Retailer lauded for 'moral-damage' compensation

Pangdonglai, a major supermarket chain in Central China's Henan province, has released detailed records of compensation it paid to employees whose personal dignity was violated at work, underscoring the company's growing emphasis on workplace respect and employee protection.

On Monday, the company published compensation standards for infringement of personal dignity on its official website. The list includes 33 cases recorded between Jan 1 and Oct 31, 2025, with total compensation reaching 359,000 yuan ($50,495).

"Personal dignity is everyone's fundamental right and should be respected," the company said, noting that the mental and physical harm from such incidents can be "lifelong, extremely painful and irreversible".

In an incident that occurred on Jan 26, an employee surnamed Cheng was slapped twice while escorting an abusive customer out of the Beihai store in Xuchang. Police later confirmed the customer had mental health issues, and the company compensated Cheng with 30,000 yuan.

Since July 2024, the company's founder Yu Donglai has used his personal Douyin social media account to post updates on new policies aimed at protecting workers. Under the company's rules, employees who are unjustly accused of wrongdoing while working receive more than 5,000 yuan in compensation; those who are insulted receive more than 10,000 yuan; and those who are assaulted on duty receive more than 30,000 yuan. Yu said customers involved in such incidents will also face legal consequences.

The compensation system aims to build "a corporate culture of respect, fairness and justice" and promote stronger social and legal protections for personal dignity, the company said.

Xu Wei, a lawyer with Henan Tianji Law Firm, said the program not only meets employers' obligations under China's Labor Contract Law but goes further by offering moral-damage compensation well above legal requirements. "It sets an example for treating employees well and demonstrates respect for workers' rights and interests," Xu said.

Tang Yaqin, 34, a frequent customer who works in Zhengzhou, said long work hours have become common for many employees. Pangdonglai's efforts, she said, show a rare people-first approach.

"When a company truly treats employees as individuals rather than tools, it earns their genuine dedication," Tang said. "Such mutual respect also builds trust among consumers and strengthens the foundation for long-term development."

Founded in March 1995, Pangdonglai has expanded to 13 stores in Xuchang and Xinxiang and has developed its own brand system and online sales platform. As of January, the retailer employed about 8,300 workers, with an average monthly salary of 9,000 yuan, according to the company.

The chain is widely known for employee-friendly policies, including 30-day paid annual leave for front-line workers and 40-day paid leave for managers.

As of Nov 8, the company's total sales in 2025 reached 200.35 billion yuan, surpassing the full-year sales of 2024 by 30 billion yuan, according to official data.

Qi Xin contributed to this story.

shibaoyin@chinadaily.com.cn