In 2010, we also developed a new remuneration policy for all employees. The core elements are as follows: variable salary will be paid only if the bank generates a profit and employees deliver outperformance. The remuneration also depends in part on the performance of the team.
The new remuneration policy is consistent with the principles for controlled remuneration as presented by the Dutch Central Bank and the Netherlands Authority for the Financial Markets (AFM). Variable pay cannot exceed the fixed salary. Above a certain threshold, the payment is made in shares, and a claw-back is always possible.
The new policy is in keeping with the notion within Van Lanschot that those who excel should be rewarded accordingly. We believe that differentiated pay is an instrument that allows us to give the right reward to outperformance. All the more relevant since Van Lanschot itself wishes to outperform. Employees contributing to this goal should be rewarded accordingly. Outperformance is subject to a number of conditions, in particular in the field of our duty of care.
In 2011, the remuneration policy will again be revised in order to comply with several new standards as included in the Controlled Remuneration Policy regulation set by the Dutch Central Bank, which came into effect on 1 January 2011.
