181. Where short-term contracts (e.g. one year) are used and renewed on a regular basis by …

Where short-term contracts (e.g. one year) are used and renewed on a regular basis by investment firms, competent authorities should review if such contracts form a vehicle or method of circumvention of the remuneration requirements of Directive (EU) 2019/2034, e.g. as they would in fact create variable remuneration, and take appropriate measures to ensure that investment firms comply with the requirements of Articles 30 and 32 of Directive (EU) 2019/2034.

1. Overview

1.1 References

• Article 30 Remuneration policies
• Article 32 Variable remuneration

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

3. Related Standards

• EBA - Published by the European Banking Authority at https://www.eba.europa.eu/