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Yu Donglai responds to Pang Donglai's "4 billion yuan asset distribution": Really, 12 store managers each receive 20 million yuan, and average employees get 200,000 yuan each.
On March 11, regarding the profit distribution plan for assets totaling 4 billion yuan, Pang Donglai founder Yu Donglai posted a lengthy response on social media: “This is the real situation, stop guessing!”
Yu Donglai stated that for the past 26 years, Pang Donglai has pursued an operational model based on systems and shareholding. Early shareholders were granted shares free of charge and held in trust. Distributions are based on fairness principles, following a standard of job value planning.
“The goal is to stimulate employees’ potential, help them realize that all their income is created by their own abilities, not given or bestowed by others.” Yu Donglai revealed that once employees mature within this culture, the company will transition to a true shareholding operation model. This also inspires more companies to value employees’ worth, income, and quality of life, fostering healthy management teams and sustainable development.
Yu Donglai emphasized that this approach is not only for employee happiness but also for the happiness of entrepreneurs and investors, because only the shared happiness of entrepreneurs, investors, and employees can ensure healthy business development.
He clearly stated that caring for employees can be done in many ways. For ordinary companies or managers, increasing wages and bonuses for management team members is the most scientific and effective method.
Yu Donglai concluded by saying that overall, Pang Donglai aims to follow an international business operation model while exploring a more scientific and advanced enterprise management approach; to strengthen respect, recognition, and care from investors and the company towards employees and managers; and to balance wealth disparities.
The day before, Yu Donglai also responded to netizens in the comments section of his personal social media, saying that understanding distribution is key to a healthier, longer-lasting, and happier enterprise.
On March 8, Pang Donglai founder Yu Donglai shared his experience on social media and announced the 4 billion yuan asset distribution plan, clearly allocating about 50% to the management team and about 50% to employees.
According to disclosures, Pang Donglai has been distributing profits to all employees based on their positions since 2000, aiming to stimulate positive thinking, creativity, and inspire everyone to learn and pursue a scientifically beautiful life.
The detailed asset distribution plan shows the group has a total of 10,194 employees, with total assets of approximately 3.793 billion yuan.
Specifically, the management team consists of 718 people, accounting for 7.0% of the total staff; they are allocated assets worth 1.514 billion yuan, representing 39.9% of total assets. This includes store managers, assistants, department heads, and other levels. Among them, 12 store managers share 240 million yuan, meaning each store manager can receive an average of 20 million yuan.
The technical team has 563 members, making up 5.5% of the total staff; they are allocated assets totaling 468 million yuan, or 12.3% of total assets. The two highest-level technical personnel can each receive up to 10 million yuan.
Frontline employees total 8,913, accounting for 87.4% of the workforce; they are allocated the remaining approximately 1.811 billion yuan, or 47.7% of total assets. Among them, 280 team leaders have an average standard of 300,000 yuan each, and 8,633 regular employees have an average standard of 200,000 yuan each.
Pang Donglai stated that the core of this distribution model is to earn employees’ respect and trust, guide them to pursue a better life, and simultaneously promote the company to create higher-quality products and services, ultimately fostering social harmony and helping more people achieve wealth together.
In the future, these assets will serve as company equity, with annual profits continuing to be distributed in a 50/50 split—50% for team bonuses and 50% for shareholder returns.
On February 11, Yu Donglai officially announced his retirement after the Spring Festival. On the evening of February 12, he shared some strategic plans for Pang Donglai on social media, reaffirming the company’s commitment to the “school-style enterprise” model, never going public, and continuing to share scientific and advanced life philosophies and technologies related to learning and research, striving to promote a healthy, relaxed, and beautiful life for more people and contributing to the country’s well-being. He also stated that the top management must step down from power positions before age 60. Additionally, Yu Donglai mentioned that Pang Donglai has completed its planned sample goals and will cease expanding its scale.