CPPCC members call for salary caps for SOE executives

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Many CPPCC members agree to restrict income for senior SOE executives as many of these executives are in monopolized industries. But some members wonder whether the government should set a unified level for executives in different industries.

The Chinese government is working on policies to impose  salary caps for senior executives of state-owned enterprises.

CPPCC member Li Jiaxiang said, "We should work out a standard for the income of SOE executives in different sectors.Their salary level should be connected with their performance and should also be acceptable to the general public."

CPPCC member Zhang Xiaoji said, "According to information disclosed by some listed companies, the income level of SOE executives varies greatly. But I think it's very difficult for the government to set a unified ceiling for all SOEs. We should strengthen supervision by the chairman's board and investors."

While how much senior SOE executives should earn remains a controversial issue, some CPPCC members say it's imperative for their remuneration packages to be under strict public scrutiny. Advisors want a more reasonable remuneration and incentive mechanism for SOE executives. Such a move will have profound significance in improving China's income distribution system and enhancing social harmony.

Editor:Zhang Ning