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MultiChoice South Africa Holdings Proprietary Limited
Integrated annual report 2018
81
Corporate governance review
(continued)
THE REMUNERATION POLICY
In this section we present the remuneration
policy for our executive directors and an
overview of the company-wide remuneration
policy.
Remuneration and employment
policies
Recruitment policy
On the appointment of a new executive
director, his/her package will typically be in
line with the principles as outlined on
pages 78 and 79.To facilitate recruitment, it may be
necessary to ’buy out’ remuneration forfeited
on joining the company. This will be considered
on a case-by-case basis and may comprise
cash or share options/share appreciation rights.
Termination policy
Payments in lieu of notice may be made to
executive directors for the unexpired portion of
the notice period. Such payments may be
phased. On cessation, there is no automatic
entitlement to an annual performance-related
incentive (bonus), however, the committee
retains the discretion to award a bonus to
a leaver during the financial year taking into
account the circumstances of his/her departure.
Service contracts
Executive directors’ service contracts comply
with terms and conditions of employment
in South Africa. Details of the date of
appointment and relevant notice period
are set out in the table below:
Element
Nolo Letele
Uvashni
Raman
Date of
appointment 1 January 1990
1 May 2016
Notice period Three months Three months
Ensuring a fair and responsible
approach to pay
To ensure a fair and reasonable approach to
the remuneration of executive directors, in
practice the committee takes the same
approach as is taken for the wider employee
group.
A number of factors are taken into account,
including:
h
individual performance
h
company affordability and trading
environment
h
the relative contribution of the job to the
overall business success
h
market pay benchmarking is considered
as an additional reference point – individual
performance is the primary determining factor
in whether to grant a pay increase, and pay
increases are not granted in the absence of
a satisfactory level of performance, and
h
similarly the operational performance of the
business and its ability to pay are naturally
considered when the quantum of any
increase is considered.
Our remuneration structure
We have outlined the three elements of pay
for our executive directors below. The same
principles are applied to employees across
the company, where appropriate.
Total cost to company
h
Comprising base salary and benefits. Reflects
the performance and contribution of the
individual and market value of the role.
h
Salary is paid monthly in cash.
h
Benefits provided include a mix of cash and
non-cash benefits, including pension, medical
and other optional benefits.
h
We also provide a range of lifestyle and
wellness benefits that do not form part of
Remuneration report
(continued)
for the year ended 31 March 2018