CAUSES GLOBALLY BY EMPLOYEE VOLUNTEERISM
Cause Name

Total Volunteer Hours

Cause Country

Cause Category

BOYS & GIRLS CLUBSOF THE VALLEY INC

170 hours

United States

Youth Development

FEED MYSTARVING CHILDREN

160 hours

United States

Human Services

IDAHO FIELD OF
HEROES MEMORIAL

120 hours

United States

Public and Societal Benefit

OREGON CHAMBER
PLAYERS110 hours

United States

Arts, Culture and Humanities

BHAKTIVEDANTACULTURAL CENTERISKCON OF PHOENIX INC

100 hours

United States

International, Foreign Affairs
and National Security

Impacting Our Community Through Giving |62

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix2022 Giving Now Program Highlights

increased over the past few years – in

In December 2022, our Bucheon (South
Korea) location began working with the
Joongbu Branch of Save the Children tofurther support their “Creating a safe place
for all children in Bucheon City” program,which supports children affected by abuse.
Suspected child abuse cases in Bucheon
City have significantly$363,000
donated by employees through the Giving Now platform,
which also provided an additional $235,000 in company
matching to more than 850 causes worldwide.

$1.66 million
in charitable donations to the global community in 2022.

128%
increase in employee volunteer hours over 2021 (becauseof employee volunteer program expansion in 2022).

2022 Sustainability Report			In December 2022, our Leshan (China)site supported the Leshan Special
Education School. School uniforms
and air-conditioning units were
donated to improve the quality of life ofstudents. Founded in 1985, the publicschool provides basic, vocational andrehabilitation education for blind, deaf
and mentally handicapped students.

We donated over 4,600 items(former company branding items
and various office supplies) at fairmarket value of more than $23,000
to Phoenix-based charity, Treasures
4 Teachers, a member-based
resource and supply store serving
the educators of Arizona. These
items helped students get accessto a wide selection of materials to
help expand their learning process.

2022 alone, there were approximately
700 child abuse cases reported. This
project addresses the emotional
aftereffects of abuse and prevents its
recurrence. The initiative is in its thirdyear of implementation and is continuing
to support abused children and theirfamilies, while introducing a safeguarding
policy in child welfare institutions.

In March 2022, onsemi leadersparticipated in a teambuilder
activity located in Phoenix, AZ(USA), during the first Leadership
Summit, which resulted in a
hands-on volunteer project forBoys & Girls Clubs of the Valley.
As part of their tasks, over 100
managers assembled 60 mBot
kits and 240 circuitry science,technology, engineering and math
(STEM) kits benefiting afterschool STEM programs at twoof the charity’s local branches.
This project equated to an inkind donation of $6,700 and 170
hours of volunteer time logged,
producing a volunteer matching
grant of $1,700 for the charity.
This investment of new resources
helped these clubs accomplish
their STEAM programming efforts
as well as increased interest
from participating youth in their
computer and technology skills.

The onsemi team at our Leshan (China) site has
been a dedicated supporter of the Yanfeng Hope
School since the school opened its doors in 2000,
providing a safe and nurturing environment forthe 700 students enrolled there. In December
2022, we donated new uniforms, a ping-pongtable and a badminton net. These items helped
to foster an atmosphere of learning and growthamong the students, promoting their potential
while also providing them with enriching pastimes.

In an effort to donate office goods while in
the process of preparing for the move of ourcorporate headquarters, we worked withlocal Phoenix, AZ (USA) charities to accept
new and gently used items, calculated
at over $22,000, which were given tofollowing organizations: The Salvation Army,
Arizona; Habitat for Humanity of Central
Arizona and Stardust Building Supplies.
The donated materials include food/drinks,
paper products, file cabinets and more.

Impacting Our Community Through Giving |63

Table of Contents

Introduction

Our BusinessCommitting to a Responsible Business

A Framework
for SuccessCorporate GovernanceEnterprise Risk Management and Business Continuity

Ethics and ComplianceFair Treatment

Supply Chain

Information Protection
Public Policy
Quality

Customer Experience

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixTable of Contents

Introduction

Corporate GovernanceAll business conducted by employees, managers and officers
at onsemi is under the direction of the chief executive officer(CEO) and the oversight of the company’s Board of Directors.

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

BOARD MEMBERGENDERAGE

TENURECOMMITTEESAtsushi Abe

Male

69

12

Audit

Alan Campbell

Male

65

8

Executive (Chair), Audit, Governance andCommitting to a Responsible Business

AppendixQUALIFICATIONS

Sustainability
Susan K. Carter

Female64

3

Audit (Chair), Governance and Sustainability

Thomas L. Deitrich

Male

56

3

Governance and Sustainability

Hassane El-Khoury

Male

43

3

Executive

Bruce E. Kiddoo

Male

62

3

Audit

Paul A. Mascarenas

Male

61

9

Governance and Sustainability (Chair), Executive,

The board and its standing committees have at least fourscheduled meetings annually to review and discuss reports bymanagement, as well as the performance of the company. Our
corporate governance principles set forth certain requirements
under which the board and management operate.

Board of Directors Summary
This summary represents the members of onsemi’s Board of
Directors and committee representation, effective immediately
following the Annual Meeting in May 2023. All directors are
independent, apart from Hassane El-Khoury, who also serves
as the president and chief executive officer of onsemi. We
have a board member age limit of 75 years of age.

Human Capital and Compensation
Gregory Waters

Male

62

3

Executive, Human Capital and Compensation

Christine Y. Yan

Female57

5

Human Capital and Compensation (Chair)

Qualifications Key:

2022 Sustainability Report			

Semiconductor/Technology

Environmental Social
Governance (ESG)

Compliance

Government Relations

Public Company Management

Manufacturing

Mergers andAcquisition

Sustainability/Climate

International

Finance

MarketingInformation Security

Enterprise Risk
Management (ERM)

Committing to a Responsible Business |65

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Board Evaluation

To measure its own operation against such principles and practices and to identify
and act on areas for improvement, each member of the board and its committees
performs an annual self-evaluation. The Governance and Sustainability (GS)Committee is charged with overseeing the self-evaluations, and in 2022, the GS

Impacting Our Community Through Giving

Development of
Self-Assessment Tools

Self-Assessment Launch andProcessing of Results• Input from Board Chair and Chair of• Results sent to Board Chair and are

Our board believes that having good governance principles and practices
improves their effectiveness and correlates to the creation of stockholder value.

Ensuring Social Responsibility

the GS Committee

reviewed by Board Chair and Chairof the GS Committee• Input from Corporate Secretary

Committing to a Responsible Business

Appendix

Feedback Incorporated

Board Review• Board Chair and Chair of the GS• Changes to practices are

Committee review results with fullconsidered and implemented,

board in executive session

as appropriate• Results inform the board’s
refreshment, recruitment andCommittee used the following process to conduct the board’s self-evaluation:

selection process

The Board of Directors believes that each of our

Committee Details

directors can and does benefit from candid feedback

onsemi’s Board of Directors has established four standing committees:

received from fellow directors about his or her individual

1. Audit Committee

performance. Accordingly, we conduct annual peer

2. Governance and Sustainability Committee

Board Oversight of ESG

evaluations to obtain information about each director’s

3. Human Capital and Compensation (HCC) Committee

The GS Committee has the responsibility of overseeing

and our other actions associated with the environment.

individual performance, contributions and effectiveness.

4. Executive Committee

environmental, social and governance (ESG), matters unless

In turn, the GS Committee will assist the board inthere is a specific matter connected to ESG initiatives

providing guidance and oversight in respect of strategy,

that is assigned to another committee of the board.

risk management, capital expenditures, opportunities

These evaluations are critical tools that promote moreauthentic board collaboration, improve the skills andEach committee is tasked with overseeing various aspects of the company

perspectives of our directors and allow them to receiveand carrying out the responsibilities specified in its respective charter.

constructive feedback from respected colleagues.

To view a copy of the formal written charter pertaining to each standing

For example, the HCC committee has the responsibility

One way the board and the HCC committee sought tocommittee, please visit the Investor Relations section of our website.

of overseeing the company’s policies and strategies withoversee ESG and ensure such initiatives were a priority inrespect to human capital, which includes diversity, equity

2022 was by tying aspects of onsemi’s 2022 compensationand inclusion (DEI). The HCC committee considers DEI

program to Scope 1, 2 and 3 emissions. Our 2022 long-in its broader review of pay equity within the company;

term incentive compensation program was designed so that

COMMITTEE MEETINGS

2022 Sustainability Report			and investments in the context of climate change.

CHARTER REQUIRED MIN.

IN 2022

Audit

quarterly meetings

9

however, both the GS committee and the HCC committee

part of the payout for performance-based restricted stock

Executive

meet as needed

2

play a role in the management and oversight of DEI.

units for our executive team related to the establishment

Governance and Sustainability

quarterly meetings

5

Meanwhile the GS Committee has also been tasked withof baseline Scope 1, 2 and 3 emissions in connection with

Human Capital and Compensation

quarterly meetings

6oversight of climate- and sustainability-related initiatives

our roadmap to achieving net zero emissions by 2040.

Committing to a Responsible Business |66

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixEnterprise Risk Management
and Business Continuity
The mission of our enterprise risk management (ERM) programis to drive strategic capabilities that preserve and create value
for our company by embedding a risk- aware decision-making
culture across all functions. To that end, we have developed
a process and framework to effectively identify, evaluate,
prioritize, manage and report key risks that can impact ourcompany’s ability to achieve strategic goals and objectives.
We identify critical risks by interviewing key stakeholders within
the company and reviewing external research on the risk landscape.
The risks identified and prioritized for action are closely tied withthe company’s operating and strategic plan. Risk response actions

Management Approach
Our ERM program is overseen by a risk committee comprised of
the CEO, chief financial officer (CFO), chief legal officer (CLO),
executive vice president (EVP) of Operations and Manufacturing
and chief strategy officer (CSO). To maintain accountability at thehighest functional level, executive staff members are appointed
as risk sponsors for individual risks and work with risk owners who
manage the risk on a day-to-day basis. The Board of Directors
have oversight responsibility as they ensure appropriate risk
management systems are in place and that risk-awareness isincorporated in the business strategy and decision-making.

and commitments are tracked for completion on a regular basis.
Ultimately, ERM is not considered a separate stand-alone activity,
but is rather integrated into the fabric of how we operate and

REI
Board of Directors/Board
Committee
1included within the activities and functions we engage in to run
our business and successfully achieve our goals and objectives.
We consider risks across multiple time horizons to align with ourbusiness strategy and financial planning activities. We also look at
longer-term horizons to capture emerging risks and long-term trends.

Executive Risk Committee
System Optimization

Enterprise Risk Management Team

Energy Conservation & Efficiency

Executive Risk Sponsors

Risk Owners Protocols
Infrastructure/Planning2022 Sustainability Report			Committing to a Responsible Business |67

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Climate Scenario Analysis & Risk Disclosure
Climate-related risks and opportunities impact businessdecarbonization trajectories, we can identify potential

units (BUs) and functional departments across theclimate-related physical and transitional risks that couldorganization in unique and nuanced ways. At onsemi,conceivably pose a material impact. These scenarios are

climate-related risks and opportunities are assessed,

not intended to predict the future, but instead, help us

managed and realized at the highest level of theunderstand our potential risk exposure and build resilienceorganization; we believe that the responsibility ofthrough activities to enhance our preparedness.

operationalizing mitigation and adaptation strategies in
response to climate-related risks and opportunities must

Using three plausible, distinctive, consistent, relevant

be integrated at every level of the company, ensuring

and challenging climate scenarios, onsemi executive

the success of our risk management program and giving

leadership, various functional owners and the ESG

us the ability to act nimbly at all levels when needed.

team participated in a climate scenario analysis. Ledby an external advisory firm, this analysis informed thedevelopment of a climate adaptation and resilience plan for

Climate Scenario Analysis

implementation at the company. Scenarios used assume

onsemi uses scenario analysis to understand theimpacts of climate change on our business operations,
corporate strategy and value chain. By understanding
the presumed operational context of different

various degrees of warming by 2100 and include social,technological, economic and political developments
considered plausible under each warming trajectory.

The three scenarios used to inform the development of a climate action plan for onsemi include:

1

Failure to Decarbonize:
Runaway climate change
resulting in warming above

2

Orderly Decarbonization:
Orderly decarbonization
resulting in warming

3

Disorderly Decarbonization:
Disorderly decarbonization
resulting in warming around

3°C by 2100, international

limited to 1.5°C by 2100,

2°C by 2100, the abrupt

cooperation breakdowns

advancement development,

and uneven introduction ofand increased potential

adoption of sustainableclimate policies and increased

for irreversible effects

technology and global

financial consequencesof climate change.

policies for decarbonization,of climate change.

including carbon pricing.

Through this exercise, relevant climate-related risks and opportunities were identified and socialized for inclusion in our overallbusiness strategy.
2022 Sustainability Report			Committing to a Responsible Business |68

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Risk & Opportunity Disclosure
At onsemi, we have identified potential climate-related risks
and opportunities, which could impact our business continuity,
strategy and financial planning. Risks identified include
transitional and physical risks with the capacity to impact
our own operations and value chain including our financials,
supply chain, workforce, company disclosures and reputation.
Climate-related opportunities identified include transitional andphysical opportunities related to increasing demand for onsemi
products and an increase in tangible and intangible asset
values. Our identified climate-related risks and opportunities
can impact onsemi over the near, medium and long term
depending on the risk or opportunity development
and maturity.
For a full list of onsemi’s climate-related risks andopportunities see the Risk and Opportunity Disclosure

Our scenario analysis detailed important metrics to help us
assess and monitor climate-related risks and opportunities
in line with our strategy and risk management process.
onsemi will explore monitoring the following metrics:• Product energy, water and emissions intensity• R&D expenditures for low-carbon products• Percentage of expenditure on energy efficiency

onsemi understands the importance of business continuity

on information systems; 7) labor shortages; 8) infrastructureand having systems of prevention, preparation and recovery in

disruptions, such as breakdown of transportation, waterplace to assist with the disruption of business functions andor sewage; and 9) pandemics. Additionally, we mitigate

processes that could affect our customers, partners and othercertain risks proactively through the qualification of

stakeholders. Our business continuity program systematically,certain products to a secondary production source.

consistently and effectively identifies and evaluates priorities andmanages key risks and opportunities affecting the company.

We maintain a rigorous process in which we are consistently
analyzing risks and working to reduce the likelihood and impact• Total energy consumption included percentage
We engage with internal and external industry experts to conductof negative events, while identifying how to capitalize on therisk assessments at our facilities and suppliers to identify

opportunities provided by the dynamic market and supply

areas of opportunity. The types of risks we face include: 1) key

chain in which we operate. We recognize that no amount of• Investment in climate adaptation measuresequipment failures; 2) interruption from externally provided

mitigation and prevention can stop all negative impact events• R&D expenditure on products that support

products, processes and services; 3) reoccurring natural disasters

from occurring and engage in a robust process of planning for(such as earthquakes, floods, volcanic eruptions); 4) fires; 5)

the response and recovery operations required to minimize

utility interruptions, such as power outages; 6) cyber-attacks

impact to our customers, partners and stakeholders.

from renewables• Total greenhouse gas emissions

customer decarbonizationtables within our Task Force on Climate-Related Financial
Disclosure in the appendix of this report, pg. 92.

Business Continuity

By identifying and monitoring our climate-related risks andopportunities, we can work to set further targets used toManagement Response to Risk and Opportunities
Through our scenario analysis, we have identified various
action planning and trigger monitoring activities to build

build resilience and reduce potential negative impacts fromidentified risks and realize potential positive impacts fromKey Equipment Failures

identified opportunities.

