China’s state assets regulator is planning to give greater autonomy to government-owned enterprises as part of a reforms drive, Economic Information Daily reported Thursday, citing a source.
The State-owned Assets Supervision and Administration Commission (SASAC) is expected to unveil in August initiatives that will eliminate some administrative approval procedures and delegate more powers to SOEs, the report said.
Under the plan, state enterprises could get greater freedom on board selection, compensation management as well as stock option incentive plans, according to the report.
The move will give SOEs more rights to handle issues on their own, like appointment and dismissal of senior management, appraisal on operating performance and incentive program, it noted.
The regulator will initially pilot the scheme in four SOEs, namely China National Building Material Group, China National Pharmaceutical Group, China Energy Conservation and Environmental Protection Group, and Xinxing Cathay International Group, it said.
Earlier this month, SASAC picked six state firms for trial reforms on ownership, management and supervision.
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