Abstract:

The distribution of a manager's income has distinct characteristics, for the management is of high intelligence, heavy-laden, outstanding achievements and contributions. The basic distribution principle for a manager's income is that of distribution according to work, achievenment, dedication and investment. There are three major problems concerning the distribution of manager's income. First, the encouragement and restriction are not well balanced. Second, the income distribution is not well regulated. And finally, the ratio of floated income to fixed income is not in line. Both material and spiritual encouragement should be applied to the establishment and optimization of manager's inspiration mechanism. The annual payment system, stock option planning, and assets mortgage are major forms of material encouragement. As to strengthening the restriction mechanism, restrictive measures inside an enterprise should be combined with those outside an enterprise. Only if the inspiration mechanism and the restriction mechanism are combined effectively, the principle of giving priority to efficiency and concurrently giving consideration to justice can be fully realized.

Key words: manager, income distribution, inspiration mechanism, restriction mechanism