Annual salary system

Annual system

Collection

zero Useful+1

zero

The annual salary system is based on year by Company , determine and pay the operator according to the production and operation scale and operation performance of the enterprise Annual salary Of distribution Mode. The annual salary system is adaptable capitalist country Resulting from the reform of the distribution system. In foreign countries, enterprises have experienced Owner system 、 Partnership and Company system 3 forms. With the continuous expansion of the company scale, ownership and control are gradually separated, forming a powerful manager in society ranks The control right of the enterprise is gradually controlled by the manager. In order to link the interests of managers with the interests of enterprise owners, make the goals of managers consistent with those of owners, form effective incentives and constraints on managers, and produce the annual salary system. Therefore, the main object of the annual salary system is the management personnel of enterprises.

Chinese name: Annual salary system
Foreign name: The annual salary system
Unit: The annual salary system is based on annual units
Allocation method: Production and operation scale and operation of the enterprise achievement

Mode: Profit indicators evaluate managers' performance; Use the stock market to evaluate the performance of managers; Direct evaluation of managers' behavior through owners
Evaluation: Not necessarily applicable to all enterprises

catalog

brief introduction

Announce

edit

To explore and establish effective incentives and Restriction mechanism So that the business managers can get the remuneration consistent with their responsibilities and contributions, and gradually realize the marketization of the business managers and their income. The enterprise pays the income of the business managers on an annual basis according to its own scale and operating performance distribution system 。 The annual salary of the operation manager shall be paid by Basic annual salary And annual risk salary. It is a kind of wage remuneration and incentive system in which human capital participates in the distribution, taking a long business cycle (usually years) as the unit, determining the remuneration scheme according to this cycle, and paying remuneration according to individual contributions and enterprise operating results. From the perspective of human resources, the annual salary system is an effective incentive measure, which plays a great role in improving performance. The annual salary system has broken through the routine of salary organizations. For senior managers, the annual salary system represents identity and status, which can promote the construction of talents and also improve the enthusiasm of annual salary earners. but pay A large part of the annual salary system in is linked to my efforts and the quality of the enterprise's operation, so it also has greater risks and uncertainties.

mode

Announce

edit

How to determine Manager The annual salary is different in different countries and enterprises. Generally speaking, there are three ways:

Evaluate managers' performance through profit indicators

Using the stock market to evaluate managers' performance

Because the stock market reflects the possibility of future profits of enterprises, it can prevent the short-term behavior of managers to a certain extent.

Direct evaluation of managers' behavior through owners

Generally speaking, the annual salary in the annual salary system is mainly composed of fixed salary, bonus, stocks, stock trading options, etc. In China, there is no unified annual salary system, and some places have formulated specific implementation methods. For example, Nanjing stipulates that the annual salary of operators is composed of basic annual salary and benefit annual salary in principle. In principle, the annual salary of the operator shall not exceed that of the enterprise Average salary of employees Eight times. It also stipulates that, Business operator To implement the annual salary system, we must bear the responsibility for business risks, and pay risk deposits and annual salary reserves. The implementation of the annual salary system shall be reported to the workers' congress of the enterprise first, and shall be reported to the competent department of the enterprise for approval.

pattern

Announce

edit

1、 Compensation structure of quasi civil servant model: base salary+allowance+pension plan

Amount of remuneration: depending on the nature and scale of the enterprise under management and the administrative level of senior managers, the general base salary is 2-4 times the average of employees, and the pension level after normal retirement is more than 4 times the average pension level.

Assessment indicators: whether the policy objectives have been achieved, and whether the tasks of the current year have been completed.

Applicable objects: all senior managers who have reached a certain level, including the chairman, general manager, secretary of the party committee, etc., especially senior managers who have long served as leaders of state-owned enterprises, can achieve the goals of enterprises, and are approaching retirement age.

Applicable enterprises: large and super large state-owned enterprises undertaking policy objectives, especially large group companies and holding companies with special strategic significance to the national economy.

Incentive function: the incentive mechanism of this compensation scheme is similar to that of civil servants' compensation, position Promotion opportunities, higher social status and a stable and decent life guarantee are the main sources of incentives, while the guarantee of higher living standards after retirement plays a role in restricting short-term behavior.

2、 Package model

Compensation structure: single fixed amount annual salary.

Amount of remuneration: relatively high, and Annual business objectives a hook. A fixed amount of annual salary agreed in advance can be obtained after the business objectives are achieved. For example, specify a Business operator Our annual salary is 150000 yuan, but we must achieve a loss reduction of 5 million yuan.

Assessment indicators: very clear and specific, such as loss reduction, realized profits, asset profit rate, tax profits handed in, sales revenue, etc.

