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Lenovo CEO Handed His $3 Million Bonus to Employees

By - Source: CNN | B 76 comments

Lenovo CEO Yang Yuanqing distributed $3 million from his bonus among employees.

It's no big secret that CEOs of major corporations make a ton of money. Unlike Hollywood actors who make even more money pretending to be someone else, CEOs earn their millions by working night and day, seemingly keeping the global economy up and running while actors and actresses float in their pool.

Corporate CEOs also land big fat bonuses, sometimes more than their yearly income, depending on how well the business reeled in the revenue during the corporate year. Many presumably sink that money into luxury cars, personal jets or additional rooms in the mansion they'll never use. Lenovo's CEO chose to take the honorable route... to some degree.

CNN reports that Lenovo CEO Yang Yuanqing distributed $3 million from his bonus among 10,000 junior-level employees. The list of recipients included receptionists, production-line workers and assistants who each received an average bonus of 2,000 yuan, or $314 USD, in the name of their CEO.

According to the report, the $3 million was actually an additional boost to his normal $5.2 million in bonuses after Lenovo had its best fiscal year ending in March. His total earnings, as stated in the company's annual report, amounted to $14 million and included salary, incentives and other benefits.

Lenovo said that it saw a 73-percent bump in net profit from the previous year, achieving a record full-year sales of $29.6 billion USD. As of March 31, the company had a net cash reserve of $4.1 billion USD. Even more, during the fourth fiscal quarter, Lenovo’s consolidated sales increased a healthy 54-percent to $7.5 billion USD. For the tenth quarter in a row, the Company was the fastest growing among the top four PC vendors, with worldwide PC shipments up 44 percent year-over-year.

"The 2011/12 fiscal year was a record-setting year for Lenovo, where we set an all-time high for revenue, shipment, market share and pre-tax income. Our fiscal year ended impressively with strong momentum," he said. "Lenovo’s global PC shipments grew by 35-percent year-over-year, outperforming the industry by ten times."

Could Yuanqing have given out more? Some could argue that $314 USD is better than nothing. Other may point out that he could have afforded to hand over a larger chunk of his bonus.

 

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Top Comments
  • 31 Hide
    killabanks , July 23, 2012 7:05 AM
    how much did Steve hand out? thats what i thought
  • 29 Hide
    timw03878 , July 23, 2012 9:32 AM
    Gotta love all the class envy and shame here. You want money? Go out and earn it. Stop thinking your entitled to another mans earnings. Just cause you have money doesn't mean you are evil for having it, or did evil to get it. Sometimes your smarter, more driven, or just plain lucky. That's life.

    Stop whining and bust your ass, and maybe you can get the golden ring too
  • 22 Hide
    DjEaZy , July 23, 2012 7:38 AM
    ... it is a good example how trickle down economics should work...
Other Comments
  • 31 Hide
    killabanks , July 23, 2012 7:05 AM
    how much did Steve hand out? thats what i thought
  • 10 Hide
    bavman , July 23, 2012 7:08 AM
    Why is tom's always late with the stories? I read this on another website a couple days ago
  • 2 Hide
    aggroboy , July 23, 2012 7:13 AM
    While his intentions are noble, it also showcases the big brother mentality of Chinese businesses, for better or worse.
  • 22 Hide
    DjEaZy , July 23, 2012 7:38 AM
    ... it is a good example how trickle down economics should work...
  • 6 Hide
    aggroboy , July 23, 2012 7:38 AM
    DjEaZy... it is a good example how trickle down economics should work...

    emphasis on "trickle"
  • 12 Hide
    amuffin , July 23, 2012 7:44 AM
    Apple CEO, nudge nudge.
  • -5 Hide
    DjEaZy , July 23, 2012 7:57 AM
    amuffinApple CEO, nudge nudge.

    ... there will not be a bonus for apple CEO, if he plans to return the manufacturing back to U.S. ...
  • 13 Hide
    JOSHSKORN , July 23, 2012 7:59 AM
    amuffinApple CEO, nudge nudge.

    Foxconn...
  • 13 Hide
    memadmax , July 23, 2012 7:59 AM
    Instead of complaining, why don't YOU go out and start a multi-million dollar company....

    I thought so...
  • 15 Hide
    kcorp2003 , July 23, 2012 8:07 AM
    memadmaxInstead of complaining, why don't YOU go out and start a multi-million dollar company....I thought so...


    CEOs don't start out "multi-million dollar company". they are appointed.
  • -7 Hide
    Anonymous , July 23, 2012 8:28 AM
    He is just strengthen his grip on power. Hush money for all :D 
  • -2 Hide
    Pyree , July 23, 2012 8:32 AM
    I would decline the $300 bonus and ask for a free Y580.
  • 29 Hide
    timw03878 , July 23, 2012 9:32 AM
    Gotta love all the class envy and shame here. You want money? Go out and earn it. Stop thinking your entitled to another mans earnings. Just cause you have money doesn't mean you are evil for having it, or did evil to get it. Sometimes your smarter, more driven, or just plain lucky. That's life.

    Stop whining and bust your ass, and maybe you can get the golden ring too
  • 15 Hide
    aggroboy , July 23, 2012 10:07 AM
    timw03878Gotta love all the class envy and shame here. You want money? Go out and earn it. Stop thinking you're entitled to another mans earnings. Just cause you have money doesn't mean you are evil for having it, or did evil to get it. Sometimes you're smarter, more driven, or just plain lucky. That's life. Stop whining and bust your ass, and maybe you can get the golden ring too

    Ah the American dream.

    Is it still alive?
  • -6 Hide
    Gulli , July 23, 2012 10:30 AM
    Quote:
    Unlike Hollywood actors who make even more money pretending to be someone else, CEOs earn their millions by working night and day, seemingly keeping the global economy up and running while actors and actresses float in their pool


    Seriously? You really believe that they "earn" their money?

    Quote:
    Corporate CEOs also land big fat bonuses, sometimes more than their yearly income, depending on how well the business reeled in the revenue during the corporate year.


    You're funny... CEO bonuses usually get paid regardless of how well the company is doing, in fact it's often more profitable to leave with a golden handshake than continue working to fix the company.

    This CEO still got over $5.2, more than the leaders of the G20 countries combined, so anyone with two brain cells would say he's overpaid.
  • -5 Hide
    Gulli , July 23, 2012 10:34 AM
    I mean come on, it's well known that ridiculous CEO pay arises from tournament theory and the CEO getting too cozy with board members... It has nothing to do with hard work: the CEO knows that, the board knows it, the shareholders know it, the workers know it, the whole world knows it, except for Romney supporters.
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