According to National Business Daily, China Mobile, one of the largest mobile operators in China, has received a new dictate on pay cuts.

The State-owned Assets Supervision and Administration Commission has asked China Mobile to cut employee salaries by 10% for five consecutive years starting from 2010.

In fact, China Mobile, which is said to be offering the highest amount of salary to its employees among Chinese telecom service operators, has been required for several times in the past years to cut staff salaries. In 2004 and 2007, it was asked to do so twice. In 2008 and 2009 some branches of the company began to cut staff and reduce salaries on their own as a result of the global financial crisis. Maybe due to these frequent cuts, most of the employees at the company were cited by local media as saying that they are not surprised at all by the sudden decline of their salaries this year.

According to Chinese media, China Mobile already started the payment cut in January 2010.

The employee compensation cuts are related to the reshuffle of China's telecom industry, which makes the financial status of each company involved more transparent.