A remuneration committee, appointed by the Board, prepares proposals for remuneration guidelines for the Group’s CEO and other senior executives.
The guidelines encompass the CEO and the other members of the company management team, currently eight persons in total. The total remuneration may consist of a fixed salary, variable remuneration, pension benefits and other benefits. The variable remuneration, which can amount to a maximum of 30 percent of the fixed salary, is linked to the Group’s result and only in specific cases to individual targets. The variable remuneration is conditional upon a positive net profit for the Group and will be adjusted retroactively in case it has been paid out, on a clearly incorrect basis. Agreements regarding pension benefits are entered into on an individual basis and the pension cost may amount to a maximum of 30 percent of the salary. Other remuneration and benefits shall be in accordance with the market and facilitate for the employee to fulfill his/her tasks.
Employment contracts for members of the company management team shall generally have a term of six months from both parties.
The Board may deviate from the guidelines in individual cases, if there are special grounds for such deviation.