Chinese Government Intervenes and Puts Salary Cap

Chinese Government Intervenes and Puts Salary Cap
Chinese Government Intervenes and Puts Salary Cap
Several media companies like iQiYi, Youku, Tencent, Daylight Entertainment, Huace Film and TV, Linmon Pictures, Ciwen Media, Youhug Media, Hengdian World Studio and New Classics Media have released joint statements to puts a cap on the salaries of actors and actresses to address the increasing income gap and the perceived “money worship” among others.

This action is brought about by the Chinese governments crackdown on their A-list celebrities and putting their financial dealings under intense scrutiny.  This task force have investigated Fan Bing Bing for tax evasion, Huang Xiaoming for stock manipulation, Zhao Wei who is facing a class action suit from investors after suffering heavy losses on a company that the actress and her husband have taken over.

The Chinese government calls for a salary cap so that the aggregated salary of all actors and guests will not exceed 40% of total production cost for any TV series, web series or movie. The salary of the main cast cannot be larger than 70% of total production cost. The companies mentioned above have agreed to follow the government. Revised: With this initiative, an actor’s individual income  television projects would be capped at 1 million yuan per episode and 50 million yuan per season.

We have still yet to hear a celebrity react to this news but this will greatly affect a lot of China’s A-list celebrities like Yang Mi and Angelababy who are some of the country’s highest paid actresses. 

Will the salary cap affect the actor’s performance? In my opinion, it might cause morale issues in the beginning since some are used to earning a certain amount of money. It might also cause some issues where the actors are stretched thinned since they have to work more to compensate for the loss of income.

What do you think about this move by the government?

Source: 1, 2


  1. Anonymous

    August 18, 2018 10:27 PM
  2. Anonymous

    August 19, 2018 1:57 AM
  3. Anonymous

    August 19, 2018 2:00 AM
  4. Unknown

    August 19, 2018 6:00 PM
  5. lenje

    August 19, 2018 10:47 PM
  6. Michelle Teng

    August 21, 2018 8:06 PM

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