Research "Limited Pay Policy" Of SOE Compensation

Effective executive compensation incentive mechanism is the foundation of effective governance, but our state enterprises frequently exposed that huge salaries, salary disparities etc is not the excellent incentive achievements system. At 2009, government through a series of policy to strengthen the supervision of executive compensation, and in the process of implementation of the remuneration policy of regulation, played a curb unreasonable remuneration phenomenon.This paper took enterprise executives and eployees’ monetary pay in China from 2004 to 2014 as study objects and “salary restriction order’ issued in 2009 as time periods division node, through examination and comparison performance salary sensitivity of control persons of different types in state-owned enterprises to discuss under governmental salary regulatory, the change of stated-owned executive salary of different types and salary stickiness features of employees’ salaries. It is discovered from the research that(1) Accountant performance index has certain influences on stated-owned executive salary index, that is, executive’s salary will change according to accountant performance index. The two are positively related. Local stated-owned enterprises are more obvious than central stated-owned enterprises;(2) the stickiness features in executives’ salaries in central stated-owned enterprises and local state-owned enterprises are common, but are restricted by administrative restrictions. Central stated-owned enterprises are weaker than local stated-owned enterprises;(3) no matter central state-owned enterprises or local state-owned enterprises, high intensity of supervision makes salary more sensitive to the decrease of operating performance in enterprises.This paper may exit the following innovation points: First, it analyzed executives and employee’s sensitivity in monetary pay and stickiness features in state-owned enterprises of different types before and after "salary restriction order". Second, this paper studied the tracks of changes of salary stickiness features in state-owned enterprises of different types from influences of salary regulatory policies.