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Highlights in 2008




 
 

Report on Corporate Social Responsibilities
 

China Telecom has been always adhered to the core faith of¡°All-round innovation, seeking truth through pragmatic practice, taking human being as the basis and jointly creating value¡±. Repaying the society, serving the customer, taking care of the staff, and repaying the shareholders are taken as the starting points by China Telecom. We are committed to providing facilitative, expedite and high-effective integrated information services for the society and the public. We are responsible for all those who have interests with us in realizing the coordination and harmonious unity between the corporate development and social development, and environment protection while exploring the best economic benefits.

Facing daily growing requirements from the society and the public for informatization services, China Telecom has put forward the strategy to transform itself to an integrated information service provider, attempting, through the innovation and convergence of services, to broaden the channels through which customers could get and exchange information freely so as to achieve the corporation`s sustainable and healthy development while pushing forward the social informatization progress and helping improve people`s living quality.


China Telecom and the Society

With Sincerity and Trust, China Telecom Operates in Accordance with the Laws.

China Telecom always abides by the laws and regulations, social morality, business morality and industry disciplines. China Telecom pays the full tax as required. In 2008, the total accumulated tax contributed by China Telecommunications Corporation is RMB 17.3 billion. China Telecom protects the rights and benefits of the investors and creditors, protects intellectual property rights and carries out the contracts honestly. We stress business credibility and oppose the unfair competition and put an end to the corruption in business transactions and increase the transparency in the company, establish long-term regulations and communications channels and get back and respond from and to the society through multiple channels.

Driving the Economic Increase

Expediting the informatization is one of the important strategies in driving the national economic and social development and realizing the national renaissance. China Telecom is actively pushing forward the corporate transformation, optimizing the development strategy, and perfecting the corporate governance, such that the management and control power is increased and the resource is appropriately allocated in serving the huge number of customers.

Promoting Social Employment

As the main body of the telecom industry reform enterprise, China Telecom is taking good care of all aspects at every reform cycle and restructuring period, making great efforts not to leave any burden to the State and society by proper arranging the retired and extra staff, and based on the practical needs of the enterprise, recruiting military staff after their service and recruiting new college students. China Telecom also provides a large number of working opportunities to the society for outsourcing service, such as service and maintenance work and driving the increase at other points of  the industry chain as the key tache, therefore, increasing the employment indirectly and contributes positively to the nation in alleviating the employment pressure.

Caring for Rural Development

For many years, China Telecom has attached great importance to the rural telecommunications development and improvement of the infrastructure construction in order to narrow down and diminish the digital division in the information age and promote the harmonious economic and social development among different regions and between the urban and rural areas. While meeting the basic telephone requirements, China Telecom is committed to sustainable and all-around implementation of the informatization platform and solution in rural area, first putting forward the concept of ¡°Connecting all towns with the broadband and bringing information to every village family¡±, initiating the exemplar project called ¡°1000 towns and 10000 villages¡±, taking a lead in the building of the socialist new countryside so as to bring information technology results to the vast rural areas. By providing the service called¡°Informatization Farm¡±and combining all the technology, education and marketing information in the branch offices scattered in the vast rural areas, China Telecom is now building the ¡°Technology Golden Bridge¡±to help the farmers make fortunes by providing them the voice, short message, telephone radio and broadband services. In response to the government¡¯s call, China Telecom actively participated in the activities of ¡°Bringing home appliances to the countryside¡±, in coordination and cooperation with the manufactures of the mobile terminals and computers, so as to improve the peasants¡¯life for their information needs. Under the negative influence of the global financial crisis, the policy of
increasing the domestic demands really helps the building of the new socialist countryside.

Participating in the Commonweal Projects

Driven by a strong sense of social responsibility, China Telecom is actively promoting and carrying out the duty of the excellent enterprise citizen by supporting social commonweal projects while developing itself in the informatization process. China Telecom contributes a lot to the commonweal projects for education, culture, and sports, etc.

