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+13.2 Ratio between fixed and variable remuneration |
13.2 Ratio between fixed and variable remuneration206.Institutions should set in advance in their remuneration policy the appropriate level of the maximum ratio between the variable and fixed components of total remuneration for identified staff, in accordance with the limits and procedures provided in Article 94(1)(g) of Directive 2013/36/EU and national law, taking into account the business activities, the risks and the impact that different categories of staff have on the risk profile. Institutions may set different ratios for different jurisdictions, different business units, corporate and internal control functions and different categories of identified staff. The ratio set is the ratio between the variable component of remuneration that could be awarded as a maximum for the following performance period and the fixed component of remuneration for the following performance period. 207.The maximum ratio should be calculated as the sum of all variable components of remuneration that could be awarded as a maximum in a given performance year, including the amount to be taken into account for the retention bonus, divided by the sum of all fixed components of remuneration to be awarded in relation to the same performance year. In any case, all remuneration components should be correctly allocated to either variable or fixed remuneration in line with these guidelines. Institutions may omit some of the fixed remuneration components where they are not material, e.g. where proportionate non-monetary benefits are awarded. 208.In exceptional and duly justified cases, the remuneration policy may provide for a different ratio for individual identified staff members belonging to a certain category of staff compared with other staff members included in the same category of staff. 209.The ratios set between the variable and fixed remuneration components for categories of staff or single staff members should be approved by the management body in its supervisory function or, where required, by the shareholders’ meeting. The ratio between the varia ble and fixed remuneration components should be set independent of any potential future ex post risk adjustments or fluctuation in the price of instruments. 210.The effective ratio should be calculated as the sum of all variable components of remuneration that have been awarded for the last performance year as set out in these guidelines, including amounts awarded for multi-year accrual periods, divided by the sum of fixed components of remuneration awarded for the same performance year. For multi-year accrual periods that do not revolve annually, institutions may alternatively take into account in each year of the performance period the maximum amount of variable remuneration that can be awarded at the end of the performance period divided by the number of years of the performance period. 211.The effective ratio between variable remuneration awarded and fixed remuneration should increase with the performance achieved and include levels of awards that would only be achieved for performance which is ‘above target’ or ‘exceptional’. The effective ratio must not exceed the maximum ratio set in accordance with Article 94(1)(g) of Directive 2013/36/EU, national law and the institution’s remuneration policy. 212.When calculating the maximum or effective ratio, institutions should apply the EBA guidelines on the applicable notional discount rate for variable remuneration under Article 94(1)(g)(iii) of Directive 2013/36/EU only when Member States have implemented Article 94(1)(g)(iii) of Directive 2013/36/EU or when the ratio is calculated for identified staff of an institution located in a third country that is a subsidiary of an EU parent institution. 1. Forbhreathnú
1.1 Tagairtí1.2 Ceanglais aitheanta1.3 Caighdeáin ghaolmhara2. Ceanglais aitheanta
3. Caighdeáin ghaolmhara
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