Interruption from externallyprovided products,

Labor shortages

processes and services

resilience to potential climate-related risks. We’re exploring thedevelopment of internal controls and procedures, adaptationand mitigation plans, identification of trigger events to inform

Recurring natural

future action and no-regret actions to be taken in response

disasters

Fires

Infrastructure
disruptions

to the outcomes of our climate scenario analysis. Owners will
be assigned to monitor and manage relevant climate-relatedrisks to ensure actions are being taken when appropriate toensure the resilience of business operations and strategies.

2022 Sustainability Report			Utility interruptions

Cyber-attacks on
information systems

Pandemic

Committing to a Responsible Business |69

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Ethics and Compliance

Code of Business Conduct

onsemi’s ethics and compliance program is designed to assist us in preventing, detecting and responding

onsemi’s Code of Business Conduct outlines the broad principles of legal andto unethical or illegal conduct, and promote an organizational culture of integrity, accountability andethical conduct embraced by our company core values of respect, integrity

compliance with the law. To do this, ethics and compliance are integrated into every level of ourand initiative, which guide every business decision. It is the responsibility of ourcompany from the Board of Directors and CEO to individual employees across the globe.

directors, officers and employees to comply with local laws and regulations,embrace our core values and exemplify our commitment to operating ethically.
The Code is structured to comply with the requirements of the Sarbanes-Oxley

Ethics and Compliance Program

Act of 2002; the Foreign Corrupt Practices Act of 1977; the Dodd-Frank Wall Street
Reform and Consumer Protection Act of 2010 and the Listing Rules of the NASDAQ

Provide Oversightand Accountability

Stock Market, Inc., among other laws and regulations. The ethics and compliance
Develop Policies,
Procedures and Tools

team reviews the Code regularly and ensures the Code is available for employees
to review in 14 languages, making it easily accessible to employees in all regions
where we do business. Every year, the Board of Directors and all employees are
required to read and acknowledge their understanding of the Code by taking
an online training course. Managers and employees are required to complete

Assess Risk

Communicate and Trainworkplace harassment awareness training on an annual basis and as tailored tomeet any specific legislative requirements based on their work location. We also
require managers and other select individuals to complete additional compliancerelated training courses related to topics such as data privacy, trade compliance,Continue to Improve

Engage, Investigate
and Reportetc., depending on areas of focus.

14 languages
make the Code accessible to employees
in all regions where we do business.

2022 Sustainability Report			Committing to a Responsible Business |70

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

onsemi Business Ethics Liaisons
Our network of Business Ethics Liaisons (BELs) across the

Ethics and Compliance Program

globe serves a critical role in promoting and institutionalizing
an ethical culture throughout our global operations. The CEO

The program aims to implement ethical principles into everyday businesssets the tone at the top by communicating expectations

operations by providing relevant training and practical guidance, targeted

and holding managers accountable for delivering on thosecommunications and dedicated resources. onsemi aspires to be a global

expectations. BELs further amplify these expectations at

leader in demonstrating the power of aligning business objectives withthe local and site levels, serving as a trusted resource fordoing the right thing. The ethics and compliance team administers andemployees seeking guidance or wishing to raise a concern.

executes the full program that manages the Code of Business Conduct(Code), related training and education, and oversees the intake, triage
and resolution of complaints and questions from our company helpline orHelpline

The BEL network, which is comprised of employees of many

U.S.: 1-844-935-0213

job functions and grade levels, is essential to the continual

All other locations: Click here for country-specific instructions.

strengthening of the company’s ethical foundation andother reporting channels. Our employees are empowered and encouraged

culture of integrity. Through quarterly calls, BELs get theto report potential ethics and compliance violations. Working closely

chance to review reporting metrics, share best practices,with key onsemi partners, the ethics and compliance team ensures allreceive training and discuss benchmarking trends in ethics

concerns are promptly and thoroughly investigated without retaliation.

and compliance.

onsemi always strives to comply with the law, and in certain areas,

The availability of BELs often gives employees access to a

we have adopted policies and practices that go beyond what the law

peer with whom they may raise potential concerns

requires to foster a culture of integrity and accountability. The law

outside HR and their management chain. The accessibility

department’s programs for anti-corruption, trade compliance and data

Governance Structureof this additional reporting channel helps our company

privacy are designed to include all the essential elements for effective

integrate ethics and compliance into our culture by building

compliance, including risk assessments, policies and procedures, training,

CEO and President

trust at the local level. We consider the fact employees

and monitoring and auditing thorough investigations and remediation ofchoose to raise concerns to BELs, more than any othermisconduct. These legal compliance programs are dynamic and continuallyreporting channel, to reflect the strength of the ethics andevolving as our company grows and the business landscape changes.

Board of Directors,
Audit Committee

Chief Legal Officer, Chief Compliance Officercompliance programs.
Senior Director, Ethics and Compliance

Avenues for Reporting
Employees have access to several reporting channels
including a helpline (managed by a third party and available

The BEL network
is essential to the continual strengthening of thecompany’s ethical foundation and culture of integrity.

2022 Sustainability Report			

Ethics is a top-down and bottom-up
process at our company, and every employee
is encouraged to talk about ethics, raise
concerns and share their experiences.

24x7 with translator availability to support locations where
we do business); the BELs; members of the ethics andBusiness Ethics Liaisons,
Ethics and Compliance

CSR Site Champions, andSubject Matter Experts

Key Stakeholders

compliance team; and direct access to the chief compliance

Environmental Health and Safety, Global Security, Global

officer and senior director, ethics and compliance. Further,

Supply Chain Operations, Human Resources, Internal

unless restricted by local law, employees may report to the

Audit and other Members of the Law Department

helpline anonymously.
Committing to a Responsible Business |71

Table of Contents

6 sites

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

were recognized for their efforts in supporting ourglobal commitment to being a model corporate citizen.

Fair Treatment
onsemi is committed to preserving and promoting thefundamental rights of others and ensuring everyone isawarded fair treatment. Our company Code of BusinessConduct, as well as the Responsible Business Alliance(RBA) code covers human rights in several areas, ensuring
we have a comprehensive stance on human rights andfair treatment that applies to all onsemi employees,
joint ventures, major suppliers, select service providers,
contractors and products and services. We have several
sites with collective bargaining agreements and we respect
our employees freedom of association with these groups.
To ensure our approaches are regularly updated, we
engage all relevant groups including, but not limited to,
ethics and compliance, environmental, health and safety,
HR, legal, global security and supply chain in our review
and due diligence process. Every individual and department
are responsible for understanding and upholding thefundamental rights of others.

RBA Member
The RBA is the world’s largest industry coalition dedicatedto corporate social responsibility (CSR) in global supply
chains. As an RBA member, onsemi is required tocommit to and be held accountable to a common Codeof Conduct and utilize a range of RBA training andassessment tools to support continual improvement in thesocial, environmental and ethical responsibility of their
supply chains. The RBA regularly engages in dialogue
and collaborations with workers, governments, civil

Validated Assessment Program (VAP)
One of the most fundamental RBA programs is the Validated

In 2022, six out of 10 onsemi sites were recognized for their efforts

Assessment Program (VAP). It is the leading standard for onsite

in supporting our global commitment to being a model corporate

compliance verification and effective, shareable audits.

citizen. The sites were awarded certificates from the RBA.

and values of a responsible global electronics supply

About half of our manufacturing facilities are scheduled for VAP

During 2022, VAP external audits were conducted by independent

chain. onsemi has been a member since 2009 and we

audits through RBA annually. We conduct internal RBA audits

third parties and we received the following recognitions:reaffirm our commitment to the alliance annually.

annually to ensure those facilities not slated for an official RBA VAP

society, investors and academia to gather the necessary
range of perspectives and expertise to support anddrive its members toward achieving the RBA mission

audit are remaining compliant to RBA Code standards. In 2022, 10
out of 18 onsemi manufacturing facilities were subject to internal
audits and 10 manufacturing sites participated in initial or closing
RBA VAP audits. Two onsemi manufacturing sites, Gresham, Oregon(USA) and Nampa, Idaho (USA) were audited both internally andexternally due to the rescheduling of our internal audits in 2022.
The primary value of an onsite compliance audit is thecorrection of identified issues. The RBA recognizes factories• Platinum (minimum VAP score of 200 and all Priority, Major andMinor findings closed): Nampa, Idaho (USA) and Roznov (Czech
Republic)• Gold (minimum VAP score of 180 and all Priority and Major
findings closed): Aizu (Japan) and OSBD (Vietnam)• Silver (minimum VAP score of 160 and all Priority findings closed):
Seremban Site One (Malaysia) and Gresham, Oregon (USA)that show a commitment to corporate responsibility throughverified closure of the issues identified in a VAP audit.

2022 Sustainability Report			Committing to a Responsible Business |72

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Human Rights
Our formalized Human Rights Policy demonstrates ourdefine and ensure that sufficient measures and controls arecommitment to preserving, protecting and promoting thein place to verify the minimum age of individuals working at

fundamental rights of others as reflected in the RBA Codeour company. As a rule, we only employ individuals who areof Conduct, Universal Declaration of Human Rights, United

at least 18 years of age by the first day of employment. The

Nations (UN) Guiding Principles on Business and Human Rights

only exception to this rule is in China, where the minimumand UN Global Compact to which we are a signatory. Our

age for employment is 16 years old. To confirm candidates forcommitment to international human rights standards and local

employment meet the minimum age requirement, members oflaws are rooted in our core values and reinforced through ourour HR department perform due diligence to make sure we are

Code of Business Conduct and other company policies.

complying with federal, state, regional and local requirements.
The global minimum age policy also describes the process to be

Prevention of Slavery and Human Trafficking

Freedom of Association
In accordance with local laws, we recognize the freedom of employees to establish or join an organization of theirchoosing, to bargain collectively, to engage in peaceful assembly or to refrain from such activities. We respect
the right of our employees to associate without fear of pressure, retaliation or reprisal. We also encourage open
communication on work-related topics, guidance or concerns with direct managers, department heads, division
general managers, human resources, BELs or a member of the ethics and compliance team.

followed and protection afforded to discovered child laborers.

To prevent slavery and human trafficking, we implemented
our Slavery and Human Trafficking Policy Statement, which

We apply the same minimum age requirement for employment atensures we are aware of and have zero tolerance toward humanour supplier companies and labor agencies. We work to ensure

rights violations. We have implemented policies, procedures andthat our suppliers have the necessary policies, procedures,

management systems to ensure that all work at our company ismeasures and controls in place through risk assessments and onsite

voluntary and that workers are legally entitled to leave the company

verification to avoid incidents of child labor within our supply chain.

without penalty. onsemi also ensures that workers’ governmentissued identification, original work permits and original personal
documentation are not withheld or otherwise destroyed, concealed

Employees Covered by Collective

or confiscated by our company or its labor agents. We train our

Bargaining Agreements (Percentage)

HR staff and labor agents on the company’s practices related toanti-human trafficking and conduct onsite verification to ensure

EMPLOYEES COVERED BY COLLECTIVE BARGAINING AGREEMENTS

compliance. Incidents of slavery and human trafficking are also
verified in our supply chain using risk assessments and site visits.
Our employees and other stakeholders are encouraged toreport any concerns they may have on human trafficking

1-844-888-FREE

through our ethics helpline, the global trafficking hotline

is our global trafficking hotline whereat 1-844-888-FREE or emailing help@befree.org.

employees and other stakeholders are

Prevention of Child Labor

Total workforce

2022
26.5

2021
26.2

2020
NR

encouraged to report any concerns.

Our practice on the use of child and young labor is based upon
our global minimum employment age policy, which is reiterated
in our Human Rights policy. The purpose of this policy is to2022 Sustainability Report			Committing to a Responsible Business |73

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Supply Chain
We are committed to ensuring the highest standards of social

Our Suppliers

responsibility where we live and work. We require that our

Our supply chain has a multifaceted supply structure of

suppliers provide safe working conditions, treat workers withdirect materials suppliers, foundry and subcontractor

dignity and respect, prohibit human trafficking and slavery

providers, indirect material suppliers and professional(including the procurement of commercial sex acts andservice providers deployed across a global sourcing

the use of forced or child labor), promote ethical behavior,and procurement organization. In 2022, onsemi worked

as well as use environmentally responsible manufacturingwith 9,700 suppliers and service providers globally, ofprocesses and follow principles like those in our Code ofwhich, approximately 7,100 were production related.

Business Conduct. As outlined in our Supplier Handbook,In 2022 onsemi worked withthe supplier must conform to all environmental and other

Supplier Diversity

applicable laws and regulations, behave ethically, comply with

When possible, we prioritize purchasing from local suppliers.

all social responsibility and conflict mineral requirements that

The following graphic shows the percentage of our 2022

are required by onsemi’s CSR Statement of Commitment

procurement budgets which were spent on suppliers local

and provide any requested certifications and cascade all

to the site’s region. In 2021 and 2020, we tracked thisapplicable requirements through their supply chain.

information only at the manufacturing level. Moving forward,

9,700

suppliers and service
providers globally.

this data will represent total company procurement.

Management Approach
We operate a flexible, reliable and responsive supply

Additionally, in the United States, we track suppliers thatchain that is compliant with IATF-16949 and ISO 9001

are owned by minority populations. During our supplierrequirements as defined in our internal policies. We

onboarding process, suppliers are asked to disclose whether

continually develop business partnerships with selected

they belong to a minority group as defined in the Spendkey suppliers and ensure that all purchased materials usedby Minority Group table. We then track our annual spend

in product manufacturing satisfy current governmental,

towards these suppliers against the total U.S. spend.

environmental and safety criteria applicable to the country of
manufacture and sale. Our transportation packaging meetselectrostatic discharge requirements and appropriate use

SPEND ON LOCAL SUPPLIERS

2022

2021

2020

SPEND BY MINORITY GROUP1

2022

2021

2020

Asia

87.9%

90.5%

91.9%

Small Business

4.05%

4.32%

4.86%

EMEA

76.3%

83.7%

82.9%

Woman Owned

0.15%

0.17%

0.23%

North America

86.9%

90.3%

91.2%

Minority Owned

0.05%

0.04%

0.03%

onsemi total

83.7%

88.2%

88.7%

Small Disadvantaged

0.02%

0.04%

0.03%

onsemi total U.S. spend on

4.27%

4.57%

5.15%

of packing is used to prevent physical damage. Throughminority owned businesses

our sales and operations planning process, we work
directly with our business units and sales teams to alignIn the U.S.

1

capacity and demand to support customer requirements.

2022 Sustainability Report			Committing to a Responsible Business |74

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Responsible Minerals Sourcing

Managing Risk in the Supply Chain
We understand that supply chain risks have

our expectations, deploying risk assessments,

Responsible minerals sourcing has progressed beyond tantalum,

Using RMI’s Conflict Minerals Reporting Template (CMRT)

the potential to cause disruptions to our

conducting business reviews, launching verification

tin, tungsten and gold (3TG) to address global human rights

for 3TG due diligence, onsemi sets the target of using 100

manufacturing process, alter our ability toaudits and addressing any non-conformance.

violations especially with the emerging focus on forced labor.

percent conformant smelters and refiners from the Responsible

As an active member of the RBA and Responsible Minerals

Minerals Assurance Process (RMAP) assessment. We achieveddeliver our products to our customers andcreate a ripple effect impacting all stakeholders.

onsemi identifies and monitors suppliers that fall in theInitiative (RMI), onsemi continually engages in reasonable andthis target in 2019 and again in 2022, which included the

Our procurement team currently uses several

top 80 percent annual production-related spending

responsible due diligence with its key suppliers, consistent withremoval of sanctioned gold smelters from Russia.

models to manage risk in our supply chain.

as required by being a full member of RBA. Thesethe Organization for Economic Co-operation and Development

suppliers are required to complete RBA’s online(OECD) Due Diligence Guidance for Responsible Supply Chains of

For new supplier selection, we consider the

self-assessment questionnaire (SAQ) annually. The

Minerals from Conflict-Affected and High-Risk Areas (CAHRAs).

financial strength, quality track record, geography,

SAQ evaluates suppliers on a host of different risksocial responsibility compliance and technology

parameters including labor, environment, health andonsemi has included cobalt in the Responsible Mineralsof such supplier. Once selected, they aresafety and ethics. Suppliers that fall within the identified

Sourcing Policy posted on our website. We required our key

required to adhere to the onsemi Supplier Codethreshold must share and release the SAQ to onsemi

suppliers to engage in due diligence by completing the RMI’sof Conduct outlined in our Supplier Handbook.

through the RBA online platform after completion. Our

Conflict Extended Minerals Reporting Template (EMRT) for cobalt.

