Quantcast
Get breaking news alerts via email

Click here to manage your alerts
China promises to rein in executive pay levels
Compensation » Public frustrated by wealth surrounding government-owned industry.
First Published Aug 19 2014 09:12 am • Last Updated Aug 19 2014 09:12 am

Beijing • China’s president has promised to rein in "unreasonably high" pay for executives at state companies in an apparent effort to mollify public frustration at the wealth of government-owned industry.

President Xi Jinping’s announcement, carried by the official Xinhua News Agency, comes as the ruling Communist Party is pressing government officials to cut spending on limousines, banquets and other trappings of office.

Join the Discussion
Post a Comment

The wealth and privileges of state companies in industries including oil, banking and telecommunications that benefit from monopolies, low-cost credit and other support have fueled public frustration.

Pay for executives, who are appointed by the ruling party, can be hundreds of times that of the average Chinese. Chief executives of banks and other companies are paid about 2 million yuan ($300,000) per year.

Xi’s announcement gave no details of changes but said companies must make sure their pay scales are "proper."

"Unreasonably high and excessive incomes must be regulated," the president said at a Cabinet meeting on Monday, according to Xinhua.

After the global financial crisis hit in 2008, executives of banks and other state-owned financial companies were ordered the following year to cut their pay to 90 percent of 2007 levels to promote "income fairness."




Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment


About Reader Comments


Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Videos
Jobs
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Access your e-Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.