01 Definition
Unless otherwise specified, the following meanings are given herein
1. CompanyRefers to XX LLC.
2. Board of Directors and Board of Supervisorsrefers to the board of directors and the board of supervisors of the company.
3.Profit dividend incentive basis pointsIt refers to a part of the net profit obtained by the company in the previous year (the specific amount is determined by the shareholders' meetingAs a way to motivate current employees.
4.Exit mechanismIt refers to the occurrence of the listed behaviors, i.e., the loss of the corresponding incentive qualifications.
02 The purpose of the equity incentive plan
The main purpose of the company to formulate and implement this incentive plan is to improve the company's incentive mechanism, further improve the enthusiasm and creativity of employees, and promote the sustainable growth of the company's performanceWhile enhancing the value of the company, it brings value-added benefits to employees and realizes the common development of employees and the company.
The specific performance is as follows:
1. Establish a restraint mechanism for the medium and long-term incentives of the company's core employees, closely link the interests of the incentive objects with the shareholder value, make the behavior of the incentive objects consistent with the company's strategic goals, and promote the sustainable development of the company.
2. Through the introduction of this incentive plan, further improve the company's performance appraisal system and salary system, and attract, retain and motivate the talents needed to achieve the company's strategic goals.
3. Establish the concept of sustainable development and gratitude culture for employees and the company.
03 The management agency of this equity incentive plan
1. The shareholders' meeting of the company is responsible for reviewing and approving the implementation of the equity incentive plan. Changes and Termination.
2. The board of directors of the company is the executive management body of the equity incentive plan, which is responsible for formulating the equity incentive plan and submitting it to the shareholders' meeting for deliberation and approvalThe board of directors of the company shall handle the implementation of the equity incentive plan and other related matters according to the authorization of the shareholders' meeting.
3. The board of supervisors (supervisors) of the company is the regulator (person) of the equity incentive plan, which is responsible for verifying the list of incentive objects and supervising whether the implementation of the equity incentive plan complies with relevant laws and regulations and the Articles of Association.
04 Incentive objects of the equity incentive plan
The company's senior management personnel at the director level and above and outstanding employees recognized by the resolution of the company's board of directors.
05 Incentive Period
The incentive plan is implemented after the company's shareholders' meeting is approved, and the assessment period is from January 1 to December 31 of the following year, and it is implemented once a year according to the company's profit and assessment of the previous year, and the specific incentive implementation plan is announced and implemented from April 1 to April 30 every year.
06 Incentive amount
1. Total incentive quota
The withdrawal ratio for profit dividend incentives is 35% of the company's actual net profit, that is, the company's audited actual net profit * 35%. For example, if the company's audited actual net profit is 12 million yuan, and the profit dividend withdrawal ratio is 35%, the profit dividend incentive amount is 1200 * 35% = 4.2 million;If the company's audited actual net profit is 5 million, the profit dividend incentive is 500 * 35% = 1.65 million.
2. The specific pre-granted quota of each incentive object
According to the specific situation of the company on the effective date of this incentive plan, on the basis of determining the incentive personnel, the pre-granted virtual shares are determined according to the position value and post seniority coefficient of each personnel (the pre-granted virtual shares are set to facilitate the calculation of the proportion of dividends actually received by each position, and the total amount of pre-granted virtual shares is tentatively 4.7 million shares, and the total amount will be adjusted with the increase or decrease of personnel positions).
As shown in the table below
1) When the company introduces a certain position and the new incentive object or the original incentive object of a position disappears, the total number of shares corresponding to the value of the position shall be increased or decreased accordingly, but the overall incentive ratio used to calculate the incentive payment remains unchanged.
2) The number of pre-granted virtual shares corresponding to each position is only the number of planned incentive shares of the value of the position, and the final number of shares obtained by the incentive object of the position in the current year is subject to the results of its annual actual performance appraisal. For example, if the value of the president's position is 1 million shares, and A, as the current president, actually receives 800,000 shares through the evaluation at the end of the year, A's annual dividend shares will be 800,000 sharesThe total number of dividend shares of the corresponding company is adjusted to 4.5 million shares.
