Gov't Again Tries Trimming the Fat by Slashing Pay of SOE Executives

(Beijing) – China's government has again taken the knife to executive pay at state-owned enterprises (SOEs), forcing deep cuts on many of them in an effort to the pave the way for further reforms of the state-backed firms.

The Politburo, the Communist Party's 25-member decision-making body, recently passed a policy that says the government will establish a system that pays executives of SOEs controlled by the central government based on the type of company they lead and how they got the position.