Accrued Compensation

9 Months Ended

Sep. 30, 2020

In June 2018, we sold our Guangzhou entity via a stock deal and the terms of the agreement included a two-year indemnification period. In June 2020, the indemnification period expired and we determined we were no longer legally liable for any liabilities associated with our Guangzhou entity. Accordingly, we reversed the accrued social insurance by the amount associated with the Guangzhou entity, which was approximately $9.5 million.

The components of accrued compensation were as follows:


(In thousands)	September 30, 2020		December 31, 2019
Accrued social insurance (1)	$	7,150	$	16,588
Accrued salary/wages	6,606		7,465
Accrued vacation/holiday	3,046		2,766
Accrued bonus	3,750		13,965
Accrued commission	954		1,283
Other accrued compensation	1,384		1,601
Total accrued compensation	$	22,890	$	43,668

(1)PRC employers are required by law to remit the applicable social insurance payments to their local government. Social insurance is comprised of various components such as pension, medical insurance, job industry 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 at September 30, 2020 and December 31, 2019.

Other Accrued Liabilities

The components of other accrued liabilities were as follows:


(In thousands)	September 30, 2020		December 31, 2019
Contract liabilities	$	2,207	$	1,840
Duties	4,607		3,731
Freight and handling fees	2,503		3,769
Operating lease obligations	5,802		4,903
Product warranty claims costs	1,797		1,514
Professional fees	4,301		2,833
Sales and value added taxes	4,217		3,926
Short-term contingent consideration	1,780		5,428
Other	6,402		7,501
Total other accrued liabilities	$	33,616	$	35,445