3) The annual dividend ratio of the incentive object = the actual incentive amount received by the incentive object each year The sum of the incentive amount actually received by all incentive objects.
4) The annual dividend amount of the incentive object = the dividend ratio of the incentive object * the actual dividend incentive amount.
3. Performance appraisal
(1) Annual performance appraisal indicators
Each incentive object has 3-5 performance appraisal indicators or a veto (see the "Performance Appraisal Form" for details, one veto refers to the loss of on-the-job dividend incentives when there is a veto of the listed matters), which is used to verify the actual number of dividend incentive shares available at the end of the year, and the formula is the actual number of shares available = the number of pre-granted virtual shares * performance appraisal coefficient.
(2) Performance appraisal coefficient
The annual performance appraisal is 60%, and the performance appraisal coefficient is 04.
60% (70% for annual performance appraisal, and 0.com for performance appraisal coefficient.)6.
70% (85% for annual performance appraisal, 0.).85.
85% (100% annual performance appraisal, performance appraisal coefficient of 1.)0.
4. Payment Methods
1) If the excess profit dividend amount of the incentive object in the previous year is less than 100,000 yuan, the dividend bonus will be paid in a lump sum in the current year.
2) If the amount of excess profit dividends of the incentive object in the previous year is greater than 100,000 yuan, the 5 3 2 principle will be deferred (that is, within three years, 50% of the dividends will be paid in the current year, 30% in the second year, and 20% in the third year).
3) When the company actually pays on-the-job dividends to the incentive object in accordance with the provisions of this incentive plan, the incentive object must be on the job;For those who are no longer on the job at the time of actual payment, they are no longer entitled to on-the-job dividends in accordance with the provisions of this incentive plan.
4) The on-the-job dividends under this incentive plan shall be paid before April 30 of each year, and the company shall have the right to withhold and pay the corresponding individual income tax in accordance with the provisions of relevant laws when issuing on-the-job dividends to the incentive recipients.
5. Exit mechanism
From the effective date of this incentive plan, if one of the following reasons (including but not limited to) occurs to the incentive object, the incentive qualification will be lost from the date when the situation is verified by the board of directors of the company, and the company will unconditionally withdraw the incentive share options it has been granted, and if the shares have been distributed, the company has the right to repurchase the company's largest shareholder preferentially according to the company's equity market appraisal priceIf the circumstances are serious, the company shall investigate its liability for compensation in accordance with the law, and has the right to impose corresponding penalties in accordance with the company's rules and regulations (corresponding penalties include but are not limited to suspension of participation in all incentive plans of the company, cancellation of job qualifications and even termination of labor contract relations);If a crime is constituted, the company shall transfer it to the judicial authorities for criminal liability.
1) Demotion, transfer, or termination of the labor contract relationship caused by incompetence in the job (position) violation of professional ethics, dereliction of duty, dereliction of duty, etc., which seriously damages the interests or reputation of the company.
2) The company has sufficient evidence to prove that the incentive recipient has caused losses to the company due to bribery, theft, leakage of the company's business and technical secrets, damage to the company's reputation, etc.
3) Engage in the same or similar business as the Company and its subsidiaries or affiliates in any form (directly or indirectly).
4) Self-resignation.
5) Death or declaration of death.
6) Violation of the articles of association and the company's management system. Confidentiality system, confidentiality and non-compete agreements signed with the company, and other acts.
7) Other behaviors that violate national laws and regulations and are subject to criminal punishment.
8) Engage in other misconduct as determined by the Board of Directors of the Company.
Supplementary Provisions
1.This incentive plan shall be deliberated and interpreted by the shareholders' meeting of the company, and shall be implemented by the board of directors of the company.
2.Each proposed incentive recipient has the right to choose whether to accept this incentive plan. If the incentive recipient confirms his acceptance of this incentive plan, he or she shall sign the Confidentiality and Non-Competition Agreement.