Applicable object: one operator, general manager or part-time chairman. The salary of other members of the leading group can be converted by a coefficient, but the coefficient shall not exceed 1

Applicable enterprises: enterprises facing special problems that need to be solved urgently, such as loss making state-owned enterprises, can adopt this bidding method to encourage operators in order to turn losses into profits.

Incentive function: It has the incentive function of bidding and contracting, which has a great incentive effect, but is easy to lead to short-term behavior. The effectiveness of its incentive role depends to a large extent on the scientific selection, accuracy and authenticity of the assessment indicators.

The formulation of such compensation scheme, especially the selection of assessment indicators, is similar to the reward for operators commonly implemented by local governments.

3、 Non shareholding diversified model

Compensation structure: base salary+allowance+risk income (benefit income and bonus)+ old-age pension plan

Appraisal indicator: the base salary should be determined according to the enterprise's Asset size , sales revenue, number of employees and other indicators; When determining risk income, we should consider the growth rate of net assets, the growth rate of realized profits, the growth rate of sales revenue, the growth rate of paid tax profits, the growth rate of employee wages and other indicators, and also refer to the average benefit level of the industry to assess and evaluate the performance of operators.

Applicable objects: general managers or part-time chairmen of state-owned enterprises. Remuneration of other leading group members is converted by a certain coefficient, which is less than 1

Applicable enterprises: non joint-stock enterprises that pursue the maximization of enterprise benefits. At this stage, the vast majority of state-owned enterprises in China adopt this annual salary compensation scheme. In general, the annual salary and remuneration plans implemented by group companies for the operators of their subsidiaries are also like this, but there are some differences in the assessment indicators and calculation methods in the specific plans of each enterprise.

Incentive effect: if there is no limit on risk income capping, the selection of assessment indicators is scientific and accurate. Compared with the previous compensation system for state-owned enterprise operators and the above schemes, this diversified compensation scheme has more incentive effect. However, the program lacks projects to encourage long-term behavior of operators, which may affect the long-term development of enterprises.

4、 Diversified shareholding model

Remuneration structure: base salary+allowance+risk income including equity, stock options and other forms+pension plan

Amount of remuneration: the base salary depends on the difficulty and responsibility of the enterprise's operation, and the risk income in the form of equity and stock options depends on its operating performance and the market value of the enterprise. The general base salary should be 2-4 times of the average salary of employees, but the risk income cannot take the average salary of employees as a reference, and the sharp appreciation of the market value of the enterprise will make the operator obtain huge wealth. It is necessary to include the growth rate of employees' wages in the assessment index of risk income.

Assessment indicator: the same as mode 3. If the capital market is effective, the information indicators about the market value of enterprises are often more reflective Business operator Performance.

Applicable objects: The same as mode 3, the conversion coefficient is less than 1. The difference can also be reflected by giving different amounts of equity and stock options.

Applicable enterprises: joint-stock enterprises, especially listed companies. This compensation scheme is suitable for standardized modern enterprise system requirement.

Incentive function: theoretically, it is effective Reward incentive Scheme, a variety of forms of reward combinations with different incentive and constraint functions ensure the standardization and long-term behavior of operators. However, the specific operation of this scheme is relatively complex, and the requirements for the enterprise's conditions are relatively stringent.

5、 Distribution right model

Compensation structure: base salary+allowance+risk income in the form of "distribution right" and "distribution right" options+pension plan

Amount of remuneration: the base salary depends on the responsibility of the enterprise's operating difficulty, and the risk income reflected in the form of "distribution right" and "distribution right" options depends on the operating performance such as the enterprise's profit rate. Same as mode 4, no capping is necessary. It is only necessary to include the growth rate of employees' wages when determining the assessment indicators of risk income.

Assessment indicators: the same as mode 3, the enterprise performance indicators such as profit rate of net assets should be considered.

Applicable objects: The same as mode 3, the remuneration of other leading group members can be reflected by giving different amounts of "distribution rights" or options.

Applicable enterprises: not limited to listed companies and joint-stock enterprises, but can be implemented in various enterprises.

Incentive function: introduce the incentive mechanism of stock rights and stock options into non listed companies or joint-stock enterprises to expand their scope of application. This is a theoretical innovation, and its effect needs to be tested in practice.

function

Announce

edit

Compared with other forms of remuneration, the annual salary system for senior executives has the following features in terms of functions:

Incentive

The annual salary system makes the talent, performance and income of senior executives consistent, and has a strong incentive.

Constraints

The annual salary system reflects the unity of responsibility, risk and interest, which makes senior managers have a sense of pressure, urgency and risk.

Coexistence

The annual salary system maximizes the self interests pursued by senior executives and the enterprises pursued by owners Profit maximization The goal is unified to achieve personal interests and Corporate interests Coexistence of.

