Persons from the State-owned Assets Supervision and Administration Commission of the State Council (SASAC) deny the saying that China Mobile Ltd. (SEHK: 0941 and NYSE: CHL) is instructed to cut staff salaries.

The SASAC did not issue salary cutting document to the telecom carrier, clarified the sources.

Earlier, the SASAC reportedly required China Mobile, including all local branches, to reduce staff salaries by 10% annually for five consecutive years. The regulator has asked China Mobile to lower salaries for several times since 2004, according to the report.

China Mobile, the biggest telecommunications operator in the country, had had a subscriber base of 527 million by January 31, 2010.

Previous data showed that China Mobile reaped an operating revenue of CNY 326.977 billion in total during the first three quarters of 2009, with an 8.9% rise year on year.

Net profit attributed to the company's shareholders was CNY 83.935 billion, with a 1.8% rise year on year. In other words, it made a daily net profit of CNY 310 million.

source:tmcnet