China Telecom is actively participating in assisting the poverty countryside since 2003 by dispatching four batches of cadres to Yanyuan county, Muli county of Liangshan Yi Ethnic Autonomous Prefecture in Sichuan Province, donating RMB 36 million and helping them to set up three primary schools and one hospital, and also build up the electronic government intranet, education intranet and the cultural centre for the two counties so as to improve the local telecom infrastructure and public facilities, therefore, making big contribution to the local people in the poverty areas. Since 2002, China Telecom continued its participation in the implementation of the ¡°Helping-the-Poor Program¡± in Bianba County of Tibet Autonomous Region. We have dispatched three batches of cadres to Tibet and completed more than thirty projects and donated RMB 85 million, such that great contribution has been made to help raising the living standard of the local people, and promote the economic progress and social progress, which received wide recognition from the local people and government.

Having paid great attention to the young generation and young people, China Telecom undertook the huge responsibility and made active contribution to the green and healthy internet surfing project and tele-education system, etc. China Telecom was awarded with ¡°Excellent Contribution¡± for providing ¡°green¡± internet surfing service.¡°ChinaVNET¡±offered by China Telecom provides the best quality school lessons and assistance by the first-class teachers on-line to the students in the remote mountain areas, to ensure that the poor pupils will not be left behind at the starting point.

China Telecom strongly supports the preparation for the World Expo 2010 Shanghai by providing direct donation and the integrate information service in its road show exhibition. On one hand, it helps to resolve the financial problem; on the other hand, it enhances the information level of World Expo such that the consumers could experience the technology progress and a sense of the future in the World Expo. Therefore, the World Expo 2010 Shanghai will show the world the open door policy and reform in China and the informatization result. This is also the proof that China Telecom is carrying out its mission and duty as the main operator of the country.

Providing Warranty for the Emergency Communications

For many years, China Telecom undertakes and guarantees the national secure telecommunication, providing support to ensure the success of the important political and social events, such as the important holidays, National Peoples¡¯Congress (NPC) and the Chinese People`s Political Consultative Conference (CPPCC), etc. In 2008, China Telecom successfully provided the telecommunications warranty for the important events, such as the New Year Holiday, the Spring Festival, the Beijing Olympics and Shenzhou-7 launching and operations, etc.

2008 Beijing Olympics is a great event expected by all the Chinese including those living overseas. China Telecom paid high attention and did well to safeguard the telecom services for the Olympics. From the basic infrastructure to the information security, all efforts have been taken and all necessary measures have been implemented for all the premises, key event venues and all circuits in order to prevent from any possible damage. China Telecom strengthened the Internet management for the unhealthy information to safeguard the Internet information, coordinated with other operators to provide better services to the VIP customers, and organized the volunteers to provide detailed and considerate services to the Olympic Organizing Committee and all the guests. These efforts earned high praise from all the cycles of work.

China Telecom has set up an emergency telecommunications mechanism for any kind of emergence. During the big outburst events, China Telecom always provides the trustful telecommunications warranty. Whenever the big disasters happened, China Telecom always made its best endeavor to provide the smooth telecommunications and at the quickest speed possible to restore the telecommunications services in the disaster areas.

A major earthquake measuring 8.0 Richter scale jolted Wenchuan County of Southwest China`s Sichuan province at 2:28 p.m. on May 12, 2008, which brought a tremendous disaster to the local people and their properties. Disaster is the order, and information is life. Facing the severe situation, China Telecom understands Soci al Responsibilities Soci al Responsibilities quite well that keeping the communications on live is vital to the combat with the natural disasters. The Chief Executive Officer, Mr. Wang Xiaochu, flew to the disaster area at the bad news and commanded his team to rush for the rescue and relief work. Even if China Telecom suffered a lot from the disaster, it still considered the overall situations and exerted all its resources from the company to start the restoration and rebuilding work of the telecom facilities in order to communicate with the outside as quickly as possible. Therefore, China Telecom made a lot of ¡°firsts¡± in the initial restoration and rebuilding work: to build a first emergency communications system for Disaster Rescue Commander Centre under the State Council, to be the first to restore the communications lines with the outside for the public users, to be the first to restore the communications lines with the outside from Beichuan, the worst disaster affected area, to be the first to build the Qing-Chuan communications link and the first to restore the communications with Pingwu county, Maoxian county and Xuankou township of Wenchuan county.

