7. Categories of remuneration

129.Under Directive 2013/36/EU, remuneration is either fixed or variable remuneration; there is no third category of remuneration. Without prejudice to the national implementation of waivers under paragraphs (3) to (5) of Article 94 of Directive 2013/36/EU, where remuneration is variable and is paid to identified staff, all requirements of Article 94 of Directive 2013/36/EU have also to be met in addition to the general requirements contained in Article 92 thereof. For that purpose, institutions should allocate in line with these guidelines the components of remuneration to either fixed or variable remuneration and their remuneration policies should set out clear, objective, predetermined and transparent criteria to assign all remuneration components to either the fixed or variable categories in accordance with the criteria provided in Article 92(2)(g) of Directive 2013/36/EU and these guidelines.

130.Where the clear allocation of a component to the fixed remuneration is not possible based on the criteria provided in these guidelines, it should be considered as variable remuneration.

131.Remuneration is fixed where the conditions for its award and its amount:

• a. are based on predetermined criteria;
• b. are non-discretionary reflecting the level of professional experience and seniority of staff;
• c. are transparent with respect to the individual amount awarded to the individual staff member;
• d. are permanent, i.e. maintained over a period tied to the specific role and organisational responsibilities;
• e. are non-revocable; the permanent amount is only changed via collective bargaining or following renegotiation in line with national criteria on wage setting;
• f. cannot be reduced, suspended or cancelled by the institution;
• g. do not provide incentives for risk assumption; and
• h. do not depend on performance.

132.Remuneration components that are either part of a general institution-wide policy where they meet the conditions listed in paragraph 131 or payments mandatory under national law are considered as fixed remuneration. This includes payments which form part of routine employment packages as defined in these guidelines.

133.The following remuneration components should also be considered as fixed, where all similar situations are treated in a consistent way:

• a. remuneration paid to expatriate staff considering the cost of living and tax rates in a different country;
• b. allowances used to increase the basic fixed salary in situations where staff work abroad and receive less remuneration than would be paid on the local employment market for a comparable position where all of the following specific conditions are met:
• i. the allowance is paid on a non-discriminatory basis to all staff in a similar situation;
• ii. the allowance is awarded because staff work temporarily abroad or in a different position with a remuneration level requiring adjustment to reflect pay levels in the relevant market;
• iii. the level of additional payments is based on predetermined criteria;
• iv. the duration of the allowance is tied to the duration of the situation referred to above.

1. Forbhreathnú

1.1 Tagairtí

1.2 Ceanglais aitheanta

1.3 Caighdeáin ghaolmhara

2. Ceanglais aitheanta

3. Caighdeáin ghaolmhara

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