Although the release of the annual reports of listed securities companies is far from over, a number of securities companies have been asked by investors about salary cuts.
On April 4, China Merchants Securities responded on the interactive platform of the Shanghai Stock Exchange that it has always followed the dual benchmarking principle of performance target benchmarking market and salary level benchmarking market, and determined competitive salary levels based on multiple dimensions such as job value, performance results, performance performance, comprehensive risk management and compliance management implementation, so as to achieve "performance increase, salary increase, performance decrease, salary decrease".
China Merchants Securities is not the only listed brokerage that has recently been asked about salary cuts by investors. Under the combined influence of multiple factors such as performance, public opinion, and supervision, salary cuts in securities and even the financial industry have become an industry consensus. However, the securities industry has always been known for its talent intensity, and how to maintain the marketization of the incentive mechanism in the current environment and further stimulate the team's combat effectiveness will be an important topic for securities companies to explore in the future.
Top brokerages responded to the question of salary cuts
In response to investors' question about whether the company's salary reduction will affect the company's operation, China Merchants Securities responded on April 4 that it has always adhered to the market-oriented business philosophy, and under the sound corporate governance mechanism, the board of directors will formulate a salary incentive system in accordance with regulations. Follow the principle of double benchmarking of performance target benchmarking market and salary level benchmarking market, and determine competitive salary levels according to multiple dimensions such as job value, performance results, performance performance, comprehensive risk management and compliance management implementation, so as to achieve "performance increase, salary increase, performance decrease, salary decrease".
However, China Merchants Securities also said that it will actively explore and implement short-term, medium- and long-term talent incentive measures, rely on high-quality talents with both ability and political integrity to promote the company's steady operation and sustainable development, and will continue to strengthen the training and incentive of leading talents, core backbone talents, technical talents, young talents and front-line employees in the future, and use diversified incentive methods to stimulate the enthusiasm, initiative and creativity of employees to start businesses.
On April 4, GF Securities was also tortured by investors at the results conference about salary cuts. In response, Sun Xiaoyan, vice president and financial director of GF Securities, responded, "The company has always adhered to strict cost management, reasonably controlled business expenses through budget management, and controlled daily operating costs through centralized procurement. ”
She said that GF Securities will actively adhere to the principles and requirements of implementing the sound business philosophy, ensuring compliance with the bottom line requirements, promoting the formation of positive incentives, and enhancing the company's long-term value, establishing a stable salary system, and improving the salary incentive and constraint mechanism. When formulating the remuneration system, the total remuneration budget is formulated based on various factors such as the actual operation of the company, the effect of compliance risk control, its own development strategy, and the long-term interests of shareholders, and the salary standard is determined based on the actual situation of the company and the market level, so as to balance the salary income of personnel in different positions and positions.
Earlier, Zhang Youjun, chairman of CITIC Securities, also mentioned at the results briefing on March 3 that CITIC Securities adheres to the principle of "business-oriented, professional-oriented and ability-oriented" in terms of compensation, and should combine immediate and forward-term, short-term and long-term incentive plans, so that employees can not only reflect their own role in the current development, but also make more contributions to the long-term development of CITIC Securities.
Brokerage salary cuts are trending
Affected by market fluctuations, the main businesses of securities firms will be under pressure in 2022. According to data from the China Securities Association, 140 securities companies achieved a net profit of 1423.01 billion yuan during the period, down 25.54% from the same period last year. In this context, the wave of salary cuts by securities firms is not only spreading among directors, supervisors and senior groups, but also facing different degrees of shrinkage in the per capita salary of employees.
A few days ago, the brokerage China reporter used "(paid to employees + employee remuneration payable at the end of the period - employee remuneration payable at the beginning of the period) / (number of employees at the beginning of the period + number of employees at the end of the period) / 2)" to calculate the per capita salary of employees of securities companies, as of April 4, 1% of the 23 listed securities companies that disclosed their 2022 annual reports reduced the per capita salary of employees.
Among them, the per capita salary of CICC employees was 81,96 yuan, with a per capita decrease of more than 30,47 yuan, the largest contraction, while the per capita salary of employees of China Merchants Securities was 27,39 yuan, the largest year-on-year decline, reaching 37.30%; In addition, the per capita salary of employees of Haitong Securities and Cinda Securities also decreased by more than <>% year-on-year.
In the past two years, regulators have also continued to actively guide the industry to establish scientific and reasonable salary management, performance appraisal and other long-term incentive and constraint mechanisms to ensure that the salary level and structure match the company's long-term business performance. For example, in February this year, the Central Commission for Discipline Inspection published an article entitled "Resolutely Winning the Protracted Battle against Corruption," which directly proposed to dispel erroneous ideas such as "financial elite theory" and "money-only theory."
Zhang Youjun also stressed at the results conference that CITIC Securities formulates remuneration policies and rules in strict accordance with the company's governance structure, with the authorization and approval of the board of directors and the approval of the employee representative assembly, and will fully consider and follow the guidance of the competent authority during the period. "I want to emphasize that CITIC Securities will fully consider the development of the whole society and the exemplary role played by the financial industry in the development of the whole society." He said. (Brokerage China Author: Wang Rui)