We conduct bi-annual RBA conformanceteams work with suppliers flagged as high risk throughcertification and engage with our suppliers

RBA’s SAQ process to develop corrective action plansin regular cycles by clearly communicatingand ensure these risk areas are addressed accordingly.

REPORTING YEAR

2022 Sustainability Report			CONFORMANTACTIVENON-CONFORMANTNOT ELIGIBLE

TOTAL

2022

100%

0.0%

0%

0%

100%

2021

98%

1.0%

1%

0%

100%

2020

99.6%

0.4%

0%

0%

100%

2019

100%

0%

0%

0%

100%

Committing to a Responsible Business |75

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Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Appendix

We act promptly to review the circumstances and conduct

CMRTs or EMRTs when there are changes in the smelters’

Members of onsemi’s conflict minerals team actively participate

REACH requirements and all products manufactured bydue diligence as soon as we become aware that our supply

RMAP status. In 2022, onsemi responded to and completed

in regular RMI annual conferences, monthly plenary calls, as wellonsemi comply with the amended RoHS directive. To support

chain includes non-conformant or high-risk smelters or refiners

approximately 1,600 conflict minerals customer requests, which

as workgroups to obtain updated information on smelters, RMI

this commitment, we have environmental requirements forsourced from CAHRAs. Customers often request updated

is about 44 percent higher compared to the previous year.

programs and emerging global responsible sourcing regulations.

our suppliers related to the hazardous materials in theironsemi also joins peer companies in various supply chain

products. All purchased materials, services and products

training sessions and local work group discussions on relevant

used in part manufacturing are required to satisfy current

topics including due diligence, sourcing regulations and more.

governmental, statutory and regulatory requirements, andConflict Minerals (CM) Customer Request Monthly Trend (Number of Requests)

safety constraints on restricted, toxic and hazardous materials;

250

233

231

157

134

250
250
250

79

53
156
156
156
129
129
129

0

3TG CMRT
3TG CMRT
Cobalt/Others
3TG CMRT
Cobalt/Others
Total
Cobalt/Others
Total
Total

115
115
115

Q1

Q2

Q3

Q1 TOTAL - 285

7979
79 - 364
Q2 TOTAL

prepared to provide supporting evidence of conformance.

25
Q3 TOTAL
25 - 544

75
75
75

Q4

25

Q4 TOTAL - 421

Jan
50 22

Mar 22

Apr 22

May 22Jun 22

Jul 22Aug 22

Sep 22

Oct 22

Nov 22

Dec 22

35

54

130

69

135

92

86

137

156

106

169

41

18

21

27

10

21

37

29

61

75

28

64

13

75

157Q1

79

156

129Q2

115

198

231Q3

134

233

54Q4

0
0
53
0

our Product Chemical Content Brochure. Suppliers must be

onsemi is committed to providing our customers with

134
134
134

53
53
Feb 2253

50
50

Supplier Hazardous Substances Commitment

54
157
157
157

150
150
150

100
100
100

sale. All purchased materials, services and products must

198
198
198

25

50

Cobalt/Others

Policy, as well as latest company-level CMRT and EMRT.

233
233
233

231
231
231

115

100

3TG CMRT

considerations applicable to the country of manufacture andbest practices, now and in the future. We meet all applicable

129

75

as well as environmental, electrical and electromagnetic

the latest filing of the SEC Form SD, Conflict Minerals Sourcing

products that are compliant with industry environmental

156

150

200
200
200

Our responsible sourcing records can be found online including

conform to onsemi’s environmental requirements described in

198

200

Total

Committing to a Responsible Business

2022 Sustainability Report			

Q1
Q1

Q2
Q2

Q3
Q3

54
54
54

Q4
Q4

Committing to a Responsible Business |76

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Information Protection

Information Security and Risk

Management Approach
Our ISR team is led by our Chief Information Security Officer

We work around the clock to protect our company,

The Information Security and Risk (ISR) team is composedof several support teams that address all aspects of cyber(CISO). The team oversees compliance with the Information

risk: risk, security architecture and engineering, identity

Technology General Controls (ITGC) framework, coordinates theand access management and security operations.

Information Security program and facilitates risk management

onsemi adopted the National Institute of Standards andactivities within Information Technology (IT). The ISR team also

Technology (NIST) Cybersecurity Framework (CSF) in 2014

assists with the review and approval of IT policies, completes

as the foundation of the ISR program. This comprehensive

benchmarking against NIST CSF standards, maintains a cyberframework provides an intuitive and comprehensive

risk registrar and oversees the security awareness program

set of control objectives that align with several otherincluding trainings, phishing simulations and cyber awarenessstandard frameworks such as ISO 27001:2013 and Control

month (CAM). During 2022 CAM, the ISR team introduced a cyber

Objectives for Information Technology (COBIT) 5.

game/quiz that was well received and had high participation fromtechnology and intellectual property from potential
cybersecurity threats and vulnerabilities. We takeprivacy and cybersecurity seriously and strive to identify
and eliminate potential threats to our IT infrastructure,
proprietary technologies and confidential information.

Privacy
We have developed a global data privacy program designed tocomply with applicable laws around the world and to protect
the personal information of onsemi employees, customers
and others who have entrusted us with their personal data.
We also have a Data Privacy Committee comprised of
global leaders from key functions such as human resources,
procurement, legal and information security who provide

the enterprise. Prizes were awarded for those with 100 percent
In 2022, onsemi became Trusted Information Security

scores, reinforcing security hygiene across the employee base.

Assessment Exchange (TISAX) certified at our Munich,Germany site. In 2023 and beyond, onsemi will work

The ISR team manages the ongoing monitoring of company

to certify additional sites across the globe.

systems identifying and tracking any threats that arise. In theevent of a serious or material data breach, the Information Security

strategic guidance and oversight to support our data privacy

Program has chartered a Cyber Incident Response team (CIRT)and compliance efforts. In addition, our Chief Privacy Officer

to act. The CIRT is comprised of subject matter experts fromhas appointed employees of various roles and grade levels

the global IT team. In addition, the Information Security teamthroughout the company as “data privacy champions” whohas contracted with providers on a rapid retainer basis. In the

advocate the importance of our data privacy program,

event of a serious or material data breach, these rapid response

maintain awareness of key data privacy laws and help

services provide security and forensic expertise immediately via

reinforce best practices around data privacy matters.

phone and onsite within 24 hours. Also, the ISR team collaborated
with onsemi’s Treasury Department to obtain cybersecurity

All onsemi employees receive foundational data privacy

insurance. This type of insurance reimburses the company for costs

training annually; however, employees in specific functions

incurred in responding to and recovering from a data breach.

complete an additional, in-depth data privacy course annually.

The CISO has accountability for Key Performance Indicators

For more information, please visit our Privacy Policy.

(KPI) for the information security program. The CISO reports
KPIs and status of key IT risks to Executive Management
and the Board of Directors on a regular basis.

2022 Sustainability Report			Committing to a Responsible Business |77

Table of Contents

Introduction

Public Policy

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

THE PUBLIC POLICIES WE SUPPORTED IN 2022 ARE THE FOLLOWING:

onsemi supports public policies that encourage the innovation,
investment and open markets that enable us to create theintelligent power and sensing technologies that solve the world’s
most complex challenges leading the way to a safer, cleaner andsmarter world. Our public policy program reflects our profile as

We work with the SIA and our other associations to support United States government policies that promote innovation and growth. This includes the Creating
Pro-Innovation, Pro-GrowthBusiness Environment

a global company headquartered in the United States, which

Helpful Incentives to Produce Semiconductors (CHIPS) for America Act that was included in larger legislation that was signed by the president in August 2022.
The CHIPS Act provides $52 billion in federal incentives for semiconductor manufacturing in the U.S. to increase the share of global wafer fabrication capacity
located in the U.S. from its current level of only 12 percent, for semiconductor related research and development at universities and national laboratories and forgovernment actions to ensure a well-educated semiconductor workforce.

interacts regularly with government agencies around the world.
Much of our public policy advocacy is performed through the U.S.
Semiconductor Industry Association (SIA), although our company

We actively work to promote policies that open markets and create fair competition. Working through our trade associations, we oppose tariffs on semiconductors,

is also a member of other industry associations as well as local
associations and chambers in the regions in which we operate.

Open Markets and Fair Competition

including the 25 percent tariffs that the U.S. imposed in 2018 on imports of discrete semiconductors and integrated circuits imported from China. We work throughthe WSC to promote transparency on government subsidies, which depending on size, scope and discriminatory application have the potential to distort faircompetition in global semiconductor markets. We also recommend that the U.S. government carefully consider the adverse impacts of export controls on the U.S.

onsemi is a founding member of the Semiconductor

semiconductor industry and its need to compete in global markets to generate the revenues used to maintain technology leadership, and avoid imposing controls

Climate Consortium (SCC), an industry group formed inwhen uncontrolled foreign products are readily available.

2022, focused on the challenges of climate change andworking to speed industry value chain efforts to reducegreenhouse gas emission in member company operations
and in other sectors of the semiconductor value chain.

Counterfeit semiconductors are unreliable and can fail at any time. The semiconductor industry has found counterfeits in air bags, train-braking systems and other
Stopping Counterfeit Semiconductors

applications where a failure can have serious health or safety consequences. In 2022, we assisted law enforcement to identify and seize counterfeit goods andremove them from the marketplace.

We are an active participant in the World Semiconductor
Council (WSC), an organization composed of the world’s leading
semiconductor industry associations from China, Chinese Taipei,
Europe, Japan, South Korea and the United States The organization
meets annually at the CEO level to make recommendations togovernments and authorities on issues such as expanding the

We are an ally member of American Council for an Energy-Efficient Economy (ACEEE), a thought leader on energy efficiency policies such as deployment ofEnergy Efficiency, Fuel Economy

Electric Vehicles. Additionally, we are a member of Motor & Equipment Manufacturing Association (MEMA) that advocates for legislation and regulations relatedand Automotive Safety

to fuel economy and automotive safety such as advanced driver assistance systems (ADAS) including automatic emergency braking and policies to facilitate theintroduction of autonomous vehicles.

global market for information technology products by promoting
fair competition, sound environmental and health and safety
practices, intellectual property rights and open markets.

Hudson Inauguration Ceremony

2022 Sustainability Report			In August 2022, onsemi hosted local and federal government

power solutions from SiC crystal growth to the fully integrated

thereby reducing consumers’ “range anxiety,” the fear that an

officials at our inauguration ceremony for our silicon carbide

power modules critical to a carbon-free economy. Our SiC

electric vehicle will not have enough battery charge to reach its(SiC) facility in Hudson, New Hampshire (USA). Dignitaries on

products enable important decarbonization technologies

destination, which can impede adoption of electric vehicles.

hand for the event included U.S. Secretary of Commerce Gina

including electric vehicles and renewable energy. Compared

Raimondo, U.S. Senators Jeanne Shaheen (D-NH) and Maggie

to semiconductors made with silicon, SiC devices can handle

Our Hudson facility inauguration and support from leading

Hassan (D-NH), Representatives Chris Pappas (NH-01) andhigher voltages and are more efficient in the conversion

public officials highlight the technology advances by onsemi

Annie Kuster (NH-02), as well as local governmental officials.

of alternating current (AC) to direct current (DC) and back.

that enhance sustainability and drive green job creation,

Our Hudson SiC facility enables onsemi to provide end-to-end

This greater efficiency translates into more miles per chargeboth within our company and in the broader community.
Committing to a Responsible Business |78

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixExternal Initiatives• American Council for an Energy-Efficient Economy (ACEEE),
Leader tier

• Pocatello Chubbuck Chamber of Commerce

Participating in political activities is a very sensitive• Association for Corporate Citizenship Professionals (ACCP)• Responsible Business Alliance (RBA)

and complex area and strict laws govern our political• Arizona Forward• Responsible Minerals Initiative (RMI)

activities as a United States company. For this• Arizona Tax Research Association (ATRA)• Semiconductor Climate Consortium (SCC), founding member

reason, onsemi does not make political contributions• Boston College Center for Corporate Citizenship• Semiconductor and Electronics Industries in the Philippines Inc. (SEIPI)

to individual candidates. In the United States,• CDP, formerly known as Carbon Disclosure Project• Semiconductor Equipment and Materials International (SEMI)

companies and other organizations may organize• Central Arizona Corporate Volunteer Council

political action committees (PACs); however, we• Semiconductor Industry Association (SIA)• Clean Energy Buyers Association (CEBA)

chose not to have a PAC and did not make political• United Nations Global Compact• Conference Board• United States Information Technology Office (USITO) in Beijing• Corporate Volunteer Council of Central Arizona• World Semiconductor Council (WSC)

Statement on Political Contributions

contributions in the company’s name in 2022.

External Initiatives & Industry Associations
onsemi is a member of many external initiatives• ESG & CSR Board, founding member• Electronic Components Industry Association (ECIA)• Public Relations Society of America (PRSA)

Membership of Associations• ATRA, Kyle Cardita, Board of Directors• Ethisphere’s Business Ethics Leadership Alliance (BELA)• ECIA, Julia Zibrida, Manufacturer Counsel• Greater Phoenix Chamber of Commerce• JEDEC, Peter Turlo, Board of Directors

space to share ideas, collaborate and grow as an• Hearing Industries Association• MEPZCEM, Darshan Denamany, Board of Directors

industry and partner with our local communities.

• International Association of Business Communicators (IABC)• SEIPI, Mark Knoch, Board of Directors

Some of our employees hold leadership positions• Joint Electron Device Engineering Council (JEDEC)• SIA, Hassane El-Khoury, Board of Directors

within these organizations, as noted below. These• Mactan Export Processing Zone Chamber of Exporters andManufacturers (MEPZCEM)• SIA International Trades Committee, Daryl Hatano, Co-Chair

and industry associations. These organizations
connect us to peers and stakeholders, providing areflect memberships as of December 31, 2022.

• Microelectronic Industry Design Association (MIDAS) Ireland• WSC, Daryl Hatano, Co-Chair U.S. delegation to joint steering committee• Motor Equipment Manufacturers Association/ OriginalEquipment Suppliers Association (MEMA/OESA)

2022 Sustainability Report			Committing to a Responsible Business |79

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Quality

Customer Experience

Quality Management Systemonsemi is engaged in a diverse competitive global marketplace.

