Chapter 1 General Principles
Article 1
To further standardize the compensation management for directors and senior management of Shanghai Metersbonwe Fashion & Accessories Co., Ltd. (hereinafter referred to as "the Company"), establish a sound incentive and constraint mechanism for operators, effectively motivate directors and senior management, and promote the healthy, sustainable, and stable development of the Company, this system is formulated in accordance with the "Company Law of the People's Republic of China," "Securities Law of the People's Republic of China," "Code of Corporate Governance for Listed Companies," and other relevant laws, administrative regulations, departmental rules, and the "Articles of Association of Shanghai Metersbonwe Fashion & Accessories Co., Ltd." (hereinafter referred to as "the Articles of Association"), combined with the actual situation of the Company.
Article 2
This system applies to the Company's directors (including independent directors and employee representative directors) and senior management as stipulated in the Articles of Association.
Article 3
The compensation management system for management personnel follows the principles below:
- Market Matching Principle: Reflects the overall compensation level that matches the Company's operational scale, performance, and the average wage levels in the industry and region.
- Equivalence of Rights and Responsibilities Principle: Establishes a diversified compensation system that reflects the alignment of compensation with job value and responsibilities.
- Balance of Incentives and Constraints Principle: Links compensation distribution with assessments, rewards, and penalties.
- Long-term Development Principle: Aligns compensation with the goals of the Company's sustainable and healthy development.
Chapter 2 Compensation Management Organization
Article 4
The Compensation and Assessment Committee of the Board of Directors, authorized by the Board, is responsible for formulating the compensation standards, distribution mechanisms, payment, and recovery arrangements for directors and senior management, clarifying the basis for determining compensation and its specific components; reviewing the performance of directors and senior management and conducting annual assessments; and supervising the implementation of the Company's compensation system.