Chapter 1 General Principles
Article 1
To further improve the compensation management of directors and senior management at Shanghai Zhaomin New Materials Technology Co., Ltd. (hereinafter referred to as "the Company"), establish a scientific and effective incentive and restraint mechanism, fully mobilize the work enthusiasm of the Company's directors and senior management, and enhance the operational management efficiency of the Company, 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 Guidelines for Corporate Governance of Listed Companies, and other relevant laws, regulations, normative documents, and the Articles of Association of Shanghai Zhaomin New Materials Technology Co., Ltd. (hereinafter referred to as "the Articles of Association").
Article 2
This system applies to the following personnel:
- Directors, including non-independent directors and independent directors;
- Senior management, including the general manager, deputy general managers, financial officers, board secretaries, and other senior management as stipulated in the Articles of Association.
Article 3
The Company's compensation system follows the principles of:
- Combining labor distribution with responsibilities, rights, and benefits;
- Linking compensation with company performance and work objectives;
- Combining short-term and long-term incentives;
- Ensuring openness, fairness, and transparency.
Chapter 2 Management Institutions
Article 4
The Compensation and Assessment Committee of the Company's Board of Directors is responsible for formulating assessment standards for directors and senior management, conducting assessments, and establishing and reviewing the compensation decision-making mechanism, decision-making processes, payment and reclamation arrangements, and other compensation policies and plans.
Article 5
The Company's human resources and administrative departments and financial departments cooperate with the Compensation and Assessment Committee of the Board of Directors to implement the compensation plans for directors and senior management.