We are committed to operating according to stringent,

We continually strive to put customers at the center of what

internationally recognized requirements for reliability and

we do by understanding and anticipating our customer’s needs

quality. onsemi is certified to ISO 9001, IATF 16949, ISO

for service and support. We realize our customers expect us to26262 AS9100, ISO 14001, ISO 45001, ANSI/ESD20:20, MIL-

grow with them and that means we must deliver value throughPRF-38535, ISO 13485 and Category 1A for Trusted Foundry.

innovative quality products and designs through every customer

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendixinteraction.
Our Quality Statement/Policy reads, “At onsemi, we focus
on embedding quality in every system, tool and process,In 2022, we established a dedicated global Customer Experience

with detailed attention to providing best-in-class products(CX) function to accelerate our ability to anticipate customer

and solutions. This demonstrates our inherent zero-needs and provide transparency on critical information impacting

defect quality mindset, from ideation through execution

customer outcomes. We accomplish this by upgrading our data

and delivery, in support of consistent growth.”models, internal processes as well as expanding our analytics
capabilities to listen and act on customer feedback. Customers

We demonstrate our commitment by continuing our Road

can expect improved digital experiences, making it easier to do

to Zero Defects initiative, which was implemented several

business with onsemi.

years ago and focuses on eliminating quality excursions,improving 8D responsiveness, lowering our parts per billion(ppb) defect rate and enhancing our quality standards. We
recognize that incorporating these objectives into our service
offerings, processes and products enables us to use ourquality and reliability to fuel our growth. Ultimately, we arecommitted to maintaining a distinctive, world-class quality
system that transcends international quality standards andexceeds customer expectations. For more information,please see our Quality and Reliability Handbook.

Customer Satisfaction
The feedback we receive on the quality of our products andservices is a key driver for innovation at onsemi. We listen to ourcustomers’ ideas about how we can better serve them from aholistic customer experience perspective – from idea introduction
to the successful delivery of a product or service.
Our quality and reliability approach to customers is enabled by afocused support network that includes regular strategic customer
review meetings (internal and external), customer score cards,
customer rewards and customer feedback. Our teams leveragecontinuous improvement to prioritize and improve our processes,
products and services to maximize customer value.

2022 Sustainability Report			Committing to a Responsible Business |80

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Appendix

Measuring Up
United Nations (UN) Sustainable Development Goals & UN Global Compact
Triple Bottom Line Performance Summary
Sustainability Accounting Standards Board (SASB) Framework
Task Force on Climate-Related Financial Disclosures (TCFD) Framework
Global Reporting Initiative (GRI) Index
Third Party Assurance Statement

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixTable of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

United Nations (UN) Sustainable Development Goals & UN Global Compact
The Sustainable Development Goals (SDGs), set by the UN in 2015, are a blueprint for fighting the world’s biggest
social and environmental issues such as gender equality, access to quality health and education, climate change
and much more. They are a call for global partnership and action by governments, businesses, civil society and otherorganizations to achieve a better and more sustainable future for all by 2030. As a global company and corporate
citizen, we have a responsibility to help achieve the goals by adhering to the goals most relevant to our business.
While all the SDGs are vital, we prioritized five goals that are the most relevant to our sustainability strategy andwill help make the largest global impact. In 2019, onsemi became a signatory to the UN Global Compact. Our mostrecent Communication on Progress (COP) submitted to the UN Global Compact outlines our alignment with its ten
principles, focused on human rights, labor, environment and anti-corruption and our alignment with the SDGs.

Ensure availability and sustainable management

Reduce inequality within and among countries

Take urgent action to combat climate changeof water and sanitation for all• Our ambition is to be a leader of diversity, equity and inclusion (DEI)

and its impacts• We are committed to water conservation in our operations throughtreatment of wastewater before discharge into the environment,
recycling and reduction of water consumption.

in the semiconductor industry.
• For more information, please see the DEI section of this report, pg. 49.

• We have committed to achieving net zero carbon emissions by
2040, focusing on internal operation efficiency, use of renewableenergy and value chain and industry partnerships and purchase ofcredible carbon offsets for any remaining emissions• For more information, please see the Water and Waste
Management section of this report, pg. 29.

• We have committed to the Science Based Target initiative (SBTi)
and are in the process of setting near-term SBTs.

Promote sustained, inclusive and sustainable economic growth,

Ensure sustainable consumption and production patterns• As a founding member of the Semiconductor Climate Consortium,

full and productive employment and decent work for all• We consistently work to reduce consumption of chemicals andwe collaborate to speed industry value chain efforts to reduce• We have zero tolerance for forced labor.
• We assess and mitigate social risks within our supply chain.
• We strive for equal pay for equal work.

eliminate hazardous materials in our production processes.
• For more information, please see the Water and Waste
Management section of this report, pg. 29.

greenhouse gas emissions.
• For more information, please see the Net Zero and Energy
Consumption and Emissions section of this report, pg. 16
and pg. 24.

• We focus on providing a safe and secure workplace withzero injuries and occupational diseases.
• For more information, please see the Fair Treatment
section of this report, pg. 72.

2022 Sustainability Report			Appendix |82

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Triple Bottom Line Performance Summary
This triple bottom line performance summary, which focuses on people, planet and profit, was created with
the intention of transparently communicating our environmental, social and governance (ESG) efforts with our
stakeholders. We organized the summary to cover the topics most relevant to our mission, business and partners.

Our Business
DISCLOSURE

UNITS

2022

2021

2020

DISCLOSURE

UNITS

2022

2021

2020

65

70

64.3

87.9

90.53

91.93

76.3

83.73

82.93

86.9

90.33

91.23

83.7

88.23

88.73

Small Business

4.05

4.32

4.86

0.15

0.17

0.23

0.05

0.04

0.03

0.02

0.04

0.03

4.27

4.57

5.15

9,700

9,500

9,700

7,100

7,000

7,100

Financial Strength
Revenue

Supply Chain

Dollars (billions)

Triple bottom line revenue
Recouped Scrap Materials/Precious Metals

Dollars (millions)

8.33

6.74

5.25

6,454

5,011

755

121

26

23

Revenue by Market
Automotive
Industrial

Percentage

Other

Units shipped through Global Logistics Network

Spend on Local Supplier by Region
Asia-Pacific (APAC)
Europe, Middle East and Africa (EMEA)

40

34

32

North America

28

27

25

Total Company

32

39

43

Revenue by Region

2

28

27

25

Woman Owned

Singapore

26

31

34

Minority Owned

18

17

15

Small Disadvantaged

United States

17

14

14

onsemi total US spend on

Other

11

11

12

minority owned businesses

Percentage

Intelligent Sensing

Percentage

Other

Distributor

2022 Sustainability Report			

Percentage

Total Global Suppliers and Service Providers

48

46

42

19

16

17

33

38

41

42

36

40

²Represents sales billed from the respective country or region.

58

64

60

company procurement.

Revenue Type by Customer
Original Equipment Manufacturers

Percentage

Supplier Designation

Revenue by Technology
Intelligent Power

Percentage

Spend on by Minority Group, US only

Hong Kong

United Kingdom

Units (billions)

Production-related supplierSuppliers¹In June 2022, onsemi decentralized the scrap reclaim process eliminating the need to ship reclaimed material across theworld for processing. We are working to aggregate our reclaim data at the corporate level since decentralizing this operation.
Data presented is up to date of decentralization.
³Represents data from manufacturing procurement only. As of 2022, we will pull this data using total

Appendix |83

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Our Business
DISCLOSURE

UNITS

2022

2021

2020

DISCLOSURE

UNITSSupply Chain Risk
Responsible Minerals Assurance Process (RMAP)
Percentage

100

98

99.6

99

100

99

97.3

93.4

96

10

14

5

Questionnaire (SAQ)
Suppliers Rated as Low-Risk on Their SAQ
RBA Audit CompletedAudits

2021

2020

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

45

44

51

62

69

100

84

125

134

40

31

50

126

161

182

20

33

52

52

55

37

2nd

1st

2nd

1st

2nd

1st

3rd

3rd

3rd

Policies, Statement and Commitments

Conformant Smelters
Suppliers that Completed a Self-Assessment

2022

Anti-Corruption Policy
Code of Business Conduct

Yes/NoNon-Retaliation Policy
Privacy Policy

Compliance and Ethics Program
Number of Business Ethics Liaisons (BELs)

BELs

Number of Reports and Requests for Advice by Intake Channel

Our Governance

BEL Reporting

DISCLOSURE

UNITS

2022

2021

2020

Other¹

Board of Directors (“Board”) Composition and Independence

Reporter Anonymity Rate

Total Members

10

10

11

Board Average Age

61

60

59

6

5

5

9

9

10

Directors222

Percentage

22

20

18

Directors

Board Average Tenure
Number of Independent Directors

Board Diversity
Women on Board

Board and Committee Meetings
Board and Committee Meetings Held During the
Calendar Year
Directors Attending Less than 75% of Meetings
During the Calendar Year2022 Sustainability Report			Meetings

Anonymous Reporters

Percentage
Total Number of Reports

Concerns and Incidents
Requests for Advice

Reports
Substantiation Rate

Substantiated Reports

Percentage
Top Corrective Actions

No Action Necessary
29

23

30

Remedial Measure1
Other2

Directors

Reports

0

0

0

Rank

¹Remedial measure – disciplinary action.
²Coaching, counseling or training.

Appendix |84

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Our People
DISCLOSURE

UNITS

2022

2021

2020

DISCLOSURE

Global Workforce
Total Workforce

Employees

32,366

33,69034,500Workforce by Region
APAC (excluding Japan)
Japan

Percentage

EMEA
North America

Percentage

Male

Percentage

Male

NR

NR

Senior Managers, Female

14

NR

NR

Managers, Male

79

NR

NR

21

NR

NR

67

NR

NR

33

NR

NR

Frontline (hourly), Male

11

NR

NR

Frontline (hourly), Female

89

NR

NR

Frontline (salary), Male

44

NR

NR

Frontline (salary), Female

56

NR

NR

36

37

38

64

63

62

51

19

NR

49

81

NR

90

90

90

10

10

10

99.6

99.3

99.4

0.4

0.7

0.6

96.6

99.3

99.4

3.4

0.7

0.6

5

6

Entry Level, Male

12

13

12

Entry Level, Female

11

12

13

46

45

44

54

55

56

26

21

20

74

79

80

100

100

NR4

Japan

100

01

NR

100

100

NR

100

100

NR

North America

86

3

APAC (excluding Japan)
Percentage

Senior Managers, MaleManagers, Female

FemaleInternal Transfers by Gender
FemaleWorkforce by Contract Type
Regular

Percentage

Temporary (contractors/interns)
71

NR

NR

Executives, Female

29

NR

NR

Full-time (Regular)

100

NR

NR

Part-time (Regular)

03

NR

NR

Full-time (Temporary)

VPs, Male

80

NR

NR

Part-time (Temporary)

VPs, Female

20

NR

NR

SVPs, Female

Percentage

Male

Executives, Male

Percentage

Percentage

Male

Job Category by Gender²

SVPs, Male

Percentage

Internal Promotions by Gender

Senior Management Hired from Local Community

EMEA

2020

69

Management by Gender
Female2021

70

Workforce by Gender
Female

2022

74

UNITS

Workforce by Work Schedule
Percentage
Percentage

No senior managers were hired in Japan in 2021.

1

2

Job categories are defined in alignment with McKinsey Women in the Workforce level definitions. See Job Category by

Gender, pg. 40 for definitions.
All female Senior Vice Presidents report directly to the CEO and are captured in the Executive job category.

3
42022 Sustainability Report			Not Reported

Appendix |85

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Our People
DISCLOSURE

UNITS

2022

2021

2020

DISCLOSURE

Contractors and Interns, by Age, Gender and Region< 30 Years Old
30 – 50 Years Old

Percentage> 50 Years Old
FemalePercentage

Male
APAC (excluding Japan)
Japan

Percentage

EMEA
North America

30 – 50 Years Old

Percentage> 50 Years Old
FemaleMale

Percentage

APAC (excluding Japan)
Japan
EMEA
North America

2022 Sustainability Report			

Percentage

2022

2021

2020

12

11

42

55

54

35

33

35

23

46

52

45

54

48

55

1

0

2

0

0

0

94

88

89

5

12

9

59

61

58

35

34

38

6

5

4

42

44

55

58

56

45

71

78

77

1

1

3

7

8

8

21

13

12

Part-time Employees by Age, Gender and Region

23

42

30

< 30 Years Old

68

31

61

30 – 50 Years Old

9

27

9

> 50 Years Old

54

29

47

Female

46

71

53

Male

85

37

85

APAC (excluding Japan)

5

20

5

Japan

5

25

5

EMEA

5

18

5

North America

Percentage

Percentage

Percentage

New Hires by Age, Gender and Region

Full-time Employees by Age, Gender and Region< 30 Years Old

UNITS

29

28

29

< 30 Years Old

55

55

55

30 – 50 Years Old

16

17

16

> 50 Years Old

45

44

44

Female

55

56

56

Male

73

69

70

APAC (excluding Japan)

3

5

5

Japan

12

13

12

EMEA

12

13

13

North America

Percentage

Percentage

Percentage

Appendix |86

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Our People
DISCLOSURE

UNITS

2022

2021

2020

DISCLOSURE

UNITS

Employee Turnover
Voluntary Turnover

Percentage

Involuntary Turnover

2020

15

NR

NR

Black Employee Network (BEN)

Yes

Yes

Yes

5

NR

NR

Continua

Yes

Yes

Yes

Cultivate

Yes

Yes

Yes

Yes

Yes

Yes

Veteran and Military Employees (VME)

Yes

Yes

Yes

Women Empowerment (WE)

Yes

Yes

Yes

75

81

85

Fatalities, employees

0

0

0

Fatalities, non-employees

0

0

0

High-consequence work-related injuries,

0

2

NR

0

0

NR

43

30 – 50 Years Old

2021

Employee Resource Groups

Employee Turnover by Age, Gender and Region5< 30 Years Old

2022

37

50

Science, Technology, Engineering andMathematics for Under-represented Populations

Yes/No43

46

34> 50 Years Old

14

17

16

Female

42

41

56

58

59

44

APAC (excluding Japan)

67

68

67

Japan

2

5

5

9

8

9

22

19

19

American Indian or Alaskan Native

0.5

0.5

0.5

Asian

17.4

17

18.8

Black or African American

1.5

1.5

1.5

4.2

4.7

4.8

Recordable6 work-related injuries, employees

40

43

NR

0.3

0.2

0.3

Recordable6 work-related injuries, non-employees

2

3

NR

Two or more races

1.9

1.8

2.0

White

55

60

59.4

Undeclared

19.2

14.3

12.7

26.2

NR

Percentage

Percentage

Male

Percentage

EMEA
North America(STEM UP)

Employee Engagement Survey Completion Rate
Employee Engagement Survey

Employee Health and Safety

U.S. Workforce by Race and Ethnicity

Hispanic or Latino
Native American or other Pacific Islander

Percentage

Percentage

employees
High-consequence work-related injuries, non-

Incidents

employees

Recordable injury or illness as defined by the Occupational Safety and Health Administration.

6

Employees Covered by Collective Bargaining Agreements
Total Workforce

Percentage

26.5

Represents distribution of total 20 percent employee turnover across these categories.

