Company: DGLY
Filing Date: 2025-05-02
Form Type: 424B3
Source: 0001641172-25-008437
Chunk: 19

Company: DIGITAL ALLY, INC.
Filing Date: 2025-05-02
Form: 424B3
Chunk 19
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 subject to variable interpretations and governmental priorities concerning environmental
laws and regulations. The annual cost of complying with the regulations is minimal.

Environmental statutes have been interpreted to provide for joint and several
liability and strict liability regardless of actual fault. There can be no assurance that the Company and its subsidiaries
will not be required to incur costs to comply with, or that the operations, business or financial condition of the Company will not be
materially adversely affected by current or future environmental laws or regulations.

Human Capital

As of December 31, 2024, Digital Ally, and its subsidiaries, had approximately 31 full-time employees spread throughout the country, representing the core values and objectives of the Company. These employees are spread amongst our operating segments as follows:

|                              |     | As of             
 December 31, 2024 |    |
|:-----------------------------|:----|:------------------|---:|
| Employee headcount:          |     |                   |    |
| Video Solutions              |     |                   | 14 |
| Revenue Cycle Management [1] |     |                   |  6 |
| Entertainment                |     |                   | 11 |
| Total Employee Headcount     |     |                   | 31 |

[1] Our revenue cycle management operating segment has no direct employees. Nobility Healthcare, our minority interest partner, provides all human capital resources to manage and operate the Company’s revenue cycle management operating segment.

Our employees are our most important assets and they set the foundation for our ability to achieve our strategic objectives. All of our employees contribute to Digital Ally’s success and, in particular, the employees in our manufacturing, sales, research and development, and quality assurance departments are instrumental in driving operational execution and strong financial performance, advancing innovation and maintaining a strong quality and compliance program.

Our employees are not covered by any collective bargaining agreement, and we have never experienced a work stoppage. We strive to create a culture and work environment that enables us to attract, train, promote, and retain a diverse group of talented employees who together can help us gain a competitive advantage. Our key programs and initiatives that are focused to attract, develop and retain our diverse workforce include:

| ● | Compensation Programs and                                                                                                                     
 Employee Benefits: the main objective of Digital Ally’s compensation program is to provide a compensation package that will                   
 attract, retain, motivate and reward superior employees who must operate in a highly competitive and technologically challenging              
 environment. We seek to do this by linking annual changes in compensation to overall Company performance,