Chapter One General Principles
Article 1 Purpose
The purpose of these measures is to establish and improve the compensation management system for executive members of AVIC Optoelectronics Technology Co., Ltd. (hereinafter referred to as "the Company"), fully leveraging the incentive role of compensation distribution to motivate their work enthusiasm and creativity, in accordance with relevant national laws and regulations, and based on the actual situation of the Company.
Article 2 Basic Principles
- Goal Orientation: The compensation distribution for executive members is linked to performance evaluation results; performance increases lead to compensation increases, while performance decreases lead to compensation decreases.
- Fairness and Justice: The compensation level for executive members reflects job value, responsibilities, management difficulty, and internal fairness.
- Combination of Short-term and Long-term Incentives: Establish a long-term mechanism that combines short-term and long-term incentives, closely linking the personal interests of executive members with the long-term healthy development of the Company.
Article 3 Scope of Application
These measures apply to executive members as defined in the "Management Plan for the Tenure System and Contractual Management of Executive Members of AVIC Optoelectronics Technology Co., Ltd.", including positions such as General Manager, Deputy General Manager, Chief Accountant, Chief Engineer, etc.
Article 4 Management Institutions
The compensation management institutions for executive members include the Board of Directors and the Compensation and Assessment Committee of the Board of Directors.
- The Board of Directors is the leading institution for the compensation management of executive members, responsible for proposing specific requirements for compensation management and approving compensation distribution plans.
- The Compensation and Assessment Committee of the Board of Directors is the organizational body for the management of compensation and assessment of executive members, responsible for drafting the compensation management measures and annual compensation distribution plans for executive members.