52022 Sustainability Report			Appendix |87

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Our People
DISCLOSURE

UNITS

2022

2021

2020

DISCLOSURE

2022

2021

2020

Yes

Yes

Yes

Environmental Health and Safety Policy

Yes

Yes

Yes

Equal Employment Opportunity

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Total Hours Worked7
Hours worked

Policies, Statements and Commitments
74,084,225

NumberNR

69,764,000

Corporate Social Responsibility (CSR)
Commitment

Rate Calculations

8

Lost time incident rate (LTIR)

UNITS

0.05

NR

NR

(number of lost time injuries in thereporting period x 200,000) / total hours

Human Rights Policy

worked in the reporting period
Lost time incident severity rate

0.009

NR

NR

Responsible Business Alliance (RBA)

Yes/No(number of days lost due to injuries x

Full Member

1,000) / total hours worked

Responsible Minerals Sourcing Policy

Yes

Yes

Yes

Slavery and Human Trafficking Policy Statement

Yes

Yes

Yes

UN Global Compact Signatory

Yes

Yes

Yes

Total recordable incident rate (TRIR),
employees

Rate

0.108

NR

NR

(number of incidents x 200,000) / total
number of hours worked in the reporting
periodTotal recordable incident rate (TRIR),

0.005

NR

NR

non-employees (number of incidents x
200,000) / total number of hours worked
in the reporting period
7

Total hours worked by all regular employees (full-time, part-time).
Recordable incident as defined by the Occupational Safety and Health Administration

82022 Sustainability Report			Appendix |88

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

DISCLOSURE

UNITSCommitting to a Responsible Business

Appendix

Our Planet
DISCLOSURE

UNITS

2022

2021

2020

Emissions
Metric Tons Carbon 841,104

Scope 2

Dioxide Equivalent

Scope 3

(MTCO₂e)

Megawatt-Hours(MWh)

2,173,451

Hazardous Waste Generated

Metric Tons

8,974

9,842

8,120

741,934

782,790774,849

Hazardous Waste Diverted from Disposal

Percentage

40

42

73

2,143,211

617¹

1,565¹

Non-Hazardous Waste Generated

Metric Tons

16,923

17,325

15,146

Non-Hazardous Waste Diverted from Disposal

Percentage

86

83

77

Reclaimed Scrap Materials Collected

Metric Tons

291³

614

634

Reclaimed Precious Metals Collected

Kilogram (kg)

602³

810

870

1,752,282

1,781,685

1,775,419

8.33

6.74

5.25

101

369

414

Million Revenue

89

116

148

MWh per $ Million

210

264

334

Emissions and Energy Intensity
Revenue
Scope 1 Emissions Intensity
Scope 2 Emissions Intensity
Energy Intensity

Dollars (billions)
MTCO₂e per $Policies, Statements and Commitments
Yes

Yes

Yes

CSR Commitment

Yes

Yes

Yes

Environmental Health and Safety (EHS) Policy

Yes

Yes

Yes

Rare Earth Elements Use Statement

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Registration, Evaluation, Authorization and

Water

Restriction of Chemical Substances (REACH)

Megaliters

13,692

13,59914,332

Recycled

Megaliters

5,776

5,779

6,374

Percentage

4

10

6

Manufacturing sites in Low Stressed Regions

7

8

9

Manufacturing sites in Low-Medium Stressed

7

7

7

4

2

3

Manufacturing sites in High Stressed Regions

2

3

2

Manufacturing sites in Extremely High Stressed

0

1

1

Regions²

Climate Change Policy

Revenue
Withdrawal

Withdrawal from High or Extremely High Stress2020

2,485,870

EnergyElectricity)

2021

Waste

Scope 1

Total Consumption (Natural Gas, Diesel Fuel and2022

Yes/NoStatement
Restriction of Hazardous Substances (RoHS)
Statement³onsemi’s scrap reclaim operation was decentralized in June 2022. Represents data from January through June 2022, prior tothis decentralization.

Regions
Manufacturing sites in Medium-High Stressed
Regions

NumberRegions¹Only represents Scope 3 Category 6 – Business Travel data
²Per the World Resource Institute Aqueduct Water Risk Atlas, Tarlac (Philippines) is no longer considered to be located in a highstressed region. This accounts for our notable reduction YOY.

2022 Sustainability Report			Appendix |89

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Sustainability Accounting Standards Board (SASB) Framework
Reporting Period: January 1 – December 31, 2022
CODE

METRICONSEMI DISCLOSURE

CODE

METRIC

Greenhouse Gas Emissions
TC-SC-110a.1

TC-SC-110a.2

ONSEMI DISCLOSURE

Water Management(1) Total water withdrawn,(1) 13,692 thousand of m3(2) 404,090 MTCO₂e(2) total water consumed,(2) onsemi is developing better strategies for

See Energy Consumption and Emissions section ofpercentage of each in regions

tracking water discharge and consequently waterour 2022 Sustainability Report, pg 24.

with High or Extremely Highconsumption across its operational footprint. We

Discussion of long-term and

See Net Zero Commitment section of our 2022

Baseline Water Stressaim to have better metrics in the years to come. In

short-term strategy or plan to

Sustainability Report, pg 16.

(1) Gross global Scope 1(1) 841,104 MTCO₂eemissions, (2) amount of total
emissions from perfluorinatedcompounds

TC-SC-140a.1

2022, onsemi withdrew 515 thousand m3 of waterfrom areas with high water stress. Approximately 4

manage Scope 1 emissions,percent of our water withdrawal is from regions withemissions reduction targets

high-water stress.

and an analysis of performanceagainst those targets

High water stress regions - Pocatello, Idaho (USA);

Energy Management in Manufacturing
TC-SC-130a.1(1) Total energy consumed, (2)(1) 6,308,215 gigajoules (GJ)

percentage grid electricity, and(2) 100%(3) percentage renewable(3) 0%

Suzhou (China)
See Water and Waste Management section of our2022 Sustainability Report, pg 29.

See Energy Consumption and Emissions section of
our 2022 Sustainability Report, pg 24.

Waste Management
TC-SC-150a.1

Amount of hazardous waste

8,974 metric tons

from manufacturing, percentage

2 percent recycled, 40 percent diverted from landfill

recycled

See Water and Waste Management section of our2022 Sustainability Report, pg. 29.
Human Health Hazard

TC-SC-320a.1

Description of efforts to assess,

See Environmental Health and Safety section of ourmonitor and reduce exposure2022 Sustainability Report, pg. 34.

of employees to human healthhazards

2022 Sustainability Report			Appendix |90

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Sustainability Accounting Standards Board (SASB) Framework
CODE

METRICONSEMI DISCLOSURE

CODE

Monetary Losses – Employee Health and Safety Violations
TC-SC-320a.2

Total amount of monetary

In 2022, onsemi did not incur monetary losses as alosses as a result of legal
proceedings associated withMETRICONSEMI DISCLOSURE

Critical Materials Management
TC-SC-440a.1

Description of the management

onsemi discloses management approach to our

result of legal proceedings associated with employee

of risks associated with the use

responsible minerals sourcing. We are aware of thehealth and safety violations.

of critical materials

potential supply shortage of rare earth elements andemployee health and safety

their use in the production of electronic components.

violations (USD)

onsemi does not deliberately add any rare earth
elements in our products. There are some traces

Recruiting and Managing a Global and Skilled Workforce
TC-SC-330a.1

Percentage of employees that

(1) 2%

are: (1) foreign nationals and (2)(2) United States (country of domicile) – 11%located offshore

All other North America – 1%of rare earths in certain ceramic packaging, gold
wire bond and wafer fab operations, but we do not
manufacture any of these materials nor are theyadded intentionally. Through our Enterprise Risk

Asia Pacific – 76%

Management (ERM) framework, tools and processes,

EMEA – 12%

we identify the loss of critical supplies as a risk that

Product Lifecycle Management
TC-SC-410a.1

Percentage of products by

In 2022, approximately 23% of onsemi’s portfolio

revenue that contain IEC 62474

contained IEC 62474 declarable substances,declarable substances (%)

representing 29% of revenue.

is managed, mitigated and is tracked within the
supply chain planning, sourcing and procurement
groups and reported on a quarterly basis.
SEC Form SD Conflict Minerals Report

RoHS Statement

Rare Earth Minerals Statement

Compliance with REACH

See Supply Chain section of our 2022 Sustainability

Product Chemical Content Brochure

Report, pg. 74.

Materials Composition Program
Product Lifecycle Management
TC-SC-410a.2

Processor energy efficiency at asystem level for: (1) servers, (2)desktops, and (3) laptops

Not applicable for onsemi operations

Anti-Competitive Behavior Litigation
TC-SC-520a.1

Total amount of monetary

In FY22, onsemi did not incur monetary losses as

losses as a result of legal

a result of legal proceedings associated with anti-

proceedings associated withcompetitive behavior regulations.

anti-competitive behavior

See onsemi 2022 SEC Form 10-K, pg 90.

regulations (USD)

2022 Sustainability Report			Appendix |91

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Task Force on Climate-Related Financial Disclosures (TCFD) Framework
TCFD RECOMMENDEDDISCLOSURE

LOCATION OFDISCLOSURE

BRIEF DESCRIPTIONTCFD RECOMMENDEDDISCLOSURE

LOCATION OFDISCLOSURE

Governance

BRIEF DESCRIPTION

Governance

Disclose the organization’s governance around climate-related risks and opportunities.

(b) Describe

At onsemi, climate-related risks and opportunities are assessed,(a) Describe the board’s

Formal responsibility and oversight of matters related to

management’s role inmanaged and realized at the highest level of the organization. We

oversight of climate-related

environmental, health and safety (EHS), environmental, social

assessing and managing

believe that the responsibility of operationalizing mitigation andrisks and opportunities.

and governance (ESG) and sustainability issues at onsemi,

climate-related risks andadaptation strategies in response to climate-related risks andopportunities.

opportunities must be integrated at every level of the company,

including climate-related risks and opportunities, lies with theensuring the success of our risk management program and giving usboard Governance and Sustainability (GS) Committee, as statedthe ability to act nimbly at all levels when needed.

in the GS committee charter. The GS committee oversees
issues related to the company's governance principles and the

Our ERM program is overseen by a Risk Committee comprised of the

GS committee charter including risk and opportunities arising

CEO, CLO, CFO, CSO and EVP of Operations & Manufacturing. The

from climate change. The committee also oversees ESG and

Risk Committee is responsible for the identification, management

climate-related and sustainability-related initiatives including

and mitigation of risks faced by onsemi. To maintain accountability atoversight of strategy, risk management, opportunities, major
CDP Climate
Change,C1.1, C1.1a, C1.1b

capital expenditure and investments.
The GS Committee holds at least quarterly meetings per year
and is comprised of three or more independent members of
the board. Additionally, the entire board reviews progressagainst climate and sustainability-related goals, and targets
including progress towards onsemi’s goal to achieve net zero
emissions by 2040 (Net Zero 2040) across Scope 1, 2 and 3
and other metrics including energy usage, waste generation
and water withdrawal. Progress of the company’s sustainability
projects is communicated by the Chief Marketing Officer on aquarterly basis for review by the board. In 2022, the company
ensured ESG initiatives were a priority by tying aspects ofonsemi’s 2022 equity compensation program to Scope 1, 2 and3 emissions.

the highest functional level, executive staff members are appointed
CDP Climate

as risk sponsors for individual risks and work with risk owners

Change,who manage the risk on a day-to-day basis. ERM findings are

Questionscommunicated to the Risk Committee quarterly to ensure that thisC1.2, C1.2a,

information is communicated to executive staff and our Board of

C1.3, C1.3a

Directors.
Climate-related risks and opportunities impact business units (BUs)
and functional departments across the organization in unique andnuanced ways. BU and department leaders are responsible forunderstanding, monitoring and acting as the risk and opportunity
landscape changes, ensuring they have the information, capacity
and resources needed to respond quickly and effectively to trigger
events. Groups engaged in climate-relate risk and opportunity
assessment include our three BUs, finance, legal, manufacturing,business continuity, new product development, supply chain, ESG,
human resources and customer experience.

2022 Sustainability Report			Appendix |92

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Task Force on Climate-Related Financial Disclosures (TCFD) Framework
TCFD RECOMMENDEDDISCLOSURE

LOCATION OFDISCLOSURE

BRIEF DESCRIPTION

Strategy
Disclose the actual and potential impacts of climate-related risks and opportunities on the organization’s
businesses, strategy and financial planning where such information is material.
(a) Describe the

At onsemi, we have identified potential climate-related risks

climate-related risks

and opportunities that could impact our business continuity,and opportunities thestrategy and financial planning. Risks identified include

organization has identified

transitional and physical risks with the capacity to impact ourover the short, medium, andown operation and value chain including our financials, supply

long term.

CDP Climate
Change,Questions C2.3,
C2.3a, C2.4,
C2.4a

onsemi over the near, medium and long term depending on the(b) Describe the impact

Identified climate-related risk and opportunities pose potentialof climate-related risks

impacts to our business across different impact categories

and opportunities on thesuch as finance, supply chain, customer demand and directorganization’s businesses,

operations. These impacts can be general and applicablestrategy and financial

across our business and value chain or they can be location-

Questions C3.1,
C3.1a, C3.3

challenging climate scenarios, onsemi executive leadership, various

strategy, taking intofunctional owners and the ESG team participated in a climate

consideration different

scenario analysis to inform a climate adaptation and resilience plan

climate-related scenarios

for implementation at the company. Scenarios used assume various

including a 2°C or lower

degrees of warming by 2100 and include social, technological,

scenario.

economic and political developments considered plausible undereach warming trajectory.
The three scenarios used to inform the development of a climate
action plan for onsemi include:
1. Failure to Decarbonize: runaway climate change resulting inand an increase in tangible and intangible asset values. Our

see the Risk and Opportunity Disclosure tables.

Change,Using three plausible, distinctive, consistent, relevant andof the organization’s

opportunities related to increase demand of onsemi products
identified climate-related risks and opportunities can impact

based, requiring specific plans and actions localized to theregion or country where the risk or opportunity is realized.
Realized potential impacts of the identified climate-related risk
and opportunities are to be integrated into strategic decisionmaking across onsemi in business continuity planning, capital

BRIEF DESCRIPTION(c) Describe the resilience

related opportunities identified include transitional and physicalFor a full list of onsemi’s climate-related risks and opportunities

CDP Climate

LOCATION OFDISCLOSURE

chain, workforce, company disclosure and reputation. Climate-risk or opportunity development and maturity.

planning.

TCFD RECOMMENDEDDISCLOSURE

warming above 3°C by 2100, international cooperation breakdowns
CDP Climate
Change,QuestionsC3.2, C3.2band increased potential for irreversible effects of climate change.
2. Orderly Decarbonization: orderly decarbonization resulting inwarming limited to 1.5°C by 2100, advancement, development
and adoption of sustainable technology and global policies for
decarbonization, including carbon pricing
3. Disorderly Decarbonization: disorderly decarbonization resulting
in warming around 2°C by 2100, the abrupt and uneven introductionof climate policies and increased financial consequences of climatechange.
Through this exercise, relevant climate-related risks andopportunities were identified and socialized for inclusion in ouroverall business strategy. We’re exploring the development ofinternal controls and procedures, adaptation and mitigation plans
and identification of trigger events to inform future action and noregret actions to be taken in response to the outcomes of our climate
scenario analysis.

expenditure planning and new product development.

2022 Sustainability Report			Appendix |93

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Task Force on Climate-Related Financial Disclosures (TCFD) Framework
TCFD RECOMMENDEDDISCLOSURE

LOCATION OFDISCLOSURE

BRIEF DESCRIPTIONTCFD RECOMMENDEDDISCLOSURE

LOCATION OFDISCLOSURE

Risk Management
Disclose how the organization identifies, assesses and manages climate-related risks.
(a) Describe theonsemi uses scenario analysis to understand the impacts oforganization’s processes forclimate change on our business operations, corporate strategy

identifying and assessing
climate-related risks.

CDP Climate
Change,Questions C1.2,
C1.2a, C2.1,
C2.1a, C2.1b,C2.2, C2.2aand value chain. By understanding the presumed operational
context of different decarbonization trajectories, we canidentify potential climate-related physical and transitionalrisks that could conceivably pose an impact to our businessand strategy. These scenarios are not intended to predict
the future, but instead, help us understand our potential risk

Metrics and Targets
Disclose the metrics and targets used to assess and manage relevant climate-related risks and opportunities
where such information is material.
(a) Disclose the metrics

Our scenario analysis detailed important metrics to help us assess

used by the organizationand monitor climate-related risks and opportunities in line with ourto assess climate-relatedrisks and opportunities
in line with its strategy
and risk management
process.

exposure and build resilience through activities to enhance our

CDP Climate
Change,Sections C5,
C6, C7, C8

Sustainability
ReportThrough our scenario analysis, we have identified various action

organization’s processes forplanning and trigger monitoring activities to build resilience tomanaging climate-relatedrisks.

