Converge Sustainability Report 2022

DELIGHTING CUSTOMERS BY TAKING CARE OF OUR OWN

Customer Privacy impact assessments, analyzing possible risk, gaps, and

and Data Security GRI 3-3, 418; SASB TC-TL-
220a, TC-TL 230a
vulnerabilities for 10 critical departments in Converge and
MetroWorks
Topic Owners:
SVP & Corporate Compliance and Data Protection Officer (Customer Privacy) 3. Updating the organization’s Record of Processing
EVP & Chief Information Officer (Data Security - IT) Activities and Registry of Data Processing Systems in line
EVP & Chief Network Transformation Officer (Data Security - Network) with business process and system improvements

4. Assessing of our compliance with respect to the

Data Privacy Act of 2012, its Implementing Rules and
Regulations and PNS ISO/IEC 27001
The 17th annual Internet Governance Forum (IGF), held in Addis Ababa in
late 2022, acknowledged that data privacy is a matter of human rights, not
5. Finalizing a Data Privacy Handbook for employees to
convenience or good practice. The IGF also recognized the links between
serve as a go-to guide for relevant data privacy standards,
sustainable development and cybersecurity. As set out in our
policies and procedures
Human Rights Policy, we consider data privacy a key area of focus and
commit to respect the rights of data subjects. In compliance with the
6. Renewing ISO 27001:2013 Information Security
Data Privacy Act of 2012, our Personal Data Privacy Policy specifies how
Management System certification
Converge protects personal information, implements appropriate security
measures, and respects data subject’s rights. This policy covers all data
7. Conducting vulnerability assessments and penetration
processing activities, systems or programs used in our operations, and the
testing of our applications and portals
individuals who have access to and handle personal information.
8. Launching Secure Access Service Edge (SASE)-based
Government requests to release customers’ data and information undergo
products for enterprise clients
Corporate Governance and Data Privacy (CGDP) and Legal Departments’
review to ensure that our subscribers’ freedom of expression and rights to
9. Empowering the team through the recruitment of
privacy are not violated. Customers’ data shall only be released if there is
additional Compliance Officers for Privacy (COPs) and
lawful order or proven to have sufficient basis to support it on legal and
mobilizing a team of CGDP Champions
statutory grounds.
10. Conducting a Data Privacy awareness campaign across
the organization and third party partners
Building on our achievements in 2021 (see 2021 Sustainability
Report), we were able to further improve our privacy and
security practices, and manage the topic and related impact
through the following: We had one data breach event in 2022, concerning third parties’
attempt to view customers’ Personally Identifiable Information (PII)
1. Acquiring and implementing of Data Privacy from the GoFiber app. Apart from the potential unauthorized viewing
Management Platform and a Consent Management of the personal information, we have no evidence to date that any
Platform PII has been misused. Upon discovery of the breach, the next higher
level of improvement was immediately instituted. We also ensured
2. Undertaking data processing, system/activity compliance with the registration and compliance requirements of
identification, personal data inventory, data mapping, the National Privacy Commission (NPC) (i.e. Registration of Data
privacy impact assessments and data protection Protection Officer (DPO), Submission of Annual Information Security
Incident, and breach notification.)