Unification of fairness and efficiency

As suppliers of production factors (human capital) and workers of complex labor (engaged in economic management work), senior managers should receive higher salaries than ordinary staff, which reflects the unity of efficiency and fairness.

Institutional and normative

The annual salary system is an internationally accepted system arrangement for the remuneration distribution of senior executives. It has specific normative requirements and sharing standards and principles. A well-designed annual salary system can effectively stimulate and regulate the behavior of senior executives.

Advantages and disadvantages

Announce

edit

1. Advantages of annual salary system

(1) The annual salary system can fully reflect the labor characteristics of operators. Therefore, the enterprise can determine the annual and long-term remuneration level and the way to obtain remuneration commensurate with the contribution of the operator according to the annual and term of office performance of the operator.

(2) The annual salary structure contains a large amount of risk income, which is conducive to increasing incentives on the basis of equal responsibility, risk and income, so that operators can widely and deeply participate in the distribution of enterprise residual income based on a variety of factors, so that the actual contribution of operators can be directly reflected in the fluctuations of various annual salary incomes in the current period, and further affect their deserved long-term income.

(3) The annual salary system can create basic conditions for the extensive implementation of equity incentive. Enterprises can not only easily convert a part of annual salary income directly into equity incentive forms, but also combine a variety of equity incentive forms; Closely combine the remuneration of operators with the interests of asset owners and the development prospects of enterprises.

(4) A high salary keeps you honest. High salary can not only stimulate entrepreneurs, but also play a positive role in preventing "management corruption". High salary itself constitutes the opportunity cost of "management corruption". Therefore, by implementing the annual salary system of entrepreneurs, entrepreneurs can obtain more satisfactory income, which to a certain extent weakens the behavior of harming the interests of enterprises through management corruption.

2. Disadvantages of annual salary system

The defects of the "annual salary system" are mainly shown in:

(1) The annual salary system cannot mobilize the long-term behavior of operators. Senior managers of the company often need to independently carry out business management and future development strategy of the company policy decision , such as mergers and acquisitions, corporate restructuring and major long-term investments. The impact of these major decisions on the company is long-term. However, in the year when the plan is implemented, the financial records of the company are mostly the costs of implementing the plan, and the benefits brought by the plan may be little or zero. In consideration of personal interests, senior managers may be inclined to abandon plans that are conducive to the long-term development of the company.

(2) The annual salary system only considers the annual income of the enterprise. In the case of asymmetric information, it will lead to the short-term behavior of entrepreneurs. In the case of lack of motivation, entrepreneurs may also obtain income through other channels and "seek rent" through various ways.

characteristic

Announce

edit

1. The pertinence of annual salary system: The annual salary system is applicable to specific objects, including business managers (including middle and senior managers) and some other Creative talents , such as scientific researchers, marketing talents, software engineers, project management talents, etc. These people have such characteristics: high quality and the nature of their work determine that their work requires high creativity, and they need more incentives than incentives Simple management And constraints, the value of work is difficult to reflect in the short term.

2. Long cycle: Generally, the cycle is annual, which is related to its assessment. For most of the employees who apply the annual salary system, the cycle is the business year of the enterprise. For some scientific researchers and project developers, the cycle may also be half a year, two years, one and a half years or other. Although it may not be exactly a whole year, it has the characteristics of a long cycle, Therefore, it is also classified as annual salary system.

3. There are certain risks: pay A large part of them are related to my efforts and the operation of the enterprise. Therefore, it has great risks and uncertainties.

4、 The traditional salary is mainly for the past To a large extent, the annual salary system is future oriented. The formulation of annual salary is not simply based on past performance, but also depends on the recipient's ability to operate the enterprise (or other jobs) and contribution potential. For business operators who accept the annual salary system, the annual salary system is a dynamic agreement between the client and the agent, which is realized by both parties through game Dynamic equilibrium The goal of the annual salary system is to entrust agency cost To achieve a mutually satisfactory Entrusted agent Income is more and more closely related to the interests of the client, namely the enterprise, and the interests of the operator himself.

evaluate

Announce

edit

The annual salary system is more common in foreign countries, but it is only a tentative development in China, which has triggered many discussions. Here, the author only expresses his personal views on this.

The payment of any kind of salary is measured by the results of its performance appraisal. To be clear, the company will pay you a corresponding proportion of the salary as much as you can contribute to the company. But different position The assessment can be carried out in different time periods. For example, ordinary skilled workers can be assessed once a week, salesman They can be assessed once a month with the workshop director or department manager Senior management It may take one year or even several years to get the assessment results. In addition, different assessment standards and procedures have formed a variety of salary payment forms.

