Remuneration for members of the board of directors
The AGM 2016 resolved that the remuneration for the Board of Directors shall be EUR 357,200 (previous year SEK 3,000,000) to be allocated:
- EUR 77,000 (SEK 750,000) to the Chairman
- EUR 33,000 (SEK 300,000) to each of the seven other members of the Board
- EUR 8,200 (SEK 75,000) to each of the members of the Audit and Remuneration Committees
Remuneration for the managing director and senior management
Remuneration shall be determined in relation to area of responsibility, duties, expertise and performance. The fixed salary component equals and compensates for engaged work of management at a high professional level, creating value to Eltel. The short-term variable salary component is based on predetermined and measurable financial and individual targets. The criteria are recommended by the Remuneration Committee and ultimately decided by the Board of Directors. The short-term (one year) variable salary component varies between 10% and 80% of fixed annual salary. The CEO has a 80% (2015) variable salary component and the remaining members of Group Management Team (GMT) have a 60% variable salary component. The short-term incentive programme at Eltel covers all managerial levels from team level to the GMT as well as key managers in shared services and Group functions. The range of variable salary component for other than GMT members is from 10 to 40% of the fixed annual salary depending on the job position of an employee.
The pension terms of the CEO and other senior executives in the GMT should be market based in relation to terms that generally apply for comparable executives. The Group Management Team being an international team with members from Sweden, Finland and Denmark, the pension terms of Eltel’s senior management reflect some national differences.