The difference between year-end awards and year-end awards

Legal analysis: 1, year-end dividend and employees' ownership of enterprise shares are two different concepts. Article 35 of the Company Law stipulates that shareholders shall receive dividends in proportion to their paid-in capital contributions. Therefore, year-end dividends are the basic rights of shareholders, and shareholders must have the right to year-end dividends. But having part of the dividend right does not mean that you own the equity of the enterprise and become a shareholder of the enterprise. Many enterprises have adopted the incentive system of virtual equity, giving employees virtual equity such as post shares and performance shares. Employees can participate in the profit distribution at the end of the year according to their own virtual equity, but this virtual equity has no ownership, and its essence is the deferred payment of corporate bonuses, which is nothing more than a certain proportion of the company's year-end net profit.

2. Year-end bonus and year-end bonus are two different forms of salary incentives. The year-end bonus is a one-time cash salary paid by an enterprise at the end of the year according to the completion of its own business performance indicators. The year-end dividend is relatively complicated, which needs to be combined with the property right system of the enterprise to a certain extent, and the employees are rewarded with actual or nominal shares as the basis for participating in the profit distribution of the enterprise at the end of the year.

3, the way of employee equity confirmation. If an enterprise adopts the employee stock ownership system and gives employees real or virtual shares, employees should pay attention to the following procedures. Only by fulfilling these procedures can the interests of employees be effectively guaranteed:

(1) Sign a clear equity grant agreement, specifying the quantity and price of the shares granted, the nature and rights of the shares granted, the respective rights and obligations of the enterprise and employees, and the withdrawal of the shares.

(2) If it is a real equity, it should obtain the capital contribution certificate and equity certificate issued by the company at the same time as obtaining the equity, and register it in the equity register of the enterprise;

(3) Timely industrial and commercial registration and change of corporate shareholders.

Legal basis: Article 3 of the Labor Law of People's Republic of China (PRC) stipulates that workers enjoy the rights of equal employment and occupation selection, remuneration, rest and vacation, occupational safety and health protection, vocational skills training, social insurance and welfare, submission of labor dispute settlement and other labor rights stipulated by law. Laborers should complete labor tasks, improve their professional skills, implement labor safety and health laws and regulations, and observe labor discipline and professional ethics.

Article 3 of the Labor Contract Law of People's Republic of China (PRC) shall follow the principles of legality, fairness, equality, voluntariness, consensus, honesty and credibility when concluding a labor contract. The labor contract concluded according to law is binding, and the employer and the employee shall perform the obligations stipulated in the labor contract.