China’s biggest aluminium producer said Monday it was cutting salaries by up to 15 per cent this year, while senior executives’ salaries could be cut as much as 50 per cent in an effort to preserve jobs in the face of slumping demand.

Chinalco, which saw profits drop last year, was one of several large state-owned companies in China that have said they would reduce wages rather than cut jobs after coming under heavy pressure from the central government to avoid large job losses.