Amid public scrutiny, New Oriental founder Yu Minhong has once again opted for compromise. A 32nd-anniversary internal letter from New Oriental, signed from Antarctica on a Sunday, sparked widespread criticism. Accusations ranged from "The boss is in Antarctica while I'm struggling" to claims that Yu was flaunting employee-funded travels. The backlash prompted Yu to issue another internal letter on November 22, apologizing for his Antarctic references and urging employees to uphold the company's reputation if they chose to stay.

Yu also addressed "misinformation" and proposed a plan to send 10 outstanding EAST BUY employees and 10 members to Antarctica next winter as a goodwill gesture. Had this incentive been included in the initial letter, public perception might have been entirely different. The incident highlights how even billionaires like Yu, with a net worth exceeding 10 billion RMB, must bow to public pressure.

Beyond the emotional turmoil, the compensation levels at New Oriental and EAST BUY post-"double reduction" policy and pandemic are noteworthy. The crux of employer-employee alignment often boils down to two factors: salary and team culture. Ironically, Yu Minhong, once labeled a "stingy boss" by Luo Yonghao, now stands as one of the most generous employers among comparable listed companies.

**Salary Increases for the "Survivors"** The education sector faced dual blows from the pandemic and regulatory crackdowns. Pre-crisis, New Oriental's compensation structure combined base pay, class fees, and bonuses, with first-year teachers earning 100,000–200,000 RMB annually. However, its 2020 per-capita salary of 77,000 RMB ranked fifth-lowest among 14 education firms, trailing rivals like TAL Education Group (123,000 RMB) and卓越教育集团 (133,000 RMB). The low pay was partly due to a compensation model emphasizing renewal bonuses over class fees.

The turning point came post-2021. After massive layoffs (40,000 employees cut) and 100 billion RMB in severance costs, New Oriental pivoted to quality education and livestream e-commerce. By FY2022, per-employee costs surged to 234,300 RMB at New Oriental and 348,600 RMB at EAST BUY (formerly New Oriental Online), as headcounts halved.

**From "Stingy" to "Generous"** The rise of EAST BUY’s livestreaming arm, propelled by star anchor Dong Yuhui, transformed the company. Within a month of its June 2022 launch,粉丝数 surpassed 10 million. FY2023 revenue hit 4.51 billion RMB, with self-operated products and livestreaming contributing 86%. Adjusted net profit reached 1.09 billion RMB, driven by 38% gross margins.

This success translated to salary hikes: EAST BUY’s average annual pay rose from 375,000 RMB (FY2023) to 758,000 RMB (FY2024), topping 18 peers. By FY2025, despite a 32.7% revenue drop, per-capita pay climbed further to 839,600 RMB—2.02 times that of rival 交个朋友控股. Meanwhile, New Oriental’s per-employee costs remained among the lowest in education (123,400 RMB in FY2025).

**The Compensation Divide** Dong Yuhui’s reported 34–34.5 million HKD package (FY2023) and subsequent departure after the "小作文事件" underscored pay disparities. While Yu Minhong and former CEO Sun Dongxu collectively drew 207 million RMB (77.7% of executive pay), Sun’s exit leaves Yu as the sole remaining executive with an eight-figure salary—87 times New Oriental’s average and 13 times EAST BUY’s.

The unresolved compensation structure and reliance on platform-dependent models continue to challenge EAST BUY’s stability. Yu’s reluctance to replicate a "Chinese Partners" profit-sharing model with Dong highlights persistent governance tensions in this phoenix-like corporate turnaround.

*Note: Some images referenced are from public sources and will be removed upon request.*