China Telecom carried out the spirit of ¡°When disaster struck, help came from all sides¡±at all levels of the company, while performing its enterprise obligation and providing the secured telecommunications facilities for the relevant departments of the Party, Government, military, finance, power, etc, and also assisting the operators from the partners for restoring their networks. All those efforts made a special contribution to the overall rescue and relief work. In the disaster affected area, China Telecom also provided free phone calls to the public and set up the hot lines for the public and received positive and affirmative commentary from the local government and all cycles of life.

While actively assisting the disaster affected area, China Telecom organized the donations from all the levels of the company and its employees. The total value donated including cash and daily necessities reached 335.03 million yuan, out of which 12.1 million cash is coming from the headquarters, 18.48 million is coming from the subsidiary companies, 56.74 million is coming from the employees, 27.18 million yuan is coming from the Party members as the special Party membership fees and the total value for the daily necessities reached 220.53 million yuan. China Telecom also provided free hot lines and telecom services to the Television programs for the earthquake rescue and relief work and other relevant activities, reflecting the sincere concerns and assistance from the telecom people. Worrying what they worry about and helping what they need badly, China Telecom provided the best quality services and assistance to the disaster-affected people for the rebuilding work in the order that they will rebuild their homes and return to production and normal daily life. China Telecom is the only enterprise that received the reward as the Excellent Enterprise for its Outstanding Donation and Contribution to the Wenchuan Earthquake-Shaken Area and Best Quality Product and Guaranteed Services Provision¡±.

China Telecom carefully organized the activities for¡°Welcoming the Olympics with Gold-Medal Services¡±in the participation, support and provision of the guaranteed services¡±.China Telecom also received high appraisals from the customers and China Consumers` Association, and was awarded with the title of the¡°Excellent Unit for Fulfilling its Commitment to the Olympics Games¡±.

China Telecom and Its Customers

Informatization Creates Value to the Customers

1. Pushing forward public informatization and bringing benefits to the people. As the backbone force in promoting the government informatization, China Telecom is actively constructing the public information systems, such as the government office automation, ¡°Three Gold Projects¡±, and e-government to enable the public to have easy access to the government information and services from different channels. Up to now, there are more than 200 nationwide information application systems built by government agencies at different levels on China Telecom`s network. The monitoring system built on China Telecom`s¡°Mega Eyes¡±platform has become an important
means to the building of safe cities.

2. Advancing corporate informatization to help the growth of the enterprise. BizNavigator and Best Tone, two brands introduced by China Telecom, aim at helping enterprises upgrade their informatization level and improve their competitiveness and profit-making ability.

3. Focusing upon the informatization of industries and boosting the fast growth of industries. In meeting the demands of all industries informatization, China Telecom is actively providing the total solutions tailored to customers¡¯requirement from various departments, such as quality control, public security, customs, tax authority and logistics, etc. such that the enterprises could be provided with expert-class service in term of security, high quality and high efficiency for their future guidance and the opportunity of taking the lead in the industry.

4. Providing family informatization and making information available to every home. China Telecom launched ¡°My E-Home¡±as the customer brand by providing informatization consultation and design, wireless and cable access connection for different residential areas and families. This includes all the family convergence services such that the home customers could choose accessing methods from voice, broadband internet, video connection, etc. to enjoy life with the informatization.

Providing Services to Customer with the Best Quality Network

China Telecom continued its investment for the basic infrastructure to meet the requirement of the national economic development and informatization. In order to meet the ever-increasing demands of the customers, a large-scale, safety and reliable telecom network has been completed by making good use of the network resources and data resources. With this, we can provide the best-quality, high efficient and safety telecommunications services and also contribute a lot to the national basic infrastructure and the building of the straightway information network.