CDP Climate
Change,Questions C2.2,
C2.2a, C2.3,
C2.3aplans and identification of trigger events to inform future action
and no-regret actions to be taken in response to the outcomesof our climate scenario analysis. Owners will be assigned tomonitor and manage relevant climate-related risks to ensure
actions are being taken when appropriate to ensure theresilience of business operations and strategies.

(c) Describe how processes
for identifying, assessing
and managing climaterelated risks are integrated
into the organization’s

CDP Climate
Change,Question C2.2,

overall risk management.

C2.2a

2022 Sustainability Report			

1, Scope 2 and, if

Scope 1 – 841,104 MTCO₂eappropriate, Scope 3
greenhouse gas (GHG)
emissions and the relatedrisks.

CDP Climate
Change,Sections C5,
C6, C7, C8
Sustainability

through scenario analysis have been mapped to relevant

Reportidentified climate-related risks.

• Total greenhouse gas emissions

In Fiscal Year (FY) 2022, our GHG emissions were as follows:

risks falls within ERM. Our climate-related risks identified

identified and assigned to ensure continuous management of• Total energy consumption included percentage from renewables(b) Disclose Scope

2022 onsemi

integration into our ERM framework. Risk owners have been

• R&D expenditures for low-carbon products• R&D expenditure on products that support customer
decarbonization

The process of identifying, assessing, and managing corporaterisk definitions within our current risk registrar for ease of• Product energy, water and emissions intensity• Investment in climate adaptation measurespotential climate-related risks. We’re exploring the developmentof internal controls and procedures, adaptation and mitigation

strategy and risk management process. Monitored metrics include:• Percentage of expenditure on energy efficiency
2022 onsemi

preparedness.
(b) Describe the

BRIEF DESCRIPTION

Scope 2 – 741,934 MTCO₂e
Scope 3 – 2,143,211 MTCO₂e
For a breakdown of Scope 3 by category, see the Energy
Consumptions and Emissions section of our 2022 sustainability
Report, pg. 24.
As regions and nations develop regulations aimed at accelerating
local or global decarbonization efforts, onsemi may encounter risks
associated with our GHG emissions including carbon prices andcarbon border adjustments. These can result in increased operational
expenditures if we continue to emit GHG emissions through ourbusiness operation activities.

Appendix |94

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Task Force on Climate-Related Financial Disclosures (TCFD) Framework
TCFD RECOMMENDEDDISCLOSURE

LOCATION OFDISCLOSURE

BRIEF DESCRIPTION(c) Describe the targets

At our Analyst Day in 2021, we announced Net Zero 2040

used by the organization

along with a commitment to use 50 percent renewable energy

to manage climate-related

by 2030 and 100 percent renewable energy by 2040. Thisrisks and opportunities

commitment will guide how we operate our business overand performance against
targets.

CDP Climate
Change,Questions C4.1,
C4.1b, C4.2,
C4.2b, C4.3,
C4.3a, C4.3b,C4.3c
onsemi blog,

the coming years and is essential to ensuring we operate in asocially thoughtful and environmentally responsible manner.
We are working to create a climate transition plan to meet
Net Zero 2040. We’re exploring the use of available levers
for reducing emissions across Scope 1 and 2 internally at ourfacilities, along with pathways for engaging suppliers and otherreduction strategies in the value chain for Scope 3 emissions
reductions outside onsemi’s direct control. We’re determining

the appropriate milestone tasks, metrics and key performance
2040 Emissions indicators to use for our climate transition plan, allowing us toGoal for onsemi track our progress over time.
By identifying and monitoring our climate-related risks andopportunities, we can work to set further targets used to build
resilience and reduce potential negative impacts from identified
risks and realize potential positive impacts from identified
opportunities.

2022 Sustainability Report			Appendix |95

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Risk and Opportunity Disclosures
Transition risks
Transition risks were most prevalent under the Orderly Decarbonization and Disorderly Decarbonization scenarios.
RISK

VALUE
CHAIN

FINANCIAL IMPACTTIMEFRAME OF IMPACTONSEMI RESPONSE

Risk Management
Introduction of

Own

Increased

Negligible impact at

onsemi’s approach to enhancing

national carbon

operations

expenditurepresent; however,

the resilience of its own

pricing schemes

associated with

impact increases in theoperations to transition risks

and/or carbon

manufacturing andmedium term (before

border adjustment

corporate activity.

2030) under somemechanisms

Potential reduction

scenarios.

includes:• Achieving net zero
emissions: throughenergy efficiency projects,
renewable energy
procurement and reducing
greenhouse gas emissions
from process gases throughprocess swaps, gas swaps
and abatement technology.

in product margins.
Increased exposure
to legal liability.
Regulatory limits

Own

Reduced revenue

Negligible impact at

on carbon-related

operations

from the reduction inpresent; however,production capacity.

impact increases in the

Increased exposure

medium term (before

to legal liability.

2030) under someprocesses

scenarios.
Varied availability of

Own

Increased

Some impact at

renewable energy

operations

expenditurepresent, the impact

in locations where

associated withincreases into theonsemi operates

sourcing renewablemedium term (before

energy (in order2030), mostly in theto meet regulation

Failure to Decarbonize

and/or strategic

scenario.

objectives)
Increased

Own

Increased

Impact is present today

sustainability

operations

expenditure on staff

and increases in thereporting andand data/information

medium term (before

assurancesystems and2030) under somerequirements

controls

scenarios.

2022 Sustainability Report			• Integration with strategicplanning and risk
management: such as
exploration of incorporating
an internal carbon price incapital expenditure planning.
• Enhancing disclosure:through ongoing alignment
with global climate-related
reporting frameworks
and comprehensive data/
information controls.

RISK

VALUE
CHAIN

FINANCIAL IMPACTTIMEFRAME OF IMPACTONSEMI RESPONSE

Carbon pricing

SupplyIncreased

Negligible impact at

onsemi’s approach to enhancing

schemes and/chain

expenditure for raw

present; however,

the resilience of its supply chainor carbon bordermaterials, products

impact increases in theadjustment

and services, as

medium term (before

mechanisms applied

suppliers pass2030) under someto onsemi suppliers

costs on to onsemi.

scenarios.

and their emissions

Potential reduction

to transition risks includes:• Understanding emissions:developing a baseline of
supplier emissions throughour Scope 3 emissions
inventory.

in product margins.
Limitations on

SupplyReduced revenue

Negligible impact ataccess or availability chain

if raw materials

present; however,to raw materials

cannot be supplied

impact increases in the

including but not

to meet demand,medium term (before

limited to rare

and increased2030) under someearth minerals

expenditure

scenarios.

due to increasing

associated withregulations

sourcing alternate• Supplier engagement: we are
exploring ways to incorporate
public reporting of GHG
emissions by our suppliers
and other ESG matters into
our supplier scorecard,
which is used to track andencourage enhancement of
supplier performance.

suppliers andmaterials.
Pressure to

SupplyIncreased

Negligible impact atdemonstratechain

expenditurepresent; however,

deforestation-freeassociated with

impact increases in the

supply chain

investigating

medium term (before

deforestation2030) under somein onsemi’s

scenarios.

supply chain, andpotentially switchingsuppliers.

Appendix |96Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Physical risks
Physical risks were most prevalent under the Failure to Decarbonize scenario.
RISK

VALUE
CHAIN

FINANCIAL IMPACTTIMEFRAME OF IMPACTONSEMI RESPONSE

RISK

VALUE
CHAIN

FINANCIAL IMPACTTIMEFRAME OF IMPACTONSEMI RESPONSE

Production

Own

Reduced revenue

Impact already occurs

onsemi’s approach to enhancing

Extreme weather

SupplyReduced revenue

Impact already occurs

onsemi’s approach to enhancing

disruption fromoperations

from lost production

in some locations,the resilience of its own

impacts onsemi

chainfrom lost production

in some locations,the resilience of its supply chain

extreme weather

and increased

frequency and severity

operations to physical risks

supplier locations

frequency and severity(including indirect

expenditureof impact increases in

and/or supply chainof impact increases in

impacts such

associatedas government-with restarting

imposed power

production.

restrictions and/or impacts tosurrounding

includes:the medium term under • Enhanced business
continuity planning: we
all scenarios.
are exploring incorporating
future scenarios into existing
business continuity planning,prioritizing sites at higher riskof climate-related impact.

infrastructure)
Damage to onsemi

Own

Increased

Impact already occurs

facilities

operations

expenditure to repair

in some locations,facilities, increased

frequency and severity

insurance costsof impact increases in
the medium term under
all scenarios.

Limits to energy and

Own

Reduced revenue

Impact already occurs

water availability inoperations

from lost production.

in some locations,specific locations

Increasedfrequency and severityat specific times of

expenditure isof impact increases inyear

associated withthe medium term underhigher energy andall scenarios.

water costs.
Extreme weather

Own

Increased

Impact already occurs

impacts employee

operations

expenditure andin some locations,health, safety andliability risk. Potential frequency and severity

productivity

reduced revenueof impact increases inassociated with lostthe medium term under

production fromall scenarios.

• Infrastructure planning:
exploring the considerationof climate scenarios whenplanning for facility and/or equipment upgrades or
acquisitions.

logistics

to physical risks includes:• Existing suppliers: Exploring
incorporation of future
the medium term underscenarios into supplier
all scenarios.
engagement, including audit
specifications.
• Prospective suppliers:
Exploring incorporationof future scenarios intobusiness continuity
requirements.

• Accelerate resource
efficiency: adopting energy
conservation and efficiency
measures and increasingwater recycling practices,
reducing the number ofresources needed to operate
effectively.

absenteeism.

2022 Sustainability Report			Appendix |97

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Climate-related opportunities
Climate-related opportunities are most prevalent under the Orderly Decarbonization and Disorderly
Decarbonization scenarios.
OPPORTUNITY

VALUE
CHAIN

FINANCIAL IMPACTTIMEFRAME OF IMPACTONSEMI RESPONSE

onsemi products

Customer/

Increased revenue

Impact already occurs

onsemi’s approach tosupporting

marketassociated within some locations andcapitalizing on climate-related

electrification

demandincreased market

sectors; impact may

onsemi products

Customer/

Increased revenue

supporting solutions

marketassociated withfor energy, water

demandincreased market

opportunities includes:
increase within existing • Triple bottom line productoffering: onsemi’s strategy
geographies/sectors
targets the use of ourand expand to new
products in decarbonization
geographies/sectors
and efficiency applications
under some scenarios.
such as electric vehicles,
factory automation
Impact already occurs
and renewable energy
in some locations andinfrastructure.
sectors; impact may

and other resource

demand forincrease within existing

efficiency

technology solutions

geographies/sectorsthat increaseand expand to new

resource efficiency.

geographies/sectorsof transport,

demand forinfrastructure andelectrification

wider renewable

technologies.

energyunder some scenarios.
onsemi products

Customer/

Increased revenue

Negligible impact

supporting

marketassociated withat present; however

technology for

demandincreased market

impact increases in the

avoided emissions

demand for avoided

medium term (before

and carbon

emissions and2030) under someremovalscarbon removal

scenarios.

• Integration into strategicplanning: onsemi
incorporates climate-related
opportunities, including
market developments indecarbonization technology,
in its processes for new
product development,
expansion of manufacturing
capacity, and other strategicplanning processes.

technology.

2022 Sustainability Report			Appendix |98Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI STANDARDDISCLOSURE

GRI 2: General Disclosures 2022
1. The organization and its reporting practices
2-1

2. Activities and Workers
2-6

Organizational Details(a) Legal nameCROSS REFERENCE OR ANSWER

Our company name is ON Semiconductor Corporation (NASDAQ: ON).

Activities, value chain and other business relationships(a) Sector

Semiconductor(b) Value chain

See Revenue-Generating Activities in our

The company operates under the onsemi name and brand.

2022 SEC Form 10-K, pg. 6-10(b) Nature of ownership andonsemi is a publicly traded company incorporated under the laws of(c) Relevant business

See Completed and Pending Acquisitions and Divestitures inlegal form

the State of Delaware in 1992.

relationships

our 2022 SEC Form 10-K, pg. 5-6(c) Location of headquarters

onsemi headquarters are located at 5701 North Pima Road,(d) Significant Changes

See Completed and Pending Acquisitions and Divestitures in

Scottsdale, Arizona.

2-2(d) Countries of operation

See our global locations on our website.

Entities included in the

Sustainability reporting includes information about onsemi worldwide

organization’s sustainability

subsidiaries and joint ventures for which we have management

reportingcontrol. There is no difference between the entities included inour 2023 SEC Form 10-K, pg. 5-6
2-7

Employees

pg. 39.
2-8Workers who are not Employees

Total number of workers who are not employees: 817.
Majority of contract workers are working in factories asfinancial reporting and sustainability reporting.
2-3

See Our Employees section of our 2022 Sustainability Report,

operators (people processing and moving product) or

Reporting period, frequency andOur sustainability reporting is completed on an annual basis. This

technicians (people working on the processing equipment).

contact point

report covers January 1 through December 31, 2022. Our financial

Temporary workers are used to support short term increases inreporting is completed on a quarterly and annual basis. This report

production output

was published on June 27, 2023. For questions about this report,

3. Governanceplease contact the onsemi ESG team at sustainability@onsemi.com.
2-4

Restatements of information

onsemi has not made any restatement in the reporting year.

2-5

External assurance

Emissions information contained in the 2022 Sustainability Reporthas been externally verified by a third-party assurance agency,
APEX Companies, in accordance with ISO 14064-3 and against
criteria found in the Greenhouse Gas Protocol, Corporate Value Chain
Accounting and Reporting Standard and IPCC 2019 Guidelines on

2-9

See Overview of our Corporate Governance Practice andcomposition

Committees of the Board in our 2023 Proxy Statement, pg.
11-12, 15-18.

2-10
2-11

National Greenhouse Gas Inventories – leading methodologies usedby sustainability professionals for sustainability-related assurance.

Governance structure andNomination and selection of the

See Charter of the Governance and Sustainability Committee

highest governance bodyand 2023 Proxy Statement, pg. 13-14

Chair of the highest governance

Alan Campbell is a non-employee director and serves as Chairbodyof the Board. See Overview of our Corporate Governance
Practice in our 2023 Proxy Statement, pg. 11

2-12

Role of the highest governance

See Amended and Restated On Semiconductor Corporationbody in overseeing the

Corporate Governance Principles.

management of impacts

2022 Sustainability Report			Appendix |99

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWER

2-13

Delegation of responsibility for

The Board of Directors effectively views each of its committees

2-14

Role of the highest governanceThe company’s internal ESG team oversees drafting andmanaging impacts

as key in managing the company’s impacts on the economy,

body in sustainability reporting

publishing the company’s annual Sustainability Report,

environment and people. The Board of Directors delegates

however, the team receives input, guidance and direction

responsibility by empowering and entrusting its various

from members of the board before publishing the reportcommittees to handle specific matters tailored to eachand its data. This naturally flows from the board role incommittee’s allotted areas of expertise.

overseeing climate, sustainability and other ESG-related
initiatives. Particularly as climate change continues to impact
the company’s operations and, in turn, factor into its strategy

While management is responsible for the day-to-day

moving forward, the Board of Directors has taken a heightenedmanagement of our risk, the board plays an ongoing andinterest in the company’s emissions mitigation strategies andactive role in the oversight of such risk by regularly reviewing

sustainability reporting.

and discussing with management areas of material risk andmitigation measures being taken to address such risks. During
the 2022 fiscal year, the board and its committees regularly

Corporate Governance section of our 2022 Sustainability

discussed, among other things, the ongoing impacts of theReport, pg. 65.