But the annual salary system is applicable to senior managers or some of them cannot be seen in the short term achievements Position of achievements. As we all know, the company's development plans are divided into strategic and tactical ones. The strategic ones are applicable to those that have been five years or more Enterprise development planning The tactical ones are suitable for flexible use in the short term. Generally speaking, senior managers should start from the company's long-term plan and work hard for the company's strategic goals. As for the specific implementation steps, they are not responsible for them, that is, tactical actions should be delegated to subordinates. Therefore, the performance of senior managers cannot be evaluated weekly or monthly.

For senior management Salary incentive On the one hand, some companies carry out an annual salary system, on the other hand, because of the long-term nature of their achievements, they have greatly restricted the payment of such managers' salaries. For example, some companies pay in full in the first year, and pay in proportion to the specific completion in the future strategic years. If the task is completed at the end of the strategic year, part of the annual salary previously withheld will be paid in full, and additional bonuses will be paid. I personally call it logical annual salary or progressive annual salary. For managers, the risk and pressure of annual salary system are greater than before. Therefore, the author believes that the annual salary system not only increases the payment of enterprises and the commitment to managers, but also tests and supervises senior managers. In this form of distribution, it can effectively promote the managers to formulate policies for the long-term development of the enterprise from the strategic perspective of the company, and to some extent, it avoids the short-sighted behavior and the psychology of eager for quick success and instant benefit of the managers. Because of its long-term implementation time, it also increases the ability of social supervision, which is beneficial to the development of enterprises.

On the other hand, the annual salary system can also limit the formation of gray income and iceberg salary. If the senior manager is unable to manage incorruptedly, his personal profit will inevitably affect the company's financial plan, and then affect the realization of the goals he promised to the company. Because of its remarkable annual salary, the society and the company will give it strict supervision, and fraud is more likely to be dismissed controller It has a strong deterrent and sense of responsibility.

Finally, the author would like to emphasize that the annual salary system has its positive aspects, but it is not necessarily applicable to all companies. Only those enterprises that can carry out effective performance evaluation and have a good corporate culture can be used as a fish in water. It should be made clear that the formulation of salary is not isolated, but complementary to other aspects of human resources.

Praise and disparage

Announce

edit

Since the beginning of the 21st century, the introduction of the annual salary system has received mixed reviews from all walks of life. Although this kind of salary system has been implemented abroad for many years, and even the salary at the presidential level is clearly priced, with high transparency, the rising and survival environment in China still needs a process of acceptance. The author believes that whenever new things appear, it seems necessary to ponder and analyze them in order to gain a new understanding of them, so that they can be recognized and accepted safely at all levels of society.

First, the annual salary system is the unity of the rights and obligations of the parties, authority and responsibility, dedication and return. According to the management theory of modern human resources, the employer will generally set up the required posts in advance according to the principle of "setting up posts based on events"（ position ）Proceed Job Description And propose the necessary qualifications and employment conditions for candidates to enter the position according to the difficulty of "things". At the same time, the corresponding rights, working environment, operating conditions and evaluation personnel of the position should be given achievements Assessment mechanism. Generally speaking, the employer implements the annual salary system for white-collar employees, and its operation mode is: target task → position setting → talent selection → authority and responsibility → performance appraisal → annual salary payment.

Second, the annual salary system should reflect the internal fairness and enterprise External equity Sex. The fairness of annual salary within the enterprise is mainly reflected in Enterprise human resource management The department shall pay the corresponding salary according to the relative value of the employee engaged in the business. The fairness of annual salary outside the enterprise is mainly reflected in the fact that the annual salary of employees is comparable to that of employees of external units who have completed similar work. Especially in the era of talent competition, enterprises pay special attention to external fairness. Because of the rise of "high salary talent" and "high salary talent hunting", enterprises are very sensitive to their original set Salary system Its position in the human capital market and its competitiveness have become stronger and weaker. Therefore, the fundamental purpose of the annual salary system is to attract, motivate and retain the necessary talents of employers.

Third, the annual salary system is not a copy of "base salary plus commission". In order to meet the needs of packaging planning, some employers give the position of a certain type of salesperson the title Regional Manager , assistant to the general manager, and so on, and put on an attractive colored coat with an annual salary of several hundred thousand yuan. In addition, the unknown reporters follow the wind and hype, which can make the perpetrators chuckle. In essence, this "annual salary" to promote certain products is actually employee I got it from the boss of the enterprise after "traveling around and searching up and down" Piece rate wage Only (or the United States and Japan are commissions).

Fourth, the annual salary system and annual income are two different things, which should not be confused. Some employers use the vague concept of annual income to recruit employees, which makes some employees laugh and cry when cashing their salaries. In one case, after being employed by a company, Xiao Zhang usually gets a box of apples, half a bag of oranges, or toilet paper and cleaning supplies for daily use. In addition to his monthly salary and holiday overtime pay, by the end of the year, these materials will also be included in his annual salary as part of his salary. It can be said that "the annual salary system is a basket that can hold everything".

