REMUNERATION STRATEGY
Senwes ’ remuneration strategy is based on a total reward approach , which includes financial and non-financial , direct and indirect , intrinsic and extrinsic rewards , based on and in support of the employee value proposition .
EMPLOYEE VALUE PROPOSITION
Senwes strives to be an employer of choice . In this regard , Senwes has developed an employee value proposition , which steers the company ’ s employee engagement and talent strategy towards the realisation of that vision .
The purpose of our employee value proposition is to enable the organisation to attract prospective talent , improve employee engagement and performance , inculcate behaviour consistent with our values , develop an enabling and supportive work environment and to retain talent .
The employee value proposition is based on the following four pillars :
CREATING A GREAT COMPANY TO WORK FOR |
PROVIDING CHALLENGING JOBS AND GROWTH OPPORTUNITIES |
PROVIDING AN ENABLING , SAFE , HEALTHY AND SUPPORTIVE WORK ENVIRONMENT |
PROVIDING EMPLOYEE RECOGNITION AND MARKET COMPETITIVE REWARDS |
REMUNERATION STRUCTURE
The remuneration structure comprises guaranteed pay ( total cost to company ), special purpose bonus ( in exceptional circumstances , at the discretion of the executive and / or Remco ), short-term incentives and long-term incentives .
An appropriate remuneration mix is maintained between fixed and variable performance-based remuneration , as well as between short-term and long-term performance-based remuneration . The diagram below illustrates the functioning of the remuneration structure :
REMUNERATION PHILOSOPHY AND INCENTIVES
OPERATORS
OPERATIONAL MANAGERS
STRATEGIC INFLUENCERS
OPERATORS Employees from job grade 1 – 11 .
|
% of Cost to Company
100 %
75 %
50 %
25 %
|
100 % |
12 % |
% of Cost to Company
100 %
75 %
50 %
25 %
|
100 % |
15 % 15 % |
% of Cost to Company
100 %
75 %
50 %
25 %
|
100 % |
30 % |
30 % |
50 % |
OPERATIONAL MANAGERS Employees from job grade 12 – 16 .
STRATEGIC INFLUENCERS Employees from job grade 17 – 25 .
|
0 % |
|
|
0 % |
|
|
0 % |
|
|
|
|
|
Cost to company Average on-target bonus Average profit share Average long-term incentive
DIRECTORS ’ REMUNERATION
Remco reviews the remuneration of executive and non-executive directors annually , based on external surveys and benchmarks against a comparator group of companies and other relevant benchmarks . The committee also considers the skills levels , performance and retention of the directors . Remuneration is generally positioned at the median of the relevant benchmark .
NON-EXECUTIVE DIRECTORS ’ REMUNERATION
Non-executive directors ’ remuneration is reviewed on an annual basis and tabled at the annual general meeting for approval as a binding vote , as required in terms of section 66 ( 9 ) of the Companies Act , 2008 . Non-executive directors ’ fees are benchmarked against various surveys and compared to a comparator group of companies , approved by
70 ROOTED IN AGRICULTURE