Under the background and the requirements of comprehensively deepening reforms，Tianjin has earnestly implemented the central government’s requirements on the reform of income distribution system of public institutions. By implementing performance-based pay reform，rationalizing the relations of income distribution，clarifying management standards，delegating administration powers，and improving institutional systems，Tianjin has gradually established a hierarchical performance-based pay management system that meets the requirements for development of public institutions and is conducive to stimulating the vitality of public institutions. It has accumulated valuable practical experience for local comprehensive personnel administrative departments to explore the performance-based pay reform and improve the performance-based pay management mechanism.