For employers with annual salary signboards, applicants may want to carefully analyze and study the background and prospects of the company, especially pay attention to the credit situation, just like buying stocks. Don't let the fake "pie" of hundreds of thousands of yuan of annual salary disturb your attitude of job selection and application.

contradiction

Announce

edit

The annual salary system is a new thing, and it plays an important role in adjusting the distribution of interests. People from different strata are sensitive to the fact that the trial and implementation of this policy will inevitably have a broad and far-reaching impact on the reform of the distribution system, so it is not surprising that people are very concerned about it and have different opinions. Due to the inconsistent understanding and attitude and the consistent attitude towards new things, the annual salary system will inevitably encounter some contradictions in the implementation process. According to the analysis and research on the practical experience of enterprises that have tried out or already implemented the annual salary system, in summary, these contradictions are mainly:

The contradiction of the determined assessment index system

We find that most enterprises may set indicators that are too simple, relatively low, and the annual salary is not high due to the need of "security", which greatly reduces the incentive and restrictive effects of the annual salary system, reflecting the lack of self-confidence, hard work spirit and A little rich at ease The psychology of.

Contradiction of data provided by the enterprise in the assessment process

Some business operators, for their own and their employees' short-term interests, cheat on the indicator data, which can also get through, but it sets traps for the development of the enterprise and lays hidden dangers for the future interests of successors and employees.

The contradiction between annual salary income and risk deposit

We find that the annual salary income of some business operators is seven or eight times or even more than ten times of the risk deposit. This "one-sided" phenomenon of interests is unreasonable, and is not conducive to restricting the behavior of operators.

The Contradiction between Stock Option and Stock Price Distortion

The stock option compensation system is a way to Senior management of the company It is a better salary system that is linked with the long-term interests of the company. Stock option system It has gained successful experience in western developed countries, and many enterprises have implemented the stock option system. In 1996, it was judged by Fortune magazine Global enterprises 89% of the top 500 companies have implemented this system among their senior managers. The so-called stock option system means that when an enterprise signs a contract with the manager, it grants the manager the option to purchase a certain number of company shares at the price when signing the contract in the future. The implementation of this salary system is conducive to encouraging managers (factory directors) to pay more attention to the long-term development of the company and create a good company achievement At the same time, personal income will be cashed in the appreciation of ticket shares. For example, according to the reward and punishment measures issued by Wuhan State owned Assets Supervision and Administration Company, the State owned Assets Supervision and Administration Company implements the annual salary system for all legal representatives of holding and wholly-owned enterprises. The annual salary system consists of base salary income, risk income, annual merit income and special annual salary reward. Among them, the risk income is verified according to the net profit achieved by the enterprise, 30% of which is cashed in cash in the current year by the state-owned assets company, and the remaining 70% is converted into stock options. However, China's stock market is not standardized, and the speculation of institutions, large investors and retail investors has a strong speculative color. Therefore, the secondary market price of stocks is often distorted, and its fluctuations are not completely regular, and do not necessarily reflect the company's performance and investment value. In this case, the company's image is bound to be affected, and the personal interests of the manager (factory director) will also suffer some losses.

The contradiction between enterprises with annual salary system and enterprises without annual salary system

For a period of time, there are only a few enterprises that implement the annual salary system. In the case that the egalitarian distribution system has not been completely broken, the income of managers (factory directors) and employees of enterprises that implement the annual salary system is generally higher than that of managers (factory directors) and employees of enterprises that do not implement the annual salary system. In this way, the latter's mood and enthusiasm will feel depressed. Enterprises unwilling to tolerate such mood and "treatment" will try every means to run away from the competent department and the superior, and strive to implement the annual salary system. If the control is not good, many enterprises will rush to the pilot site, but it has formed a trend of large-scale promotion, making the annual salary system out of shape.

The contradiction between high-income people and low-income people

Generally speaking, the annual salary of managers (factory directors) in enterprises with annual salary system ranges from 70000 yuan to several hundred thousand yuan, and in some cases it reaches a huge amount of one million yuan, which is in sharp contrast to the poverty of tens of millions of urban residents. This kind of contradiction can easily be transformed into social contradiction. Therefore, when standardizing the annual salary system, we should not only consider the psychological endurance of employees within the enterprise, but also the psychological endurance of social residents.

Contradictions between business operators and employees

In many state-owned enterprises, this contradiction is the continuation of the contradiction between operators and employees when the contract system is implemented. In the period of contract system, the income of operators and employees has formed a large gap. After the implementation of the annual salary system, a new round of gap in income will be formed between operators and employees, even greater. This gap is acceptable to the employees of many enterprises, so they hold a welcoming attitude; There are also some enterprises whose employees are unreasonable, so they are against it. This shows that a lot of ideological work needs to be done to implement the annual salary system.

