SOE reform to center on employee stock ownership   

國企改革頂層設計出臺在即 員工持股料成重要手段

中國證券報記者20日獲悉，國企改革頂層設計中，已經成熟的包括關于深化國有企業改革的指導意見在內的幾個方案會爭取在春節前推出，目前方案正上報國務院國企改革領導小組審批，并最終報中央全面深化改革領導小組討論。 [查看全文]

(ECNS) -- The State-owned Assets Supervision and Administration Commission (SASAC), China's top state-owned assets regulatory body, held a conference to promote reform of state-owned enterprises (SOEs), with employee stock ownership plans in development, the Ministry of Finance said on its website.

As a significant form of income distribution, employee stock ownership could prove to be a strong incentive for employees, an insider commented.

However, the policy should not be introduced all at once, as effective management, supervision and operation of employee stock ownership plans would be needed to prevent the loss of state assets, it was added.

Employee stock ownership plans are more suited to highly technical enterprises such as academic institutions and high-tech companies, and not to monopolistic businesses and government policy units, according to authorities.

Employee and Management Buy-outs (EMBO) are not recommended. Strict regulations regarding proportions of employee share holdings should also be formulated.

"Employee stock ownership is one form of mixed ownership, with plans to be drawn up soon, and hopefully more enterprises taking part in the pilot project," said Li Jin, vice chairman of China Enterprises Reform & Development Society.