Fantastic Friday: Lenovo CEO Bonus
This doesn’t feel like it should be notable, but it most certainly is…
Lenovo Group Ltd. (992), the biggest personal computer maker, said Chief Executive Officer Yang Yuanqing will share at least $3 million of his bonus with workers for a second straight year after posting record sales.
About 10,000 workers will get payments this month to recognize their contributions, Gina Qiao, senior vice president of human resources, said in a memo to some workers. The memo was confirmed by spokesman Jeffrey Shafer, who said the total payment will be about $3.25 million.
Of course, Yang was paid $14.6M last year, so he’s clearly not going to have any problems eating by forgoing his bonus, but the gesture is rare, not only in China, but anywhere in the world and it does reinforce the idea that a CEOs success is directly related to the efforts of the entire organization, top to bottom.
“This payment is personally funded by Yuanqing,” Qiao said in the memo. “He believes that he has the responsibility as an owner of the company, and the opportunity as our leader, to ensure all of our employees understand the impact they have on building Lenovo.”
CEOs Now Earn 273 Times the Average Worker and Yang is no exception, so let’s remember that there’s certainly more to do to ensure that workers are valued and properly compensated by their employers – and this is a major part of being a “better” business. But let’s hope that this is a step in the right direction.