Contradiction between entrepreneur marketization and government appointment

A necessary condition for the implementation of the annual salary system is to establish an entrepreneur market. Although the annual salary should be linked to the business status of the enterprise and the performance of the managers, the high or low annual salary should be determined by the market, that is, the entrepreneur market. Under the influence of the entrepreneur market mechanism, through competition, not only can we determine the application price (annual salary) of entrepreneurs, but also can cultivate and find groups of business elites, thus gradually forming a professional entrepreneur class. In this way, the employed entrepreneurs can achieve cross departmental and cross regional mobility, and can take the leadership positions of enterprises without being appointed or dispatched by the organization and personnel departments. This inevitably contradicts the decades old traditional system of appointing cadres through organizational review.

countermeasure

Announce

edit

Only by facing up to the above contradictions, coordinating and solving them, can the annual salary system be improved day by day, and can it be implemented smoothly and play a better role.

Stick to the pilot project and keep the wind from blowing

Since the annual salary system is still far from perfect and there are still many contradictions in the implementation process, all localities should carefully control the number of pilot enterprises in accordance with the requirements of the Decision of the Fourth Plenary Session of the Central Committee of the Communist Party of China, and should not rush forward. It is necessary to organize economic experts and entrepreneurs to summarize the experience of pilot enterprises in a timely manner, draw on the experience of other provinces and even foreign countries, analyze and demonstrate, and formulate an annual salary system that conforms to the actual situation of the local, industry and enterprise.

Scientific and reasonable assessment index system

In my opinion, the determination of assessment indicators should reflect four basic points: first, the setting of certain indicators should reflect the operating conditions of enterprises and the performance of managers, such as the indicators for maintaining and increasing the value of state-owned assets Net profit Indicators, etc; Second, indicators should be set up that are directly linked to the interests of employees, such as the per capita income of employees, to reflect that both operators and employees are prosperous and both lose and prosper; Third, we should pay equal attention to incentives and constraints to prevent "one-sided"; Fourth, the setting of main indicators should be positive and realistic, that is, these indicators can be achieved through the joint efforts of operators and all employees, that is, indicators should not be too high or too low.

Breaking the single salary structure of managers (factory directors)

Establishing will excitation mechanism and restraint mechanisms Inclusive composition Salary structure 。 For a long time, most managers (factory directors) of state-owned enterprises have practiced the tradition of taking wages and bonuses as the main body Salary system The salary structure is single, with a strong color of equalitarianism. The implementation of the annual salary system will break this single salary structure. Under the condition of ensuring the operator's base salary income, the setting of risk income, benefit income, annual merit income and other incentive income will make this salary structure full of vitality, stimulation and incentive; The cash income, physical income, allotment or participation of shares by technology, other projects or factors, stock options and other shareholding methods provided to the operators will free them from worries, and closely link their long-term interests with the fate of the enterprise, so that they can get rid of the shackles of short-term behavior.

In the process of implementing the annual salary system, three phenomena should be prevented

First, in the salary structure, the proportion of cash (including physical goods) is too large and the proportion of shareholding is too small, which is not conducive to the establishment of long-term plans by operators; Second, the annual salary is too high, and the income gap between operators and other workers, especially the employees of the enterprise, is too large, which is not conducive to mobilizing the enthusiasm of all employees; Third, the "temple" is poor and the "abbot" is rich. It is clear that the enterprise has suffered serious losses, but the boss has received an annual salary of one million yuan, which is a reaction to the annual salary system.

Establish entrepreneur market as soon as possible

Make full use of the market mechanism to select and employ operators. After the implementation of the annual salary system, the selection and employment of operators are not necessarily limited to the enterprise, the region and the department. It can break the regional division of talents and the division of departments, and expand the vision to the whole country and even abroad. This requires Talent management The talent market is managed by modern means.

Establish an enterprise "accountability system for decision-making errors"

The Decision of the Fourth Plenary Session of the 15th CPC Central Committee clearly proposed to establish and implement the "accountability system for decision-making mistakes". as everyone knows, Business operator Whether the decision is correct or not is related to the fate of enterprises. Operators who compete and enjoy the annual salary system are responsible for making mistakes in decision-making. Investigating decision-making errors is an indispensable system to restrict and standardize the behavior of decision makers. Therefore, when formulating the annual salary system, all localities must simultaneously formulate the accountability system for decision-making errors and relevant laws and regulations.