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 Converge Sustainability Report 2022
Our Compliance Officers for Privacy,
together with our CGDP Champions Converge, UnionBank join forces to fight financial cybercrime
continuously assess potential risks Banking and Finance sector among top targets of online fraud
while determining actions to be taken,
Converge signed a memorandum of understanding with Union Bank of the Philippines as
including whether individual data part of an industry-wide effort to clamp down on online fraud and financial cybercrimes.
owners and local authorities should
be notified of Data Breach Incidents. Converge also joined the industry alliance together with other telecommunication
The information incident reporting companies to fight online criminal activity using the banking and financial systems. The
processes are detailed in our Personal Digital Infrastructure group of the Private Sector Advisory Council (PSAC) initiated the
joint efforts of the telcos to uphold their commitment to consumer protection amid
Data Privacy Policy. Through consistent growing fraud concerns.
communications via cybersecurity
training during onboarding, newsletters, It has been reported that the banking and finance industry is one of the top vulnerable
memoranda, internal meetings, and sectors to online fraud.
discussuons, we have strengthened
Converge Chief Network Transformation Officer Paulo Martin G. Santos shared that
our CGDP Champions which helped in Converge recognizes its role in creating a more secure digital ecosystem for residential
changing the culture and embedding and commercial customers.
the right mindset to all employees
about their responsibilities and roles in “We have seen a spike in financial fraud, which makes banking the second-highest industry
relation to data privacy. We evaluate affected by cybercrime. We now average over 4.1 million requests to block fraudulent
URLs in our network. This makes our partnership today urgent and timely,” said Santos.
the effectiveness of our initiatives by
monitoring our records available in our “The pandemic really kickstarted the growth of our digital channels. Just like any other
Data Privacy Management Platform and channel, even in the physical world, criminals will follow whenever there is money. [These
a Consent Management Platform. cybercriminals] saw that opportunity to take advantage of Filipinos who are digital
migrants - first time using digital services and unfamiliar with phishing, scams, text, and
spam. In fact, the Bankers Association of the Philippines, in its 2021 report, said that P1
billion were lost due to these fraudulent attacks by cybercriminals,” explained Joey Rufo,
DATA BREACH INCIDENT Chief Information Security Officer and Data Protection Officer at UnionBank.

Target Actual Converge and UnionBank, along with the Bankers Association of the Philippines and the
other telcos, are partnering to create a framework to share information to combat financial
0 1 cybercrime. Through this initiative, the capability of cybercrime perpetrators to exploit
and manipulate the internet and financial technology will be minimized.

The MOU is a response to Advisory Opinion 2021-026 issued by the National Privacy
Number of customers affected Commission (NPC), allowing for the sharing relevant data for fraud investigations. It was a
by data breaches proactive response addressing the rising number of phishing and cybercrime cases.

1,001 or more

Note: From 2022 onwards, for disclosures

TC-TL-220a.2 and TC-TL-230a.1, we
have disclosed customers impacted in
accordance with the ranges used in National
Privacy Commission Circular No. 2022-01
(Guidelines on Administrative Fines).

Converge representatives (L-R) Benjamin Rex Emilio B. Azada (Converge EVP, Chief Strategy Officer),
Atty. Laurice P. Esteban-Tuason (SVP, Corporate Compliance and Data Protection Officer) and
Paulo Martin G. Santos (EVP, Chief Network Transformation Officer)

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Converge Sustainability Report 2022
DELIGHTING CUSTOMERS BY TAKING CARE OF OUR OWN

Workforce
Welfare GRI 2-7, 2-8, 3-3, 202, 402, 403, 404, 407, 408, 409

Topic Owners:
SVP & Head of Human Resources
VP & Head of Enterprise Risk Management

Our growing workforce is an integral part of our business. Converge

ensures to abide by corresponding laws and regulations on labor • Conducted periodic rapid antigen COVID-19 testing on our
management, as well as the mandates that protect their human rights employees to further mitigate the risk of spreading the
infection within the workplace
and liberties as part of the company’s accountability. We comply with
the Labor Code of the Philippines and strive to align our practices with • Strengthened the reporting and monitoring of workplace-
the principles set out by the International Labour Organization. To related hazards through a Hazard Identification, Risk
improve the working lives of our employees, we provide them decent Assessment and Risk Controls (HRAC) System implemented
pay that is compliant with labor laws and a sound work environment organization-wide
with opportunities for learning and career growth, a healthy and • Conducted Safety Training including, but not limited to,
safe workplace, and where employees are able to participate in Safety Officer Training, Working at Heights, Mandatory
organizational decisions that affect their lives. Eight-hour Safety and Health Trainings, and First-Aid
Training
Our Code of Business of Ethics expresses our accountability in ensuring
• Generated monthly reports and conducted surveys on
that we do our part as responsible employers in upholding Workers’ workers’ health and wellness as an input to discussions with
Rights by providing our personnel with ethical employment and work HR leaders and stakeholders
practices. We intend to widen our monitoring and management of
our workers not just for our employees, but also to the employees • Strengthened security measures in all company facilities
of our business partners and contractors who perform work for our by deploying a sufficient number of competent and well-
trained security personnel
organization.

