Cao Dewang Responds to Criticism: Generous in Charity, Strict in Management

Recently, Fuyao Group Chairman Cao Dewang sat down for an exclusive media interview, where he responded to public opinions suggesting that while he is generous in philanthropy, he is overly strict with his employees. Cao clarified that his charitable donations come from his personal wealth, not the company’s funds. As for corporate management, he emphasized that a business must cultivate its own competitiveness to survive and thrive.

Cao explained that Fuyao Group employs around 40,000 staff members, with an average monthly salary of approximately RMB 10,000. The company’s compensation strategy is designed to stay above industry standards, but not excessively so—striking a balance between attracting talent and mitigating risks.

“An entrepreneur’s journey is inherently risky,” Cao noted. “If we distribute all profits as bonuses or welfare, the company would lose its ability to withstand challenges and could not properly answer to shareholders.”

He further pointed out that Fuyao Group has established financial assistance programs for employees facing hardships, including support for families dealing with serious illnesses. As for some of the online criticism, Cao remarked that much of it is taken out of context or selectively edited, and he prefers not to engage with such misrepresentations.

(Source: Sina Finance)