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Studies On Legal Issues Of SOE's Executive Compensation

Posted on:2007-07-04Degree:MasterType:Thesis
Country:ChinaCandidate:H W WuFull Text:PDF
GTID:2166360212971997Subject:Civil and Commercial Law
Abstract/Summary:PDF Full Text Request
How to arouse the enthusiasm and fully give play of the executive compensation incentive means great to the reform of state owned enterprise. However, in the compensation incentive of the state-owned enterprise (SOE) executives, lots of issues exist: the decision-making mechanism of compensation incentive is unreasonable; the level of the overall compensation is on the low side; lack long-term incentive system. The basis on which the issues exist is the limitation of laws on compensation incentive of the state-owned enterprise executives. How to solve these legal issues?The first thing is to establish and perfect the decision-making mechanism of compensation incentive. On the basis of drawing lessons from compensation incentive of foreign success, by means of theoretical analysis and comparison between the SOE's of China and that of the developed countries, a new mechanism of compensation incentive of SOE executives, including decision-making department principle and procedure of compensation incentive ,has been studiedSecondly, stock ownership incentive is a main style of long-term incentive. But it encounters some obstacle of laws concerned when it is brought into effect. Referring to foreign advanced legislation and civil successful practices, the author comes up with some suggestions.Finally, it need to perfect shareholder monitoring mechanism of compensation incentive of SOE executives. Shareholder monitoring mechanism includes three parts: monitoring department, monitoring area and monitoring methods. According to the Company Law of People's republic of china, the shareholders have three monitoring methods: the right of public acquisition, the right of vote and the right of suit. But the legislation of shareholders rights is unmeasured, it need to amend better.
Keywords/Search Tags:state-owned enterprise executive, compensation incentive, Stock ownership incentive, shareholder monitoring
PDF Full Text Request
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