Founded in 1987, Huawei is a leading global provider of information and communications

10 Personnel expenses
(CNY million)
2020
2019
Salaries, wages and other benefits
139,095
134,937
Time-based unit plan (TUP)
9,550
14,048
Post-employment plans and others
Defined benefit plan
5,183
4,713
Defined contribution plans and others
12,233
14,631
17,416
19,344
166,061
168,329
TUP
TUP is a profit-sharing and bonus plan based on employee performance for all eligible employees (recipients) 
in the Group. Under TUP, time-based units (TBUs) are granted to recipients for a term of five years which 
entitle them to receive an annual cash incentive based on an annual profit-sharing amount and an end-of-term 
cumulative appreciation amount. Both the annual profit-sharing and the end-of-term appreciation amount are 
determined at the discretion of the Group. Recipients receive the annual profit-sharing amount in each year 
following the financial year in which it is earned during the five-year period. TBUs expire on the earlier of the 
end of the five-year period or the date recipients leave the Group’s employment, when the accrued end-of-term 
appreciation amount will be paid.

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106
       
Huawei Investment & Holding Co., Ltd.
Defined contribution plans
The Group contributes to defined contribution retirement plans for eligible employees. The plans are managed 
either by the governments in the countries where the employees are employed, or by independent trustees. 
Contribution levels are determined by the relevant laws and regulations concerned.