To create a healthy and safe work environment, we: Number of fatalities as a result of Number of fatalities as a result of
work-related injury work-related ill health

• Established a Safety, Health, Environment and Security

(SHES) Committee to put emphasis and ensure 0 0
management of both the physical and psychological health
of all our workers wherever they operate

• Provide preventive healthcare through mandated annual

physical examinations which helps us assist employees in Number of high-
monitoring and managing their health status consequence
work-related injuries
1*
• Established and implemented a Mental Health Program to (excluding fatalities)
help strengthen employees’ resilience and advocate work-
life balance *due to vehicular/motorcycle accident of employees travelling to/from work

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 Converge Sustainability Report 2022
Currently, our scope of occupational, health, and safety includes only To encourage employee learning and development, we launched:
our own employees and workers on our premises. We plan to expand
this to include employees of the newly added subsidiary in 2022, • Pillars of Leadership Workshop where we have targeted
Myriad, and the workers who are not employees under our Service Line people managers
Installers (SLI), and business partners for network operations, customer
service, and other business partners. • Learning and Development Programs that support
functional capability and enhance corporate values

• Learning Champions to drive compliance on monitoring

training programs outside Converge University and other
corporate-wide programs

• Learning Partnerships with different departments to address

training needs

Training
Hours
40 34
Target Hours Actual Hours
per Employee per Employee

To enhance employee engagement, we:

We make sure to provide fair compensation and benefits by: • Conducted an employee engagement survey in December
2022 to measure and improve our performance as an
• Initiating a Market Alignment Program in order to build up employer and build a highly engaged workforce
our market competitiveness in terms of compensation
• Launched a new performance management approach using
• Joining the annual compensation survey with a global HR success factors
consulting firm to be able to benchmark our salary structure
and total annual compensation against other companies • Launched talent recognition programs at the group/
department level, such as Network Operations’ star talent
• Standardizing the sick leave days and vacation leave days circle
to 15 from nine and 12 for team members and supervisors,
respectively • Launched continuous improvement innovation competition
where employees participated and took initiatives to drive
change and improvement in the organization
All our employees across the nation are properly compensated and
meet the entry level minimum wage requirements of the DOLE - • Launched the Converge Connectors Circle to involve
National Wages and Productivity Commission. employee influencers and develop them as employee brand
ambassadors to help establish Converge as employer
As for our defined benefit plan obligations for Converge, Metroworks of choice
and other affiliates is a non-contributory and of the final salary defined • Led employee events and celebrations in the company (e.g.
benefit type. It provides a retirement benefit equal to 104% of the plan Christmas, Halloween, etc.)
salary for every year of credited service. Benefits are paid in lump
sum upon retirement or separation in accordance with the terms of • Intensified employee communications (e.g. newsletter, town
the Plan. Further details can be found in Note 12 of our 2022 Financial halls, chat groups, posters, etc.)
Statements within our SEC Form 17-A filing.
• Encouraged employee volunteerism (e.g. river clean up,
blood donation, digital literacy, etc.)

