Guangdong Decheng Thin Film New Material Co., Ltd. Management System for the Remuneration of Directors and Senior Management
Chapter 1 General Provisions
Article 1 To ensure that the directors and senior management of Guangdong Decheng Thin Film New Material Co., Ltd. (hereinafter referred to as the "Company") perform their duties in accordance with the law, standardize remuneration management, improve the company's remuneration management system, and establish a scientific and effective incentive and restraint mechanism, this system is formulated in accordance with the "Company Law of the People's Republic of China" (hereinafter referred to as the "Company Law"), the "Guiding Principles on Corporate Governance of Listed Companies," and other relevant laws and regulations, as well as the "Articles of Association of Guangdong Decheng Thin Film New Material Co., Ltd." (hereinafter referred to as the "Articles of Association").
Article 2 This system applies to directors elected by the shareholders' meeting, employee directors elected by the employees' general meeting/employees' representative meeting, and senior management personnel appointed by the board of directors.
Article 3 The remuneration of directors and senior management shall be linked to the company's long-term development and shareholder interests, matched with the company's performance and work objectives, and maintain overall remuneration levels consistent with the company's actual operating conditions, thereby ensuring the company's long-term stable development. The remuneration management system for directors and senior management of the company follows the following principles: (1) Principle of remuneration based on position: Establish a remuneration system that unifies "responsibility, rights, and benefits" based on the value, responsibilities, and authority of the position; (2) Principle of linking remuneration to performance: Remuneration is closely linked to individual and company performance, and assessments are conducted based on clear performance evaluation standards, procedures, and systems; (3) Principle of sustainable development: Individual remuneration structure is linked to the company's long-term development strategy and shareholder interests, supporting sustainable development; (4) Principle of combining short-term and long-term incentives: Coordinate short-term performance incentives and long-term value incentives to achieve sustained and balanced incentive effects; (5) Principle of balancing incentives and constraints: Establish a remuneration mechanism that is both incentive-oriented and restraint-oriented, promoting diligent and responsible performance and standardized duties by directors and senior management.