Group Overview Financials Other information Sustainability and Governance Operation and Financial Review Annual Report 2024 43 CORPORATE GOVERNANCE Non-independent NEDs, other than Mr Goh Kian Chee, do not receive any Director’s fees or any other forms of remuneration. When a NED is required to travel for Company business, the Company will reimburse all the travelrelated expenses and provide a prescribed daily allowance. Remuneration for the EDs and KMP: The RC establishes the remuneration framework for EDs and KMP in consultation with the controlling shareholders, taking into account the performance of the Group, the business unit and the individual along with the relevant benchmarks in the respective markets and industries. The RC shall exercise full discretion and independent judgment to determine the right level and mix of compensations for the long-term success of the Group while upholding shareholders’ interest. The remuneration of the EDs and KMP comprises both fixed and variable components. Fixed component: The fixed components comprise mainly the annual base salary, fixed benefits and other defined contributions. In determining the fixed components, the RC will consider the individual responsibilities, performances, qualification and experience, as well as regulatory guidelines on wages, economic inflation and market surveys on executive compensations. The base salary is recommended by the RC and approved by the Board. The base salary is reviewed annually in accordance with the performance of the Group and the business unit, as well as the individual contributions of the Directors. The Group also provides benefits and contributions in line with local market practices and legislative requirements. The Group participates in national pension schemes as defined by the laws of the countries in which it has operations. The Singapore companies in the Group make contributions to the Central Provident Fund, a defined pension scheme in Singapore. In Indonesia, the Group makes contributions to defined retirement plans covering all of its qualified permanent employees. The Group also provides for employee service entitlements in line with the minimum benefits payable to qualified employees, as required under the Indonesian labour law. Variable component: The variable components, including bonuses and incentives, are designed to support the Group’s business strategy and to drive shareholder value through annual financial, strategic and operational objectives. They are linked to the Group’s financial and non-financial performance as well as the individual performance through a Balanced Scorecard that covers the six key areas of crop, cost, condition, people, processes and products underlying the Group’s strategic objectives. Weightings are assigned to the targets to encourage a balanced performance and to avoid over-emphasis on any one measure. To encourage sustainable practices, the EDs’ compensation is also linked to the achievement of specific sustainability targets and performance indicators that are relevant to their areas of responsibility. The Company does not offer a share option scheme. The RC may consider other forms of long-term incentive schemes for the KMP when necessary. The RC is empowered to withhold or reclaim the variable incentives from the EDs and KMP in exceptional circumstances involving material misstatement of financial results or misconduct resulting in financial losses to the Company. The RC was satisfied that the remuneration awarded to the EDs and KMP in 2024 was aligned with their respective performances. PRINCIPLE 8: Disclosure on Remuneration The 2018 Code requires the disclosure of the policy and criteria for setting remuneration, as well as the names, amounts and breakdown of remuneration of (a) each Director and the CEO; and (b) at least the top five KMP (who are not Directors or the CEO) in bands no wider than S$250,000 and in aggregate the total remuneration paid to these KMP.
RkJQdWJsaXNoZXIy NTkwNzg=