Management System for Directors and Senior Management Remuneration
Chapter 1 General Provisions
Article 1 To further improve the remuneration management system for directors and senior management of Hubei Ping An Electric Technology Co., Ltd. (hereinafter referred to as the "Company"), establish a scientific and effective incentive and restraint mechanism, ensure that directors effectively perform their duties and obligations, mobilize the enthusiasm of directors and senior management, improve the company's operational management efficiency, and further promote the company's stable and sustainable development, in accordance with the "Company Law of the People's Republic of China," the "Corporate Governance Guidelines for Listed Companies," and other relevant laws and regulations, and the "Articles of Association of Hubei Ping An Electric Technology Co., Ltd." (hereinafter referred to as the "Articles of Association"), and in conjunction with the Company's actual situation, this system is hereby formulated.
Article 2 Directors and senior management covered by this system include: (1) Members of the Board of Directors: including non-independent directors (including employee representative directors) and independent directors. (2) Senior management: including the Company's General Manager, Deputy General Managers, Secretary of the Board, and Chief Financial Officer.
Article 3 The Company's remuneration system follows the following principles: (1) The principle of matching the overall remuneration level with the company's operating scale and performance, while also considering market remuneration levels to maintain the company's remuneration competitiveness. (2) The principle of combining responsibilities, rights, and benefits, reflecting the correspondence between the remuneration level and the management responsibilities and authority undertaken. (3) The principle of aligning with the company's long-term development, ensuring that the overall remuneration level is consistent with the company's goals for sustainable and healthy development. (4) The principle of balancing incentives and restraints, linking the overall remuneration level with performance appraisal, rewards and punishments, and incentive mechanisms. (5) The principle of openness, fairness, and transparency.