Twelve five central government enterprises reduced to 30 to 50
According to China Economic Net, Li Baomin, director of the Research Center of the State-owned Assets Supervision and Administration Commission of the State Council, revealed on October 30th that he would reduce the number of central enterprises to 30-50 during the "12th Five-Year Plan" period. He also revealed that the reform of income distribution in the monopoly industries will also be actively carried out. The issue of inadequate labor incentives for major contradictions in income distribution during the “Twelfth Five-Year Plan†period will receive attention, and there will be breakthroughs in the mechanism of distribution according to production factors.
Li Baomin revealed that these 30-50 central enterprises must have three elements: they have independent intellectual property rights, become internationally renowned brands, and have strong international competitiveness.
When the new director of SASAC, Wang Yong, first attended the SASAC system meeting, he emphasized that state-owned enterprises will face higher levels, higher levels, and more intense international competition in the post-financial crisis era, and therefore pay more attention to the competitiveness of the central SOEs. Large-scale reorganization is one of the coping strategies to improve the competitiveness of enterprises. According to SASAC plans, the number of central enterprises will be reduced to 80-100 in 2010. As of the end of September, there were still 123 state-owned enterprises.
Li Baomin also disclosed that during the “12th Five-Year Plan†period, the SASAC will strengthen state-owned enterprise reforms in three areas, with emphasis on reforming monopolistic industries: First, formulate state-owned capital operating budgets so that limited state-owned capital will play its greatest role in enriching the country and the people; It is the reform of the income distribution system. He said that at present there are widespread problems with incentives and constraints in state-owned enterprises. Insufficient motivation is manifested in the fact that distribution according to work and distribution according to production factors have not yet been broken. Insufficient incentive for labor is the main contradiction in income distribution. Insufficient restraint is manifested as ineffective job consumption constraints. During the “Twelfth Five-Year Plan†period, it is necessary to establish a mechanism for distribution according to work and distribution according to production factors, especially breakthroughs in the distribution of production factors. The third is the reform of monopoly industries. This is also the top priority of state-owned enterprise reform during the “12th Five-Year Plan†period. He pointed out that recently, the price of gasoline has risen, and there are many voices in the society that blame the petrochemical system for monopolization. However, where is the problem and how to solve it is not clear enough. Therefore, the reform of the monopoly industry needs to be carried out in different types, sub-links, and levels.
Li Baomin revealed that these 30-50 central enterprises must have three elements: they have independent intellectual property rights, become internationally renowned brands, and have strong international competitiveness.
When the new director of SASAC, Wang Yong, first attended the SASAC system meeting, he emphasized that state-owned enterprises will face higher levels, higher levels, and more intense international competition in the post-financial crisis era, and therefore pay more attention to the competitiveness of the central SOEs. Large-scale reorganization is one of the coping strategies to improve the competitiveness of enterprises. According to SASAC plans, the number of central enterprises will be reduced to 80-100 in 2010. As of the end of September, there were still 123 state-owned enterprises.
Li Baomin also disclosed that during the “12th Five-Year Plan†period, the SASAC will strengthen state-owned enterprise reforms in three areas, with emphasis on reforming monopolistic industries: First, formulate state-owned capital operating budgets so that limited state-owned capital will play its greatest role in enriching the country and the people; It is the reform of the income distribution system. He said that at present there are widespread problems with incentives and constraints in state-owned enterprises. Insufficient motivation is manifested in the fact that distribution according to work and distribution according to production factors have not yet been broken. Insufficient incentive for labor is the main contradiction in income distribution. Insufficient restraint is manifested as ineffective job consumption constraints. During the “Twelfth Five-Year Plan†period, it is necessary to establish a mechanism for distribution according to work and distribution according to production factors, especially breakthroughs in the distribution of production factors. The third is the reform of monopoly industries. This is also the top priority of state-owned enterprise reform during the “12th Five-Year Plan†period. He pointed out that recently, the price of gasoline has risen, and there are many voices in the society that blame the petrochemical system for monopolization. However, where is the problem and how to solve it is not clear enough. Therefore, the reform of the monopoly industry needs to be carried out in different types, sub-links, and levels.
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