Corporate articles strengthen CPC role in SOE decision-making

Source:Global Times Published: 2016/7/2 0:28:01

The Communist Party of China's efforts to strengthen its leading role in State-owned enterprises (SOEs) have been making progress, as the company charters newly passed by two listed companies under the State-owned China FAW Group added articles clearly stating the Party committee's right to participate in the companies' decisions.

FAW Car Co, based in Changchun, Northeast China's Jilin Province, and Tianjin FAW Xiali Automobile Co, based in North China's Tianjin, held separate general meetings of stockholders on Wednesday, passing their companies' new memorandums of association, adding content that emphasizes the CPC's "core political" role.

The Chinese government assigns officials to lead the State-owned companies, and many of them double as chief of the company Party committee. But the disciplinary body of the CPC Central Committee has repeatedly stated in the past year that many of the SOEs have been focusing too much on business while ignoring "Party building."

In September 2015, the CPC issued a statement demanding the SOEs strengthen Party building and the leadership of the Party.

While the FAW Car's 2012 memorandum of association had no mention of the Party committee, the latest version passed on Wednesday devoted  a whole chapter to "Party building."

The company's Party committee will "supervise the enforcement of the Party and State's polices in this company, participate in the decision-making of the company's key issues," according to the document.

"The Party committee discusses and assesses the key issues to be decided by the board of directors … and raises questions and offers advice," the document reads.

Tianjin FAW Xiali Automobile and many other companies listed in the stock markets have been making similar changes, thepaper.cn said.



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