The annual salary system should be implemented in conjunction with other reforms

The implementation of the annual salary system needs other supporting reforms, otherwise the system will be difficult to fully play its role. These supporting reforms include the reform of the organizational and personnel systems, the reform of the operating system of the stock market, the reform of the democratic system, the punishment of corruption, and so on.

Rational positioning

Announce

edit

The annual salary system can be interpreted from both narrow and broad perspectives.

In a narrow sense, the annual salary system is a system that determines the basic income of operators on an annual basis, and assesses and distributes benefit income based on their production and operation results wage system 。 However, the essence of the annual salary system is a reward mechanism, and we should explore the related issues of the annual salary system from the height of the reward mechanism. Business operator The degree of effort is determined by the operator's compensation mechanism control power Mechanism, reputation mechanism and market competition mechanism. The goal of the compensation mechanism for managers is to use a variety of income adjustment means to achieve effective incentives and constraints for managers. Therefore, in a broad sense, the annual salary system is a reward mechanism that effectively encourages and constrains operators through a variety of income adjustment means.

The narrow and broad sense of the annual salary system correspond to the narrow and broad sense of the concept of annual salary respectively. Corresponding to the narrow annual salary system, the annual salary includes the fixed salary income and Benefit wage Direct monetary income such as income; Corresponding to the generalized annual salary system, the annual salary not only includes the direct monetary income such as fixed salary and benefit salary in the narrow sense, but also includes the indirect monetary income paid by the enterprise for the operator and benefited by the operator, such as the social insurance paid by the enterprise for the operator and the income enjoyed by the operator in the enterprise Employee welfare , position consumption of operators, etc. Under the broad concept of annual salary, the operator's remuneration regulated by the annual salary system refers to all the economic income obtained by the operator in the operation and management of the enterprise; In other words, it is the enterprise that pays for the operation and management services of operators Total cost 。

Through this positioning, the annual salary system has realized the comprehensive management of operators' income. The comprehensive management of operators' income has at least the following two advantages:

First, different ways of remuneration have their own unique roles in encouraging and restricting operators from different perspectives. We can achieve the maximum incentive and constraint to the operators through reasonable combination of these reward methods;

Second, bringing all the income of operators into the scope of annual salary management will help state-owned asset investment companies accurately assess the actual remuneration of operators and the level of cost burden of enterprises. According to this evaluation result, the enterprise's economic affordability and incentive Cost effectiveness principle State owned asset investment companies can make effective compensation decisions.

Implementation conditions

Announce

edit

As a special enterprise salary system, the implementation of the annual salary system for managers needs a good implementation environment:

1. With modern enterprise system Is the basic operating condition. It mainly includes: enterprise ownership and management right To ensure that operators have independent decision-making rights; Implement the system of open recruitment and survival of the fittest to ensure the high quality of operators; Establish the responsibilities and rights of operators in the form of contracts, and adopt a set of scientific, rigorous and perfect Supervision system And internal management mechanism to balance and standardize the behavior of operators.

2. There is a scientific external evaluation mechanism. Only for enterprises assets and Operation The base salary and risk income of operators can only be determined by accurate assessment, which depends on two conditions:

(1) Comprehensive reflection Business status The index system.

(2) It is the intervention of social assessment institutions.

The assessment of the enterprise's operating conditions must comprehensively assess the appreciation and maintenance of the enterprise's assets, the ability of the enterprise to make profits, repay debts and grow, and Technical transformation Investment, new product research and development investment and human resources. The social evaluation unit must have a strong evaluation force and be able to fairly and objectively evaluate the business situation of enterprises and the work performance of operators.

3. Rationalize the relationship between the operator and the investor, and the relationship between the operator and other employees of the enterprise; Accelerate and improve the entrepreneur market and promote the professional and market-oriented operation mechanism of operators; Create a loose macroeconomic environment and a fair market competition, so that the performance of enterprises can be closely linked with the operator's labor and management level.

risk

Announce

edit

When it comes to the "annual salary system", the first thing that people think of is that enterprises pay some high-end talents with high salaries. It is true, but "annual salary system" is not only a synonym for high salary, but also may mean risk and uncertainty. The so-called "annual salary system" generally means that wages are paid once a year. The cycle of salary payment has changed from one month to one year, allowing some illegal employers to find opportunities to harm the interests of workers, so that the use of the "annual salary system" for salary arrears, salary cuts, salary evasion, and resignation restrictions often occur. It seems that the "annual salary system" will also hurt people if it is not used well.

Risk 1: Becoming an excuse for salary arrears

On December 31, 2011, Ms. Zou signed a one-year labor contract with a company, which agreed to implement the "annual salary system", with a monthly salary of 5000 yuan. After the expiration of one year, additional bonus will be paid in a lump sum. In May 2012, due to her daughter's sudden serious illness, Ms. Zou requested the company to pay her salary during the previous working period, but she was refused because her working time was less than one year, and Ms. Zou had no right to ask for payment in advance.

