Chapter 1 General Principles
Article 1
To further improve the compensation management system for directors and senior management of Tianjin Jingwei Huikai Optoelectronics Co., Ltd. (hereinafter referred to as "the Company"), establish a scientific and effective incentive and restraint mechanism, effectively mobilize the enthusiasm and creativity of directors and senior management, enhance the company's management level, 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, the Guidelines for Corporate Governance of Listed Companies, and other relevant laws and regulations, as well as the provisions of the Articles of Association of Tianjin Jingwei Huikai Optoelectronics 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 directors and senior management as stipulated in the Articles of Association.
Article 3
The Company's compensation system follows the principles below:
- Fairness and Reasonableness: Income levels should align with the Company's scale, industry, and performance while considering market compensation levels.
- Unity of Responsibility, Authority, and Interests: Compensation should correspond to the value of the position and the responsibilities undertaken.
- Long-term Development: Compensation should align with the goals of the Company's sustainable and healthy development.
- Balance of Incentives and Constraints: Compensation distribution should be linked to assessments and rewards and penalties, in conjunction with the Company's incentive mechanism.
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 compensation standards, distribution mechanisms, decision-making processes, payment and recovery policies for directors and senior management; reviewing the performance of directors and senior management and conducting annual assessments; and supervising the implementation of the Company's compensation system.