COVID-19 pandemic, rising inflationary pressures, supply
chain issues, geopolitical risk and macroeconomic uncertainty
across the globe. While the board has primary responsibility
for risk oversight, each of its committees support this effort
by regularly addressing risks in their respective areas ofoversight. The chair of the relevant committee then reports on
risk discussions to the full board to the extent appropriate. This
combination of direct board and targeted committee oversightis intended to ensure a thorough assessment and foster afulsome discussion between management and the board of

2-15

Conflicts of interest

We have a written policy on related party transactions to which
all employees are required to adhere. We disclose conflicts ofinterests with stakeholders, including with respect to crossboard membership, the existence of controlling shareholders,
and related parties and their relationships and transactions
with related parties.

Since January 1, 2022, there have been no related party
transactions that are required to be reported as such underrisks we face.

SEC rules.

Today, the CEO works directly with the ESG department

See Charter of the Audit Committee and Related Party

team on climate- and sustainability-related initiatives

Transactions in our 2023 Proxy Statement, pg. 14.

through their supervisors. The CEO, CFO and other membersof management report on the Company’s impacts on theeconomy, environment and people to the board at its meetingsand in between meetings, as needed.

2022 Sustainability Report			Appendix |100

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI STANDARDDISCLOSURE

2-16

Communication of critical

Critical concerns are communicated during regular (quarterly)

2-21

Annual total compensation ratio

concerns

and special (interim) meetings with the Board of Directors.
Management and the members of the board communicate asneeded, often directly regarding developments and critical

CROSS REFERENCE OR ANSWER(a) Annual total compensation

1,029:1 for all employees

ratio

101:1 for U.S.-based non-manufacturing employees

items. With respect to ethics and compliance, the company has

See our 2023 Proxy Statement, pg. 55.

also established reporting channels for external parties to raise(b) Change in the annual total

ethics and compliance concerns regarding our employees,

compensation ratio

directors and other third parties doing business with us.
Reports may be made directly or anonymously, where allowed
by local law, via any of the methods outlined in our Code of

4. Strategy, Policies and Practices
2-22

Business Conduct.
2-17

Collective knowledge of the

The Governance and Sustainability Committee of thehighest governance bodyboard is tasked with encouraging and facilitating directors'

2-23

Statement on sustainable

See United Nations Sustainable Development Goals section

development strategy

of our 2022 Sustainability Report, pg. 82.

Policy commitments

See our Code of Business Conduct and our Human Rights
Policy. More information can be found in the Ethics andCompliance and Fair Treatment sections of our 2022

continuing education, including coordinating training sessions

Sustainability Report, pg. 70 and 72.

and informative presentations from external parties for the
directors on various topics and aspects related to corporate

See our Code of Business Conduct, sections Responsibility
and Accountability and Additional Responsibilities of Managers
and Supervisors, pg. 3 and 4.

serve to complement their existing knowledge bases.
Evaluation of the performance

See Corporate Governance section of our 2022 Sustainabilityof this highest governance body

Report, pg. 65.

Remuneration policies

See 2022 Compensation of Directors and Compensation
Discussion and Analysis in our 2023 Proxy Statement, pg. 23-

2-25

Process to determine

See Processes and Procedures for Considering andremuneration

Determining Executive Compensation in our 2023 Proxy

Processes to remediate

See Ethics and Compliance webpage on our external website.

negative impacts
2-26

Mechanisms for seeking advice

See Ethics and Compliance section of our 2022 Sustainability

and raising concerns

report, pg. 70.
Visit the onsemi helpline for more information.

2-27

24, 26-41.
2-20

Embedding policy commitmentsallows and encourages directors to select continuing director
further develop their skillsets and attend offerings that will

2-19

2-24

governance and other aspects of board service. The company
education offerings to attend, so directors are empowered to2-18

30.52%

Compliance with laws and

In February 2022, onsemi received a notice of violation (forregulations

one of its US facilities) for a one-time exceedance of its
daily maximum limit for ammonia discharge that occurred on
December 7, 2021. onsemi paid a $125 administrative penalty
fee on March 14, 2022. The underlying issue was identified andStatement, pg. 38-41.

addressed. This is not anticipated to present an issue in the
future.
2-28

Membership associations

See Public Policy section of our 2022 Sustainability Report,
pg. 78.

2022 Sustainability Report			Appendix |101

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI STANDARDDISCLOSURE

5. Stakeholder Engagement
2-29
2-30

CROSS REFERENCE OR ANSWERGRI 202: Market presence

Approach to stakeholder

See Prioritization Assessment and Stakeholder Engagement

Ratio of standard entry level

All employees are compensated at or above minimum wage.

engagement

section of our 2022 Sustainability Report, pg. 11.

wage by gender compared to

Minimum wage in all listed regions is gender neutral. onsemi

Collective bargaining

Percentage of total employees covered by collective bargaining

local minimum wage

complies with all applicable local laws regarding minimum wage

agreements

agreements: 26.45%

202-1

standards.
“Other workers,” in the context of this section, pertains to

GRI 3: Disclosures on Material Topics
3-1
3-2

employees of our suppliers or onsite service providers (e.g.,

Process to determine material

See Prioritization Assessment and Stakeholder Engagement

janitorial staff, cafeteria workers, security, etc.). We conduct

topicssection of our 2022 Sustainability Report, pg. 11.

risk assessments and/or onsite verification of suppliers andList of material topics

See Prioritization Assessment and Stakeholder Engagement

onsite service providers to ensure that RBA standards andlegal requirements are met, including those related to minimum

section of our 2022 Sustainability Report, pg. 11.
3-3

Management of material topics

section of our 2022 Sustainability Report, pg. 11.
GRI 201: Economic performance
201-1

wage. onsemi cannot provide a ratio for other workers, as that

See Prioritization Assessment and Stakeholder Engagement

Direct economic value

See our 2022 SEC Form 10-K:

generated and distributed

Profit and Loss, pg. 55
Results of Operations, pg. 32-34
Revenue and Segment Information, pg. 62-65

information is unavailable.
202-2

201-3

Financial implications and other

See Climate Scenario Analysis and Risk Disclosure section ofrisks and opportunities

our 2022 Sustainability Report, pg. 68.

Defined benefit plan obligations

To ensure we are strategic on our offerings, benefits are

and other retirement plans

handled at a regional level. See our website for regional

See Our Employees section of the 2022 Sustainability Report,

management hired from thepg. 39.

local community
GRI 203: Indirect economic impacts
203-1

Infrastructure investments and

See our 2022 SEC Form 10-K Purchase Obligations, pg. 86-87.

services supported

Supplemental Disclosures, pg. 98.
201-2

Proportion of senior

203-2

Significant indirect economic

See our 2022 SEC Form 10-K Purchase Obligations, pg. 86-87.

impacts

benefits summaries and 2022 SEC Form 10-K, pg. 63, 82-84.
201-4

Financial assistance received

See our 2022 SEC Form 10-K:

from government

U.S. federal R&D credit, pg. 94
NOL and tax credit carryforwards, pg. 96.

2022 Sustainability Report			Appendix |102

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI 204: Procurement Practices
204-1

Proportion of spending on local

See Supply Chain section of our 2022 Sustainability Report,

suppliers

pg. 74.
GRI 205: Anti-corruption

205-1

GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWER(c) Total number andSelect suppliers, customers and other business partners

percentage of businessreceive notice of our anti-corruption policy through anti-

partners that the organization’s

corruption due diligence questionnaires and surveys.

anti-corruption policies
and procedures have been

Operations assessed for risks

All factories are assessed for risks related to corruption throughcommunicated to, broken down

related to corruption

the RBA self-assessment questionnaire (SAQ), RBA internal

by type of business partner

audits or RBA VAP audits.

and region. Describe if theorganization’s anti-corruption

In addition to our responsibilities as a full member of the RBA,

policies and procedures have

we also conduct internal anti-corruption risk assessments,

been communicated to any

which factor in our global operations, geographic footprint,

other persons or organizations.

customers and business partners.

(d) Total number andAll board members (100 percent) completed our Code ofpercentage of governance bodyBusiness Conduct annual training, which includes a module onmembers that have received

anti-corruption.

Certain teams, sites and business partners have heightenedlevels of risk based on location, functional role and extent ofinteraction with government parties.
205-2

Communication and training about anti-corruption policies and procedures(a) Total number andAll board members (100 percent) received materials

percentage of governance bodycommunicating the company’s anti-corruption policy. Annual

members that the organization’s

Code of Business Conduct training includes the topic of anti-

anti-corruption policies

corruption in 2022.

training on anti-corruption(e) Total number and

All employees have received an annual Code of Businesspercentage of employees that

Conduct training which includes a module on anti-corruption.

have received training on anti-

Our training completion rate in 2022 was 97 percent.

corruption

and procedures have beencommunicated to(b) Total number andonsemi’s anti-corruption policy has been communicated topercentage of employees

all employees through the annual Code of Business Conductthat the organization’srollout and accompanying training. Our training completion rateanti-corruption policies

in 2022 was 97 percent.

and procedures have beencommunicated to2022 Sustainability Report			Appendix |103

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWER

205-3

Confirmed incidents ofonsemi cannot disclose this information at thiscorruption and actions taken

time due to specific legal prohibition as this is
attorney-client privileged information.

GRI 206: Anti-competitive behavior
206-1

Legal actions for anti-

In 2022, there were no legal actions pending or completed during

competitive behavior, anti-trust

the reporting period regarding anti-competitive behavior andand monopoly practices

violations of antitrust and monopoly legislation.
GRI 207: Tax

207-1

Approach to tax

207-2

Tax governance, control and risk See 2023 Global Tax Strategy, sections 2.3, 2.3.1 and 3.1. For
management

GRI STANDARDDISCLOSURE

GRI 302: Energy
302-1
302-2

Energy consumption within the

See Energy Consumption and Emissions section of our 2022

organization

Sustainability Report, pg. 24.

Energy consumption outside theonsemi does not track energy usage outside the organization.

organization
302-3

Energy intensity

302-4

See 2023 Global Tax Strategy, sections 1.1, 2.3, 2.3.1 and 3.1.
302-5

a copy of the report that contains the opinions on the financial

Reduction of energy

See Energy Consumption and Emissions section of our 2022

consumptions

Sustainability Report, pg. 24.

Reductions in energy

Our products offer significant energy savings to our customers.

requirements of products and

See Product Stewardship section of our 2022 Sustainability

services

Report, pg. 20.
GRI 303: Water and Effluentsto pg. 52 in our 2022 SEC Form 10-K.
Stakeholder engagement andSee 2023 Global Tax Strategy, sections 2.3.3 and 3.1.

management of concerns

For details regarding our approach to public policy advocacy on tax,

related to tax.

see GRI 415-1. In addition, we also collect information from external
stakeholders through our investor relations group atinvestor@onsemi.com or through our ESG group at
sustainability@onsemi.com.

207-4

Country by country reporting

We do not publicly disclose this information.
GRI 301: Materials

301-1

Materials used by weight or

onsemi spends over $1 billion USD on various parts and raw

volumematerials as we manufacture at both internal and external sites. We
do not track or estimate the raw material used in key manufacturing

301-3

303-1
303-2

Interaction with water as a

See Water and Waste Management section of our 2022

shared resource

Sustainability Report, pg. 29.

Management of water

Effluent discharge meets or exceeds local regulations.

discharge-related impacts
303-3

Water withdrawal

See Water and Waste Management section of our 2022
Sustainability Report, pg. 29.

303-4

Water discharge

See Water and Waste Management section of our 2022
Sustainability Report, pg. 29.

303-5

Water consumption

See Water and Waste Management section of our 2022
Sustainability Report, pg. 29.
GRI 304: Biodiversity

Operated sites owned, leased,

onsemi does not have any operational site owned, leased,managed in or adjacent tomanaged in or adjacent to, protected areas and areas of highonsemi does not use recycled input materials in our manufacturing

protected areas and areas of

biodiversity value outside protected areas.

process.

high biodiversity value outside

Reclaimed products and theirSee Water and Waste Management section of our 2022

protected areas

packaging materials

Sustainability Report, pg. 29.

locations.
301-2

Our energy intensity is based on our revenue. In 2022, we had
an energy intensity of 210 MWh per million USD revenue.

statements and internal control over financial reporting please refer
207-3

CROSS REFERENCE OR ANSWER

Recycled input materials used

304-1

304-2

Significant impact of activities,

None, onsemi sites are in industrial zones or urban settings

products and services onwith minimal direct or indirect impacts on biodiversity.

biodiversity
2022 Sustainability Report			Appendix |104

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWER

304-3

Habitats protected or restored

onsemi has not participated in habitat protection or

306-3

Waste generated

See Water and Waste Management section of our 2022

restoration. This practice may become part of our carbon
offsetting activities in the future, but at this time we havenothing to report.
304-4

IUCN red list species andTo the best of our knowledge, there are no IUCN Red List

national conservation list

species and national conservation list species with habitats inspecies with habitats in areas

areas affected by the operations of the organization.

affected by operations
GRI 305: Emissions
305-1

Direct (Scope 1) GHG emissions

Sustainability Report, pg. 29.
306-4
306-5

305-4

308-1

New suppliers are not pre-screened using environmental

screened using environmental

criteria. However, all suppliers are provided our CSR

criteria

Commitment through the Supplier Handbook. Furthermore,
our top expenditure suppliers must sign our Corporate Social

See Energy Consumption and Emissions section of our 2022

Responsibility Statement of Conformance and complete a risk

emissionsSustainability Report, pg. 24.

assessment with environmental criteria on a biennial basis.
Negative environmental impacts

We are not aware of any negative environmental impacts in the
supply chain for 2022.

Other indirect (Scope 3) GHG

See Energy Consumption and Emissions section of our 2022

in the supply chain and actions

emissionsSustainability Report, pg. 24.

taken

GHG emissions intensity

Our GHG emissions intensity is based on revenue and includes

Reduction of GHG emissions

See Net Zero Commitment section of our 2022 Sustainability
Report, pg. 16.

Emissions of ozone-depleting

GRI 401: Employment
401-1
401-2

Nitrogen oxide, sulfur oxides

To our knowledge, air emissions do not exceed local regulationand other significant air

air emission permit limits. Emissions concentrations are tracked

emissionsat local facilities and data is not calculated globally.

New employee hires and

See Our Employees section of our 2022 Sustainability Report,

employee turnovers

pg. 39.

Benefits provided to full-time

Employees who work at least of 20 hours per week as regular

employees that are not provided employees are eligible for our benefit programs. To ensure we

onsemi does not emit ozone-depleting substances.

substances
305-7

New suppliers that were

Energy indirect (Scope 2) GHG

USD revenue.

305-6

See Water and Waste Management section of our 2022

GRI 308: Suppler Environmental Assessment

See Energy Consumption and Emissions section of our 2022

our Scope 1 and 2 emissions. We emit 184 MTCO₂e per million
305-5

Waste directed to disposal

Sustainability Report, pg. 29.

308-2
305-3

See Water and Waste Management section of our 2022
Sustainability Report, pg. 29.

Sustainability Report, pg. 24.
305-2

Waste diverted from disposal

to temporary or part-time

are strategic in our offerings, benefits are handled at a regional

employees

level. See our website for regional benefits summaries and2022 SEC Form 10-K.

