Zhejiang Xianju Pharmaceutical Co., Ltd. Management System for Remuneration of Directors and Senior Management
Chapter 1 General Provisions
Article 1 To further improve the remuneration management system for directors and senior management of Zhejiang Xianju Pharmaceutical Co., Ltd. (hereinafter referred to as the "Company"), establish a incentive and restraint mechanism that is compatible with a modern enterprise system and matches responsibilities and rights, effectively mobilize the work enthusiasm of the Company's directors and senior management, improve the Company's operational management level, and ensure the realization of the Company's development strategic goals, 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," and in combination with the Company's actual situation, this system is hereby formulated.
Article 2 This system applies to the Company's directors and senior management. Senior management refers to the general manager, deputy general managers, board secretary, financial controller appointed by the board of directors, and other personnel included in the scope of assessment based on work needs.
Article 3 The remuneration management of the Company's directors and senior management shall follow the following principles: (1) Principle of fairness: Reflect the principle that income levels are consistent with the Company's scale and performance, while also considering market remuneration levels; (2) Principle of unity of responsibility, rights, and benefits: Reflect the principle that remuneration is consistent with the value of the position and the extent of responsibilities and obligations fulfilled; (3) Principle of long-term development: Reflect the principle that remuneration is consistent with the goal of the Company's sustained and healthy development; (4) Principle of equal emphasis on incentives and restraints: Reflect the principle that remuneration is linked to the Company's performance, individual performance rewards and punishments, and the Company's incentive mechanism, sharing achievements and responsibilities.
Article 4 The Remuneration and Assessment Committee is responsible for formulating the assessment standards for directors and senior management and conducting assessments, formulating and reviewing the remuneration policies and plans for directors and senior management, and making recommendations to the Board of Directors on the following matters: (1) Remuneration of directors and senior management; (2) Formulation or amendment of equity incentive plans and employee stock ownership plans, and the conditions for the achievement of authorization and exercise of rights by incentive recipients; (3) Arrangements for shareholding plans of directors and senior management in subsidiaries to be spun off; (4) Other matters stipulated by laws and regulations and the Articles of Association.