Future policy table – executive directors
Component & purpose Operation
Annual opportunity
Fixed elements of executive remuneration
Salary
Reflects individual
performance and
personal contribution
to delivering the Group
strategy. They are set
in the context of total
pay levels.
Reviewed annually with change normally effective from January.
When setting salary, the Committee takes into account the level
of increase for a reference group of comparable employees in the
leadership group, market data, business performance, external
economic factors, the complexity of the business and the role,
cost, and the incumbent’s experience and performance.
Normally any salary increase for an executive director will
be in line with those of the wider workforce. Increases
beyond this may be awarded in certain circumstances,
such as a change in responsibility after taking into account
the factors noted.
Pension
Provides for retirement
and supports succession
planning.
A cash allowance in lieu of pension is paid monthly. To the extent
required by law, part of this allowance will be paid into a defined
contribution pension arrangement. With the Committee’s approval
the executive directors may redirect all or part of the balance of this
allowance into a defined contribution pension arrangement.
Up to 30% of salary
Legacy obligations of 35% of salary for appointments to the
Board before October 2013 will continue to be honoured.
Benefits
Protects the well-
being of executives
and to provide fair and
reasonable market
competitive benefits.
The policy provides a normal range of benefits to executive
directors. These include but are not limited to:
Non-cash: private healthcare for themselves and their family,
life insurance, and other minor ancillary benefits.
Cash and taxable allowances: car and fuel allowance, personal tax
advice and two annual round trips for the Chief Executive and his
spouse between work and home locations.
Where it is in IMI’s interests to request that executives work in a
different country or region then we will pay relocation and provide
benefits and allowances in line with IMI’s Global Mobility Policy.
Expenses that are incurred by an executive director in undertaking
their role are reimbursed.
The values of benefits vary significantly year-on-year
depending on the age and health of the individual, the cost
of providing them and the geography in which the executive
is based. However, the range of the benefits is not expected
to change from year to year.
Should it be appropriate to relocate an executive director
or to recruit an executive director from overseas, flexibility
is reserved to provide benefits that ensure that the individual
and IMI can both achieve this commercial purpose.
All-employee share plans (all-employee share plans do not have an associated performance framework)
All-Employee
Share Plans
Encourages share
ownership amongst
the broader employee
population and
aligns interests of IMI
employees with those of
shareholders. In addition
provides a tax efficient
investment vehicle for
employees.
UK Plans
UK SAYE: an HMRC approved Savings Related Share Option
Scheme which is open to all of the Group’s UK employees, including
the UK-based executive directors.
Employee Share Ownership Plan: an HMRC approved Share
Incentive Plan which is open to all of the Group’s UK employees,
including the UK-based executive directors.
In line with the statutorily defined limits with respect
to investments, awards and discounts on the price of
share options.
Global Plans:
All-employee share purchase plans operate in
geographies outside the UK. The vehicle and manner of award
varies by geography depending on local market restrictions and
the plan operated in the region.
Eligible employees (including executives) can invest subject
to the plan limits that apply to all participants, which vary by
local market and plan.
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Strategic Review
Performance Review
Corporate Governance
Financial Statements
Introduction
Annual Report and Accounts 2014
