Guidelines for SOEs salary reform to come out this March
0 Comment(s)
Print
E-mail CRI, March 11, 2015
Salary reform for executives at state-owned companies has been underway for over a decade.
![Yin Weimin, minister of human resources and social security says detailed guidelines are expected to come out at the end of this month at a press conference on March 10, 2015 in Beijing. [Photo: Xinhua]](http://images.china.cn/attachement/jpg/site1007/20150311/7427ea210acc1669e7c911.jpg "Yin Weimin, minister of human resources and social security says detailed guidelines are expected to come out at the end of this month at a press conference on March 10, 2015 in Beijing. [Photo: Xinhua]") |
|
Yin Weimin, minister of human resources and social security says detailed guidelines are expected to come out at the end of this month at a press conference on March 10, 2015 in Beijing. [Photo: Xinhua] |
Yin Weimin, minister of human resources and social security says detailed guidelines are expected to come out at the end of this month.
He says salary structures will change.
Part of the executive salary will be based on the long-term performance of the companies. And the basic salary is not to be more than twice that of the average employee.
Performance pay should not be more than twice the base salary, and the long-term performance pay should be less.
That means the reform could trim some managers' salaries by as much as 70-percent.
In the pilot reform which started in January, around 200 executives from 72 different SOEs saw their salaries capped at 600-thousand yuan, or 100-thousand U.S. dollars, per year.
As part of the changes, the salaries of SOE executives are also going to be made public.
