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China to cut hefty salaries of SOEs executives

(Xinhua) Updated: 2014-08-19 08:57

BEIJING - Unreasonably high salaries for executives of major state-owned enterprises (SOEs) must be adjusted, Chinese President Xi Jinping said here on Monday.

Xi made the remarks at a meeting of the central leading group for comprehensive deepening of the reform headed by himself.

The meeting reviewed a plan for the reform of the payment system for executives of major SOEs directly controlled by the central government. It was decided that the plan has to be further amended.

Xi said that SOEs must make sure their salary level is proper, their salary structure is reasonable, their salary management is strict and efficiently supervised.

"Unreasonably high and excessive incomes must be regulated," the president said.

He urged SOE executives to realize their responsibilities, accept and support the reform.

Linking the reform with the Party's campaign against extravagance and other and other undesirable work styles, Xi stressed that apart from necessary expenses certified by financial and fiscal regulations, SOEs executives will enjoy no other perks in the name of "entitled consumption."

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