DQ Electric Power Company's Salary System Scheme Design

Salary system is an important incentive mechanism in the enterprises. Under the market economy condition, the salary stands for labor cost of the human resources. Whether the payment is reasonable directly relates to the staff attitude and creativity as well as influences the human resources disposition, and further more affects enterprise's economic efficiency and market compatibility.The DQ electric power company is a core unit under DQ petroleum administrative bureau and has been following the CNPN's salary standard ever since its establishment. This salary system is quite different from that of the national electric power company, including its subsidiaries like electrical network company and the electric power company. It is rather a post-skill wage system which can be divided into 3 series called management series, specialized technical series and operation series, respectively used for administrative personnel, specialized technical personnel ands operational personnel. There is a interconventional mechanism to decide a person's wage according to the specific post held. This salary system values seniority, rank and professional title. Although it has been adjusted for several times, it still has certain limitation which has hindered the effective motivation of staff's working enthusiasm.How to set up a scientific salary system to facilitate the enterprise development in Chinese market condition is of extreme importance to big and state-owned enterprises and a brand-new challenge. This paper first analyzed the domestic and foreign salary research results; summarized the salary system design procedures, probed the problems in the DQ electric power company's salary system; and finally tried to design a set of highly scientific and operational salary plan for the company. In the research, the author used modern salary theories and conducted quantitative, qualitative and comparative analysis to the DQ electric power company existing salary system.