Recruitment: The company should pay Ms. Zou's salary. 《 labour law 》Article 50 stipulates that "wages shall be paid monthly to the workers themselves in the form of currency." Article 7 of the Interim Provisions on Wage Payment also points out that "wages shall be paid at least once a month. If the weekly, daily and hourly wage system is implemented, wages may be paid on a weekly, daily and hourly basis." The company and Ms. Zou agreed in the labor contract that "the wages shall be paid once a year after the expiration of the period", It obviously violates the provisions of "monthly" and "at least once a month", and the company naturally has no right to use it as an excuse for salary arrears. Therefore, Ms. Zou has the right to request the company to make adjustments to the salary payment. The company should at least prepay Ms. Zou's salary at the standard of no less than the local minimum wage every month, and then make settlement upon expiration.

Risk 2: become an excuse for salary reduction

As of July 1, 2012, Ms. Gou has worked in a company for one year. In the meantime, Ms. Gou has never been late once, and has never been criticized or punished. However, she thought she could get the full annual salary, but was told that because of the sharp rise in prices and housing prices, the company's cost of food and housing has also increased a lot, so she must be deducted from the annual salary according to the standard of 200 yuan per month to reduce the company's losses.

Recruitment: The company has no right to reduce Ms. Gou's salary. Article 15 of the Interim Provisions on the Payment of Wages stipulates that "employers shall not withhold workers' wages." Article 3 of the Supplementary Provisions on Issues Related to the Interim Provisions on the Payment of Wages states that "the" withholding "referred to in Article 15 of the Provisions It means that the employer deducts the wages due to the laborer without proper reasons (that is, all labor remuneration that the employer should pay to the laborer according to the standard specified in the labor contract on the premise that the laborer has provided normal labor). " Ms. Gou has not been absent from work, late for work and left early, and has not been criticized, which indicates that she has provided normal labor. The company reduces her contract salary for transferring losses on the pretext of increasing the cost of food and housing.

Risk 3: become a means of salary evasion

On August 5, 2011, Ms. Yuan and others signed labor contracts with a company respectively, stipulating that the monthly basic salary was 2000 yuan, and overtime pay, commission and year-end bonus were calculated separately, but all the remuneration was paid according to the "annual salary system", which would be paid one year later. But on August 4, 2012, Ms. Yuan and others suddenly found that the boss of the company had owed more than 1.29 million yuan to pay and fled.

Advice: Ms. Yuan and others can seek help from public security organs. Article 276 of the Criminal Law stipulates that "if a large amount of money is spent evading the payment of labor remuneration to a worker by means of transferring property or hiding, or if a person is able to pay but does not pay labor remuneration to a worker, he or she will be sentenced to fixed-term imprisonment of not more than three years or criminal detention, and will also, or will only, be fined..." The behavior of the company's boss has been suspected of a crime. At the same time, Ms. Yuan and others can also propose criminal incidental civil compensation to obtain their due remuneration.

Risk 4: Weight to limit resignation

The labor contract signed by Ms. Lian and a company agreed to implement the "annual salary system". On August 1, Ms. Lian submitted a written resignation to the company, stating that she would leave in one month. The company repeatedly asked Ms. Lian to stay because of her rare talent. Seeing that Ms. Lian had made up her mind to leave, she refused to pay her salary during the working period on the ground that she had worked less than one year.

Advice: The company has no right to restrict Ms. Lian's resignation by refusing to pay her salary. Article 37 of the Labor Contract Law stipulates: "A worker may terminate the labor contract by notifying the employer in writing 30 days in advance. A worker may terminate the labor contract by notifying the employer three days in advance during the probation period." Article 30 of the law also stipulates: "If the employer defaults or fails to pay the labor remuneration in full, the worker may apply to the local people's court for a payment order according to law, and the people's court shall issue a payment order according to law."

matters needing attention

Announce

edit

The annual salary system for enterprise operators refers to a distribution method that determines and pays the annual salary of enterprise operators on an annual basis according to the production and operation scale and operating performance of the enterprise. The main composition mode is "basic salary+benefit salary (or risk income)".

The measurement of individual annual salary is generally based on annual indicators, such as enterprise asset preservation rate, profit growth rate, etc. At ordinary times, the basic salary is paid monthly, and the remaining part of the annual salary is verified according to certain regulations and "replenished" at the end of the current year or the next year.

Novice on the road

Growth task Getting Started with Editing Edit Rule Edit by myself

I have questions

Content query Online Service Official post bar Feedback

Complaints and suggestions

Report bad information Failed to appeal through entries Complaint of infringement information Blocking query and unblocking

Jinggong Network Anbei No. 1100000200001