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Converge Sustainability Report 2022
The result of the employee engagement survey shows
Employee Engagement that our score is relatively higher than the industry and
Survey Result
local benchmarks. As an outcome of this survey, we
93% will curate and align future programs in the areas of
retention, pay and benefits, and communication.
Favorable

We respect our workers’ rights by:

• Committing to respect human rights through our Human VOLUNTARY INVOLUNTARY TOTAL
Rights Policy TURNOVER RATE TURNOVER RATE TURNOVER RATE

• Committing to undertake appropriate action to provide

timely and effective remedies in cases we uncover instances 10% 13% 23%
of having caused or contributed to the infringement on the
human rights of our employees

• Conducting due diligence as part of the supplier assessment Involuntary turnover was mainly due to the changes in our
process that requires investigating the suppliers’ labor operating model in certain locations. Affected employees
practices (See Social Supplier Assessment) were offered separation packages and/or were considered for
employment by our affiliated and business partners.
• Instituting a grievance mechanism through our
Whistleblowing Policy and Procedure and Employee
Discipline Policy

• Observing executive due process as set out in our Employee

“
Discipline Policy for non-compliant employees
Given the pressure and stress we
• Respecting our employees’ right to have collective
representation and to enter into collective bargaining encounter on a daily basis, we
agreements, if they deem it necessary don’t often have the opportunity
to evaluate how we are doing. We
frequently overlook the fact that both
our physical and mental health are
No. of instances of non-compliance with labor laws and human strongly correlated. We are fortunate
rights regulations that Converge is a strong advocate

TARGET

0
ACTUAL

0
“
for preserving and promoting our
employees’ mental health. More
companies that assist their employees
in overcoming life’s Ree Bringuelo,
challenges are needed. RN EMT CLC
Employee Health and
Overall, our initiatives and programs to improve the benefits for
Wellness Manager,
our employees, as well as their physical and mental health, their Human Resources Manager
engagements with the company and career growth helped us
maintain a voluntary turnover rate of 10%.

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 Converge Sustainability Report 2022
Converge continues championing its employees,
extends support to those stricken by natural disasters

Converge believes that empowered employees are fundamental totally washed out, with destructive winds and heavy flooding
to delivering quality services to its customers. And as part of its hitting San Miguel, Bulacan.
sustainability commitment, Converge upholds the principle of
delighting its customers by taking care of its own. “Sa nangyaring ‘yon, sobrang na-wash out talaga kami. ‘Yung
lugar namin ‘yung naging sentro ng bagyo, kaya ‘yung kubo
Mary Ann Abelgas and Melody Delos Santos are just two among na naipatayo namin para maging bahay-bakasyon, nasira lahat.
numerous Converge employees who experienced how the company Nasira ‘yung bubong, nawalan ng kuryente, saka namatay ‘yung
cares for its employees, especially in times of need. mga alaga naming kambing [We were completely wiped out
by the typhoon. We were at the center of the storm’s path;
Single-parent and family breadwinner, Mary Ann Abelgas, was my family’s hut was completely devastated. The roofs were
one of the victims of Typhoon Odette in Cebu last December destroyed, the electricity was cut off, and all of our goats died.]”
2021. She experienced the aftermath of the strong winds brought shared Delos Santos.
by the typhoon as the roof of their house was blown off amid the
widespread power outage in their barangay. After the super typhoon, Converge immediately mobilized to
assess the impact of the disaster, especially to its employees
“It was very tragic because it happened at night time. We were residing in the stricken areas. The company extended relief
not prepared for it. Nilipad ‘yung bubong namin sa sobrang lakas goods and financial assistance to those affected, including
ng hangin [Strong gusts blew off the roof of our house.]” Abelgas Delos Santos who opted to share these with other victim
shared. families in their barangay.

