Accrued Compensation (Tables)

9 Months Ended

Sep. 30, 2012

Accrued Compensation [Abstract]

Components of accrued compensation

(in thousands)	September 30, 2012		December 31, 2011
Accrued social insurance (1)	$	19,719	$	20,027
Accrued salary/wages		5,129		4,084
Accrued vacation/holiday		1,923		1,943
Accrued bonus (2)		2,918		1,140
Accrued commission		281		461
Accrued medical insurance claims		559		300
Other accrued compensation		814		1,249
Total accrued compensation	$	31,343	$	29,204

⁽¹⁾  Effective January 1, 2008, the Chinese Labor Contract Law was enacted in the PRC. This law mandated that PRC employers remit the applicable social insurance payments to their local government. Social insurance is composed of various components such as pension, medical insurance, job injury insurance, unemployment insurance, and a housing assistance fund, and is administered in a manner similar to social security in the United States. This amount represents our estimate of the amounts due to the PRC government for social insurance on September 30, 2012 and December 31, 2011.

⁽²⁾  Accrued bonus contains an accrual for an extra month of salary (“13 ^th month salary”) to be paid to employees in certain geographies where it is the customary business practice. This 13^th month salary is paid to these employees if they remain employed with us through December 31 of each year. The total accrued for the 13^th month salary is $0.4 million and $0.4 million on September 30, 2012 and December 31, 2011, respectively. The remaining accrued bonus for 2012 is the estimated amount that will be paid to non-executive and executive level employees. Executive management was not paid bonuses related to the year ended December 31, 2011.