Innovating Technology and Updating Service Level

China Telecom takes the self-reliance technology innovation as the most important target in its development. China Telecom tries its best to create new corporate value and keep the leading position in the industry by taking the integration as the principal part and the service product as the central line. China Telecom established the technology innovation system by taking Beijing Research Institute, Shanghai Research Institute and Guangzhou Research Institute as the principal part and actively participated in the construction and trial operation of the national key projects in information industry for further exploring the technology progress. China Telecom is also keen to study the strategic technology, such as the 3rd generation mobile telecommunication system, broadband access, intelligent optical network, the next generation internet, etc., so as to promote the evolution and formation of the new technology and the new standards and regulations.

Satisfactory Services Will Safeguard the Consumers¡¯Rights

Providing customers with best service and enhancing service connotation, China Telecom always takes the service as the principal part of its overall strategy to implement, continuously holding the service notion of¡°Customers first, Service Foremost¡±£¬and corporate mission of¡°Letting the customers enjoy the new information life¡±, and corporate operation notion of ¡°Seeking parallel growth by increasing both the corporate value and the customer value¡±. Starting from the customers¡¯apperception, China Telecom set up the assessment system for the customers¡¯service and emergency handling mechanism for service quality. The customer service of ¡°10000¡±has been updated through the third party service comparison and comparison with other peers. With that, the service quality has been greatly improved at all the levels of the corporation. During the Beijing Olympic Games, China Telecom actively responded to the call of the ¡°Strengthening the Concept of Social Responsibilities and Contributing to the Olympic Games¡±by the China Consumers¡¯ Association, and carefully organized and participated in the activities of the Gold Medal Service Campaign to the Olympic Games. All these efforts received high remarks and recognition from the customers and China Consumers¡¯Association, and China Telecom won the title of the¡°Excellent Units for Fulfilling its Commitment to the Olympic Games¡±.

China Telecom and its Employees

Rights Guarantee

China Telecom pays great attention to the establishment and healthiness of the vindication of the employees¡¯rights, advocating the campaign for the harmonious enterprise in the employment relationship, promoting the establishment of the new-type socialist labouring relationship, which is in good order, fair, reasonable, mutual beneficial and stable. Taking the coordination of the labouring relationship as the key task, China Telecom actively pushes forward the establishment of the vindication of the employees¡¯rights by the Labor Union at all levels of the company. The Labor Union at all levels adopted the mechanism of equal consultation and collective contracts. Taking the principle of joint building and share together as the target, China Telecom unified the collective labour contracts in the subsidiary companies. As a result, the timely implementation rate of the contract was enhanced. The legal assistance through multiple channels was provided to the employees at a fast and convenient way, helping the employees for their written requests and visits. China Telecom adhered to the principle of¡°Same work, same paid¡±and strictly prohibited the discrimination at the employment and paid much attention to the equal development of men and women, campaigning for the¡°Quality Verification Project¡± and¡°Women`s Contribution to the Nation¡±,which is helpful to the enhancement of the women`s comprehensive makings.

Health and Security

Starting from the viewpoints of building a harmonious society and promoting the economic development and keeping a stable society, China Telecom is firm in implementing the laws and regulations, such as¡°Safe Production Law¡±¡°Labour Law¡±¡°Fire Control,andLaw¡±and the government directives, and propagating the safety production, educating and training the staff for the safety production concept so as to raise the safety production consciousness and self-knowledge. The safety production responsibility system was formulated, and the organizations for safety production management and safety rules were set up, such that the each post and each employee were kept well informed of the safety production Soci al Responsibilities requirement. China Telecom is actively perfecting the production environment and carrying out the labour protection and sanitation conditions. Also, the safety check and monitoring were enhanced with heavy investment in the safety production. Great attention was paid to the potential accidents to safeguard the telecom operation order for a better safety production environment of the company.

