Country Garden announced a salary cut for 4 executives late at night, and some people have an annual salary of 3 million and now an annual salary of 120,000...
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In the past two years, the company has made several adjustments to executive compensation.
On the evening of December 12, Country Garden, which is listed in Hong Kong, announced that the company's executive directors Yang Huiyan, Mo Bin, Yang Ziying and non-executive director Chen Chong took the initiative to request a reduction in salary.
Before the salary cut, Yang Huiyan, Mo Bin, Yang Ziying, and Chen Chong's annual salaries were 370,000, 3 million, 2 million and 370,000 yuan respectively, and after the salary cut, the annual salary was adjusted to 120,000 yuan, that is, the monthly salary was only 10,000 yuan.
Previously, on December 8, Country Garden held a December group management meeting, at which Yang Huiyan, chairman of the board of directors of the group, said, "The family will definitely sell iron to support the company, and the company will strive to explore an effective path to resume normal operation as soon as possible." ”
Mo Bin dropped from 3 million to 120,000
Country Garden announced on the evening of December 12 on the Hong Kong Stock Exchange that in combination with the actual business needs of the industry and the Company, the Company's executive directors Yang Huiyan, Mo Bin, Yang Ziying and non-executive director Chen Chong took the initiative to request a reduction in remuneration, and signed a supplementary agreement on director services and a supplementary appointment letter with the Company on November 1, 2023.
Specifically, the adjusted remuneration of the four directors is all 120,000 yuan/year, which translates to a monthly salary of 10,000 yuan/month. According to the National Bureau of Statistics, in 2022, the average annual wage of employees in urban non-private units was 114029 yuan, and the average salary of employees in urban non-private units in Guangdong Province was 124916 yuan. In other words, after the salary cut, the salaries of the four directors of Country Garden are basically on par with the average social wage.
Image source: Screenshot of Country Garden's announcement
Among them, the largest decline is Mo Bin, director and president of Country Garden, whose annual salary was 3 million yuan before the adjustment, and the drop was as high as 96%. If compared with the salary level before Country Garden's accident, Mo Bin's salary will drop even more.
Yang Huiyan, Yang Ziying and Chen Chong's salaries before the adjustment were 370,000, 2 million and 370,000 yuan respectively, and the decrease after the adjustment was not small.
It is worth mentioning that the above three directors are actually members of the Yang family, the actual controller of Country Garden, Yang Huiyan just took over the scepter from her father Yang Guoqiang in March this year and became the chairman of the board of directors, while Yang Ziying is Yang Huiyan's sister and Chen Chong is Yang Huiyan's husband.
According to China Fund News, in the past two years, the company has made several adjustments to executive compensation, and by 2023, executive compensation will decrease by 86% compared with 2021, including vice presidents of the company's headquarters, general managers of functional centers and above, and regional presidents.
According to Country Garden's monthly management meeting held on December 8, in the face of unprecedented difficulties, Country Garden has also promoted a number of self-help measures. Among them, in 2023, Country Garden will do its best to reduce administrative expenses, and the total amount will be significantly reduced by nearly 60% compared with 2021.
It is expected to deliver more than 400,000 sets next year
According to statistics, in the first 11 months of this year, Country Garden Group has delivered a total of about 500,000 houses, with a cumulative delivery area of 60.43 million square meters, involving 31 provinces and 240 cities. Among them, some projects in Shandong, Shanxi, Jiangsu, Anhui and Guangxi were delivered ahead of schedule, and some projects in Hebei, Hubei and Hunan were all delivered.
Yang Huiyan revealed that in the next 12 months, the delivery challenge will enter the deep water area, and the delivery volume of Country Garden is expected to exceed 400,000 units in 2024, which is still huge. "Ensuring delivery is a very difficult but very important task, and I hope that everyone will be ready to fight, attach great importance to it, and do a good job of pre-planning. ”
In addition, on December 5, the National Business Daily learned that Country Garden once again adjusted its organizational structure and merged 14 regional companies into 7 new regions.
Specifically, Hebei and Beijing regions were merged into North China, Shandong and Northern Jiangsu were merged into Lusu region, Northwest and Shaanxi regions were merged into Central and Western regions, Anhui and Zhejiang regions were merged into Zhejiang-Anhui region, Jiangxi and Fujian regions were merged into Jiangxi-Fujian region, Yunnan and Sichuan regions were merged into Sichuan-Yunnan region, and Guangxi and Jiangzhong regions were merged into Jiangzhong region.
In this regard, Country Garden said that under the current industry situation, this adjustment aims to further improve the adaptability of the organization and business, promote flat and efficient management, synergy and complementarity of available resources, and make every effort to ensure the realization of the strategic goal of "guaranteed delivery".
Yang Huiyan said at the management meeting that after certain adjustments at the group headquarters and regional project level, the company's organizational structure has reached a relatively stable stage in general. The next thing to do is to lock in outstanding talents, adhere to an open and transparent selection and employment mechanism, a talent training mechanism, and better improve the short, medium and long-term salary and incentive mechanism.
Editor丨Wang Naixin Comprehensive Daily Economic News, China Fund News, Beijing News
Picture丨Screenshot of Country Garden's announcement, Yitu.com, Visual China
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