401-3

Parental leave

See our website for regional benefits summaries and 2022
SEC Form 10-K.

GRI 306: Waste
306-1
306-2

Waste generation and significant See Water and Waste Management section of our 2022
waste-related impacts

Sustainability Report, pg. 29.

Management of significant

See Water and Waste Management section of our 2022

waste-related impacts

Sustainability Report, pg. 29.

2022 Sustainability Report			Appendix |105

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI 402: Labor/Management relations
402-1

Minimum notice period

As applicable, we provide advance notice or change theregarding operational changes

contract mid-term by mutual consent in accordance withGRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWER

403-5

Worker training on occupational

See Environmental Health and Safety section of our 2022

health and safety

Sustainability Report, pg. 34.

Promotion of worker health

We offer programs focused on nutrition, weight loss, physical403-6

fitness and the avoidance of unhealthy habits includingcollective bargaining agreements and local requirements in the
different countries where we operate.

smoking, drinking and using drugs. Several of our sites offer

Belgium: as per legal provisions

and/or an onsite gym facility.

Czech Republic: as per legal provisions

subsidized gym membership plans, access to fitness classes
Prevention and mitigation of

We follow strict standards to provide safe workplaces for

China: yes (manufacturing only)

403-7

occupational health and safety

employees around the world. Engineering controls such

Japan: yes

impacts directly linked byas adequate exhaust/ventilation, fire protection systems,

South Korea: n/abusiness relations

interlocks, machine guarding, etc. are preferred based on

U.S.: yespresent hazards. Additionally, personal protection equipment

Vietnam: no(PPE) is provided based on a risk analysis.

Taiwan: no
France: as per legal provisions

403-8

GRI 403: Occupational health and safety
403-1
403-2

Occupational health and safety

See Environmental Health and Safety section of our 2022

management system

Sustainability Report, pg. 34.

Hazard identification, risk

See Environmental Health and Safety section of our 2022

assessment and incident

Sustainability Report, pg. 34.

Workers covered by

See Environmental Health and Safety section of our 2022

occupational health and safety

Sustainability Report, pg. 34.

management system
403-9Work-related injuries

for both employees and non-employees and 40 recordable
work-related injuries for employees. We had 2 recordable workrelated injuries for non-employees.

investigation
403-3

Occupational health services

For high-risk contractor work, a dedicated safety supervisor

Some of our sites have employed occupational health resourcemust be always present. This safety supervisor must have line

specialists while others have in-house clinics. We alsoof sight to all high-risk jobs. The safety supervisor serves as acontract doctors in certain locations who provide services

safety advocate and helps ensure that all safety rules are being

to employees. We use the European Union General Data
Protection Regulation (GDRP) to protect the privacy of all
employees.
403-4

Worker participation,

See Environmental Health and Safety section of our 2022

consultation and communication Sustainability Report, pg. 34.
on occupational health andIn 2022, onsemi had 0 high-consequence work-related injuries

followed.
403-10Work-related ill health

In 2022, onsemi had zero recordable work-related ill healthoccurrences. For a breakdown of our non-recordable workrelated ill health occurrences, see Environmental Health and
Safety section of our 2022 Sustainability Report, pg. 34.

safety2022 Sustainability Report			Appendix |106

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI 404: Training and Education
404-1
404-2

GRI 408: Child labor

Average hours of training per

In 2022, our average hours of training per employee was about

Operations and suppliers at

We work with suppliers in countries where the risk of violating

year per employee

6 hours of training per employee.

408-1

significant risk for incidents oflabor and human rights standards is recognized as being

Programs for upgrading

See Learning and Development (L&D) section of our 2022

child laborhigher. To actively address this, we require suppliers to

employee skills and transition

Sustainability Report, pg. 53.

complete self-assessment questionnaires, provide training andconduct onsite verification. If any risk of violating the right toassistance
404-3

Percentage of employees

In 2022, all eligible employees received a performancereceiving regular performanceappraisal.

freedom of association, existence of child labor or forced labor
is identified, we work closely and diligently with the suppliers
through corrective action plans. If the nonconformance isand career development reviews

not adequately addressed by the supplier promptly, we may

GRI 405: Diversity and equal opportunity
405-1
405-2

Diversity of governance bodies

See Our Employees and Corporate Governance sections ofand employees

our 2022 Sustainability Report, pg. 39 and 65.

Ratio of basic salary andonsemi does not publicly disclose this information.

renumeration of women to menchoose to terminate our contract with the supplier. For more
information, see our Human Rights Policy.
GRI 409: Forced or compulsory labor409-1

GRI 406: Non-discrimination
406-1

Incidents of discrimination andonsemi cannot disclose this information at this time due toactions taken

specific legal prohibition as this is attorney-client privileged

Operations and suppliers at

We work with suppliers in countries where the risk of violating

significant risk for incidents oflabor and human rights standards is recognized as being

forced or compulsory laborhigher. To actively address this, we require suppliers tocomplete self-assessment questionnaires, provide training andconduct onsite verification. If any risk of violating the right tofreedom of association, existence of child labor or forced labor

information.

is identified, we work closely and diligently with the suppliers

GRI 407: Freedom of association and collective bargaining
407-1

Operations and suppliers in

We work with suppliers in countries where the risk of violating

which the right to freedom

labor and human rights standards is recognized as beingof association and collective

higher. To actively address this, we require suppliers tobargaining may be at risk

complete self-assessment questionnaires, provide training andconduct onsite verification. If any risk of violating the right tofreedom of association, existence of child labor or forced labor
is identified, we work closely and diligently with the suppliers
through corrective action plans. If the nonconformance is
not adequately addressed by the supplier promptly, we may

through corrective action plans. If the nonconformance is
not adequately addressed by the supplier promptly, we may
choose to terminate our contract with the supplier. For more
information, see our Human Rights Policy.
GRI 410: Security practices
410-1

Security personnel trained

We use both in-house and third-party organizations forin human rights policies or

security personnel. In 2022, approximately 90 percent ofprocedures

our security personnel received training on our human rights
policies.

choose to terminate our contract with the supplier. For more
information, see our Human Rights Policy.

2022 Sustainability Report			Appendix |107

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixGlobal Reporting Initiative (GRI) Index
GRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI STANDARDDISCLOSURE

CROSS REFERENCE OR ANSWERGRI 411: Rights of indigenous peoples
411-1

Incidents of violations involving

To the best of our knowledge, there have been no identified

rights of indigenous peoples

incidents of violations involving the rights of indigenous

GRI 415: Public policy
415-1

Political contributions

pg. 78.

peoples during the reporting period.
GRI 413: Local communities
413-1

413-2

See Public Policy section of our 2022 Sustainability Report,
GRI 416: Customer Health and Safety

416-1

Assessment of the health and

100 percent of our products are covered by and assessed forsafety impacts of product andcompliance with company procedures for assessing product/

service categories

service health and safety impacts.

Operations with local

All of our global sites are involved with community engagement

community engagement, impact

and development programs through our workplace giving

assessments and development

program and employee volunteerism. To learn more about our

Incidents of non-compliance

We are not aware of any non-compliance concerning the healthprograms

community engagement efforts, see our Giving Now webpage

concerning health and safety

and safety impacts of our products and services.

and the Impacting Our Community Through Giving section of

impacts of products andour 2022 Sustainability Report, pg. 60.

services

Operations with significant

We do not have operations with significant actual and potential

actual and potential negative

negative impacts on local communities.

impacts on local communities

416-2

GRI 417: Marketing and labeling
417-1

Requirements for product andPer labeling requirements of JEDEC standard JESD97,

service information and labelingall shipping labels show whether the products are under

GRI 414: Supplier social assessment
414-1

New suppliers that were

New suppliers are not pre-screened against social criteria.

screened using social criteria

However, all suppliers are provided our Supplier Handbook
which references our CSR Commitment. Top suppliers by

Our labeling also indicates information regarding hazardous
material to comply with the China RoHS directive.
Incidents of non-complianceTo the best of our knowledge, we have not received fines forspend are required to sign our Corporate Social Responsibility

concerning product and service

non-compliance concerning product and service information

Statement of Conformance and complete a risk assessment

information and labelingand labeling.

with social criteria on an annual basis.
414-2

restriction of hazardous substances (RoHS) compliant/Pb-free.

417-2

Incidents of non-complianceTo the best of our knowledge, we are not aware of any non-

Negative social impacts in the

We work closely and diligently with our suppliers to ensure

417-3

concerning marketingcompliance concerning marketing communications.

supply chain and actions taken

there are no negative social impacts from our supply chain. If

communications

negative social impacts are identified within our supply chain,
we work with our suppliers to address those issues throughcorrective action plans.

GRI 418: Customer privacy
418-1

Substantiated complaints

To the best of our knowledge, we are not aware of any

concerning breaches ofsubstantiated complaints of breaches of customer privacy or

customer privacy and losses oflosses of customer data.

customer data

2022 Sustainability Report			Appendix |108

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixThird Party Assurance Statement

Page 2
VERIFICATION OPINION DECLARATIONGREENHOUSE GAS EMISSIONS
Apex Companies, LLC (Apex) was engaged to conduct an independent verification of the greenhouse gas (GHG)
emissions reported by Semiconductor Components Industries, LLC (SCI d/b/a “onsemi”) for the period stated below.
This verification opinion declaration applies to the related information included within the scope of work described
below.
The determination of the GHG emissions is the sole responsibility of onsemi. onsemi is responsible for the preparationand fair presentation of the GHG statement in accordance with the criteria. Apex’s sole responsibility was to provide
independent verification on the accuracy of the GHG emissions reported, and on the underlying systems and processes
used to collect, analyze and review the information. Apex is responsible for expressing an opinion on the GHG
statement based on the verification. Verification activities applied in a limited level of verification are less extensive innature, timing and extent than in a reasonable level of verification.
Boundaries of the reporting company GHG emissions covered by the verification:•

Operational Control•

Worldwide•

Exclusions:oEmissions associated with refrigerant lossesoPeriod covered by GHG emissions verification:•

January 1, 2022 to December 31, 2022

Criteria against which verification conducted:•

World Resources Institute (WRI)/World Business Council for Sustainable Development (WBCSD)
Greenhouse Gas (GHG) Protocol Corporate Accounting and Reporting Standard (Scope 1 and 2)•

WRI/WBCSD Greenhouse Gas Protocol Corporate Value Chain (Scope 3) Accounting and ReportingStandard (Scope 3)

Reference Standard:•

ISO 14064-3 Second Edition 2019-04: Greenhouse gases -- Part 3: Specification with guidance for theverification and validation of greenhouse gas statements

Level of Assurance and Qualifications:•

Limited•This verification used a materiality threshold of ±5% for aggregate errors in sampled data for each of theabove indicators

Types of GHGs: CO2, N2O, CH4, NF3, SF6, HFCs, PFCs
GHG Emissions Statement:

Category 12 – End-of-Life Treatment of Sold Products: 44,484 metric tons of CO2 equivalent

Data and information supporting the Scope 1, Scope 2 and Scope 3 GHG emissions statement were in most cases
estimated rather than historical in nature.

GHG Verification Methodology:•

Scope 1 FY2022: 841,104 metric tons of CO2 equivalent•

Scope 1 Baseline 1 FY2022: 769,179 metric tons of CO2 equivalent•Interviews with relevant personnel of onsemi;•

Scope 2 (Location-Based) FY2022: 741,934 metric tons of CO2 equivalent•

Review of documentary evidence produced by onsemi;•

Scope 2 (Location-Based) Baseline 2 FY2022: 686,475 metric tons of CO2 equivalent••

Scope 3 FY2022 and Baseline:

Review of onsemi data and information systems and methodology for collection, aggregation, analysis, andreview of information used to determine GHG emissions; and•Audit of sample of data used by onsemi to determine GHG emissions.

Evidence-gathering procedures included but were not limited to:oCategory 1 – Purchased Goods and Services: 1,414,941 metric tons of CO2 equivalentoCategory 2 – Capital Goods: 102,663 metric tons of CO2 equivalent

Verification Opinion:oCategory 3 – Fuel and Energy Related Activities: 203,238 metric tons of CO2 equivalentoCategory 4 – Upstream Transportation and Distribution: 294,171 metric tons of CO2 equivalent

Based on the process and procedures conducted, there is no evidence that the GHG emissions opinion declaration
shown above:oCategory 5 – Waste Generated in Operations: 46,705 metric tons of CO2 equivalent•

is not materially correct and is not a fair representation of the GHG emissions data and information; andoCategory 6 – Business Travel: 5,556 metric tons of CO2 equivalent•oCategory 7 – Employee Commute (includes work from home): 17,452 metric tons of CO2
equivalent

has not been prepared in accordance with the WRI/WBCSD GHG Protocol Corporate Accounting andReporting Standard (Scope 1 and 2) and WRI/WBCSD Greenhouse Gas Protocol Corporate Value Chain
Accounting and Reporting Standard (Scope 3).

oCategory 8 – Upstream Leased Assets: 9 metric tons of CO2 equivalentoCategory 10 – Processing of Sold Products: 13,992 metric tons of CO2 equivalent

It is our opinion that onsemi has established appropriate systems for the collection, aggregation, and analysis ofquantitative data for determination of these GHG emissions for the stated period and boundaries.

1 Scope 1 Baseline excludes FY2022 GHG emissions from the Niigata, Oudenaarde, Pocatello and South Portland

manufacturing sites. onsemi has divested from those sites.

2 Scope 2 (Location-Based) Baseline excludes FY2022 GHG emissions from the Niigata, Oudenaarde, Pocatello andSouth Portland manufacturing sites. onsemi has divested from those sites.

WATER RESOURCES • ENVIRONMENTAL SERVICES • HEALTH & SAFETY • CLIMATE CHANGE
Apex Companies, LLC • (800) 733-2739 • www.apexcos.com

2022 Sustainability Report			Appendix |109

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

AppendixThird Party Assurance Statement

Page 3

Statement of independence, impartiality, and competenceApex is an independent professional services company that specializes in Health, Safety, Social and Environmental
management services including assurance with over 30 years history in providing these services.
No member of the verification team has a business relationship with onsemi, its Directors or Managers beyond that
required of this assignment. We conducted this verification independently and to our knowledge there has been noconflict of interest.
Apex has implemented a Code of Ethics across the business to maintain high ethical standards among staff in their
day-to-day business activities.
The verification team has extensive experience in conducting assurance over environmental, social, ethical and healthand safety information, systems and processes, has over 20 years combined experience in this field and an excellent
understanding of Apex’s standard methodology for the verification of greenhouse gas emissions data.
Attestation:

Megan O’Neil, Lead VerifierJohn A. Rohde, Technical Reviewer

Program Manager

ESG Principal

Apex Companies, LLC

Apex Companies, LLC

Atlanta, Georgia

Lakewood, Colorado

June 19, 2023
This verification opinion declaration including the opinion expressed herein, is provided to onsemi and is solely for the benefit ofonsemi in accordance with the terms of our agreement. We consent to the release of this declaration by you to the public or otherorganizations but without accepting or assuming any responsibility or liability on our part to any other party who may have access tothis declaration.

2022 Sustainability Report			Appendix |110

Table of Contents

Introduction

Our Business

Protecting Our Planet and Environment

Ensuring Social Responsibility

Impacting Our Community Through Giving

Committing to a Responsible Business

Appendix

Report Revision History
VERSIONDESCRIPTION OF REVISION AND REASONEFFECTIVE DATE

O

2022 Sustainability Report Document Initial Release

27 June 2023

2022 Sustainability Report			Appendix |111

2022 Sustainability Report
onsemi
Investor Relations and Corporate Development
5701 N. Pima Road
Scottsdale, Arizona 85250
investor@onsemi.com

www.onsemi.com