Great Care to the Employees

China Telecom made great efforts to sharpen its competitive edge and promote the harmonious relationship with employees, improve the mechanism to help low-income earners, set up the Warmth Foundation and Helping Centre for finance-stricken employees and raise funds for employees stricken with serious illness. The company also sends greetings to its employees on important festivals, and ensures annual health examination and sickness leave for its employees. China Telecom shows great care to the young employees for their growth. In 2008, series activities were held to provide opportunities for the young employees to have dialogues with the Executives, establishing the communication platform between the young employees and the management. The transformation was deepened with the inspiration of the young to become more capable. After the severest earthquake occurred in Wenchuan on May 12, 2008, the people of China Telecom overcame a lot of difficulties to restore the communications for the public and volunteered to donate to the rescue and relief operations. All the employees made their donations either in cash or in materials to help those in the disaster affected areas.

Culture Life

China Telecom promotes the culture and sport activities, which combine the knowledge and interest, attracting much participation and directing the health spiritual culture consumption and cultivating the health lifestyle. Many health activities were held in the group company to welcome the Beijing Olympics, including ping pang contests, handwriting and photograph selection through public appraisal. The Labor Unions at all the level of the company held more than 400 activities for all kinds of sports and cultural events and organized the employees to participate the activities hosted by the China Communications Sports Association and achieved excellent results. Two subsidiary companies of China Telecom were rewarded by the National Sports Administration with the title of¡°National Employee Sports Model Unit¡±and the Employee Art Troupe of China Telecom and the August 1st Women`s Basketball Team of China Telecom won many appraisals from the public. Through the culture and sport activities, the spiritual demands of the employees were satisfied and the off-hours life was stirred up, further enhancing the centripetal force and coherence of the enterprise.

China Telecom and the Environment

Develop energy-saving products and recycling economy, making active usage of the environmentally friendly materials.

China Telecom paid great attention to maintain the healthy life environment, adhering to the environment protection and implementing the concept in the construction process of the telecom projects. When selecting equipment types, priority was given to the non-noise, non-electromagnetic radiation or emission and non-polluted materials in the making of the optic fiber cable and transmission equipment. During the field survey of the transmission route, China Telecom intentionally kept away from the mining area, forestry, grasslands, wild plants, natural wonder, culture relics, natural protection area, scenery places and key points of interest. The directional drilling methods were adopted for the optical fiber cable installation, that is, the cable was laid underneath the obstacles and thus the surrounding environment remains unchanged. China Telecom also successfully retrieved all the batteries discarded as useless and disposed them safely to avoid the potential risks during the heavy snow disaster relief in the southern part of China in early 2008.

Innovation on telecom and ICT products and help to save the resources

Based on the features of the telecom industry, China Telecom adopted technological methods as a primary means to protect the environment. We made our contributions to promote the enterprise and the whole society to save energy by providing the ICT solution and developing new type product in formulating the conservation conscious society.

By providing the individuals and enterprises with the tele-communications applications products, such as Mega Eyes, Best Tone, etc. in replace of traditional information transmission method, we are promoting the energy saving related with the office work, transportation, etc. and the building of the energy saving society.

Create an energy-saving enterprise and realize the energy saving and pollution reduction

China Telecom made great efforts to reduce cost and increase efficiency by formulating regulations in a number of areas, such as office management, marketing, maintenance, employees, investment, etc. Energy-saving lighting instruments are advocated and the temperature of cabinets and offices is strictly controlled. A strong atmosphere of creating a conservation conscious enterprise is clearly felt in the company.

With the further development and strategic adjustment of the economic structure and the acceleration of ICT applications in the national economy and the society, China Telecom will further promote its strategic transformation process, expand win-win cooperation with its partners, extend the value chain and maintain the ecosystem of the industry in a responsible manner so as to boost sound and sustainable growth of the telecom industry. While trying to maximize value for its shareholders, China Telecom is committed to providing best service for the national economic and social development and rewarding the society with sincerity, in the hope of contributing its due part to the building of a harmonious society with a strong sense of social responsibility.

 

 

 
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