China's state-owned enterprise watchdog has announced plans to limit salaries at this country's SOE's amid declining profits.

Under the new plans, the State-owned Assets Supervision and Administration Commission say salaries are now going to be directly tied to company profits.

Last year, the combined business revenues of the over 100 SOEs directly controlled by the central government came in at some 4-trillion U.S. dollars.

This is a 4 percent year on year increase.

However, the profit growth is the slowest since 2009.