“
“Tinulungan ako ng department ko na nagpaabot ng tulong.
I really appreciate Converge Pinambili rin namin ‘yon ng relief goods para makatulong sa
barangay namin kasi masyado rin silang naapektuhan. Shinare
for their assistance. They din namin ‘yung nakuha naming tulong [My department
provided us with free extended some assistance. Because our barangay was also
lodging and cash advance severely impacted by the typhoon, I used that money to buy
which we could repay relief good to help my community. I also shared to others the
through friendly payment
terms. They also supplied
food and water during that
time for which we were
“ Mary Ann Abelgas
Order Management
support we received.]” said Delos Santos.

really beyond grateful for. Department Manager

Despite the challenges she experienced, Abelgas maintained a

positive disposition in life, expressing her thanks to Converge for
extending support to her and to other employees stricken
by the typhoon. By being of assistance to employees especially when they need
it most, Converge shows that every employee is valued and
Melody Delos Santos, meanwhile, was one of the victims of Super significant for the contributions they make to the organization.
Typhoon Karding which devastated Central Luzon in Through this, the company nurtures a motivated and empowered
September 2022. The onslaught of the disaster left their house workforce which is key to ensuring satisfied customers.

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 Converge Sustainability Report 2022
CREATING A POSITIVE COMMUNITY IMPACT

Access to Information SASB TC-TL-000.C, TC-TL-000.D

and Communications
Topic Owner:
Chief Executive Officer

The World Summit on the Information Society Declaration of The UN Secretary General’s Roadmap for Digital Cooperation calls
Principles (2003) envisions a “people-centered, inclusive and for digital inclusion for all, including the most vulnerable. Therefore,
development-oriented Information Society, where everyone can we continue to work with partners to aid the disadvantaged
create, access, utilize, and share information and knowledge.” We population’s access to broadband, to enable education, digital
acknowledge our role in building this Information Society through health, and economic opportunities.
the provision of broadband connectivity. Our network expansion
and subscriber acquisition efforts align with the Department of In supporting Filipinos’ access to information and communications,
Information and Communication Technology’s National Broadband we conducted the following activities:
Plan that promotes accelerated investment opportunities,
joint mobilization, and engagement of both public and private • Embed Access to Information in our Human Rights
sectors, expansion of connectivity, and empowerment of more Policy - We respect and will work to protect our
communities and businesses through access to broadband. customers’ right to freely access information over the
internet. We will promptly inform our customers about
We recognize and support the following international any disruptions whenever contents and/or services are
connectivity goals: blocked based on lawful orders.
• Free Connectivity Assistance to:
• UN SDG Indicator 17.6.1 (Fixed Internet broadband
subscriptions) » UpBean by KREations (a startup company)
• International Telecommunication Union’s Broadband —apart from providing 2 years worth of free
Advocacy Targets to close the digital divide by 2025 internet to grow their business online, we also
• The UN’s aspirational targets for universal and provided digitalization training and financial
meaningful connectivity by 2030 assistance

In 2022, we expanded our network to North Luzon, Visayas, and

Mindanao, and are proud to have hit our two million fiber port rollout
target. As of December 2022, our fiber footprint is over
613,000 kilometers.

Total Homes Passed

Target in 2023 Actual in 2022

Total Subscribers
15 M 14.94 M 1.9 M

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Converge Sustainability Report 2022
» LGUs—provided free internet to access
educational resources in Bataan, and free internet
for communities affected by typhoons

» Schools and students—offered schools and

students to deliver and acquire high-quality
education by bridging the digital divide and
offering free internet support. Beneficiaries
include:
“ We remain true to our mission to
serve the unserved and underserved
Filipinos while responding to the
needs of our stakeholders. Led by
our founders, we are advocating
for digital democracy to take hold
• DepEd Schools’ Ligtas na Balik-Aral
in the Philippines where everyone,
Program
• Della Strada Parish (DLSP) Scholars regardless of economic status, has
•
•
Learners from Indigenous Communities
Orphans from the Children’s Home for
Eucharistic Love and Kindness (CHELK)
Foundation
connectivity. “
access to world-class broadband

» Airports—in collaboration with the Department Jay-Anne Encarnado

of Transportation (DOTr), Converge will soon
provide free WiFi in the passenger terminals of
VP & Head of Corporate
nine international and regional airports Communications and Public Relations

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