Exploration Of A New Century Of State-owned Internal Income Distribution System Reform

To establish effective system of income distribution has become one of the most urgent problems to be solved in the reformation of state-owned enterprises (SOEs) . Rational system of income distribution can liberate the productive forces and arouse labor's enthusiasm and creativity and promote the development of economy and social stability.To establish the system of distribution fit in with the system of modern enterprises, we must adhere to the following principles such as "both distribution at labor and distribution at factors of production" and "efficiency preferred and fair considered". We must take diversified modes of distribution including both motivation and constraint. In SOEs, we should establish system of base wages which based on post wage and enlarge the wage gap and improve the income of managers and technicians. At the same time, We must carry out the reformation of stock sharing system and allow and encourage factors of production to be participated in the distribution of income such as capital and technique. We also need to implement employee stock ownership plans and stock options plans actively and stability.