Lenovo CEO gives some bonus pay to 10,000 employees

Sometimes the boss of a company is ridiculed or even flat out hated. For 10,000 employees at Lenovo, their opinion of their CEO might be a little different. It was announced this week that the company's head man, Yang Yuanqing, has elected to give $3 million of his yearly bonus to a large number of his team members.

As reported by CNN, Yuanging earned $5.2 million in bonuses for Lenovo's fiscal year that ended in March. That included $3 million in bonus money that he earned due to the company hitting a large profit increase in the last fiscal year, with profits up 73 percent compared to the same period a year ago.

So Yuanging decided to give that extra $3 million to 10,000 Lenovo employees. That gave the lucky team members an extra $314 in their pay checks. Yuanging can likely well afford to give up that amount of money. According to the company's financial reports, he earned a total of $14 million for the year, including money generated from his regular salary, along with other incentives and benefits.

Lenovo is doing so well, even in the face of a slowing PC market, that some analysts believe that the company, currently the number two PC maker, could surpass HP to become the single biggest PC hardware company worldwide by early 2013.

Source: CNN.com

Report a problem with article
Previous Story

HTC One X, One XL and One S confirmed to get Jelly Bean

Next Story

Transformers: Fall of Cybertron PC details revealed

15 Comments

Commenting is disabled on this article.

I love Levono products, we are a certified HP reseller where I work but due to their dire customer support we are moving to Lenovo.

Props to him! And it sounds like he really deserved his bonus unlike many other CEOs.

I hope they have continued success. I've never owned a Lenovo product but I always hear good things about them.

I'm pretty sure those workers do not care about whether there are hidden intentions or tax write offs or whatever so neither should I. They got almost a month's worth of salary and that's awesome so bravo.

grayscale said,
I'm pretty sure those workers do not care about whether there are hidden intentions or tax write offs or whatever so neither should I. They got almost a month's worth of salary and that's awesome so bravo.

Very true. If the boss benefits (tax writeoffs) and the employees benefit (extra money), then isn't it a WIN-WIN?

Only one losing here is the government heh.

andrewbares said,

Very true. If the boss benefits (tax writeoffs) and the employees benefit (extra money), then isn't it a WIN-WIN?

Only one losing here is the government heh.

don't know anything about chinese tax. was looking through internet and found this page
http://www.worldwide-tax.com/china/china_tax.asp

incoming tax - 45%
An employer is obligated to deduct tax at source on a monthly basis from a salaried employee and to make additional contributions to social security.
Social security in China consists of 3 parts, basic pension, personal accounts and additional payment.
The rates for social security vary in different cities.
Rates in the major cities are employer - around 30%, employee - around 11%.

So,
(14 mln - 3 mln) * 0,30 = 6,3 mln
14 mln * 0,45 = 6,3 mln

So he don't benefit personally at all. Another question how employees benefit from this. This is could be a very simple legal tax escape operation.

It's good in anyway. But he should have been grand all his 5 mln of bonuses to workers, not just a part.

blade1269 said,

.. But isn't it just s tax write off For him...

Does China do tax write-offs? Somehow I don't think they run the same system we have here in the USA.

Hackersoft MS MVP said,

Does China do tax write-offs? Somehow I don't think they run the same system we have here in the USA.

What? you mean america isn't the centre of the universe

/s

All the other CEO's in similar companies are probably not happy this guy is upstaging them bigtime. Rare to see a CEO who doesn't have his/her head up their ass.