Page 27 - SABN AR 2021

Guaranteed remuneration
As reported under ‘Remuneration and reward philosophy’, the SABN’s total guaranteed remuneration packages are linked to specific job grades. The total guaranteed remuneration package includes a cash salary, a company contribution to benefits and a 13th cheque. This remuneration structure provides employees with the flexibility to structure their package according to their personal and life-stage financial needs, provided that package structuring is compliant with labour and taxation legislation. The total guaranteed remuneration package ranges are revised annually, taking into account both a cost-of- living increase and a variable performance-based component.
Pay levels are determined annually based on market information and prevailing market conditions. The SABN market position is to benchmark the total guaranteed remuneration package to the 50th percentile (median) of the Gauteng manufacturing data. Through benchmarking, the principle of competitive market-related remuneration is taken into account, enabling the SABN to measure the competitiveness of its remuneration packages against the employers with whom it competes for skills.
Annual incentive scheme
The SABN has sought to strengthen the link between pay and performance by means of a performance management system that makes it possible to reward the overall contribution of an employee rather than the tenure in the position. The business objective of the annual incentive scheme is to reward performance based on Company and individual performance.
The annual incentive scheme is governed by defined rules as approved by the Board at the start of each financial year. It is based on both the financial achievement of the Company and the individual’s performance measured against key performance indicators, which can be financial and non-financial.
The annual incentives payable to senior management and key management for targeted levels of performance range between 16.66% and 33.33% of an employee’s total guaranteed remuneration package, depending on his/her roles, responsibilities and individual contributions.
South African Bank Note Company (RF) Proprietary Limited
Annual Report 2021
Executive Director and senior
management emoluments
Emoluments paid to the Executive Director and senior management of the SABN for the year under review are as follows:
Executive directors
Salary
Recom- mended bonus
Pension paid
Total 2021
Total 2020
R’000
R’000
R’000
R’000
R’000
Executive Director
and senior management
11 445
3 690
1 315
16 450
16 682
Non-executive directors’ emoluments
Non-executive directors are remunerated for the time required to discharge their ordinary responsibilities to the Board and other Board committees. They are paid for attendance of normal scheduled meetings.
Non-executive directors are not appointed under service contracts. Their remuneration is not linked to the SABN’s financial performance and they do not qualify for participation in any incentive schemes.
The approved fees payable to the chairpersons and non- executive directors for services rendered to the Board and other Board subcommittees are as follows:
Non-executive directors
Total 2021
Total 2020
R’000
R’000
R J G Barrow
276
293
M G Ilsley
218
209
W Mkhabela
310
206
T M Nombembe
37
–
J Sibanda
256
145
L van Zyl
–
297
Total
1 097
1 150
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