What Are Cash Awards?

Long-term reward plans refer to various reward plans with performance evaluation periods longer than 12 months. They include: housing assistance plans to improve employee housing conditions; stock-related reward plans such as stock option plans, stock appreciation rights plans, and individual stocks Grant plans; retention bonus plans for positions with high market turnover and significant value to the company; internal savings plans for employees and other internal loans.

Long-term reward plan

Right!

Long-term reward plan is performance

1. Stock options ^[1]

1. The factors that may have an adverse effect on the company will be minimized through the reward plan; ^[1]

Short-term and long-term reward programs. The former is mainly a reward given to employees for over-completion of a certain work index during the year, which is usually related to current performance and is generally expressed in cash, but also in the form of stock compensation; the latter is an affirmation of the comprehensive results of employees' years of hard work. Returns, including the form of stocks, stock options, bonuses and labor dividends for general employees, and employee stock ownership plans for senior managers and senior professional and technical personnel. Long-term reward plans usually take the form of stock options, and their value is linked to the long-term performance of the company's common stock. ^[1]

Strictly speaking, the form of long-term reward plan is a capital profit distribution, the purpose is to urge the operator to pay attention to the long-term development potential of the enterprise.