Caps set for executive pay

Compensation caps for China's State-sector financial companies will be set at 2.8 million yuan (pre-tax revenue), the Economic Observer Online reported yesterday.

The Ministry of Finance has drafted a salary management circular for executives with State-sector enterprises. The annual salary of top executives would be limited within 2.8 million yuan, the online newspaper said, citing sources with an unnamed State-sector enterprise.

According to the draft, the caps of pay packages for executives are four times their annual salary, which ranges between 50,000 yuan and 700,000 yuan.