The salaries for the principals of Chinese central state-owned enterprises (SOEs) were revealed by Li Rongrong, the official from the State-owned Assets Supervision & Administration Commission of the State Council (SASAC) on August 10.
Li said that salaries for the heads of central SOEs were set by the enterprises themselves before the SASAC was established. In 2002, the salary for the head of the China Petroleum & Chemical Corporation was 90,000 yuan; and the salary for the head of the Sanjiu Group was 1.15 million yuan. After its establishment, the SASAC began a responsibility-based salary system for the heads of central SOEs.
He added that the SASAC's annual added profit is 150 billion. There are 1,500 principals of central SOEs. The total salary for the heads of central SOEs grew by 45 million yuan annually. In 2004, the first-time salary assessment for the principals of the central SOEs revealed their total salary to be 438 million yuan, and the SASAC made 487.97 billion yuan in profit. The average annual salary for the principals of central SOEs was 350,000 yuan, among which the basic salary came to 150,000 yuan each and 200,000 yuan per task. Upon reaching their tenure, they are paid for 40% of tasks performed.
Moreover, between 2004 and 2006, the annual total salary increased by 14.84% on average, annual profits grew by 36.7%, and the annual salary on average grew by 14.9%. Meanwhile, the annual salary for employees in central SOEs increased an average of 15.3%.
By People's Daily Online